Navigate Property Management Show - Episode 3

Introduction

• Focus: Application process for landlords and property managers
• Hosts: Experienced property managers with extensive background
  • Over 5,000 turnovers
  • Managed over 2,500 properties
  • Processed over 20,000 applications

Main Topics

Identity Fraud

• Identity fraud is prevalent and easier than ever due to technology (e.g., Photoshop, AI).
• Importance of verifying tenant identity to prevent fraud.

Application Process

• Gut Feelings: Landlords are advised against relying solely on intuition.
• Process Importance: Stick to a thorough process to catch inconsistencies.
  • Identify yellow flags in applications for further investigation.

Case Study

• A young woman used her mother's identity to sign a lease.
• Discovered during an eviction hearing when identity was challenged.
• Key lesson: Verify tenant identity rigorously.

Three Key Verification Steps

1. Property Debt

• Use legitimate software to check for property debt.
• Key Indicators:
  • Unpaid rent or damages
  • Landlord verification needed
  • Any connection to property management companies on credit reports
  • Evictions, foreclosures, bankruptcies are red flags

2. Landlord Verification

• Ensure landlord's authenticity through professional contact info.
• Verify ownership through tax records.
• Red flags include:
  • Fake email accounts or phone numbers
  • Lack of clear ownership evidence

3. Income Verification

• Verify through multiple sources (e.g., tax returns, pay stubs).
• Use tools like Experian for robust verification.
• Avoid relying on single forms of proof.

Red Flags and Pro Tips

Major Red Flag

• Avoid allowing tenants to split security deposits over several months.

Pro Tip

• Payment Method:
  • Do not accept first month's rent and security deposit via credit card.
  • Risk of fraud and chargebacks which can lead to financial loss.

Conclusion

• Process First: Stick to a protocol and process before using judgment.
• Training Methods: Property managers are advised to prioritize process over personal judgment.
• Community Engagement: Viewers encouraged to interact with show for Q&A segments.

Call to Action

• Like, Subscribe, Share, and Comment
• Submit questions for future episodes

These notes provide insights into effective property management, emphasizing the importance of a structured application process to mitigate risks of fraud and tenant deception.