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Here are 10 tips for landlords or agents who are dealing with a problem tenant and to ensure renting out your property runs smoothly.
Problem tenants can range from the sort who calls you up over a creaky floorboard or a carpet stain, to the aggressive type who harasses neighbors or engages in suspicious activities. Most of the time though, the problem is tenants failing to pay the rent.
To prevent or effectively deal with difficult tenants, remember these 10 tips:
Screen your prospective tenants thoroughly.
Check their background and documents, call their references, and verify their employment and income to save yourself from the stress and financial predicament that a delinquent tenant will give you down the road.
Closely match the rent due date with payday.
This may help ensure that you get the rent on time.
Understand local laws governing property owners and tenants.
Be well educated so you would know all the recourse available to you when dealing with difficult tenants. Know your rights and obligations as a rental unit owner.
Have a written policy and be clear on expectations.
While you are at it, explicitly state that you would be charging a late fee for any rent not paid within the specified grace period. Discuss, too, the circumstances that warrant a “pay or vacate” notice. In the Philippines, nonpayment of three months’ rent is grounds for eviction. However, property owners must give tenants three business days to settle their obligations or leave of their own accord. You may also create a list of “dos and don’ts” to clearly define your expectations regarding things like noise, cleanliness, repair requests, renovations, and procedure for reporting complaints.
Be professional.
Although it’s tempting to lose your cool on consistently difficult or delinquent tenants, remember that it pays to be courteous at all times and not further aggravate the situation. If the tenant persists with his or her ways, you may encourage the other tenants to file a complaint at the barangay hall.
Take action immediately.
Respond to requests for repairs and complaints as quickly as you would respond to late payments and nonadherence to tenant rules. Remember that the tenant can withhold rent payments if necessary repairs are not made.
Do not fall prey to excuses.
Be considerate when tenants have emergency situations or a change in their personal circumstances, but also be objective and enforce your policies fairly but strictly.
Consider making a detailed property condition report prior to and after tenancy.
Create an inventory and specifically state any defect or damage to the property. Have the tenant review and sign the document. This way you would avoid disagreement and have a valid basis if you need to tap into the security deposit for repairs or have a document to present in case the place is thrashed and matters have to be settled in court.
Keep accurate records.
Have a paper trail of any legal or financial transactions, as well as correspondence.
Ask the tenant to leave if necessary.
When the tenant is violent toward fellow tenants, sells drugs out of your property, or engages in other criminal activity, you can ask him or her to vacate the premises without prior notice. However, if the issue is nonpayment, you are required to issue a “pay or vacate” notice first. In case the tenant still refuses to pay and leave the property, your only recourse may be legal eviction. Hire a qualified attorney and let the authorities do the evicting. Don’t take matters into your own hands as you might be fined or even asked to reimburse the tenant. That may seem unfair, not to mention stressful, hence the importance of following tip number one.
Tenants will also vary in terms of values. As a professional who is running the business, it’s your job to take charge of the situation as positively as possible so as to not affect your operations and maintain your good reputation.
Source: Propertyware
Read our previous journal for more real estate tips and features.
