Why does vetting tenants matter? Read on to find out.
Vacancy in a Pembroke Pines rental property is an emergency. For that matter, being vacant in any rental property is an emergency. A vacant property bleeds cash in the form of lost rent and utility costs that could be passed on to the resident. Landlords know this and they feel the acute pain when the mortgage payment is due, but no rent is coming in to cover it. However, vetting tenants is an equally important aspect of renting.
Just like flinching from a hot stove, many do-it-yourself (DIY) landlords recoil from the pain and try to lessen the damage by placing the first resident who comes along. But at what cost? In many situations, this is like jumping from the frying pan into the fire. A poor tenant placement can mean rent still doesn’t come in to pay the mortgage. But worse, because the property is now occupied, a paying resident cannot be placed.
Cost also comes in the form of property damage caused by poor resident placement. Even though the cost of a poor placement is so great, a survey conducted by Boston-based research firm Liminality Inc. found that:
- Only 44% of DIY landlords conduct sex offender checks.
- Only 51% of DIY landlords conduct criminal background checks.
- 23% of DIY landlords sometimes or never conduct credit checks.
- Only 51% of DIY landlords contact past landlords for references.
The importance of vetting tenants
Good vetting may result in a vacant property for a couple more days. However, the cost of good vetting far outweighs the cost of a bad resident placement in your rental property. Without a thorough vetting process and standards, landlords can often rent to the wrong tenant. Sometimes, eager tenants may even pull out money and say, “Look, I will give you this if you let me move in.”
DIY landlords also get a higher number of unqualified applicants looking at their properties. Why? We have people call us and ask if we will accept someone with a felony. The tenant community knows that professional managers have a better screening process. Therefore, unqualified applicants try to find DIY landlords that they know likely won’t check their background.
Checks that Real Property Management conducts on every applicant.
- Verify Income greater than 3x rent
- Credit check
- National criminal check
- State criminal background check
- Sex offender check
- Previous Landlord references
Criminal activity committed in [STATE NAME HERE] does not show up on national criminal checks. Real Property Management Express has to make a special request at the courthouse to pull [STATE NAME HERE] criminal records. Even some professional managers don’t take this important step.
While vetting is important, equally important is how the checks are interpreted and used for qualifications. All qualifications must be fairly and equally applied so the manager or landlord doesn’t run afoul of fair housing laws.
How we can help.
Real Property Management Premier’s goal as a professional manager is to fill our clients’ Pembroke Pines, properties as quickly as possible with qualified applicants. While at the same time maximizing rents in the current market conditions and abiding by fair housing laws.
If you need help renting your Pembroke Pines property, Real Property Management Premier can help. Our property management professionals are experts at sourcing tenants and also conducting the necessary checks. Get in touch with us to find out how we can help you today.
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.