Guide to finding good tenants | Alan Boswell Group

A landlord’s guide to finding and vetting good tenants

Finding a reliable tenant is one of the best ways to protect your property and rental income and to avoid unnecessary problems. Although no vetting process is perfect, thorough checks can reduce the risk of choosing a difficult tenant and help you make a fair, informed decision. 

That said, your tenant selection process must always comply with the law. In England, the Renters' Rights Act recently overhauled the rules for choosing applicants. In this article, we look at how tenant referencing and landlord insurance work together to manage risk, and how to stay legally compliant.

This content was factually correct when written but may not reflect current developments or information.

What defines a “good” tenant?

Simply put, a good tenant can afford the rent, pays on time, looks after your property, and lets you know when something goes wrong.

While you may have a clear picture of your ideal tenant – for example, someone in a certain profession or age group – you are still expected to treat all applicants fairly. Among your other landlord responsibilities, as of 1st May 2026, it is illegal to refuse someone a tenancy simply because they receive benefits or have children. Keep your selection process fair by applying the same affordability criteria to all applicants and considering all sources of income fairly. 

How to attract quality tenants to your property

Reliable tenants are more likely to be interested in a property that is well presented, accurately advertised, and managed by a responsible landlord. Below are three of our top tips for achieving this.

Kerb appeal and upkeep

Make sure the property is clean, secure, and in good repair before you take photographs or arrange viewings. Fix obvious maintenance issues, tidy entrances and outdoor areas, and check that fixtures and appliances work.

You don't need to redecorate for every tenancy, but a well-maintained property shows applicants that you look after it.

Where to list

Advertise through reputable property portals, a trusted letting agent, or suitable local channels. Recommendations from existing tenants and other landlords may also produce good enquiries.

Use recent photographs and describe the property accurately. Include the rent, deposit, location, availability, and important features so applicants can decide whether it meets their needs.

Be clear on policies

Explain your application process from the outset. Applicants should understand the rent, deposit, affordability requirements and checks they will need to complete.

Remember though that any restrictions must be lawful and appropriate to the property. Avoid blanket wording that excludes certain applicants and explain how you will consider requests involving pets.

Red flags to watch out for during viewings

A viewing isn’t just a chance for applicants to inspect the property. It also allows you to check that their plans match what they put on the application. For example, do the same people intend to live there? Does the proposed moving date make sense? Are they comfortable with completing the required checks?

Look for conflicting information or requests that could affect the tenancy. If you have legitimate doubts about a tenant, remember that spending extra time vetting them is much better than facing an eviction process later, especially since it can take six months or more. 

Communication red flags

Watch for changing accounts of who will live in your property, why a prospective tenant is moving, or when they want the tenancy to begin. Also be wary if they don’t answer straightforward questions or pressure you to accept a deposit and hand over the keys before referencing is complete. 

In some cases, there may be a reasonable explanation, so ask. A misunderstanding or language barrier is very different from someone deliberately withholding information.

Financial warning signs

The main financial warning sign is a gap between what an applicant tells you and what their documents show. For example, their stated income might not match their payslips, or an employer may be unable to confirm details given on the application.

Previous rent arrears, County Court judgments or other credit problems also need closer examination. They don’t necessarily make someone an unsuitable tenant. Find out what happened, how long ago it happened and whether the problem has since been resolved. Remember that if you have legal & rent guarantee insurance, your tenant will need to pass certain affordability criteria, so make sure you’re aware of the insurer’s terms before accepting a tenant.

Other red flags

Tenancy fraud is on the rise, so watch for identity documents that appear altered, as well as addresses or names that don’t match. If you can’t check a previous landlord’s reference, ask why. 

Give the applicant a fair chance to explain any discrepancy and watch for requests to skip checks in the verification process. If the answers and evidence still don’t add up, don’t feel pressured to proceed. Taking a little longer to find the right tenant is easier than dealing with problems once the tenancy has begun.

What to check when tenant referencing

Tenant referencing helps you gather evidence to confirm who will be living in your property, whether they can afford the rent, and how they have managed previous tenancies. 

You can carry out some checks yourself or use a professional referencing service. However, before deciding which route to take, check what your insurance policies require. For example, if you have legal & rent guarantee insurance, you may need to use a professional vetting service to avoid invalidating your policy. 

