There is no denying that success and failure of property depend on your tenants. Even the 80/20 landlord relationship states that 20% of tenants face 80% of landlord grievances.
So as a professional property manager, one of your key roles entails proper evaluation of tenants. Tenants’ testing is an important part of a risk-based approach that involves looking at a person’s background before a transaction.
In addition, it is the only way to ensure that they will treat their property as their own and pay the rent on time. So, to keep the rules and regulations in place, here’s how to go about it.
Start by looking at their rental history
When it comes to renting a place, your main goal should be to check and verify that their rental history is accurate according to their request.
Rental history gives you an idea of the honesty and trustworthiness of the tenant. In addition, it will also tell you how the tenant has been with landlord. You should not only be in touch the current one, but also check the details from the previous ones as well.
Set your standards up front
When you start reviewing tenants as a professional property manager, set the appropriate application process.
For example – you can recommend tenants with a credit score of less than 500, or you may not choose someone with pets. Keep those standards in place and evaluate tenants according to them.
It will help you get rid of the candidates who do not agree with your conditions and will also facilitate the process.
Assure tenants with credit and income report
If you want a zero delay when it comes to rental payments, see their salary and credit report.
A person’s income may look great on paper, but you should check his or her past reports, credit card debt, verify income with bank statements, and give his or her employer a call. These reports show the financial status of the employer and indicate signs of financial concern if any.
Background and criminal report checks
Background and crime reports give you the opportunity to collect tenant’s information about their current and past behaviour and more. You can also refer local, regional, high, and magistrate’s courts to verify reports.
Have an appropriate checklist
The tenant screening process may also be informal. Being a professional property manager, you can have a checklist of questions to collect and build an employer analysis. The main purpose of this process is to have a clear plan and conditions for your property to remain in good condition.
After reviewing all the applications, its time you make your decision. Now review all your rules together, get the understanding of expectations and make sure he/she understand his or her full responsibilities. And to do all these steps, the tenant screening process is one of the best property management tips to keep going.
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