Bad Tenants: Best Ways to Spot and Handle Them

The Big Picture on How To Handle Bad Tenants:

Identifying excuse-makers, nitpickers, and slobs early through thorough tenant screening, including credit and eviction history, as well as observing their behavior and current living conditions.
Maintain professionalism by enforcing lease agreements strictly while being empathetic. Clearly outline tenant responsibilities and handle complaints and issues in writing to manage expectations and maintain order.
 Sometimes, it’s best to let go of troublesome tenants. Utilize formal eviction processes when necessary and ensure that lease terms are clear to avoid disputes.

As landlords and property managers, we often focus so much on choosing the well-paying tenant that we forget that other bad tenant characteristics can make managing properties a nightmare.

Here are three of my worst tenant archetypes: their modus operandi, how to spot them in tenant screening, and how to handle them if they slip through your screening process.

 

Bad Tenant 1: The Excuse-Maker

Over thirty years ago, I entered the dominion of property management. Since then, I have heard every excuse in the book.

When it came to paying rent, I’ve heard everything from “My sister’s best friend’s mother passed away” to “I ran out of checks” (the tenant equivalent of “My dog ate my homework”). In my early years, lack of experience and naivete had me believing many of them and, worse, falling for some.

As the years passed, I started to see the common theme of these justifications and pleas, one after another. Enough was enough; I had it! It was enough to make a person cynical and untrusting. I went through a phase where tenant excuses burned me so many times that I grew a bit cold and turned a deaf ear.

Eventually, I learned to handle terrible tenants. I was able to strike a balance between enforcing the rules of my lease agreement and maintaining empathy and professionalism.

 

Screening Out Excuse-Maker Tenants

Some people pay their bills every month on time, come hell or high water. It’s their nature, and the idea of not paying a bill is not conceivable to them.

Others never saw a bill they wanted to pay on time.

This scenario is where tenant credit reports and eviction history reports shine. The kind of tenant who pays their bills on time with no excuses will have a credit report filled with on-time payment history—no late payments on anything from their credit cards to their car payments.

Guess what excuse-maker tenants’ credit reports will look like?

Current and former landlords can also tell you exactly what kind of tenant they are.

 

Handling Tenant Excuses

How on earth does one handle these habitual excuse-makers?

Whether you think of yourself that way or not, you’re a business owner. So keep your property management business-like.

That doesn’t mean you can’t be empathetic and friendly. Start with “I am so sorry you are going through this” and then take it home: “However, we adhere strictly to the lease agreement, and we must receive the rent by ______.”

Do not waver. Keep your emotions at a distance.

Here are more common excuses you’ll hear from these tenants and how you should respond to them.

Common Tenant Excuses
Potential Landlord Responses

“I lost my job.”
“I’m sorry to hear that. Here are some local employment resources that may help. However, rent is still due on the agreed-upon date.”

“I had unexpected medical expenses.”
“I understand that unexpected expenses can be challenging. If you’re unable to pay rent in full, please provide documentation of the expenses, and we can discuss a payment plan. Late fees will still apply.”

“My paycheck is delayed.”
“I appreciate you letting me know. Please provide documentation from your employer about the delay. Rent is still due on the agreed-upon date, and late fees will apply.”

“I forgot to pay.”
“Rent is due on the same day each month as outlined in your lease agreement. Late fees will be assessed according to the lease terms.”

“I mailed the check, but it must have gotten lost.”
“I didn’t receive the payment. Please cancel the check and provide a new form of payment as soon as you can. Late fees will apply.”

Property Management Tip: Fall for an excuse-maker once, and you lose footing. Remember, if a customer walks into a supermarket to purchase eggs, gets to the cashier, and says, “My cat ate my money,” the cashier will take the eggs away and say, “Sorry.” This is how we ought to think about monthly rent. If you don’t pay, you lose the right to live there. Learn to handle bad tenants effectively.

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Bad Tenant 2: The Nitpicker

This is the renter who complains. Endlessly.

Her apartment is too cold in the summer and too hot in the winter. The neighbors are too loud. Her floors squeak. The complaining marches on no matter what you do to rectify the situation. Her number appears on your phone, and your heart starts pounding. “Change my lightbulb,” she says.

