The Eviction Process… 7 Tips to Avoid Costly Mistakes
I realize that most investors start out with a great plan and eviction probably wasn’t part of it. I know , buy a building at a great price, may do some minor repairs, find a decent tenant and sit back and collect the rent. … Right? Evictions are one of the most frustrating and costly problems for a landlord to deal with and they unfortunately do happen. . The following are a few simple tips that may reduce the likelihood of an eviction and, ultimately, protect your cash flow. And, get you back to collecting those rent checks.
1. Maximize the number of applicants you get.. You want to have multiple
applications. Even if it means reducing the rent. Don’t put yourself in a position take an unqualified tenant just because your mortgage is due.
2. Be sure the application form is filled out properly and completely. If someone shows up with two months rent in cash and a half filled out application. RUN !!!!
3. The screening process should be used to the fullest. Background checks and credit reports, although in today’s economy many may have a nightmare credit report. It will, however, prove their identity. It will also show if they’ve had a recent (one time) financial set back or a long term aversion to paying bills…… Any Bills!!
4. Employment verification: Don’t just take check stubs or W-2’s. Actually call their employer. Hey! A lender would if they were buying the place.
5. Always, always, always put everyone over the age of 18 on the lease, who will be living in the apartment.
6. Make sure you have a strong lease. If your not sure contact your Attorney. Be sure to include a form stating they have read and understood the lease and everything that is expected. This could eliminate the “I Dun’t Knooowwww” defense later on.
7. Be sure to respond to Tenant issues in a timely manner. Happy Tenants pay their rent and take care of your investment.
That should be a good start for a successful investment Property. If you have any questions on your current properties or are looking to expand your portfolio. Give me a call @ (630) 306-1057
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