Posted: Wednesday, May 21, 2014 by Richard Tuck
A Landlords Guide to Tenant Referencing
Tenant referencing is a crucial area that is often neglected, yet it can be a significant factor in protecting you from tenants who can’t or won’t pay the rent. Tenant referencing is included as part of our landlords package.
What is referencing?
Tenant referencing is an objective way of checking your prospective tenants before they move in to your property, this offers peace of mind that your valuable investment is in safe hands.
We are pleased to use the Rentshield Direct full tenant referencing search. It is a fact that a successful landlord will eliminate 95% plus of all letting problems through careful screening and selection of tenants.
The Rentshield Direct full referencing search includes the following:
- Applicant Score - a recommended credit rating. Highly predictive scores are unique. The score indicates the likelihood of the applicant defaulting on their rental payments.
- Adverse History - Public information check for CCJ, Bankruptcy and voluntary arrangements.
- Fraud Check - score on potential fraud.
- Linked addresses - picks up on any previous addresses not reported for verification.
- Authentication of ID - incorporates voters roll check and date of birth verification.
- Landlord/agent reference - previous landlord/agent is contacted to establish whether there were payment issues or if any dilapidations were recorded.
- Employers reference - where the applicant is employed, self employed or retired, income and employment status validation (position, contract, duration) using reference or supporting documentation.
- Affordability - of the rental share using the income validated by the income referee.
- Decision - experienced decision based upon the factors above.
We will only recommend a tenant to you if they pass the rigorous searches above, in instances where references fail it may be possible to use a guarantor of you may decide to accept an advance payment of rent.
When you are satisfied with reference results, we will prepare a Tenancy Agreement for you and the tenant to sign. We will also pass you the tenants contact details so you can arrange for payment of the first months rent and deposit.