Renewed Covid related eviction moratorium will continue to hinder landlords and property managers, especially those with small property rentals, with continued loss of income. Adam Almeida, President and CEO of TenantScreeningUSA.com opines: “While the renewed eviction moratorium will continue to challenge landlords, laws governing tenant screening and evictions could continue to evolve and a best practice remains to work with a well-qualified third-party tenant screening agency, such as TenantScreeningUSA.com, in order to remain compliant with law and ahead of changing trends related to rental applicant vetting.”

In August of 2021 the Covid related eviction moratorium received an additional extension to October 3, 2021, causing considerable concern for landlords, especially those managing small properties, as the continued moratorium further challenges ongoing operations of these units. Adam Almeida, President and CEO of TenantScreeningUSA.com states: “The enduring Covid related moratorium will continue to challenge landlords, and yet as this ongoing crisis creates chaos for small property landlords a best practice remains to work with a well-qualified third-party tenant screening agency as a means of staying compliant with ever changing laws related to evictions and tenant screening.”

As the ongoing Covid crisis shows few signs of slowing small unit landlords are getting especially hit hard with loss of income. And with the latest extension of the eviction moratorium, challenges will continue to mount. With back rent mounting many small unit landlords are forced to sell their properties and lose supplemental income counted on for retirement.

From an article in the Beaumont Enterprise on August 19, 2021, one landlord describes his situation:

The latest moratorium “was the final gut punch,” said the 39-year-old, adding that he now plans to sell the apartments. “I have had this internal struggle going back and forth. I have lost sleep at night, and I have now come up with a decision to sell and walk away.” ⁽¹⁾

Almeida adds: “Small unit landlords are getting hammered with loss of rental income, primarily through rent in arears, but also with potential new renters. Many landlords are reluctant to rent out their units as they are unsure of the future with eviction moratoriums.”

Federal assistance has been slow to arrive for long suffering landlords.

From Politico.com on August 14, 2021:

Landlords are unsympathetic figures in the eyes of many struggling tenants, but they’re emerging as a new economic problem for Congress and the White House, after Democrats prioritized renters by pushing for the revival of the eviction ban earlier this month. The Biden administration has yet to find a way to accelerate the release of federal rental aid, meaning property owners will continue to be squeezed until the eviction moratorium expires Oct. 3 or is struck down in court. ⁽²⁾

Almeida concludes: “Working with a well-qualified third-party tenant screening agency remains a best practice for landlords and property managers, especially during trying times such as these. Staying compliant with changing laws as well as remaining ahead of emerging trends will help ease the challenge of being a small unit landlord.”

TenantScreeningUSA.com provides full-service tenant screening for landlords and property managers of any size and can greatly assist in remaining fully compliant with all existing law governing tenant screening. With a highly trained and experienced staff, TenantScreeningUSA.com can provide help to landlords and property managers with all their tenant screening needs.

Notes:

(1) beaumontenterprise.com/business/article/Landlords-look-for-an-exit-amid-federal-eviction-16397688.php

(2) politico.com/news/2021/08/14/landlords-covid-eviction-ban-504472

An emerging trend across the country is legislating the use of eviction records as part of tenant screening and Philadelphia is an example of such a trend, one that should concern landlords and/or property managers across the country. Adam Almeida, President and CEO of TenantScreeningUSA.com opines: “Much like banning the criminal history box on employment applications, commonly known as Ban-the-Box, limiting the use of eviction records is a growing and dominating trend in tenant screening.”

Limiting the use of criminal history and banning “the box” on employment applications has long been a growing trend in pre-employment background screening and, recently, a dominate emerging trend limiting the use of eviction records is taking place with tenant screening. Adam Almeida, President and CEO of TenantScreeningUSA.com opines: “A best practice for landlords and/or property managers remains to work with a well-qualified third-party tenant screening agency, such as TenantScreeningUSA.com, to stay ahead of growing trends in tenant screening, as well as remaining compliant with law.”

The city of Philadelphia recently introduced two new bills to manage the use of eviction records as part of the tenant screening process.

From WHYY.org on June 24, 2021:

The pair of bills called the Renters’ Access Act, originally introduced in April, would prohibit landlords from denying housing based solely on eviction records and require them to let tenants know why they are denied. Landlords must also provide written rental screening criteria to prospective tenants. Under these new rules, landlords also cannot deny a tenant solely because of credit scores or an eviction record that is more than four years old. They also prohibit denying a tenant housing because of their inability to pay rent or utility bills during the COVID-19 emergency period. ⁽¹⁾

The new laws are designed to strictly manage how landlords and/or property managers use eviction records.

Adam Almeida adds: “While the CDC moratorium appears to finally be ending on July 31, 2021, potential laws, such as the one in Philadelphia, will continue to control the use of eviction records and landlords should take immediate note.”

From Inquirer.com on June 24, 2021:

The city will prohibit landlords from adopting policies that deny potential tenants solely because of low credit scores and past evictions or eviction filings. Before accepting applications for rental housing, landlords will have to provide written tenant screening criteria that they use to evaluate all potential renters. They will have to tell rejected tenants in writing why they were denied, and tenants will have the chance to dispute incorrect information, explain mitigating factors, and show how their circumstances have changed.

Before applying for housing, potential tenants will see how criteria such as criminal and rental history will be used, so they know what they may have to explain or know not to waste their money on an application fee. ⁽²⁾

Ultimately, a variety of municipalities are bound to follow and create increasingly challenging environments for landlords and property managers in regards to the use of public records.

Almeida concludes: “Let’s face it, challenges are increasing for landlords and property managers regarding tenant screening, and a best practice remains to work with a well-qualified third-party tenant screening agency in order to remain current with trends and law.”

TenantScreeningUSA.com provides full-service tenant screening for landlords and property managers of any size and can greatly assist in remaining fully compliant with all existing law governing tenant screening. With a highly trained and experienced staff, TenantScreeningUSA.com can provide help to landlords and property managers with all their tenant screening needs.

Note:

(1) whyy.org/articles/aiming-to-protect-renters-philly-council-limits-landlords-use-of-eviction-records/

(2) inquirer.com/real-estate/housing/renter-tenant-protection-philadelphia-screening-landlord-20210624.html

On March 5,2021 a federal judge struck down the current moratorium on evictions, as enacted by the CDC, and instantly created confusion regarding the liability of back rent and the potential of eviction for failure to pay rent as related to Covid related job loss. Adam Almeida, President and CEO of TenantScreeningUSA.com opines; “While the news is fairly fresh, without question landlords and property managers will have concerns, and a best practice remains to work with a well-qualified third-party tenant screening agency, such as TenantScreeningUSA.com.”

On Tuesday, March 5, 2021, a federal judge put the current federal eviction moratorium on hold, stating the CDC does not have the authority to impose such an action. Adam Almeida, President and CEO of TenantScreeningUSA.com states: “Certainly landlords and property managers should take immediate note of this action, as a call-to-action to review tenant screening policies, and a best practice is to work with a third-party tenant screening agency, such as TenantScreeningUSA.com to remain compliant with law.”

News outlets across the country and around the world announced the halt of the CDC enacted federal eviction moratorium.

From USAToday.com on May 5, 2021:

A federal judge has thrown out a national moratorium on evictions enacted last year to help Americans who have fallen behind on their rent during the coronavirus pandemic.

U.S. District Judge Dabney L. Friedrich of the District of Columbia ruled Wednesday the federal government overreached in enacting the ban. ⁽¹⁾

Adam Almeida states: “It’s too soon to see how the cessation of the federal moratorium will affect the rental market, but landlords and property managers will certainly take note.”

From Aljazeera on May 5, 2021:

The National Association of Realtors welcomed the judge’s decision, saying a better solution would be to help tenants pay rent, taxes and utility bills.

“With rental assistance secured, the economy strengthening and unemployment rates falling, there is no need to continue a blanket, nationwide eviction ban,” the group said.

As part of a $1.9 trillion COVID-19 relief bill passed earlier this year, the US Congress provided $30bn in rental and housing assistance for people at risk of eviction or losing their homes. ⁽²⁾

Seemingly the court took into consideration what the moratorium attempted to do.

