Good screening protects your property and your residents, and it has to follow federal, Montana and (in Bozeman) city rules. This guide pulls together what we’ve learned screening applicants for homes across the Gallatin Valley: what the law requires, what a complete screening file looks like, and how to make decisions you can defend.
This is general information, not legal advice. For a specific situation, talk to a Montana attorney.
The rules that apply to every applicant
Federal Fair Housing Act. You can’t refuse to rent, set different terms, or advertise a preference based on race, color, religion, sex, national origin, familial status or disability.
Montana Human Rights Act (MCA 49-2-305). Montana adds marital status, creed and age to that list, and makes it unlawful to publish any notice or advertisement that shows a prohibited preference.
City of Bozeman. Bozeman’s nondiscrimination ordinance also protects people from housing discrimination based on actual or perceived sexual orientation, gender identity or gender expression.
Disability and assistance animals. Applicants with disabilities can ask for reasonable accommodations, including an assistance animal in a home with a no-pets rule. Assistance animals aren’t pets, so pet fees and pet rent don’t apply to them.
The practical rule: write your criteria down before you list the home, apply them the same way to every applicant, and keep notes on why each decision was made.
Consent, reports and adverse action notices
Get written consent before you pull a credit or background report. If you deny an applicant, require a co-signer, or ask for a larger deposit because of something in a consumer report, the federal Fair Credit Reporting Act requires an adverse action notice. It names the screening company, explains that the company didn’t make the decision, and tells the applicant how to get a free copy of the report and dispute errors.
What a complete screening file includes
- Identity verification so the report matches the person applying.
- Credit report, read for patterns (collections, unpaid utilities or past landlord debts) rather than a single score.
- Income verification using pay stubs, an offer letter, benefit statements or bank records, measured against a written income standard you use for everyone.
- Rental history from current and prior landlords: payment record, notice given, and condition at move-out.
- Eviction history, including filings and judgments.
- Criminal history, reviewed carefully (see below).
- Pet screening for any household pets, separate from assistance-animal requests.
Criminal history: be careful and consistent
HUD has warned that blanket bans on anyone with a criminal record can violate the Fair Housing Act, because they can have a disparate impact on protected groups. Arrests that didn’t lead to a conviction shouldn’t be used. Look at the nature and severity of a conviction and how long ago it happened, and give the applicant a chance to share context. Write the policy down and apply it the same way every time.
Security deposits and move-in condition
Montana doesn’t cap security deposits or require interest on them. The timelines are strict:
- If there’s no damage, no cleaning needed and no unpaid rent or utilities, return the deposit within 10 days (MCA 70-25-202).
- If you deduct anything, send an itemized written list with the balance within 30 days of the end of the tenancy or surrender of the home.
Document the home’s condition at move-in with a written checklist and dated photos. Without that record, it’s much harder to show that damage happened during the tenancy.
Notices and entry once a resident moves in
- Nonpayment of rent: a 3-day written notice to pay or vacate (MCA 70-24-422).
- Most other lease violations: a 14-day notice; 3 days for an unauthorized pet or unauthorized occupants; 5 days if substantially the same violation recurs within 6 months.
- Entry: except in an emergency, give at least 24 hours’ notice and enter at reasonable times (MCA 70-24-312).
A screening process you can defend
- Publish written criteria (income standard, rental history, credit and criminal-history policy, occupancy and pet rules) with the listing.
- Use one application and one screening package for every adult applicant.
- Process complete applications in the order they arrive.
- Verify income and landlord references directly.
- Make the decision against the written criteria, and record why.
- Send FCRA adverse action notices when a report affects the decision.
- Keep applications and screening records secure, and limit who can see them.
How we screen at Mountain Village Property Management
Every plan includes tenant screening (credit, criminal, eviction, income and rental history), standard pet screening and an attorney-prepared / reviewed lease. In-depth pet screening is included on Signature and Summit and is $49 per pet on Essentials. We apply the same written criteria to every applicant and follow fair housing law at every step.
What our plans cost
Mountain Village Property Management offers three plans. Every fee is in writing in your agreement before you sign.
| Essentials | Signature | Summit | |
|---|---|---|---|
| Monthly management | 4.9% of rent + $69/mo | 6.9% of rent + $69/mo | 8.9% of rent + $69/mo |
| Leasing fee | 50% of one month’s rent | 50% of one month’s rent | 50% of one month’s rent |
| Lease renewal | 25% of one month’s rent | 25% of one month’s rent | 25% of one month’s rent |
| Set-up fee | $299 one-time | None | None |
| Maintenance coordination | $99 per work order | Included | Included |
| 24/7 emergency line for residents | $29/mo add-on | Included | Included |
Our management percentage pauses while a home is vacant; the $69 monthly admin fee continues. Third-party costs may include a coordination markup of up to 7.5% (3% on recurring bills), as set out in the agreement. Compare every plan detail and add-on price.
Frequently asked questions
Can I charge an application fee in Montana?
Montana’s landlord-tenant act doesn’t specifically regulate application fees, and they’re common. Charge every applicant the same amount, tell them up front what it covers, and keep it tied to the real cost of screening.
Is there a minimum credit score I can require?
State law doesn’t set one. If you use a score, put it in your written criteria and apply it to everyone. Many owners get better results by reading the whole credit report together with income and rental history.
How do I deny an applicant legally?
Base the decision on your written, non-discriminatory criteria, keep notes, and send an FCRA adverse action notice whenever a consumer report played a part.
Do I have to accept an assistance animal in a no-pets rental?
Usually, yes, when an applicant with a disability makes a reasonable accommodation request. Pet fees and pet rent don’t apply. You can still hold the resident responsible for damage.
Talk to a local Bozeman team
We manage long-term rentals in Bozeman, Belgrade, Livingston, Gallatin Gateway, Manhattan and Three Forks from our office on W Babcock St in Bozeman. We’re rated 5.0 on Google (16 reviews). Request a free rental analysis and we’ll walk you through what your home could rent for and which plan fits.