Are you considering becoming a landlord in Woonsocket, RI? If so, you're on the right financial track; according to ZipRecruiter.com, Woonsocket landlords make an average of $83,634 yearly. The top 4% even earn as much as $144,692 annually!
Your earnings, however, will still depend on many factors, including your property's fair rental value and the overall quality of your tenants. The latter is especially crucial; if you fail to conduct a proper tenant background check, you may find yourself with renters who won't pay rent on time, damage your property, or worse, endanger your other tenants.
To that end, we at PMI Ocean State shared insights into the rental screening process. Read on for tips and information on conducting tenant verification.
What a Tenant Background Check Must Entail
For tenant background and lease application checks to be effective and efficient, they must include reviewing each applicant's:
- Credit score and credit report
- Income and employment
- Rental and eviction history
- Criminal background
Please don't skip any of those steps. Each can reveal different and specific information to help you choose the right person or people to rent to.
Why Run a Tenant Background Check?
Checking each applicant's credit score and credit report can give you insights into their financial responsibility. You can also gauge their ability to afford the rent by learning about their income and employment. With these pieces of information, you can minimize your risks of renting out to people who'll give you a hard time collecting rent.
Rental and eviction history assessments are just as crucial as they can give you insights into a tenant's previous rental behavior. If they have several eviction records, take these as a red flag.
Criminal background checks are also vital in assessing whether a tenant may pose property rental security risks or dangers to others. As the National Conference of State Legislatures (NCSL) points out, one in three Americans have a criminal record.
The Most Straightforward Way to Run Tenant Background Checks
As critical as a tenant background check is, it's time-consuming and surrounded by many stringent laws. For instance, when conducting one, you must adhere to the federal and state Fair Housing Act and the Fair Credit Reporting Act (FCRA). You must also be consistent when performing these processes; it's illegal to run checks on some tenants and not run them on others.
So, instead of risking non-compliance, consider outsourcing tenant screening services to PMI Ocean State. Our full-service property management company will help you find and move high-quality, responsible tenants into your Woonsocket, RI, property.
Partner With PMI Ocean State
Considering the complexities and legal nuances of running a tenant background check, it's best to let pros carry out the task on your behalf.
PMI Ocean State is a premier provider of full-service property management solutions in Woonsocket, RI. Our owner and primary property manager, Elizabeth Martinez, brings five years of property management experience to the company and the knowledge and expertise of managing 50 properties.
Contact us today, and we'll happily give you a free property consultation and discuss how we'll screen your tenants!
