Regrettably, as a property owner, you may always face the possibility of letting to troublesome tenants. The issues can range from property damage to unpaid rent, and managing such tenants can often become a nightmare.
Although we hope you never have to face these challenges, a thorough understanding of tenant rights and your boundaries can bolster your position as a landlord. To help you navigate potential tenant-related problems, here are some areas to consider.
Tackling tenant troubles
To ensure you are well-equipped to handle difficult situations, it’s essential to understand the various rules associated with tenant rights. It’s not just about knowing what you’re allowed to do but also about protecting your property and your rights as a landlord. This knowledge will enable you to manage any issues effectively, reducing stress and potential legal complications.
Preventing problems with tenants
Before you even begin the renting process, there are steps you can take to prevent future issues. Conducting a background check on potential tenants is a good starting point. Ensuring their ‘Right to Rent’ status is in order and obtaining a reference from a previous landlord can help you spot any potential red flags early on.
Maintaining an updated inventory
Another preventative measure is to keep an updated inventory of your property and its contents. This is particularly crucial for landlords who are renting fully furnished properties. If your tenants cause damage, having an up-to-date inventory can prove invaluable.
Checking your tenancy agreement
Lastly, reviewing your tenancy agreement before the tenancy begins is a wise move. Ensuring your agreement is legally sound can help avoid problems and additional costs down the line. If you have doubts about your agreement, consulting with a solicitor specialising in property law is advisable.
Recognise common problems
Despite your best efforts to prevent them, tenant issues can still crop up. It’s essential to recognise common problems and their early signs.
Typical complications with tenants include:
Property damage and noise complaints
Damage to your property or furnishings can be a frequent issue. While general wear and tear are par for the course during any tenancy, sometimes this can escalate into outright property destruction. To mitigate this, establish clear rules early on about specific policies, such as pet restrictions and home improvements (like painting walls or hanging pictures). Regular property inspections also allow you to spot and address any issues promptly.
Noise complaints and disruptive behaviour can also pose a challenge. If you’re the landlord, handling these grievances often falls to you. An open conversation with the tenants explaining the situation is a good starting point in these instances.
Rent arrears and overstaying tenants
Dealing with rent arrears can be difficult. To manage this, ensure you record when rent payments are due and when they are paid. Providing receipts to your tenants after payment can help avoid any confusion. If rent remains unpaid for several days, try contacting your tenant before sending a formal written request.
Another common problem is tenants refusing to vacate the property once the tenancy has ended. This can cause issues if you have a new tenant ready to move in. Legally, the tenant is entitled to stay until they are evicted, so consider initiating the eviction process rather than resorting to changing the locks.
Unauthorised subletting and unreasonable requests
In some areas, tenants subletting without permission is not just a nuisance, it’s illegal. It can also lead to neighbourly disputes and risks to your property’s safety. To prevent your tenants from hosting an array of guests, be explicit about house guest policies in your lease.
While it’s your duty as a landlord to ensure the property is well-maintained, you might occasionally receive requests that seem unreasonable. Being clear in your lease agreement about your responsibilities can help prevent such issues.
Illegal activities and your next steps
Tenants who engage in illegal activities are more likely to cause problems eventually. If you find tenants involved in such actions, eviction and informing the police should be your go-to strategies.
Troublesome tenancies
Facing challenging tenants is an unfortunate possibility. If you find yourself in this situation, keeping calm is vital. Although frustration may be your initial response, remember you’re not alone in handling these issues.
Clear communication
At the first sign of trouble, your best course of action is to communicate clearly, politely and assertively with your tenants. Illustrate why their actions are unacceptable and how they affect the tenancy. In many cases, this candid approach will be sufficient to rectify any issues and steer your tenancy back on the right path.
Build productive relationships
Regardless of whether your tenants are difficult or not, a clear communication policy can greatly assist you. It aids in building a productive relationship with your tenants and simplifies the overall letting process for both parties involved.
Importance of record keeping
Maintaining written records of all interactions becomes crucial if you’re dealing with a troublesome tenant. This includes any correspondence between you and the tenant. Should legal proceedings become unavoidable, these records will attest to your professionalism and endeavours to resolve the matter.
Considering eviction as a last resort
If all attempts at resolution fail, eviction may become necessary to regain control of your property. While this is a last resort, it’s sometimes the only option to safeguard your investment.
Time to discuss your buy-to-let mortgage options with us?
The landscape of property investment can be complex yet rewarding if navigated correctly. For more information about how we could help build your property portfolio, contact the team.
Please note: a mortgage is secured against your home or property. Your home or property may be repossessed if you do not keep up repayments on your mortgage or any other debt secured on it. Please also note: this is a long term investment which you hope will generate rental income along the way and a profit when you sell the property, but bear in mind that if you need access to some cash, a property can take time to sell or remortgage. If house prices fall, you might not be able to sell for as much as you had hoped. You would have to make up the difference if the property sold for less than you owe – a risk that increases, the higher the percentage you borrow. If you sell for a profit, you may have to pay capital gains tax. Don’t forget that with a variable rate mortgage, your costs will rise if interest rates go up. This would eat into, or even wipe out, your income and profit. It is recommended that you also maintain access to emergency funds to cover your mortgage payments during ‘void periods’ that may arise whilst you have no tenant and the property is not let.
