Even though you might not think about it in so many words, the fact of the matter is that any property you rent out is an asset. Because you naturally want to protect any assets you have — including your rental home(s) — you need an effective screening process. Here are some tips to help you do that:
1. Look at Rental Payment Histories
No one facet of tenant screening is going to give you a complete look at a potential client but their rental payment history is a good place to start. Not surprisingly, a positive rental payment history is often indicative of a tenant of high quality. Not only are these people more likely to pay their rent on time and in full, they are less likely to damage the property.
2. Ask About Renters Insurance
Many people who own a rental property still don’t require that their tenants purchase renters insurance — but they should! Damages that aren’t directly caused by the tenant can result in thorny situations that put the value of your asset at risk. In addition, tenants who purchase renters insurance are more likely to take care of your property. Ask if they’ve purchased renters insurance in the past and if they plan to do so again. If so, it can help mitigate any unexpected damages they might face due to smoke, water, fire and the like while also ensuring that your asset is protected.
3. Check Their Credit
A potential tenant’s credit history not only clues you into if they’ll be able to pay their rent on time, it can also give you insight to how they approach life. A poor credit history could indicate that a person struggles to maintain continuity in their life. This could translate to a situation where they take out their frustrations on your home if they should need to be evicted or some other stressful situation occurs.
Tenant screening is a delicate process that must be completed thoroughly. Its complexity is one of the most common reasons why property owners to turn Real Property Management Las Vegas to effectively manage their rental homes.