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5 Requirements Every Tenant Must Have Before Applying

Dustin Edwards • March 5, 2024

It's every landlord’s dream to find the perfect tenant who always pays on time, respects their lease agreement, and lives in the property for a long period of time. These tenants are rare, though not impossible. 


For landlords, spending the resources necessary to screen every tenant who fills a rental application properly is in your best interest. Below is a list of five requirements every tenant should have before applying for a rental property.


Security Deposit

A security deposit is an invaluable source of protection for landlords. In a perfect world, a security deposit wouldn't be necessary; however, some tenants are less than ideal. As of right now, the limit for a security deposit is two times the monthly rent for unfurnished units or three times for furnished units. However, after July 1, 2024, the law surrounding security deposit limits is changing.


According to the California Department of Justice, “After July 1, 2024, the limit is one month’s rent. For landlords who own no more than two residential rental properties that collectively include no more than four total units for rent, the limit is two times the monthly rent, but only if the landlord is a natural person or a limited liability company in which all members are natural persons.”


A security deposit is important to a landlord. While you’re meant to return it to your tenant once they’ve moved out, you’re allowed to use it for specific expenses. This includes any past-due rent, the cost of repairing damages that would be
considered wear and tear, and the costs of cleaning the property to the same level as when your tenant moved in. If the rental was furnished, you can use the security deposit to replace or restore the furniture if stated in the rental agreement.


Good Credit Score

A good credit score is desirable by landlords, and a car dealership prefers them for the same reason. Credit scores can signal a tenant's ability to manage finances. This means they’ll likely pay rent on time, reducing landlords' risk of missed payments. It also helps landlords select financially responsible tenants. This can aid in securing a stable income from their rental properties. Using a vetting tool is necessary for landlords to avoid potential financial losses, tenant disputes, and unwanted vacancies.


Rental History Evaluation

A good credit score can help landlords find tenants who can pay on time. A tenant's rental history can help landlords discover potential red flags a tenant may have. This can include evictions, convictions, late payments on rent, complaints, or other issues a credit score can't convey. In California, landlords are prohibited from considering convictions that occurred more than seven years ago. A tenant’s rental history can also show if they can reliably care for the property.


Income Verification

A tenant’s rental history and credit score can prove how well a tenant pays and approaches to renting a home. However, it's important to prove they’re still capable of earning enough to pay the asking rent. Verifying employment and income is crucial when a tenant is applying for a rental. This is usually done by requesting documents, including:

  • Check Stubs
  • Bank Statements
  • Tax Forms


Ideally, you want to see that the rent doesn't consume too much of the tenant's income. By providing proof of income, you show a landlord that a tenant has the potential to afford the monthly charge over the lease agreement's time frame.


Renters Insurance

Although California law doesn’t require renters insurance, it's a good habit for landlords to require it when applying for a rental. It's generally seen as a good idea for tenants to have some form of coverage to protect their assets since the landlord's property insurance isn’t liable for any damage to the tenant's items in the case of thefts, fires, or other events that can cause damages which are not covered by the landlord’s insurance.


Finding the perfect tenant may take time, but owning a rental property can be easier to manage once you find them. If you need help screening and vetting potential tenants, we invite you to call us today at (562) 888-0247 or fill out our
Owner Application online.

