Are your rental applicants using fake pay stubs?

Are your applicants using fake pay stubs?
Fake pay stubs are easy to get

In a previous post, I discussed the ease of getting a fake credit report and why you should always run your own screening reports for rental applicants. Credit reports are not the only fake documents that are readily available online. Fake pay stubs are also easily available for under $10.00.

https://www.realcheckstubs.com and https://fakepaystubonline.com are just 2 of many services that can be used.

It only takes a few minutes to generate a fake pay stub and they can look very authentic. If the rent is $1200 per month and you require a 3-1 income to rent ratio, no problem. The applicant can simply generate pay stubs showing income of $3600 per month or more regardless of what they make.

Income is obviously one of the more important requirements when considering a tenant. Lack of sufficient income will typically result non-payment of rent and ultimately in an eviction.

Fortunately there are a number of steps you can take to verify an applicant’s pay stub information.

  • Take a close look at the deduction amounts. Calculate them to see if they make sense and are in-line with the state where they work. City and state tax rates are readily accessible on line.
  • Ask for bank statements that correspond with the dates of the paystubs to see that the money was actually deposited into their account.
  • Look at eviction and credit reports to see if there are any anomalies.

Some resources suggest contacting employers to verify the income. I do not recommend this, as many employers will not provide that information. Some larger corporations that do, will outsource the service to a third party which can charge up to $25. With the steps I outlined you should be able to get verified income without the significant time and effort required to contact the employer.

The best way to incorporate these steps into your application process is to use a online rental application and background screening program. An applicant completing a TenantMagic application give permission for the agent or owner to ask for information such as bank statements in addition to the credit, eviction and criminal information pulled from the bureaus.

TenantMagic www.tenantmagic.net comprehensive application and tenant screening at no cost to offers real estate agents, property managers and landlords. Applicants pay the fee.

Jay Apple is co-founder of TenantMagic, LLC  www.tenantmagic.net

Technology-relevant lead generation for property managers and landlords

Use technology-relevant lead generation
Millennials hate voice mail

Technology-relevant lead generation is so important to effectively market your properties, especially to millennials.

Many owners and property managers I speak with are always looking for a reliable source for rental applicants.

A significant number of these applicants will likely be millennials. According to a cnbc article  http://www.cnbc.com/2016/09/09/millennials-will-be-renting-for-a-lot-longer.html, over 60% of people in the 25 to 34 age group, are renting their residences.

In addition to listing on sites such as  Craigslist or Zillow, many owners or managers place a “For Rent” sign out with a phone number of the owner or property manager.

“For Rent” signs will typically attract potential applicants that have a greater interest,  as they are making the effort to check out the property and the neighborhood.

The problem with the “For Rent” signs is that the phone is the method of contact. This brings up a number of issues.

Potential applicants often look at properties during evenings and week-ends when rental offices are closed and owners are not always available. Many applicants, especially millennials,  are adverse to calling and even a larger number refuse to leave a message. If they do leave a message (which is unlikely)  and you call them back, don’t even think of leaving them a voice message.

Millennials hate voicemails. They don’t like leaving voicemails and will typically send a text message instead. They also often avoid listening to voicemails that have been left for them by others. Here is a great column giving a millennial’s perspective on voicemails.

http://www.baltimoresun.com/entertainment/bthesite/bs-b-0618-column-20150617-story.html

So, what is the best way to use “For Rent” signs? Use a text lead generation program for the signs. This is a good example of technology-relevant lead generation.

Full disclosure – TenantMagic has launched Rider Sign Leads www.ridersignleads.com. The program provides property managers and owners with a customizable code that can be placed on the “For Rent” sign riders, either in addition to or  replacing the phone number. When the prospective applicant texts the code to the number on the sign, they receive the rental details, owner/manager contact information and a link to the web listing of the property. The owner/manager receives the phone number of the prospect.

Technology is changing the way we shop, live and make decisions. It is imperative to make sure that your business can accommodate the tech tools that are being used by your target market.

Jay Apple is co-founder of TenantMagic, LLC  www.tenantmagic.net