There are many horror stories about bad tenants and you don’t want to be one of those stories that circulate. There are a few things you can do to reduce the risk of bad tenants such as vet tenants, require a security deposit, and maintain a good relationship with your tenants.
If you want to reduce the risk of bad tenants, you should vet the potential candidates. You should look into their background and check to see if they’re trustworthy. You also might consider meeting face-to-face to verify that it’s a real person that is trying to rent from you and not a scammer. Watch for signs that your rental applicant is helping a friend or family member who is a problem tenant. Those with bad rental history often hide behind another applicant, then move in as a roommate or long-term guest — without having their name on the lease, or undergoing a background check.
Require a Security Deposit
Security deposits will help you to make sure a good tenant doesn’t turn into a bad tenant. This will give you some peace of mind. A security deposit can be used to cover certain costs after a tenant leaves. In the rental agreement, you can outline what the security deposit will cover and make sure your tenant is aware of everything that you could be deducting from their security deposit. When they move out, if they’re not aware you’ve deducted money to pay for damages, then it could cause issues between you and the tenant that could be hard to fix.
Maintain a Good Relationship
You never want a relationship with tenants to take a turn. Always try to keep things cordial and respectful, and do the right thing on your end. Keep things professional and legal. There will also be times when things happen to tenants that they can’t control and if you are kind and work with them, they’ll be appreciative and take care of your space. If your tenants need anything, like maintenance to the property, make sure you respond as soon as possible and do your part to maintain a good relationship.
If you vet tenants, require a security deposit, and maintain a good relationship with your tenants, then your likelihood of experiencing bad tenants will decrease. Each of these things will help you to keep yourself protected from bad tenants, just in case.
If you are ready to start looking for your next rental property, start here!