Should I pay tenant finders fee?

[John B.]

Is it a good idea to offer a $500 finders fee to anyone who refers tenants that sign a lease for my SFR? I would like to offer this to anyone, friends and real estate agents. Pros/cons or issues? (monthly rent ~2600). If you don't like this idea, please offer me your alternative ideas or best practices. Thank you!

[Sharlene Mulchandani]

@John B. The idea of a finders fee is great, since you will get a lot for prospects/applicants for your property. In my opinion giving away $500 is quite a bit, even though your property is a nicer home with premium rent. I'd suggest starting off with about $300 and see how that works.