Renting your home without professional help requires you know what Red Flags to look for with a prospective renter. You need to be wary of scams. Just as there are scams to be aware of for renters, so to are there for owners. Over the years our company has seen many a scams take advantage of unassuming homeowners. While not completely avoidable there are some red flags to look out for.
The easiest way to avoid this, and the most obvious answer, is go through a reputable company. But, at the very least do your research.
Prospective Renters who are:
- To eager or aggressive- pushing you to make a decision is a big red flag.
- Willing to pay more than asked – it is unlike sales, outbidding is very rare in the rental world.
- Offering to pay the whole year in advance- while it sounds great on the surface it is not.
- Willing to take the property sight unseen- just always make sure they have seen the property or sign off saying they are accepting the terms sight unseen.
- Willing to take the property as is- this could lead to more damage. If they aren’t worried about losing a deposit or moving into a well kept home, it should be of concern.
- Asking for your banking information- Residents should not need this, and there are more secure ways of getting rental payment.
- Wanting you to not run their credit- Always a red flag
- Asking you to ignore the eviction on file or claiming it is not real. You can again do your research on this. Nine times out of ten the eviction is valid.
- Not providing legal and verifiable income verification- always require pay stubs or tax documents.
- Not providing addresses of previous residences- always call on the last two to three for accurate rental verification.
These 10 tips will help insure you do not fall into the trap of an unqualified resident or potential scam. Always have a rental qualification standard you give to all applicants. Always run credit, call on rental history and verify income. Consider becoming a member of the Southern California Rental Housing Association. When in doubt leave it to the professionals at FBS. Why waste your time, trying to figure out how to manage property. Leave it to us.