Referencing a tenant is extremely important. It allows you to see how they have conducted themselves in previous tenancies and allows you to make an informed choice as to whether they will make a good tenant in your property.
We have a tenant referencing service which is available to all of our members who want to carry out references on any potential tenants both in and outside of the Gateshead area. We have an agreement with a local company, Van Mildert, who will, once instructed by us, carry out the following checks:
They will check if the applicant has any County Court Judgements or have been bankrupt or insolvent.
They will check the amount that the potential tenant claims to be earning.
Previous Landlord/Letting Agents checks
They will establish if there have been any previous problems – this is extremely important as if they have not conducted themselves properly in previous tenancies, they are unlikely to do so in yours.
Will make an assessment of the applicant’s ability to afford the rent. Arrears are the number one reason for a landlord having to seek possession of his property. Determining if the tenant is able to afford the rent before the tenancy starts saves a lot of heartache for both landlord and tenant later.
Right to Rent
The application form asks the necessary questions with regards to the right to rent. The tenant must advise on the application what form of ID they have. The Landlord will be informed what documentation they must see and take a copy at the signing of the agreement, Right to Rent checks are mandatory and landlords MUST carry these out. As well as being liable to a large fine for not doing so, the Government is looking to bring in a further Immigration Bill which would allow them to impose a prison sentence on landlords who fail to carry our Right to Rent checks.
Cost & Process
While there is no cost to the landlord for carrying out the referencing there will be a non-refundable charge of £35.00 to the tenants which will be payable prior to the referencing commencing, unless the member wishes to pay the reference fee themselves.
This is a small price to pay for peace of mind, knowing what your tenant is like prior to the start of a tenancy, and could save you hundreds in possession fees if you take on a problem tenant and have to seek possession through the courts to end the tenancy.
We have a dedicated administrator who will oversee the referencing. As a landlord you can email or telephone them direct with the following information.
- Full address of property to be let
- Length of tenancy required
- Applicants full name, telephone number and email address
Once the administrator has the information they will contact the tenant with various options to make payment. Once payments has been made Van Mildert will be instructed to commence the referencing process. They will contact the tenant direct. Once the reference has been completed, the results are emailed to you for you to make an informed decision whether or not you wish to accept the tenant.
The turnaround for the references varies, as it always depends on how quick employers, previous landlords etc. come back, but you will be kept informed of the progress and what information is outstanding.
The details of the administrator are as follows: