BlueKey Property Management

PART 3 of 7 - Perform a Background Check

As part of your tenant screening checklist, be sure to run a thorough background check. There are several companies that can provide detailed reports using the prospective tenant’s social security number. The tenant background check should check for information such as:

Public records – Avoid tenants that have been sued in the past for unpaid child support, unpaid rent or any other financial issue.
Eviction – If someone was evicted from their previous residence, be wary about allowing them to rent your investment property.
Criminal records – A tenant with a serious or long criminal record could expose you and other tenants to danger.
Related: What Landlords Need to Know About Filing an Eviction Notice

However, don’t be quick to dismiss a tenant just because they have a criminal record. Ask yourself the following questions before making a final decision:

How old was the tenant at the time of offence?
What were the circumstances surrounding the matter?
When was he or she released?
Were there any rehabilitation efforts?

PART 2 Of 7 - HOW TO SCREEN TENANTS

2. Ask for an Application

The next step after pre-screening is to request all the potential tenants to submit an application. The application form should cover all the important details you will require from the tenant. This includes personal information, employment information, and financial information. Be sure to mention that a credit check might be required. Some of the details that should be captured in the form are:
* Previous and current employer
* Current income level
* Contact information for previous landlords
* Financial data such as credit cards and bank accounts
* Number of occupants (including pets)
* Personal references

The success of any income property is determined by the kind of tenants that live there. If you have good tenants, you will not have to worry about the safety of your rental property or the payment of rent. However, a bad tenant will be a source of endless stress. To avoid trouble, you need to learn how to screen tenants for a rental property properly before letting them sign a lease. You can either carry out the screening yourself or hire a property management company This will enhance tenant retention and make owning a rental property less of a headache. This week we will provide you 7 essential steps on how to screen a tenant.

1. Pre-Screen Potential Tenants
Even before asking potential tenants to send applications, look for ways of pre-screening them. One of the best ways of doing this is by checking their social media accounts. If the tenant displays undesirable behaviour on their Instagram or Facebook accounts, they are probably not a good candidate for your investment property. Besides social media, you could simply Google the name of the prospective renter. You might just stumble on some information which could prove helpful.
Consider asking applicants a few pre-screening questions or even adding them to the application. The answers to these questions may save you the hassle of doing a full background check.