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roykirk

Registered:
Posts: 3
Reply with quote  #1 
I own a rental house on one coast and I live on the other coast.  I manage it myself.  I know, not ideal. I've been extremely lucky in that in the 9 years I've owned the house I've had only two tenants.  One insisted on making improvements all the time without telling me or asking for reimbursement (when the rental agreement clearly stated I was more than willing to credit them for making such improvements if I approved of them beforehand) and the other gave me 4 months notice they were going to move out.  When things broke, both would usually fixed them on their own (or schedule someone local) and keep me in the loop.  I think I've been spoiled!

My second renter is moving out in a few weeks and I'm having a quandary trying to vet a prospective applicant (all by e-mail and using a tenant screening service, mind you).  One of the benchmarks I use is the common one that tenants should not be paying rent that is more than 28% of their gross income.  The rent I charge is 40% of this prospect's income.  As far as the tenant screening service, they show an average FICO with very little money in accounts but also few bills.  When I mentioned my concerns that they were trying to take on more house than they might be able to afford they replied that not only did they have family who helped provide for them, but they also were on some sort of state assistance that paid for nearly all of their housing costs. 

The person seems genuine and their previous landlords speak highly of them.  I'm just having some heartburn over the fact that their ability to rent my house is apparently so dependent on other people/sources than their primary listed occupation.  What are the thoughts of the experts here? 
BritneyR

Registered:
Posts: 232
Reply with quote  #2 
As far as I can see, they seem to be decent tenants.
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Hunter Rentals & Property Management

helloverify

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Posts: 9
Reply with quote  #3 
Really both of them seems to be descent but I think it is mandatory for every landlord to get report on tenant verification services from an renowned company.
__________________
Hello Verify an online screening system that does a thorough employee background screening. Their team does a comprehensive research from verified sources. They check the credentials of the individual by cross referring to the police verification India documents. They then give you credible information based on which you can then make an informed decision.
LLinVA

