The biggest mistake property owners make is failing to properly
screen renters. That can be a minefield, though, because of
anti-discrimination laws. Even if you have good intentions, you
can’t refuse to rent to a single mother with a young child, for
example, just because the house you’re renting is in a neighborhood
that might not be safe.
Nevertheless, there are things that you can and should do to avoid
troublesome tenants:
Run a credit check. You don’t even need the applicant’s permission,
as long as you have a valid purpose. All you need is the applicant’s
Social Security number and perhaps a date-of-birth.
Check with former landlords. See if the tenant paid the rent on time
and left the property in good shape.
Verify current employment. People tend to be pretty consistent:
those who show up late for work may not pay their rent on time, either.
Interview the applicant. Ask about his or her current landlord. If
you hear negative views, that’s a bad sign because problems tend to
go along with the same people.
Pay a house call. Before you accept new tenants, look at the place
where they’re currently living. That’s what your property will look
like in six months, if you rent to them.
