How To Deal With Difficult Tenants

In a perfect world, we wouldn’t have any conflicts with anyone else ever. But unfortunately, that is simply not the case, and as a landlord, you may have to navigate complicated tenant situations.
Whether you’re a seasoned landlord or just starting out, dealing with difficult tenants can often feel like navigating a maze with no clear exit. If you’re feeling a little lost, read on to find out how to deal with difficult tenants and make your life that little bit easier.

Understanding the challenges

Dealing with difficult tenants can really take a toll, both on your wallet and your peace of mind. Whether it’s rent payments coming in late (or not at all), unexpected repairs due to carelessness, or the headache of navigating tricky legal waters, it can quickly turn into a nightmare; a stressful nightmare that feels like a never-ending game of whack-a-mole, but with emails and maintenance calls instead of moles.
That’s why nailing down a solid approach to screening and managing tenants is such a game changer – it saves you from these headaches and lets you focus on the brighter side of rental property management.

READ MORE: How to screen tenants

The impact of difficult tenants

While initial ramifications like damage to property and unpaid rent may come to mind first, having difficult tenants in your investment property can have a much bigger impact than that.

• Decreased cash flow: this one is the obvious one – late or missed rent payments directly affect your return on investment.
• Increased maintenance costs: if your tenants aren’t caring for your property, you’ll likely need to make frequent repairs.
• Legal and eviction: at the end of the day, we’d all like to avoid legal disputes, but sometimes they’re just unavoidable. But taking legal action can be costly, which is not ideal.
• Property value impact: if your investment property is taking on continuous wear and tear or significant damage, your property’s market value can decline over time.
• Time and resource drain: dealing with difficult tenants often requires more time and resources, diverting attention from other investment opportunities.
• Stress and mental strain: the frustration and stress of dealing with difficult tenants can take its toll in the long run and impact your overall well-being.
• Reputation risk: negative experiences with tenants can harm your reputation as a landlord or property manager, which in turn can impact future tenant relationships and investment prospects.

Dealing with difficult tenants: the proactive approach

Communication is key

Establishing open, honest, respectful communication lines is key. Be clear about your expectations and responsive to your tenant’s concerns. Having a positive landlord-tenant relationship makes things a lot easier in the long run, and having open lines of communication means you can often resolve issues before they escalate.

Enforce lease agreements

Consistently enforcing the rules and terms set out in the lease agreement is crucial. Ensure your tenants know their obligations under their lease and the consequences of not adhering to them. This includes rules about late rent payments, property damage, noise complaints, or unauthorised occupants. Consistent enforcement not only upholds standards but also helps avoid accusations of discrimination or unfair treatment.
A big part of this is education; provide clear guidelines for your tenants at the start of their tenancy and gentle reminders along the way if any issues do arise.

Document everything

Documentation is crucial. Keep detailed records of all interactions, agreements, and incidents related to your tenants. This includes emails and text messages, as well as time-stamped photos of the state of the property at different stages (e.g. move-in, move-out, routine inspections).

Keep things professional

No matter the challenge, it’s important to remain calm and professional. Emotional responses can escalate conflicts and potentially lead to legal complications. A composed approach helps in making rational decisions and maintaining a professional image.

Offer solutions

Ultimatums without solutions can often escalate a situation. When addressing an issue, try to provide a constructive solution where possible. So, if your tenant is consistently late with rent, you might suggest setting up a payment plan or adjusting the due date to align better with their pay schedule.
Offering solutions shows your willingness to work with your tenant and can lead to more cooperative interactions, now and in the future.

Know your legal rights

Understanding your rights and responsibilities as a landlord according to state laws is an essential starting point. This knowledge equips you to handle situations with legal boundaries and protects you from potential lawsuits.
Familiarise yourself with your rights and your tenant’s rights to make sure all of your actions are legally compliant.

Know when to get professional conflict resolution

It’s also important to know when to involve other services. Ideally, conflicts would be resolved through professional mediation services; these offer a neutral setting for both you and your tenant to express concerns and work towards a mutually acceptable solution.
But sometimes, a situation might escalate beyond basic disputes, which is when it’s time to get legal support. This may be in the case of eviction or for any legal complaints.

Schedule regular property inspections

Schedule regular, legally permissible inspections of the property to ensure its proper maintenance and use. These inspections can help identify issues before they become major problems and demonstrate your commitment to property upkeep, encouraging your tenants to do the same.

Consider getting a property manager

Dealing with difficult tenants can sometimes become overwhelming, especially if you have multiple properties. Hiring a rental property management company can be a lifesaver. A dedicated property manager handles all of the day-to-day tenant interactions, maintenance, and even legal issues, allowing you to focus on other things.

Take the stress out of your investment

When it comes to property management, dealing with tenants can be a major hurdle, but it doesn’t have to be a roadblock to your success. If the above strategies feel a bit too overwhelming, or you simply want to maximise your investment without the daily hassles, we’re here to help.
At Semple, we specialise in making property management in Perth seamless. Our dedicated team takes care of all of the day-to-day bits and pieces you give you peace of mind and a stress-free investment.
Contact us today to get started!