From ABC11.com on May 5, 2021:

“The Court recognizes that the COVID-19 pandemic is a serious public health crisis that has presented unprecedented challenges for public health officials and the nation as a whole. The pandemic has triggered difficult policy decisions that have had enormous real-world consequences. The nationwide eviction moratorium is one such decision,”

“It is the role of the political branches, and not the courts, to assess the merits of policy measures designed to combat the spread of disease, even during a global pandemic,” …. “The question for the Court is a narrow one: Does the Public Health Service Act grant the CDC the legal authority to impose a nationwide eviction moratorium? It does not.” ⁽³⁾

Almeida concludes: “Landlords and property managers should take note when big news affects their business, and this is big news. Reviewing tenant screening policies should be an absolute and a best practice remains working with a well-qualified third-party tenant screening agency.”

TenantScreeningUSA.com provides full-service tenant screening for landlords and property managers of any size and can greatly assist in remaining fully compliant with all existing law governing tenant screening. With a highly trained and experienced staff, TenantScreeningUSA.com can provide help to landlords and property managers with all their tenant screening needs.

Notes:

(1) usatoday.com/story/news/politics/2021/05/05/judge-strikes-down-covid-moratorium-eviction-rental-properties/4958924001/

(2) aljazeera.com/news/2021/5/5/us-judge-throws-out-pandemic-related-moratorium-on-evictions

(3) abc11.com/cdc-eviction-moratorium-federal-judge-rules-cannot-issue-moratoriums-evictions-covid/10584661/

Rental markets have always been boom or bust, and recent years have been nothing but boom, especially in large urban centers such as San Francisco, Los Angeles, and Seattle.  As the rental markets continue to heat up landlords are enjoying greater success.
From REBusinessonline.com (May 02, 17):

Six in 10 apartment landlords say it is more profitable and attractive to be a landlord than it was five years ago, according to a new survey from TransUnion SmartMove, a tenant screening service for owners. The survey was conducted in March 2017 and included responses from 689 landlords across the country.

At the close of the first quarter of 2017, property owners indicated it was easier to find qualified renters and that resident turnover had declined compared with the same time last year. (1)

And the key is qualified renters.

What is a qualified renter?  Adam Almeida, President and CEO of TenantScreeningUSA.com explains:  “A qualified renter is one that can afford a property, shows the wherewithal to pay rent on time, and has had a successful rental career.  No late payments, no evictions, no apartment jumping.  A qualified candidate can also be that renter that has a clear record, great references and positive referrals.”

Turning a qualified candidate into a long-term renter can be profitable for landlords, but the very reason qualified renters are paying higher rent is the same reason they may not be long term.

Almeida explains:  “Increasingly the younger generation is more transient.  They tend to move around more and not spend money on a big investment such as a house or a car.  This would explain the increasing popularity of living in an urban city, close to work and entertainment and not restrictive on movement due to requiring a car.”

However, the near term remains bright for landlords.

Almeida adds: “A thorough tenant background check is critical to find the qualified candidate for a rental property.  Landlords and property managers should review credit history, criminal background records, and, especially, eviction reports.”

Credit history is important to verify a candidate’s ability to fulfill the rental obligation.  Certainly a consumer credit report will provide the data a landlord needs to make a well informed decision, just as criminal records and eviction reports will further enhance the process.

Almeida adds:  “It should be noted that some segments of the rental community now ban the question of criminal records as part of the application process.”

In 2016 the Department of Housing and Urban Development as supported by the Fair Housing Act initiated certain bans of criminal history in public housing.

Almeida adds: “Ultimately the search of the qualified candidate is critical to the long-term health and fiscal viability of a property and one that must be conducted in a fair, legal, and lawful manner.  Property managers and landlords must work with well-qualified third-party tenant screening companies in order to remain fully compliant with all applicable law.”

TenantScreeningUSA.com is a third-party tenant screening company with highly trained investigators well versed in the legal and lawful use of criminal history reports, and all public record reports, as part of a tenant check.

Notes:

(1)   rebusinessonline.com/low-turnover-higher-rental-prices-lead-to-attractive-apartment-market-for-landlords/

What is tenant screening?

Tenant screening is a form of background screening utilized by landlords and property managers to vet applicants of rental property.  A rental property could be a room, house, or apartment.  Often times tenant screening is conducted on vacation rental properties for periods longer than a week or two.

Tenant screening utilizes information gathered from public reports.

What is a public report or record?

Any time a person interacts with a public agency information is obtained and stored.  The criminal justice system is one such source as is the department of motor vehicles.  Further, credit information drawn from one of the three major credit reporting agencies can be used in tenant screening under specific and special circumstances.

