It's an excellent time to be a landlord in ATL, as experts say it's now smarter to rent than buy a house in Metro Atlanta. This signals a robust rental market, which can translate to more prospective renters applying to become your tenant.
However, that also means you've got plenty of work to do, as you'd have to run a tenant background check on each applicant. If you don't, you risk renting out to the wrong people.
But what exactly does a background check reveal, anyway? And why does it matter to you as an Atlanta landlord?
Read on to learn what you can discover during this process and how it can benefit you.
Criminal History
Around 40% of Georgia's adult population, or 4.6 million adults, have a criminal history. With such high figures, there's a chance you'll encounter a few wishing to be your tenant.
A background check will reveal which applicants have a criminal record. It can also tell you what illegal acts they committed, such as if they're felonies or minor offenses.
You can't refuse applications based on criminal histories, especially not if the applicants belong to a protected class. Doing so could be discriminatory and against the Fair Housing Act. However, if someone else without a record who meets the tenancy requirements applies, it's your right to choose them.
Credit History
A tenant background check includes a credit check that can reveal an applicant's credit standing. It can tell you if a prospective tenant pays their financial dues on time, which is the type of renter you want. It can also tell you if they've routinely missed payment deadlines or have previously declared tenant bankruptcy.
Employment History
A tenant background check allows you to conduct employment verification. It helps confirm that an applicant is gainfully employed. This is crucial as it gives you peace of mind that your tenant can pay their rent.
Rental History
Every year, landlords throughout the U.S. file an estimated 3.6 million eviction cases. And contrary to popular belief, landlords don't like doing this because the process is lengthy and expensive. However, they often have no choice since their income is also on the line.
Since you don't want to be in the same boat, you must check the eviction history of prospective tenants.
This is one of the things you can learn through professional tenant background check services. They can also tell you the reason for eviction, possibly due to non-payment or criminal activity.
Always Conduct a Tenant Background Check
From criminal to credit, employment, and rental histories, these are all details you can discover with a tenant background check. They can help you find the best tenants who will always pay rent on time, care for your property, and have good moral character.
If you need help with tenant screening and background checks, PMI Georgia can help! Our experienced property managers can provide all the leasing-related services you need.
So, schedule your consultation with us today! We look forward to discussing the difference we can make for your Atlanta real estate investments.
