When you’re renting out your property to prospective tenants, you already know it’s in your best interest to have some sort of tenant screening done in order to hedge your bets and make sure you’re matching the right people with your homes or apartments. Most landlords and property managers rely on a pass/fail credit check at the very least, while others choose a more well-rounded screenings service that includes a full credit report, eviction history, and criminal background check.
The background check in particular can tell you a lot about a person.
Here are a few things you should know when you order one.
- They’re excellent for verifying an applicant’s information.
A background report is one of the best ways to double check the information an applicant supplied you on their rental application. It’s likely that most of your applicants will be straightforward and give you accurate information, but it’s always possible that someone may try to fudge a few facts to better their chances. With the report in hand, you can double-check that the details they provided were accurate.
- You can include them as part of your application screening fee paid by the tenant.
It’s possible that you’ve been hesitant to order a background check for every applicant because you’re concerned about cost, but you needn’t be. With the right screening service, a background check report is included in the cost of the screening, and that cost is paid by the applicant. For the benefit you get by including the report in your screening process, it’s well worth it. Most fees are not a deterrent for quality applicants.
- They can help you read between the lines.
When you get a background report back and check it against the application and find everything to be in order, you may want to take one more look to be sure. Someone’s background check can give you insights into who they are as a person, including former residences, possible criminal history, and even employment history. While everything may technically seem in order, you might notice that they move every few years or have a minor conviction on record. While this isn’t necessarily a red flag, it’s worth consideration.
- They deter people who have something to hide.
If you want to reduce your workload and receive fewer applications from flakey or questionable tenants, insisting on a background check can do you big favors in this area. When an applicant has something they want to hide because they think it might hurt their chances, odds are good they’ll move on to another rental when they see that you screen your tenants.
- Background checks aren’t usable in every state.
You should always check your legal laws with your personal counsel to determine whether or not it’s legal for you to use a background check when selecting tenants for your properties. In some cities and states, like Seattle, there are laws in place that don’t allow the use of criminal background due to concerns about housing discrimination. Be aware whether this applies to your area.
There’s plenty more to understand about background checks and our experts will be happy to discuss them with you if you need additional guidance. For help in selecting the right tenants for your properties, we recommend our RentalConnect program. RentalConnect offers property owners and landlords a great alternative to the expense of full tenant screening. This service requires no on-site visit, sign-up, or membership fees, making it extra convenient. The $34.95 service fee is paid by the applicant. Available 24/7, RentalConnect is fast, easy, secure, and delivers reports needed to make an informed decision, including a credit report, a national criminal search, and a national eviction search.
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