Should tenants be given multiple chances?

As a landlord with very low SE tenants (only 3 of 9 tenants have jobs, the rest are welfare) this can go both ways. We have had some that just never recovered and we ended up claiming insurance. But we do have 2 that have improved after a few chances.
One was terrible, always paying late, never quite the right amount etc. the PM referred her to the salvos budgeting course and she caught up with her debt and is now always 2 weeks in advance. She has been our tenant now for about 5 years.
$100 extra seems a lot to me if the tenant is on benefits and you might have more success with a smaller amount, yes it takes longer to recoup your money but it helps them change their habits if it is an achievable amount.
Sometimes if you are a slum lord you have to approach things differently to get your desired outcome. It is very frustrating though.
 
Thank you Peter

if you see how private landlords use emotional outbursts and blame games to negotiate at tribunals, you will really appreciate the professionalism of a great PM!

Or - manage it yourself!
Trust me, you will still get tenants going into arrears and property damage. - actually way more!

Not here.

Its easy to be a self managing LL so long as you know the rules and regs and dont get emotional.

Just like a PM, only better, because the rents get chased up and I mean actually notices going out straight away on arrears, text, email and snail mail. Then phone calls after a couple days if still not paid.

This getting behind in rent payments of 4 weeks plus is simply not PM's doing their job properly and relying on tribunal appearances which cost LLs even more in the wash up.

IMHO, of course backed up by experience over 15 years of self management.
never had to go a tribunal yet and always ended up the best off even with damage and runners. Do it correct and insurance covers.;)

Had very bad experience with PM's in early days so went the easy route and do it self.

Plus the added benefit of make extra money for little more than average of roughly 1 day/year managing each IP.
 
Or - manage it yourself!
Trust me, you will still get tenants going into arrears and property damage. - actually way more!

I think you may well find a lot of people already do self manage , the few property investors I know all self manage,a lot better then someone clumsily trying to sell you something..
 
Or - manage it yourself!
Trust me, you will still get tenants going into arrears and property damage. - actually way more!

Not here.

Its easy to be a self managing LL so long as you know the rules and regs and dont get emotional.

Just like a PM, only better, because the rents get chased up and I mean actually notices going out straight away on arrears, text, email and snail mail. Then phone calls after a couple days if still not paid.

This getting behind in rent payments of 4 weeks plus is simply not PM's doing their job properly and relying on tribunal appearances which cost LLs even more in the wash up.

IMHO, of course backed up by experience over 15 years of self management.
never had to go a tribunal yet and always ended up the best off even with damage and runners. Do it correct and insurance covers.;)

Had very bad experience with PM's in early days so went the easy route and do it self.

Plus the added benefit of make extra money for little more than average of roughly 1 day/year managing each IP.

This is my experience too. I've self managed for 35 years, learned it from the knee... well not the knee, but I was 15 when my parents bought their first IP. They always self managed. I've had very few problem tenants. My parents only ever took two tenants to tribunal, and won both times.

It cannot just be dumb luck. I also acknowledge that with only a few properties to manage, I can take great care in choosing tenants. It is my business, my money, and I deal with the consequences, so I am very careful. It has been when choosing quickly, going against my gut just to get a tenant... any tenant... in that I've made bad choices and had to get them out.

The other big difference I've found is when I've given an IP to a PM to find me a tenant, there is no rush to find one. I've never had to wait a week to hold an open house if I'm doing it myself. I've never had more than a week or two at most between tenants, and often only a day. Mostly, I acknowledge that is because I have a relationship with my tenants, and know the house is clean and they are moving and there are no issues so I don't have to allow time for any hiccups, come back and clean again etc. If there is anything left to do, I don't give the tenant several days to come back, I get in and clean it that day and get it on the rental market immediately.
 
Don't rent to families.

Families are terrible. Can't trust them.

Renting by the room avoids so many of these issues. If one is doing something wrong, the person in the next room makes you aware of it. If one person stops paying rent, you are still getting rent from 4 other people.

Only ever had any trouble when I rented a whole house to a young family...
 
I don't think it's fair to say don't rent to such and such group. Everything is on a case by case basis.

One of the first properties I took on in my business had a long term tenant (~5 years) who was always in arrears. When I took over this guy was more than 1 week in arrears.

I called him to introduce myself and basically just said "hey, this is going to be a long term relationship. Let's start off on the right foot, you've been there a while and you like it - but unless you can consistently pay your rent on time, you're going to have to leave and your reference won't be great". Outstanding amount was paid within a few days, and in the last 15 months or so he's very rarely been late and even when he is it's for no more than 2/3 days.

