Because of the current state of the economy, more people are being forced to rent since owning is becoming exceedingly expensive. This creates a situation with most landlords where they have to choose from a pool of extremely qualified tenants. Follow these five guidelines to choose the right tenant for you and your property:
Always check references! This is one of the most important steps you can take when choosing a tenant. Call each reference and have a list of questions handy to ask them about the potential tenant.
Perform a credit check. With this part of choosing a qualified tenant, run a credit check and see their bill-paying history, their income to debt ratio, any past convictions (bad checks, etc.), or if they have ever filed for bankruptcy. Houserie.com allows you to choose from a variety of credit and background check options.
Run a criminal background check. Since a tenant’s criminal information is open to public record, you can search to see if they have any criminal history (theft, violence, etc.) to make sure the tenant is a safe choice. Houserie.com not only offers a national criminal background check, but also an eviction check to see whether a tenant had been previously evicted.
Check out the prospective tenant’s overall lifestyle. On their application, note if they have moved around frequently, or if they change jobs a lot. Steer clear of tenants who do either, since they might break their lease and move after just a few months. Or such a tenant may suddenly become unemployed again, thereby unable to afford their rent payment.
Go over the rental contract with each potential tenant. Doing so will cut down on misunderstandings and miscommunications in the future.