Getting reliable and suitable tenants is every landlord’s dream. Unfortunately, most forgo their dreams by conducting sloppy tenant screenings or doing away with the process altogether, resulting in poor tenant-landlord relationships and expensive evictions.
It is easy to see why tenant screening is considered vital before signing a tenancy lease. Here is a list of benefits that come with screening tenants before leasing your building to them.
Understand tenants’ financial status
Rent tussles can be a landlord’s nightmare, and this can be avoided if you understand the tenant’s financial situation before committing to an agreement. If you are unsure of what to look for in a tenant’s finances, you can partner with a company that provides reputable tenant screening services and let their experts handle the hard stuff.
Legally, a prospective tenant should provide a full credit report before signing any deals. However, 79% of landlords prefer using credit scores as most clients have incomplete credit reports. If this becomes a recurring issue, it is wise to let expert tenant screeners take charge of the case.
Financial information gives you a clue on the likelihood of a tenant meeting rent expectations. Most landlords tend to ignore red flags such as student loan debts but will reject clients with credit card debts. Clients with large outstanding loans are less likely to make rental payments on time. It is wise to go slow on young tenants who have bad credit card history.
Maintain the integrity of your property
Apart from financial checks, screening services further offer background checks on prospective tenants. As a landlord, you wouldn’t want to harbor a fugitive or someone with a criminal record on your premises. Harboring a fugitive is punishable by law, while known criminals are likely to commit crimes on other tenants on your premises.
Screening services should conduct further checks on the tenant’s personal life and, if possible, communicate with their previous landlords and find out why they moved. Drug users and party throwers can interfere with the lives of other tenants on your premises. Tenant screening service providers use complex software with access to hundreds of federal files where they can conduct thorough background checks on individuals.
Keep your property in good shape
Some tenants are known to be destructive on rental premises. A quick screening identifies the prospects’ character and their likelihood to treat your premises with decency. Tenants are required to handle minor in-house repairs as needed and should not neglect your property. You can hire the services of a management company to monitor the condition of your premises.
Have peace of mind
Failing to screen your tenants can keep you on your toes even in the most inconvenient of times. Each day, you will be dealing with complaints from other tenants, handling unnecessary expensive evictions, or dealing with law enforcement agencies. Screening your prospects clears these obstacles as you can run a peaceful premise.
Screening prospective tenants is a legal requirement for all landlords as it ensures the safety and comfort of other tenants. Always partner with professional tenant screeners who have access to more expertise and information in the field.