How landlords can find qualified tenants

Q. I kept a condo that was in the family and I am putting a lot of money into fixing it up after a renter did a ton of damage – many times what the security deposit will cover. How should a landlord screen applying renters to get a reliable and clean tenant?
— Frustrated

A. An income-producing property can be terrific for your long-term financial plan, but as you’ve seen, it only takes one bad tenant to make being a landlord a big headache.

There are no guarantees here, but it’s important to understand what qualities you’re looking for in a tenant to help you make the decision.

First and foremost is their willingness to pay the rent, said Bill Connington, of Connington Wealth Management in Paramus.

“Most landlords require a tenant to earn at least three times the monthly rent, a tenant who pays on time, they have a good job with long-term employment,” he said.

He said you should look for tenants who care about cleanliness and you should always ask for references.

“When you call references ask about how they are with payments, managing their money and how responsible they are,” he said.

Connington said another way to help with the screening process is by listing the amount of rent and your location in your advertising.

“This will help to weed out unqualified tenants and wasted phone calls,” he said. “Unfortunately, after all this screening you still may get an undesirable tenant, but by screening as much as you can and asking the right questions you can help to reduce that risk.”

Email your questions to ask@njmoneyhelp.com.

Karin Price Mueller writes the Bamboozled column for The Star-Ledger and she’s the founder of NJMoneyHelp.com. Click here to sign up for the NJMoneyHelp.com weekly e-newsletter. Like NJMoneyHelp.com on Facebook and follow it on Twitter.