Mistake #1: Failing to Screen Consistently
Consistency is the cornerstone of effective tenant screening, yet many fail to apply uniform standards across applicants. When emotions or personal biases influence your decisions, you risk overlooking quality tenants or facing Legal action, which property owners and managers strive to avoid. Federal laws prohibit discrimination in housing, and a mistake during screening, like inconsistent criteria, can trigger costly lawsuits. To mitigate this, implement a standardized screening process that ensures compliance, promotes fairness in the application process, and shields your business from legal complications, fostering trust in your screening approach.
Mistake #2: Not Checking the Right References
Another common mistake during screening is failing to verify the correct references. As part of the application process, you should request personal and professional references from prospective tenants in addition to previous landlords. Employment history, financial references, and personal character references are all suitable types of references to request. Then, be sure to contact all of these references and ask the right questions.
For example, you could ask them how long they’ve known the applicant, their job performance, how well they care for their current living space, and if they’ve noticed any red flags. Depending on the type of reference, you should customize your list of questions accordingly.
Mistake #3: Overlooking Credit and Background Checks
A third big mistake in tenant screening is failing to run credit and background checks on the applicant. Both assessments are relatively standard in rental markets nationwide, but some property owners and managers still miss this opportunity to learn valuable information about their renters.
Credit and background checks tell a story about a person and can help you identify possible red flags, such as prior evictions, criminal history, or financial difficulties. While not every negative item on a credit report or a background check is an automatic cause for rejection of an application, these checks do give you what you need to make an informed decision about your next tenant.
Mistake #4: Ignoring Rental History
Disregarding Rental history is a serious mistake a rental property manager can make, as it predicts a renter’s likely future behavior. Reviewing the previous landlord’s report can reveal lease agreement violations, including late payments, property damage, or other concerns. Even with disagreements during the rental period, this information offers insight into how applicants behave as a renter. Failing to check Rental history is a mistake rental property owners and managers make during the screening process that can lead to significant issues, so always verify past rental behavior.
Mistake #5: Inadequate Communication with Applicants
Not communicate clearly and consistently with the applicant is a frequent mistake rental property owners and managers make during the screening process, harming the renter’s experience. The application process can be a stressful experience for renters, leading to negative feelings if expectations are unclear. To foster a positive relationship with your tenant, be transparent about your application requirements, timelines, and how your decision will be communicated. Consistent communication, sustained throughout your association, helps avoid misunderstandings that could result in negative reviews, supporting tenant retention and your reputation.
Get Your Screening Process Right!
By adopting these tips and strategies, you can avoid the top mistakes rental property owners and managers make during the screening process, enhancing tenant retention and helping boost your reputation as a landlord. Thorough tenant screening ensures reliable tenants.
For a streamlined screening process, rely on Real Property Management Midlands’s expert property management services. Optimize tenant screening in Irmo with our compliant approach. Contact us online or call 803-403-8838 for professional support today!