What to do with bad tenants

Those of you who have rented out your properties will have most likely encountered tenants that are a nightmare of sorts. First on the list would be tenants who do not pay rental on time or not at all.This I gather would be the most common grouse.

Other problematic tenants would be the ones that call the owner up for every single matter night and day. There are tenants that are such a nuisance by playing music late at night or having wild parties that cause the neighbours to complain. Then you have tenants that have more than the number of residents allowed at any one time.

Yes, tenant management is not easy but there is no way around it if you are the landlord. Unless of course you get a management company to handle it for you. Not really viable if you are a small investor.

For owners, I would think that not being able to collect rental is the ultimate problem.

So if you are unfortunate enough to have such a tenant what do you do if you still cant get rental paid despite several gentle and polite reminders and you have reached a stage where the rental due is more than 2 months?

There are several options available for owners :-

1. Send the tenants warning letters to pay up and if they fail to do so, terminate the electricity supply at TNB.
2. Hire a debt collection agency to collect the rental on your behalf.
3. Get a lawyer to file a writ of distress upon which the Baliff will lock up the place.
4. File a police report which will enable you to enter the premises to remove the household items.

Hiring a debt collector or lawyer will cost you additional money but what is most important for the owner would be to find a way to either collect the outstanding rent or better still evict the tenant once and for all.

Its better to get rid of the “problem” then having to deal with it continuously month after month. They may pay up the arrears but then you may encounter the same problem later on with the same tenant.

Personally I would prefer to evict a problematic tenant once and for all and move on to look for another tenant. To avoid a similar problem have a better screening process for potential tenants. Do ask for bank statements to ascertain whether they are in a position to pay you. Ask for employer details and call the company to confirm the employment.

Essentially, do not be desperate to rent out to any Tom, Dick and Harry that comes along – if you do so, chances are good that you will end up with a tenant from hell! So choose your tenant carefully and you will sleep better at night..:)

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