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By Dustin Edwards November 18, 2024
Be aware of these 3 common issues when the rainy season arrives at your rental property.
Cold weather can come fast and strong so it's best to ensure your property is ready for this climate
By Dustin Edwards November 12, 2024
It's important to prepare your rental properties for the colder weather. Although we don’t need to prepare for snow and freezing temperatures, we do need to prepare for the cold and rain. By ensuring your rental is cozy inside and prepared for the fall season , you can not only reduce energy costs for your tenant but also maintain your rental property value. Today, we’ll go over three signs your property is ready for this upcoming cold weather.  Sign #1 Proper Weatherproofing During the colder seasons, it's much easier for a tenant to notice any cold spots in your rental. Well-insulated doors and windows can not only help maintain the warm temperature but also prevent it from lowering. It can also prevent cold spots and drafts, which can help with tenant satisfaction . Doors and windows should be properly sealed and insulated to prevent drafts and maintain proper temperatures. A visual inspection of the weatherstripping around doors and windows to ensure they’re intact is a great place to start. If damaged, consider replacing them, as trying to seal gaps can be tricky and rarely lasts. Other seals should also be checked, as well as any areas that need to be caulked in order to keep cold air out. Insulation during the summer helps keep the cool air in, and during the winter, insulation in the halls and attics helps retain desired heat. Hot air rises, and if there isn't adequate insulation in the ceiling, heat will continually be lost. Luckily, adding insulation to an attic is not uncommon and typically only requires a day or two for installation. Sign #2 Energy Efficiency Measures During the winter, it's not just the cold you need to keep in mind. As days are much shorter, there is less sunlight to keep the rental warm and more hours of darkness. For this reason, it's a good idea to keep energy efficiency in mind when preparing for the cold weather. Energy-efficient lighting or smart lighting helps reduce overall costs since your tenant will likely use electricity to keep warm. Ensure your outdoor lighting is rated for external use, as this can provide crucial illumination during longer nights. Draft guards on doors and windows help reduce the load on your rental’s HVAC system which can significantly improve its lifespan. This is also a great time to replace filters and clean the ductwork in your rental to improve energy efficiency. Additionally, consider installing an insulative film on older windows, which helps retain heat and keep rooms warmer without the need for extra heating. If your rental has a programmable thermostat, ensure it’s in working order, as this can help tenants manage an energy-efficient heating schedule more easily. Sign #3 Property Exterior Southern California is a great place to settle down, and while we don't need to worry about snowfall or deep freezes, ensuring the exterior of your rental property is ready for the cold weather is important. With our cold season mainly bringing with it rain, inspect your rental property’s rain gutter system . Remove debris from drains and check for leaks or signs of wear and tear. Walkways should be clear of debris and well-lit. This may require you to prune and trim trees and bushes that may leave behind leaves. When combined with rainfall, a single wet leaf can cause someone to slip and hurt themselves. Consider adding non-slip mats or tape to areas where people may have tripped in the past. Much like during the hotter weather, it's important for your rental to be ready for fall and winter. By keeping your property ready for any weather Southern California has to offer, you ensure your rental property and tenants will provide steady rental income every month. If you need help preparing your rental for the cold weather or if you need help managing Beach City rental property, we invite you to call us today at (562) 888-0247 or complete our Owner Application online .
By Dustin Edwards November 4, 2024
Owning a rental property in a beach city like Long Beach, CA , offers a number of advantages, like great weather and a strong real estate market. However, the cold ocean breezes can pose some challenges for landlords and tenants, making it convenient for property managers . Although the weather is generally great, these ocean breezes can sometimes make properties drafty and uncomfortable during the fall and winter seasons. Today we’ll go over four measures that can improve tenant comfort and protect your investment from the cold ocean breezes. Weatherproofing Againsts Drafts Drafts are caused by gaps between doors and windows which can make a rental feel colder than it is. This leads to unnecessary energy use and tenant discomfort. Sealing these gaps is not difficult and quite doable for a landlord who doesn’t mind getting their hands dirty. Replacing worn weatherstripping and adding fresh caulking to seal minor gaps blocks air from permeating the property. For additional protection from drafts, you can provide your tenant with inexpensive door sweeps. Improve Heating Efficiency Having efficient heating is crucial to countering the cooler ocean breezes while keeping costs low. Schedule regular maintenance for your HVAC system , such as replacing filters, cleaning vents, and cleaning the compressor to keep it running smoothly. This not only provides more efficient heating, it also extends the life of your HVAC system. Installing a smart thermostat is another way for tenants to adjust heating schedules efficiently. Protect Outdoor Spaces Outdoor areas such as patios, balconies, and even porches can oftentimes be exposed to the coastal breezes. This can be an issue in the long run, especially for rentals next to the beach , as the wind can carry sand and salt, which can accelerate the deterioration of metals, wood, and paint. This can be mitigated by adding windbreaks to the property, such as lattice panels or outdoor curtains, to create a more comfortable and functional outdoor space. Exterior finishes will require more frequent maintenance. This includes resealing wood and metal surfaces. As well as repainting is important to protect against wear from salt, sand, and moisture. Wind Mitigating Landscaping Much like with the curtains and lattice previously talked about, the landscaping can also be used as a windbreak. For example, planting wind-resistant shrubs or trees alongside exposed areas creates a natural barrier. This helps reduce the impact of the gusts of wind hitting the property. Many native plants thrive in coastal climates while also requiring minimal maintenance. While expensive, the results can greatly improve your rental’s longevity and curb appeal. Alternatively, you can strategically place planters to provide protection. Durable Furniture Furniture and fixtures exposed to the cold coastal breezes need to be able to withstand that wear and tear. Choose resilient materials such as treated wood, powder-coated metals, and outdoor-rated plastics. These are less prone to being damaged by the salt or wind. Furniture that is lightweight should be secured or anchored in place to prevent it from being blown away. By investing in durable furnishing, you can provide tenants with a comfortable and functional outdoor space for years to come. Protecting your beach city property from the cold ocean breeze doesn't necessarily require extensive renovations or investments. Try to focus on any relevant feedback from your tenant, this can help you pinpoint what part of your rental needs attention. If you need additional help protecting your rental property from the cold ocean breezes or if you need help managing Beach City rental property, we invite you to call us today at (562) 888-0247 or complete our Owner Application online .
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