As a landlord, the one thing you always want is a tenant that you can rely on. The truth is, however, that finding reliable and trustworthy tenants is tough to do. In our blog post today we are going to touch on a few of the statistics that all landlords should be aware of. From credit checks to common trends, bad tenants have things in common that all landlords should definitely be mindful of. Dive into today’s blog post for a few of the crazy statistics that we’ve found out about renters.
Credit Score
When it comes to reliability in your renter, the one thing that you will most commonly check is their credit score. This is an excellent way to set a glimpse of how well they manage money, whether or not they pay on time, and if this is someone that’s going to be able to follow up timely with the rent.
In 2017, when tenants had come in to rent their average credit score was a 650. By the end of the year, studies showed that their tenants credit scores had dropped by almost two percent or a total of 14 points. With an average credit score of 636, landlords are now looking at a score that puts these tenants extremely close to what is considered a “low credit score.”
Rentals are the Way to Go
The housing market has boomed, and we’ve seen that show in the number of renters, which has gone up drastically. The tough number to look at here, however, shows that in most cases those that are renting would actually save money by purchasing a home. The reality is, the cost of living has gone up tremendously in most large cities and is leaving people unable to afford buying a house. This then leaves renting as the only available option.
Criminal Record
Aside from looking at the credit score of the potential tenant, you’ll want to make sure that the individual that you’re letting rent out your property is also someone that you feel as if you know them and can trust that they won’t cause any legal trouble when living there. The best way to discover this is through a tenant screening. Most landlords found that when they completed a tenant screening, over 25 percent of their applicants had some type of criminal record.
Landlord’s Biggest Concern
When asked, landlords said that their biggest concern of renting out property was not receiving the payment from their tenant. It makes sense that this is the biggest concern given that someone will have to pay that rent and it usually falls back on the landlord. If this is something that you’re concerned about, find peace knowing that rental history reports can show you just how reliable the applicant that you’re considering has been with paying on time. Through this type of screening, you’re able to see the trouble tenants before they ever sign a lease.
Rental Research Services
There’s no doubt about it, finding the right tenant is a difficult thing to do. Whether it’s tenant screening or renter history reports that you need to start adding to your process, Rental Research Services can help. Allow for our team to provide you with the tools and information that you need to enhance your renting experience. Contact us today with any questions or inquiries that you may have.