How to Handle Problem Tenants
Most of the landlords and property managers we know would say that problem tenants are made, not born. A basic truth is that we are treated the way we allow others to treat us—and that includes tenants.
Being a landlord or property manager is not for the faint of heart. It takes a strong personality and great self-confidence to establish and enforce rules. It takes a great communicator to deal with a wide variety of personalities and backgrounds. And it takes a real people person to provide great service to their tenants.
Still, issues and challenges arise in every people-centered business—and the rental property business is no exception. The best way to deal with problems tenants is, of course, to avoid the problems in the first place:
- Tenant late with rent? The more you tolerate it, the more you’ll be dealing with it. Tenants who know that late rent means late fees and then eviction notices either pay on time or live somewhere else. Problem solved.
- Tenant didn’t pay all the security deposit when she moved in—and now you’re having trouble collecting it? That’s easy enough to avoid—by not handing over the keys until the security deposit has been paid in full. And “paid in full” means the check has cleared your bank, too!
- Tenant is pressing you for return of their security deposit—even though he damaged the kitchen countertops and stained the carpet? Doing a move-out inspection and requiring the tenant to initial it, then going over the lease provisions covering security deposits will help. Communicate up front, then send a full accounting his new address within the time required by your state. Follow the laws and your own procedures to the letter—on each and every tenant.
- Don’t know where the tenant moved? Send all correspondence to his last known address, with “address service requested.” The Post Office will provide the new address if a forwarding order has been placed. If none is found, the letters will be returned to you—so keep them (unopened of course) in your tenant’s folder as proof of your attempt.
- Think eviction proceedings are too much of a hassle? Then by all means, don’t file them. That way your problem tenant won’t feel any pressure to pay you what is owed. She can scoot through without consequence, and her next landlord will have to deal with it—no eviction means no paper trail. But smart landlords know that even starting the eviction process is enough to make many tenants pay up—as they agreed to in their lease.
Yes, tenants will push landlords and property managers to their limits to see if they can get away with. But clear communication and enforcing the rules and provisions of a lease agreement will keep many problem tenants at bay—or out of your rental property!