All Forum Posts by: Nicholas Jose

Re-reading my question again, it does sound a bit confusing. Let me try rephrasing it again:

3. Suppose you've screened an applicant and found him/her to be the perfect tenant. When we're both reviewing the lease with our attorney, one provision allows the landlord to have a copy of the tenant's key. Unfortunately, the applicant does not want me to have access to his/her unit and is not willing to meet me halfway. In this situation, would I be in the position to deny the applicant the rental unit and pick another applicant who's more compliant with this provision?

Good afternoon, BP.

I've read the Right of Entry section in the NJ Truth in Renting pamphlet; however, I have some questions I don't think the document adequately addresses:

1. If an inherited-tenant does not wish to provide the new landlord with a key, the landlord may evict the tenant for not complying with the reasonable lease provision. The landlord then has the burden to prove that his request for a key is not unreasonable. What examples could an "unreasonable request" be? Just emergencies that could result in loss of life/property?
2. If an inherited-tenant does not wish to provide the new landlord with a key, what should the landlord do: begin eviction (and prove his "unreasonable request") or take the case to the Superior Court of NJ?
3. If a prospective tenant passed the screening but refused to give the landlord a key during lease-signing (despite attempts to reach a mutual agreement), can the landlord still reject the applicant and start over?

Good afternoon, BP.

I'm hoping to own my first property by next year, but in the meantime, I'm looking for a professional tax advisor/preparer in the Union, NJ (or in the general Northern Jersey) area.

 Any reference is much appreciated.

But could looking at an applicant's bank statements show you if the person consistently spends more than 2/3 of their income per month?

Good afternoon, BP.

Let's say you want an applicant's monthly income to be at least 3X the monthly rent. A) If the applicant is an employee, would you just subtract the average expenses found on the bank statements from the average income found on the pay stubs? B) If the applicant is self-employed, would you subtract the average expenses found on the bank statement from the average income on the 4506-T?

Thanks for the tips, Chris. I'll make sure the applicant pays for the background/credit check and sends me a scanned copy of his/her govt-issued photo ID before I proceed with the screening. And regarding tax returns and bank statements, I guess the safest course of action would be to follow @John Farady's advice and have the applicant submit their 4506T to the IRS, then wait 3-6 weeks before making a final decision.

@John Farady Okay. Thanks for the help.

Okay. So I have multiple questions from this:
1. Would I give one 4506T form per applicant?

2. Would an applicant need to fill out two 4506T forms if I'm interested in their tax returns from the past 2 years?

3. If there are multiple occupants, would each occupant need to fill out their own 4506T form?

Good afternoon, BP.

I'm currently doing research on how to screen applicants, particularly those who are self-employed. One way to verify an applicant's credit history would be to examine their tax returns and other relevant documents (i.e. bank statements). However, what exactly are you looking for when you see the form with your own eyes? Would there be something that jumps out at you that screams "WARNING! THIS IS A FAKE DOCUMENT"? 

For first-time landlords, wouldn't it just be easier to have your tax advisor/preparer look at the applicant's tax returns him/herself and report back to you about its legitimacy?

Thanks for the feedback, everyone. They've been really insightful. I should've mentioned how I went to eforms and typed up the letter based on which state you're from (NJ in my case). I think @Anna Sagatelovareally hit the nail on the head:

Here's what I currently have on my letter:

"Thank you for submitting your rental application to us. We regret to inform you that your application as been rejected due to one or more of the following reasons:

[REASONS LISTED ON THIS THREAD]

Your application may have been denied on the basis of a report given by a consumer reporting Agency and/or on the bases of the information obtained from other sources.

If your application has been denied on the bases of information obtained from other sources, then you have a right under the Fair Credit Reporting Act to make a written request within 60 days from the receipt of this notice regarding the nature of this information. As per deferral law, we are prohibited from disclosing the source of this information.

If your application has been denied on the bases of information obtained from a consumer reporting Agency/Agencies, then you have the right under the Fair Credit Reporting Act to make a written request within 60 days from the receipt of this notice to obtain a free report from any of the following Agencies:

[...]

You also have the right to dispute your credit report on the basis of its inaccuracy or incompleteness. You may have other rights under Consumer protection Law or credit reporting for which you may contact your state Attorney General’s office or your local Consumer Protection Agency.

Important Note: The Fair Housing Act is a federal statute that prohibits discrimination in the sale or rental of housing, as well as in residential real estate-related transactions, such as advertising, mortgage lending, homeowner’s insurance, and zoning. The law make it unlawful to discriminate on the bases of race, color, religion, sex, and national origin, disability, and familial status."

So the above letter may be used for disqualifications related to credit. Other than that, I should just stick to writing a simple "Thanks for your application, but we've found someone else" (or some other reason), as many of you have suggested. Thanks for the help, everyone.