Tenant screening is a process that landlords and property managers use to evaluate the suitability of a potential tenant for a rental property. The goal of tenant screening is to determine whether a tenant is likely to be a good fit for the property and to minimize the risk of problems such as nonpayment of rent or damage to the property. There are various methods and tools that landlords and property managers can use to screen tenants, including reviewing credit reports, criminal background checks, and rental history. Some companies offer Tenant Screening Center services to help landlords and property managers with the process.
How to shortlist a tenant.
There are several steps you can take to shortlist potential tenants for your rental property:
- Create a list of criteria: Decide on the qualifications you want in a tenant, such as income level, credit score, rental history, and employment status.
- Review applications and resumes: Carefully review the applications and resumes of potential tenants to ensure they meet your criteria.
- Check references: Contact the references listed by the potential tenant, including previous landlords, employers, and personal references, to get a better understanding of their reliability and suitability as a tenant.
- Run a background check: Consider running a criminal background check to ensure the potential tenant has no history of violent or illegal behavior.
- Schedule interviews: Schedule in-person or virtual interviews with potential tenants to get a better sense of their personalities and to ask any additional questions you may have.
- Make a decision: After reviewing all the information and conducting interviews, choose the tenant that you believe will be the best fit for your rental property.
It’s important to keep in mind that tenant screening should be done in a fair and consistent manner, without discrimination on the basis of factors such as race, religion, national origin, gender, or disability.
How to choose a tenant selection service.
There are a few things you should consider when choosing a tenant selection service:
- Reputation: Look for a tenant selection service with a good reputation in the industry. You can ask for references from other landlords or property managers who have used the service, or check online reviews.
- Services offered: Consider the specific services that the tenant selection service offers. Some services may only provide credit and background checks, while others may offer a full range of screening services, such as employment verification and rental history checks.
- Cost: Compare the costs of different tenant selection services to ensure you are getting a good value for your money. Keep in mind that the cheapest option may not always be the best choice.
- Compliance with fair housing laws: It’s important to choose a tenant selection service that complies with fair housing laws and does not discriminate on the basis of factors such as race, religion, national origin, gender, or disability.
- Ease of use: Look for a tenant selection service that is easy to use and provides timely and accurate results.
- Customer support: Choose a tenant selection service that offers good customer support, so you can get help if you have any questions or issues.
What to look for in a tenant selection report.
A tenant selection report typically includes information about a potential tenant’s credit history, employment history, rental history, and criminal background. Here are some things to look for when reviewing a tenant selection report:
- Credit history: A tenant’s credit history can be a good indicator of their financial stability and ability to pay rent on time. Look for any red flags, such as a high level of debt, late payments, or bankruptcies.
- Employment history: A stable employment history can be a good sign that a tenant will be able to pay rent consistently. Look for any gaps in employment or job hopping, which could be a cause for concern.
- Rental history: A tenant’s rental history can give you an idea of how they have treated previous rental properties and whether they have a history of paying rent on time. Look for any evictions or complaints from previous landlords.
- Criminal background: A criminal background check can help you determine whether a tenant has a history of violent or illegal behavior. Keep in mind that some states have laws limiting the types of criminal offenses that can be considered when screening tenants.
- Additional information: Some tenant selection reports may include additional information, such as the tenant’s income, rental preferences, and contact information for references.
It’s important to keep in mind that tenant selection reports should be used as one tool in the tenant screening process, along with other methods such as interviews and reference checks.
