According to CNBC, rents are on the rise in the Windy City. The purchase of a 60-story luxury apartment tower located in downtown Chicago recently set a record sales price. The 504-unit property, located on Wacker Drive, was sold to Heitman, a real estate investment firm, for a price of $328 million. That works out to $651,000 per unit. Rents for the property range from about $1,700 per unit to $12,000 per unit. CNBC goes on to report that one of the factors driving such the growth of rental is largely driven by the increasing number of millennials who are moving into the city center. The Chicago metro area witnessed the largest population growth in the downtown area between 2000 and 2010 than any other metro area in the country. Such an influx of workers needs housing, which has resulted in a burst of activity on the Chicago rental market scene.
Protecting Your Investment with a Tenant Background Check
While the current market certainly favors landlords, if you own rental property or you are considering buying investment property in Chicago, it is important to make certain you have a solid tenant screening process in place. The Chicago Tribune reports that monthly rents typically begin at about $2,000 for a studio apartment. Properties that provide what are termed as resort-style amenities tend to attract more tenants and garner higher rents. With so much on the line, it is important to make sure that you have the best tenant screening to protect your business.
Tenant Screening Can Prevent the Need for Eviction
Landlords sometimes make the mistake of assuming that if a tenant fails to pay the rent, they can just evict him or her. While eviction is certainly an option when a tenant fails to pay the rent, it is important to understand that the eviction process can be time-consuming, complex, and expensive. Furthermore, landlords must be concerned about far more than just whether the tenant will pay the rent on time. You must also be concerned about whether your new tenant is going to damage your property or even engage in illegal activities on the property, thus leaving you legally liable. While crime rates have actually declined over the past several years in Chicago, NeighborhoodScout reports that almost 100,000 property crimes still occur each year. As a landlord, you must be concerned about whether an applicant will be a responsible tenant. Performing a tenant check can help you to do that.
In choosing a tenant screening or background check service, it is important to keep in mind that not all services are the same. The goal of a tenant background screening should be to give you the information you need to make an informed decision regarding whether to approve a rental application. The good news is that there is no need to spend a lot of money on this type of tenant check, as a free tenant screening is available from VerticalRent.