Skip to Content

Metro Detroit Property Management Dangers: The Risks of Neglecting Background Checks

As a Metro Detroit Property Management Company committed to helping clients reduce risk, a recent study conducted by the Real Property Management national office is an eye-opener.

Entire neighborhoods are at risk when do-it-yourself (DIY) landlords take on the leasing responsibility without the proper checks in place.

A recent survey was conducted by Liminality, Inc., an independent research firm, on behalf of the nationwide property management firm.  Based on a survey of 150 DIY landlords, the study revealed that typically self-managing landlords tend to be more lax with background checks—if they conduct them at all.  This increases the chances of criminals—including those who may pose a threat to neighbors—being placed in a rental home.

In fact, 21% of those surveyed said that they “sometimes or never” conduct background checks on a prospective tenant.  These DIY landlords also reported these troubling patterns:

  • Only 44% check for a previous sex offender
  • Only 51% pull a criminal background check
  • 23% “sometimes or never” require credit checks
  • Only 51% call previous rental references

Why are background checks such an important part of Metro Detroit Property Management?

Those with a criminal background have a higher risk of committing future crimes, which puts neighbors at risk.  The Bureau of Justice reported in 2014 that 76.6% of prisoners released in 2005 were re-arrested within five years.  A criminal background check helps reduce risk for both the landlord and the surrounding neighborhood.

Real Property Management Metro Detroit is rigorous in its background screenings for this very reason. Strict policies ensure all tenants complete a thorough application and consent to a full background check, including credit history, employment, previous rental history, and criminal and sex offender checks. These checks are conducted in strict compliance with local, state, and federal regulations.

“We are very surprised to learn many DIY landlords are not disciplined enough to routinely conduct background checks,” said Real Property Management Metro Detroit. “Not only are they risking an expensive investment in their property, but they could also compromise the wellbeing of their neighbors. The bottom line is if DIY landlords don’t have the time or resources to screen tenants, they should consult a Metro Detroit property management company that can do it for them.”

Your Real Property Management Metro Detroit team includes thorough tenant screening qualifications as just one of many aspects of our complete leasing process. The goal is to reduce risk for the property owner while minimizing costs and maximizing cash flow on your rental property.

 

We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.

The Neighborly Done Right Promise

The Neighborly Done Right Promise ® delivered by Real Property Management, a proud Neighborly company

When it comes to finding the right property manager for your investment property, you want to know that they stand behind their work and get the job done right – the first time. At Real Property Management we have the expertise, technology, and systems to manage your property the right way. We work hard to optimize your return on investment while preserving your asset and giving you peace of mind. Our highly trained and skilled team works hard so you can be sure your property's management will be Done Right.

Canada excluded. Services performed by independently owned and operated franchises.

See Full Details