A solvency assessment is an essential tool for minimizing risks in rental agreements. It provides financial security for both the landlord and the tenant, facilitating a stable and trouble-free contractual relationship.
What is a solvency assessment?
It is a comprehensive assessment of the prospective tenant's financial situation, focused on determining their actual ability to meet the rent and other associated expenses.
Key Points:
- It analyzes whether the candidate has sufficient income to cover the rent.
- It is recommended that the tenant retain at least 60% of their net income after paying the rent.
- Debts and loans are considered, subtracting these amounts from the total disposable income.
Documentation and Verification
To ensure a reliable analysis, it is essential to request and review documentation that proves the candidate's financial stability.
Common Documents:
- Recent pay stubs.
- Tax returns.
- Proof of pension, if applicable.
- Invoices or contracts for self-employed individuals.
- Consultations with specialized databases such as the BDMI (Database of Delinquent Tenants).
Cost of the solvency assessment
The price may vary depending on the issuing entity.
- Example: The idealista solvency certificate costs €9.90.
- Alternative: The landlord can perform a basic verification on their own, although this carries a risk of document fraud.
- If default insurance is purchased, the insurer usually handles the solvency process.
Payment Responsibility
The responsibility to pay for the assessment may fall on:
- The landlord, as part of the selection process.
- The tenant, if agreed upon by the parties.
- The insurer, if a default insurance policy is associated.
Advantages of conducting a solvency assessment
- Minimizes the risk of default and future disputes.
- It allows you to filter candidates and save time on unnecessary visits.
- It provides greater peace of mind and predictability for both the owner and the tenant.
Conducting a creditworthiness assessment is not only a preventative measure, but also an investment in the stability and success of the rental agreement. It ensures that both parties begin the relationship with clear expectations and a solid financial foundation.
