Tenant placement is crucial for a landlord. If you make the wrong decision, you could be in a tough, potentially expensive eviction situation.
The purpose of tenant screening is to find a high-quality tenant. They will treat your property with care and pay their rent on time. Consider these dos and don'ts when finding tenants for your rental property.
Do: Embrace Technology
Embracing technology will make screening tenants easier. It also ensures you do not skip a step in the screening process.
Start by having applicants fill out the application through an online portal. You can have it send automated messages to those who do not meet the basic qualification requirements.
From there, you can stay organized by having all applicants in a single portal. You can manage each applicant from a single dashboard, ensuring that each goes through each phase of the screening process.
Technology streamlines the screening process by making it easier for you and the applicant to complete paperwork and communicate. Technology can also automate many processes, removing the time-consuming and repetitive work.
Do: Use a Tenant Screening Service
If you do not have experience with tenant screening, hiring a property management company can be a helpful resource. Let a property manager do the screening. This gives you more free time, reduces your screening costs, and can improve your tenant placement.
Do: Stay Impartial
When screening tenants, try to remain as impartial as possible. Do not let your emotions or personal biases cloud your judgment, as this could result in approving a problematic or unqualified tenant.
In addition, if you do not follow a set process and standards, you may be at risk of a discrimination claim. Landlords must follow federal and Illinois state fair housing laws. Applicants who belong to a protected class can file a complaint, and then you must prove you did not discriminate.
Having a set process and standards keeps you impartial and legally compliant.
Don't: Ignore the Red Flags
If you see red flags, pay attention to them. Ignoring them can put your rental property at risk.
For example, if you have a minimum required rental income, do not approve someone whose income you cannot verify. This is a red flag that they may not pay their rent later. With rents in Illinois increasing higher than in the rest of the nation, finding a tenant that pays their rent can be challenging.
Improve Your Tenant Placement Track Record
Follow these dos and don'ts to improve your tenant placement success rate. Start by embracing technology and having all applicants apply through a tenant portal. Use a consistent process and standards to remain impartial and aware of red flags.
If you do not have experience with tenant screening, consider hiring a screening service. At PMI Metro and Suburban, we help rental property owners with all aspects of owning rental property. We provide landlord advice while assisting with tenant screening, property maintenance, and lease management.
Place high-quality tenants in your rental with the help of PMI Metro and Suburban.