All Forum Posts by: Robert Hanson

@Anthony Wick My rent is $700 per unit. Top of the market is $750 per unit. The deposit number is not set in stone. That's part of what i wanted to get from this discussion.

@Kenneth Garrett This criteria has worked for you in C class neighborhoods as well?

@Remington Lyman Thanks for the input. I did not realize that about the interest on deposit.

@Scott Mac I agree with everything you have started. So what's your practical takeaway here? I understand the differences in lifestyle, but how does that specifically translate to screening criteria?

@Nathan G. Fair enough. Thanks for your input.

@Lauren Kormylo. That's a great system and I'm glad it's worked well for you. I don't believe i could qualify that many tenants in a c class neighborhood using that method though.

@Art Mimnaugh thanks for the feedback.  That's the kind of discussion I'm looking for.  I'm sure perfection doesn't exist, I'm just looking to dial it in as close as possible. 

@Nathan Gesner others have mentioned the pre-screening approach to me as well.  It seems to me like that may be more of an art than a science.  Am I trying to learn more about the applicant's character or simply whether or not they can meet the screening requirements as a time saver?  What is the main goal?

@Justin Keys You're right about the detail and length.  Most of that is based on Brandon Turner's standards.  It's a place to start but I agree it may be difficult in a class C.  That is the main feedback I'm looking for here is whether or not I'm too strict.  I know of many that do well in class C so it is possible, I'm just hoping I can beat some of the learning curve with advice on BP. 

Hello BP,

This is a hit to my pride to post, but I need advice. I completed my first rehab to rent in July of last year. It is a quadplex and all units were rented until recently. I just had my first eviction and, needless to say, it was messy. I enlisted the help of a buddy who has several rentals all over town and has done very well with them over a period of about five years. However, it appears the screening was not done well enough. His properties are not in the same area as mine, which is in a C- neighborhood. The tenant just evicted also owed about six months of gas payments. For whatever reason, she put the electric in her name but not the gas. A second tenant is also now very late on rent and likely will get evicted as well. As such, I had to take things into my own hands and do some research with PM books and here on BP. The following is a list of screening rules that I’ve set. Please critique:

-Deposit Requirement: $1000.00. Purpose is twofold: additional protection against losses, and helps to ensure we have tenants that keep some money in the bank.

-Full tenant screen on mysmartmove.com. $40 application fee to cover screen and includes a resident score based on: credit, background check, credit report, eviction report and income insight.

-Income 3x monthly rent, no exceptions.

-Credit score over 600.

-Late medical bills, student loan payments ok as long as attempt is being made to pay. Late utility, credit, personal loan, auto loan etc. are no-go because the tenant is not able to pay or prioritizing living expenses.

-3 references from past landlords or work supervisors. No friends and family.

-No felons/sex offenders/judgements/liens/collections.

Also, regarding the tenant that just got evicted and the one that is likely getting evicted: is it worth filing in small claims court or turning over to a collections agency?

Love to hear from @Peter Lohmann . I’ve read some of your posts and understand you are in Columbus as well.

Thanks all for your time.

Spenser