Below are the key things to check when referencing tenants. 

Affordability checks

An affordability check compares the rent with the applicant’s income and other financial resources to ensure they can realistically afford to live at your property. Depending on their circumstances, you might ask for payslips, bank statements, an employer’s reference, proof of benefits or pension income, business accounts, or evidence of savings.

As explained above, you should use the same test for every applicant. The important point here is to check the figures rather than take them at face value. Make sure the documents are recent, match the application, and show that the income is likely to continue.

If you have rent guarantee insurance, your insurer may use a set income-to-rent calculation, so check its threshold before agreeing to the tenancy. For example, for a legal & rent guarantee policy with Alan Boswell Group, your tenant must be able to afford two and a half times the monthly rent (three times if self-employed), but this can vary by provider. 

Credit history

A credit check will reveal any County Court judgments, insolvencies, and other financial information that may not appear on a prospective tenant’s application. It can also help confirm an applicant’s identity and address history.

You will normally need the applicant’s permission before running the check. Remember, the result only tells you what happened in the past. It cannot tell you whether the rent will always be paid, which is why you should consider this information alongside affordability checks and landlord references.

Previous landlord references

A reference from a previous landlord or letting agent can tell you whether the applicant paid their rent on time, looked after the property, and kept to the tenancy agreement.

Contact the referee directly and confirm they are who they say they are. A glowing reference is not much use if it has come from an applicant’s friend. 

Not every applicant will have a previous landlord. Someone leaving the family home or buying and selling property before renting may have no rental history at all. In that case, place more weight on the other checks rather than automatically treating the missing reference as a red flag. You may still be able to get a character reference from their employer or trusted community figure.

Right to rent checks

If your property is in England, you must check that every adult who will live there has the right to rent. This applies whether or not they are named on the tenancy agreement.

The type of check will depend on the applicant. You may need to inspect original documents, complete an online check using a share code, use an approved digital service, or contact the Home Office Landlord Checking Service.

You should carry out the check for every adult applicant. Keep a copy of the evidence and record the date of the check. If someone has a time-limited right to rent, you may need to check it again during the tenancy.

How much does tenant referencing cost?

Professional tenant referencing typically costs between £15 and £50 per applicant. The price depends on the provider and whether the service includes affordability, employment, landlord, and credit checks.

In England, the Tenant Fees Act 2019 prevents you or your letting agent from requiring a tenant or guarantor to pay a referencing fee. You must cover the cost yourself.

Protecting your income when things go wrong

Referencing can help you find a tenant who can afford the property at the start of the tenancy. However, it cannot predict a later job loss, illness, relationship breakdown, or other change that affects their ability to pay the rent.

Legal & rent guarantee insurance offers you a financial safety net if a tenant falls into arrears. Policies cover a proportion of the unpaid rent and legal expenses while you regain possession of your property. Most policies have specific tenant referencing and affordability criteria; failing to meet them could result in a claim being declined.

Find out more

To find out more about legal & rent guarantee insurance, contact our team.

Speak to us: 01603 216399

FAQs

Can I refuse a tenant who has pets?

You can’t refuse without considering the request.

Since 1st May 2026, tenants in England have had the right to ask to keep a pet, and you must not unreasonably refuse. Whether you have a valid reason will depend on the animal, the property, and any restrictions outside your control, such as a condition in a superior lease.

What should I do if a tenant fails referencing?

Find out why the application failed before making a decision. The result may be due to an error, missing evidence, or information the applicant can clarify.

You may be able to consider additional evidence or accept a suitable rent guarantor. Always apply guarantor rules consistently. If you ask for one simply because an applicant receives benefits, it could be considered discriminatory. Remember that if you have legal & rent guarantee insurance, the guarantor must also meet the policy’s affordability criteria.

If the applicant still does not meet your reasonable, published criteria, you can decline the application. Record the evidence and the reason for your decision.

Can I charge a tenant for referencing?

No. In England, you or your letting agent must pay the referencing cost. Requiring the tenant or their guarantor to pay it would be a prohibited payment under the Tenant Fees Act 2019.

A landlord’s guide to finding and vetting good tenants

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What defines a “good” tenant?