Can You as A Landlord Pick the Tenant?

By GoldenWest Management

Are you planning on renting your San Diego Rental Property and are wondering if you as the landlord can pick the tenant?

The answer to this question is yes, of course, but only if you choose the tenant based on the results of their credit check and application criteria.

Preoccupied, worried young male worker staring at computer screen in his office

Set Criteria and Stick with It

One of the best ways to save yourself the time, money and hassle of choosing the wrong tenant is to set criteria for what you’re searching for in a tenant and then stick with it.

You should be searching for a tenant who meets the following criteria:

  • They must have verifiable income that’s at least two and a half times the amount of rent.
  • A credit score that’s over 600 (or better).
  • Must never have been evicted or gone to rent court.
  • The tenant should be at least 18 years of age.
  • Should be able to provide you with references for their last 2 landlords plus references for their current and last two employers.

Small group of young people at a business meeting in a cafe

Charge the Tenant an Application Fee

When getting ready to screen tenants for your San Diego Rental Property you should charge an application fee because this is the first “hurdle” that the tenant must get over and prove that they are serious about renting your property.

Once they’ve paid the fee you should then start the process of reviewing their references and determining if they would be the right tenant or not.

Before pulling a copy of their credit report make sure that they sign off on a separate document which authorizes you to view their reports and credit scores with the 3 major credit bureaus.

House for rent

Get Professional Property Management for Your San Diego Rental Property

To learn more tips for choosing the right tenant, or for professional property management for your San Diego Rental Property, contact GoldenWest Management today by calling us at (866) 545-5303 or click here to connect with us online.

What is involved in screening and approving a Tenant?

Do you own rental properties or are planning on investing in rentals for the first time?

One of the most complicated aspects of owning rental properties is screening and approving tenants because tenants are the “life blood” of every rental property since if the wrong tenants are chosen they can bring major headaches for the owner.

When the right tenants are chosen the owner can often expect 12 months or more of effortless renting to a tenant who pays their rent on time, abides by the rules, and maintains the rental property.

If you’ve been thinking about hiring a property management company to manage your rental properties here is the screening and approval process that we follow at GoldenWest Management.

Determining an Acceptable Credit Score

Did you know that nearly one in two landlords said the results of a credit check were among the top three factors that they used when deciding whether to accept a tenant’s lease application or not?

At GoldenWest Management we determine an applicant’s credit score or (scoring rubric) from data we receive from the National Association of Credit Reporting.

How much in verified income do we need to approve? How do we prove income?

2.5x – 3x rent, this information can be verified by viewing an applicant’s paystubs.

If an applicant doesn’t have pay stubs we will ask for their recent tax returns or bank statements.

Once the tenant has proven their income they must also show that they have at least six months of reserves (rent x 6 months), after accounting for security deposit and first month’s rent.

Rental history

Although having good credit is still important, at GoldenWest Management we also request a tenant’s rental history because, like a credit report, rental history also shows a tenant’s rental behavior including if they have a history of paying their bills on time.

What if the tenant owns a home? As with running a credit check and inquiring about a tenant’s rental history, we will also want to know if that tenant (homeowner) has a current mortgage as well since this is also a sign of financial stability.

Criminal History

With new HUD laws outlawing or simply refusing people due to their criminal records we must know specific and relevant information about their criminal history including if they are: still on probation, a sex offender, or if they are a violent offender since this information may affect the safety and security of other tenants in the building and neighbors in the area.

Get Professional Property Management Here

For professional property management contact GoldenWest Management today by calling us at (866) 545-5303 or click here to connect with us online.