As you gain experience, these stalker-tenants may reveal secrets to their pettiness. For instance, I recently had a showing where, during the entire time, this interested party picked apart everything as flawed. At the end of the tour, to my surprise, she told me she was interested. So, I provided her with the rental application. Then, I let her know I had several interested parties but will be deciding within the next day or so (fingers crossed behind my back).

I did not sign a lease agreement with her.

 

Spotting Nitpicky Tenants

Tenant screening involves more than a credit report and criminal background check. Who wants to invest in real estate to be constantly badgered? Be sure to listen and look for clues during showings. You might be surprised by how much a potential tenant will reveal during that time.

In your tenant screening, be sure to talk to not only their current landlord but also their prior landlord. Remember, their current landlord might paint a rosy picture of their nightmare tenant just to get rid of them!

But perhaps you missed this in your tenant screening and already have one of these pesters; what should you do to handle terrible tenants promptly?

 

Handling Nitpicky Tenants

First, be clear about what is considered a repairable item. Who is responsible if the dishwasher breaks? Who is responsible for changing light bulbs? This should be clearly written into your lease agreement.

Please let them know that, except in a true emergency, all repair requests should be sent via email or snail mail. 

Establishing clear communication protocols is the way to handle terrible tenants. The same rule applies to complaints about neighboring units. Have these consistent complainers put the complaints in writing with details of time, date, and a specific description of the supposed offense. Now, be sure that if there is an issue, you address it with the neighboring tenant. And if the noise is extreme, I direct tenants to file a noise complaint with the police.

Lastly, consider letting them go. Sometimes, it may be better to cut the losses. If the grumbler is living in a multi-unit, chances are that other renters are bothered as well. Sometimes you just have to let go to save the good tenants and your peace of mind.

How? Simply be stern and say, “Ms. Whiner, if you want to stay, you must follow our lease agreement’s terms and conditions. However, it does appear that you seem to be very unhappy here.” Then, provide a mutually beneficial arrangement where she leaves and you find a new, non-complaining tenant.

Remember, you can always non-renew her lease agreement as its end date is approaching. Just ensure you send her notice in writing within the time prescribed by your state’s landlord-tenant laws.

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Bad Tenant 3: The Slob

My favorite tenant. NOT! (People still make “not” jokes, right? No? Oh well.)

These messy tenants have their stuff everywhere. On the front lawn, in the common areas, balconies, you name it. As a landlord, you must handle bad tenants swiftly.

In a single-family investment, you drive by and feel the pulse beating in your neck as you see kid’s toys, cigarette butts, old furniture (you get the pic) strewn everywhere. Those multifamily dwelling slobs have taken over every bit of space.

Stairways, halls, laundry rooms, yards, decks… the other residents cannot even get to their own front door without tripping on a toy or a box. Trash is placed in the hallway, waiting to be placed in the dumpster five days in advance! Can you say “stench“?

 

Tenant Screening to Avoid Messy Renters

Want in on a little secret? You can easily spot these scallywags before you even rent to them. Look at their car. Not the outside, the inside. Find a way to peep into your applicant’s vehicles. More often than not, if their car is an absolute mess and filled with junk, your rental will be treated the same.

Furthermore, see how they handle their children during the showing. Are they little angels? Or are they just little mini-terrors that are left to run amuck in the kitchen while Mum and Pop are viewing the bedrooms? These are all in-your-face clues that you may have a slob. Run!

To truly know how clean they are, drop by their current home. Tell them you’ll be in the neighborhood and you want to drop a copy of the lease agreement to go over it with them. While you’re there, be sure to ask to use the bathroom, so you can walk through their home and see how they treat it.

That’s exactly how they’ll treat your property. So, be prepared to handle bad tenants before they move in. Don’t sign a lease agreement with them if you don’t like what you see!

 

Handling Slob Tenants

If you find yourself stuck with a lease with these scoundrels, keep to the policy. Start with a written warning: Clean up this mess, or we will be filing in court for eviction. If they ignore your first informal written notice, serve them a formal eviction notice.

