Rental application forms can ask potential tenants for different items of information. This helps improve transparency for the landlord before signing a lease.
However, all the data gathered must follow the Fair Housing Act and any relevant local laws.
For example, in New York, terms, fees, and other conditions must follow what is set out in the Consolidated Laws of NY(§238-a).
As a result, there are many things you cannot require a tenant to answer.
Read on below to find out more about the information that you can request from a tenant you wish to screen.
Basic Rental Application Information
Tenants can be requested to provide some basic information about themselves on the rental application. This is gathered to allow the landlord to complete any relevant background or credit checks on the applicant.
This usually requires the tenant to provide the following information:
- Full name
- Email address
- Phone number
- Emergency contact information
As a landlord, you must also provide your name and contact information.
Property Information
Before providing the Rental Application to the possible tenant, you will also need to include information regarding the property.
You should fill out information regarding the:
- Property address
- Date of availability
The applicant can also propose a possible move-in date.
Term and Payment
In your Rental Application, you should also mention how long the lease term will be. You should also include when the tenant would be and how much.
It is also important to mention how much the security deposit will be, or if the applicant does not need to pay a deposit.
Keep in mind that security deposit laws vary by state.
Rental History
In order to establish if the tenant can be trusted to follow the lease, the landlord can ask them to provide some data on their recent rental history. This enables them to find out if the applicant has a record of lease violations or evictions.
The landlord can request the following details from the tenant to assess this:
- Their current address
- Move-in and move-out dates of previous residences
- Contact information for former landlords
- The reasons for leaving previous homes
Employment History and Income
One of the most important questions a rental application form seeks to answer is regarding the applicant’s income. This is often key to understanding if the tenant can afford to live on the premises.
In this section, the tenant will be asked to provide the following information about their employment:
- Employer’s name and address
- Supervisor’s name and address
- Job title
- Type of employment contract (Full-time, part-time, temporary, etc)
- Duration of employment
- Gross monthly income
- Any other sources of income
The landlord may ask the tenant for permission to contact their employer. Overall, however, landlords will normally wish to see that the applicant should have a gross salary of at least 3 times the required rental payment.
Credit History
Another significant part of the rental application is the tenant’s credit history. This information isn’t always requested (often, the income statement provides enough data), but it can prove useful to ensure the tenant will honor their financial obligations to you.
To carry out a credit check, the landlord will often require the tenant to pay a fee to cover the costs of the screening. As this involves sensitive data, the tenant will also have to give their consent before the check can be done.
Some states have laws that limit the cost of the application or screening fee. Minnesota, for instance, limits the screening fee to the cost charged by the screening service [1].
When assessing the credit history of a tenant, the landlord will often request the following information:
- Credit and banking statements
- Bank accounts the applicant keeps money in
- Letters from former landlords confirming the tenant’s payment history
- Social Security and Individual Tax Payer Identification Number (ITIN)
- Consent to a credit check
Personal References
The landlord can also request that a tenant provide personal references. These can be useful to establish their character and behavior, which is especially helpful if they will be living in a multi-residency unit or in a room in a home of multiple occupancy.
The reference can be sourced from any of the following parties:
- Former landlords
- Former neighbors
- Other parties that can vouch for the tenant
Background Check
In addition to a credit check, the landlord can also ask for a background check. This is ordinarily done to gain a more comprehensive picture of the applicant.
You may be wondering, how does a background check work?
It can also allow the landlord to find out:
- Whether the tenant has a criminal record
- If the tenant has been declared bankrupt
- If the tenant has been evicted before
Like a credit check, this can only be done with the tenant’s permission. This may also replace other sections that request the same details from the applicant to avoid duplicating information.
Some cities limit what criminal record can be considered as part of a background check. Some convictions may not be able to be considered, depending on local rules. It is important to consult these rules to determine whether specific legal history can be considered when determining whether to deny a tenant [2].
Disclosure
Last but not least, the rental application must include an important legal disclosure, that the tenant must agree to. This must adequately follow housing and credit report laws for your final document to be valid and enforceable.