As a landlord, you know the importance of filling your rental units with tenants who will do what they are supposed to do. Pay the rent on time. Keep the place clean. Avoid large parties with an abundance of noise.
The trick for most landlords is deciding who will be the right kind of tenant. How to find tenants who will do the things they are supposed to do and follow their lease?
The key is tenant background checks. It helps you, as a landlord, to learn about your potential tenants and how they have behaved in the past. Read on to learn about the importance of tenant background checks to find the best tenants for your rental units.
1. Rental History
If you are about to rent to a tenant, it can be helpful to learn about their history as a renter. Who have they rented from before? What kind of tenants were they? Did they pay their rent on time?
Most importantly, you want to learn if any legal action was necessary for them as a tenant. Has it been necessary to evict them in the past?
2. Criminal Background Check
Another important tenant screening to do is the criminal background check. You want to know if your potential renter has a criminal history. It may be important because it might mean that the renter has limited employment or income history.
If there is a concern for safety for the criminal background, you would want to know this too.
3. Verification of Identity
As a landlord, you also want to take the time to verify the identity of your tenant. If the renter is an American citizen, you can ask for a social security card, driver's license, or a passport.
If the renter is not an American citizen, you need to be assured they can stay in the country with either a work visa or green card. You want to be sure they have a legal precedent to remain in the country so your rent will continue to be paid.
4. Financial History
Also important for renters is to check their financial background. Most landlords want to get a credit check on their potential renters. Credit history is a good indicator of how well the renter will pay their rent and on time going forward. If they have a long history of not paying bills on time, the likelihood of suddenly paying on time is slim.
5. Employment Verification
Finally, as a landlord, it's important to check on your renter's employment status. The simple reality is that without a job, they will have a hard time paying their rent. You want to verify the renter is working where they say they are working. It also makes sense to learn how long they've been employed.
Using Tenant Background Check
Tenant background checks are important for landlords to learn information about their potential renters. It lets them know whether they can reasonably assume the person will be a reliable and safe renter.
Do you need help managing your rental property? Contact us today to learn more about how we can help you manage your properties and the renters that come with them.