Advice for finding the right tenant for my property

mdebets

murphaph wrote: »

Currently the LL in Germany is only obliged to achieve 0.2% interest on the deposit. Given that even rubbish savings accounts offer 1%+ currently you can see the LL is not expected to do more than the bare minimum. Not what I'd define as investment tbh and in reality it's also a loan to the LL albeit not interest free but at very low rates which the LL can easily beat on deposit. So in Ireland it's an interest free loan to landlord and in Germany it's a loan at very low rates, currently 0.2% as I said above.

While the interest at the moment is indeed rather low, it's still better than nothing.
The more important point however is that in Ireland, the deposit is a loan, which the LL can use as he see fits, he only has to repay it or partly repay it at the end of the tenancy.
In Germany, the deposit is still property of the tenant, so the LL can only use it for what is legally allowed and if either the tenant agrees to it or he has a court order that allows it.

djimi

Grandpa Hassan wrote: »

Not really. Every single one of my very good tenants, without exception, has expected to not pay the last month. Some have asked, some have just cancelled the DD. When asked to pay, half of them have ignored me.

I only ask for a month, but wish it was the market standard to ask for 6 weeks. I hope it is moving that way as LLs are left completely exposed to tenants using their deposit as rent

Tenants will continue to withhold the last months rent while there is the risk of the landlord unjustly retaining the deposit at the end of the tenancy. Its not going to improve by increasing the deposit; all that will happen is that the tenant will withhold two months rent instead.

Its a vicious cycle of mistrust thats not going to improve until we have a system for deposits that ensures both sides know that the money is held safely, and that there is no chance of the money being stolen at the end of the tenancy.

Dravokivich

Someday wrote: »

So you expect a Landlord to hand over a property worth 200K- 400K with 1 months rent, they then thrash the place and they don't pay the last months rent, how is the landlord then?!

I had people in my place for 6 months and the state of the toilets, sink etc was disgusting, they where a professional couple!

Anywhere Ive rented has always been taken care of by me and those I lived there with. But this kind of idea sends me crawling back to my folks place becuase I just wouldnt be in a position afford to rent anywhere. It is absolutely unreasonable to expect so much as a deposit. All because you may have had an issue with a previous tenant? As I mentionex earlier, if you need support as landlord put together a lobby group and represent your needs to TDs. All you are suggesting now attacks your potential customers.

If I was to go in debt, id rather risk it on a mortgage than a loan for a deposit to rent a place.

The_Conductor

Dravokivich- unfortunately not all tenants are as good as you are. Similarly- there are landlords who behave impeccably. Unfortunately there are also a significant number of tenants and landlords who act the maggot.

We need to introduce a deposit lodgement and insurance scheme to protect both tenants and landlords.

Tenants will then have no excuse not to pay their last month (or two- or longer) rent.

Landlord's need to be able to expedite the eviction of tenants in cases of non-payment of rent- where at the moment some tenants are playing the system, in the knowledge it can take over a year to evict them- and there is precious little the landlord can do to chase them afterwards- as they will claim to have no assets.

We also need to accept that when we have a proper deposit lodgement/insurance scheme running- that tenants and landlords will not get their money back on the day the tenancy terminates. In the UK- if there is no dispute- it normally takes 6-8 weeks to have your deposit returned. If there is a dispute- it will go to tribunal, and can take up to 6 months. Landlords are sorted after the tenant- aka at least 8 weeks, possibly up to 6-7 months when disputed.

As it stands- and whether people are willing to admit it or not- the balance of law is vastly in favour of tenants- and a minority of tenants are milking it for everything its worth- which in turn is giving decent honest tenants, a bad name- and causing landlords to seek additional assurances.

I can hand over heart not think of a single landlord who is renting for over 5 years, who hasn't been badly burnt by at least one tenant. Some have been burnt spectacularly (as in serious structural damage to apartments- of course there is the famous case in Galway which necessitated reconstitution works on a row of apartments/townhouses- but that is extreme. Certainly damage in the tens of thousands- is far from unheard of.

We have a horrible idea of renting in Ireland- and stupid notions about what is and is not allowed. The whole point of the 2004 Act was to try to nail many of these misconceptions for once and for all, and to set out, in clear English, the rights and responsibilities of both tenants and landlords.

The fact that the PRTB take literally months to initiate cases, and even when they do make determinant rulings- can take a year or longer to enforce them- makes a mockery of the Act itself- and could reasonably be used by both landlords and tenants- as a mechanism for stating, logically, that the PRTB, as a body, is unfit for purpose.

We have an almost unique attachment to property in this country- quite unlike almost any other country. Renting is seen as a stepping stone to buying one's own place- where in most countries there is no stigma attached to property rental- and the costs of ownership are such, that it is quite attractive to rent as an alternate. If/when we jack up property tax to international norms- perhaps we may begin to rethink property ownership- however as it stands- our mindset alone, is sufficient to doom the entire sector.

We need change- and we need to bust stereotypes- but we also need a broad consensus that both bad tenants and bad landlords are out there- and both groups need to be stomped on, as they are tarnishing the otherwise good reputations of everyone else.

murphaph

To be honest we need a register of rogue tenants & landlords but such a thing is hard to be of practical use without a national ID card as part of the process. Most people in Ireland don't want that of course. They think the government needs ID cards to control them lol.

The_Conductor

murphaph wrote: »

To be honest we need a register of rogue tenants & landlords but such a thing is hard to be of practical use without a national ID card as part of the process. Most people in Ireland don't want that of course. They think the government needs ID cards to control them lol.

