Georgia has the 15th-highest rental vacancy rate in the United States. As a Smyrna, Georgia landlord, you might be in the middle of looking for a tenant.
Taking your time to screen every applicant is the best way to safeguard your investment. Renting out to the first applicant you come across without screening could cost you more money in the long run.
A credit check is one useful tool for a comprehensive tenant background check. Keep reading to learn what a thorough tenant screening process includes.
Credit Report
During a tenant background check, run a credit report. This will provide you with a lot of information that determines whether someone will make a good tenant.
On a credit report, you'll find information regarding:
- Credit score
- Payment history
- Debt-to-income ratio
- Outstanding debts
You can choose what to do with these details as long as you stay compliant with federal Fair Housing laws. You cannot discriminate against applicants, but you can set rules.
For example, you can choose to reject an applicant for a low credit score. This credit requirement must be followed for all applicants.
Some jurisdictions protect tenants from credit discrimination. A property manager in Smyrna can keep you up to date with the latest housing laws.
Income and Employment Verification
Another great tool to use when screening a tenant is employment verification. After all, tenant screening should be a way to determine whether a tenant can afford to live on your rental property.
Landlords commonly require renters to make three times the monthly rent. You can make your own requirements to increase your rental income.
Verify employment and income by asking applicants for their employer's information.
A property management company will spend time contacting the employer to verify what the applicant said. You can also find verification services that do this for you.
Criminal Background Check
Finding good tenants may also come down to a criminal background check. You can check whether or not an applicant has a criminal record or conviction.
Minor offenses might not be cause for concern. Serious offenses should always be evaluated in depth. You can choose to reject any applicant for a criminal past, whether it's minor or not.
State law doesn't allow landlords to have a blanket policy for denying applicants based on a record. However, you can restrict housing options for specific crimes. Make sure you have a justifiable reason to reject an applicant.
Complete a Comprehensive Tenant Background Check
A comprehensive tenant background check is a great way to determine whether or not a tenant can pay rent.
Using a credit check and employment verification service points you in the right direction. You can also check for criminal history to ensure your property is safe.
Tenant screening can be a lot of work. That's why PMI Terminus screens tenants for you. We find the right tenants, not just the quick tenants.
We've helped Smyrna landlords with our thorough tenant screening process for years. We are ready to partner with you now. Contact us today to get started.
