Do you rely on background check services to screen tenants instead of going through a property management company?
These services are causing headaches for both landlords and renters alike.
A recent report published by CNBC found that 65% of complaints over background check services are related to inaccurate information.
The above issues lead to the following problems:
- High tenant turnover
- Longer vacancy periods
- Application reprocessing
- More tenant screening fees
These costly issues make it difficult for investment property investors to eventually sell their properties. High turnover rates and problems with tenant screening spark concern among potential buyers.
However, this doesn't mean landlords shouldn't outsource their tenant screening, especially as property responsibilities mount up. Outsourcing to the right company makes a world of difference, especially when it's an Oklahoma City property management company.
Learn how a property manager handles tenant verification
Tenant Screening Begins With Marketing
Consider the tenant screening process when creating rental marketing materials. Experienced property managers know how to market properties to the right renter segments. This strategy prevents application overload from ineligible applicants.
Rental listings should be clear about what they want from prospective tenants.
Data points include:
- Verifiable rental history
- Financial statements (paystubs, bank statements, etc.)
- Ability to pay security deposit
- Submission to criminal background checks
- Verifiable employment
- Acceptable credit scores
Property managers include online application links in rental listings to speed up the rental application process. Prospective tenants may fill out an application directly from the property management company.
Identify Your Ideal Tenant
Establishing the qualities of an ideal tenant is the other part. An effective marketing campaign speaks to this tenant profile and draws them in through various techniques.
Marketing strategies include:
- Clear photos of the property
- Description of amenities
- Recent rental upgrades
- Effective pricing strategy
- Pet policies
- Property maintenance protocols
- Rental collection processes
Property managers are readily available to book rental viewings so that prospective tenants may view the property in person. Your property manager will also work with local vendors to improve curb appeal for marketing photos and attract passersby prospects.
Start the Tenant Background Check Process
Start the next phase of the tenant screening process by filtering eligible candidates from application information. The property manager will run background checks on the remaining shortlist of applicants.
Property managers will call previous landlords to learn more about an applicant's rental history, including rent payment histories. They'll also contact current employers to verify employment. Official paystubs are used to verify income.
Property management companies check national criminal databases to ensure there are no criminal records. Eviction databases are also reviewed to ensure no past eviction cases.
Discover a Better Screening Process
Save money, attract better tenants, and put your property in a better position on the market. An airtight tenant screening process is fundamental to rental property investing.
PMI OKCity Local wants to provide you with the peace of mind landlords need to keep growing their portfolios. Our expert tenant screening secures responsible renters with long-term potential.
Our leadership team brings over a decade of experience in property management and 15 years of previous experience in challenging industries like oil and gas. We're professional problem-solvers and bring our unique expertise to the PMI network, the fastest-growing property management franchise in the country.
Schedule an appointment to discuss the promise of your rental property.
