How to properly deny an applicant
I am having alot of applications come in for a property of mine
Id like to hear about how others go about turning someone down... how do you word it? Do you give them an explanation or just a general denial email with no explanation?
I would call or email them and use the same script (if that's what you want to call it) explaining the denial. Keep the conversation short and to the point. There's no emotion, it's a business. If they ask questions you could say, "based on the criteria needed to rent our property we decided to look for more applicants."
Be honest and keep it vague so you're not discriminating against people.
@Ryan Davis Great problem to have! We use a standard denial form here in Texas (Adverse Action Notice & Credit Score Disclosure). I'm sure there's an equivalent in South Carolina.
DM me and I can send you the form.
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@Ryan Davis. Most important point - do not discriminate. If you allow one thing for one applicant you must allow the same for everyone else.
This is a great time to develop a “standard denial” process. As said, keep it short and sweet - less is more. And most importantly, make sure you’re not discriminating.
It depends on why you are denying them. If you are denying them, say what @John Underwood says, and less is certainly more. Don't go into a monologue. Short and sweet. And Mr. Miranda reminds us, "anything you say can and will be used against you."
If the applicant did not meet your minimum qualifications, simply state which minimum qualification and leave it at that. here an example:
Thank you for your interest. Unfortunately, we have a minimum income requirement to qualify for this unit (3 times monthly rent); based on your email, it appears you do not meet those qualifications. Good luck in your search!
Make sure your have your criteria written down somewhere, so you can refer to it if there is ever an accusation of discrimination.
Lastly, if you denied the applicant because of the results of a credit/background check you did, you are required by FCRA law to give them an "adverse action letter"; Google it for your home state to find details how you must proceed in this case.
Dear applicant, I regret to inform you that your application did not meet our criteria. We wish you the best.
Process them in the order they are received, accept the first qualified tenant and don't process the rest, and refund application fees for those who were not processed and tell them you've accepted another application. Unqualified applicants get sent an adverse action letter(required if credit was used to disqualify).