Currently, there are 43.3 million houses on the market for rent in the U.S. So, it's important that you have a tenant properly screened so that they know exactly what the process is for moving into your property.
There are some common mistakes in tenant screening, however. We're here to tell you what they are steps you can take to avoid them. That way, you can be sure that your tenant will make the move without any issues.
Read on for more.
1. Not Understanding the Credit Score Needed
You should always understand the previous credit score of your potential new tenants as part of the tenant screening process. It's always best to check their credit score to ensure they're a good candidate.
When you establish a credit check, you can find out if they are able to make payments on time. If it shows up well, then you could be on the right track to finding the tenant that's right for you. This is a great way to avoid mistakes when tenant screening.
2. Avoiding Checking Their Past Rentals
Carry out background checks on tenants to find out what their rental history is like. If you don't, you could end up with a tenant that's troublesome.
As a property management service, it's your duty to take the time to screen tenants well. This includes checking out how they've got on with renters in the past, took care of the property, and if they have references to back this up.
3. Screening Too Many Potential Tenants
You can spend too much time screening tenants. You don't need to screen that many.
Just nail it down to a couple of ones with a credit score that's respectable and a history that shows they've got a good reputation. Take it one case at a time and find the tenant that's right.
4. Being Unrealistic About Approximate Income
If you don't take their income into consideration, it could cause financial problems down the road for you. Missed payments are possible, which of course, you'll want to avoid.
Ask them for a statement showing what their salary is. This will help demonstrate if they'll be able to meet the payments on time.
5. Not Asking the Right Questions
You want to ensure that equality is established between all applicants. This means you should avoid asking focusing on questions to do with their ethnic background, religion, or sexuality.
Instead, focus on pre-screening questions that relate to whether or not they're a great candidate for renting.
6. Not Taking a Security Deposit
Not requesting a security deposit shows you're not taking it seriously. At this stage, you're still unsure if they could damage your property.
You should always ask for a security deposit, just in case. You never know how a new tenant will act or what the outcome will be when they move in.
Avoid Mistakes in Tenant Screening With Our Professional Property Management Services
The tenant screening process is important as it sorts the wheat from the tares of who could be living in your property. Now, you know some of the biggest mistakes in tenant screening. Then, you can avoid them from happening and have a tenant that's a fit for you.
Want help from an expert property management service in Los Angeles so that you can have the tenant of your dreams? Contact us today! We'll be happy to help you find the one.
