Did you know that the percentage of renters in Charlotte, NC., who fell behind on their rent reached a high of 30% in July of 2021? While much is to blame on the circumstances involving Covid-19, this is a daunting statistic for a landlord who relies on rent payments as an income.
To ensure that rent is paid on time, you need to find reliable tenants using a screening service.
Read on to find out how to pick a tenant screening company to locate the perfect renter for your property.
You should first understand the tenant screening process to find out how your next renter will be chosen. This includes having up-to-date records using reliable screening technology.
Also, ask how long the screening takes so that you have time to review it and choose a tenant.
Reporting Cost Structure
When comparing tenant screening costs, you may have many options. Look for the option that best suits your needs. For example, you might want to pay for one screening or you have several tenants or properties.
Inquire about discounts on bulk reports or inclusive packages that include screenings for a fraction of the cost.
Your options for screening services may include one or many different kinds of reports. One tenant screening mistake to avoid is relying only on one report to get a snapshot of potential renters.
Be sure the screening company includes the following information for each tenant:
- Income and Salary Verification
- Renter History: Evictions, Rent Payments, and Lawsuits
- Credit Report
- Criminal Background
The information found in these reports will help you determine if the person is able to pay rent on time and keep your property in good condition while not posing a risk to neighbors.
State Compliance and Tenant Rights
All tenant screening services are required to abide by state compliance and nondiscrimination laws. For example, North Carolina doesn't allow landlords to refuse tenants based on personal factors like race or religion. Therefore, you need to understand what information is presented to you if you decide not to rent to a particular person.
You also need to ask the screening company if it follows the Fair Credit Reporting Act, which protects the rights of the tenant.
Tenant Placement Services
One feature to look for in a screening company is tenant placement. Not only will the company screen tenants, but they will also choose the best one to live in your rental.
This takes away the burden of sorting through several reports trying to understand your options.
Experience and Reputation
Lastly, you want a company with tenant screening experience. You can ask for a sample report to see if it contains the necessary data to pick a tenant.
Also, reading online reviews will confirm the company's reputation for finding reliable tenants.
It's Time to Pick a Tenant Screening Company
Now that you know how to pick a tenant screening company, you need to get started so that you have enough time to find a tenant. If your property is currently occupied, you should start screening for a new tenant as soon as they give you a notice.
Begin by contacting us to discuss our process and screening options.