“When I found what I thought was the perfect tenant, I realized he was cheating on me. He showed me 4,000-euro payrolls and I thought he was a good candidate. I was wrong. The payroll was fake and I had to hire a lawyer to try to get rid of it “
This phrase comes from the thousand and one stories that live every day the owners want to find the perfect tenant. The biggest fear of any landlord is that your tenant will stop paying your rent, destroy your home, and take months, if not years, to recover it. A fear that determines whether you decide to rent your home, keep it empty or sell it .
Many households find it difficult to cope with rent payments. A situation that is already beginning to be reflected in official statistics: evictions for non-payment of rent are currently much higher than those resulting from mortgage defaults.
That’s why it’s no surprise that virtually three out of four landlords can suffer from a delinquent tenant . But is it possible to find the tenant perfect ?
Finding the perfect tenant: How much should you charge?
The first question a landlord should ask themselves is what percentage of the income of their future perfect tenant goes to the payment of rent. Experts recommend that no family should pay more than 30% -40% of their salary to pay the rent – or mortgage – so that a first & nbsp; look at the candidates’ payroll & nbsp; < / can> help us know who can give us more headaches when collecting income. Similarly, in addition to the bail, additional guarantees can be requested to try to deter a possible defaulter. The perfect tenant will never put you in a position to present any type of documentation required to rent the property.
The higher the rent payable, the greater the likelihood of default
According to data from the Bank of Spain, since 2013, the rental price has shot up 50% , while wages have barely they have grown by 1.6%, according to INE national accounting data. This has caused many households to find it difficult to cope with the payment of rent. A situation that is already beginning to be reflected in official statistics: evictions for non-payment of rent are currently much higher than those resulting from mortgage defaults. More than 60% are a consequence of the former, according to the latest data from the General Council of the Judiciary (CGPJ).
In this regard, the situation has changed significantly in the last year. Since last March , after the approval of the last royal rental decree, the landlord can only require the tenant a cash deposit equivalent to a monthly payment , as well as an additional guarantee of up to up to two monthly payments . In total, three monthly payments.
That is, for a rent of 1,000 euros, we would be talking about 3,000 euros, a significant amount and within reach of few pockets, although insufficient for many landlords who before the approval of this royal decree they could ask for an unlimited amount of bail, which is why many now feel more unprotected when it comes to renting their home.
And yet, the surety or additional guarantees aren’t the only thing owners who are increasingly asking for more information and documentation to candidates or to resort to default insurance or to companies that rent the property and find the perfect tenant.
In fact, according to data from the Delinquent Tenants File (FIM), “59% of landlords request reports to try to find out if tenants who have taken an interest in their property have history of delinquency . It is followed by the risk reports , which are requested by 27% of landlords and are followed by information related to employment data (11%) and personal (3%) Since the approval of the decree law, the owners are looking for alternatives to make a more informed decision, reaching to multiply by four the number of requests for reports that we receive in FIM ”, explains Sergio Cardona, director of studies and quality of FIM.
False payrolls and guarantees
However, professionals are not exempt from scam attempts either. We have been presented with fake bank guarantees , counterfeit payrolls … In order to sublet the house … Deceptions that we detect with our tools and our experience .
There are real cheating professionals . It is common for an interested party to put on the owner’s table several months’ rent in advance, a treat that many landlords cannot turn down. There are also those who sublet the house. We’ve seen some cases where the tenant has raised a plasterboard wall so that the home has more rooms and can be rented. Experience helps us detect fraud attempts, however, it is enough to tell the interested party that we will consult the databases of tenants delinquent so that we do not return to never know about them again. It seems very difficult to find the perfect tenant, right …?
Should I hire a real estate agent to find the perfect tenant?
In our case, we offer the management and administration of rental housing. First, we prepare the property for rent and start the perfect tenant search We publish the property on various web platforms and visit the property of potential future tenants who have taken an interest in the property. In addition, if the owner so wishes, we can also take care of the administration of the property . That is, small repairs, leaks, etc. On the other hand, it is increasingly common for homeowners to want to take out non-payment insurance, which usually accounts for 5% of annual income and offers 12 months in the event of non-payment, coverage for possible damage or the cost of procedures. judicial.