Melbourne Real Estate News, Brevard County FL Real Estate by Sandy Shores REALTOR®

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Are Current and Past Landlords An "Accurate" Source of Info for Tenant Screening Purposes?

Landlords and property managersIn screening perspective tenants for rental properties, do you call current or previous landlords for references? Often times it can prove to be an exercise in futility. On the other hand, sometimes it can open a pandora's box of information.

Current and previous landlords don't always provide a "true" picture of the tenant

I typically don't do rentals on other's properties.  I take care of my own. As a landlord, when I receive a call for a reference on a current or previous tenant, after I have asked for written authorization from my tenant to release information, I am careful to only provide very general information...'Yes, the tenant paid as agreed' (if they did). And, I will confirm the period of time in which they rented from me.  That's pretty much it!  I typically do not give out any additional information.  On occasion, if I have a great tenant I will happily tell the new landlord that I would happily rent to them again!

As landlords, with our own tenants, we must be careful what kind of information we provide to a new landlord. I am very cautious in dealing with deragotory information.

What if I have a tenant that has always paid his rent late?  

What if this tenant was difficult through the term of the lease?

What if he has destroyed my property? 

As a REALTOR and a professional. I must be careful what I tell a new landlord. I don't want to be accused of/or sued for slander. 

What if you have a tenant that you have filed eviction proceedings against?  He hasn't paid rent in 3 months and you can't get him out of your house? You know he must rent something first, or find another place to live in order to get out of your property? 

Let's say you get a call from another landlord for a reference on this tenant..

What are you going to tell them? 

Will you tell the perspective landlord that the current tenant is living in your house for free?

And, that he has made your life miserable and done $5000 of damages to your house and you can't get him out?

'Oh my gosh, I wouldn't rent to this guy if he were the last tenant on earth.' 

Unlikely you're going to say any of these things, as you could potentially be sued for slander!

AND, if your tenant can't find someplace else to move because you're telling all of his new potential landlords that he's awful, you'll never be rid of him!

Eviction filings are public record.  So, anyone call look them up.  Here in Brevard County Florida, we can find  information on local tenants on the Brevard County Clerk of Courts website. Criminal records and histories can also be found online. It's amazing the amount of information I have been able to find online in reference to a perspective tenant.

Look at the other side of the coin...would this difficult tenant of yours be likely to give out his correct landlord information to a new perspective landlord?  Probably NOT, many of the bad ones don't!

I've had perspective tenants give me incorrect information about their current or previous landlords, inadvertently or otherwise: incorrect names, phone numbers and property addresses.

On the other hand, I have talked to landlords that have provided a slew of information about their previous or current tenants. Often times, they have given me an earful, sometimes good and sometimes bad. And, sometimes it depends on whether that bad tenant is a PAST tenant of theirs or a CURRENT tenant!  Often, I know they have told me much more than they should!

In all of the checkpoints we have in screening for tenants, I think that all of them combined can give us the  an all around complete picture.  And often, we have to decipher fact from fiction - that in itself tells us something about whether we should rent to this tenant.

So, as a landlord or property manager do you call current and/or previous landlords for references?

Let me preface my post in saying that I have some wonderful people that I have rented to for years - some over 10 years.  And, I feel that the number of deceptive tenants that are looking for a rental today are certainly the minority. This post is not to say that perspective tenants are in anyway bad.

Sandy Shores Melbourne FL RealtorThis article is authored by Sandy Shores, Melbourne FL REALTOR.

It is the exclusive property of, and may not be used without the written permission of Sandy Shores, Brevard County, Florida Space Coast. All information is believed to be accurate, but is not warranted. Copyright 2008.

 

 

 

 

 

 

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Comments

You bring many good points.   Got me thinking.... Thank you

Posted by Mark Watterson Utah Real Estate (Principle Realty Group, Inc) about 3 years ago

  There are many reasons I am a former landlady....but some safeguards....nothing is fool proof...last two...not one landlord, credit report....discuss reason for moving, verify employment...good luck !