Which public records are being used in tenant screening?

Of the many different reports there are three key documents.

1.      Consumer credit report
2.      Evictions
3.      Criminal History/Sex Offender Registry

A Consumer Credit report – This report is provided by a credit bureau and contains information on an applicant’s credit worthiness or ability to pay.  A credit report contains information on loans and credit arrangements, including contracts and revolving credit plans.  It will also contain critical payment information as well as action taken by issuers of credit.  Consumer credit reports can only be created after an applicant provides explicit written permission and has been informed of individual rights regarding the ability to correct any information and acquire a copy of the report used during the tenant background check.

Evictions – This report provides information on a potential tenant’s rental history.  Just as the name suggests an eviction report shows any history of eviction from previous landlords or property managers.

Criminal History/Sex Offender Registry – Criminal background checks will provide any recordable interaction with the justice system, primary the police or sheriff departments.  This may include minor misdemeanors or major felonies.  It should be noted that recent actions by the Department of Housing and Urban Development may restrict the use of criminal history.

Are there other reports available to a landlord?

A landlord can gain access to any public record.  Other records that may be of interest include:  Civil Records, Nationwide Criminal, Liens and Judgments, and Verifications. A best practice for a landlord would be to let a renter know exactly what information is being requested and used.

Should the owner of a small apartment building or single family dwelling use a tenant screening company?

Regardless of property size a landlord or property manager should use a third-party tenant screening company.

A well-qualified tenant screening company maintains compliance and understanding of all rules, regulations, and laws governing the use of public records.  Further, a tenant screening company will have the security and systems in place that can maintain, control and store all the sensitive information used during the tenant screening process.

TenantScreeningUSA.com is a third-party background screening company that provides tenant checks to landlords and property managers for all sizes and types of rental complexes.  From the single-unit to the large community, TenantScreeningUSA.com has the ability to customize a tenant screening package specific to a managers unique requirements.

Not in my town.

A common refrain one might expect when announcements are made regarding Sex Offender housing priority.

Recently, in Cayuga County, Sex Offender housing continues to be a point of contention.

From an editorial at AuburnPub.com (Sep. 02, 15):

Providing emergency shelter to parolees falls to counties. Parolees without housing resources are sent to the county of sentencing at discharge and we are required to house them. We cannot give out bus tickets and send people to other counties. Emergency housing is governed by law and regulation. (1)

Housing Sex Offenders and parolees can often cause considerable concern within the community.  Sex Offenders must live by very specific rules, based on law, as to where they can live and how close to schools, parks, etc. those living arrangements may be.

From the Opinion Page at the NYTimes.com (Sep. 08, 15):

In some places, … “predator-free zones” put an entire town or county off limits, sometimes for life, even for those whose offenses had nothing to do with children.  (2)

In truth Sex Offender registrants, as well as parolees need to be housed somewhere.  Sometimes the State will mandate a location and rent a home or apartment on behalf of the parolee.

In Ionia, MI such an arrangement has been made, much to the concern of citizens living nearby.

From the Sentinel-Standard.com (Sep. 02, 15):

Deputy Mayor Kim Patrick spoke at length about his displeasure with the MDOC having the house in town available for former prisoners. He said he expects the council is going to have more people contacting them about the situation. (3)

Adam Almeida, President and CEO of TenantScreeningUSA.com states:  “Providing housing for registered Sex Offenders and parolees can be a challenging effort.  One might have to consider a broader tenant background check, rely on the guarantee of another person such as a family member, or work with local police officials.  In a time of high occupancy rates it is difficult for the parolee or registrant as well.”

Second chances are rare and second chances for parolees may become a matter for the Federal Government and the Department of Housing and Urban Development.

From truth-out.org (Mar. 15, 15):

Advocates are organizing against what they say is an overlooked civil rights issue: the exclusion of ex-offenders, overwhelmingly people of color, from public and subsidized housing. Many subsidized housing providers employ lifetime bans against people with criminal records, despite a stated commitment to “second chances” by the Department of Housing and Urban Development (HUD). (4)

Almeida states:  “As federal agencies continue to focus on civil rights issues, such as the use of criminal histories as a part of pre-employment, their eyes could soon gain a greater focus on Housing.”

