Landlords – you know the drill. When a vacancy comes up, you put out your ads. Hopefully you’re in a hot rental market. But hot rental markets mean lots of showings if you price it right.
You go through a few people before finding someone to actually rent it. Maybe a few more if you don’t like them. Of course you follow all the anti-discrimination laws. You just find one of the legal ways to deny them.
To use one of the legal ways, you generally have to ask them for an application. They fill it out and return it to you. If you have a really hot market, or you priced it really low to rent it fast, you might receive several applications.
To legally discriminate against a renter (we’re not lawyers here, remember, and this ain’t legal advice), you have to use the legit ways. For example:
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Bad credit
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Criminal record
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Insufficient income
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References from previous landlords who wouldn’t rent to them again if they were the last renter on earth
The trouble is you have to process all those applications. And at the end of the process, you may still not have a qualified tenant. Then you get to repeat the whole process. Oh joy…
No Trespassing…Unless You’re a Qualified Tenant
What if you could show your rental only to people who are qualified to rent it? Then all you have to do is find someone who wants it. Your rental process becomes as easy as 1-2-3:
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Advertise
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Show
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Lease
Well, there’s a new app out called Home Me that just may make filling vacancies that simple. Home Me turns the apartment application process on it’s head. Potential renters jump on the Home Me app and fill out an application before they even start looking for an apartment.
First, Home Me asks the renter which city they are in to help them locate the right neighborhood. Then Home Me asks basic questions such as how much does the potential tenant make, when are they looking to move and whether they have roommates.
By asking who the renter’s roommate will be, assuming their roommate also signs up on Home Me, the app will determine an apartment that fits the budget of their combined income.
Once the prospective tenant finishes the application, Home Me does a credit check and background search automatically to determine whether the tenant will qualify.
Armed with the data from the application, Home Me searches the internet for apartments to rent.
Here’s the Cool Part
Home Me only shows the renters apartments that will approve them based on their application. It really saves time for the renter so they can just go to apartments that will accept them.
The renter can scroll through the qualified apartments and book a tour right through the app. If they like the apartment, they can even start filling out a lease right through the app.
If the tenant reaches the ‘sign a lease’ part of the app, the app will ask them to scan or take a picture of their pay stub for income verification. They will also have to scan or take a picture of their driver’s license to do an identity verification.
The app also accepts deposits and sends them to the landlord. No messing around with cashier’s checks.
It also saves time for the landlord. When the landlord shows the apartment to the Home Me tenant, and the tenant likes it, the landlord can go right to signing a lease.
On the landlord side, the property manager can see:
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Who has booked a tour
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Details about their applications
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The max rent the renter can afford
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Single income or combined with roommates
The app also provides data about all the apartments the tenant chose to tour in the past 60 days, along with information about each one. That way, the landlord will have an idea about what the tenant is looking for in an apartment and tailor their pitch accordingly.
And the Not-So-Cool Part
To encourage use of the Home Me app, the app is free for renters. Obviously, the creators of the app want to make money so guess who gets stuck with the bill.
Yup – the property manager.
It doesn’t say on their website, but this YouTube video about the app suggests it might be over $100. On the plus side, it may really help you reduce the time it takes to rent out your apartment.
By seeing the max rentability of your potential qualified tenants, you might also be able to raise the rent and recover far more than you are paying to Home Me. As a business owner, the choice is up to you.
Let Me Hear from You
Do you have any tips for getting apartments rented out quickly? Share below.
Screen Your Tenants – It is far easier to say ‘no’ to someone up front than to kick them out once they have moved in.
Don’t Discriminate, Obey the Law – Treat every potential renter as if they were an undercover housing inspector ready to fine you for discrimination.
Have a Process for Renting and Follow It – Treat every tenant the same when you are screening them and renting to them. Consider writing your process down in a policies and procedures manual.
JP Moses
is a real estate investor in Memphis, TN, with experience ranging from land lording to note buying, rehabbing, and wholesaling. However, wholesaling is the area that he enjoys most and where he bring the most experience and expertise to his students.