Screening tenants is mostly about assessing a suitability based on the experiences with their current employer and previous landlord. Assessing a tenants suitability is a top priority for all landlords and letting agents as it protects your property investment, reduces risk and increases return on investment by simply checking the new tenants credibility.
The best tenant screening companies offer fast results allowing you to make quick and calculated decisions. As a landlord in a competitive market you will want to have a fast turnaround from viewing to handing over the keys, a fast system for background checks can give you peace of mind and quick turn around as well.
Referencing previous landlords and employer is just one part of the tenant screening process. You will also need to assess the new tenants financial stability by taking a look at their credit score. The most important area to look at, and any good online tenant screening company will provide this instantly over the Internet, is if the tenant has any CCJ’s (County Court Judgments) that are satisfied or unsatisfied. These appear on the credit check if the tenant had owed money to a creditor previously and will stay on the credit record for 6 years. It will read as satisfied if the tenant paid after one month and it will read as unsatisfied if the tenant has not paid the creditor in question. Any unsatisfied CCJ’s should raise a huge question mark over that tenants suitability for your property, if they owe money to someone else, why would they pay you on time.
Taking tenant credit checks and vetting tenants seriously can really provide a sound process for accepting and rejecting tenants. The most important thing for landlords and letting agents is having a reliable tenant who pays on time and looks after the property. The loss of money, stress and repair costs experienced when a bad tenant is chosen can be monumental, but by introducing tenant screening procedures into your application process you can protect you wallet and your investment from troublesome tenants and avoid disputes in the future.