Step 7: Onboarding New Tenants

Becoming a landlord involves more than just collecting rent; it's about building a positive and professional relationship with your tenants. This guide—based on information from Fannie Mae—offers steps on onboarding new tenants and setting the stage for a successful tenancy. 

Establishing Landlord and Tenant Relationships 

Developing and maintaining a professional relationship with your tenant is crucial. Here's how you can establish and maintain a good rapport: 

• Establish and Communicate Rules: Clearly outline your property’s rules and regulations. Make sure your tenants understand these from the start, and be consistent in enforcing them. 

• Understand Your Responsibilities: Know what is expected of you as a landlord. This includes making timely repairs, maintaining common areas, and ensuring the property remains safe and habitable. 

• Conduct Regular Inspections: Periodic inspections help ensure the property meets safety standards and is being well-maintained. Consult with your lawyer about local requirements on providing notice to tenants before entering the unit for inspections or repairs. 

• Keep Records of All Activities: Document any significant activity, including repairs, tenant interactions, and any issues that arise. This will help you keep track of important details and provide a clear record in case of disputes. 

• Maintain Open Communication: Regularly check in with your tenant. This helps them feel supported and keeps you informed about any issues that might need attention. 

The first step to a productive relationship starts with both parties having a clear understanding of the rental or lease agreement. When your tenant moves in, review the key terms and any property rules or regulations. Consider providing a move-in letter that includes emergency contact information, procedures for repairs and maintenance, and other important details. Have the tenant sign and date this document, and keep a copy for your records. 

Holding a Tenant Orientation 

To help tenants settle in, consider holding an orientation at the beginning of the tenancy. This session can include: 

• A Tour of the Premises: Show the tenant around the property, highlighting common areas and any specific features they need to be aware of. 

• Demonstration of Appliances and Systems: Provide instructions on how to use appliances, security systems, heating, and air conditioning systems. 

• Review of Local Services: Inform tenants about garbage collection, recycling requirements, and other local services such as newspaper delivery. 

• Internet and Cable Information: Offer details about available internet and cable services, as well as nearby conveniences such as grocery stores and public transportation. 

Inspecting the Property 

Conduct a joint inspection of the rental unit with your tenant before they move in. This walkthrough helps document the current condition of the unit and its appliances. Both you and the tenant should review the inspection checklist for accuracy, sign and date each page, and keep a copy. 

Updating the checklist as repairs are made can help track maintenance over time. Documenting what was repaired, when it was done, and having both parties initial any changes can prevent disputes over the security deposit when the tenant moves out. 

Establishing a Tenant File 

Maintaining detailed records for each tenant is important, not only for tax purposes but also in case of legal actions. A comprehensive tenant file should include: 

• The rental application, along with credit, employment information, and references. 

• The signed lease or rental agreement, along with a copy of the property rules and regulations. 

• The signed inspection checklist and move-in letter. 

• Dates and amounts of all financial transactions, including the security deposit and rent payments. 

• Records of repair requests and completed repairs. 

• Any complaints made by or about the tenant. 

• Copies of all correspondence between you and the tenant. 

Keeping these records organized and up to date helps ensure you are prepared for any issues that may arise during the tenancy.