Dallas-based Riverstone Residential Group announced Wednesday that all of its properties will now report resident payments to Experian RentBureau, a company that collects updated rental histories from property management companies every 24 hours and makes its rental history data available to other multifamily owners and managers.
Riverstone argues that storing this data will encourage residents to pay their rent on time. It will identify residents who might have great credit but delinquent rents payments, but also those who have poor credit but always pay their rent on time. Mark Stringer , senior vice president of Riverstone Screening Services and Riverstone Receivables, thinks collecting this information is a positive move for the company.
“Furnishing data to Experian RentBureau helps to immediately identify the most qualified rental prospects who pay rent on-time, all the time based on their rental payment history, which leads directly to improvements in NOI through reduction in skips, collection efforts, and bad debt,” he says.
There are other benefits as well, he argues. “Identifying the most qualified rental applicants based on rental payment history also helps over the long term to build consistent occupancy—through less skips and evictions—and raises the overall community profile, empowering leasing agents to focus on conversion and customer service as opposed to collections and debt recovery,” he says.
Do you think maintaining resident rental payment history and sharing it with other owners and managers is helpful to reduce evictions? Or should this data be kept private? Leave a comment below and let us know what you think.