One of the more frequent topics that comes up on the LandlordsNY Forum is tenant screening. While it’s obvious that having a reliable means of screening is vital to prevent bad tenants from moving into one of your units, sometimes there is no way of predicting such behavior. Conversely, just because a tenant may have made mistakes in the past does not guarantee that they will be difficult in the future.
While the best solution would probably be a crystal ball, this technology is unfortunately still a few years away. The good news, however, is that the next best thing has already been invented. It is a free service (for landlords) that takes the risk out of renting, and it’s called the Insurent Lease Guaranty Program.
Unlike more traditional guarantees where you ask the tenant to have a trustworthy family member or friend serve as the guarantor on the lease, Insurent’s lease guaranty is institutional; think institutional mommy & daddy. The institution backing the lease is Argonaut Insurance Company, a global underwriter worth more than a billion dollars. That’s basically like having someone from Forbes’ richest people in the world sign off as the renter’s personal guarantor.
It is ideal for younger individuals and immigrants who have yet to establish U.S. credit, as well as for students, freelancers, and people who are self-employed. All landlords have to do is sign up each of the buildings they own under the Lease Guarantee Program (Do it now – click here!). The application takes just a few minutes to fill out and the service is entirely free. Tenants then apply via Insurent’s website and pay a fee directly to Insurent. This protects you from any potential rent loss.
It may not protect you from every conflict with your tenants, but it will ensure that the rent is always paid.
LandlordsNY members have a direct line of communication to the COO Jeffrey Geller via the Experts portal. Click here to ask our Lease Guaranty Expert a question.
*Sponsored by Insurent.