There are notable exceptions where groups or companies are stepping up and providing housing second chances.  One such group, Second Chance Rentals, is providing housing opportunity in Tucson, Arizona.

From KJZZ.org (Aug. 24, 2015):

Second Chance Rentals brought its practice of renting to felons and evictees, a population other landlords might consider high-risk, to the Tucson market this summer. (5)

Almeida states:  “In the end parolees will require housing and it may become a civil rights issue.  Landlords and property managers need to work with third-party tenant screening companies in order to stay ahead of new legislation governing the use of public records as part of tenant screening.”

TenantScreeningUSA.com is a third-party tenant screening company with experienced employees committed to keeping their clients compliant within the laws governing tenant screening.  Working with landlords and property managers large and small, TenantScreeningUSA.com can help create a thorough tenant screening package.

Notes:

(1)               auburnpub.com/news/opinion/columnists/guest-column-cayuga-county-has-made-sex-offender-housing-solution/article_393decf0-91b9-58d5-9c32-ee50c614547f.html

(2)               nytimes.com/2015/09/08/opinion/the-pointless-banishment-of-sex-offenders.html?

(3)               sentinel-standard.com/article/20150904/NEWS/150909447

(4)               truth-out.org/news/item/29584-no-second-chances-when-it-comes-to-housing

(5)               kjzz.org/content/182293/arizona-apartment-rental-company-gives-felons-second-chance

Eviction is a process of removing an individual, group, or family from a rental premises for violating a number of circumstances, most commonly over repeated failure to pay an agreed upon rental or lease payment. Laws regulating rental properties and the process of eviction can vary on a county level. TenantScreeningUSA.com highly recommends that landlords AND tenants understand local eviction laws.

Property managers and landlords face many challenges renting properties. A key challenge is maintaining 100% occupancy of a property. Finding viable tenants that can fulfill the long-term financial obligation of renting a single-family dwelling or apartment can be complex, but once in place viable tenants can provide a degree of financial surety for a property owner. However, there are tenants that may have initially shown the capability to fulfill an obligation but, due to a variety of circumstances, ultimately fail and force a landlord into the eviction process.

Eviction is never easy, either for the landlord or the renter. It is a long, expensive process that puts a significant drain on a property in terms of financial loss due to potential property damage, damage to property reputation and loss of potential income.

Adam Almeida, President and CEO of TenantScreeningUSA.com states: “Eviction is a challenging process, both in terms of time and monetary loss.”

One mistake owners of single- or small-unit property make is renting to their own family.

An article posted to the Independent Record (Sep. 01, 2013), outlines the travails of an elderly couple that rented to a family member and were subsequently forced to evict.

“They were served with an eviction notice and had one week to remove their personal possessions, but left a ton of stuff and vehicles on the property. This cute little house looks worse than the city dump. There are holes in the walls, and filth everywhere, it is just trashed!” http://helenair.com/business/local/renting-to-daughter-huge-mistake-for-retired-couple/article_4e2a18b0-12d1-11e3-905e-001a4bcf887a.html

Almeida continues: “Landlords need to provide clear guidelines covering a tenant’s residency, specific to the possibility of eviction. There are reasons other than failure to pay rent, such as code violation, that could cause eviction. It must be very clear to a tenant.”

The online Vallejo Times-Herald (Sep 01, 2013) reports a woman evicted for bringing in homeless individuals to her home and sheltering them, subsequently breaking code enforcement regulations.

Cathy Erler took in strangers into her home when they needed a place to sleep. Now she finds herself living in her car with two friends and a dog after she was evicted due to pressure from neighbors and the city. http://www.timesheraldonline.com/news/ci_23993782/vallejos-cathy-erler-helped-homeless-now-shes-one

In Norristown, PA a renter has been warned by the local police department that: “one more altercation at her rented row house here, one more call to 911, and they would force her landlord to evict her.” http://www.nytimes.com/2013/08/17/us/victims-dilemma-911-calls-can-bring-eviction.html?pagewanted=all&_r=0

The New York Times reports (Aug 17, 2013) rapid expansion of neighborhood nuisance laws that could lead to eviction.

