Your Right Move

Below are 5 easy ways to become a successful landlord in a recession and certainly we are going through one of the worst to date. With dips, double dips, the economic decline hasnt change direction for some time. With rent arrears more likely than ever and many finding themselves as landlords due to the lack of buyers in the house market, any tips will be valuable.

How To Be  A Successful Landlord in a Recession

Landlord Tip #1 : Independent Reference
Ask for an employers reference and contact details. You will avoid risks by making your own independent enquiries as well as requesting the reference in writing. Use yellow pages to acquire the number and call your prospective tenant’s employer to confirm that the company exists and, equally importantly, that they are still an employee within the company. This should help reduce the risk of prospective tenants slipping into rent arrears or even claiming employment while unemployed. For peace of mind you may consider taking out an insurance too.

Landlord Tip #2 : Tenants Reputation
Speak to your prospective tenant’s previous landlord to establish whether they were a reliable tenant. If they had issues, your just as likely to have them too.

Landlord Tip #3 : Proof of Payment
Ask the prospective tenant for bank statements over the last few months. Your looking to see proof that they are able to pay the deposit and monthly rent. Bank statements will also give you an idea of how affordable they will find the rent that they will be paying you, this will really minimise the risk.

Landlord Tip #4 : Tenancy Identity
When you interview the tenants, ask for a copy of their passport and visa as well as bank statements. This not only helps confirm their identity, but also whether they can legally remain in the country for the entire period of the tenancy. This is becoming more of an issue to be aware of.

Landlord Tip #5 : Avoid Risk
As tempting as it is, even if the tenant has a lovely personality, listen to your gut feeling and the above tips. Using a reputable letting agent to arrange your tenancy and ensuring they take necessary steps on your behalf to carry out a rigorous assessment before your tenant moves in will cut any possibilities of problems occurring in the future.