Tenant Credit Screening - 3 Common Mistakes Landlords Make

After the initial interview and property tour, theThey can let you know how prompt the tenant
next logical step landlords will usually take is havingwas at paying rent, whether they were ever late
the applicant fill in an application form. This formor whether they left without paying. You would
will give you as a private landlord your potentialalso want to know how well the tenant looked
tenant's name, social security number, currentafter the property.
contacts and the details of their previousAfter all, the last thing you want is a tenant
residence.racking up your bills due to growing cost of
The information provided on these applicationrepairs. Take note; if the tenant was evicted, it
forms is important in helping you conduct tenanttells you that not only are they rent defaulters
credit screening. With the consent of the applicantbut they most likely will be uncooperative when
you can screen your prospective renter. You alsoyou ask them to vacate the property.
want to consider an application fee to cover youCriminal record
cost of the tenant credit screening.Even though criminal background checks are
When you go to a credit-screening agency to runusually at the discretion of the landlord, performing
a credit check on the applicant, they will give youone can save you a lot of trouble in future.
a report that contains a comprehensive accountCriminal records are maintained as public
of their payment history. Included in this report isinformation, meaning that you can carry out
information on irregular payments, paymentthorough investigations yourself to determine if
defaults and any other red flags that can help youyour applicant that has passed tenant credit
determine if the applicant will pose a credit risk.screening has a criminal history.
Usually, when it comes to tenant credit screeningIn some states of the US, such a search can be
score's anything above 600 is considered goodconducted online. As a private landlord, you
with scores below 600 considered more risky.reserve the right of admittance onto your
While tenant credit screening may furnish youproperty - as such you can use this information
with enough information to shortlist applicants, it isto disqualify any applicant.
not comprehensive enough to help you make aVerifying employment
well-informed decision.Unlike tenant credit screening, verifying
There are three areas that private landlordsemployment is fairly straightforward. All you need
make the mistake of overlooking during tenantto do is to either visit or call their employer to
screening. These are previous rental history,confirm that the tenant indeed still works there.
checking if the tenant has a criminal record andDo not rely on the contacts the tenant may
verifying their employment information.provide as it is possible to collude with a third
Rental historyparty to corroborate false information. Instead,
Using the details the applicant provided in thecheck in the directory for the firm's contacts so
application form, you can contact their formeryou can be certain you are calling your
private landlord to get information on what typeprospective tenant's employer.
of a tenant they were. Previous private landlordsTenant credit screening is important but don't
are often an invaluable and reliable source ofmake the mistakes above as these other checks
information because they rarely if ever, have aare just as important for you to choose the right
motive to lie.tenants.