Zillow screening tool? Pros and cons?

Zillow screening tool? Pros and cons?

Rental Property Investor · Lake Zurich, IL · Member since 2019 · 70 posts · 14 votes

Hello BP Community,

So here we are at our 1st turnover on one of our properties. Now, that our tenants, who at first agreed in May of 2019 upon signing the lease, to direct deposit their rent and paid for only 1 month, then said their bank can't do it and continued paying by checks (every month on time, never late, except once), then they asked if they can have a cat despite that their lease does not allow it (only dogs, 1), after we accommodated them with a cat, they said a month later that the floor in the hallway broke, but didn't allow us to come in to repair it (or any flooring contractor, except for their own relative, whom I did contact per our tenants' request, but he was "shady" with me on the phone about his payment structure for his services and I respectfully declined it). So due to their fear of COVID which they believe will kill them, they refused our right of entry so we could assess the damage and take care of the flooring issue; then another week later they suggested that they want to buy a house of their own and move out at all (that's 1.5 years after their initial move in, 5 months after their annual lease renewal)... finally they sent us an official notice of intent that they are moving out on or before their lease expiration. Quite frankly it's for the best because they turned out more difficult than I thought of them and we still haven't had a chance to inspect our property, so because we don't even have an idea in what condition it is, we cannot respond to their expectation to get a full security deposit back. I can only determine how much of their security deposit (or full or none) I will be sending back to them within 30 days, after their final move out inspection not a day earlier. We had no issues with them with rent payments, but the fact that they denied us the right of entry for the past year was a problem and was highly suspicious. 

I consulted several attorneys in Lake County, who explained that our right of entry remains our right no matter what, even through COVID, and it is also our responsibility to maintain the property (which they didn't tell me anything new, I know that myself), but what was I suppose to do if they adamant about letting us in to inspect/repair our property.. Attorneys right away jumped to suggest to evict them but that was not what I was looking for. One local attorney even got irritable with me on the phone, and suggested to involve the police.. But I wasn't sure if force and embarrassment for ourselves and our tenants would be the right answer, so we left it alone, and now, few months later they are notifying about their intention to move. So I am preparing the Move-Out Instruction Sheet for them (I found on here 2 great versions which I combined into 1 and adjusted to our particular situation, thank you very much who posted it!) and pretty soon I'll be ready to re-list our property for new tenants. 

So as we are transitioning to end our relationship with our existing tenants, re-listing our property and start looking for new tenants, I was wondering if any of you have any suggestions to the following:

I had a great success listing the property on Zillow for the 1st time, had a lot of interest, a bidding war and after asking for $1,650/month, was able to rent out for $1,800 to this young couple we have now. I researched on BP the screening process, followed your suggestions that were coming from many of you - more experienced Landlords (thank you again!), and I used Zillow only to list our property. Now I see that Zillow offers "1 stop-shop" and it says on it it's "more common" - to not only re-list the property, but to do rental applications, screening and background checks of perspective tenants, all on Zillows and all at no cost. I think it's very convenient. But before I decide to consider it, I wanted to ask how reliable this is? If any of you or how many of you had actually used Zillow for all of these services? Did you like it? Did you not? If you liked it, why? And if you did not like, what was the reason for that too? What are the pros and cons of this option? Since we are still new to this, I am trying to make my screening process for perspective tenants easier, less stressful but more time efficient, simpler and more effective. Can you, please tell me, if you used it, how accurate and reliable this is? And if you don't like using it, why?

Any advice is welcomed and much appreciated! :)

Kate

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Member since 2021 · 3 posts · 5 votes
5y

DO NOT use ZIllow's background check, the SSN is OPTIONAL which we did not know, and the evictions notices did not come up in the background.   $15K+later .... we are learning the hard way. 

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  • Greg ScottPro Member
    Rental Property Investor · SE Michigan · Member since 2014 · 4k+ posts · 6k+ votes
    5y

    Half of this post is about problems you've had with management.  You absolutely have a right to inspect the property.  Your lease should say as much. If they refuse, that is a lease violation and you should let them know they can be evicted for that.  With COVID you cannot evict for non-payment but a lease violation does not apply.

    Regarding Zillow screening, there are many services that do the electronic portion.  Zillow may or may not be fine for that, but you never should stop with the credit report and criminal check.  Too many times that can be fabricated with a stolen SSN.  You can easily google sites that will fabricate pay stubs too.  The most critical part is calling old landlords. (Ideally not the currently landlord who may be trying to get rid of the) Also call current and prior companies.

  • Rental Property Investor · Lake Zurich, IL · Member since 2019 · 70 posts · 14 votes
    5y

    @Greg Scott, yes, I was calling former landlords in the past and will be doing it again. Thank you for your advice.

  • Investor · New York, NY · Member since 2020 · 119 posts · 84 votes
    5y

    Their website is so buggy in general, I would never trust them with anything more than just a listing.

    Plus, their terms of service are not realistic for real-world operations of rental properties.

    https://www.zillow.com/renter-hub/terms/Rental-User-Terms

    • Cannot collect deposits or last-month's rent
    • Cannot collect "sensitive" financial information

    Thus you will not get the tenant's SSN, which is necessary if you ever need to report an eviction or collect a debt. I also verify they have a bank account so they can actually pay using these online services ( I use cozy ) and (worst case scenario) if I have to garnish an account if things went really far south.

