3 reasons why you have bad tenants

Why do some people have trouble finding the right tenants andwhy do most find it easy? Having bad tenants is the worst feeling,you feel totally out of control with something you have worked sohard for and the thoughts that run through your head as you try togo to sleep at night make it even worse not just for your hippocket but your own quality of life. There are many differentreasons you may continually end up with bad tenants howeverover time I have realized 3 main factors that play a big role. Soapart from a lack of quality verbal and written checks with yourtenancy applications the biggest issues are generally the RentalPrice, Condition and Location of property.

Finding the right tenants

3 Reasons Why You Have Bad Tenants

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Most people think if they market their property at a higher rentalprice they will have more money in their wallet at the end of theday. I don’t agree, if you advertise your property over marketvalue you may still find yourself with a good amount of enquiries ifyou’re lucky but you will generally receive poor applications withpoor references from desperate people. Tenants not paying theirrent consistently, not looking after the house or moving outquicker because they realize they can get better value elsewherewhich leads to higher vacancy and extra costs associated withfinding more tenants. Your goal should be a minimum of 2 yearsbetween new tenants not 6 months or a year! Do the math.

Market rental property value


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The second point is the condition of the property. As disappointingas it is, boy haven’t we all seen some dumps. A lot of us PropertyOwners only see our properties once a year to even a few times adecade so things can slip away because we don’t have theconstant reminder and motivation to spend the money on thenecessary repairs. Not only should you keep your property up toscratch, so little repairs don’t turn into renovations but no one likesliving in a run-down house that has not been looked after. This issuch a big issue for tenants, as it happens so often and I canpromise you; they are sick of it. For this reason the tenants youattract will not be anywhere near as good compared to theapplications you receive for a well looked after property.

Ensuring the condition of the property


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I recommend attending all the routine inspections and viewing theproperty the end of each tenancy regardless if you use an agent ornot to ensure you get the best from your property and thereforeyour tenants. Keep your best tenants; be proactive, there isnothing better than a property owner who gets things done beforetenants complain!

Keep routine inspections


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You can change the house but you can’t change the location. Firstof all, you should buy a property in an area you think your idealtenants (think about their age & lifestyle) would like to live andsecondly the property type and features are suitable for yourtarget market. I have worked in a number of different areas as aProperty Manager and it didn’t take me long to realize there is avery distinct pattern; properties in the ‘unpopular’ or ‘bad’ areasgenerally attract tenants who don’t pay their rent on time and/ordon’t look after house.

Property location suitable for your target market


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Ok so you already have your property, you can’t change yourlocation. This does not mean you can’t go against the grain, youneed to focus on the other 2 points made above, setting a fair andaccurate rental price and taking good care of your propertywithout forgetting about the important first impression, the streetview of your property. As a Licensed Real Estate Agent, PropertyOwner and Tenant, I feel the important thing is to be is fair andhonest in your dealings no matter which side of fence you sit.Good luck.

Fair rental price and good condition property


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