Nowadays majority of individuals are into business due to high economic and financial challenges that everyone is facing. It is never enough to have just two to three job shifts in a week if you really want to earn big time. But how can setting up and managing a business be possible if someone has a limited amount of time and energy after working the entire day? The answer is to choose a kind of business that requires less amount of time and energy in terms of supervision, but generates a guaranteed income. One of the best options is to have units for rent and for this you need to employ tenant screening services.
A house or a place to stay in is a basic commodity, which makes it a really good kind of business especially of you have the resources. Although this may require a bigger investment compared to other types of businesses, it can surely generate the money you need and you don’t have to do anything once it’s already there. You just have to accept tenants and wait for the billing period and collect rental payments, daily, monthly, or whatever set-up you wish to have. The only disadvantage and the risk that this kind of business usually face is the attitude and the capacity of the tenants to pay regularly. One can assume that most of the individuals who opted to rent a space are not that well off. Some are just starting to earn a living and are not established yet in terms of financial status. With those things mentioned it can be very difficult in the future to collect payments and do your other work at the same time. It can even become a burden with delayed payments and bills pilling up. This problem however, can be managed if you know how to properly screen your future tenants.
What is Tenant Screening Service?
On the other hand, if you think you don’t have the time and the capacity to thoroughly do a background check for future tenants then it is best to hire individuals to do this task. There are actually companies who can provide tenant screening services. Having them around will definitely solve your problem and keep you away from people that are no good when it comes to paying their rent. You can search for them online and you just have to open an account with them which comes with other services aside from screening future tenants. One good example of these companies which has been really popular because of their credibility and thorough work can easily be found in your local community.
What are the things that tenant screening services can actually do that you can’t? Since they have been existing for quite some time already, they already have access on secured information which limited to common individuals. Tenant screening services have partnered with banks to check on credit and payment history and other red flags that would surely affect a person’s capacity to pay. However, they are not limited only individual records, they can also provide information for companies who went to bankruptcy that are usually used as loan or collaterals to avail credit points.
What to Expect from a Tenant Screening Service
Since tenant screening services can provide you a detailed report on a person’s history when it comes to paying their rentals, they also have this tenant’s credit score. It is basically a score card where a particular person has been rated from his or her previous landlords. This will help other unit owners to easily identify those who are not so good with their financial responsibilities and at the same time give credit to those who religiously pay their rent regardless of where they are situated. The tenant screening services is like a working network helping unit owners build a better and hassle-free business. With the existence of tenant screening services, tenants are more obliged to pay for their rent because they know that it will affect their records and credibility as creditor. With a bad record in the future it will really be difficult to find a good and safe place to stay.
But what else can these companies do to help you secure your business? Aside from providing good tenant screening services, to help you choose your tenants and prevent those non-good payors from occupying your units, they also check on a person’s criminal background. Their criminal background check can give you reports on individuals who were involved in fraud, history as sex offenders, and they even have access on FBI, ODAC, DEA’s most wanted list. The information that you could get from the tenant screening services will secure you and your other tenants from possible threat and harm. They will also alert the authorities once they find a hit on their system and report it immediately to help the bureau eliminate offenders.
How does it Work?
The tenant screening services also has the option whether the Landlord of the Tenant will pay for their services. It might be an additional expense for a landlord to avail the tenant screening services however it will be all worth it. Just imagine the fuss and the hassle in dealing with crappy tenants in the future because you did not look up on them. However, there are some landlords who would actually require their tenants to pay for the tenant screening services as part of their requirements instead of asking for few monthly payment advances. This will attract good paying tenants to rent your place especially those who keep good records from previous landlords because they are actually confident with their history as tenants and it costs less than a month of rent.
Another thing which makes it somehow difficult for landlords to do is to evict a current tenant. Whatever justifiable reason it is, it is important to report and do a record about it and include it on the tenant’s history report. The tenant screening services will include this with additional fee. Having this around will push more tenants to be serious and responsible enough and build a good relationship with their landlords. It is like do good, keep a clean record and it will surely help you out in the future.