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Um, for the most part I've had really good experiences. [I am basing this on about 5-6 people].
I've had one person who was just a bad credit risk - she was in her 20s and drove up in a BMW, and didn't have a commensurate job. Red flags, but still ...
I had one person who turned out to be INSANE. There were some warnings (claimed a lot of people were "stalking" him). But otherwise he honestly seemed nice and normal.
Aside from those 2, I've had a series of wonderful people. But the bad ones can do a lot of harm! From the perspective of a landlord, it depends entirely on how many choices you have - if you have multiple applicants, you can select the one without all of the red flags. If you have one applicant and are deciding whether or not to accept, you tend to disregard the red flags.
Smokers. Not one tenant, or potential tenant, has fessed up they smoke. Had really good tenants who didn't tell me they smoked, until I asked, and then stated they were 'planning to quit'. Ya, didn't happen. Told them no smoking on the property at all, they obliged so it all worked out. Like blossom said, when you talk to them, red flags usually appear. If you live in an area where rentals are tight, you can be quite picky. When I was trying to rent in the past, it was like a job, there was a whole interview process!
Honestly, I would guess that over the years, probably 20% of tenants have lied about something that they got caught on. Most were just white lies or exaggerations of the truth, from a certain point of view.
Some I've heard:
"They are just staying with me for a week while they find a place"
"I'm not a smoker"
"I don't have pets" or "That cat is just a stray"
"I called the utility company, they messed up"
"I have no idea why my check bounced" or "I'll have rent on Friday" or "I mailed the rent to you last week"
"I paid a company to mow my lawn and they didn't show up"
"I don't even own a radio, so it can't be my music the neighbors are hearing"
and my favorites, at move out
"The place is so clean you could eat off the floor"
and
"That stain was there when I moved in"
Now, for potential tenants/applicants, I would guess that fully 50%, maybe more, either lie outright or try to cover something up or gloss it over. Most get caught up front.
"The dryer must have just broken, the last tenant never said anything" (It was unplugged and sitting on shipping palate)
"The fire department was in here; they have no regulation about putting smoke detectors in the bedrooms. CO detectors are for only new construction, I wouldn't worry about it"
"You'll have no problem with your security deposit after I deduct for the carpet stain you made. I many need a new carpet. Oh, you took digital pictures when you moved in, and you sent them to me? Huh. Musta not seen that email. Shows the same stain? I'll send the check right out."
"I don't rent any apartments to Section 8's in here; this is not that kind of place."
"Most people in this building work 9 - 5 (He forgot to say "AM")
"My regular snow removal guy went under so shoveling is the problem of the tenants"
"When things break I have someone on it the next day."
How about when you move into a house and the landlord tells you not to tell the neighbors, who live in a house across the street how much rent you pay. I just looked at her dumbstruck. I don't tell my neighbors anything, and it was a new town. I didn't even know them. We found out a year later that she was being foreclosed on, and just kept the money we gave her.
We moved to that new house from an apartment complex that was new and had a wired in smoke alarm system with a box in the hallway next to our door. They cancelled the account with the company that maintained the system, and so it beeped every three seconds at an ear-piercing pitch for about 6 months, until we moved. They gave me a key to the box after about 3 weeks or so, so that I could turn off the beeping for a half hour interval if I did the sequence. The maintenance men did it while they were working. The kids that lived in another building came to ours one day, and poured lighter fluid onto the stairs going up and were going to light it on fire. They were caught, but not evicted. The kids were about 9 and 10 in age. This was a very small town, and this complex was rather expensive.
Probably 50% of mine have lied - not on the application form but just generally -
"This is my sister's dog - it's just here for the day"
"I only have one cat."
"We only smoke outside but those are not our cigarette butts. Can't imagine how they got there and keep getting there. Hmm."
"Glad you called me - I'm actually standing at the bank right now with the rent in my hand. What's your account number again?"
"The rent will be the first thing coming out of my next paycheck. followed by "I went to my bank and I don't know why but there was only a balance of $40." (and evidently that $40 was not for me)
"Sorry about the rent. I've been in a bad car accident" (I've heard this from 3 tenants over 5 years)
We are learning, slowly, that everything that everyone ever told us about renting to tenants is true. Things we have learned:
NEVER rent to a group of unrelated (by blood) students. EVER. The group will break up, someone will move out, they will invite in unsavory characters, they will not pay the rent. The only way I would ever rent to students again is if their parents pay the entire rent for the entire lease up front (unlikely).
No matter what the excuse, if the rent is not paid in full, begin the eviction process at the earliest time legally permitted. You can drop the proceedings if the tenant pays the rent, late fees, and legal expenses before the eviction is completed. Evictions take time, so even though they're a pain in the ass, don't delay hoping that the tenant is going to pay.
Tenants will smoke, will bring in pets, even if it's against the lease terms. So insist on the largest deposit legally permitted in your area, document the condition of the apartment before they move in, and keep the deposit for damages if warranted. Allow pets, but add on a hefty pet deposit, too. Since they're gonna bring em in anyway, you might as well have a pet deposit.
Do not give them the keys or allow them to move in until they have proof that the utilities have been transferred into their name. Once they are in, they will not bother to transfer utilities unless they are turned off.
Out of the last 15 tenants I've had....only one was truthful. If I've learned anything about being a landlord it's that a tenant will say or do anything just to get his foot in the door. The best was when I rented to a single woman from Ireland. The next thing I knew, she placed 11 mattresses on the unfinished attic floor and invited 33 illegal drunken Irish relatives to live in my 1 bedroom apartment. It cost me over $11,000 to have them removed and repair the damages they caused. Of course I could not recoup the money I spent, since the tenant claim bankruptcy right after getting evicted.
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Landlord problems
They gave me a key to the box after about 3 weeks or so, so that I could turn off the beeping for a half hour interval if I did the sequence. 
The maintenance men did it while they were working. The kids that lived in another building came to ours one day, and poured lighter fluid onto the stairs going up and were going to light it on fire. They were caught, but not evicted. The kids were about 9 and 10 in age. This was a very small town, and this complex was rather expensive.
