Newbie Landlord: Rental application vs Credit check

[Jehan Jaleel]

Hi,  I am first time landlord trying to rent out my house . Once I find the right tenant, I want to do my due diligence with a proper background check to make sure they pay the rent on time (so I can keep my mortgage payments) and take care of my house.  Any advice you can give for a newbie like me?

One specific question, I do have is regarding the Rental application. I found some word docs online and this site also gave me one. But I am also using some online software for credit checks, like Transuion smartmove, so should I have them fill out the rental application and do the online Transaunion? 

Also for the application, is it better to send them a soft copy via email or a hard copy during the showing?

Thanks.

[Paul Ronto]

@Jehan Jaleel , first, congrats on becoming a landlord! You're on the right path for sure, but a few things to remember. Be sure to request credit, criminal and eviction reports to get the full picture. TransUnion has the best reports since they pull all three themselves and cross reference them to make sure they are accurate, which is why we partnered with them. The accuracy of these reports is just as important if not more so, then pulling them in the first place. 

Second, be sure to call past landlords and current employers as a reference. Your due diligence will pay off in the long run if you are picky in who you choose to rent your property. Also, set your minimum acceptance criteria and post it with your rental listing so you have it in writing where people can see it. This helps in a few ways, one it weeds out inquiries from people who don't qualify, and second sets a standard so you have clear reason as to why you didn't accept someone. This second part is mainly to cover you in terms of HUD and FHA laws, remember that renting out a house is governed by the federal and some state and local policy, there are protected classes you need to know about and can't unjustly screen against.

Lastly, as for your question about paper applications, you should consider ditching those for an online application, this will make your life much easier. With paper apps, you have to print them, hand them out, collect them, and re-input the info, where online apps, you just share the link and tenant applies, and you can get you screening reports directly through that process with no extra work. 

Hope this helps! Let me know if you have any other questions, feel free to direct message me if you'd like.