BiggerPockets

When I'm talking to them I say "I'm not too concerned about your credit (if they had good credit, they wouldn't be renting), but I will look for evictions in the last five years, felonies in the last five years, more than to misdoemeaners in the last five years, and I will verify your income is 3X the rent (I give a specific figure). I'll also call your current and past landlords." If they want more detail, I have a written sheet of my criteria as wells as printouts from the state of Colorado giving examples of felonies or misdemeanors. That's usually not an issue, though. People know if this applies. People with traffic tickets are the ones that get worried. My application says incomplete information is grounds for denial.

I was told that I should give them some kind of written criteria in case they try to claim they were treated unfairly later.

Personally I'm more comfortable with giving them a very generalized written statement about my criteria at the time they apply, and then sending them a letter with the specific reasons why their application was rejected, if I decide to reject them. But I thought I would ask here to get feedback.

I give the key points of my screening to every applicant on the phone, before I agree to show then the rental. I don't take anyone that has an eviction in the past 5 years; a felony or more than 2 misdemeanors in the past 3 years. The vast majority of people I deny are denied for one of these 3 reasons. I don't say so on the telephone, but I obviously check their income; check with their previous 2 landlords; etc.

I do not give them anything in writing. Except for tenants in my best SFH's, I don't run credit checks because they all have bad credit.

Good Luck,

Mike

Hey Jodi - what do you do if they meet all yoru criteria that you have listed out and you decide for whatever reason not to rent to them? What do you tell them?