HOW TO HAVE A SQUEAKY CLEAN TENANT LEDGER!
One of the key factors, when choosing a new tenant for a new rental property, is the tenants rental history. The best way to do this is with a reference from your previous agency which always includes your tenant ledger.
What is a tenant ledger?
A tenant ledger is the official record of all payments to your file. This includes not only rent but any invoices such as water, cleaning, carpets etc.
The main trigger when looking at a prospective tenant ledger is the arrears section. Some ledgers have a separate column for any arrears, this is a great indicator of if the tenant pays on time or not. Ideally, this column is empty, however if the arrears are often and irregular this would be a red flag to a new agency. This tenant does not pay rent on time and hasn’t set up a regular direct deposit or payment.
If the arrears column shows that the tenant is paying 2 days late continuously, this might not be an issue as it’s a regular payment but it does show that the tenant doesn’t pay on time or in front so if there are other tenants that have no arrears, they may be chosen over a tenant even with minimal or low arrears.
Our tips for keeping your ledger clean:
- Find out your paid to date and ensure rent is paid at least 3 days prior (ideally 1 week in advance looks great)
- Set up a regular direct deposit through your bank
- Make sure to use the correct references (unlabelled payments might not be credited to your file if not references correctly)
- Check your receipt for the paid to dates
- Pay all invoices before the due dates
- Pay extra rent to get in advance – even $10 per week can build up to get you in advance if paid regularly.
Property managers are people too and we understand that life and dramas happen. However, knowing that the roof over your head is your priority payment will prove that you are going to be a great tenant.
Don’t forget to use your tenant portal or property me app to check in on your rental payments at Blackbird and Finch.