Advice
How to turn a bad tenant into great one
24/10/2018 18:30 | Source: biggerpockets
Sometimes you think you rent out your property to the right people, but once they’ve moved in, it seems like you’re dealing with entirely new ones.

As long as they aren’t trashing the place or a completely lost cause, though; you may be able to rehabilitate your bad tenant into a good one. Some people’s reaction to bad tenants is to be really nice in the hopes the renter will feel sorry for you and come around, but that’s the wrong approach. If you do that, you’re really setting yourself up to be a doormat of a landlord. It’s better to be strict, but firm, and to be clear to tenants exactly what you expect from them and what to expect from you, preferably in writing.

How to turn a bad tenant into great one 1

Check some tips below to help you turn a bad tenant into a great one:

Stress the most important lease clauses

Review the lease agreement with new tenant and thoroughly explain that which is most vital for them to know: The cost of rent, what day it is due, damage issues, repair request processes, how eviction proceedings are set in action and for what reasons, etc. To reinforce what the tenant learned, follow up with a letter welcoming them to their new home and reminding them of their key responsibilities. For problem tenants who have lived in the building for a while, make a copy of the lease with certain clauses highlighted.

Communication is the key

If you’re not communicating with your tenant often and with consistency, you have only yourself to blame. Many landlords are distant with tenants and that’s okay if they are awesome renters, but for bad tenants, you need to be present and forthcoming.  Be clear about what you’d like to see improve, how it can be improved, and the consequences of failure to follow-through.

Enforce your lease with notices

Now that the tenant has been made to aware, it’s time to make sure they know you’re paying attention. Send a notice when the rent is late, for parking violations, following noise complaints, etc. Get to the problem now before they become your tenant’s habit. If you are inconsistent with sending notices when your renters act up, they’ll continue to act up. Though a face to face verbal warning can sometimes be effective, when you put it in writing, they’re more likely to shape up.

Apply penalties such as late fees

Once you’ve used the form on a tenant who is late with rent, you have to follow-through. Charge the tenant late fees andenforce the deadline by which the fees must be paid. Create a notice form that you can fill out and keep on hand. Titles like “Late Charge Due Notice” or an “Urgent Late Notice” can grab their attention. And try to collect rent and late fees before too much time passes by.

Make routine inspections 

It’s easier for bad tenants to get away with destroying your property if you never set foot in their unit. When the tenant expects regular inspections by the landlord or manager, they are more likely to keep it in tip-top condition. Many landlords will inspect on regular intervals after prearranging a time with the tenant. Others will do surprise inspections. Some say that they will do inspections, but never get around to it. Even if you don’t plan to inspect, it may be worth a try to send the tenant a note informing them of an upcoming inspection. It may be enough for them to keep the place clean without you having to enter the unit.