A renter may have an excellent history over a period of a year while renting a home or apartment, then comes the time to renew the lease. Moreover, one of the most important things that many forget to do, the re-credit check of the tenant, even if they have been an excellent role model renter.
The state of affairs
There have been cases worldwide that a Landlord had a tenant living in a home or apartment for close to a year. The tenant had an acceptable history of paying rent on time, or mostly on time, there had been times when there would be a late payment but, in general, a good occupant.
When considering the Landlord/Tenant history over the year, when it came time to renew the rental contract the Landlord was pleased and content to renew, why not as it is better the devil you know than the devil you do not know. The one big mistake made was not doing a re-credit check on the renter and later the tenant started failing to pay the rental payments.
After months of constant law-abiding conduct, the Landlord faced filing a letter of demand and eviction to obtain the rent payment. This left the Landlord wondering what had changed over the few months, as the tenant had been the best tenant a Landlord could find.
What could have prohibited this problem?
As Ellicott City Property Managers, we know that many things can change during the course of a year and when considering the case above, something did. The renter could have some complications to medical costs, his wife may have fallen pregnant and needs to provide an extra income for the family, or he himself could have become seriously ill leaving him without work. All these unexpected events are part of life and affect a person’s credit profile.
A tenant may seem to be the perfect find, however, personal circumstances change. Therefore, the question remains, how can you prevent this problem from happening again?
While maintaining a close, yet expert relationship with the renter may reveal the obvious change in state of affairs, like a pregnant partner or accident. By doing, a simple credit check on the renter before renewing the lease provides you with enough information advising of changes taking place in the tenants’ life.
What others can learn from this?
By doing an initial screening on the potential renter, is important, however, doing a re-check when the time comes to renew the rental agreement is just as important. All Property Management Ellicott City companies know that maintaining a proficient relationship with the occupants and visiting the property or an apartment on a regular basis while the tenant is present reveals any changes in the personal circumstances of the tenant.
Do not assume that you have had a great connection with your renter over the past year that the coming year is going to be the same. Moreover, remember to do those re-credit checks on all your tenants before renewing a lease.
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