Problematic tenants can be a huge drain on your investment experience. Not only do bad tenants cost you money, they also take up a lot of your time and cause you stress. At Tradewind Investments, we believe that the best way to avoid problematic tenants is with a solid screening process and a strong lease.
Let’s talk about how to place great tenants and what to do when you run into trouble with a particular resident.
Conduct a Thorough Tenant Screening
Your screening process is critical. It’s during this process that your fate will be sealed as a rental property owner. With a great tenant, you’ll have consistent and on-time rent payments as well as help in maintaining and caring for your property. With a bad tenant, you’ll be chasing down rental payments, arguing about property damage and lease violations, and potentially beginning an eviction.
Our tenant screening process is rigorous and consistent. We have a developed a system for screening tenants that includes credit checks, rental references, and a verification of prior home ownership, employment, and income. If you have a superb tenant in place, you will not have to worry about the headaches and the disputes that may arise in the future. When you’re talking to former landlords during the screening process, ask if they’d ever rent to that tenant again. This will tell you everything you need to know.
Have a Strong Lease in Place
Next, you’ll need a great lease that protects you and your property. Make sure you don’t download a random lease template from the internet. You need a lease agreement that’s legally compliant in Nevada. In our leases, we don’t have grace periods for rental payments. Rent is due on the first of the month; our tenants know that, and we expect it to be paid on the first. Our leases also address rental property maintenance procedures, move-out requirements, and the frequency with which we will inspect the property. Everyone is on the same page, and tenants understand our expectations and their responsibilities.
With the right lease in place, you’ll have an easier time collecting rent, withholding money from the security deposit for damages, and evicting a tenant who does not pay. Your lease should be clear about what happens when rent isn’t paid on time or a lease violation is discovered. Our tenants know that we will serve a 5 Day Notice and then immediately begin the eviction process.
Work with Professional Property Managers
Landlord and tenant laws typically offer more protections to tenants. That’s why it’s important to have some experts on your side. When you work with professional Las Vegas property managers, a lot of your own risk and liability will be removed. You’ll have qualified, experienced professionals taking care of your home and managing your tenants – even the problem tenants. We have been in business long enough to know the ins and outs of tenant relationships. We can make a difference.
If you have any questions, contact us at Tradewind Investments. We’d be happy to show you a sample of our management contracts and leases, which are detailed and designed to cover owners from the damages that potentially bad tenants can do.