The Importance of Doing a Tenant Background Check

tenantriskverification March 30, 2012 0

In the real estate and rental industry, disputes also happen. The number one problem faced by landlords is irresponsible tenants including non-paying tenants as well as disruptive ones.

The best way for landlords to avoid tenant problems is to do a background check and see the history of the possible tenant. The background check gives crucial information to landlords that help landlords avoid experiencing these issues.

What is Included on Background Check

The landlord have options on what they want to check for, it may include:

• Financial Record

Check the financial capability of a possible tenant is important because not only will you know that the tenant has the ability to pay for the rent but it will save you a headache due to non-payment or always late payment.

• Identity Records

It is important for landlords to verify if the information given by the tenant is correct. Some tenants may use other people’s identity so you have to check this because you will need the correct identity of your tenant if ever they caused any issue.



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Eviction Records

This is another important factor when accepting tenants. You have to check if the tenant has previous evictions. This will safeguard you against future issues with the tenant.

• Employment Records

You may also check the tenant’s current employment status. They may have a great financial record but you didn’t know that the tenant was removed from his employment so he has no other means to pay for rent. That’s why it is important to check this record and verify that the tenant has a job.

• National Criminal Records

Checking for criminal records be it national or state is important because you can’t be sure, what if the tenant your accepted was a rapist and you and your family is living next door. He might harm you or your family and your other tenants. So to avoid this, you have to check for criminal records.

• State Criminal Records

The same with national crime records, the state criminal record only provides the criminal records that the tenant has done. Mostly it he or she has broken state laws.

Credit Records

This is already part of the financial records however this pertains to the credit records of the possible tenant. It shows the status of his or her credits.

• Previous Residence Records

This may also be part of the identification records, but if not, you can ask for previous residences records so you can try and contact his or her previous landlords and verify the behavior of the tenant.

Why Background Check

The main reason to do a background check is for safety. It is for the safety of the landlord from criminal acts and also from non-payment. Landlord rent their properties as a business and doing a background check makes sure that the tenant they accept is capable of paying and following the laws of the state and national government.

It also protects other tenants from harm. Landlords are recommended to do background checks to make sure that other tenants are safe from criminal or illegal activities.
By doing tenant screening, one landlord rejected an application of a tenant that has 5 histories of eviction. Another landlord accepted a rapist because he failed to request for tenant screening.

Doing a tenant screening is cheap and fast, most services charge a minimum amount of $6 and the result is ready after 2 minutes. Landlords should really do this not only to avoid problems in the future but to avoid receiving negative media attention because your tenant was later found out to be a rapist or a murderer.

Source : selfgrowth

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