Property management software is a fantastic way to increase revenue, not only by automatically setting late fees and allowing tenants to pay the way they choose, but also by providing a method to prevent certain types of tenants of the nightmare.

A nightmare tenant is one that directly affects your ability to make a profit. Here are some common types of tenant anxiety and steps you can take to avoid them.

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Types of anxious tenants to avoid

Some of the most common nightmares of owners are those involving such a type bad tenant which is eating into your potential earnings. We're not talking about a tap-dancing upstairs neighbor or someone who's constantly doing construction next door—the real nightmare tenants are the ones who get on your end.

Here are some distressed tenants to keep an eye on.

Tenants who do not pay rent:

The first and most dangerous of the nightmare tenant types is the defaulting tenant. This tenant directly affects your ability to collect rental income and makes it much more difficult to meet your monetary goals.

Non-paying tenants are occupying your property in direct violation of your tenancy agreement. While it seems like it should be easy kick someone out who refuses to fulfill their tenancy agreement obligations is not always so black and white.

States vary regarding their eviction procedures, and it is crucial that you do not take steps to evict the tenant yourself by turning off the utilities or changing the locks. Engaging in any of these tactics will prolong the legally complicated eviction process and may make you partially liable.

The best course of action (other than prevention) is to contact a trusted attorney and follow their advice carefully.

Tenants who do not leave:

Going hand in hand with tenants who never pay rent are renters to own, or those who had a tenancy agreement and simply overstay their welcome.

If you notice that Sally Mae in Unit A hasn't left a day after she was supposed to, don't jump to conclusions. Mistakes happen all the time, and it's possible that Ms. Mae just got her departure date mixed up. It's a good idea to send reminders to tenants that they have a move-out date so that these good-natured mix-ups don't happen too often.

However, if the tenant refuses to move out and their eviction date has come and gone, it's time to contact an attorney. As with tenants who do not pay their rent, tenants in possession are a serious matter and require strict adherence to your state's eviction laws in order to properly enforce judgments against them and remove them from your unit.

Tenants who damage your property:

Commercial tenants have certain rights to modify and change the space to suit their business needs. However, the parameters of what is allowed should already be written your rent. Any modifications or renovations that go beyond what is allowed in your rental agreement may be considered damage and the tenant may lose their security deposit or, potentially, be sued.

Any type of tenant who damages the property beyond normal wear and tear is a nightmare tenant. You expect your tenants to treat your units with respect. Anyone who openly damages floors, walls, windows or fixtures may forfeit their security deposit. However, you will still need to arrange the repairs and it is possible that the tenant's deposit will not cover the necessary repairs to return your unit to its original condition.

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How to avoid nightmare tenants

The best way to avoid dealing with anxious tenants in the first place is prevention. Prevention methods will drastically reduce the likelihood of a nightmare tenant darkening your doorstep.

Using the number one method of prevention property management software. Quality property management software will automatically perform all necessary criminal, credit and rental background checks, and your applicants can enter their payment information directly into the software without having to burden you with checks. or credit card payment.

Many property management sites will automate some reminders for tenants, such as reminders to pay rent, move out or renew when the lease term is up. By automating all of these reminders, you can cut down on tenants who simply forget to pay their rent on time or those who misunderstand the move-out date.

Automating your day-to-day rental management activities is a great way to give yourself more time to work on improving your business instead of dealing with tedious day-to-day tasks. Property management software is also a strong deterrent to nightmare tenants who most likely have a bad previous rental history, saving you from costly issues.

With quality property management software, you can avoid tenant anxiety, streamline your operations, and effectively protect your rental income.