It used to be that renting to anyone new was a gamble. You took risks when you rented to someone you didn't know, and only time would tell about whether your gamble was worth it. There is no reason to take such a huge risk when renting to new tenants today. You can take advantage of background checks to see how big your risk is before renting to anyone you don't know.
They may be unemployed. A person who is unemployed is a big risk because he or she has no source of income. If the potential tenant has no source of income, then you can be assured that you will not get paid when the rent is due. You obviously want to avoid this situation right away to save yourself the headache of chasing down rent money or never getting any at all.
They may have problems paying their bills. A credit check can tell you how likely it is for you to get paid on time. Look at the potential tenant's history of paying his or her bills. Are the bills paid on time all the time? Has the tenant let the bills go into charge-off states or have judgments listed against him or her? If the credit check shows many bad marks, then you might want to reconsider renting to the individual.
A person who cannot pay their bills on time is a huge risk. He or she may never pay the rent on time or at all. There are many people in the world who float by in life on the good graces of others and never take responsibility for themselves. You want to avoid these kinds of people, and credit checks can help you determine who these people are.
They may have a criminal history. People with a criminal history can be a huge risk. Violent episodes can leave your property damaged and draw negative attention to you and your property. It can also endanger your other tenants and you. You need to know exactly who you are renting to in order to avoid any criminal activity.
People who have a criminal record may never tell you that they have this type of past. You cannot rely on gaining this information from potential tenants, so it is essential that you conduct a criminal background check on potential tenants before renting to them.
They may lie to you. Potential tenants may feel pressure to find a new place to live and will say anything to put your mind at ease. They may lie about a job, personal histories, or other information, and you need to find a way to double check what they are telling you. Tenant screenings are the only way to find out whether the person is truthful about what he or she has told you.
You may find out that they are extremely irresponsible. People who have no sense of responsibility can damage property, act in ways that may disrupt other tenants or neighbors, and generally make life difficult for everyone around them. In order to avoid this type of drama, you should consider different screenings to get an overall picture of the person in question.
Several checks can show you an accurate portrait of the tenant. Irresponsible behavior will become apparent with several different checks. It only makes sense to find out all you can about a stranger before you make a decision to rent to them.
It can turn away would-be problems right away. Some people are aware that if they have any type of screening, then they will not be able to live in certain places. If you advertise that background and credit checks are mandatory, some people will simply not bother trying to deceive you.
Your property is an investment. You don't want to take huge risks when renting to new people. Tenant screenings are the only way to go when trying to decide who is safe to rent to.