Tip #233: Don’t String Me Along…
Many landlords charge an application fee so they can get reimbursed for tenant screening reports.
But others feel it’s just not worth the trouble. If you’re in that camp, consider this: There’s another important reason to collect an application fee.
By charging a fee, you make a would-be tenant put their money where their mouths is — by committing to rent the unit if they are approved. If applying for your rental is free and painless, you are more likely to encounter applicants who have applied for multiple vacancies just to take the properties out of play, while they mull over which one to accept.
Application fees have to be small, usually the amount it costs to qualify the applicant. But by charging even a nominal fee, you make uncommitted applicants think twice before wasting their money — and your time.
See last week’s Landlord Quick Tip.
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