Posted by Sally & David Hanson WI Realtors Luxury\Short Sale\CDPE\ABR\e-Pro\REDS (Keller Williams 414-525-0563) about 3 years ago

Hi Sandy:

You definitely bring up a few good points.

But I feel that...YES, call previous landlords (usually there is more than just one)...

I've also had perspective tenants give out copies of their rent checks, front and back, showing when the landlord cashed them too.

And let's not forget to carefully look over the credit report AND do a "background check".  (Our credit report service has the capability to do a background check).

Rentals are very time consuming!

Posted by Toula Rosebrock -Broker/Sales Associate, Realtor, Lacey Township, Ocean County, (NJ, Diane Turton, Realtors, Forked River, NJ) about 3 years ago

I own several rental properties of my own and as far as references are concerned...it's hit or miss in my opinion. I have done extensive research on prospective tenants in the past that really looked good on paper, only to have them trash a property in 6 months.

Jacksonville real estate horsey!!

Posted by Mike & Cindy Jones Jacksonville, Fl Real Estate (904) 874-0422 (The Real Estate Station - INI Realty Investments Inc.) about 3 years ago

Hi Mark, Thanks for the compliment and thanks for stopping by!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Hi Sally and David - No more rentals for you, huh? I agree - I think there are many sources we should check before renting to anyone.  Thanks for pointing some of them out!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Sandy - This is exactly why I don't want to do property management.  I send anyone interested in that to one of our agents in the office.  I help him out with things on that side, but I don't want the headaches for myself.

Posted by Matt Stigliano (Becker Properties (210) 646-HOME) about 3 years ago

Yes. Keeping in mind the issues you raise.  You mention not giving out derogatory information.  If you've had to file suit for damages, repairs or eviction, then just refer the caller to public records.  The implication is enough.

Also, get information from your local renters union or equivalent to find out how they recommend handling bad renters.  If you show an interest in working with renters, then you are much less likely to have this group show up in defense of your bad renter.  Also, they now have all the inside information and could actually help you get out of a bad situation.  The guard dog has become your guard dog.

 

Posted by Mike Michaud (North Texas Help-U-Build) about 3 years ago

Hi Toula, That's interesting - I have never heard of asking for copies of rent checks front and back. I agree we must perform a credit, as well as a background check.  Rentals are very time consuming. Typically, I don't do them on for other people's properties. Right now, I only handle my own rentals. Thanks for stopping by!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Sandy,

Great post!  I am with you on this... The less said the better.  I had a horrible tenant that I was evicting and I knew they were looking for a new place, so when the landlord called me, I imitated paint drying in my responses.

Sean

Posted by Sean Dreznin, Resort Property Manager (Tropical Sands Accommodations, LLC) about 3 years ago

Hi Mike and Cindy, I completely agree that everything on paper is NOT always indicative of how a tenant is going to take care of a property - I, too, have been there, done that!  Even everything aligned properly on paper is not an indication of whether you're going to get the rent every month, either!  Best wishes to you in your rentals!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Hi Matt, Currently, I don't typically do property management on clients properties either.  I only do it on my own properties.  I don't blame you, at all -if you don't want the hassle and can't stomach it - don't do it.  I agree - it is definitely something you want to be involved in!  Good for you - knowing that you don't want it! 

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Hi Mike, I agree that checking the public records often says it all.  Thanks for passing the information along about the renters union to landlords out there -good to know that there is someone out there that can help in a difficult situation.

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Hi Sean, Isn't it funny that your current tenant that was horrible provided your contact info to a new perspective tenant?  What did they think you were going to say?  But, on the other hand, otherwise the tenant would have to lie or justify a gap in their rental history.  Thanks for stopping by!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

I do think one has to be careful about this type of information.  I would imagine there may be some state/local laws in this regard that one must check.  I would think that information on whether the tenant has paid on time would be ok and other limited/public information!   It is certainly a tricky area -- and if one is in the business of Property Management, then there would probably be even more liability.

Posted by Joan Whitebook Southern New Hampshire (BHG The Masiello Group) about 3 years ago

Just a thougt.

