Good fortune can await those who desire and push themselves to become landlords. However, it also has its fair share of issues that requires proper handling, especially when they are tenant-related. Though maintaining a high standard in choosing a tenant and in house rules may help, other types of problem not related to them can still occur.
This does not mean that background checks should be forfeited. But in case you still don’t recognize these problems, they are the following:
Problems in Making Payments
Frequently, landlords encounter issues in tenants having problems in sending payments on time. In some cases, they never come at all. Despite efforts to handle them through constant reminders and contract implications, the lost revenue it entails is not an easy thing to redeem. To make the best out of this situation, the recommended solution would always be through eviction. This “fear factor” allow you to gauge whether they’re still on it or not
Just remember that before doing this measure, it is of utmost importance that you have managed to at least save three months’ worth of mortgage. That’s because this is typically the grace period you give a tenant for eviction.
Damages to Property
It is a given that wearing and tearing will occur. In most cases, they were found to be initiated by a misuse on the part of the tenant. Generally, they should be responsible in the repair costs since they were the ones renting the property. However, it is always expected that they would neglect this kind of responsibility as it incurs cost.
One solution would be the concept of having security deposits were raised and implemented. Nevertheless, there were also cases where these funding is even insufficient, putting the landlord at a great disadvantage. Legal action may be an alternative, but the due process it entails can also become trying. Thus, the best and remaining option would always be to start from the scratch: properly choose a new tenant and have them oblige to a “property condition clause” wherein details of the sustained damages prior to move-in are already agreed so that those that eventually have to be settled are properly discussed during move-out activities.
Despite having clear leasing conditions prior to move-in, landlords would eventually encounter some who have tendencies to forget or neglect such. Typical examples of such are having pets or accommodation for additional people without permission when they are clearly stated in the terms to be a violation. Immediate notifications specifying the nature of violation, through writing, would be an overall and effective solution to the matter. As long as legal actions are sought prior to any move, the court would always find you in favor.
Demands and Complaints from Tenants
It is a given that landlords encounter complaints from their tenants. It would vary from demands up to the aggravated ones that require immediate attention. Though screening them is recommended, it is also important that all of them are dealt properly and timely. Always be open to communicate with them. Let them know your plans on how you will go to fulfill it. For proper handling, it is recommended that a mediator through the form of a property manager be hired so that you’ll be free from the associated headaches.