Can you believe that over 44 million homes in America are rental units?
With such a high percentage of renters in our country, owning a rental property can be one of the most lucrative decisions you ever make. While you're guaranteed to earn a nice income, the key to maximizing your money is tenant screening.
Have you ever wondered why screening your tenants is so crucial? Read on to learn all about the importance of tenant screening.
You Can Keep Your Community Safe
One of the first steps of tenant screening is ordering a background check on each adult applicant. This information will help you keep people with a history of criminal activity out of your community.
Your other tenants will appreciate your efforts to keep their environment as safe as possible. You don't want to deal with having the police on your property often if it can be avoided.
Tenant Screening Verifies Income
Another valuable aspect of tenant screening is learning about each applicant's finances. By asking for proof of income, you can reduce your chances of having tenants who can't keep up with rent.
You'll also have the chance to learn their credit scores. Having good credit means that they're responsible with their money and don't take on lots of debt.
The Best Tenants Will Respect Your Property
Property maintenance is unavoidable since things break down or lose their shine over time. However, having good tenants will lower your maintenance fees since they'll respect your property.
You don't deserve to deal with extensive property damage that eats into your income.
You'll Spend Less Money in the Long Run
The tenant screening process can also help you determine if a renter would be happy living in your unit. It's always worth it to prioritize renters who are great fits because they'll renew their leases longer.
Having a lower turnover rate can save you tons of money on marketing and other fees to keep your units full.
You Can Learn About Their Rental History
Some applicants have no trouble being on their best behavior during an interview, but their rental history won't lie. If they've faced any evictions or concerning rental patterns in the past, then you might want to steer clear.
The happiest property owners are the ones who rent out to low-key people who are interested in setting some roots down for a while.
Do You Want to Simplify the Tenant Screening Process?
It's clear that there are all kinds of benefits that come with tenant screening. This is why you should never skip or rush this process or else you could face big trouble.
Learning how to screen tenants can be a time-consuming project, and it's stressful knowing that the stakes are so high. If you want to make tenant screening a breeze, then you should hire an amazing property management company. Contact us to learn about our wide range of property management services.