Over the last 25 years, in a trend still growing, hundreds of cities and towns across the country have adopted nuisance property or “crime-free housing” ordinances. Putting responsibility on landlords to weed out drug dealers and disruptive tenants, the laws aim to save neighborhoods from blight as well as ease burdens on the police. http://www.nytimes.com/2013/08/17/us/victims-dilemma-911-calls-can-bring-eviction.html?pagewanted=all&_r=0

Eviction can come from the landlord or be forced upon a landlord by local agencies or cities, but can also come from Home Owner Associations (HOA).

A Dunwoody apartment complex is evicting a man, claiming he made other tenants uncomfortable by staring at them at the pool. http://www.wsbtv.com/news/news/local/apartment-complex-evicts-man-making-tenants-uncomf/nZZRy/

In the end it is incumbent on both landlord and renter to understand the eviction laws within their community. It is a tool of last resort that can be very expensive to a landlord’s property, a property’s reputation, and ability to maintain a long-term financially secure rental community.

TenantScreeningUSA.com is a third-party tenant screening company that provides tenant checks to landlords and property managers for rental communities ranging from single units to large complexes.

A majority of property managers and landlords realize that tenant checks greatly assist in the vetting process of new tenants. There are several reasons one conducts a tenant check:

1. Financial protection – Property owners obviously do not want to rent to individuals or families that cannot afford to uphold the financial portion of the rental agreement. After all, what is the point of renting to someone that cannot pay?

2. Property protection – Rental properties represent a significant investment. From single-units to large rental communities, the cost of upkeep alone can substantial. Destructive tenants will only add to the cost of a rental property, not only in repairs but also in lost income via empty units.

3. Reputation protection – The cost in reputation is subjective. Frequent call outs by the police, exterior damage such as tagging and graffiti, and high tenant turnover.

4. People protection – Along with the aforementioned items, the protection of existing long-term tenants is critical. Not only do long-term tenants provide steady income, they can provide leads or make recommendations to others to rent at that property. People like themselves that may be steady individuals or families that ultimately could become long-term residents.

In a recent article from the Addison County Independent (Jan. 24, 2013) points are made that illustrate the reason tenant checks are so important.

Vermont, as with many other states, has a drug problem.

The drug problem in Vermont has long economic fingers that have gripped the state. Drug abuse increases police budgets and raises taxes. It is a public health issue and increases insurance premiums. It adds to the prison population, and therefore, the state corrections budget. It contributes to the high school dropout rate. It feeds poverty. It destroys families. It breaks hearts. http://www.addisonindependent.com/201301landlords-vulnerable-drug-war-wary-tenants-who-deal-drugs

The war of drugs is one that affects communities large and small, as well as the homes they live in. Landlords have been on the front lines of this war and are desperate for help. During times of economic challenge landlords are willing to rent to those that meet the barest financial qualifications.

It’s no secret that many landlords tend to rent to tenants who receive some kind of public assistance. Often people who earn a lower income cannot afford to buy a home and must settle for renting an apartment. Others may be on disability, are unable to work, and cannot afford to own their own home and must rent as well. And, of course, three years into the economic recovery from recession, more and more people have lost their jobs and have had to take jobs that pay less. Many have lost their homes and are now renters. Still others are merely young people who are unable to earn and save enough money to own a home. http://www.addisonindependent.com/201301landlords-vulnerable-drug-war-wary-tenants-who-deal-drugs

Certainly a tenant check is not designed to preclude any individual or family from gaining a rental home or apartment. Tenant checks in tenant screening provide information to landlords and property managers the information required to make a sound decision. Combined with an thorough face-to-face interview, a tenant check will go along ways in mitigating the risk of renting to a “bad tenant.”

Even if a more involved background check ends up costing the landlord some money, … it’s a small price to pay in the face of legal fees for an eviction and costly repairs to a rental property. http://www.addisonindependent.com/201301landlords-vulnerable-drug-war-wary-tenants-who-deal-drugs

The protection of property, people, and reputation is greatly assisted through tenant screening.

In the end Tenant Checks do not have to “break the bank.” TenantScreeningUSA.com is a third-party tenant screening company that offers affordable, thorough, and secure background screening for landlords and property managers. TenantScreeningUSA.com can create a tenant screening package unique to the requirements of rental properties large and small.

When a company hires a new employee they conduct a background check as part of the vetting process. This background check draws data from various sources and allows a hiring manager or HR department to make a well-informed decision. Part of the consideration a company or organization takes is assessing the risk that a potential employee may bring to a company or work situation. It is often a sub-conscious process. One of the most important elements of the decision-making process is one simple question: What risk will this employee bring to the company?

