Running a successful rental property involves more than just purchasing property and renting it out. You need to make sure that the people renting your properties are acceptable to you as your tenants. Your renters will likely have characteristics or attitudes you won’t know by simply looking at their information on the rental application form. Thus, tenant screening is a very important stage in your process of accepting renters.
Many rental property owners opt to handle the screening on their own to save cash. But beginner or inexperienced property owners might be unaware of certain practices, rules or etiquette that could leave them facing lawsuits from renter discrimination.
If you’re uncertain about how to pick out the best individuals from your pool of renter applicants, it would be best to hire renter screening services in Florida. To give you an idea of how these services sort out applicants, here are the common techniques experts use to legally screen tenants.
Screeners verify a potential tenant’s income and credit reports to ensure their capacity to pay rent. Income verification is done typically by looking at pay stubs, bank statements, and tax returns. Sometimes, screeners even contact the renter’s employer. The renter’s overall credit score, rather than his/her involuntary debts, is the best reflection of his/her financial capability.
Criminal Background Check
A criminal background does not disqualify a tenant. You, however, need to be aware of the renter’s criminal history and how it might affect other tenants. This also ensures your property is not used for illegal activities, which might land you in trouble. There are some tax subsidies in different states for renting property to a convicted felon.
This tells you how well a tenant has interacted with other landlords in the past. Any issues with past landlords might warrant an extra security deposit. Some landlords might not divulge much, but their information gives you a general idea of what you can expect.
It is a delicate balance to weed out undesirable tenants without scaring potential tenants away. The above techniques are well-balanced to help you manage your renting risk without scaring renters off. You can have the screening done before showing off your property or before the tenant signs a lease.