Why Landlords Should Include a Credit Tenant Check When Screening Applicants

1. August 24, 2017 Why Landlords Should Include a Credit Tenant Check When Screening Applicants Being a landlord can be tough. You’re expected to be on top of a million things relating to the safety, security, and comfort of your tenants all at the same time. From plumbing and electrical problems, broken steps, regular maintenance and inspections, and making sure that tenants follow the rules, all these things fall within the purview of the landlord’s management tasks. Page | 1

2. And then there’s the matter of collecting rent and making sure that everyone pays on time. Sometimes, there will be a tenant who will forget to pay the rent on time, or even worse doesn’t have enough money to pay the rent. This can be a problem for the landlord in the overall scheme of things because the rent money is what will be used for the maintenance and other expenses of the property. This is why it’s crucial for landlords to do a tenant credit check before accepting any applicant. Here are some ways that will show how doing a credit check can benefit your property business. Avoid Delinquent Payers The last thing you’d want as a landlord is to have a tenant who is not paying on time. Often when a tenant is late they have to pay a late fee as well which does not help their financial situation. Sometimes it will end up with the tenant not being able to pay the rent at all. Ultimately, if the tenant is unable to come up with the amount overdue after several chances for extensions of the due date, the landlord may be compelled to force the tenant out of the property through eviction. This, of course, is a very difficult decision to make, especially because inability to pay rent already implies financial problems. This means that kicking out the tenant when they are financially ill-equipped is going to be an added blow to them. However, at the same time, you as the landlord are also responsible for ensuring that you run your property business fairly. The tenant did sign a contract agreeing to the stipulation that they will be paying on time, and that failure to do so will merit consequences. It also wouldn’t be fair to the other tenants who are doing their best in order to meet this requirement. Apart from that, you are running a business, and you need funds to keep the place up and running, and well-maintained. Delinquent tenants can give rise to financial problems, rendering you unable to fulfill your responsibilities and provide quality service to the other tenants. Page | 2

3. Criminal Record or History Another advantage of conducting a comprehensive background check on a prospective tenant is that you can determine if they have had any previous run-ins with the law. Again, safety and security in your rental property are extremely important, especially when there are other tenants living in the same building. If this is compromised by a tenant that you did not do a background check on, other tenants might get very upset and file a lawsuit. You wouldn’t want a registered sex offender living in your neighborhood, so why would you rent your property to one? At the end of the day, you need to be a responsible landlord. A company like Houserie can help you conduct a tenant background check so you can choose the best possible tenants for your property. About Houserie Inc. Houserie, Inc. offers fast and efficient online tenant screening reports that are not only secure, but also affordable. We believe in the importance of transparency between landlord and tenant resulting in a more trusting relationship between them. Tenant screening also helps keep properties safer and more secure. Sources: Why Landlords Do a Credit Check (and What They Look For). TheSimpleDollar.com. How Landlords Can Check a Tenant’s Credit Report. NOLO.com. Page | 3