When a property manager or landlord considers a new tenant the same thought process occurs. This process may or may not be subconscious but risk is a definite consideration when looking into new tenants.

Risk mitigation is a key component in deciding on new tenants in three key areas:

1. Property – A bad tenant could cause thousands of dollars of damage to an apartment or single-family dwelling. Every day there are news articles on-line and in print outlining the nefarious deeds of bad tenants.

2. People – A bad tenant or group of bad tenants can scare off long-term, highly stable residents, putting a strain on long-term fiscal viability. Further, injury to another tenant by a “bad tenant” could lead to significant financial cost.

3. Perception – A property can gain the “perception” of being a bad property from one or more bad tenants. Damage to the property can visually destroy value, and good tenants can move away, but perception can often become reality. A property manager or landlord can repair property but can they attract tenants, those that are long-term? Again, perception all too often becomes reality.

In each area above there is a specific risk: Property, Person, Perception. And each area can have a significant fiscal cost. Landlords and property managers must conduct thorough background checks on their perspective tenants in order to mitigate the potential or risk.

And a tenant check is not just for the landlords and property managers. Increasingly potential tenants conduct background checks on themselves. With the increase of third-party background screening companies and the use of databases to provide the information required to fulfill this research, potential tenants should understand what information is being reviewed. Further, after a potential tenant reviews the information they may have the opportunity to have certain information corrected. Transactions can be entered incorrectly on credit reports, social security numbers are at risk of illegal attachment, eviction records can report inaccurate data, and on it goes.

For a landlord and property manager a tenant check can provide information required to make sound decisions in regards to new tenants. But it is no longer solely based on fiscal stability. Risk mitigation has become a key element of the tenant vetting process. Creating a safe and secure rental environment is as important as creating a safe and secure work environment.

TenantScreeningUSA.com has a long history of working with property managers and landlords, as well as perspective tenants. They have affordable tenant screening packages and can custom design any package to fit a specific need. For more information go to www.tenantscreeningusa.com today.

In Austin, Texas the recent South By Southwest event drew tens of thousands of people from all around the world. This summer, in London, hundreds of thousands of people will gather for the Olympic Games. The two events have something in common: People needing a place to sleep.

Every year events around the world draw more people to event centre than hotels can possibly manage. Locals often take advantage of the opportunity by short-term renting or leasing their homes and apartments to out-of-towners. In Austin, Texas there are several on-line outlets designed specifically for South By Southwest and connecting owners and renters. During 10-days each Spring the rack rates at area hotels in Austin increase significantly and the opportunity of renting a house or apartment often becomes a relatively low-cost alternative.

During the Olympic Games in London many locals will opt out of staying around for the festivities and offer their homes for rent. Sites such as www.rentatthegames.com are designed specifically for people searching for affordable living space during the Games. Londoners know a quick profit can be made during this once-in-a-lifetime event.

Subletting a home for a short period of time for events such as the Olympics or South by Southwest can be a lucrative venture for owners. There are many reputable companies that assist in renting properties and managing the transactions. For those owners that choose to handle their own transactions it is important to remember to treat a short-term letting as a long-term rent.

Ideally potential short-term renters should fill out a complete application, including references. Subsequently, the owner must complete a background check.

For some the obvious question is why? Most short-term renters have the fiscal wherewithal to handle a short-term rental as well as any deposit. And the assumption that one home owner will treat another home owner’s property with the same respect they do their own. Assumptions are a fool’s choice.

A tenant background check is a low-cost, simple transaction that provides the owner peace-of-mind and, in a sense, a bit of insurance that the renter will not abuse the arrangement. Tenant background checks generally consist of credit history, evictions, and national criminal check.

At TenantScreeningUSA.com home owners can get the information they need to make an informed rental decision, even if the rental is short-term or, maybe, because the rental is short-term. It would be simple to just let a renter move in for a week or 10-days, collect the fees, and return home at the end of the festivities, but consider the risk.

One of the growing trends in an increasingly transient population is renter fraud. They move in, destroy property, and move on. The potential cost of a fraudulent renter, even in the short-term is significant. Don’t be caught off-guard; conduct a tenant background check today.

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