39% of landlords are using tougher screening practices. 18% say they reject more than 75% of applicants. Only 12% never reject any.
No matter how strict your process is, it's essential to run a background check on every potential tenant. Learning about them protects your business and bottom line.
Read on to learn how to run a background check on a tenant in Bradenton, FL.
Get Consent
A tenant background check is essential, but you can't do it without written consent.
You must create a form for the tenant to sign asking for their permission. It should include their identifying information such as their:
- Name
- Address
- Social Security number
- Date of birth
It also needs to be clear about what they're consenting to. Does it include both state and federal inquiries? What types of checks does it include? Do they need to pay anything for it?
Gather and Verify Information
Part of knowing how to screen a tenant is knowing what qualities to look for. They should exemplify traits such as responsibility, cleanliness, financial stability, and long-term commitment.
Are you wondering how to find a tenant with all of these traits? A background check is the best option.
The results should come back in a few minutes to a few days. It may include information such as the tenant's:
- SSN trace
- Rental history
- Eviction history
- Credit history
- Employment history
- Sex offender search
- Global watchlist search
- Criminal history
Reputable professional tenant services provide accurate results. Call the tenant's previous landlords or employers for further verification.
Use the Information
Knowing what to do with the information you receive is perhaps the most important part of learning how to run a background check on a tenant. Review each one on a case-by-case basis.
Is their criminal record extensive enough to make them dangerous? Does their financial history suggest they won't pay rent?
Take the proper steps once you've decided. Notify any applicants you've approved and send them a lease agreement to sign.
Know the Law
The Fair Housing Act prevents landlords from discriminating against potential tenants. You can't choose to run a background check on them only because of protected categories such as:
- Race
- Color
- Religion
- Gender
- National origin
- Familial status
- Disability
Florida law adds other protected classes. These include pregnancy, age, marital status, and HIV/AIDS status. Learn about the relevant local and federal laws before you start so that don't end up in court or have to pay fines.
Find a Tenant Screening Service
Screening means managing piles of documents while staying legally compliant. The process becomes much easier if you hire a professional tenant background check service.
They use the best possible methods and platforms to verify and gather all the necessary information. This reduces vacancies and evictions, saves time and money, and helps avoid legal issues.
Screen the service as well. Research them to make sure that their reports are legal, comprehensive, and accurate.
Get Help Figuring Out How to Run a Background Check on a Tenant
Learning how to run a background check on a tenant is an essential part of being a landlord. Digging into their background makes sure they're responsible and safe. Hiring professionals makes it less daunting.
Our property management services can help you find great tenants and maximize your income. Contact us at Gulf Coast Property Management today.
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