Verifying an Applicant's Employment Information through Tenant Screening

Checking the authenticity of your rental applicant's employer is a critical step to verifying your potential tenant's employment information and, ultimately, his ability to pay you rent.

If anything seems suspicious about either the company or the contact information on the rental application, place a call to the company's human resources department rather than a direct supervisor. A human resources manager may give you more straightforward information.

Ask the employer to verify the information on the form: occupation, length of employment and, if they will tell you, the rental applicant's salary.

If your rental applicant is self-employed, verify income through pay stubs, bank statements or income tax returns. Because cash flow can be uneven for self-employed people, you may need 2 years'worth of tax forms as well as 3 to 6 months of bank statements.

Compare income to the annual salary needed to pay your rent. Be sure to look at the big picture. Some independent contractors may be paid $10,000 one month and practically nothing the next.

If the applicant notes that he is unemployed, do not write him off just yet. First, check his bank accounts. If there is enough money to last at least 6 months, he may be able to make ends meet until he finds a job. To protect yourself, you might request the first 2 months'rent in advance.

Any applicants who have minimal funds in reserve or who have lied about their employment on the rental application are not good candidates.

If a rental applicant lists other sources of income, such as alimony payments, Social Security or sales commissions, ask for records to back up the information.

And for all potential tenants, you should do a thorough tenant screening that includes not only employment verification, but also a credit check, reference checks and a search for any criminal, sex offender or terrorist records. Doing so can save you many headaches in the long run.