Impending Changes to Tenant Screening Led by Minneapolis and Portland

Recent legislative efforts in Minneapolis and Portland to change tenant screening laws provides foreshadowing to potential change across the country.  With Portland aggressively moving to change tenant screening regulations, and Minneapolis not too far behind, landlords and property managers should be working with a well-qualified third-party tenant screening agency in order to remain fully compliant with new and existing law.

The cities of Portland and Minneapolis continue to lead the nation with potential changes to tenant screening and laws that govern the use of public records like criminal background records. This effort could easily lead to other similar changes across the nation. Any time there are potential significant changes to tenant screening laws and regulations landlords and property managers should take note; and when two large cities pursue similar legislative action around the same timeframe then reviewing current tenant selection polices can no longer be ignored by landlords anywhere.

Additionally several big cities and towns across the country face the continuing challenge of affordable housing, specifically with rental housing. Low cost housing is increasingly scarce and cities, such as Portland and Minneapolis, are looking for ways to allow tenants greater access to decent living situations. Subsequently, as these efforts arise landlords and property managers sometimes push back.

It is a current and ongoing challenge.

From the Minneapolis Star Tribune (May 31, 19):

Minneapolis City Council members are drafting a new ordinance that would limit how landlords use credit, eviction and criminal history to screen prospective tenants.

As city officials search for ways out of the affordable housing crisis, they are taking aim at a long-running point of contention in the housing debate: the tenant screening process. Housing advocates say the process does not give a full picture of an individual’s ability to be a good tenant.

But property owners say restricting their ability to screen tenants would prevent them from having enough information about potentially unsuitable applicants. startribune.com/minneapolis-considers-limiting-landlords-ability-to-screen-tenants/510644802/

Minneapolis is only the most recent city to review tenant screening policies as a means of easing challenges with housing, but as landlords and property managers know tenant screening can be an important tool in vetting potential tenants. If done fair and equal across all applicants, tenant screening can be successful in assisting landlords and property managers make a sound decision on candidates. If tenant screening and the applicant selection process is done correctly it removes the possibility of discrimination and injustice.

Efforts to change tenant screening policy continue unabated in Portland, Oregon.

An article in wweek.com (May 22, 19) discusses Portland’s on-going efforts:

“This proposal also helps reduce barriers to housing for a population that has faced unjust obstacles in our community for far too long – those who have been incarcerated,” they wrote. “This ordinance uses research-based criteria to identify low-risk characteristics that would help former offenders obtain housing and not be perpetually punished for long-past offenses. This would help reduce the cycle of incarceration and homelessness for many in our community and help get people back in stable housing and on their feet again.” wweek.com/news/city/2019/05/22/four-multnomah-county-commissioners-endorse-portlands-proposed-tenant-screening-and-security-deposit-ordinances/

At this point in time when larger cities, such as Minneapolis and Portland, work on reform on tenant screening policy and law in order to resolve an issue that has spread across the country, property managers and landlords should take note and take a hard look at their current tenant selection policies and make updates if necessary to remain compliant and ahead of the curve.

One approach that has been successful for many landlords and apartment managers is to work with a professional tenant screening agency, one that can provide the proper background reports at the proper time and to help aid in the creation or maintenance of sound tenant screening policy that can consistently avoid applicant discrimination and injustice.

To learn more about why cities like Minneapolis and Portland are looking into making changes to tenant screening laws and the overall tenant selection process and why this may help alleviate the affordable housing crisis read recent TenantScreeningUSA.com press release: Changes in Tenant Screening Law Should Alert Landlords; Opines TenantScreeningUSA.com