What to Ask for on a Tenant Application

     Finding and putting the right tenant in a property is one of the most important things that you can do as a property manager or landlord.  It’s important to screen tenants to make sure they are a good fit for the property.  Financially, the tenant can make or break your property as an investment.  To make sure they are going to take care of the property, pay the rent on time and not be a problem tenant.  There is nothing worse in this business than to go to the trouble and expense of fixing up a property to get it ready for rent, run the ads, take the calls, run back and forth to meet perspective tenants, get someone approved and then a month later figure out that this is the “tenant from hell.”  We always say around here at Dunn and Company that it’s cheaper to leave the property vacant than to put the wrong tenant in the property.  So, here are a few pointers and questions to ask when you are processing a rental application.

   

WHAT TO ASK FOR ON AN APPLICATION FOR RENTAL PROPERTY 

     

1. FULL NAMES- MAKE SURE TO ASK FOR ALL POTENTIAL TENANTS OVER 18 TO FILL OUT AN APPLICATION.  Also, make sure you get a copy of their driver’s license, passport or other government supplied ID. When you are verifying an application you always want to make sure that you are approving who they say they are. So, by getting full names of all occupants over 18, you are able to not only checking all backgrounds but also you are able to see who is actually moving into the property.

2. AT LEAST 2 LANDLORD REFERENCES. The previous landlord may be more important than the current landlord.  The current landlord maybe motivated to tell you anything just so they can get rid of the “tenant from hell.”  Also, it maybe a smart thing to search the public records to make sure the person they are giving you as the landlord reference is actually the property owner and not some friend or family member that they have prompted to give them a good reference.  Always require applicants to fill out the application completely.  If the application is not filled out to the best of thier knowledge then do not run the application.   Make sure to get phone numbers for each landlord reference.  When verifying the information with the landlord be very thourough.  Ask open ended questions about rent payments, if they were on time, were any checks returned due to NSF, were pets an issue, how did the potential tenant return the property to the landlord and if they would rent to them again.  These are just a few of the questions to ask.  Try and get the landlord talking, you might be surprised by how much information they will tell you.

3. AT LEAST 2 EMPLOYMENT REFERENCES.  Verifying employment allows you to know if the potiential tenant will be able to cover the rent with other living expenses.  Again make sure the tenants list phone numbers for each employment reference.  Ask wo is verifying information with you, and what their job title is.  Be specific with the length of time potential tenants were with each company.  Ask how they stand with teh company and mot improtant verify how much the potential tenant is paid each month.  Make sure you call the employer.  Don’t let the tenant arrange for the employer to call you.  Who knows, they may have their best friend or relative call you.

4. NAMES, BREEDS AND AGES OF ANY AND ALL PETS THAT WILL BE AT THE PROPERTY.  It doesn’t hurt to actually meet the pets to verify the pets temperament.  We’ve actually required tenants to bring their dogs into our office and turn them loose, just to see how they will act in a new place or around strangers.  Another thing to do is take a photo of the pet and put it in your file for future reference. Believe it or not, tenants have been known to tell you one thing and then do another.  If you are allowing pets into the property, make sure to get all names, breeds and ages of each pet.  Having the name on file will allow you to make the pet feel a bit more comfortable in case of an emergency and you have to enter the property when the owner is not home.  Having the breed listed allows you to know if there are more or different pets in the home that weren’t approved.  It also lets you know if you need to more specific about what is allowed by the city that your property is located in.  Some breeds are not allowed in certain municipalities and you need to make sure you are up to speed on your local.  The ages of the pets will let you know what you can expect.  Young dogs or puppies are going to have more energy and maybe harder on your property while an older dog will likely be calmer and settled down.

5. ALL OCCUPANT NAMES- LISTING ALL CHILDREN AND ADULT NAMES.  You do want to make sure you know who’s living in the property and you can always refer to this for future reference.  Listing all occupants names on the application allows you to keep on file who is supposed to be in the property.  It also lets you know how much wear and tear may come out of multiple people living in a home compared to a single person.  Having all occupant names in your lease allows you to be aggressive with the number of people who may be in the home for multiple days. Be sure to explain this is who you are approving to move into the property.

6. SIGNATURE PAGE GIVING PERMISSION FOR LANDLORD TO VERIFY ALL OF THE ABOVE INFO.  This keeps you within the law.  You can’t run credit checks without written authorization and many empoyers and landlords will require written authorization before they will release information.

Written by Lauren Rodriguez.  You may contact Lauren at lauren@jdunnreatly.com or visit on line at www.DenverPropertyManagement.com or www.CashFlowProperties.com.