WHY INCOME VERIFICATION MATTERS
Before looking at the tools available, it’s worth exploring why income verification should always be part of your tenant screening process: CREDIT REPORTS DON’T SHOW INCOME A strong credit score reflects how a tenant has managed debt in the past, but it doesn’t prove they have the ongoing income to handle rent obligations today.
PAY STUBS ARE EASILY FALSIFIED
With free or low-cost online sources, applicants can create realistic-looking stubs in minutes. Unless verified, you may be relying on completely false information.
EMPLOYMENT STATUS CAN CHANGE QUICKLY
Even if an applicant once had a high-paying job, that doesn’t mean they still do. Confirming current employment provides up-to-date reassurance.
EVICTION IS EXPENSIVE
Removing a tenant who can’t pay rent can cost thousands in legal fees, lost rent, and turnover costs. Preventing this outcome through income verification is far less costly.
In short, verifying income isn’t about distrusting applicants. It’s about protecting your property investment and ensuring both parties enter into a rental agreement with realistic expectations.
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