UNIT 2: ACTIVITY 1

In the rental business where the properties are considered your assessts then just
like any other investments you want it to be grow and be secured and protected at
the same time which you can maximize your profit while limiting as much as possible
your cost to operate in this case the maintenance of rental properties. The ones
that will generate your cash are the tenants and the ones that can increase your
costs for maintenance are also the tenants. That is why tenant screening is created
to evaluate the tenants the traits and capabilities that a landlord should be
looking or avoiding from a prospected tenant.

First is to know should be to follow the law. Fairness should be implemented

without prejudice. Giving equal and fair chance to would be tenants.
Second would be to choose a tenant with good credit one of your basis could be if
he could afford the rent or have at least his monthly income is 2.5 times the rent
even after deducting his debt if any.
Third, you would want a tenant that won't cause trouble in your property and
neighborhood to do that perform a criminal background but keep in mind that not
wearing helmet is considered criminal conviction. Only reject tenants out of
reasonable convictions such as violence or drugs.
Fourth, look at the tenant's rental history this will tell you what kind of tenant
he is. You can do this by contacting his or her previous landlords atleast 2 should
suffice, this will give you an insight on what kind of tenant he or she may be.
Fifth, choose a tenant who is stable he or she has the capacity to pay your rent
this will depend on how much his or her is earning depending on the job or business
that the tenant have.
Sixth, although the more the tenant the better for you as a landlord there should
be definitely a limit set to how many tenants are allowed in a room, the more
tenant there is per room the riskier for your property it would be.
And lastly, trust your instincts at the end of the day it's your call as the
landlord to accept or reject would be tenants. Not everything on the tenant
screening is 100% accurate. Knowing that they are being being screened an applicant
for the benefit of passing the evaluation could falsify documents or answers
although unwanted can happen. If you think something is up or you are not convinced
don't hesitate to factor that in as part of your basis to reject or accept a
tenant.
Evaluating tenants is very important tool for a landlords in order to find it's
desired tenants where it will give the most profit and reducing risk of loss in
this very unstable work environment like the real estate business.