Landlords need references to verify the tenants’ rental and job histories, as well as to gauge their reliability and credibility. Tenant references provide proof of the applicant’s character, professionalism, and payment history, enabling landlords to assess the tenant’s suitability for the property.
The landlord may follow up with these references to verify the tenant’s history and gather the necessary information to make an informed leasing decision.
Overall, references are a vital part of the tenant screening process and help landlords select the right tenant for their rental property.
The Importance Of Tenant Screening
As a landlord, it’s crucial to conduct tenant screening before accepting a new tenant. Tenant screening is an essential process that helps landlords protect their investments and avoid legal issues and tenant disputes.
It can be costly and time-consuming to evict a tenant or repair damages caused by a tenant who was not screened correctly.
Here are some reasons why tenant screening is essential:
High cost of eviction and property damage
Evicting a tenant can be expensive, time-consuming, and stressful. The cost of eviction includes court fees, legal representation, and lost rent.
Additionally, it can take weeks or even months to evict a tenant. During this time, the landlord will lose rent and bear extra expenses.
In the case of a bad tenant, the cost of damage to the property could be expensive. Tenant screening can save landlords from these expenses by ensuring that the tenant has a history of paying rent on time and taking care of the property.
Importance of protecting their investment
For landlords, their property is a vital investment, and it’s essential to safeguard it. Tenant screening helps landlords protect their investments.
It helps ensure that the tenant they select has a reliable income source, good credit or rental history, and no history of eviction or criminal behavior.
This process can help landlords avoid selecting tenants who are likely to default on rent or damage the property.
Reduced risk of legal issues and tenant disputes
Tenant screening helps landlords comply with fair housing laws, reduce the risk of legal issues, and avoid tenant disputes.
When a landlord selects a tenant without proper screening, they might violate fair housing laws by discriminating based on race, gender, religion, disability, or other factors.
Screening helps landlords ensure that they are selecting tenants based on their rental history and financial stability rather than personal characteristics.
Additionally, tenant screening helps avoid tenant disputes by selecting tenants who suit the property’s lifestyle and community.
Tenant screening is a crucial process for landlords that helps them avoid costly evictions, protect their investments, and comply with fair housing laws. It also helps reduce the risk of legal issues and tenant disputes.
Therefore, it’s essential to conduct tenant screening before accepting a new tenant.
Types Of References Required
As a landlord, choosing tenants for the property can be a daunting task, and one of the most critical decisions you make is to check their references.
The primary reason why references are crucial is that they can give you an idea of who your potential tenant is and their ability to pay rent.
Moreover, references can tell you about their work history, character, lifestyle, and past rental experience.
There are three types of references that landlords typically require from a tenant before agreeing to rent a property; employment references, previous landlord references, and character references.
Let’s explore each of them.
Employment References
Employment references are one of the essential references required by landlords. These references tell the landlord about the potential tenant’s job, including the job title, salary, length of employment, and job security.
A good employment reference can give landlords confidence that a tenant has a steady income to pay rent.
Consider the following key points regarding the employment reference:
- Details about the job title and the salary of the tenant.
- Length of time the tenant has been in employment.
- Verification of the current position of the tenant.
- Quality of the employment reference from the previous employer.
Previous Landlord References
A tenant’s previous landlord reference can provide valuable information to the landlord about a potential tenant.
This reference can help determine whether the tenant is responsible when it comes to paying rent on time, taking care of the property, and following rules and regulations.
Consider the following key points regarding the previous landlord reference:
- Verification of the tenant’s rental history.
- Details of how long the tenant rented the previous property and reason for leaving.
- Information regarding rent payments, and damage caused during the tenancy.
- Quality of the previous landlord reference.
Character References
Character references are typically personal references from the tenant’s friends, family members, or colleagues. These references give the landlord information about the tenant’s character, habits, and lifestyle.
A good character reference can help to establish the tenant’s ability to maintain the property and the neighborhood in good condition.
Consider the following key points regarding the character references:
- Insight about the tenant’s habits, lifestyle, and personality.
- Information about how responsible the tenant is and their ability to maintain a clean property.
- Verification that a potential tenant is unlikely to cause problems in a neighborhood.
- Quality of the character reference.
Frequently Asked Questions Of Why Do Landlords Need References?
Why Do Landlords Ask For References?
Landlords ask for references to assess the potential tenant’s character and ability to pay rent.
What Kind Of References Do Landlords Ask For?
Landlords typically ask for references from previous landlords, employers, and personal references.
How Important Are References To Landlords?
References are essential to landlords as they help them verify tenant credentials and filter out unreliable tenants.
What Happens If A Tenant Can’T Provide References?
Tenants who cannot provide references may be considered a higher risk and may be required to provide additional information or a co-signer.
Conclusion
Arming yourself with tenant references, you’re not just renting blindly. References equip you with a glimpse into your potential tenant’s history, reliability, and responsibility.
As a landlord, you should prioritize this step, ensuring peace of mind and the long-term stability of your rental business.
Reference
https://www.mass.gov/guides/landlord-responsibilities