Rental Referance Frequently Asked Questions

18 May 2012

Landlords complete background checks, like those from MyScreeningReport,  to see if a potential tenant is likely to do two important things: pay rent money on time and maintain a disturbance-free/clean property. Therefore, it’s crucial to complete rental reference checks in addition to credit report screening, running a criminal background check, and verifying the applicant’s income. The following are common questions we hear regarding the process of calling on an applicant’s previous rental references. The reference cannot verify my applicant because there is no record of them on file. Is the applicant lying? Not necessarily. While landlords/property management companies typically retain a former tenant’s lease paperwork for a minimum of seven years, the paperwork may have been lost in transfer to a central office or simply thrown out in error. Also, the property management company may have the paperwork filed under the applicant’s former roommate’s name. If the tenant insists they did in fact live there, ask the applicant to double check the details of their unit# and dates listed, and confirm any former roommates with their former landlord. This may help your reference locate their file for verification. The reference did not check the “YES” box when I asked “Would you re-rent to this tenant?” Should I deny the applicant? It is actually quite common for references to avoid this question on a form. This is done primarily to protect themselves legally. Instead, a former landlord may skip the YES/NO boxes and write in “If Requalified” indicating they are not aware of potential changes that may have occurred in the personal lives of their former tenant. While they may have been an ideal tenant at the time, circumstances (e.g., a recent job loss, legal trouble) may have changed since their tenancy, in which case they would deny the tenant if applying today. Unless they have remained in close contact with the tenant, it is not uncommon for the reference to skip this question on a rental reference form. It doesn’t always imply a high-risk applicant. Should I be concerned if the person answering the phone does not match the tenant’s listed contact information? While it is ideal when the reference answers with the name of the apartment community listed, there may be a reasonable explanation if the person or property names do not match up. The property management industry is known for high employee turnover, especially in more competitive markets. Chances are there is a new Property Manager serving the apartment community since the time the applicant resided there. In other cases, the tenant’s former apartment building may have changed ownership or management companies. The applicant may not have verified the reference’s most recent information before submitting it to you. What if I find additional addresses on the credit report that were not disclosed on the application to rent? The applicant may be trying to hide something. Many applicants have negative rental references of late payments, noise disturbances on record or a balance owing with the former landlord. There’s a good chance the tenant left this former address/rental reference off of your application. You may confront the applicant on the discrepancy and request additional, accurate rental reference information.