Tuesday, April 8, 2025

Key tips to avoid squatting if you rent your home.

Squatting is a much more common problem than traditional squatting and can cause significant headaches for landlords. However, with some preventative measures, it is possible to minimize the risk of encountering problematic tenants. If you are thinking of renting out your property, follow these tips to protect yourself.

Check the bad debt file

Before signing a contract, it is advisable to check if the potential tenant is listed in a bad debt file. If they are listed, it is a warning sign that could indicate previous problems with non-payments.

Evaluate their financial solvency

Analyzing the tenant's ability to pay is key. Check their income, job stability and other financial factors that guarantee that they will be able to assume the monthly rent payment without difficulty.

Be wary of unusual advance payments

Some squatters use the strategy of offering several months in advance to gain the landlord's trust. However, on many occasions, after that first payment, they stop paying the rent. The law establishes that a deposit and additional guarantees can be requested, but it is important to be alert to suspicious behavior.

Take out non-payment insurance

Rent non-payment insurance is an effective tool to protect against delinquent tenants. In addition to covering possible non-payments, many insurers carry out a prior analysis of the candidates' solvency, helping you to select a reliable tenant.

Ask for references from previous rentals

If the tenant has previously lived in a rental, asking for references from former landlords is a good strategy to ensure their payment history and behavior. A reliable tenant will have no problem providing this information.

Consider professional rental management


A company specialized in rental management can make it easier for you to select the right tenant, reducing risks. These companies carry out background checks, solvency studies and take care of the administration of the rental, giving you greater peace of mind.

Establish a fair and competitive price

Setting a rental price in line with the market will attract solvent tenants and reduce the risk of future problems. Excessive rent could scare away good tenants and leave the property in the hands of less recommendable profiles.

Make sure that the utilities are in their name

It is essential that the electricity, water, gas and internet contracts are in the tenant's name. This not only prevents the owner from being linked to possible debts, but is also proof of commitment and responsibility on the part of the tenant.

Conclusion

The best strategy to avoid squatting is prevention. A good filter when selecting the tenant, the support of insurance and professional advice can make the difference and guarantee a safe and problem-free rental. By following these tips, you will be able to rent your home with greater peace of mind.



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