Archives for 2015

For landlords, the resident screening process should begin with how the rental ad is worded and during first contact with the rental applicant. Some key questions to rental applicants can yield valuable information in helping landlords to screen for the very best, low-stress, high-profit renters.

Here are six important questions to ask rental applicants:

1. When would you like to be moved in?

If the rental applicants’ reply is “as soon as possible,” this could indicate that they are disorganized and bad planners. Such behavior might preclude lateness with rent or not giving notice to you down the road when they move out. Also, if it’s clear that the timing of their move-in won’t work with your timeline, it’s best to focus on other tenants that are a better fit.

2. What is your main reason for moving?

This question may seem nosy, but it can yield great insights into the potential renter. Reasons like changing jobs or needing more space are fine, but if their answer relates to conflict or drama with the past landlord or neighbors, this could be a sign they will be a problem tenant.

3. How many people would be moving into the unit?

More people living in a property lead to more wear and tear. Landlords may want to set a limit for each property and also check with state rules and guidelines; many states only authorize two persons per bedroom as a maximum.

4. Can you provide character references from past landlords, employers, educators, or other key persons?

If the tenant hems and haws about this one, it’s likely they have something to hide. When calling these references, inquire about the rental applicant’s timeliness with payments and meeting obligations as well as their general character and reliability.

5. What is your employment source and monthly income?

This question helps landlords to enforce a standard of steady employment and an income that is three times the monthly rent. While debt can affect their financial viability, this can be checked via their tenant screening credit report.

6. Would you consent to a national criminal record search and credit record check?

Again, evasiveness is a bad sign here. It’s probably wise to disqualify any applicant that will not agree to tenant screening like credit records and eviction records checks.

Being a landlord is a business, and it’s important to invest in tenants that support the success of that business. Ask these six questions to rental applicants to yield invaluable information when screening potential renters.

Disclaimer: The information on this website does not constitute legal advice and is governed by our Terms of Use. We make no claims, promises or guarantees about the accuracy, completeness, or adequacy of the information contained in or linked to this website and its associated sites.

With an increasing number of legal proceedings now taking place online — such as the recent serving of divorce papers through Facebook — it was only a matter of time until the trend extended to tenant law. Under a new Michigan law, landlords can serve Michigan eviction notices electronically, provided that a tenant has provided prior consent. Understanding the law and its restrictions will be key for landlords hoping to make use of it.

Electronic transmission of “demand for possession”

In May, Michigan’s governor signed House Bill 4038, which allows landlords to deliver notices of eviction to tenants through “electronic service.” Lexology notes that before passage of the new law, eviction notices — also known as “demand for possession” – had to be served in person, either in writing at the residence or via first-class mail.

The new law, which amends Section 5718 of the Michigan Summary Proceedings Act, requires that before eviction notices can be served electronically, tenants must have previously provided written consent. Either confirmation of the consent or the consent itself must be sent electronically, and a reply must be sent by the other party confirming receipt.

What landlords need to know

In light of the new law, landlords in Michigan should attempt to obtain the required consent at the time of signing of lease agreements. The law goes into effect on Aug. 19, 2015 and landlords can begin requesting consent after that time. Landlords cannot refuse to execute a lease because a prospective tenant won’t sign the electronic-service consent.

What if email addresses change?

Considering that significant time can pass between the signing of a lease and an eviction proceeding, it’s highly possible that email addresses may change. The new law provides that the address used during the process of consenting to the electronic service agreement stands as the official email address, and the assumption is that it continues to be a valid address. The email address can be changed by repeating the consent process — with the consent form sent and replied to electronically.

What’s next for electronic transmission?

While most jurisdictions currently don’t allow electronic service of eviction notices, that may change quickly. Despite concerns about the unreliability of email as a legal notification method, proponents argue that email may be the only way to reach tenants who move prior to an eviction notice. Landlords should consult with a knowledgeable attorney in their state to stay abreast of any updates to the law. For more information about Michigan criminal background checks, please visit InstantCriminalChecks.com.

Disclaimer: The information on this website does not constitute legal advice and is governed by our Terms of Use. We make no claims, promises or guarantees about the accuracy, completeness, or adequacy of the information contained in or linked to this website and its associated sites.

