In America, around 36% of househol¿ds rent their homes from landlords. That was in 2020, and it's safe to say those numbers have since increased.
If you own investment property, finding the right tenants is essential. The right tenants will have a clear background check and treat the property as their own.
There are several factors to consider when screening potential tenants. However, tenant screening is something that's best left to the professionals.
If you're wondering why, keep reading. Here are three reasons why outsourcing your tenant screening process is a good idea.
Tenant screening can be time-consuming, especially if you have a lot of applicants. There are many steps involved, such as:
- Collecting tenant information: This includes gathering information such as the tenant's name, address, phone number, employment history, and income
- Running background checks: This involves checking the tenant's criminal history, credit history, and eviction history
- Verifying employment: This involves verifying that the tenant is employed and that they earn enough income to afford the rent
- Contacting references: This involves contacting the tenant's former landlords and employers to get their feedback on the tenant
For this reason, outsourcing the screening process and other landlord duties is wise. A full-service property management company will take on the task of collecting rental applications and screening tenants. This saves you time and money, leaving you free to focus on other aspects of your business.
Fewer Late Rent Payments
You'll have fewer late rent payments by outsourcing your tenant screening to a property management company. You'll also likely have fewer evictions.
After all, a property manager will thoroughly screen applicants. Only those with clear background checks will be considered.
This means you're more likely to rent to responsible tenants who are less likely to cause problems. After all, responsible tenants are more likely to pay their rent on time and in full. They are also less likely to cause damage to your property or violate the terms of their lease.
You Remain Compliant
When you outsource your tenant screening and other landlord duties to a top-quality property management company, you'll remain compliant with the renting laws in your state. This is because property management companies are experts in landlord-tenant law and are up-to-date on the latest changes to the law.
They can help you avoid costly mistakes and comply with all applicable laws. This is especially useful when dealing with an eviction.
Outsource Your Tenant Screening For Better Peace of Mind
As a landlord, you have a lot on your plate. From managing your property to collecting rent, there are a lot of tasks that need to be done. Outsourcing your tenant screening can help you save time, reduce your risk of late rent payments and evictions, and ensure you remain compliant with the law.
If you're looking for a way to make your life as a landlord easier, contact us today. At PMI North Dallas, we have over 30 years of industry experience in the Dallas and North Texas markets, making us your ideal choice for property management.