Tenant referencing and screening for landlords

Tenant referencing helps you check a prospective tenant’s identity, income and rental history before agreeing a tenancy. It gives you evidence to assess whether they can afford the rent and highlights details that need a closer look. However, no report can guarantee future payments or behaviour.

A consistent process makes decisions easier to explain and gives applicants a fair chance to provide evidence. If you are still seeking enquiries, start with matching your property to tenant demand. Here, we focus on assessing the applications you receive.

What tenant referencing checks usually cover

Agree who will carry out each check: you, your letting agent or a referencing service. Before collecting documents, explain what you need and how you will use the information.

Check whether income covers the rent

Income verification may involve payslips, employer references, tax documents, pension statements or benefit awards. For variable earnings, review a suitable period rather than relying on one strong month. Bank statements can help confirm income received.

Some services use an income multiple as an initial test. For example, annual income of £36,000 equals 2.5 times annual rent of £14,400 (£1,200 a month). This is an illustration, not a legal threshold or a guarantee that payments will be manageable.

Apply consistent criteria and consider all evidenced income. In England, government guidance on rental discrimination says landlords should treat benefits and pensions equally alongside other income. Ask the applicant to explain anything unclear.

Understand what credit checks can show

A basic tenant credit check typically covers identity and public records, such as county court judgments or insolvency. It does not usually show the detailed borrowing history available to a mortgage lender. However, some enhanced referencing services access wider credit information with the appropriate permissions.

Check what the report includes and ask the applicant’s permission before arranging credit checks. Services may use different credit scores or assessment rules, so no single score guarantees approval. Also, a limited UK credit history does not by itself establish that someone cannot pay the rent.

Verify references and follow up gaps

Where possible, check the referee’s details against another source before relying on their response. For example, contact an employer through its published phone number to confirm who handles references. Keep questions factual and relevant:

If you cannot get a previous landlord reference, ask for other evidence. This might include verified income or, where available, rent-payment records. A missing reference alone does not show that an applicant is unreliable.

Keep screening fair and consistent

Use relevant evidence when assessing applicants. Arriving on time, speaking confidently or sharing your interests does not show whether someone will pay the rent. For joint applications, check each proposed tenant and understand how the household will cover the rent.

In England, the Renters’ Rights Act also affects tenant selection, including rules intended to prevent discrimination because an applicant has children or receives benefits.

Right-to-rent checks are a separate legal duty in England for applicable lettings. They cover adult occupiers, including those not named on the tenancy agreement. Identity checks alone do not replace the required process. Letting rules differ across the UK.

Record the checks, explanations and reasons for your decision. Keep only the information you need and store it securely. Delete it when it is no longer needed, unless the law requires you to keep it. Explain how you use personal information in a privacy notice.

Consider guarantors and insurance where appropriate

A guarantor may offer additional support, but check their identity and ability to meet the proposed commitment. The guarantee should clearly explain what they would owe and when. Seek legal advice on the agreement, and apply guarantor requirements fairly.

Rent guarantee insurance may cover unpaid rent, subject to its terms. Check the referencing conditions, exclusions and claim limits before relying on cover. Neither insurance nor a guarantor removes the need to assess the application carefully. For more reliable rental income, also allow for repairs and gaps between tenancies.

Your property may be repossessed if you do not keep up with your mortgage repayments.

The Financial Conduct Authority does not regulate some buy-to-let mortgages.

Your questions about tenant referencing answered