Being a landlord can be rewarding, but there is a certain amount of risk involved. A tenant that is negligent with a property and rental agreement can lead to untold financial hardship and stress. Setting some reasonable minimum requirements is within the rights of landlords and can help with avoiding potential problem tenants. Here are four non-negotiable standards to consider enforcing:

1. No Past Evictions

An eviction is one of the worst black marks a tenant can have, and it paints them as a risk in any rental situation going forward. While people can change, a prudent landlord will make it a policy never to rent to someone who has been evicted. A resident screening service can help with determining if a client has ever been evicted or is embroiled in legal proceedings with a former landlord.

2. New Tenants Monthly Income Must Be Three Three the Expected Rent

The standard of requiring the renter’s income to be three times as much as the stated monthly rent is a reasonable expectation and a policy that’s been enforced by many landlords. Banks, lenders and financial institutions have also used this standard with great success. Enacting this requirement can help landlords to connect with quality new tenants who will be able to pay their rent on time on a consistent basis.

3. At Least 3 Positive Character References

Many savvy consumers seek referrals, recommendations and positive reviews of businesses before using their products or services, and screening potential new tenants should be no different. If an applicant cannot provide at least three positive character references from past landlords, employers or educators, this is a big red flag.

4. No Criminal Record

A criminal past is another non-negotiable for landlords looking to minimize their stress and maximize profits. Sure, people can change, but renting to someone with a criminal record remains a huge risk. Make use of a quality tenant screening service to determine if an applicant’s record is clean.

Lastly, minimum requirements should be clearly stated in the rental ad, on the application and told to prospective new tenants in person so that they are clear on what is expected of them. That way, if they must be eliminated due to not meeting these standards, it will not come as a surprise.

Disclaimer: The information on this website does not constitute legal advice and is governed by our Terms of Use. We make no claims, promises or guarantees about the accuracy, completeness, or adequacy of the information contained in or linked to this website and its associated sites.

Whether it’s a buyer’s or renter’s market, there are some specific things that landlords can do to optimize their properties, justify raising rents, and keep rents in the high end of the range for the area.

Here are the top 5 most cost-effective steps any landlord can take to raise rents and retain quality tenants:

1. Repainting

This may seem like a no-brainer, but the impact vs. cost of repainting a property warrants a top spot on this list. A fresh coat of paint does wonders for both the interior and exterior of a property, creating a “like-new” atmosphere and a clean slate on which new tenants can create their own vision of home.

2. Professional Cleaning

If there’s no time or resources for repainting the property, professional cleaning is a must and will help raise rents. A unit that’s been freshly-scrubbed from top to bottom is far more likely to command a high rent than one with obvious signs of use.

3. Switch Out Carpets for Laminates

Carpet may be appealing to a certain percentage of people, but overall, it’s often more trouble than its worth. Carpeting can quickly become stained and damaged by tenants, diminishing the overall perceived value of the unit. Consider removing carpets from units and instead installing durable, attractive laminates, which are now available in just about every wood grain and tile look imaginable.

4. Affordable Kitchen Upgrades

For many potential tenants, the kitchen is the room that influences their decision the most about whether or not to rent a property. Kitchen areas can be affordably upgraded with cabinet refacing or by at least upgrading the cabinet and drawer hardware to a modern style. Faucets and fixtures can also be upgraded affordably, and a new contemporary tile backsplash in an older kitchen can become an attractive focal point while giving it modern style. Thus, kitchen upgrades represent another opportunity to effectively raise rents that can be charged.

5. Tenant Screening

There is no better way to guarantee high-caliber tenants in all units than with tenant screening. A tenant screening service can screen for criminal records, past evictions, sex offender registry, and more. Quality tenants tend to attract more quality tenants, further justifying higher rent prices and contributing to lower renter turnover.

The higher the rents a landlord can charge, the more lucrative owning rental property can be. Use these five easy tips to improve properties affordably, raise rents, and attract premium renters.

Disclaimer: The information on this website does not constitute legal advice and is governed by our Terms of Use. We make no claims, promises or guarantees about the accuracy, completeness, or adequacy of the information contained in or linked to this website and its associated sites.