Tenant Screening
Evaluating rental applicants against consistent, written criteria — income verification, credit, rental history, references, and background checks where permitted. Consistency matters legally as well as practically: screening is subject to fair housing and consumer-reporting laws, so the same standards must apply to every applicant.
Related terms
Fair Housing
The body of law, anchored by the U.S. Fair Housing Act of 1968, that prohibits discrimination in the sale, rental, financing, and advertising of housing based on race, color, religion, sex, national origin, familial status, and disability. Many states and cities extend protection to additional classes. It applies across the rental process — advertising, screening, terms, and treatment during a tenancy.
Security Deposit
Money a tenant pays at move-in that the landlord holds as security against unpaid rent or damage beyond normal wear and tear. State and local laws commonly set limits on the amount, rules for how deposits are held, and deadlines for returning them with an itemized statement after move-out.
Vacancy Rate
The share of units or time a rental sits empty and producing no income, expressed as a percentage. A single unit vacant one month out of twelve has an 8.3% vacancy rate for the year. Investors underwrite an assumed vacancy rate so that one bad month does not surprise the whole year’s numbers.