We've started down that road- with the Public Services Card. Put a photo on it- and we're sorted. You don't need to be in receipt of social welfare to have one of these cards- they were trial ran on all the civil servants after all- who didn't seem to have any issue using them as identification cards. Don't see why they couldn't be rolled out further- perhaps put some biometric information on them as a security measure- and you're sorted.

As for a rogue landlord/tenant database- there have been a few informal ones knocking around for years- they don't tend to last long. People are litigious- and at the slightest whiff of being sued- people tend to throw in the towel. We can't even mention rogues here- after a few cases- and I'd hazard that this forum alone generates at least one threat to our site owners per month.Thankfully most fizzle out- not all do though.

Grandpa Hassan

murphaph wrote: »

To be honest we need a register of rogue tenants & landlords but such a thing is hard to be of practical use without a national ID card as part of the process. Most people in Ireland don't want that of course. They think the government needs ID cards to control them lol.

There's no rogue database in the UK as far as I know. I'm not sure that's the way to go.

Rather the system should get fixed so there is deposit protection, independent inventory clerks and standard procedures for professional cleaning after a tenancy. LLs don't get their hands on any of the deposit, which is lodged directly into the deposit protection account with the agent. Once all that is in place it becomes the norm to use an agent to both let and rent properties, as it is in the UK.

And therefore if you rent one privately you just take your chances.

Generally speaking, in the UK, flatshares are done privately, and apartment rents are done through agents, with all those rules in place. Wouldn't seem to me to be too hard to build that system

But tenants would have to get used to 6 week deposits, and not getting it back before they put down a deposit on a new place. Thus for a period of a month, having 12 weeks deposit out the door. But that's the price to pay for deposit protection and independent inventory clerks

battser

All you read in this thread at this point in time signifies the importance of references. As the LL the best thing you get to do is decide who takes the property. When I do viewings I always probe and ask questions in a subtle manner that tells me most of what I need to know about the person AS a person but obviously people can put on acts but you have to make the most informed decision on who you get in and this is a big part that enables you to do that.

Second to all of that from my own personal experience I have certain criteria I look for as do most others and unless all Parties moving in are in full time work then there is not a chance they will get the place. 2 chances of getting rent paid on time and in full is a whole lot better than just the 1.

OP without going down the agent route I have a few suggestions I would do in your situation. Ask the family member if they are willing to spend the time on the viewings and get them to be proactive at that stage as then any potential tenants will know they are the LL also. This will make any issues easier for him/her should they arise.

Regards the deposit I am not sure about these rates but myself I just do the one month. I would take advice here and go 1.5 and tbh don't be scared by that. This is another criteria that will help you get the right(ish) tenants as they will not bat an eyelid for a place they really want.

Ensure you ring all references before accepting any offers and also ensure that people know 100% that rent allowance is something that is being phased out past as you don't want that causing a dispute.

The right renters want the right landlord that comes with their future home and impressions from the Off are key. Be polite but always be firm and confident. Ask the questions you want to know. Gather as much info as you can.

The Spider

Currently there are 1,494 places to rent on daft for Dublin, a city with a population of 1.5 million, I think it's safe to say that there wouldn't be too much trouble getting 8 weeks deposit out of potential tennants when supply is so limited.

April O Neill II

Grandpa Hassan wrote: »

Irish tenants normally just don't pay their last months rent

That's not true.

The_Conductor

April O Neill II wrote: »

That's not true.

Increasingly tenants see it as their right to do this- and almost exclusively, without consulting the landlord in advance. Some landlords may not mind- for others, esp. any who suspect they will have to make good damage over and above normal wear and tear after a tenant vacates the property- it is an issue.

As it stands- it is in breach of the 2004 Residential Tenancies Act- as technically, the tenant is not paying their rent- and it is not the landlord's prerogative to assume they can take it from the deposit.

In real terms- there is damn little a landlord can do to combat this- as any costs and effort incurred chasing the tenant would likely be far greater than they could possibly hope to recoup.

It is an abuse of the system by tenants. Many will point out (quite rightly in lots of cases) that they would have trouble getting their deposits back- if they didn't do this- but its a case of two wrongs don't make a right.

Chattastrophe!

It's just not at all realistic for the average renter.

Say if I'm renting a place now for the first time. I somehow scrape together two months rent to use for the deposit, and move in.

A year from now, I decide it's time to move. If I do things by the book, I'm not going to get my two months deposit back until after I've moved out. So, in order to secure my next rented home, I need to pay over three months worth of rent (two months deposit, plus a month in advance) with no guarantee of when/if I'll get my original two months deposit back.

So now I've got four months worth of rent tied up in deposits. I know of very few people who could afford this, so you're creating a situation where tenants feel they have no other option but to use the deposit as the last two months rent. No one benefits here - the landlord is just as exposed as they would have been with a one-month deposit, and the tenant will probably not get a reference.

Thankfully it doesn't seem to be a reality yet in Ireland ... I haven't seen anyone posting here yet saying that they've actually paid over more than one months deposit. Although there are plenty of landlords who'd be very eager to take it!

By the way, I've never used my deposit as the last month's rent without prior agreement from the landlord. No one I know does that. I don't think it's fair to say that it's seen as the norm - it certainly isn't the case, in my own experience.

djimi

Chattastrophe! wrote: »

Thankfully it doesn't seem to be a reality yet in Ireland ... I haven't seen anyone posting here yet saying that they've actually paid over more than one months deposit. Although there are plenty of landlords who'd be very eager to take it!

There have been a few no doubt, and in high value rentals its not uncommon for the deposit to be quite large, but outside of certain parts of Dublin Im guessing that there are very few landlords who are going to get more than the standard one months rent as deposit, and I dont see that changing any time soon unless the rental market dries up completely to the point where supply is seriously below demand and landlords can name any terms they desire.