Quick Guide to Effective Tenant Screening in Hilton Head

Kevin Quat • May 23, 2024

Now that you have successfully attracted a lineup of prospective tenants in Hilton Head, the next step is to screen them properly. No matter how excited you are about filling out a property vacancy, you should not overlook evaluating candidates before welcoming them into your rental space.

How to Identify Top Tier Tenants

Designing a solid tenant screening system helps you capture the right resident for your Hilton Head rental property. Review the characteristics of a renter that you are seeking and include this in your criteria during tenant screening.

Make sure to select a tenant who:

1. Has the capacity to pay the monthly rent.

2. Is presently working a steady job.

3. Has a reliable rental history.

The Tenant Screening Process

Performing Pre-screening

Pre-screening prospective renters is a way to save time. Once you filter out those candidates that will not match what you are seeking, then your time is better spent focusing on the potential renters that will be a good fit for your rental unit.

Start by listing down major details. Will you be a pet-friendly rental space? Will the utility bills be paid by the renters or will it be part of the rental fee? If you are clear on your rental terms and conditions, it will also help candidates save time. Find a way to include essential items in your property ads.

landlord using computer to review tenant screening

Reviewing the Tenant’s Rental Application

Here is the important information that should be included in the application form:

Contact information of the applicant.
The current address of residence and the landlord’s name and contact info.
Previous address of residence, including the landlords’ names and contact info.
Current employment information.
Authorization for credit and background check.

Verifying information is vital, especially the income of the potential resident. Learning the figures will help you determine if they can pay the monthly rental fees. Although it is not a rigid requirement, most landlords look for a pay level that is three times the rental fee. Ultimately, the decision will be made by the landlords.

A renter may not earn triple the monthly rental rate but they may show an excellent rental history, so this can be considered by the landlord. In addition, they may be employed in a stable job and handle their finances well.

Verifying a Tenant’s Income and Employment

To ensure that you have been thorough in reviewing a candidate’s application to your Hilton Head rental unit, assess and verify the income and work information. You want to avoid false or misleading claims since some will not be transparent in declaring their actual income.

Communicating With Previous Landlords

To learn a candidate’s rental history, spend time talking to their current and former landlords. Be prepared that the latest landlord may not divulge all information since they may encourage the renter to move out. Be sure to contact previous landlords as well, to get the most accurate representation of the tenant.

Reviewing the Applicant's Background Checks and Credit Reports

Conducting a credit and background check leads to uncovering a tenant’s

Complete account history.
Credit score.
Prior evictions.

This information will give you a good idea of the potential tenant’s ability to fulfill the monthly rent. As a landlord, it is important that you only welcome tenants who will respect and maintain your rental.

Denying or Accepting Potential Tenants

By following the list of steps above, it will be easy to figure out if a candidate is a good fit for your Hilton Head rental property. If you decide to accept the renter, then you must contact them by phone or email and instruct them on the next step.

If you will turn down a candidate’s application, it is recommended to communicate the decision through writing or email. Documenting is crucial for your recordkeeping. A landlord must be firm in relaying the decision. Reasons may not be provided but if a renter requests for it, then you can inform them.

Landlords must be very familiar with all terms of the Fair Housing Act (FHA) to avoid discriminating against any candidate during the tenant screening process.

Bottom Line

Screening renters may require a landlord to spare considerable time but being detailed in tenant screening limits your exposure to future problems. However, if you have little time to spend running a screening procedure, you can contact AIM Real Estate Management today! We are a dedicated partner in choosing excellent tenants for your Hilton Head rental property.

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