| Most real estate investors buy properties, with | | | | wait at least 30 to 45 minutes before leaving. If |
| the intent to rent them out to tenants over a | | | | the tenant arrives, show him or her around the |
| long period of time. This type of real estate | | | | house while explaining the terms of the lease. |
| investing provides true passive income. But finding | | | | Perform A Credit Check - The next step in |
| and choosing a tenant (known as Tenant | | | | tenant screening involves obtaining a copy of the |
| Screening) can be a challenge if you don't know | | | | prospective tenant's credit report. There are a lot |
| what to look for. | | | | of companies that perform credit checks on |
| Finding Prospective Tenants - The first step of | | | | tenants for a small fee (usually around $10 to |
| the tenant screening process is to find people | | | | $35.00). This fee should be paid by the |
| interested in renting your property. This is done | | | | prospective tenant, and should also be |
| by advertising your property for rent. There are | | | | non-refundable, even if you don't choose to rent |
| many different ways you can advertise your | | | | the property to that person. Usually these |
| property for rent, but the most basic and | | | | companies give you a application which the |
| affordable ways include advertising in your local | | | | prospective tenant fills out. You then fax that |
| newspaper or on the internet, putting a "For | | | | application to the company, and they will fax you |
| Rent" sign in the window or yard, and distributing | | | | back a credit report, and deduct the fee out of |
| flyers. Each advertisement should include basic | | | | your bank account or charge it to your credit or |
| information about the property (number of | | | | debit card. Credit scores of renters tend to be |
| bedrooms, bathrooms, type of property, etc.), | | | | around 520 to 630. If you find a prospective |
| your name, and your phone number. If you don't | | | | tenant with a credit score greater than 700, jump |
| have time to answer the phone all day, you can | | | | up high in the air! These landlord service |
| let people who are interested leave a message on | | | | companies can also do background checks for an |
| your answering machine. It is important to return | | | | additional fee. |
| every call as soon as possible. | | | | Contact Previous Landlords - Talk to landlords |
| Arrange A Time to Meet - The next step in | | | | who have previously rented to the prospective |
| tenant screening involves meeting the prospective | | | | tenant. Ask them if the tenant was ever late with |
| tenant at the property. When returning a | | | | his or her rent payments, and if he or she |
| prospective tenant's call, ask him or her if they | | | | damaged the property in any way. Don't call |
| would like to see the property, and what would | | | | current landlords. If the prospective tenant is |
| be a good time for them. Arrive at the property | | | | currently renting a home, do not call the tenant's |
| 15 minutes for your scheduled meeting time, just | | | | landlord. The prospective tenant could in reality be |
| in case he or she arrives early. Make sure to give | | | | a problem, and his or her current landlord could lie |
| the prospective tenant your cell phone number, | | | | to you, just to get rid of him or her. |
| just in case he or she becomes lost and needs | | | | Tenant screening is easy, and after screening a |
| directions. Sometimes prospective tenants arrive | | | | few tenants, it becomes very routine. |
| late, or they don't arrive at all! A general rule is to | | | | |