Registered:
Posts: 356
Reply with quote  #4 
Stop spamming.
NickG130

Registered:
Posts: 10
Reply with quote  #5 
As a landlord for almost 20 years, I have had probably a hundred friends ask me for a reference & I say NO. The problem with relying on landlord is DO YOU KNOW FOR A FACT they are NOt related and actually lived there. Anyone can give you any of their friend's of family's cell phone number. There are agencies ou t ther who for whatever amount of money will do a background check- I also do not trust them. They do what a realtor does & I know from working in the court systems you can't have access to their life's history with a realtor or website you pay. I used to work for the HRC specifically in discrimination & housing issues come up often. As a landlord, I am all about show me the money!!! Check your state law to see if you can charge an application fee- DONT BREAK THE LAW. I always have 19 out of 20 people who view my houses apply and it is usually easy to narrow down by things they say wo me even asking. I leave it up to them as in- show me 4-6 months of everything u have in statements. My state allows me to ask for account numbers but I say just black them out.. bc I dont think its any of my business. My state only allows by law to take first last security and security ant be over first months rent.. screws the tenants in my opinion as I have no problem with pets if they put up a higher refundable security but bc my state is so strict I don't take pets. There is a downloadable form you can get for free to have them sign and then email or fax to HR of their job I do suggest doing income verification. I think you may have started on the lines of.. cosigners.. be aware of your state laws and to best of my ability to sue and get a judgment enforced county to county os hard and more expensive never mind if it is state to state. You have every right to run a prospective tenants credit if they sign off on it, if they don't its  a red flag. In my state I cant charge them to do it so I would only entertain it if it was down to 2 different applicants but most people who pay their debts will keep up with rent. In mass where i am a landlord- going by 25- even 30% income is not realistic. It is so expensive to live here. I also have a ploicy of ONE person being responsible for rent in almost all cases. Romantic couples or just roommate friends can argue and break up- so I almost always have everything hanging in the person who makes more money. I dont come by many roommates or couples that make very close to same amount of money. That way if they do not want to live together anymore- no dispute over who's place it is and who owes you rent. Then with the INternet being what it is I suggest googling the person;s name and seeing what comes up and def their phone number bc sometimes just a number gives you a better idea of who that person is. What has always worked for me is "show me the money"- people who really desire your place combined with you saying you can black out your account numbers in my experience always do it. I say show me everything you are comfortable with and I need at least 4 months back. So no- showing me your checking taht your mom just loaned you 20k to make it seem like you have money.. i want to see4-6 months of what kind of balance they are carrying. Then of course- u likely know what utilities would cost. In my houses even in Boston- I have very new construction for around here so heat is low and electric which gets a bad rep but kicks butt in my opinion. I pay 1/3 less in heat than my friends with half square footage in gas and oil. If utilities are low and the person is not paying off some egregious debt- I dont think 40% is weird it def isnt for here at least if you mean after taxes.. rent or a mortgage is most people's largest bill. You also cant put a price on aggravation- try to get an idea via phone or however if the person is going to be an extreme pain in the butt. EVERY tenant I have makes me add 3 more pages to my lease. One quick example was one tenant (and i keep my houses PRISTINE- very rare in Boston)- she was paying $1,300 when I probably could have gotten 2k and def should have gotten 1800 and she also knew that, but still she called me in FLorida for a house in Mass (although I dont care if I lived across street from here- I should never get a call like this)- literally lightbulb blew out- like reached end of its life nothing electrical wrong- She said I need a repair left multiple messages for me while I was at work & I thought the basement had flooded by the tone of her messages- nope just a blown lightbulb. I was very aggravated and said This is what you do,,, go to any store and buy a light bulb remove old one and put new one in and never make me worry that I have 20 messages left in 2 hours again. I have half a page in my lease now about I am not changing or paying for your lightbulbs- & I mean a standard bulb- not florescent tube!! When her lease ended I told her I am NOt willing to re rent to her and had her leave. Then I started outright screening for people who seemed competent and literally even giving them tests.. toilet is running what do u check b4 u call me to have a plumber come out? If they dont even think to take lid off and see if chain is catching on stopper valve they are not for me bc I lived so far. You cant discriminate on a protected class but u can for being common sense stupid bc its not worth headache of someone who calls for everything. I do recommend you change your ways with letting tenants just fix things..u give that leeway then you can get in troible. I have 2 pages about water damage and how if they dont report it right away there can be mold wood rott etc that i can hold them liable for since i said even the tiniest drip i want to know about. Water is just so destructive. I have a separate document that is not written in legal ease that very much addresses water damage too. I have had a tenant who was very educated & seemed common sense smart who when toilet was running tried to shut off water and turned the shut iff too hard and then flood city. I am very specific they cant do ANYTHING wo my permission in writing (email included). I dont know if you are married or how old you are but with dating or relationships, most people learn to screen people out easily- oh youre prone to anger quickly- that does not work for me. I treat tenants the same way, I feel them out and screen accordingly, but once I narrow down to 3 or less it becomes all about show me all you have in money that youre comfortable with including stocks, IRAS, anything that shows you have money
NickG130

