Tenant Placement Service

Tenant placement services help landlords find and screen qualified tenants without providing ongoing property management.

You market vacant properties, show to prospective tenants, screen applicants thoroughly (credit, background, rental history, employment), place qualified tenants, and hand over to landlord for ongoing management.

This serves landlords who want to self-manage but need help with the placement process.

Success requires marketing to attract tenant applicants, thorough screening processes and tools, real estate licensing (required in many areas), customer service for landlords and applicants, and understanding fair housing law.

Pricing typically includes one month's rent or flat fee ($600-1,500) for placement, potentially charging landlord or tenant application fees, possibly add-on services (lease preparation, move-in inspections).

Placing 2-3 tenants monthly at $1,000 average fee = $2,000-3,000 monthly revenue.

Startup costs include real estate licensing if required, tenant screening software and services ($50-200 monthly), marketing budget for vacant rentals, business formation and insurance, website and listing services, lockbox and showing supplies, and education on fair housing and screening totaling $3,000-10,000.

Building client base involves networking with real estate investors and landlords, partnerships with property management companies for placement-only services, real estate agents referring investor clients, marketing to owners of rental properties (public records), targeting owners with vacant properties, offering placement to self-managing landlords, and building reputation for quality tenants and fast placement.

Revenue comes from placement fees per tenant placed, potentially add-on services (lease creation, inspections, renewals), consultation for landlords, or eventually transitioning some clients to full management.

Operating costs include tenant screening services, marketing for vacant rentals (Zillow, Facebook, signs), insurance, continuing education, potentially showing time and mileage, and administrative time.

Challenges include competitive market with other placement services, landlord expectations for quick placement vs finding quality tenants, regulations on application fees and screening, fair housing compliance critical, limited ongoing revenue (one-time fees), and liability if tenant doesn't work out.

Success requires thorough screening preventing problem tenants, fast turnaround reducing vacancy, marketing effectively to attract quality applicant pool, educating landlords on realistic expectations and fair housing, potentially specializing in property type or area, systems for efficient showings and screening, and building trust through consistent quality placements.

Tenant placement serves landlords wanting control but needing help with difficult placement process.