Here's What Overlooking Tenant Verification can Cost You

We've all heard or read multiple "bad tenant" stories from property owners, newspapers, news channels, or on the internet. Problematic renters bring with them a bucket full of problems that drain your time and energy. Most of these issues surface because a proprietor has rented their property based on their judgment. Instinct-based renting does work when you know somebody inside out. However, relying on the same sense to rent out your property to a stranger has its consequences. Dropping in as the saving grace is tenant screening, which is here to do a good turn to the property owners by guarding them against all the terrible rental experiences.

Alas, many property owners want to quickly rent out their property without tenant screening or a tenant background check. But little do they know that the same renter can be a profit drainer down the line. To all such owners and those mulling over renting out their property in the future, here's what overlooking a detailed tenant verification can cost you.

• Property Damage: Broken floor tiles, out of order appliances, corner-to-corner crack on the washroom mirror, torn upholstery, and dysfunctional furniture fittings are some of the damages that could undermine the value of your property.  With so much damage, you, as a property owner, may also have to face a difficult time finding the next tenant. Furthermore, this property’s ruination leads to disputes between tenants and owners. Also, these injuries are sure to drill a hole in your pocket if the tenant refuses to compensate for them. 

A property owner can keep all the damages mentioned above at bay with a tenant screening service. For instance, one of the components of a tenant background check is a reference check. The screening involves a verification with the tenant's previous landlord(s), and if any misconduct comes to light, you can refrain from handing over the key to the tenant.

• Legal Troubles: No Indian law makes police verification of the tenants mandatory for property owners. However, as per a provision in section 188 of IPC (disobedience to order duly promulgated by public servant), the property owners can be booked for an illegal act committed by the renter. You surely don't want any legal trouble marching your way because you overlooked the tenant screening process. 

The tenant background check involves criminal records search of the tenant through records across all the Indian courts. With a criminal background check, you can rest assured of a reliable tenant who doesn't land you in any legal miseries.

• Financial Fraud: You ignored the tenant screening check before renting your property, and now you have no clue about your tenant's criminal record or rent payment ability. It's the end of the first month, and you don't hear any rent credit notification sound on your phone. You constantly remind your tenant about rent, but your reminders fall on deaf ears. 

Or, in the worst-case scenario, you fall prey to a wire transfer scam of your tenant and end up with just the screenshots of the rent payment and a passbook that shows no credit of that amount in your bank account. These are some of the financial frauds that a property owner would want to keep far and away. And helping them in their endeavor is a comprehensive tenant verification system.

Along with checking with a previous landlord, a detailed tenant verification check entails a vital component called a credit history check. Under this head, your tenant's credit history is verified through various credit bureaus and databases, thus assuring you of a reliable income source.

• The Hassle of Eviction: Eviction is a process teeming with stress. You got your property ready, put in effort or perhaps spent on promotion to find a tenant, got the rental agreement ready, and undertook various other things to build a passive income source. However, you didn't pay heed to tenant verification or avail any tenant screening services available for landlords. Hence, here you are, asking your tenant to vacate your property and preparing yourself to redo the entire process again.

With a detailed tenant background check report at your disposal, you can make an informed decision about renting your property. A large number of essential tenant screening components give a clear picture of the background of your potential tenant. On the whole, with verified and good tenants, you can save yourself from the hassle of eviction every quarter.

Overlooking Tenant Background Check? Well, It Can Cost You a Lot!

A good tenant is someone who pays you rent on time, respects your assets, refrains from committing anything illegal on your property, and is kind to your neighbors. However, a tenant who doesn't demonstrate responsibility is synonymous with trouble, someone who can cost you your peace of mind. It is, therefore, recommended to leverage a tenant background check process to find a reliable and trustworthy tenant. With all the significant components integrated into tenant screening, you can save your time and energy that would otherwise be wasted in dealing with a bad tenant.

Have a pleasant owner-tenant relationship and keep sleepless nights away with a thorough tenant verification.