If you are a property management company, or someone who owns rental properties and manages them on your own, one thing to make sure you are not doing is discriminating any prospective tenants. Discriminating prospective tenants is illegal and should not be part of your rental process. The following are 5 tips to help you follow fair housing laws and avoid discrimination claims.
1. Have written screening standards that are given to all applicants
The first thing to know is that this is required by state law if you charge an application fee. What background requirements (income, credit, rental history, criminal history) must renters meet to live in your unit? By having a written screening standard prepared will not only keep you within legal requirements, but will provide you a standard to follow each time you are filling a property
2. Show Rentals Without Steering
Follow a standard routine for showing your property. Provide each prospective tenant the same offer and show units on an equal basis. Avoid comments about suitability or anything that could be considered steering (e.g. “If you have kids, this unit on the first floor is a good fit.”). You should let tenants decide if a property will not work for them based on their situation. Also, be consistent when requesting or holding any type of identification.
3. Avoid Answering Questions About Other People in the Community
If you are asked about the type of people who live in adjoining rentals or the community, respond by politely saying “people who have completed an application, met our rental criteria, and signed our lease.” It would not be fair to other people in the community for you to speak about them, as stated above you can simply state that other people that live here have met our rental criteria and have signed a lease.
4. Do Not Lie or Sugar Coat the Reason for Rejection
Rejecting a prospective tenant is never easy for you or the tenant. Lying to them will only hurt them down the line when they consider moving into a different rental unit. If you have used a tenant screening service, comply with the laws that give the applicant the right to contact that service.
5. Handle Exceptions Properly
Making exceptions may happen from time to time based on a prospective tenant’s situation. If you want to make exceptions to your policies, have a written exception policy. If an exception is based on income/money issues, you can require an additional security deposit or rent to cover the risk in making an exception.
Staying up to date on all types of rental laws is something that is a must. Many of the laws can change without you knowing. There are organizations that can help provide you the information required for renting laws. These organizations also set up classes for you to attend to further expand your knowledge with rental laws. The Minnesota Multi Housing Association (MHA) is a great organization to help you stay up to date on rental laws. Visit their website at http://www.mmha.com/Home/Membership/tabid/8933/Default.aspx
At Renters Warehouse, we value all of our tenants and property owners. We continually strive to provide you the service and tools to make life a little easier. Visit www.renterswarehouse.com to learn more about the company, our properties, our services and its CEO, Brenton Hayden.
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