    I have also heard griping about the quality of the application itself from people here in BP, apparently it's just not complete enough, but I do not know that one myself because I'm not going to be using it.

  • Rental Property Investor · Member since 2020 · 1k+ posts · 1k+ votes
    5y

    I have used them in the past and found them to be good enough for what I was trying to do but don't know if I will in the future.  You get a credit score, it pulls evictions and has found them in the past for me and pulls addresses.  You also get a a criminal background check as well but they have never found one for me, I do tell people I am looking and just not to apply if they are going to come up so that could be why.  I also like that they are good for 30 days to the applicant can use them for other rentals so I feel it is better for them.  I think next time though I am going to try rent-prep as I like the idea of them looking up judgements and liens as well.  I have also heard you get a more detailed report vs. just the score and list of creditors which I feel will paint a better picture for me.  The only downside is it does cost more but if I scare off a tenant for an extra $15 that may be a good thing.  

  • Rental Property Investor · Lake Zurich, IL · Member since 2019 · 70 posts · 14 votes
    5y

    @Adam Azam, oh, thank you! So my intuition was telling me right - to use Zillow only for listing, everything else I did by myself and turned out a better choice. So I'll do it again - background check, eviction records, credit check separately myself. Thank you!

  • Rental Property Investor · Lake Zurich, IL · Member since 2019 · 70 posts · 14 votes
    5y

    @Adam Martin, you are absolutely right about having a better picture of tenants records. What will you be using in the future that you see a better option for background check, eviction records and credit check?

  • Asheville, NC · Member since 2017 · 385 posts · 274 votes
    5y

    When a prospective tenant fills out an application through zillow and then pays the fee it allows them to shop all the rentals listed on Zillow with that application. This allows them to shop around and they may get distracted and not follow through with their initial intentions of renting your place. I use Cozy for all applications and listings. It syncs the listing with zillow but takes a couple of days. I agree with @Adam Azam. Their site is so buggy I would not rely on it at all. 

  • Rental Property Investor · Lake Zurich, IL · Member since 2019 · 70 posts · 14 votes
    5y

    My 1st time screening process was: to have potential tenants fill out rental application, collect their W-2s and/or other forms of employment verification, then offer to eligible candidates to do their background and credit check on SmartMove (which I found on BiggerPockets). While this website may provide limited information, it gave me enough of a picture while selecting our tenants and it worked. Many experienced landlords on BP suggested not to collect tenants' SSN in order to avoid trouble in the future, so SmartMove just verifies it, potential tenant pays for this background and credit check themselves, and I get a copy of that report as well as the tenant does too. It was convenient. I wouldn't mind though to have more elaborate report next time to include eviction history, criminal records, in addition to background and credit check. Does Cozy provide that? And if so, how it works and is it good for tenants also as well as it is for landlords in the State of IL in Lake County?

  • Real Estate Agent · New York City · Member since 2020 · 818 posts · 639 votes
    5y

    Make sure you have clear tenant selection guidelines in place:

    1. Credit Score

    2. Background Check

    3. Income Verification

    4. Employer References

    5. Landlord References

    Make the selection guidelines clear and known to knock off folks who wouldn't meet your standards from the get go.

  • Rental Property Investor · Lake Zurich, IL · Member since 2019 · 70 posts · 14 votes
    5y

    @Alexander Szikla, that's exactly was my list when I was choosing our tenants thr 1st ime! And I'll absolutely do it again! Thank you!

  • Rental Property Investor · Lake Zurich, IL · Member since 2019 · 70 posts · 14 votes
    5y

    Thank you for everybody's opinions and feedback!

  • Member since 2020 · 38 posts · 68 votes
    5y

    Hi @Kate K.!

    Bigger Pockets actually offers tenant screening on their site now through a trusted partner! There is quite the variety of options available for screening packages; tenant involvement/no tenant involvement, instant reports, hand-compiled reports, and income verification too. 

    You can find further information by going to Tenant Screening under the Tools tab.

    Best of luck to you!

  • Rental Property Investor · Lake Zurich, IL · Member since 2019 · 70 posts · 14 votes
    5y

    Thank you, Chelsea Kline! I will consider using these tools.

  • Real Estate Agent · Minneapolis · Member since 2019 · 338 posts · 219 votes
    5y

    I've heard good things about Zumper -- may be worth taking a look!

  • Rental Property Investor · Lake Zurich, IL · Member since 2019 · 70 posts · 14 votes
    5y

    @Tom Wagner, thank you for your suggestion!

  • Member since 2021 · 3 posts · 5 votes
    5y

    DO NOT use ZIllow's background check, the SSN is OPTIONAL which we did not know, and the evictions notices did not come up in the background.   $15K+later .... we are learning the hard way. 

  • Rental Property Investor · Lake Zurich, IL · Member since 2019 · 70 posts · 14 votes
    5y

    @Alexander Szikla, did all the things you listed the 1st time around, when we rented to these first people over 2 years ago and just did all of these during my screening process again 2 months ago. Successfully re-rented our property to a new family. Thank you for your input!

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