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6 Common Tenant Screening Mistakes and How to Avoid Them

Posted on by Nicole

Have you just started new property management or inspection business? Or are you thinking of starting one?

Given the current situation of the world’s economies, having your own business is a good idea.

However, to set it off, you need to familiarize yourself with the most common mistakes, especially in the tenant screening process. Otherwise, you will get nowhere!

Today, we are going to talk about common tenant screening mistakes we want you to look out for. Let’s dive into today’s post, shall we?

Table of Contents

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  • 1) Not Establishing Minimum Credit Score
  • 2) Ignoring Rental History
  • 3) Not Realistically Estimating Income
  • 4) Screening Out Too Many Tenants
  • 5) Making the Wrong Type of Inquiries
  • 6) Not Requiring a Security Deposit
  • Successfully Avoiding Common Tenant Screening Mistakes

1) Not Establishing Minimum Credit Score

It’s important to establish a minimum credit score for your potential tenants. You can run a credit check on your potential tenants to get a better idea of their creditworthiness. You can check this provider for more pointers on establishing a credit score. 

2) Ignoring Rental History

Ignoring rental history can be a huge mistake, as it can give you a lot of insight into a potential tenant’s character. If a tenant has a history of not paying rent on time or has been evicted in the past, there’s a good chance they’ll do the same to you.

The best way to avoid this mistake is to take the time to check the rental history of any potential tenant.

3) Not Realistically Estimating Income

Skipping this step can lead to financial problems down the road for both the landlord and the tenant. To avoid this, it’s important to ask for proof of income, such as pay stubs or tax returns, when screening potential tenants. This will give you a better idea of how much rent they can actually afford to pay.

4) Screening Out Too Many Tenants

To avoid too many background checks for tenants, landlords should consider each application on a case-by-case basis. When in doubt, landlords should err on the side of caution and give applicants the benefit of the doubt.

5) Making the Wrong Type of Inquiries

When interviewing potential tenants, landlords usually inquire about protected characteristics. These characteristics include race, color, national origin, religion, sex, familial status, and disability.

The best way to avoid this is to ask questions related to the qualifications for renting. You’ll want to know things like employment history, credit score, and rental history.

6) Not Requiring a Security Deposit

When you don’t need a security deposit, you are saying that you don’t care about your property. This does not only give your tenant a free pass to damage your property, but it also sends a message that you are not serious about being a landlord. To avoid this, be sure to require a security deposit from all your tenants. 

Successfully Avoiding Common Tenant Screening Mistakes

As a landlord, it’s important to avoid common tenant screening mistakes such as not establishing a minimum credit score, ignoring rental history, and not requiring a security deposit to find the best tenants for your property. Take the time to screen correctly and land the best tenants.

As for something else helpful for you, be sure to check out the rest of our blog site for more!

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