Questions on choosing tenants

[Miko Lee]

Hi all,

New landlord here. I tried educating myself with a bunch of online resources and books before closing on a property, and yet, I still stumble when I am actually facing these situations. I received two applications for the unit the I am showing. The first applicants initially put one pet and one service animal in their application. Now, they just informed me that they are in the process of converting another pet to service animal. They are also asking us if we can beautify the yard by putting in real grass or artificial grass. We haven't even approved their application yet!? Otherwise, they clear the income, background, and credit check.

Now, I received another application out of no where today. They are much more qualified in terms of income and credit. They applied as father/daughter. It doesn't seem like the father will stay at the property, and he is only applying along with his daughter so that their monthly household income will be at least 3x the monthly rental rate. The income from daughter alone does not meet the income qualification. I thought in the lease, there should be a clause saying that all applicants should stay on the property? I am using Cozy. So, I couldn't really tell if the father is submitting as a co-signer or as a main resident. I will call to verify.

What do I do?? Initially i thought i will only be dealing with one application. I understand that we need to send out adverse action notice if we were to deny any applicant. Do you guys utilize the first come first serve basis if both applicants meet all qualifications standards? Or do you guys go with whoever that has the highest income, better credit score, etc.? 

Thanks!

[Michele Fischer]

We do not use first come first serve, you should only do that if your local tenant-landlord law requires it. I would put both of these applicants in a holding pattern; don’t deny them but don’t work very aggressively on then, wait to see if you get a better option. It’s easier to say that you found a more qualified candidate than to say you are denying them.

You should establish criteria and evaluate each candidate on whether they make it or not, or come up with a point system and give it to the highest rating application. Every application should be ael to get to “yes, no, or maybe” relatively quickly and objectively.

You only need to do an adverse action letter if you are denying them because of something you saw on their credit reports. If you could tell form their application that they don’t apply, no need.

If applicants ask for improvements right off the bat it can mean one of two things. First, that they want it to be home and want to put down roots, which is good. Or, they will always be asking for more more more and will drive you nuts. I use a scoring system and take off points for indications that they will be fussy. It’s your judgement, just document it.

What is the fathers current living condition? If he has credit and seems solid, it shouldn’t matter to you if he is going to live there or not. We had a daughter who didn’t qualify, we told her dad the only way we’d let her move in is if he was on the lease, not just a co-signer. It worked out great. He paid her rent when she stopped paying, helped us get her out quicker, and he paid the bill that was due when she moved out. I’m guessing she is short income and rental history?

While there are people who truly have service animals, most are just trying to get out of paying the pet deposit. Ask them to fill out this form:

FORM TO REQUEST AN ASSISTANCE ANIMAL

We are committed to granting reasonable accommodations when necessary to afford persons with disabilities the equal opportunity to use and enjoy our rental properties.

Under the Fair Housing Act, a person with a disability is defined as a person who has a physical or mental impairment that substantially limits one or more major life activities. Reasonable accommodation may include waiving or varying pet polices and fees to allow an Assistance Animal. An Assistance Animal is an animal that does work or performs tasks for the benefit of a person with a disability, or provides emotional support or other assistance that alleviates one or more symptom or effects of a person’s disability.

Please complete this form completely and return it to us. All information will be kept confidential, except as otherwise required by law.

Today’s Date: _______________________

Name of person with disability requesting accommodation: _____________________________

What is the species of animal? __________________________

Provide the name and physical description (size, color, weight, license) of the animal:

_______________________________________________________________________________

Does the animal perform work or do tasks because of the disability? _____________

If Yes, please provide a statement from a health or social service professional indicating that you have a disability and explaining how the animal is able to do work or perform tasks that alleviate one or more symptoms or effects of your disability.

If No, please provide a statement from a health or social service professional indicating that you have a disability and how the animal alleviates the symptoms or effects.

Please attach statement with any additional information and contract information for the professional completing the statement.

_______________________________________ _______________________

Signature of Person Making Request Date

_______________________________________ _______________________

Signature of Person with Disability Date