Not sure what to look for when screening tenants? You may have thought the applicant seemed perfect when you first met; they work a great-paying job, have a nice car, and presented a winning personality. You handed over the keys with confidence. Six months later, the rent checks stop, the property is damaged, and you’re starting the painful, expensive process of eviction.
- Utah Landlord Guide to Screening Tenants
- Step 1: Establish Your Written Rental Criteria
- Step 2: What to Look for When Screening Tenants – The Data Dive (Credit, Criminal, & Eviction)
- Step 3: The "Human" Verification (Income & Landlords)
- Step 4: Staying Compliant: Fair Housing Laws in Utah
- The Rhino Property Management Advantage
- What to Look for When Screening Tenants – Key Takeaways
A bad tenant can cost you thousands in lost rent, property damage, and legal fees. The most expensive repair in property management is often an eviction. How do you separate the great applicants who will treat your property like their own from the “professional tenants” who know how to work the system?
A thorough, consistent, and legally compliant tenant screening process is the single best way to protect your rental investment. This comprehensive guide outlines the essential steps for Utah landlords looking to master what to look for when screening tenants and securing the right fit for their property.
Utah Landlord Guide to Screening Tenants
Step 1: Establish Your Written Rental Criteria
Before you even post your rental advertisement, you must decide on your minimum qualifying criteria. This written policy is your single greatest defense against accusations of discrimination. It provides a legitimate, non-discriminatory business reason for denying an applicant, which is critical under both federal and Utah Fair Housing laws.
Your criteria must be objective, measurable, and applied equally to everyone who submits a rental application. This is the foundation of a fair and legally sound rental application process in Utah.
Defining Your Rental Criteria Checklist
To understand what to look for when screening tenants, you need clear standards:
- Income: The industry standard is a verifiable gross monthly income of 3x the monthly rent.
- Credit: Set a minimum credit score (e.g., 650+). More importantly, look past the score for the story behind it. Specifically, search for collections from utilities or prior landlords and a low debt-to-income ratio.
- Rental History: Require positive references from the last two landlords.
- Eviction History: Maintain a zero-tolerance policy for any prior evictions.
- Criminal Background: Your policy must be relevant to the safety of the property, other tenants, or the landlord’s business interest (e.g., no violent felonies, drug manufacturing, or property damage convictions).
Step 2: What to Look for When Screening Tenants – The Data Dive (Credit, Criminal, & Eviction)
This is where you gather the hard data. True tenant background checks Utah go far beyond a single credit score—they paint a financial and behavioral picture of the applicant.
- Full Credit Report: As you review the report, look for patterns of financial stability or distress. Are there repeated late payments? Are utilities or previous apartment complexes listed in collections? High revolving debt can signal financial instability, making it difficult for the tenant to make rent a priority. This step also requires compliance with the Fair Credit Reporting Act (FCRA) landlord requirements.
- National Eviction Report: This is non-negotiable. An applicant may have a great credit score, but a recent eviction history check in another state that won’t show up on a standard credit pull.
- National Criminal Background Check: Focus on convictions, not arrests, and ensure any conviction is relevant to being a tenant. Broad “no criminal history” policies can be discriminatory under federal guidance. Use a screening service that complies with the FCRA and pulls records specifically from Utah courts as well as national databases.
Step 3: The “Human” Verification (Income & Landlords)
The data from the reports is useless until you verify it’s true. This is the step most DIY landlords skip, but it is essential to truly understand how to screen tenants in Utah.
What to Look for When Screening Tenants: Verify Tenant Income
Don’t just accept a pay stub—they can be faked. Call the employer’s HR department or the applicant’s supervisor to confirm employment, length of time, and salary. For self-employed applicants, ask for the last two years of tax returns or three months of bank statements.
Call the Previous Two Landlord References
The current landlord might lie just to get rid of a bad tenant. The landlord before the current one often has no reason to be untruthful and can provide the most objective feedback.
Ask direct questions to understand what to look for when screening tenants in their past:
- Did they pay rent on time?
- Did they have any lease violations (e.g., unauthorized pets, excessive noise)?
- Did they give proper notice to move out?
- How was the property left upon move-out?
- Would you rent to them again? (The most important question!)
Step 4: Staying Compliant: Fair Housing Laws in Utah
A screening process isn’t just about finding the best tenant; it’s about doing so legally. A Fair Housing violation can be financially devastating. Adhering to Legal tenant screening Utah standards is paramount.
The Federal Fair Housing Act prohibits discrimination based on: race, color, religion, sex, national origin, disability, or familial status (having children).
Utah Fair Housing Laws for Landlords
Utah law broadens these protections statewide by adding sexual orientation and gender identity. Furthermore, Utah law prohibits discrimination based on source of income discrimination Utah (meaning a tenant receiving federal, state, or local assistance, including rental assistance or housing vouchers).
In addition, the Salt Lake City rental ordinance includes source of income as a locally protected class. This means a blanket “No Section 8” policy is generally prohibited. You must accept the application and apply your financial criteria (like the 3x rent-to-income ratio) to the tenant’s portion of the rent.
How to Stay Safe:
- Apply your written criteria to every single applicant consistently.
- Screen on a “first-come, first-served” basis based on completed applications.
- Keep detailed records of every application and action taken for at least three years.
The Rhino Property Management Advantage
Tenant screening is a high-stakes, time-consuming process that carries significant legal risk. It requires access to professional-grade reports and the diligence to verify every single detail. This is precisely why it is critical to know what to look for when screening tenants.
At Rhino Property Management, we utilize a comprehensive, multi-step screening process on every applicant. We run national credit, criminal, and eviction reports, personally contact employers and prior landlords, and ensure 100% compliance with all federal, Utah, and local Fair Housing laws.
Our rigorous screening is the foundation of our business. It finds you qualified, long-term tenants, which means a more stable income, less property damage, and complete peace of mind, all while shielding you from legal risk.
What to Look for When Screening Tenants – Key Takeaways
Finding a great tenant isn’t about luck; it’s about a consistent, documented process. It involves setting objective criteria, running the right reports, verifying the human element, and strictly adhering to Fair Housing laws. Would you like us to provide a free rental analysis on your Utah property to see how professional screening can maximize your returns? Get in touch with Rhino Property Management today.