There are certain situations that will necessitate a rejection of an application for Atlanta investment properties. If you are an Atlanta commercial property manager, it is imperative that you have a clear understanding of how to deny an applicant without any fuss. Before an applicant is rejected, certain situations must be apparent that justify the action. What are these situations that could make property management companies Atlanta to deny an applicant for Atlanta office space?
Reasons for denying an application
Constant Evictions: If you run a background check and discover that a prospective tenant for Atlanta retail space lease has a history of evictions, you can legally deny the applicant for this reason. The prospective tenant may not be able to pay rent as at when due and that may cause financial lose to you. A tenant who has history of eviction is not suitable for commercial property Atlanta.
Unreliable References: References can help you to know more about a potential tenant. However, if the references are bad, you can deny the application as an Atlanta investment properties manager. The references will allow you to see who a person really is and what others think about him. In case you make contact with a prospective tenant’s references and find them unsatisfactory, you can use this as a valid reason to deny an application. However, you need to make sure that your findings are true and that they fall under one of the other legal reasons to deny an applicant.
Bad Credit Report: Bad credit report is also a good reason to deny an applicant. Tenant with bad credit report may default on payment and commercial property like Atlanta office space is not meant for such tenant. If the tenant has significant debt, or has a judgment for an outstanding debt, you should not have anything to do with the defaulter.
Inadequate Income: Even if a potential tenant for Atlanta commercial property does not have any existing debt, you can deny the application if there is clear evidence that the prospective tenant monthly income is insufficient. In other words, you can say “no” to an application base on the fact that the prospective tenant does not make enough money to pay rent and all other necessary expenses required for the commercial property.
Any of the above reasons can prompt a denial of an application. The next step will be to legally deny the applicant. The first thing is to send the tenant an official Denial Letter. The reasons for the denial will be stated in the letter.
Another option will be to use an Adverse Action Letter. This can be used if the rejection is based on negative information found in a credit report of the prospective tenant. Property management companies Atlanta can send an adverse action letter in compliance with the Fair Credit Reporting Act regulations.
The last option is to use a non-rejection letter. With this, you as an Atlanta investment properties manager can simply tell the potential tenant that he was considered, but that a more qualified tenant came along.