Real estate investors and
property managers can improve their tenant relations by dealing with tenant
issues quickly and fairly. Whether times are good or bad, the cost to re-let a
vacant unit can frequently make it a far better investment to retain a tenant
who pays their rent on time and is, in all other ways, a good tenant. Tenant
issues can involve complaints on their part, or can require that the property
manager or owner deal with the tenant's activities or payment patterns in a way
that keeps things on track and rents paid.
The Good: If you have a
tenant who is always on time or early with their rent payments, follows all the
rules, and is a good property citizen, then you might want to show them that they
are valued. Perhaps a coupon to a local restaurant or other small gift now and
then would make them feel that they are appreciated. It could make the
difference in keeping them when lease expiration rolls around. At the very
least, jump right on their maintenance problems and handle their concerns with
respect and interest.
The Bad: This could be a
tenant who is a chronic complainer or one who annoys their neighbours on a
regular basis. Or, they may pay the rent late frequently. For whatever reason,
you will want to document all interaction with them. If there is a neighbour
complaint, document it in writing and provide any warnings or other notices in
writing as well. If the situation escalates to "the ugly," you'll
want to have a record of all your communications with the problem tenant.
Always act according to the terms of the lease, as the rules work both ways.
The Ugly: We've now reached
the stage where the tenant is not paying rent, or their rule-breaking behaviour
has become a huge problem. We have decided that we want them out of the unit
and a new less troublesome tenant in the unit as soon as possible. Hopefully,
you have thoroughly prepared for this eventuality with your attorney's
guidance. Eviction is a relatively speedy process in most cases, but that speed
is based on the landlord or owner doing everything right and in the correct
time frame.
- Have you issued the proper notices to the tenant per your guiding principles and by-laws?
- In most places, you cannot in any way disturb the property of the tenant, even if they have disappeared.
- If there is no tenant to dispute eviction, or if they lose the dispute, then you will be granted an order of eviction by the court.
- Normally, the order is served after notice by the local authority. Again, you cannot open the unit and remove their belongings on your own without having a warrant from the local authority.
- Be sure to follow the letter of the lease and by-laws as to how any deposits will be handled, retained or refunded.
Dealing with tenant issues is part of the job of
property manager or real estate investor/owner. Preparing for eviction with
strong lease documents and the advice of an attorney will make the process run
smoother. And, if they are a good tenant, find a way to make them feel appreciated.
It could increase your return on investment a lot. From James Kimmons
