How to Screen Tenants in California: 8 Essential Tips

Finding a qualified tenant is an important part of managing a rental property. In California, landlords must look beyond an applicant's ability to pay rent and follow rules for screening and fair housing.

For San Gabriel Valley property owners, understanding these requirements can help make the application process fair, clear, and organized.

Fertig & Gordon Companies, Inc. has managed Southern California rental properties since 1978. These eight tips can help you prepare for your next rental application.

In the video below, Kelly from Fertig & Gordon explains what California landlords should know about screening applicants.

8 Tenant Screening Tips for California Landlords

1. Set Your Screening Criteria Before Accepting Applications

Decide which qualifications applicants must meet before advertising your rental. These may include income, credit history, rental references, and other lawful factors.

When you are looking to rent out your house, put your criteria in writing and check that they follow current state and local requirements. California also has rules for application fees and how applications are processed, so build these into your screening process.

2. Look Beyond the Credit Score

A credit report can show payment history, debts, and other financial details, but a credit score alone may not reflect an applicant's full financial situation.

Consider relevant information alongside your written rental criteria. For example, an applicant may have limited credit history but enough verified income to meet the rental requirements.

California law also provides certain protections for applicants using qualifying housing subsidies. Make sure your credit policy accounts for these requirements.

3. Recognize Different Sources of Income

A traditional paycheck isn't the only way to show an ability to pay rent. Lawful income may include self-employment earnings, retirement income, public benefits, or housing assistance.

California protects lawful sources of income, including qualifying housing vouchers. When an applicant uses a voucher, apply income requirements to the portion of rent the applicant is responsible for paying, as required by law.

Considering lawful income sources helps you assess applicants based on their financial qualifications rather than their type of income.

4. Verify Financial Documents

Income documents help you understand whether an applicant meets your rental criteria. Depending on the applicant's circumstances, these may include pay statements, tax records, benefit statements, or other appropriate proof of income.

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Compare the documents with the information on the application. If details need clarification, use reliable verification methods and ask only for information relevant to your rental requirements.

Handle financial documents securely and limit access to people who need them for the screening process.

5. Confirm Applicant Identity

A consistent screening and identity verification process helps confirm that an applicant's information matches their identification.

Request only the information needed for a legitimate rental purpose. Avoid unnecessary questions about citizenship or immigration status, as California law provides housing protections related to these characteristics.

The goal is to verify identity while respecting applicants' privacy and following applicable laws.

6. Contact Previous Landlords

Previous landlords may be able to confirm details that aren't shown on a credit report. With appropriate authorization, ask about relevant parts of the applicant's rental history, such as:

• The dates of the tenancy.
• Whether rent was paid according to the lease.
• Documented lease violations, if any.
• Whether the required move-out notice was provided.

Focus on facts related to the tenancy rather than personal opinions. Confirm that the reference is a former landlord or authorized property manager whenever possible.

7. Distinguish Pets From Assistance Animals

Ordinary pets and qualifying assistance animals are treated differently under fair housing laws. Landlords may set lawful pet policies, but those policies generally cannot be applied to qualifying assistance animals in the same way.

When an applicant requests an accommodation, follow the applicable process for reviewing the request. Ask for supporting information only when permitted by law.

Evaluate each request individually rather than automatically applying standard pet rules.

8. Understand Criminal Background Check Rules

California limits how landlords may use criminal history during tenant screening. Certain records, including arrests that did not lead to convictions and sealed or expunged records, generally cannot be considered.

Landlords also cannot use a blanket policy that excludes everyone with a criminal record. When a conviction may legally be considered, review its relevance under applicable fair housing rules.

Before using criminal background information, confirm the current state and local requirements for your property.

What to Do After Screening an Applicant

After reviewing an application, compare the findings with your written criteria and follow the applicable application-processing rules.

Document the basis for your decision and keep screening records secure. If a consumer report influences a denial or another adverse decision, federal law generally requires an adverse action notice explaining the reporting agency's role and the applicant's rights.

A clear process helps you maintain accurate records and explain decisions when needed.

Conclusion

A consistent screening process helps landlords review applications carefully and make informed leasing decisions.

By verifying relevant information, applying clear criteria, and following California's housing requirements, rental owners can support a fair and organized leasing process.

Fertig & Gordon Companies, Inc. helps Southern California property owners manage these responsibilities through professional property management and leasing support.

Frequently Asked Questions

How Much Can California Landlords Charge for Tenant Screening?

California limits application screening fees under Civil Code Section 1950.6. The maximum may change each year, and landlords generally cannot charge more than the amount allowed for permitted screening costs.

The law also sets rules for collecting fees and handling refunds. Check the current limit and requirements before accepting application payments.

Can California Landlords Require a Minimum Credit Score?

Landlords can generally set lawful credit standards, provided they follow fair housing and consumer reporting laws.

Special rules may apply to applicants using qualifying housing subsidies who provide alternative evidence of their ability to pay their share of rent.

Review current California requirements before applying a credit policy to these applicants.

Can a Landlord Deny an Applicant With a Section 8 Voucher?

Landlords generally cannot reject an applicant simply because they receive Section 8 assistance. California protects lawful sources of income, including qualifying housing vouchers.

Landlords can still apply lawful rental criteria, but income requirements must account for the applicant's share of rent where required by law.

What if a Tenant Screening Report Contains Incorrect Information?

Applicants may dispute inaccurate information with the consumer reporting agency under the Fair Credit Reporting Act.

If a landlord takes adverse action based on a consumer report, the landlord generally must provide a notice explaining the applicant's rights and the reporting agency's contact information.

Reviewing reports carefully and using a reputable screening provider can help support accurate decisions.

Are Tenant Screening Rules the Same Throughout California?

California has statewide rules for fair housing, application screening, and consumer reporting. Some cities may have additional requirements that affect how landlords review applications.

Property owners with rentals in different San Gabriel Valley communities should check the rules that apply to each location before setting their screening procedures.