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"Credit check necessary for a potential tenant?"
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Try 3 credit checks. You've got to use every resource available. We rented out my folks empty home in April and were so happy to get a nice young family ready to move in immediately. We saw the wife's W2 and were satisfied. BAD IDEA. They stopped paying rent, the husband is under indictment for fraud, frozen assets, and we can't get them out. Our instincts were off, we were fooled by "nice" personalities and were anxious to get the rent money to help pay for Mom's care. Had we simply Googled his name we would have seen the federal suit against him. Please learn from our mistake. Do your due diligence or run the risk.
My advice is to seek a reputable realtor to find you a tenant. Make the agent part of the process so if there is a promblem you can get them involved with the solution. Insist on a thorough credit check and job verication. If you are thorough on the vetting process you will not have problems later.
When my daughter rented an apartment in NYC I had to provide tons of personal information and guarantees.. It annoyed the heck out of me that the agency was asking for such information, W-2, work, bank, etc. After reading what Carol M wrote, i understand a little better why i had to do this. If someone wants to rent your place, dont be shy to ask for proof of everything. It's your only security.
I would. You might also request references from previous landlords.
- #5
- Posted: Jun 15, 2012 06:25 AM
Flag for inappropriate language - creditreport
- Bozeman, MT
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A credit check of tenants is not necessary but it is always sensible to go for a credit report check as it would expose his true financial background. It will let you know if the tenant was involved in any kind of fraud, lease or any other property issue. A creditreport will show his actual monetary credibility. Check your credit report free at http://www.freecreditreport.com/
- Posted: Jun 15, 2012 06:25 AM
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Other questions Boomeraters are asking...
I’m thinking about earning some extra money by renting out a home in our house. Is a credit check of potential tenants a good idea and how do I do that? Any other tips?