Hi Joe -
There's at least 2 aspects of your question - running credit checks, and qualifying applicants. The info below mostly discusses acquiring the credit report. Leaving you to verify previous rental history and jobs etc. Some of the options below may offer that service as well - but i generally have done my own checking - but if you go to any of the places below, see if they offer the background check service as well - and if they do, it will be at an additional charge, im sure.
The company you choose may partly depend on if you think you will run only a few credit reports per year, or a bunch. NTN will be pretty pricey up front cost. But, per report it may be lower than the co. i use.** Another BIG issue you may find, is that many co's that run Credit reports may want YOU to have your home office inspected prior to allowing you to pull any credit reports. That came along several years ago when 'lending' disclosure became a BIG factor- and the Gov't started requiring the companies that were running these reports even for folks like landlords wanted to make sure 'who' is running reports on folks, they wanted some assurance that the reports would be 'safe' from the 'wrong' hands. I believe one of the aspects of the 'physical' inspection was to make sure that the reports would be kept in a locked facility (your home or office) in a room with a lock, and in a file cabinet with a lock.
That being said, the co. i use (AAOA) gets around the requirement of having my 'home office' inspected. They just 'sell' you other reports along with 'giving' you the credit report that they pull and send to the prospects email- asking the prospect to give them permission for YOU to have their report. (their website: www.american-apartment-owners-association.org )
Another (perhaps more simple) option is to use 'Transunion' http://www.transunion.com/propertymanagement . The tenants can go directly online to them, submit the app fee to Transunion (saves you haveing to handle the money). It looks to me after going to their website now, that they have added some features to include more screening besides just offering a credit report, so i recommend taking a look at them. I know a local property mgr who uses this service in her small management company. My sister has used it screening tenants for her clients too (she's a realtor in Ca).
**Regarding the expense of the UP FRONT membership fees, the company i use - (my co. is American Apartment Owners Association; www.american-apartment-owners-association.org . ) - you can get the report without becoming a member, and without being 'inspected'. The price per report is higher for non-members. Memberships start at $80, and the price per report for non-members is $10 higher, so unless you plan on running 8 reports a year or more, not joining is not financially advantageous. (although, there are other cool benefits to being a member that you might want to take advantage of) BTW, even being a member, you can still get your reports without an inspection - but, i think if you do go ahead and get an inspection, they may give you a discoutn, im not sure - but they make it faster for you to get them, because you wont have to wait on the tenant to see the email asking them to allow YOU to gain access to their report.
I know i put a lot out there- hope you dont fall asleep reading it all!
