What is a tenant screening report? How do landlords use these reports to screen tenants? Tenant screening reports provide a snapshot of your rentability, helping landlords make confident leasing decisions by selecting an ideal tenant. Understanding the different components of these reports is important to properly position yourself as the right tenant.
In this article, we’ll explore the fundamentals of tenant screening, including what is included in a screening report, whether you can run a screening on yourself, how to get a copy of your screening report, and top tips to keep in mind.
What is Tenant Screening?
Tenant screening is a process landlords use to evaluate prospective tenants. The screening process analyzes different factors about tenants, including credit and background checks, employment and income verification, and payment history. When landlords screen tenants, they are looking for a few key factors:
- Your Ability to Pay Rent – By completing a credit check and income verification, landlords can determine if you can afford rent and will make timely payments.
- Your History of Property Maintenance – Screening reports often include rental history checks to make sure you were a responsible tenant with previous landlords. This includes keeping the property well-maintained and in good condition.
- The Likelihood of Following Lease Terms – Tenant background checks can uncover eviction records and whether you are likely to comply with lease terms.
- Your Fit in the Community – Criminal background checks reveal how safe and secure you will be to the community, which can be an important factor when making leasing decisions.
Understanding how to screen a tenant can help you know what prospective landlords are looking for when they run your tenant screening report.
Can I Run a Tenant Screening on Myself?
Yes, you can run the tenant screening process on yourself. In fact, going through your own tenant screening report can help you find any mistakes or errors that may impact your qualifications. For example, maybe you paid a health insurance bill, but it is still marked as past due on your credit report. In this situation, you can contact your healthcare provider and have it removed, improving your credit score and eligibility.
What is included in a Tenant Screening Report?
While each landlord will have a different tenant screening process, there are a few components that most screening reports will include. Let’s explore these items in more detail.
Tenant Credit Reports
A tenant credit check involves pulling your credit score from major credit bureaus. The Fair Credit Reporting Act regulates how major agencies, like Experian, TransUnion, and Equifax, collect and process your credit history. An applicant’s credit history outlines their ability to repay debt. If your credit score is low, it might indicate that you’ve defaulted on payments. While some landlords associate a lower credit score with a higher risk of payment default, others rely on your credit history and income verification.
Tenant Background Checks
Another important component in a tenant screening report is a background check. Background checks outline your criminal records, giving landlords all the details about any trouble with law enforcement. While many factors on a criminal background check are a part of public records, some may be hidden, especially if the crimes were committed when you were a minor.
Employment Verification
The employment status of prospective tenants will also be analyzed during the screening process. Prospective landlords want to know if you have income to support your financial obligations, including the new rent payment.
Rental History
The tenant screening report will contain your rental history, including previous addresses and past landlords. Rental history verification might also include contacting previous property owners to inquire about any past evictions and whether you consistently paid rent on time. Remember, your eviction history is often public. Property owners can track down these items even if you do not give out your last property management company or landlord’s information.
Rental Application
Tenant screening reports often include an accompanying rental application. Your rental application outlines most of the above information and can include potential tenants on the lease and any other information you want your landlord to know. For example, if an applicant’s credit score is low or if you have a criminal background, you might explain why on your rental application. Oftentimes, a qualified tenant is one who is upfront and honest about the factors on their rental application.
How Much Rental History is on a Tenant Screening Report?
Generally, two to three years of rental history is included on a tenant screening report. If you do not have any rental history, such as if you are moving out for the first time, you may need to list the information of the person you were residing with. However, eviction records can be included on your rental history for up to seven years from the date they were filed.
How is Income Verification Done in a Tenant Screening Report?
Your employment history might be verified by contacting your employer, looking at pay stubs, and confirming deposits on your bank statements. Landlords want the complete picture of your financial situation before moving forward.
How to Get a Tenant Screening Report?
In many states, landlords are required to share a copy of your tenant screening report with you during the application process, especially when using tenant screening services. For example, Zillow rental manager will provide you with a copy of your credit and background checks, letting you know exactly what a prospective landlord is looking at.
Can I Provide My Own Tenant Screening Report?
A portable tenant screening report is a report that shows your credit reports from major credit bureaus, your rental history, eviction history, criminal records from a reliable criminal background check, and your employment and income verification history. These detailed reports are often attached to your rental application to save time and comply with screening requests.
Certain states, like Colorado, California, Illinois, and Washington, require landlords to use portable tenant screening reports. In these states, landlords cannot require prospective renters to submit a separate application with added application fees. You can obtain a portable tenant screening report through a reputable screening provider.
Tenant Screening Report Tips
When applying for rental properties, you are trying to beat out other tenants for the unit. This makes it important to position yourself for success. Here are a few top tips when going through the tenant background screening process.
Know Your Eviction History
Eviction reports can make or break your eligibility. While you should know if you have eviction reports on file, you can always check by looking at public records. Similarly, it can be helpful to explain eviction reports on your application. For example, if you were evicted because of a roommate, be sure to explain that. Some landlords will be sympathetic if you went through a hard time or have a valid reason for the eviction.
Be Honest About Tenant Background Checks
The same goes for criminal records. Tenant background checks will include a criminal background check. Your criminal background check will outline your record, including the crime committed, the dates of the crime, and the outcome. If you know items will show up on your criminal background check, explain them to the landlord. Don’t try to hide a criminal background check on your screening reports.
Check Your Credit Reports
Credit reports are one of the main items that landlords rely on to screen tenants. Potential tenants will need to either provide a copy of their credit reports or submit them, which is often done through tenant screening services. While there isn’t a one-size-fits-all goal for traditional credit scores, the higher your score is, the better. Additionally, prospective renters should pull their credit reports ahead of time to look for any mistakes. Online credit reports are generally free, with many credit card companies providing them to cardholders.
Closely Review Applications
Before you submit your application, be sure the information matches the screening reports. You don’t want a property management company or a landlord to find any discrepancies. Verify that your income matches pay stubs and ensure all records and reports confirm the information listed.
Summary
Tenant screening reports are an important component for landlords to make informed decisions when searching for reliable tenants. To conduct your own tenant screening reports or learn more about what landlords look for, visit our tenant screening checklist.