What about having a clause in the rental contract that they authorize you to provide factual payment, damages, property condition and neighbor complaint reports to subsequent landlords.  Nothing about opinion, just actual records.

Lates, property condition on move-in and move out.  Paints a fairly decent picture.  It puts them on notice before they rent what's expected.

 

Posted by Mike Michaud (North Texas Help-U-Build) about 3 years ago

Hi Mike, Your suggestion is noted.  Thanks for your input.

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

We ask for residential history for the last 3 years, minimum, and we call any landlords listed. Sometimes we get a real ear full of info. We've also learned to check the tax records to see that the person we are calling is actually the Owner (and to Gogle the phone number to match it to the Owner's name).

As far as providing a reference- anybody can sue anyhody for anything- but if what you are saying is factual and you can back it up with facts then you are not slandering.

Posted by Leslie Prest, Prest Realty, Sales and Rentals in Payson, AZ about 3 years ago

Hi Joan, I think that owners and property managers must be very careful in what type of info they give out on past and current tenants.  As a landlord, as well as a REALTOR, I make sure that I am cautious in this regard.

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Hi Leslie,  I think you brought up an EXCELLENT POINT! Cross referencing the tax rolls with the landlord information provided - GREAT IDEA!  Thanks for stopping by and for your feedback!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Hi Sandy, Oh my goodness, I learned many years ago that I don't have the stomach for being a landlord! When one tenant was moving out of our 4 bedroom house, and wanted his portion of the damage deposit back, I went over to inspect the house. I noticed that his closet door was missing, and when I asked him about it, he nonchalantly informed me that they had had a bon fire out in the back one night, and when they ran out of wood "Someone" came in and took his door !!

Thankful that the other doors were still in the house - I sold it Tout suite!! 

In my previous life as a personnel manager, my administration warned us, when a prospective employer called for references we were only to give out Dates of Employment and salary, if asked.  We were not to say anything else. I do think you can be sued - even if you tell the truth. I stopped calling previous employers, because I thought I wasn't going to get the whole story anyway. Could you also be held liable if you withheld important information? I don't know.  Public records don't lie- seems like a good way to go if you are a landlord these days.

Posted by Mary Douglas, REALTOR ®, Red Feather Lakes, Colorado (United Country Ponderosa Realty) about 3 years ago

Sandy, lots of great ideas here, especially the canceled checks. Having worked in corporate America for years, the companies that I worked for would only provide the minimum information on references for former employees out of fear of being sued. Same goes for many landlords, it seems.

Posted by Rich Mielke, REALTOR, Frederick Maryland Real Estate (REMAX Results, Frederick MD) about 3 years ago

Sandy,

I take them with a grain of salt......and look at the totality of all the other gathered information to assist my Client.

Posted by Dan Brudnok-REALTOR,e-PRO,ABR,GREEN,CSP Chester County RE Professional (Keller Williams - Exton - PA License Number #RS225179L ) about 3 years ago

Hi Mary. Well, I have heard a lot of outrageous stories about rental houses - never one about using the closet doors for a bonfire.  Tenants do the craziest things, sometimes.  I don't care to get into any details with a landlord over any tenant that I have ever rented to. I tell them whether they've paid as agreed and I will confirm dates that they rented from me. However, if I have had an excellent tenant, I will in fact indicate that it was a pleasure renting to them!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Hi Rich, Must be so cautious what you say today as a landlord.  And, as you pointed out, what you say as an employer - I agree with you!  Hope you have a great weekend!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Hi Dan, I agree, that we must look at all of the information gathered as a whole. Thanks for sharing!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Hi Sandy

Past and current landlords can be a source of information about a tenant, but we have do a credit check as well.

Good luck and success

Lou Ludwig

Posted by Lou Ludwig CRB, CRS, CIPS, GRI, SRES, TRC, e-PRO, (Ludwig & Associates) about 3 years ago

Hi Lou, Agreed - we must do a thorough check on our perspective tenants - credit check, public records, etc.  Thanks for the comment and thanks for stopping by!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

I agree with Mary that it is far safer simply to give dates and facts, not opinions about a tenant. As previously mentioned, several sources are better than one.

