It's estimated there are millions of evictions each year, according to the US Government Accountability Office. Even a single eviction can lead to major financial distress. Regarding managing rental properties in Milwaukee, tenant screening is a crucial step that can determine the long-term success of your investment.
For many landlords, the question arises of "Should you handle tenant screening in-house or outsource this important task?" In this guide, we'll delve into the pros and cons of outsourcing tenant screening to help you make an informed decision that aligns with your rental property goals.
Pros of Outsourcing Tenant Screening
One of the most significant benefits of outsourcing tenant checks is the expertise that comes with it. Professional landlord screening services are experienced in what to look for in a tenant. They have access to comprehensive tools and databases to conduct thorough screenings that may go beyond what a typical landlord might do on their own.
Handling tenant screening yourself can be time-consuming. By outsourcing, you save time and can focus on other important aspects of property management, such as:
- Tenant relations
- Property maintenance
- Handling other properties
Experts in property management screening can often expedite the process. Navigating fair housing laws and regulations can be difficult for landlords. Outsourcing tenant screening can ensure compliance with local and federal laws, significantly reducing the risk of discrimination claims and legal issues after the lease is signed.
Cons of Outsourcing Tenant Screening
One downside of outsourcing is the cost. While the expertise provided may be worth it, using a property management service or third-party screening company incurs fees that add to your overall expenses.
By outsourcing tenant screening, you may have less direct control over the process. This can be concerning if you prefer to assess potential tenants, as automated systems might miss nuanced characteristics that indicate a reliable tenant.
Reliance on outsourcing can lead to potential issues if the screening service does not meet your expectations. If there are mistakes made during the screening process, it can affect your tenant acquisition and, by extension, your rental income.
Making an Informed Decision
When weighing the benefits of tenant screening against its drawbacks, consider your unique circumstances. Do you have the necessary time and expertise to conduct thorough screenings, or would outsourcing tenant screening in Milwaukee better suit your needs?
Ultimately, the choice between outsourcing tenant checks and conducting them in-house hinges on your operational priorities and financial considerations. Regardless of the route you choose, comprehensive tenant screening is essential for protecting your rental investment.
Never Neglect Tenant Screening
Outsourcing tenant screening in Milwaukee comes with both pros and cons that every landlord should carefully evaluate. Prioritize what matters most for your property management strategy to make an informed choice.
PMI of Greater Milwaukee offers full-service property management with cutting-edge technology, expert local knowledge, and a commitment to maximizing owner profitability. From tenant screening to maintenance coordination, we handle obligations so you can focus on other areas of your life. You can schedule a free rental analysis with us today to learn more about how we can help.
