As a rental property owner, you must establish a strong relationship with your tenants. There are many benefits to this, including your tenant staying a long period of time, thus saving you the time and energy of having to look for a new tenant regularly. However, there is a fine line between having a strong relationship with your tenant and taking that relationship too far, where you may find yourself being taken advantage of. Today, we’re discussing how to set boundaries with tenants and why it’s important for landlords.
Contents of This Article:
- Why Do You Need to Set Boundaries With Tenants?
- 3 Ways to Set Boundaries With Your Tenants
- Leave Boundary-Setting Up to the Professionals
Why Do You Need to Set Boundaries With Tenants?
It is absolutely crucial that you set proper boundaries for your tenants. After all, you want to maintain a healthy and professional landlord-tenant relationship, don’t you? That said, it is just as crucial to lay out these expectations to your Washington, DC, property managers from the start of the lease term and ensure that all parties involved understand what behavior is acceptable and what is not.
In order to keep things professional, all property owners should set boundaries that will keep tenant dependencies on you as low as possible. Yes, it’s great to provide exceptional customer service when caring for your tenants while they reside in your rental property. However, tenants should also be able to stand independently and take care of their obligations while occupying your property.
If you’re unsure how to set these boundaries with your tenants, we’re reviewing three tips to help establish a healthy landlord-tenant relationship.
3 Ways to Set Boundaries With Your Tenants
Accommodating your tenant’s every problem, excuse, lie, or manipulation is a surefire way to tip the boundary balance in their favor. It sets you up for continual problems, unnecessary stress, and possibly lost income.
Here are a few tips if you are looking for ways to keep your tenants from pushing your boundaries and causing major headaches for you or your property management company.
- Limit Your Repairs
- Set a Firm Rent Payment Procedure
- Implement Communication
Limit Your Repairs
Chances are you are the type of property owner who wants to keep your rental property in great shape and please high-quality tenants. After all, avoiding high turnover rates is every property owner’s goal. However, if you are not careful, your tenants may begin to expect extravagant repairs and upgrades that will eventually drain your annual budget.
If your rental home becomes uninhabitable or hazardous to your tenants’ safety, it is your legal responsibility to repair it as soon as possible. On the other hand, if your windows and doors could use a little sprucing up because they are outdated, it is a good idea to check your annual budget and see if it makes financial sense to replace them.
How to Set Your Boundary
If your tenants begin to believe you are the type of property owner who will continually make seemingly unnecessary repairs and upgrades, they may take advantage and request them often. Generally, landlords will make these upgrades just at lease renewal time as a thank you for being a reliable tenant. However, if you give in just one time and repair or upgrade something in the property per your tenant’s request, despite it not being broken or a safety hazard, you may find yourself battling a ton of future tenant requests that will dry up your bank account.
If your tenants ask for many repairs and changes to your rental home, it is best to refer them to the signed lease agreement and point out what you will and will not handle as the property owner. If you use a professional property management company, you can direct your tenants to them, as they are trained to handle improper requests and hold firm the boundaries you set at the start of the lease term.
Set a Firm Rent Payment Procedure
One of the best ways to set a firm boundary with your tenants is to determine how you will accept rent payments before placing them in your rental property. From there, you will want to outline in detail the procedures for making rent payments in the lease agreement both you and your future tenants will sign.
If you are unsure how to construct a lease agreement that sets the right boundaries regarding rent payments, you can always enlist a property management company to help you out. They have expertise in legally compliant lease drafting and can ensure your tenants understand how to pay rent each month.
How to Set Your Boundary
The first thing you might consider when determining your rent payment boundaries is the type of payment you will accept. Some landlords like to avoid dealing with cash, so accepting only checks or money orders is generally best. This not only discourages theft but also prevents disagreements about how much cash is paid at any given time.
Additionally, you should have the check or money orders mailed to a P.O. Box (so your tenants do not know where you live) or have them mail rent payments directly to your property management company. This reduces the need for tenants to have face-to-face conversations about why their rent payment is late or incomplete.
Tenants often have excuses for not paying the rent in full. However, do not allow yourself or your property manager to hear those excuses. Do not give your tenants any opportunity to convince you to allow a late or non-payment of rent. The rules are the rules, and tenants know this from the start of the lease term.
In addition, a strict late fee structure should be implemented into the lease agreement. Discuss this and the rent payment procedures with your tenant before signing the contract. Never waive the late payment. If you do it once, your tenant will expect it time and again, and you don’t want your tenants to cross this boundary.
Implement Communication
Communicating with your tenants is a must. Even if you utilize a property management company, someone will contact your tenants at some point. That said, it is crucial that your tenants understand that you and your property manager are not on call 24/7. Sure, the emergency maintenance crew is if you use Bay Property Management Group. However, calling in at all hours to discuss minor things that can wait until business hours the next day is unacceptable.
Make sure your tenants know who to contact and how. Further, ensure they know the business hours you or your property manager have in place. This way, if your tenant calls after hours, it will be no surprise to them when the voicemail message clicks on.
How to Set Your Boundary
One great way is to develop a welcome handbook that every tenant receives at the start of the lease term. This handbook should outline contact information and operating hours, among other things.
In the end, as a property owner, even one with a property management group managing your rental home, you are running a business. It is not your responsibility to handle your tenant’s personal problems. Your business is providing tenants a place to live at a reasonable price for a profit.
To maintain a healthy and profitable landlord-tenant relationship, you must establish proper boundaries with your tenants from the start. Do not budge on these boundaries; stay firm in your rules and provide the best customer service you can.
Leave Boundary-Setting Up to the Professionals
Being a landlord is challenging. Knowing how to set boundaries with tenants is a major part of running a smooth business and creating healthy landlord-tenant relationships.
However, if you do not feel comfortable taking on this role, contact Bay Management Group today and have us do it for you. We have the knowledge and experience to handle tricky tenants that attempt to push the boundaries you have in place. Our BMG property managers will ensure your tenants respect boundaries, care for your rentals, and pay rent on time.
Contact BMG today to learn more about our rental management services throughout Baltimore, Philadelphia, Northern Virginia, and Washington, DC.
