Finding an excellent tenant is one of the essential factors of keeping a money-making Mars rental home.
For most landlords, the “right tenant” is usually associated with a near-perfect credit score. They make tenant approval decisions rooted in the notion that excellent credit history is linked to a financially stable future. While credit scores are important, they don’t tell the whole story. A landlord could easily pass up on a fantastic tenant if there’s too much importance placed on their credit score. Understanding the other criteria to look for when screening applicants can help recognize great tenants immediately.
When screening rental applicants, property owners are correct to decide to investigate more what lies behind the tenant’s financial situation. A credit report can disclose a lot of information beyond a simple credit score, information that an owner can use in making the decision as to the capability of the tenant to make rent on time and in full. For example, late payments on an account that is now current can bring a credit score down but also shows the applicant is now paying their bills on time.
Even though a prior vehicle repossession or a credit card charge-off is a huge deal for many property owners, it is important to keep in mind that many people were hit hard several years ago due to the Great Recession. Through no fault of their own, they may have lost their jobs or homes, but have since found a stable paying job and steadied their credit accounts well. Or, possibly a past medical emergency caused the applicant to fall behind on their medical bills or student loan payments, but they’ve made good financial choices since then. In these situations, the score might be a less important factor than the tenant’s payment history over time. A few mistakes many years ago should not disqualify an otherwise solid applicant.
To understand more about the whole story, it’s crucial to get as much information from the applicant that is not on the credit report itself. If the possible tenant has a good explanation for their lower credit score, such as those listed above, that may be a basis to keep them under consideration. Similarly, property owners should always supplement an applicant’s credit report with references who can speak to their potential. If an applicant has a strong history of paying rent on time and a stable income, these factors may be better indicators of how they would do as a tenant than numbers on a credit report.
Tenant screening can be an intricate process, notably for single-family rental homes in Mars. Property owners generally want someone who will be a stable, long-term tenant, making the decision an even more critical one. At Real Property Management Three Rivers, we deliver a thorough screening on every applicant, from credit reports and beyond. Our property management professionals know what to look for, and how to choose the right tenant for every rental property we manage. If you would like to learn more about our screening process or would like to speak to someone, please contact us online or by phone at 724-804-8254
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.