Investing in a rental property is a great way to make passive income. Instead of you working for money, your money works for you. Having a rental property could lead to replacing your day job. But, having a rental does not always mean you won’t be faced with difficult times. Owning a rental property means dealing with tenants and sometime tenants can be a headache. This is a big reason why a lot of people are scared to invest in rental properties. But don’t let that scare you, in this post we will give you our favorite tips for dealing with bad tenants
Do you own a rental property in Boston? Are you frustrated in with tenants who pay rent late and who make a mess of your property? Going through the aggravation of a bad tenet experience can make you regret investing in a rental property. Some owners go the lawyer route when dealing with bad tenants but that is not the only way to solve the problem. There are things that you can do yourself without paying for an outside party.
How to Deal With Bad Tenants in Boston
Try To Be Understanding
Owning a rental property should be watched over and taken care of like a business, however there should be times when being compassionate can lead to a better outcome. For example, if you have a good tenant that has been renting from you for a long period without any major issues and that renter happens to late on the rent. It would be a smart idea to overlook that situation and not penalized that renter. You shouldn’t look as this as you being a weak landlord, but as someone who can sympathize with people. Showing you present renter that you care can go a long way. The word will get around that you are a landlord that cares for their renters. Also, doing something drastic can lead to you loosing a good tenant.
Stick to Your Guns
In connection with our last tip you can only be understanding but so far. Some tenants may be taking advantage your kindness (understanding) just to not pay rent. There are probably going to be times where you allow a renter to pay the rent late. Thats ok, but you need to be careful how flexible you are. You may get a tenant who wants to to pay late again, again and again. At the point you need to be firm and explain the policy of the lease. Giving them an ultimatum may be a tactic to use. Doing this will show them how serious you are and if you have to will go the legal route. Remember you are the owner so you need to act like it.
This part is very important. If you ever have to go to court having documentation can be the difference of winning and loosing. Any and all conversation with tenants should be written down with the exact time and date, save any and all text between you and the tenant ass well as emails Take photos of damages to the property that the tenant has made.
Hire a Property Manager
Hiring a GOOD and PROFESSIONAL property manager can take a lot of your responsibility away from you. You should really do your research on property managers before hiring one. Not selecting a good property manager can be as bad as a bad tenant. Property managers can take the burden off you by screening potential tenants, taking care of the maintenance, promoting your vacancies, handling tenant complaints and issues and also deal with the eviction process of a tenant. If you have several properties you rent out having a property manager is basically a must
Hopefully, you won’t ever have to deal with the eviction process as a landlord. It is a long and stressful process that varies state to state. First of all, you need to have a good reason to ask the tenant to move. They need to have broken the lease or be behind on rent. At NO point are you allowed to take matters into your own hands, even if they are causing property damage! You will need a court order to remove the tenant’s belongings or change the locks. You will want the courts to see you have done everything right so that they will have no choice but to be on your side in the matter. You will need to provide a formal notice of eviction that includes the day they need to pay by and the amount owed if they want to stay. Place it on their front door and send certified mail so you can prove it has been received. You will have to file with the courts and go through a hearing if the tenant still refuses to move. It is at this point you will be glad you documented everything!
Bad tenants are few and far between. With careful screening and an iron-clad lease, you can ensure a peaceful living environment for all of your tenants!