Applying criteria inconsistently
Discretion is the enemy. If your written standard is three times rent and you make an exception for one applicant but not another, you have created a disparate treatment problem regardless of intent. Write the criteria, publish them, apply them identically.
Blanket criminal history bans
HUD guidance holds that categorical exclusions based on criminal records can produce disparate impact. Use individualized assessment considering nature, severity, and recency, and document the reasoning.
Skipping the adverse action notice
If you deny based on a consumer report, the Fair Credit Reporting Act requires notifying the applicant, identifying the reporting agency, and informing them of their right to a free copy and to dispute. This is a legal obligation, not a courtesy.
Calling only the current landlord
A current landlord who wants a problem tenant gone has an incentive to give a glowing reference. The prior landlord does not. Call both, and verify ownership through county records.
Refusing vouchers where prohibited
A growing number of states and cities prohibit source-of-income discrimination. Refusing a housing voucher in those jurisdictions is unlawful. Check local law — this area changes frequently. See tenant screening.
Frequently asked questions
Can I set a minimum credit score?
Generally yes, if applied consistently and disclosed. Consider allowing compensating factors, applied uniformly.
How long should I keep applications?
Retain applications and screening decisions for at least the period of your jurisdiction's fair housing statute of limitations.