Landlords look for reliable renters to avoid costly property damage, long eviction processes, and unpaid rent. Screening renters is often a landlord’s most critical task since it helps landlords find more dependable renters. Common screening processes often include reports on credit history, income, criminal background, eviction history, and rental history. A rental history report gives the landlord insight into the renter’s past behavior and possible future actions, helping the landlord decide if the renter is a good fit.
What is a rental history report?
A rental history report provides a landlord with a list of the potential renter’s previous rental properties and each property’s contact information. The report details the name, address, and dates of each rental property where the renter has previously lived. From this information, the landlord can see where and for how long the renter stayed at each property. The report also includes the contact information for each of the renter’s previous property managers or landlords so the potential landlord can request information about the renter.
Why is a rental history report important?
A rental history report is important because it paints a picture of the renter’s actions at their previous rental properties and, by extension, what behavior the landlord can expect from the renter. Rental history can help the landlord understand a little more about the renter’s quirks and character, like whether they paid their monthly rent on time or were always late. It also indicates how well the renter may care for the landlord’s property. For example, if the renter significantly damaged their previous rental property, the landlord can take that into consideration. Another useful information for the landlord is whether the renter fulfilled their last lease agreement or broke it off early.
What if a renter doesn’t have a rental history?
There may be times when a potential renter doesn’t have a rental history. This often happens with younger adults who are new to the rental market, like millennials, Gen Zers, or college students. A landlord shouldn’t disqualify a first-time renter without a rental history. Just because the first-time renter doesn’t have a rental history doesn’t mean they’ll make a poor renter. The landlord can collect other relevant information, such as proof of income or co-signed leases, to assess a first-time renter. The landlord can also meet with the potential renter in person to watch the applicant’s behavior and establish a first impression.
How to check a rental history report
Once the landlord receives the rental history report, they can use the information in several ways. Here are some of the crucial steps a landlord can take to screen a renter based on their rental history report:
Set expectations
As the landlord, you can sketch what your ideal renter’s background should look like. You can decide ahead of time whether you’ll accept a renter who has made late payments, has broken a previous lease, or has no rental history. Once you create a template for who you will accept as a renter, you can use it for your application reviews. Just remember to meet all state or federal laws concerning renters, during the verification exercise.
Require rental history
If you choose to demand the potential renter’s rental history, you can inform the applicant so they can begin gathering their previous rental data. You can ask the applicant to provide at least two previous rental addresses and the contact information for the previous landlords. Or you can ask the applicant for their entire and chronological rental history. The amount of information requested is up to you, the landlord. Another excellent way to get a potential renter’s history is to use Zumper’s online screening tool, which is designed to help landlords with rental history sourcing and collation as well as other screening processes.
Sign history release
The potential renter must sign an information release form typically included in the initial rental application paperwork. An information release form is a legal document that authorizes the prospective landlord to review the applicant’s past rental information and contact their former rental landlords. Often past rental information includes the length of the lease, monthly rental rate, and rental payment history.
To add, potential renters who sign the information release form and are upfront about their past are more likely to be desirable renters.
Review history report
Start examining the applicant’s rental history report and look for any omitted information or gaps in rental history. If any relevant information is missing, such as street numbers or contact information, ask the potential renter for the information. If the applicant refuses to share key information, it’s possible they are hiding something about their previous renting experience. And if there are any gaps in the renter’s history, ask them for an explanation. There are many acceptable reasons why a renter may have a rental gap, such as saving money by moving back in with their parents.
Check references
After reviewing the potential renter’s history, call their previous and current landlords to understand how reliable and responsible they are. You can ask important questions like:
- Did the renter leave the property in good condition?
- Did the renter get on well with neighbors?
- Did the renter always pay their rent on time?
- Would you rent to this renter again?
Check eviction history
While investigating the potential renter’s history, you can verify their rental history and credit background to check for any evictions. Both reports can inform you of unlawful detainers, writs and warrants of eviction, tenant judgments, or failure to pay rent. Confirming if a previous landlord has evicted the renter can help you decide whether to move on to the next step of the rental process.
Some landlords choose not to rent to someone who has a prior eviction since it increases the risk of evicting them in the future. If you choose to rent to someone with a prior eviction, you have that valuable information and can ask the potential renter about what led to the eviction. It’s possible they have an acceptable reason.
Choosing the ideal renter comes down to deciding if they’re a good fit for your rental property. With information like a rental history report along with other reports and research, you can gain insight about the potential renter and make the right selection for your property.
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