As a property manager, you need to carefully vet tenants before allowing them to occupy your properties. The type of renter you take on, can make or break your business.
Talk to a property manager, and they all have some nightmares to share with you about how some of the renters behaved and treated their properties. Then there is another category of dream renters, who are simply the best from all aspects!
But more often than not the types of renters occupying your properties would fall somewhere between these two continuums.
Let’s take a look at some of the most common types of renters and what makes them best or worst for property managers and landlords.
Worst types of renters a property manager can have
Habitual Late Payers
As a property manager, it’s not uncommon to come across tenants who don’t seem to pay their rent when it’s due. They come up with a new excuse every time! Someone falling sick which ended up in high hospital bills, their car broke down or they didn’t receive their paycheck yet. They have never ending excuses.
Luckily late payers can be weeded out to some extent during the screening process by ensuring your tenants make enough money to pay the rent and by checking their previous payment histories.
These renters do not treat the property as their own. They turn a blind eye to potential issues and do not feel that it’s their responsibility to inform the property manager or the landlord, until the damage is already done.
What’s worse is that when damage is done due to their negligence, they try to fix it themselves, causing further damage to the property and potentially compromising its safety.
You do not want to have a renter of this kind! An absolute no-no. This includes crazy pet lovers who do not stop their furry friends from chewing on wiring, scratching the doors, littering the carpets and leaving pet hair everywhere they go.
That’s not all! These renters damage the property purposely by keeping it unclean for long periods of time or doing DIY work without the permission of the property owners.
High maintenance tenants can be a pain in the neck. While property managers encourage good communication between renters and landlords, occupants who can’t seem to find anything good about your property are a nuisance.
Chances are that you are not the only tenant of your landlord and definitely not the only tenant of your property manager. Still, the whiners want to make sure their concern takes precedence over all other matters. When you don’t pay attention to their constant complaints, they tend to turn aggressive and abusive.
We all have come across renters who turn into DIY enthusiasts on weekends doing more damage to the property than good. How about playing too loud music in the middle of the night that the neighbours end up calling the police.
There are even those who rent out the property further to make enough money to pay their actual rent. Rules and regulations laid out in the lease agreement are there to protect all parties. When tenants do not follow these rules, there is no other option than to evict them from the property.
The best kind of renters a property manager can have
As much as property owners hate whiners, great communicators are their best friends. They make maintenance issues, rent collection, background checks, lease renewals and everything else so much easier. These renters always keep their property managers in the loop with any change of plans and do not hesitate to ask for permissions or share their information.
They also take care of small matters on their own without bothering landlords or property managers unnecessarily, all the time.
These tenants treat others the way they want to be treated. They understand their duty of care to neighbours. They respect the landlord’s noise rules and keep their pets under control so they don’t damage the neighbours property. They also take care of their rubbish themselves and do not park at the wrong place. They respect their neighbours’ privacy and offer
help when needed.
They are also respectful when dealing with property managers and actively seek to maintain a good relationship. When their lease term expires and it’s time to leave, they dutifully carry out all their responsibilities. Finally, they make sure the property is in as good condition as it was when they moved in.
These renters provide detailed and accurate information when applying for lease and have a great track record. They carefully read the lease terms and make it a point to never ever break even a single rule during their entire tenancy period. These are more mature tenants with steady incomes. They always ask for permissions on matters not covered in the lease and pay their rent on time. They also facilitate periodic inspections of the property by the property manager or the landlord.
They are more likely to renew the lease when it expires and intend to stay at the same property for a longer period of time. This keeps the property occupied for longer, saving property managers the trouble to find good tenants.
Most people are neither entirely problem tenants, nor absolute dream renters. More often than not, they lie somewhere in between the extremes having characteristics of both.
A good screening process can weed our problem makers to a great extent, right from the start. Make sure you have consequences for law breaking mentioned clearly when communicating the lease terms.
For good tenants, have a system that rewards their commitment to treating the property as their own and always paying on time.