{"id":96647,"date":"2024-09-20T14:45:22","date_gmt":"2024-09-20T21:45:22","guid":{"rendered":"https:\/\/www.redfin.com\/blog\/?p=96647"},"modified":"2024-10-17T13:10:05","modified_gmt":"2024-10-17T20:10:05","slug":"how-to-screen-tenants","status":"publish","type":"post","link":"https:\/\/www.redfin.com\/blog\/how-to-screen-tenants\/","title":{"rendered":"How to Screen Tenants: Step-by-Step Guide to Screening Renters"},"content":{"rendered":"

When <\/span>listing your home for rent<\/span><\/a>, there\u2019s plenty to do like creating an application, finding tenants, and signing a lease agreement. One thing you\u2019ll need to learn about is how to screen tenants during the application process.\u00a0<\/span><\/p>\n

In this Redfin article, we\u2019ll give you the step-by-step guide to screening renters, from setting application requirements to pre-screening tenants and verifying their information. Whether you\u2019re <\/span>renting your home in Austin<\/span><\/a> or <\/span>renting your condo in Chicago<\/span><\/a>, read on to find out how to screen tenants.\u00a0<\/span><\/p>\n

\"Exterior<\/h2>\n

1. Understand Fair Housing laws<\/span><\/h2>\n

Before screening any potential tenants, you\u2019ll need to understand Fair Housing laws. While you can choose the renters that fit your requirements, you still need to follow local, state, and federal laws. Under the <\/span>Fair Housing Act<\/span><\/a>, you can\u2019t reject a tenant based on race, color, national origin, religion, sex, familial status, or disability.\u00a0<\/span><\/p>\n

Some states have additional protected classes and laws preventing housing discrimination. Familiarize yourself with local and state laws to make sure you\u2019re not inadvertently rejecting a tenant based on protected classes.<\/span><\/p>\n

2. Set application requirements<\/span><\/h2>\n

By setting application requirements, you can better objectively determine the best tenant for your property. Here are some things to consider when setting up your qualifications.<\/span><\/p>\n

Income<\/span><\/h3>\n

It\u2019s common to set income requirements for your property to ensure that tenants are capable of paying rent on time. Many landlords use a <\/span>rent-to-income ratio<\/span><\/a> to determine income requirements for their applicants. You want to make sure that any prospective tenants are going to be able to cover rent costs without stretching their budget too much. Choosing an income requirement that\u2019s disproportionate to the area you\u2019re renting in may cause your property to stay vacant longer than you\u2019d like.\u00a0<\/span><\/p>\n

Credit history and score<\/span><\/h3>\n

Many landlords require a higher credit score, often above 670. This means you\u2019re often looking for tenants who have a credit score in the good range or better. Higher credit scores can be indicative of a more reliable tenant who pays bills on time. However, someone with a <\/span>lower credit score<\/span><\/a> isn\u2019t necessarily unqualified to rent your home. It\u2019s possible that they\u2019ve recently begun building their credit or have unpaid debts, like student loans.\u00a0<\/span><\/p>\n

You can read their credit history, ask questions, or ask for references if you want to have a lower credit score requirement for your property. Potential tenants may also have a good <\/span>rental history report<\/span><\/a> that supports their ability to make on-time payments – even if they have a lower credit score.\u00a0<\/span><\/p>\n

Previous evictions<\/span><\/h3>\n

You may want to require applicants to disclose any prior evictions. If an eviction appears during your screening process, consider asking for additional details and requesting permission to contact the previous landlord or property management to better understand the circumstances.<\/span><\/p>\n

Criminal history<\/span><\/h3>\n

Set clear guidelines on how criminal history will be evaluated. While certain convictions, like a DUI, may not be valid grounds for denial, more serious offenses\u2014such as arson\u2014could be. It\u2019s important to ensure that any criteria for <\/span>denial<\/span><\/a> are based on safety concerns and legal standards. Consult with an attorney to clarify what qualifies as a \u201cdangerous criminal conviction\u201d under the law.<\/span><\/p>\n

3. Pre-screen renters<\/span><\/h2>\n

While pre-screening renters may sound like you\u2019re interviewing them before they submit the application, that’s not the case. The way you pre-screen tenants is through the rental listing itself. Some information you might include:<\/span><\/p>\n