A good way to determine whether a renter can afford your place is to verify their income. Although each person is different when it comes to managing their finances, it can be pretty obvious whether a person can afford to rent your property or not.
A helpful rule of thumb is to validate that only about 30% of their income will go to rent. Tenants will have other expenses each month, but if they have set 30% of their income aside for rent the remaining 70% should cover the rest of their expenses.
View the applicant’s credit report to verify debts and responsibility in paying other creditors. This is a great way to see the past, and the present, and possibly predict the future on how well a tenant will pay their bills. Interview past landlords to make sure that past rent amounts were paid in full and on-time. The manner in which way a tenant paid their previous landlord will likely continue on how they pay you.
