Choosing the best tenants for your property is one of the most important aspects of being a landlord. By adequately screening renters, you will be able to improve your ability to manage your property. There are a variety of factors to consider when choosing a tenant for your property. You want to make sure that the applicant has the financial capability to pay rent and that the tenant will be responsible and will not cause problems. Landlords will want to develop a screening policy they can follow that will help them choose good tenants without being discriminatory.
Fair Housing Laws
The Fair Housing Act is legislation that prohibits landlords from asking discriminatory questions as part of the tenant screening process. A landlord cannot ask questions that could discriminate based on race or color, religion, sex, national origin, family status, or disability. The Wisconsin Fair Housing Law adds further protections by making it unlawful to discriminate against a person in housing based on their protected class. Protected classes include age, race, color, disability, family status, sex, national origin, religion, marital status, ancestry, source of income, sexual orientation, or status as a victim of domestic abuse, sexual assault, or stalking.
Background Check
Background checks are easier to perform online than ever before. A simple background check should be part of the tenant screening process. A background check will verify the identity of the applicant as well as their education, employment, driving record, criminal record, professional licenses, credit history, and more. This information can be invaluable when screening an applicant. However, you must be careful to use the information you obtain in a responsible manner.
Criminal History
Landlords need to be careful when reviewing the criminal history of a prospective tenant. You cannot use a blanket policy to deny all applicants who have been arrested. This position would likely be hard to defend. It is also important to note that you cannot assume that a person who was arrested was also convicted. Also, you must compare all applicants equally, regardless of their race or ethnicity. This does not mean you cannot take criminal history into consideration. You must take each situation on a case-by-case basis, and you must have sufficient evidence to support a decision to deny tenancy because of someone’s criminal history.
Employment Verification
It is critical for landlords to verify the employment of a potential tenant. You need to make certain that the individual has the necessary income to pay the rent in a timely manner. You want to avoid having to take legal eviction steps for non-payment of rent. You should contact the employer to ensure that the employee is currently employed and to learn how long the applicant has been employed at the company. You may also request a letter from the employer that provides verification of salary.
References
Another way to screen tenants is through their references. A potential tenant may provide both personal and professional references. It is particularly helpful to contact the previous landlord. You will be able to find out if the applicant paid their rent on time and was a good tenant. Personal references can also be helpful, especially in establishing the person has strong ties to family and community.
Screening tenants can be easier and more effective when a policy is in place. You must follow the law in order to avoid problems. To learn more about landlord legal responsibilities, contact Moen Sheehan Meyer, Ltd. at (608) 784-8310 or online to request a consultation.