By the way, be sure to take pictures! If you have to evict them, you’ll need tangible evidence in eviction court.

It’s tempting to ignore messy tenants if they keep their mess in their own unit. But this invites ants, cockroaches, rats, and other infestations, drives away good tenants, and adds to the wear and tear on your rental property.

 

Bad Tenant 4: The System Exploiters

This type of tenant isn’t for the faint of heart.

They’re a unique breed of troublesome renters that have turned exploiting the rental system into a refined skill. These professional exploiters possess deep knowledge of tenancy laws, and they can deliberately manipulate legal protections meant for genuine tenants in need.

The scheme often begins with these individuals presenting themselves as the ‘ideal renters’ to easily pass the screenings. However, this facade quickly crumbles as they settle into your property with no intention of making further payments, and that’s where the nightmare begins. 

Landlords must learn to handle terrible tenants who exploit the system. What sets these scoundrels apart is their approach to exploiting the system. They can sail through the murky waters of eviction processes and even use every legal loophole to extend their stay without payment.

Some may even file baseless complaints about property conditions or make false claims of discrimination to delay proceedings further. With all the shenanigans, you may find yourself tied up in lengthy and costly legal tussle that often results in months of lost rental income.

Spotting System-Exploiting Tenants

During the screening phase, some people can put on quite a show to make themselves hard to spot. Landlords should look for red flags, such as a history of frequent moves or an unusually deep knowledge of tenancy laws. Also, someone who’s overly eager to pay several months of rent upfront might be trying to sidestep a thorough screening.

As usual, comprehensive background checks covering credit history, eviction records, and criminal background are a must to catch potential issues early. Alarm bells should set off any gaps in rental history or inconsistencies in the application.

Reaching out to previous landlords directly is another smart move. It helps verify the applicant’s rental experience and uncover any issues that might not appear on paper. Landlords should be on their toes, though, as some provided references might not be legit.

While no single sign is a surefire way to identify a problematic tenant, these warnings can guide landlords before signing on the dotted line.

Handling System Exploiters

Dealing with exploiters requires a methodical approach. Once trouble signs pop up, like missed rent or lease violations, you better start documenting everything. It is important to keep detailed records of all communications, payments (or lack thereof), or incidents related to the tenancy.

When addressing issues, strictly adhere to the lease agreement and local tenancy laws. Also, avoid any actions seen as harassment or illegal eviction, as exploiters often use these missteps to their advantage in court.

Bringing in a lawyer who knows landlord-tenant law early on is your safest approach. They can guide property owners through the proper legal steps for dealing with lease violations and, if needed, start the eviction proceedings.

If everything is too much for you, one strategy to consider is offering “cash for keys.” Sometimes, giving the tenant a financial incentive to leave voluntarily can be less costly and time-consuming than a long legal battle—though that is not always the choice.

Regardless of the solution, the goal is to regain control of your property as smoothly as possible while keeping financial and legal fallout to a minimum. 

Bad Tenants Don’t Happen “to” You – You’re In Control!

Remember, when doing your tenant screening, it is not simply a credit score and employment verification. Look beneath the paperwork! Check for behavior, look inside their cars, and drive by their current rental unit. What you see is exactly what you will get.

Stick to the script! That would be the lease agreement. The more specific you get, the better. Your lease’s rules create order and peace. Even describing specific maintenance responsibilities. Dude, we do not change the light bulb! That creates peace for the landlord, and clarity for the tenants.

Learn to handle terrible tenants through preventive measures. Don’t be a slumlord and expect a tenant not to be a slum tenant. Just as there are bad-egg renters, there are also bad-egg landlords. Frankly, if you want a higher-caliber tenant, provide a high-caliber rental unit.

Show tenants that you care about the property. Take off your shoes as you enter for showings and politely ask your rental applicants to do the same. Put a shoe rack right by the entrance. Not only are you setting a precedent, but you are also showing the renter that you care about your property. You just set the tone for no tolerance for slobs!

What solutions have you used to get those troublesome tenants in line? What clues do you look for before renting?

 

 

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