What can you expect?

Security deposits for houses are usually equal to one month’s rent or less. (Apartments and duplexes usually charge less for deposits.) Pet deposits usually range from $200 to $500 and should be refundable. We ensure that the lease agreement represents the advertised facts and agreed upon terms.  Applications usually require 2 to 3 business days to process.  The vast majority of property management companies require certified funds such as cashier’s check or money order for the application fee and security deposit. Usually subsequent rent payments can be personal check.  The security deposit is usually required about 70% to 80% with the security deposit to secure the property. If you are not approved, you will receive this back promptly. Although we make copies of the application fee and security deposit prior to submission, we recommend you keep your receipts as well.  Never pay cash for rent. 

FACTORS REGARDING QUALIFICATIONS

There are generally 4 main factors for renting: credit, background, rental history, and employment history.  Generally speaking, good credit allows the application to have less scrutiny. Poor credit usually causes more thorough research into rental and employment history.

 Total individual or family gross monthly income must be 3x monthly rent. (If you are slightly below this amount, low debt may help.)

 Credit: In the order of least negative to most negative: Medical is the least damaging. Next, late payments on credit cards. Collections on credit cards. Collections by property management company. Utility collections, especially in the same county. Foreclosure, Bankruptcy

 Background: Misdemeanors are usually not of major consequence depending on whether it is class A or class B. Felony convictions are often automatic disqualifiers. If you have a felony, please let the agent know the date of the felony.

 Rental History: 2 years of verified history (Usually easier to get approved if the new property’s rent is equal to or less than the prior property you have leased in the past unless you had a recent income gain)

 Employment History: 2 years of verified history

STRATEGY FOR APPROVAL

Depending on your individual circumstances, it is best to apply at properties where you have the best opportunity for approval.  If you are under a 2 week deadline during the winter or early spring months, remember that the available inventory of rentals is less than during the peak summer months. Therefore, you may not much time remaining if you are declined at a property and it takes 3 or 4 days to process the application.  The most important factor is the move-in date.  If your application is not very strong but you can start a lease within 1 to 2 weeks, then this is usually more appealing to the landlord instead the landlord's having to hold the property for 3 to 4 weeks.  Also, if the property has been on the market for longer than 60 days, the landlord may be motivated to be less restrictive in the leasing qualifications.  On the other hand, properties that have been on the market for less than 2 weeks may be more difficult, especially if they are less expensive and well-priced.  

Finally, once you select a property that you like, it is HIGHLY recommended to submit the application immediately before other applications are submitted and you must compete with other potentially stronger applications.  In order to minimize the chance for a multiple application situation, it is best to submit an application on Tuesday through Thursday.  On Mondays, many people submit applications after weekend viewings.  Also, most applications submitted on Saturday or Sunday are considered at the same time on Monday.  By submitting your application on Tuesday, Wednesday, or Thursday, it usually is enough time to process the application and receive an answer BEFORE the weekend arrives and new applications may be received.

APPLIANCES

All rental properties, of course, include a stove.  About 50% to 60% (our estimate) of rental houses include a refrigerator.  Most duplexes include a refrigerator, and nearly all apartments include a refrigerator but there may be an exception.  As for a washer and dryer, most homes and duplexes do not include one.  The only properties that usually do include them are older properties where a tenant left them for convenience and the landlord allows it to remain for future tenants or newer “cookie-cutter” homes in the past 4 to 5 years where it was provided by the builder and the owner is now leasing the home.

  NEGOTIATING THE LEASE AGREEMENT

Finally, once you are approved, we recommend that you request the lease agreement BEFORE meeting in-person with any landlord.  This allows you a stronger ability to negotiate any unfavorable lease terms ahead of time.  Also, we recommend that you submit the lease agreement to us to review and advise you.  A few things to consider are: Is the pet deposit fully refundable? What is the grace period for not paying a late fee for the rent?  How far in advance must you give notice to vacant or renew: 30, 45 or 60 days?

AT MOVE-IN

 We recommend that you take 30 to 40 pictures to document what is present in the property as well as its condition. Take close up pictures of any damages prior to your moving.  Then be sure to complete the inventory and condition form promptly and return to the landlord. Request a signed copy to acknowledge it. Don’t worry about being overly picky.  Check for any burnt light bulbs since you will be responsible for all bulb replacements at move-out. Either request the replacement or an allowance of a certain amount to compensate your time.

AT MOVE-OUT

Thoroughly clean the entire property so that there is no deduction from the rent.  The property should be cleaned to a “white-glove” degree and not simply “good enough”. Otherwise, you risk forfeiting a portion of your security deposit.  If the property was not cleaned at move-in, you risk the landlord still forfeiting a portion of the deposit because this may be debatable, especially if there is no written documentation.  Your only recourse would be to sue in small claims court and then may prove unfeasible for $100 to $300.  It is better to spend the extra 3 to 4 hours to eliminate the hassle all together.  Send a letter to the landlord requesting accounting of the security deposit within 30 days along with a forwarding address.  Remember, the law allows the landlord 30 days to either refund or provide an explanation.  As the tenant, you have legal remedy if neither a refund or accounting is provided.  It’s advisable to not unnecessarily sour landlord/tenant relations at move-out by demanding an immediate reimbursement of the security deposit BEFORE what the law proscribes.  Also be sure to replace all burnt light bulbs since the standard Texas Association of REALTORS lease agreement includes this.