I've also had long term tenants who were perfect, then all of a sudden it's like they were different people.

I think everyone deserves a second chance, not multiple. But often tenants are given multiple chances when they shouldn't.
 
Families are an important part of our society, I wouldn't generalize regarding their ability to be good tenants. There are people who will respect other people's property and others who won't. We have had tenants abandon properties, go overseas without paying rent, pretend not to be able to speak English when contacted by the agent regarding a breach, go bankrupt, cause damage, go walkabout, threaten personal injury claims and one who made a claim against us. Some people go through rough patches in their life and become a problem yet others are a pleasure and you hope they will never leave.
 
I am going to stick my neck out and state the biggest issues with tenants with my properties,and i am talking major rent arrears etc,have always been single mothers,just sayin.
 
This wouldnt hapen with a labor government...................food for thought :)

I'd have to agree with you totes there Jim. There'd be no need for landlords as they'll give everyone free housing, 100% medical/dental care, up the pension/dole/benefits and remove the incentive to work.


Remember, if you feel the urge to work, sit down. It will pass.
 
I'd have to agree with you totes there Jim. There'd be no need for landlords as they'll give everyone free housing, 100% medical/dental care, up the pension/dole/benefits and remove the incentive to work.


Remember, if you feel the urge to work, sit down. It will pass.


Haha love it.

And yes wasn't 100% serious about the whole families thing. Just trying to take a poke at some misconceptions. For some reason society views families as reliable and foreigners, or gen y'ers, or students, etc... are unreliable. But in my experience it's been the exact opposite.
 
She used a SA Housing Trust Bond

That's the problem right there.

While I don't agree with generalising in all matters and while someone will always come up with a one percenter example to make it all better; There is usually a reason for having to get bonds from DOH or SA Housing that conflicts with the person's ability to be financially responsible.

* Can't save
* Can't manage $$
* Aren't getting their other bond back from previous place
* Have another problem which uses up their $$
* Don't earn enough to pay for your asking rent
* Spend too much to pay for your asking rent
* All of the above...

I have always ruled out these tenants; I'd rather my property vacant.
 
I am going to stick my neck out and state the biggest issues with tenants with my properties,and i am talking major rent arrears etc,have always been single mothers,just sayin.

Bang on the money Jim. Facing one right now, little over 1 month arrears, multiple conversations held, notices issued, still not much effort shown closing that gap. Tenant has been advised to relocate, but is complaining that they need more time.

I'm leaning towards this decision = continue to allow them time, only if the fortnight direct payment comes through and effort done minimising arrears. If not, the golden Vcat.

Am I doing right? Or too soft? I'm legally allowed to order a vcat now.
 
I am going to stick my neck out and state the biggest issues with tenants with my properties,and i am talking major rent arrears etc,have always been single mothers,just sayin.

Surely this is a HUGE generalisation. I've been a single mother since I've been a mother. I was renting when he was born & was never ever late with my rent, even after my flatmate left & I was paying it all myself which was a stretch, a lot more than my current mortgage. They sold the house while I had a 3 month old & I was extremely cooperative with allowing access so they could present & market the property. Then I bought my own house & 4 years later I'm about to buy another. I hold a masters degree & have a 6 figure salary. So can we please stop tarring all single mothers with the same brush?

I'm sure there are hopeless, poor, late paying single mothers, just like there are hopeless, chronically poor, late paying single guys (with or without kids, do you tar them with the 'single father' brush??) or chronically poor etc people who fit other demographics. I have to say the woman bashing that goes on this forum is tiresome, ignorant and offensive. I'm sure I'm completely wasting my breath but surely everyone is entitled to a fair chance and shouldn't be assumed to be a hopeless tenant just because there happens to not be a father / partner also contributing to the rent.

Edited to add: Before someone assumes I receive child support, I do not and never have.
 
I agree with you Serendip.

Many people on this forum are threatened by strong women. (Not Jim1964 - as this was such an overt, cheeky, out there statement) but the threat is there lurking beneath some of the more covert ego driven comments from some of the disguised trolls ..... Ew! - not sure how the mods are missing it!

As someone who has been running a real estate office for the past 10 years - I cannot say that there has only been single mums on my arrears list. All types of demographics can get into financial trouble!

Just as an aside though - I think we are all single mums :). Married or single, most women I know are the ones that are doing most of the work! And we have so many roles and expectations - it's exhausting!

Congrats to you for keeping it all together!
 
as this was such an overt, cheeky, out there statement


Why is that????? I stated a fact that out of 9 current sitting tenants,and countless before them over the years,this has been the biggest problem i have experienced.I am stating facts.................don't like facts............don't read the posts.
 
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