Are you a property owner with intentions to rent your space out to a tenant? Here are nine traits to strive for to earn a reputation as a 'good' landlord.
What is a landlord?
The term 'landlord' evolved from the Olde English language of the 1400's, obviously meaning the ruler, or owner, of a geographic space. Now, the term landlord, also known as the lesser, refers to the owner of a property who rents out his space to someone else in return for rent money. That person is labelled as a tenant, or might also be called a renter or a lessee.
This terminology may also become more complicated when the owner of a space is not necessarily a 'landlord'. They may be a co-owner of the property, or have hired a Property Management company to act in the role of a landlord on their behalf, with or without a live-in superintendent.
Regardless of who this person is, there are many requirements to perform a landlord's job successfully. Here are nine traits of a good landlord:
9. A good landlord has read and understands the Residential Tenancies Act, and all related laws, such as Building and Safety codes. They have researched and obtained all of the proper licences and permits required to legally rent out their space. They are aware of the Ontario Landlord-Tenant Board (LTB) and know of the proper forms to file in the event that they may need to serve an eviction.
8. In order to protect, if not defend the rental property, a good landlord needs to have a personal respect and care for the space. With this mind frame, a natural due diligence is triggered when selecting the potential renter, because they don't want to see the space destroyed. A part-time Property Management company employee, who is just following orders, may rent the space out to the first person who applies, and not consider the repercussions of potentially letting in a 'professional renter'.
7. A good landlord uses their mind and their business sense, rather than their heart, when deciding who to rent their property to. It may be difficult to turn down a single parent with three small children, but if they are not able to demonstrate a regular reliable income, then what is the purpose of renting out the space if not for financial gain?
6. A good landlord is choosy about who they rent to, so ensures they ask the right questions. For example, do you have any pets? As per the Residential Tenancies Act and the related common law, it is illegal for a landlord to prohibit a tenant from having pets. Therefore, rather than place an unenforceable 'no pets' clause in the lease, it is better to ask the potential renter upfront about this issue. Then this becomes a negotiable topic rather than a tenant being secretive about hiding a pet after they have moved in.
Other things to ask about (that don't necessarily have to be written into the lease):
Do you have many visitors?
Do you need parking? For what vehicle(s)?
Do you have a lot of things you need to store?
Do you enjoy gardening?
Do you consider yourself as a clean person?
Are you a smoker?
5. A good landlord openly communicates with their tenants and develops a mutually-respected relationship. After the new tenants have moved in, how about welcoming them to the neighbourhood with flowers and a bottle of wine? A really great landlord might print off a copy of the signed lease and enclose it into a booklet for their tenant with other useful information, such as appliance manuals, the garbage pick-up special, where the water shut-off valve is located, a map of the neighbourhood, etc.
4. A good landlord physically goes to the property on a regular schedule. Regular maintenance tasks, such as changing a furnace filter, or checking smoke alarms or fire extinguishers, should be completed on a three-month cycle anyway. As per the Residential Tenancies Act (RTA) they ensure to give their renters at least 24 hours if not a few days notice of when they plan to enter. By physically visiting the property, the landlord can see if there are any concerns like damage, leaks, etc. and they can take pictures of these for reference when they discuss them with their tenants.
3. A good landlord knows that communicating with a tenant in writing is the best option so that all parties have a record of what was said. Whether via text message, e-mail, or old school letter-mail, if something is written down, it becomes potential physical evidence that could help clarify a situation later. By speaking on the telephone or in person without a witness, there is a risk of misinterpretations or misunderstandings.
2. A good landlord understands that obtaining a thorough background check on a potential tenant is an investment. Sometimes a great tenant will decide they don't want to rent a property because they don't want to have to go through the hassle of obtaining a credit report to show. For only half the amount of one month's rent, a thorough background check report can not only show a landlord who not to rent to, but also help support someone who would be a great tenant for them.
By not getting a thorough background check completed and allowing a random renter to enter their space, the landlord is at a higher risk for future financial losses.
1. A good landlord will have a clear and concise Residential Tenancy Landlord-Tenant Lease, specific to that property, that is reviewed and executed by all parties involved.
By treating the role of a landlord as a specific job, and completing the responsibilities required to perform this role properly, a person can find a great long-term renter and financial success.
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Agent K Private Investigations offers both a thorough potential tenant background check service and can draft you a re-usable Landlord-Tenant Lease. www.agentkpi.ca
