All Forum Posts by: Chris B.

I completely back Kevin's opinion on cosigners.  Friends with rentals have generally indicated that the cosigner is either nowhere to be found or ignores all communication when needed.

Need to move in immediately is a red flag to understand.

Responsible tenants usually plan their moves and thus need to give notice to their old landlord and also are proactive in lining up a new property substantially before the move day arrives.  Even moving for work (not switching jobs) usually has a reasonable lead time.

Yes, your other concerns are also valid.

BTW, if I want to verify a bank statement, I ask them to bring it up on the app and show me. Copies of copies of fake pay stubs and bank statements are a real problem lately.

Don't trust any Zillow application.  I second Transunion as a decent screening tool.

The worst tenant I ever rented to fit this concern exactly.  The applicants showed up.  Kids immediately ran all over the house and upstairs and aggressively slammed doors, ran everywhere, stomping very loudly.  Parents couldn't care less.  Parents had all of the money available as they had a good enough income to pay deposit, 1st month, and move in ASAP.  Past landlord said they were fine.

After they moved in, it was a hoarder hell.  They brought in mice, cockroaches, and spiders. "assistance dog" chewed up all of the doors.  They extensively damaged the property from floor to ceiling.  A month after they moved in, the last landlord called me back and apologized for lying and stated he had been trying to get them out for a year.

They had some items on the background check I could have used to deny the application.  This was my worst rental related mistake ever.

Trust your gut.  Its likely there is something on the application and background check that can be used to safely pass on an applicant like this.  I'll loose a lot less money and sleep keeping the property empty for another month than renting to tenants that destroy the property.

And your statement regarding must rent to the 1st qualified applicant.  Not true.  Pick the best applicant.

I'd have them sign my own lease on renewal and I'd make sure I had enough information on them so I can go after them if a legal issue arises such as employer and other similar data.  Otherwise if they have been good for the past year, I'd leave it at that.

I never trust a Zillow application.  I like them because they may point out information that can disqualify a tenant when that applicant has provided some truthful information. Low hanging bad apples.  Great initial screening material.  However the tenant may lie and Zillow doesn't verify much so another application may look great.  Zillow seems to do minimal verification of information provided and that just isn't good enough.

Your situation does seem strange though.  I would try to verify the negative information and if in fact true, then it would be a pass for me.

Hello Makan.  I also know nothing about Apartments.com scoring specifically, but I'd probably group the report in with other similar application services like Zillow.  #1 rule is not to trust them, but they still have value.  Much of the information in these reports is self-reported and not verified.  In some areas, I find that the information is exaggerated (applicant lied) to make their application look better

Here's how I use them:  A lot of times, the applicant will self report information that disqualifies them.  I thank them for their interest and let them know they do not qualify.  If the report looks good, We have a phone interview.  If that goes well, I show the property and then I provide them with my own application.  After that is returned, I do a background check through Transunion or a similar service.  If the Transunion report verifies everything, and they meet my other criteria (credit scores, proof of income, background and eviction checks...) then we are good.

In my 15+ years at this, I have found a very strong correlation of credit score and tenant quality. This not only relates to tenant's likelihood to fall behind on rent, but it also corresponds to how well they will treat your property.  I have lost a lot more $$$ to tenant damage than to unpaid rent.  ALL of my major problem tenants happened to have had a average (adults in the household) score below 625.  those with score averages between about 625 and 685 have issues, but generally are manageable.  I've never had a problem with a tenant with a credit score above 700.  With this said, I do consider the situation.  A recent divorce can cause serious credit issues and I've had success with a tenant in this situation.  In another example, a tenant had no credit as he had just immigrated to the US.  He had a tech job and we talked the business and he was legit and when meeting the family, they were very respectful.  This was another great tenant.

Regarding Zillow applications, I differ with Kevin's experience.  In one area I rent, you just cannot trust them; over 50% of them have completely bogus data.  Great resource for advertising your property, but not so great for screening.  They do minimal at best verification of the data the applicant provides. It looks like Kevin's and my markets vary.  I have nicer Class B properties and it is expected that the applicants have a good record.  I put a lot of money into my property to make them nice.  One bad tenant can ( and have) quickly destroyed a year+ worth of profit.

I do these inspections myself, but if I used a property manager, yes, I absolutely would do it.  In fact I have less confidence that a random property manager will fill my property with a good tenant than me doing so myself.  Too many tenants mistreat property.  Damage is expensive to repair and with tenants that don't respect you, it just keeps piling on.  It's a snowball you will pay for when they leave.  Best to inspect mid contract and bill them for negligent or intentional damage immediately and have it promptly repaired.  Do the repairs on their time instead of on your own time when it's empty.  I do maintenance visits every few months until the tenant proves they are trustworthy and with some of mine, it's just once a year now. 

This happened to me once with the online rent collection service I use.  The tenant scheduled a ACH payment in the system and the system marked it as paid or pending or something like that in my view. Then a few days later, it didn't go through.  I spoke with the tenant and they had spent the money between initiating the payment and it clearing.  Apparently ACH transfers may take a few days to clear.

As there is a variety of companies that offer renter's insurance, is there a list of good or preffered insurance companies?  I'm currently having a tougher than necessary time with one such company right now trying to collect a repair reimbursement.  If not a list, how do you decide which are acceptable are?  Maybe a government certification?  I'd considering the idea of limiting my tenants to only using gcompanies that are generally good.  Thanks!