Dealing with Difficult Tenants for DIY Landlords

Having Tenants is the life blood of Property Investment and mitigating the loss of rent is paramount to ensure your investment performs well.

What are the key steps to minimize the risks of ending up with difficult tenants?

Screen potential tenants by carefully checking employment status, family status and checking references and past rental history.

Check the bad tenants register, Australia’s three largest lists are managed by TICA, National Tenancy Database and TRA

Make sure aproper tenancy agreement is in place.

Ensure Bond Money is lodged with the Bond Board (Failure to do so is a Breach and can give tenants leverage)

Perform a comprehensive condition report with photos and even video for tenant to sign off.

Ensure you have suitable insurance

In case of difficulty with your tenant:

1. Communicate calmly

2. Retain records of all communication

3. Issue Reminders/Warnings in writing and in accordance with the terms of the Agreement

4. Record damages with photos and detailed descriptions.

5. Get professional quotes for repairs

6. Educate yourself about Landlord and Tenant Rights

7. Aim for amicable outcomes to disputes

8. Try to avoid any drawn out disputes where the tenant can avoid paying rent

9. Incentivise your tenant by offering rent relief or Bond Money in the case of drawn out disputes.

By using a property management tool like RealRenta.com.au, you can easily stop bad tenants from the start. You can check the bad tenant databases, they can Screen potential tenants, and they have tenancy agreements, landlord insurance and more.

RealRenta also tracks the rent and sends out rent reminders, arrears reminders and even beach notices by email and text message, all automatically without you have to do anything.

Jason Gwerder
Thursday, 4 February 2016

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