Tenant screening and eviction

[Jason Smith]

So I am starting my first tenant screening and I have an applicant with an eviction due to job loss, they are currently working again. Part of the reason I wanted to do real estate investing is to help others out, I know most of you would never rent to this applicant. Is there a way to rent to this person and have a non-resident co-applicant to secure to rent payment? Like a college dorm situation or some other way? It isn't my only applicant but I'm trying to expand my knowledge and strategies! Thank you for your comment!

[Steve Babiak]

Well, in PA there is a limit of one month's rent for security deposit after the first 12 months (two month's worth during first 12 months) - so as a practical matter that one extra month is all the extra you might have and it's a one year protection only. 

The guarantor on a lease has to be WAY stronger than the deadbeat applicant. The guarantor has to live somewhere, so they need 3x their housing payment as their income to cover where they live, PLUS an extra 3x the rent to cover the deadbeat tenant. You would prefer the guarantor to own the place where they live and have great credit score (not the so-so scores you'll take from a tenant).

The recentness  of the eviction helps in measuring the risk. An eviction several years back with perfect payment record for rent since then is less risky. 

Others have given good advice, so heed it or take needless risks.