Posted by Brian Griffis (Realty Choice) about 3 years ago

Have you heard of this firm: <a href="http://www.therealestatepro.net" title="">The Realestate Pro's</a>

Posted by Mark about 3 years ago

Hi Sandy - I think on one of your previous posts that I suggested that you check out where the person is living currently. If it is trashed, you can be pretty certain yours will be also. BTW, congrats on the star.

Posted by Fred Chamberlin - Eugene/Springfield's #1 Experienced FHA Mortgage Consultant (Alpine Mortgage Planning - Eugene/Springfield OR) about 3 years ago

Hi Brian, Thanks for stopping by to comment!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Mark, No, I have not heard of that website.

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Hi Fred, Great comment and I believe that you did mention that in a previous comment.  I have done that on several occasions - asked if I could come over to their current residence.  The good ones have no problem with it at all. The bad ones, hem and hey, and find 6 ways till tomorrow for you not to do it- that's an indication right there.  Thanks for the congrats!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Try posting your bad tenant info on www.NoPayTenants.com and direct the future landlord inquiries to that website for more info.  As long as you are posting information that you believe to be true you are ok and throwing the problem back on the tenant.  Too many tenants get away with thousands of dollars in unpaid rent because landlords don't network their tenant rental history.  Let's face it, the best tenant screening in the world doesn't guarantee a tenant will not lose employment or get divorced and skip-out on the rent they owe you.  The reason I'm in the landlord business is to generate income and when a deadbeat tenant doesn't pay me it takes food off my table and away from my family.  Or maybe you have a non-profit landlord business and need the tax write-offs?

 

Posted by Sonny about 3 years ago

Hi Sonny, Thanks for passing the information along.  Good point - the best tenant screening in the world doesn't guarantee a tenant will not lose employment or get divorced, etc.  How true!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

You should seriously consider finding another agent that will take any lease transaction....and who will not have an affect on taking your market.  I would suggest a leasing agency.  Leases are substantially more work than a sale and you get substantially less money.  It is in your client's best interest to be with someone that focusses all of their time on leases.

Now, sell a home.........

Posted by Tim Moncrief - Austin (Bartlett Real Estate Group of Keller Williams ) about 3 years ago

Hey Tim, I agree that leases can be more work than a sale and you get less money.  I typically do not handle leases for my clients.  I don't care to for multiple reasons.  I have multiple rentals houses of my own that I manage, so I know the time and money involved.   Thanks for stopping by.

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

It would be nice to think that all former landlords would give an accurate picture of a former tenant(s).  Unfortnately that's not the case for whatever reasons.  I know some apartments subscribe to a service which keeps track of the tenants rental payment history and uses the results as part of their reference.  Individual landlords might want to consider such a service.  The key would be that they use it when making a reference.

Posted by Cedric (Ced) Reynolds - (909) 263-4569 about 3 years ago

Cedric, Point well taken. That would be a good service for individual landlords.  Thanks for your input!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Nice article.  The more information I can get on a tenant, the better.  References, credit checks, criminal history.  Doing a lot of work up front will minimize the pain later.  There are many really good screening companies out there.  I personally like E-Renter as they don't require an on-site inspection, but there are others as well.

Good luck!

D Sanders

Posted by Daniel Sanders about 3 years ago

Hi Daniel, Thanks for the input and for stopping by. Happy Landlording!

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

Please always verify that you have called a phone number registered to the name of the landlord and also make sure that name owned the address they lived at when they rented. Would not be bad to ask tennant past mail from the old address. Some people will decieve you with their friends posing as past landlords.

Posted by James Graner (Residential Services: http://appraisalmo.com) about 3 years ago

Hi James, Good advice, so many things to be careful of in prescreening new tenants.  Thanks for the pointers.

Posted by Sandy Shores - Melbourne FL Real Estate ,Realtor®, M & M Real Estate Inc. (Brevard County Real Estate/ Melbourne & Palm Bay Real Estate) about 3 years ago

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