Do you own an investment property in Oklahoma City? If so, one of your priorities as a landlord should be to fill it with reliable tenants.
The first step in this process is to have a thorough screening process. In some cases, a simple credit check or criminal record search will be enough to make a decision. Other times, you'll need to dig a little deeper.
Want to ensure your tenant background check is as accurate as possible? If so, here are five potential red flags you should never ignore.
1. Job Hopping
If someone changes jobs often, they may also need to change their location. This could lead to them breaking your lease early. Plus, people with a history of job hopping are more likely to have an unstable income.
Of course, not everyone who changes jobs often is unreliable. To ensure you aren't turning quality tenants away, check their employment history. LinkedIn is a good place to start, but you can also ask applicants for references.
2. Sketchy References
Speaking of references, they aren't the perfect tenant screening tool. Many landlords put the good word in by default, even for tenants they ask to leave. If you're a first-time landlord, pay more attention to generic references.
Of course, references can contain plenty of important information as well. For instance, ask the previous landlord if they returned the entire deposit. If not, ask them how much of it was the applicant's fault.
3. Missing Information
If you get an application that's only partially filled, your first move should be to ask follow-up questions. Then, compare your applicant's answers to what you find out in screening reports. Oftentimes, there will be a mismatch.
For example, many tenants will tell you they have no prior evictions. If this turns out to be a lie, it will show they aren't interested in building trust with you. It also indicates they may have other things to hide.
4. Rush to Move In
There are many reasons why reliable tenants would want to move in quickly. This includes the risk of homelessness and domestic safety concerns. Other times, this can mean your applicant had issues with the previous landlord.
If an applicant is rushing the move-in process, find out why. Make sure to talk to their past landlords to confirm there's no foul play. For your protection, consider enforcing a one-week screening policy for all applicants.
5. Gaps in Employment
Gaps in employment, even long ones, usually aren't red flags. Many people take a gap year after school for personal growth. Others may be stay-at-home parents who act as primary caretakers of their families.
Sometimes, though, gaps in employment will be part of a harmful pattern. If you notice this on your applicant's resume, talk to them about it. If they don't have a valid explanation, it's best to look elsewhere.
How to Run a Tenant Background Check
The tenant background check process is often the difference between a rental property being profitable or not. The above guide will help you reach the right decision the next time you need to fill a vacancy!
Need professional help with tenant screening? At PMI OKCity Local, we pride ourselves on offering thorough credit and background checks. Contact us here to find out why we've been in this business for 20+ years!
