How to screen tenants: what every landlord needs to check

Choosing the right tenant is the single most important decision you make as a landlord. A good tenant pays on time, takes care of the property, and renews. A bad one can mean months of unpaid rent, an eviction process, and a unit that needs work before it can be rented again.

Thorough screening is how you tell them apart — before you hand over the keys.

Start with a rental application

Before showing your unit to anyone, have a standard rental application ready. Every serious applicant should complete one. It gives you a baseline of information to verify and creates a paper trail if disputes arise later.

A complete rental application should collect:

• Full legal name
• Current address and how long they've lived there
• Reason for moving
• Employment status, employer name, and position
• Monthly gross income
• Two or three personal and professional references (not family)
• Consent to a credit and background check
• Signature and date

The consent is important — most jurisdictions require written permission before you can run a credit check on someone. Check the privacy laws that apply in your area.

Credit check

A credit report tells you how an applicant manages debt. You're looking for:

Payment history — Do they consistently pay on time? Late payments or collections are red flags.

Credit score — Most landlords look for a score above 650. Below 600 suggests a pattern of missed payments. Keep in mind that newcomers with no local credit history are different from applicants with bad credit — treat a thin file differently than a damaged one.

Outstanding debts and collections — A collections account from a previous landlord is a significant warning sign.

The two major credit bureaus in most markets are Equifax and TransUnion. Both offer landlord-specific tenant screening products. There are also dedicated tenant screening platforms that bundle credit, identity verification, and eviction history into a single report — search for options available in your market.

Some landlords ask the applicant to pull their own credit report (a "soft pull" that doesn't affect their score) and share it. This is increasingly common and avoids the cost of a landlord-initiated check.

Income and employment verification

The general rule of thumb: rent should not exceed 30–35% of the tenant's gross monthly income. For a $1,800/month unit, you're looking for an applicant earning at least $5,400/month gross.

Ways to verify income:

Employment letter — A letter on company letterhead confirming the applicant's position, length of employment, and annual salary. This is the most reliable verification for salaried employees.

Recent pay stubs — Ask for the two or three most recent. Compare them to the employment letter.

Tax returns or income summary — Self-employed applicants and freelancers may not have pay stubs. A recent tax return or official income summary from the prior year is a reasonable substitute.

Bank statements — Three months of statements showing regular deposits can support an applicant who doesn't have traditional employment documents.

Reference checks

References are underused by most landlords, and that's a mistake. A five-minute phone call to a previous landlord can save you months of problems.

Always call previous landlords directly. Don't rely on written references — they can be fabricated. Find the landlord's number independently (search the address, public records, or property management company) rather than calling the number the applicant provides.

Questions to ask a previous landlord:

• Did the tenant pay rent on time, every month?
• Did they give proper notice before moving out?
• Was the unit left in good condition?
• Were there any complaints from neighbours?
• Would you rent to them again?

That last question is the most revealing. A hesitant answer or a long pause speaks volumes.

What you legally cannot do

Anti-discrimination law applies to tenant selection in most jurisdictions. While the specifics vary by country and region, landlords are generally prohibited from refusing an applicant or treating them differently based on characteristics such as:

• Race, colour, or ethnic origin
• Religion
• Sex or gender identity
• Sexual orientation
• Age
• Disability
• Family status (including having children)
• Marital status
• Source of income or receipt of public assistance

Screening must be based on financial qualifications and rental history — not on who the person is. Familiarize yourself with the fair housing or human rights laws in your jurisdiction before you screen anyone. Violations can result in complaints, fines, or tribunal hearings.

Red flags to watch for

Beyond the numbers, pay attention to:

Reluctance to provide references or consent to a credit check. A qualified applicant has nothing to hide. Pushback on standard screening steps is a warning sign.

Inconsistencies in the application. If the employer name doesn't match the pay stub, or the address history has gaps, ask about it directly.

Rushing to sign. Pressure to skip steps or move in immediately without proper screening sometimes indicates someone trying to avoid being checked.

Too-good-to-be-true income claims without documentation. High income claims that can't be verified deserve extra scrutiny.

Bad references from current landlord, good from everyone else. The current landlord is the most relevant reference — weight it accordingly.

Making the decision

Once you've run a credit check, verified income, and spoken to at least one previous landlord, you should have a clear picture. Use objective criteria consistently across all applicants — document your reasons for accepting or rejecting each one.

If two applicants are equally qualified, it's fine to choose based on factors like lease length preference or move-in date. What you cannot do is choose based on any characteristic protected under local fair housing or human rights law.

Keep your screening records for at least a year. If a rejected applicant files a complaint, having documented, objective reasons for your decision is your defence.

Onsite tracks tenant records, lease dates, and monthly rent across all your properties — so once you've found the right tenant, everything stays organized in one place.