Why might a property manager deny a lease to a potential tenant?

Denying a lease to a potential tenant is often based on the evaluation of factors that indicate the tenant's ability to fulfill the lease terms. Insufficient income is a significant reason for denial because landlords and property managers must ensure that a tenant can comfortably pay rent without financial strain. Generally, a standard guideline is that a tenant's monthly income should be at least two to three times the monthly rent.

If a tenant's income does not meet this threshold, it raises concerns about their ability to make consistent and timely rent payments. Property managers need to mitigate risks associated with nonpayment and evictions, making income verification a crucial step in the tenant screening process. While factors like lack of rental history, previous evictions, and unfavorable credit ratings also play important roles in evaluating applications, insufficient income directly impacts the tenant's financial capability to pay rent, making it a strong basis for lease denial.