Eviction History Check
An eviction history check is a tenant screening process that reviews public court records to identify any prior evictions against a prospective tenant, helping landlords assess risk and ensure lease compliance.
Key Takeaways
- An eviction history check is vital for assessing a prospective tenant's reliability and reducing landlord risk.
- Prior evictions can signal potential financial losses, property damage, and legal complications for landlords.
- Conduct checks through reputable screening services after obtaining applicant consent, ensuring FCRA and Fair Housing compliance.
- A thorough check helps landlords avoid costly evictions and protect their rental property investments.
- Eviction records typically remain on a tenant's report for seven years, impacting future rental applications.
What is an Eviction History Check?
An eviction history check is a crucial component of the tenant screening process, allowing landlords and property managers to review a prospective tenant's past rental records for any prior evictions. This check typically involves searching public court records for unlawful detainer actions or similar legal proceedings initiated by previous landlords. The primary goal is to assess a tenant's reliability and their likelihood of adhering to lease terms, paying rent on time, and maintaining the property.
Why Eviction History Matters for Landlords
Ignoring a tenant's eviction history can expose real estate investors to significant financial and operational risks. A tenant with a history of evictions may indicate a pattern of non-payment, lease violations, or property damage, all of which can lead to costly and time-consuming issues for the landlord.
Key Risks of Neglecting Eviction History
- Financial Losses: Eviction processes can cost landlords thousands in legal fees, court costs, lost rent, and potential property damage. A single eviction can easily exceed $3,000-$5,000, not including lost rental income during vacancy.
- Extended Vacancy: The time it takes to evict a tenant and then re-rent the property can result in several months of lost income.
- Property Damage: Tenants with a history of evictions may also have a history of neglecting or damaging rental units, leading to expensive repairs.
- Legal Complications: Navigating landlord-tenant laws and eviction procedures can be complex and time-consuming, requiring legal expertise.
How to Conduct an Eviction History Check
Performing a thorough eviction history check involves several steps to ensure compliance and accuracy:
- Obtain Consent: Always secure written consent from the applicant to conduct background and eviction checks. This is a legal requirement in many jurisdictions.
- Utilize a Reputable Screening Service: Partner with a professional tenant screening service that specializes in accessing public court records. These services often integrate eviction data with credit and criminal background checks.
- Review Court Records: The service will search court databases for unlawful detainer (eviction) filings associated with the applicant's name and previous addresses. Look for both filed cases and actual judgments.
- Verify Information: Cross-reference any eviction records found with the applicant's rental history provided on their application. Inquire about the circumstances of any past evictions directly with the applicant and previous landlords.
- Comply with Fair Housing Laws: Ensure your screening criteria are applied consistently to all applicants and comply with Fair Housing Act regulations to avoid discrimination.
Real-World Example: Mitigating Risk
An investor, Sarah, owns a single-family rental property with a monthly rent of $1,800. She receives an application from a prospective tenant, John. After obtaining consent, Sarah uses a tenant screening service for an eviction history check. The report reveals an eviction filing from three years ago due to non-payment of rent, resulting in a judgment against John for $3,600 (two months' rent).
Based on this information, Sarah decides to decline John's application, even though his credit score was fair. Her reasoning is that the potential cost of a future eviction (estimated at $4,000 in legal fees and lost rent, plus potential damages) far outweighs the risk of accepting a tenant with a documented history of non-payment. By conducting the eviction history check, Sarah proactively protected her investment from significant potential losses and operational headaches.
Frequently Asked Questions
What is the difference between an eviction history check and a general background check?
An eviction history check specifically looks for court records related to unlawful detainer actions or landlord-tenant disputes. A standard background check is broader, typically including criminal records, credit history, and sometimes employment verification, in addition to eviction records. While an eviction check is often part of a comprehensive background check, it focuses solely on rental-related legal disputes.
Are there legal requirements for conducting eviction history checks?
Yes, landlords must comply with the Fair Credit Reporting Act (FCRA) when using third-party tenant screening services, as these reports often contain consumer credit information. This means you must obtain the applicant's written consent, provide them with a copy of the report if adverse action is taken, and inform them of their right to dispute inaccuracies. Additionally, all screening practices must adhere to federal, state, and local Fair Housing laws to prevent discrimination.
Should a landlord automatically deny an applicant with an eviction history?
While an eviction filing is a strong indicator of risk, it's not always the sole factor. Some landlords might consider the age of the eviction (older evictions may be less relevant), the reason for the eviction (e.g., job loss vs. property damage), and the tenant's current financial stability. However, many landlords have a strict policy against any prior evictions due to the high costs and legal complexities involved. It's crucial to apply your criteria consistently to all applicants.
How long do evictions stay on a tenant's record?
Eviction records typically remain on a tenant's record for seven years, similar to other adverse credit events. However, the exact duration can vary by state and the specific reporting agency. After this period, the eviction may no longer appear on standard tenant screening reports, though some public records may still be accessible.