No More Deadbeat Tenants! How To Rid Yourself Of Terrible Tenants Forever

One of the worst things you could ever encounter as a landlord is deadbeat tenants that appear to be perfect, then move in and refuse to pay rent. Not only do you wind up feeling like you’re losing your mind out of frustration but then you get stuck with the hassles and expenses of the always dreaded eviction process. More often than not, even the eviction will leave you high and dry and weary of your choice to be a landlord. However, it doesn’t have to be that way. If you follow the tips in this week’s guide from Alpha Property Management, you’ll be sure to score terrific tenants time and time again.  

tips for california real estate investors

Implement A Stronger Screening Process

The first thing that comes to mind when a Sacramento landlord tells me they are plagued with problem tenants is that there are holes in the screening process. You need to be asking yourself hard-hitting questions like:

  1. Where Are You Sourcing Them From?
  2. What Type Of Background Check Are You Running?
  3. Are You Really Checking References?
  4. How Serious Are Your Financial Requirements?
  5. Do You Require Renter’s Insurance?

If you keep winding up with problem tenants it tells me that you are the common denominator in the screening process and you are likely being too easy on people. Have an honest look at what you are requiring from people to become a tenant and decide whether it would be fair to increase those requirements. On a basic level you should be requiring:

  • A credit report
  • Proof of employment and income
  • VERIFIABLE references that you actually check
  • At least the first month’s rent and a security deposit but consider requiring last month’s rent as well
  • Renter’s insurance that covers the cost of rent should they become unemployed or ill
  • A criminal and rental background check

Arm Yourself With A Rock-Solid Lease Agreement

The next potential red flag is your lease agreement. So many new Sacramento landlords make one up on their own or download a basic one they find on the internet. The problem is there are a ton of conditions and important factors that are frequently left out of those arbitrary agreements that leave you exposed. Before you do another thing as a landlord, you need to consult a professional about your lease agreements to ensure you aren’t shooting yourself in the foot from square one. 

Cut The Dead Weight Now

The Sacramento market is unbelievably hot right now and if you aren’t constantly collecting top dollar for your units then something needs to be done. If you have the means, you may want to consider evicting slightly troublesome tenants or even those getting away with paying less than what the market demands. Some landlords even offer to buy a low-paying tenant out of their lease in order to move-in ones that are willing to pay what the market demands. However, you will need to crunch the numbers to ensure that you are making the best possible long term move for your portfolio and always way the risks against the rewards. 

Ready To Get Rid Of Deadbeat Tenants Once And For All?

It is impossible for any property manager, including myself, to tell you exactly why you have been plagued with deadbeat tenants. However, if you reach out to us here at Alpha Property Management, I would be more than happy to review your individual circumstances and show you how quickly and easily I guarantee I can fill your units with your dream tenants.