Where to Start When Screening Tenants
/Screening prospective tenants for a rental unit can feel overwhelming and daunting, but it doesn’t have to be. Doing a thorough screening is so important as a landlord so I’ve got ten tips to help you navigate through it.
Follow the Fair Housing Act
Get to know and follow the Fair Housing Act. You cannot discriminate against protected classes. Knowing this act will help protect you and your prospective tenants.
Have Clear Criteria
This goes hand in hand with the last one. Have set standards for tenants to meet and then treat every single applicant equally.
Get Signed Applications
Every single adult who will be living in the unit needs to fill out and sign a separate application. And you need to screen each of those applicants completely. It’s up to you if you charge an application fee.
Get Proof of Identification
Make sure you see and make a copy of a valid photo ID. Make sure they are who they say they are.
Background, Eviction & Credit Checks
Run checks on each applicant. A criminal history for me doesn’t automatically mean an applicant will be rejected. I do want to know thought if they’ve been convicted of violent crimes or property crimes like arson.
I also want to know if they’ve been evicted before. A recent eviction in the last 10 or less years is worrisome. If someone has been evicted in the past, it could happen again.
Credit checks are helpful too. They may make decent money, but is their debt so high that the can’t make the rent payments?
Rental History
Get information on the application for the last two places they have lived, including contact info for the landlords. Then call them and speak with them. Ask not only if they paid on time, but if they damaged the property, if they got their deposit back, if they had complaints against them, if they would rent to them again. You’re looking for a pattern of behavior.
Confirm Employment
Don’t just ask for recent paystubs and bank statements. Those are good, but also take the time to call their employer. They will confirm that they are still actually employed there and you can also ask them questions about the tenant’s behavior - are they on time, do they show up when scheduled, etc. I also like to as employers if they would rent to the person if they were a landlord. It’s very insightful.
Interview in Person
Meet your prospective tenants in person. Get to know them. Ask your questions of them while looking them in the eyes. It’s so helpful to meet in person.
Check Social Media
If you can find them, check the Facebook, Instagram, and Linkedin profiles of the applicant. Do they refer to crimes they’ve committed, do they follow hate groups, does their work history follow what’s on the application, etc.
Become Part of the Good Landlord Program
If you’re in Salt Lake City, become part of this program. It’s educational and has added help in removing tenants that are found to be breaking the law. It will also save you money on your business licensing.
Screening your tenants thoroughly and equally is so important as a landlord. Hopefully this tips will help make it easier for you.
If you have questions or you or someone you know needs help finding your next investment property, give me a call!