Tenant Screening Question

[Craig S.]

Hi Guys,

I am screening tenants now for one of my rental units, and as a fairly new landlord, I have a few questions.

1) SPOUSE NOT ON LEASE: Someone called me recently and said they are interested in the unit, but he wanted to know if his wife had to be on the lease. I said that anyone over age 18 is required to be on the lease. He said that he and his wife recently got married, and his wife has a prior eviction on her record--but it was not her fault. The wife was living with her mom and was required to be on the lease because she was over 18, but her mom defaulted and held her responsible even though it wasn't her fault. I said that I am sorry, but everyone over age 18 is required to be on the lease per our policy, and that we also decline for any evictions within the last 10 years. Does this sound reasonable? Should I have considered this any more? Would would some of the more experienced landlords do?

2) CHILDREN ON LEASE: When it comes to children, should I indeed require EVERYONE over age 18 to be on the lease? What if there are 2 parents and 2 kids (say age 12 and age 18 for example). Even if the kid is a senior in high school, should I still require him to be on the lease? What should I do regarding children over age 18?

3) INCOME REQUIREMENT: I have two applicants who have extremely good credit scores (800+) and all the references check out, etc. However, they aren't able to show proof for 3X the monthly income compared to asking rent. The husband has verifiable income, but the wife is a substitute teacher. Income is pretty regular, but isn't guaranteed. The same goes for waitresses, hairstylists, etc. What do you do for people with these professions where there is no guaranteed income, but you believe they can afford the rent? Require previous tax returns?

Any help would be appreciated, thanks!

[Corby Goade]

Great questions!

1) Spouse not on lease: For us, any applicant who tries to negotiate any changes to the lease or rent is no longer in the running as a tenant. This would only be the beginning of this tenant taking advantage of you. Next, they'll paint the house without your permission, and demand that you pay them for the paint. They'll have one of his buddies living in the garage because you don't require that everyone is on the lease. What if the wife damages the property and refuses to pay the damages? You would have no recourse because you have no contract with her. Run from this applicant. Fast. 

2) Children on lease: Our lease requires that they list the minors living in the house. You need record of that only so they don't take in their cousin's daughter. Then their niece. Then their neice's friend who's parents are mean to her. Etc- next thing you know, your two bedroom apartment has eight kids living there, writing on your walls and dropping cheerios down the vents. Yes- if the "kid" is 18, he's on the lease. He's a legal adult and living in your property, for which you are liable. Protect yourself at every turn. 

3) Income requirement: I'm actually much more flexible on this one. If the income is close, but I get really good vibes from the tenant, they have good credit and good references, I am okay with that. I put a lot of stock in their references, especially from previous landlords. I woudln't ask for tax returns, just make sure you have a very thorough application so that you have all of the info you need if things go south. 

Good luck out there!