Registered:
Posts: 10
Reply with quote  #6 
As a landlord for almost 20 years, I have had probably a hundred friends ask me for a reference & I say NO. The problem with relying on landlord is DO YOU KNOW FOR A FACT they are NOt related and actually lived there. Anyone can give you any of their friend's of family's cell phone number. There are agencies ou t ther who for whatever amount of money will do a background check- I also do not trust them. They do what a realtor does & I know from working in the court systems you can't have access to their life's history with a realtor or website you pay. I used to work for the HRC specifically in discrimination & housing issues come up often. As a landlord, I am all about show me the money!!! Check your state law to see if you can charge an application fee- DONT BREAK THE LAW. I always have 19 out of 20 people who view my houses apply and it is usually easy to narrow down by things they say wo me even asking. I leave it up to them as in- show me 4-6 months of everything u have in statements. My state allows me to ask for account numbers but I say just black them out.. bc I dont think its any of my business. My state only allows by law to take first last security and security ant be over first months rent.. screws the tenants in my opinion as I have no problem with pets if they put up a higher refundable security but bc my state is so strict I don't take pets. There is a downloadable form you can get for free to have them sign and then email or fax to HR of their job I do suggest doing income verification. I think you may have started on the lines of.. cosigners.. be aware of your state laws and to best of my ability to sue and get a judgment enforced county to county os hard and more expensive never mind if it is state to state. You have every right to run a prospective tenants credit if they sign off on it, if they don't its  a red flag. In my state I cant charge them to do it so I would only entertain it if it was down to 2 different applicants but most people who pay their debts will keep up with rent. In mass where i am a landlord- going by 25- even 30% income is not realistic. It is so expensive to live here. I also have a ploicy of ONE person being responsible for rent in almost all cases. Romantic couples or just roommate friends can argue and break up- so I almost always have everything hanging in the person who makes more money. I dont come by many roommates or couples that make very close to same amount of money. That way if they do not want to live together anymore- no dispute over who's place it is and who owes you rent. Then with the INternet being what it is I suggest googling the person;s name and seeing what comes up and def their phone number bc sometimes just a number gives you a better idea of who that person is. What has always worked for me is "show me the money"- people who really desire your place combined with you saying you can black out your account numbers in my experience always do it. I say show me everything you are comfortable with and I need at least 4 months back. So no- showing me your checking taht your mom just loaned you 20k to make it seem like you have money.. i want to see4-6 months of what kind of balance they are carrying. Then of course- u likely know what utilities would cost. In my houses even in Boston- I have very new construction for around here so heat is low and electric which gets a bad rep but kicks butt in my opinion. I pay 1/3 less in heat than my friends with half square footage in gas and oil. If utilities are low and the person is not paying off some egregious debt- I dont think 40% is weird it def isnt for here at least if you mean after taxes.. rent or a mortgage is most people's largest bill. You also cant put a price on aggravation- try to get an idea via phone or however if the person is going to be an extreme pain in the butt. EVERY tenant I have makes me add 3 more pages to my lease. One quick example was one tenant (and i keep my houses PRISTINE- very rare in Boston)- she was paying $1,300 when I probably could have gotten 2k and def should have gotten 1800 and she also knew that, but still she called me in FLorida for a house in Mass (although I dont care if I lived across street from here- I should never get a call like this)- literally lightbulb blew out- like reached end of its life nothing electrical wrong- She said I need a repair left multiple messages for me while I was at work & I thought the basement had flooded by the tone of her messages- nope just a blown lightbulb. I was very aggravated and said This is what you do,,, go to any store and buy a light bulb remove old one and put new one in and never make me worry that I have 20 messages left in 2 hours again. I have half a page in my lease now about I am not changing or paying for your lightbulbs- & I mean a standard bulb- not florescent tube!! When her lease ended I told her I am NOt willing to re rent to her and had her leave. Then I started outright screening for people who seemed competent and literally even giving them tests.. toilet is running what do u check b4 u call me to have a plumber come out? If they dont even think to take lid off and see if chain is catching on stopper valve they are not for me bc I lived so far. You cant discriminate on a protected class but u can for being common sense stupid bc its not worth headache of someone who calls for everything. I do recommend you change your ways with letting tenants just fix things..u give that leeway then you can get in troible. I have 2 pages about water damage and how if they dont report it right away there can be mold wood rott etc that i can hold them liable for since i said even the tiniest drip i want to know about. Water is just so destructive. I have a separate document that is not written in legal ease that very much addresses water damage too. I have had a tenant who was very educated & seemed common sense smart who when toilet was running tried to shut off water and turned the shut iff too hard and then flood city. I am very specific they cant do ANYTHING wo my permission in writing (email included). I dont know if you are married or how old you are but with dating or relationships, most people learn to screen people out easily- oh youre prone to anger quickly- that does not work for me. I treat tenants the same way, I feel them out and screen accordingly, but once I narrow down to 3 or less it becomes all about show me all you have in money that youre comfortable with including stocks, IRAS, anything that shows you have money
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