Owning and maintaining rental properties can come with a lot of benefits. It can also come with a few problems. These problems, if not dealt with properly, can lead to a lot of emotional, mental, and financial distress.
To make renting out properties easier and simpler, here are 6 tips to help you avoid rental problems.
1. Late Rent
A major problem when renting out properties is having problematic tenants who pay their rent late. Tenants who are unreliable, don’t have a steady income, or those who cause unnecessary issues are tenants you want to avoid. But how do you do this? You can’t know every tenant and their past intimately but you can try and mitigate the risk of bad tenants by running adequate background checks. Vetting a potential tenant well will mean that you can check their employment status, credit history and will flag things like a criminal record. Of course, these things don’t mean that you shouldn’t rent to them, only that you would then have a better understanding of them and their ability to pay rent on time. Having your tenants pay their rent late can often lead to financial problems or stress for you.
2. Loud Tenants
You may end up with noisy and loud tenants who are disruptive to their neighbours. If noise complaints arise, you, as the landlord, will end up having to deal with them. Prior to the tenants moving in, explain to them the etiquette of the neighbourhood and street. Perhaps you could even encourage them to speak to the neighbours. People are less likely to cause noise and disruption to people they are acquainted with. If they are acquainted with them or even become friends, the neighbours might feel comfortable asking them to lower the noise levels before they come to you with a formal complaint.
If you have received noise complaints, speak to your tenants and ask them politely and firmly to stop. Explain the situation, be reasonable, and have an open discussion with them. Perhaps they have a big family or they’re unaware that they are being disruptive.
3. Damage
Damage to your property can occur whenever you’re renting it out to tenants. Normal wear and tear is expected and can’t always be avoided. But sometimes, the damage for your rental property can be excessive. One way to deal with this is to set boundaries with your tenants when they first move in. Explain the rules, what constitutes wear and tear, and what constitutes damage that may affect their security deposit once they end their tenancy. If they are aware that there are consequences, they may be less likely to cause damage.
Explain clearly to them what home improvements they can and can’t carry out. Whenever necessary, carry out inspections on the property to ensure that everything is intact.
4. Unreasonable Tenants
You may have tenants that come to you with unreasonable requests. They may be asking you for maintenance or appliances that fall outside the scope of your responsibilities as their landlord. Perhaps, they are unaware of what it means to rent or they just want to see how far they can push you. It is your duty to ensure that the property is well maintained and that reasonable requests are dealt with in a timely manner. But if your tenants start to come to you with requests that seem unreasonable, this could be stressful for you. It may damage your relationship with your tenants and cause further issues if they feel you aren’t fulfilling your duties.
To avoid this from happening, clearly outline your duties and responsibilities as a landlord in the tenancy contract. This will help clear up any confusion and avoid unreasonable requests.
5. Criminal Activity
If criminal activity is taking place on your property, this could cause a lot of issues for you. If your tenants appear to be or are engaging in criminal activity, ensure you evict them and inform the police straight away. This will help protect you should anything happen.
6. Subletting
If your tenants sublet without informing you, this could cause problems. In some places, this is illegal but it can also cause issues with neighbours and may put your property at risk of damage. To try and avoid this from occurring, be clear with your tenants about what is and isn’t allowed regarding guests. You might want to include a clause in the tenancy agreement regarding subletting to protect your interests.
Use these 6 tips to protect yourself against some of the commonly faced issues with rental properties. Using these tips can help you avoid some stressful situations and problems that can often easily arise.
