The tenant screening process can be challenging, especially for individuals new to the process. In a time when more and more people are becoming first time landlords by renting rather than selling a home before moving to a new home, lack of knowledge can be critical and costly mistakes may occur.
There are a number of steps landlords and property managers take in the vetting of new tenants:
1. Application – A complete and thorough application is only the first step. The information gathered on a rental application is used by the landlord to conduct a tenant check.
2. Interview and Property Tour – One of the most informative steps a landlord can take, especially a new landlord, is a property tour. During the course of a property tour the potential tenant essentially goes through a walking interview. Listening to a tenant’s responses can greatly inform the landlord.
3. Tenant Check – A tenant check consists of public records as well as verifications. Information gathered during a tenant check will greatly inform a landlord’s decision.
The tenant check can consist of the following:
a. Consumer Credit Report – Credit reports are drawn to show fiduciary capability or, in other words, a tenant’s ability to fulfill the monetary requirements of a lease or rental agreement
b. Criminal History – This report is often the most current and accurate public record. Drawn from the county courthouse, a criminal history report will detail convictions of a candidate during a specific period of time.
c. Verifications – There are several forms of verification that can be provided but most important may be personal references, specifically previous landlord.
d. Evictions or Unlawful Detainer – This report is, perhaps, the most telling document a landlord can use as it greatly informs a potential tenant’s rental history. It is integral to the tenant screening process for obvious reasons.
What is eviction or unlawful detainer?
Eviction is generically defined as:
eviction n. a generic word for the act of expelling (kicking out) someone from real property either by legal action (suit for unlawful detainer), a claim of superior (actual) title to the property, or actions which prevent the tenant from continuing in possession (constructive eviction). Most frequently eviction consists of ousting a tenant who has breached the terms of a lease or rental agreement by not paying rent, or a tenant who has stayed (held over) after the term of the lease has expired or only had a month-to-month tenancy. http://legal-dictionary.thefreedictionary.com/eviction
New landlords should also be aware of the term “unlawful detainer,” which is more commonly used when removing a tenant from a property as part of a legal action.
Unlawful Detainer
The act of retaining possession of property without legal right.
The term unlawful detainer ordinarily refers to the conduct of a tenant who is in possession of an apartment or leased property and refuses to leave the premises upon the expiration or termination of the lease. Typically, the landlord wishes to evict the tenant for not paying the rent or for endangering the safety of the other tenants or the landlord’s property. http://legal-dictionary.thefreedictionary.com/unlawful%20detainer
While eviction and unlawful detainer appear to be synonyms they are not. Eviction is a generic definition and unlawful detainer is a specific legal term and definition.
Eviction records start out as court records and are eventually held in frequently updated databases.
Moreover, it is critical for landlords, especially new landlords understand that eviction requirements are stringent, in order to protect tenants, and may differ from state-to-state.
For example, in the state of California a “landlord may be able to evict a tenant if the tenant:
• Fails to pay the rent on time;
• Breaks the lease or rental agreement and will not fix the problem (like keeping when pets are not allowed);
• Damages the property bringing down the value (commits “waste”);
• Becomes a serious nuisance by disturbing other tenants and neighbors even after being asked to stop; or
• Uses the property to do something illegal.
In most cities, the landlord can also evict the tenant:
• If he tenant stays after the lease is up, or
• If the landlord cancels the rental agreement by giving proper notice.” http://www.courts.ca.gov/selfhelp-eviction.htm
The best practice any landlord can make is to work with a third-party tenant screening company. Ultimately a third-party will be able to provide all the public records and references a landlord might require. Further, they can provide insight and understanding to key reports such as eviction documents.
TenantScreeningUSA.com is a third-party tenant screening company that can provide a wide-variety of reports and documents critical in the decision making process for landlords, new and existing. To get started go to www.tenantscreeningusa.com.
