Salt Lake City is one of the hottest rental markets in the U.S. It has great outdoor spaces, ample employment opportunities, and an array of first-class entertainment venues. For real estate investors in this city, the income opportunities are impressive.
However, this setup only works if you have qualified, responsible tenants who will treat your property like their own. Today, we're sharing how to narrow your selection as you prepare to list your homes for rent.
Require a Credit Check
Credit history is one of the most reliable indicators of financial stability and responsibility. When finding tenants, always run a credit check on all applicants as well as anyone who plans to co-sign on the lease.
This allows you to see a detailed breakdown of their payments and any outstanding financial obligations they have. Ask for permission on the rental application and make sure all applicants know you plan to perform this step.
In addition to reviewing their credit score, it's also helpful to ask each renter for income verification. To make sure they can afford the monthly payments, their income should be at least 2.5 to three times the rental amount.
Contact References
One of the most common mistakes that landlords make is asking for references and never following up. Require all applicants to list at least three people you can contact before moving forward.
These should be people who can speak on their character, reliability, and overall trustworthiness. Ideally, their list will include at least one former landlord. Once you have those names and contact information, go ahead and reach out.
Use this time to ask about their experience with the applicant. You may also want to expand upon something you noticed in the interview or application. This is a great way to hear firsthand reports on how the tenant interacts with others and what you can expect if they move into your property.
Conduct a Background Check
In addition to checking each renter's credit, it's also important to perform a background check on all applicants. While you're free to set your own terms, many landlords choose to avoid renters with certain marks on their history. For example, you might choose not to rent to someone who has a felony or sex offense.
While this check usually comes with a small fee, the peace of mind it can provide is priceless. Look for a service that will include both a state and national report, and read through the results carefully.
We'll Help You List Homes for Rent
Managing your homes for rent can be tough, even if you've been a landlord for quite a while. Finding the right tenants is a long process but it's critical to keeping your property in good shape.
Our team is skilled in every aspect of property management, including tenant screening. We can handle this step for you so you don't have as much stress on your shoulders. In addition, we can also take care of marketing, inspections, maintenance, and much more.
To learn more about the services we offer, contact us today!
