Landlords spend a lot of time and effort trying to avoid issues with tenants. However, even with a comprehensive tenant screening process, it's never a guarantee that you won't be dealing with bad tenants. When you do, you’ll want to know how to deal with them and the situation properly. Not doing so may make the problem worse or even land you in legal trouble. So let’s make sure all of your bases are covered with some advice on handling problematic tenants.
What You Should Do When Dealing with a Problematic Tenant
Communicate Clearly
A lot of things can be resolved through clear communication. When a tenant has a complaint, talk to them openly and don’t avoid or put off difficult conversations. Clarify what the issue is and ask how you can help resolve the problem, or whether they need to fix it on their own. This can establish or maintain a good landlord-tenant relationship which will benefit all parties involved.
Document the Events
Keep a detailed record of events including interactions, complaints, violations, receipts, and even security footage. You might need them later if the issue progresses and you have to resort to legal action against the bad tenant. It can help resolve the issue quicker and act as a defense for you as the landlord.
Provide a Written Notice
Property owners should provide notice to difficult tenants to provide them with time to fix the problem. Clearly outline the lease agreement violations they made and indicate the consequences of non-compliance. This might be enough for them to step up and address the violation.
Consider a Mediator
When communication becomes difficult, you can involve an impartial third party to professionally mediate the dispute. They will find solutions that will be agreeable to both parties while still abiding by the terms of the lease agreement.
Take Legal Action
This course of action may become necessary, especially if there are illegal activities taking place in your rental property. It is also the best option if problematic tenants still refuse to fix an issue after all other measures have been taken.
Hire a Property Management Company
Dealing with bad tenants can become overwhelming quickly, but you can always hire someone to handle property management for you. There are plenty of property managers in San Jose who have the expertise and experience to deal with delicate matters. Provident Property Management, for instance, can help you enforce lease terms when the need arises.
Common Tenant Issues and How to Resolve Them
Late Rent Payments
When a tenant has yet to pay rent, you can provide them with a notice. There is no specific law in California that states a required grace period, but landlords can add one to the lease agreement. Most landlords opt for a grace period of 3-5 days. The notice gives them ample time to make rent payments.
After the grace period, you can start issuing late fees, or you can help with their financial hardship by offering flexible arrangements for paying rent, such as partial payments. When they still fail to pay rent, you can opt to start the eviction process.
Rental Property Damage
Terrible tenants can cause all sorts of damage to rental properties, which is why it's crucial to conduct routine inspections of your rental property. This can help you identify the damage early and prompt them to repair it. If not, you can always deduct the charges from the deposit, as long as you inform the tenant.
It's your legal responsibility as a property owner to state why there were necessary security deposit deductions, along with an itemized list of all the charges you made, as per local landlord-tenant laws. California law states that charges beyond $125 require further documentation like receipts.
Noise Complaints
Most lease agreements include rules that prevent tenants from disturbing other renters. You should provide proper notice when the tenant fails to comply with the rules, giving them the chance to correct their behavior.
If the tenant continues to make noise and disturb the neighbors after you communicate the problem, you can relay the consequences of lease violations or even provide an eviction notice. Be sure to document the complaints for future reference.
Unreasonable Requests
You might encounter difficult tenants who make requests such as extending grace periods for missed rent payments or ignoring property damage. Part of the responsibilities of property management is also knowing how to say "no" to requests that aren't fair.
Being too lenient can lead to tenants taking advantage, and soon enough you'll be dealing with more troublesome tenants who violate the rental agreement, or bad tenants who ignore maintenance issues or other legal obligations.
Preventive Measures
Most landlords put preventive measures in place to avoid facing problems with tenants, and while it's not a complete guarantee, it could still reduce the number of problems a property manager has to deal with.
Screen Tenants Meticulously
Tenant screening for prospective tenants involves checking several things. Landlords or property management companies like Provident do credit checks, verify employment, conduct criminal history checks, call previous landlords for rental history, and more.
These basic checks do not always detect tenants with bad behavior, but references from prior landlords can reveal how potential tenants would respond to all the rules of your rental unit. Just be sure to ask the appropriate questions and learn your boundaries as per local laws.
Requiring a Security Deposit or Renters Insurance
You might be able to avoid financial disputes with difficult tenants when you have a security deposit from them or require them to carry renters insurance.
Security deposits help given that you can deduct costs for overdue rent and necessary repairs for property damages. Insurance on the other hand can cover the tenant when acts of god cause damage to their belongings, preventing them from seeking financial reimbursement from you.
While they might remain a bad tenant, you at least have a way of protecting your rental income from late payments or maintaining your property condition when they fail to meet maintenance expectations. This might even be your only option when bad tenants refuse to comply.
Why Hiring a Property Manager is Your Best Option
A landlord can understandably be overwhelmed with such matters, especially when dealing with more than one bad tenant. Property managers respond promptly to concerns, whether it's about disruptive behavior within the property or other lease violations.
Provident Property Management has a 24/7 emergency hotline for any problem tenants might have, as well as conducts periodic inspections to detect issues that are not reported. When extreme action is needed, we know local eviction laws to avoid legal consequences that may arise.
You can get a free rental analysis to learn about your rental business' maximum potential. If you feel like your San Jose property can benefit from the expertise of a property management company, you can contact us for a consultation.