The Real Benefits of Tenant Screening

[Ashley G.]

New investor/landlord here. (2 x SFH in Midwest) I just want to highlight my experience on a property I own and emphasize the IMPORTANCE of doing your own due diligence on potential tenants.

We have recently closed on a property (SFH 3/1) in a blue collar town that we know well. We had several conversations with people interested however 1 really stood out. Married couple with 3 kids.

During the online conversations, everything seemed above board. The lady even mentioned she had an eviction 10 years ago (which didn't show up on the background check). She explained it was because her then husband hadn't given his child support money and she was a young first time mother with no where else to go.
OK. Reasonable excuse I guess. But still red flag #1

Next she told me her current husband had a few minor run ins with the law. Again nothing major and confirmed by the background check. Red flag #2

Finally she explained that her credit was poor but had increased over 100 points over the past 2 years. The poor credit was due to medical issues again confirmed by the background check. Red flag #3

She even sent cute family pics and work recommendations. However during each interaction more things or issues came up which started sending my spidy senses tingling.

So i decided to conduct a drive past of their current residence. To say it wasn't in the best shape may be an understatement. 
I followed up with the potential tenant for a request to see receipts of rent payment to their landlord and asked for their current landlords information.
The reply i got from the current landlord shocked me. 
First the honesty of the current landlord. He detailed the late payments, the ruined carpet, the broken doors, smashed windows, holes in walls and he fully expects to pay $15k in repairs.

He signed off by wishing me "good luck if you rent to them"

So for all newbies and veterans alike, please please conduct a full set of background checks and if something doesn't feel quite right maybe go with your gut instincts! 

This guy has potentially saved me thousands of dollars in repairs and months of headaches. 

Finally I wouldn't have known to do any of this stuff if it wasn't for the BP community and the forums on here and FB. So thank you to all contributors! Lesson learned and potential disaster avoided.