Property owner explaining rules to tenants

Avoid “Renting Horrors:” Screen Potential Tenants

In Property Management by Bergan & Company

From leaky faucets and broken appliances to a pony hidden in the yard, no property issue is unfamiliar to long-time rental property owners. Apparently, there is such a massive surplus of misbehaving tenants that there is an entire AskReddit thread dedicated to sharing the worst tenant stories.

Dealing with difficult tenants can get costly quickly, especially if it involves evictions. Between lost rent, repair of property damage, and possible legal fees and court costs, the cost of an eviction can range from $3,500 to $10,000.

If you’re a first-time property owner, it may only be a matter of time before you see your fair share of renter nightmares. Thankfully, there is a way to dodge costly and embarrassing court battles: stringent screening of every applicant that goes through your doors.

To help you weed out difficult tenants, here are some strategies you can set in motion:

Apply a Solid Screening Process

To make sure nothing slips through the cracks, you need a rock-solid process for phone screening. It also pays to meet the tenant in person, so you can evaluate their character. Be vigilant. People who have experience in conning property owners are likely to have their own set of strategies. They tend to prey on landlords with loose rental agreements and unclear move-in procedures. Conmen will use these loopholes to circumvent the law.

Look Out for Red Flags

Each applicant should complete the application form in its entirety. By doing so, they allow you to pull credit reports and contact current and previous employers and landlords.  When an applicant refuses to be subject to a background check, that should be a red flag and you have the discretion to turn them down. Successful property owners clearly define the type of people they want as part of their community, so they tend to reject more than they accept.

Be Diligent with Background Checks

When vetting tenants, you want someone with an income that goes three times higher than the rent with no history of evictions. You also want someone with a clean background and who can provide you with good references.

Call every landlord and employer reference given and ask specific questions. Find out whether the tenant has ever been late on their rent or taken to rent court.  Harness technology however you can to determine whether the tenant has had run-ins with the law.

Find Great Tenants

Working with a reputable property management company is one step closer to finding good tenants and enjoying a steady income flow while evading all the hassle.

When in need of professional, comprehensive property management services in Denver, turn to Bergan and Company. We have been a leader in the investment and property management industry since 1961. We work to run credit reports, verify employment, vet rental history, and secure all criminal background and income checks of all potential tenants.  Our goal is to make rental ownership easier and more effective for you.

Learn more about our company and our services. Call us at 303-694-5116 today or fill out our form and we’ll reach out to you the soonest time possible.