A lot can happen between the time a rental property hits the market and the time it’s leased. In a perfect world, tenants complete their applications to rent a property and receive approval in a timely manner, without any hitches. Unfortunately, reality disagrees.
While cities like Plano, Texas (89.4%), Irving, Texas (88.8%) and Miami, Florida (86.9%) have the highest rates in apartment rental applications nationwide, according to a 2017 study by RentCafe, it’s not always this easy. Other Texan cities like Arlington (73.2%) and Garland (75%) have the highest rejection rates nationwide. If prospective renters cannot find an apartment, they may feel like they have even less of a chance of renting single- family homes or condo unit rentals.
To help reduce the likelihood of tenants’ applications being delayed or rejected, landlords should look out for specific pitfalls they might encounter during the listed-to-leasing process.
While a rental application can be rejected for a number of reasons that don’t violate antidiscrimination laws, one of the most avoidable rejection reasons is an incomplete application. Landlords can help prevent potential application pitfalls by making a checklist of all required documentation and reviewing it with their clients. If an application is missing information or documentation, it can delay a final decision.
Intentionally lying on a rental application can be considered lease application fraud. If landlords learn their rental applicants are providing false information, point it out. For example, renters may report a higher income than what they earn to try and qualify for a rental. As a legal workaround, landlords can suggest options like adding a co-signer or offering a larger security deposit.
However, if clients are determined to knowingly provide false information on a rental application, landlords may have no choice but to terminate their relationship with these clients.
When an application is pending, renters may be able to help move things along by inquiring about the application status before a problem presents itself. If an item is missing from the application, they can quickly gather the missing documents to avoid a delay or rejection.
Sometimes, applications are held up because of a credit reporting issue. According to a study by Consumer Reports, an estimated 34% of people have errors in their credit reports. An unresolved credit reporting error can cause a lower credit score or report outstanding balances that have been paid off. By understanding the reason behind a pending application, landlords can speak with prospective tenants to get this obstacle clarified and fixed.
When applicants complete all paperwork and submit the necessary documentation, the lease application process should result in a quick turnaround. Though certain impediments like a low credit score and rental and eviction history can spoil an application approval, vigilant applicants who take time to troubleshoot and identify problems early can help prevent holdups during the rental application process.