Referencing and the relationship between a Landlord and a Tenant is imperative and it is essential to start off on the right foot.
When letting a property it is vital to know that, as a Landlord, you have done everything you can to ensure that your Tenants have the means with which to pay their rent and that they will have an appreciation for the property. This includes checking their credit history and current employment status to ensure that everything possible has been done to protect your asset.
Leaf Property Services uses Van Mildert Tenant Referencing, the UK’s premier Tenant referencing company, to gain a variety of references for prospective Tenants and provide you with a judgement on whether the Tenant is likely to pay their rent on time and on-going, and flag up any potential issues which may arise prior to committing to a tenancy.
Employment and Income Details
The first question to ask any Tenant is the means by which they will be paying their rent. Van Mildert will verify their income and confirm their employment status. If a Tenant is self-employed, they check accounts or take an accountant’s reference to confirm that the information with which they have provided us is correct. As a general rule of thumb, the Tenant must have a total monthly income of at least 2.5 times the monthly rental or savings equal to the annual rent (or a combination of both).
Previous Landlord’s Reference
If a Tenant has been living in rented accommodation recently it is important to gain a reference from their previous Landlord to certify whether the rent was paid on time and in full and whether the property was maintained to an acceptable standard during the tenancy. This is one of the most important references to take because it gives the closest insight into how a Tenant will treat a property. Van Mildert will contact previous Landlords to get a frank insight into the way a Tenant lives so as to highlight any issues you need to know about before committing to a tenancy.
Adverse Credit History
In an ever changing economic climate, it is becoming increasingly common to find that prospective Tenants may not have a clear credit history. Van Mildert will check this information through major credit reference agencies to ensure that any information provided by the Tenant is accurate. They are then able to provide you with a clear report on the Tenant’s credit-worthiness to ensure that you have the best possible chance of enjoying a safe, long-term relationship with your Tenants.