It is not unusual to interview many applicants when there is a post open for any kind of job. It is a detailed process to find the appropriate person for the post. Just like this, a landlord will also interview several people before selecting one to live in a vacant property. These persons are usually already interested in living in the property. It helps the landlord to find a tenant who will pay on time and follow all the rules in the lease and state law.
Because if the tenant does not follow the terms and conditions later on, then the landlord may have to take extreme measures such as eviction. Before evicting, the landlord will, at most, notify the tenant around 30 to 60 days before, sometimes a lot sooner than that. After Calculating the 60 day period, the landlord will proceed with the process.
How an Actual Tenant and a Prospective Tenant is Different
With the name, it seems like both are the same, but in reality, there are some differences between an actual tenant and a prospective tenant.
Actual Tenant
An actual tenant is a tenant who has been approved by the landlord through the tenant-screening process and has signed a lease agreement to live in the apartment. Before moving in, he or she already paid a security deposit and rent for the property. The most important difference is that an actual tenant is a person who currently resides in the rental property.
Prospective Tenant
On the other hand, a prospective tenant is a person who is interested in living in the property. They may have called about the property and also viewed the property. If the apartment is to their liking, they may even fill out an application to rent it. And the most important thing is they are not living there; they are just undergoing the landlord’s tenant screening process.
The Landlord Has to Follow a Fair Housing Standard
The landlord needs to follow a fair housing standard when doing the screening process. He must treat all the prospective tenants equally during the process. The landlord can do that by determining the same qualifying standards for all potential tenants. The landlord also has to follow the federal Fair Housing Act. The Fair Housing Act prevents tenants from discrimination by landlords based on religion, race, or five other categories.
Contacting the Owner Before Viewing the Property
The first step a person has to take before becoming an actual tenant is showing interest in the rental property. Then this person will be called a potential or prospective tenant. The prospective tenant has to contact the property owner to determine the process of viewing the property. It is the authority of the property owner to pre-screen the tenant over the phone to determine whether the person will continue to the next step of the process or not.
Viewing the Rental Property
After that, the prospective tenant will schedule an appointment with the landlord and view the property. Some landlords leave this task to their property manager or a real estate agent.
Filling Out the Rental Application
If the prospective tenant likes the property, then they can fill out an application to rent. Some specific information must be included in the application. This includes the full name, yearly income, and employment history of the prospective tenant. There must also say divulge many people will be living in the apartment, and the current and previous address and other contact info.
Credit Background Check of the Prospective Tenant
A landlord needs to check the credit background of their prospective tenants before permitting them to live at the apartment. Usually, they check it through their Social Security number (SSN). After the background checking is done, the landlord can discuss with the prospective tenant if he finds any red flag in the credit history. It could be low credit or an issue related to prior evictions.
Signing the Lease Agreement
If the landlord checks that everything is normal, then they can proceed to the final stage of the renting process, the lease agreement. An agreement between the landlord and the tenant is one of the most crucial parts of the renting process. This agreement will provide the tenant with the rules and regulations of the property because different landlords could have different ways of managing their property. If both parties agree with it, then they will sign it, and both of them will have one copy of the agreement. And then they will be officially called landlord and tenant. The tenant can move into the rental property.
