The best protection a Los Angeles Property Manager or landlord can take to ensure longevity of an investment is by being able to conduct excellent tenant screening procedures.
Four Screening Procedures For Rental Applicants:
- Good history of paying bills and rent in a timely manner.
- Good history of following rental rules and laws.
- Verifiable income that is about 3X the monthly rent.
- Any verifiable landlord references.
Los Angeles Property Management companies know you can find the answer to these questions by reviewing an applicant’s credit report to make sure he/she has good financial history of paying bills on time. Los Angeles Property Management companies say you can determine if an applicant follows the law by checking his/her criminal record to see if he/she even has a record of any kind.
Los Angeles Property Management companies say that to verify income, you would have to ask for pay stubs, bank statements and even calling the applicant’s employer to verify things. You could even check in with the applicant’s past landlords to see if they would rent to them again.
Los Angeles Property Management companies say that when you are screening your tenants that could be certain red flags that might pop up that could deny a rental application.
Los Angeles Property Management Tip With Major Red Flags
Los Angeles Property Management companies say that bad credit, history of evictions and a negative criminal record are major red flags when trying to approve an applicant.
Los Angeles Property Management companies say that with bad credit, reviewing an applicant’s credit history and debt obligation can give you an idea of their ability to pay rent on time, every single time.
Now when it comes to Eviction History, if the applicants have a history of evictions, you probably shouldn’t approve their application, especially if they have a few evictions on their eviction report. Evictions can be time consuming and put you at risk of losing rental income duration.
Los Angeles Property Management companies say that with Criminal Records, landlords can legally deny an applicant based on their criminal record only if they demonstrated a lack of respect for property or threatens the safety of current residents.
Los Angeles Property Managers Keep An Open Mind When Screening
Los Angeles Property Management companies say that It’s important to keep a screening process as objective as able to. If you were to violate The Federal Fair Housing laws, that’s considered serious crime. You need to see and treat every applicant the same and never discriminate or profile based on a particular class.
Los Angeles Property Management companies say that you cannot deny a rental applicant solely based on an arrest record. Make sure when screening the potential renter that you keep an open mind, but if the red flags are way too obvious, this will lead to an easy decision. Choose wisely.
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