It is routinely agreed that tenant referencing is essential to ensuring high-calibre renters move into a property. From landlords to letting agents and to the renters themselves, everyone enjoys more peace of mind knowing that tenant referencing was carried out.
But what are the best ways to reference a renter? There’s more than one way to find out if someone is suitable to move into a property. The question is, which one of them is the most suitable for your letting agency?
In this guide, we’re bringing you the lowdown on tenant referencing. Read on and find out everything you need to know about the best tenant referencing options with our solutions and ratings for which process works best for verifying renters.
The DIY approach?
Sometimes rolling up your sleeves and getting your hands dirty is the best way to go. But not necessarily with tenant referencing. While you can conduct renter checks without any help, the process is time-consuming, and it’s probably not a sustainable approach.
You would need to contact the renter’s previous landlord, current employer and carry credit checks to see if they’re financially viable to move into a property. The DIY approach might be one of the most cost-effective strategies financially, but it’s far from ideal from a resources perspective.
Renter reference rating: 2/5 😒
Ask the landlord to do it?
If you’re looking to save a few pennies on renter referencing, then you could always ask the landlord to do it instead. It would save time, too, meaning you don’t need to go through the different stages of tenant referencing and credit checks.
Of course, the landlord may expect you to charge a lower fee for your other services. And, unless they’re very hands-on, there’s every chance that they won’t buy-in to the idea of carrying out references themselves.
Most landlords use letting agencies for the conveniences, with the ones who want to do the process on their own typically opting for online-only agent or advertising the property without any help. While the theory of asking a landlord to carry out referencing might seem like a good idea. In practice, it’s unlikely to won’t work.
Renter reference rating: 1/5 🙁
Use a professional referencing company?
Using a professional referencing company is the traditional method for renter referencing and the one used by most agents. Renter checks usually come back between a few hours or days, with everything from previous living history to current credit covered.
Using a professional referencing agency comes at an extra cost, however. With the tenant fee ban meaning that renters no longer pay for referencing, it’s up to the agency or landlord to cover the costs. Doing so might seem like a somewhat of a sour deal considering you can technically do it in-house for free.
Renter referencing rating: 3/5 🤨
Work with a rental platform?
The final option involves using a rental platform that gives you access to verified renters. Marketing your great properties to hundreds and thousands of pre-vetted renters means you can remove the stress of tenant referencing while also speeding up the lettings process.
And that’s just what we do here at Movebubble with Instant Booking. Renters were already after a secure and simpler way to rent a home, one that didn’t include aspects like physical viewings. We started the trend with Home Walkthroughs, after a 50% surge in demand for ways to view a property without visiting it.
Now we’re continuing things with Instant Booking, which lets renters find, view and secure their new home with just a few clicks. While this is fantastic news for renters, it’s also a big deal for letting agents. We verify all renters’ affordability before they can rent a home, which means you can be safe in the knowledge that renters have already passed referencing.
So, not only do you get the benefit of access to more than 500,000 renters, Home Walkthroughs and tons of edit options for your properties. You also market your properties to renters who are verified and move-in ready.
Renter referencing rating 5/5 😄
Renter referencing, the best way
So there you have it: the options on the table for referencing renters. It’s great having the choice, whether you go down the DIY route, employ the services of tenant referencing companies or work with us here at Movebubble. But we know which one we would choose 😉