Whether you manage one or 100 properties, tenants can make or break a rental portfolio. Without the right screening tools, it’s nearly impossible to know whether a tenant is likely to make on-time payments. This is where RentPrep tenant screening software comes in.
Finding good tenants isn’t always easy on your own. Landlords find that using a tenant screening software is the easiest and most cost-effective way to determine a tenant’s likelihood of remaining in good standing. This is why RentPrep provides tenant screening services—to help landlords quickly determine which applicants will be responsible tenants.
Unlike other property management software companies that we’ve covered, RentPrep focuses solely on providing tenant screening services. They don’t offer paid services for advertising, applications, rent collection, tenant communication, maintenance requests, tracking, or financial reporting.
Here’s what you need to know about RentPrep for landlords so you can decide whether you want to use their services to screen your future tenants.
Tenant Screening Services from RentPrep
A huge selling point for RentPrep is that there are no subscription fees to join. After setting up a free account with RentPrep’s sister company Stessa (through which RentPrep’s reports are delivered), you’ll pay for screening services only when you request them, so you’ll never have to worry about making monthly contractual payments or paying for something you don’t need.
With a focus on tenant screening, RentPrep offers a variety of services and service levels for landlords with portfolios of all sizes. It’s free to sign up for a Stessa account to receive RentPrep reports. Once you register, you can decide what type of tenant screening services you need. You can even live chat directly with an FCRA Certified Screener to help answer any questions and concerns you have before running your first background check.
Credit Report
A credit report tells you about a prospective tenant’s track record of paying back debt on time. RentPrep offers an automated credit report through TransUnion’s SmartMove program for $29 per report. It includes:
- A full credit report: This includes credit, criminal, and eviction history.
- A ResidentScore®: TransUnion’s proprietary renter credit score based on payment history, credit utilization, credit history, credit availability, and credit inquiries.
- Bankruptcies: A history of bankruptcy could be a red flag.
Because of the nature of this report, applicants will need to respond to an email for you to receive the final results. They’ll then be taken through a three-step process:
- First, they’ll enter their personal information.
- Then, they’ll answer a few identity verification questions to verify their identity.
- Finally, they’ll submit payment for the report. Unlike the tenant background check (covered next), you can pass the cost of the credit report onto your applicant.
Benefits of RentPrep’s Credit Report
Here are some of the benefits to consider if you’re deciding whether to get RentPrep’s credit report:
- Landlords can have tenants pay for the credit report or opt to pay it themselves.
- A full credit report gives you a complete picture of an applicant’s credit history.
- The credit report is typically available within minutes of the applicant verifying their identity.
Full Background Check
A background check is a good idea for any tenant. It can reveal red flags to help you determine if an applicant poses any risk of causing damage or failing to pay rent on time.
RentPrep background reports are hand-compiled by a team of FCRA-certified screeners. This is important because these human screeners can identify and correct errors commonly found in credit report databases, which ensures that the reports you receive are accurate.
Aside from using the information you’ve obtained from an application, you don’t need to involve your tenants or applicants before you order this background check. RentPrep doesn’t offer online applications, but you can download a free one from their website.
The RentPrep tenant background check costs $29 per report and includes:
- Social security number (SSN) verification: Verify that your applicants are who they say they are.
- Nationwide criminal and sex offender: Individuals who show up here have a history of crime or sexual offenses.
- Nationwide evictions: See if an applicant has been evicted or served eviction notices.
- Judgments and liens: These can negatively impact credit history. A judgment regards an applicant’s rights and liabilities as part of a legal proceeding and is issued by a court. A lien is assigned by a creditor and gives them a legal claim against private property that a debtor owns as security for a debt.
- Bankruptcies: The FCRA limits bankruptcy history to the last 10 years.
Keep in mind that the background check must be paid for by landlords. A tenant pay option isn’t available. Depending on local laws, however, landlords may be able to cover this cost by charging a separate application fee.
Benefits of RentPrep’s Full Background Check
- The full background check is hand-compiled by FCRA-certified screeners.
- It includes nationwide searches on any criminal/sex offender history, evictions, or judgments and liens (which were removed from standard credit reports in 2017).
- A LexisNexis report found that mortgage borrowers who have a judgment or tax lien are five and a half times more likely to go into pre-foreclosure or foreclosure. Renters with a judgment or tax lien are much more likely to default on their rent as well.
Complete Screening Package
For the best of both worlds, get RentPrep’s Complete Screening Package. It includes everything in the Credit Report plus everything in the Full Background Check for $49. In other words, you’ll save $9 by getting the package deal. Furthermore, there are landlord and tenant pay options available.
Optional Add-On: Income Verification
Both the Full Background Check Only and the Complete Screening Package offer an income verification add-on option for an additional $10. This is a report generated when the applicant connects one or more bank accounts via RentPrep partner Payscore to verify:
- Their average monthly net income
- 3 months’ average monthly net income
- Up to 12 months of total non-recurring income
- Current and average balances
- Account types and institutions
- Up to 12 months’ worth of deposit history
By verifying an applicant’s income, you don’t have to rely solely on the self-reported income on their application, giving you more confidence in their ability to afford rent.
Enterprise Screening (50+ Doors)
If you manage over 50 doors, RentPrep offers an enterprise package that includes:
- Tenant screening for all property types
- Easy onboarding
- Custom workflows
- Advanced searches
- Tier screening
- Applicant pay options
- A dedicated account rep
- Yardi integration
- API integration
For enterprise pricing, you’ll need to contact RentPrep directly or fill out an online web form.
Landlord Gurus Takeaway
Ultimately, RentPrep takes tenant screening a step further than most other tenant screening services. On top of the standard TransUnion credit report, you can get full background checks conducted by human FCRA-certified screeners and income verifications.
If you’re looking for tenant screening that includes credit checks, background checks, and judgment and lien checks, we strongly recommend RentPrep. It’s free to create an account. From there, you can use their free tools and resources and speak to a live agent to figure out the best screening package for your business. Get started with a free account today.
Disclosure: Some of the links in this post are affiliate links and Landlord Gurus may earn a commission. Our mission remains to provide valuable resources and information that helps landlords manage their rental properties efficiently and profitably. We link to these companies and their products because of their quality, not because of the commission.
