It’s easy to describe a good tenant. They pay their rent on time, respect your property, and are good neighbors. In other words, they do not turn your positive cash flow into a negative loss. Unfortunately, no matter how diligent you are when selecting a new tenant, a person’s circumstances can change, throwing them into a negative position. A sudden job loss or lengthy illness can transform a formerly perfect tenant into a tenant that begins costing you money instead of adding to your income. But how do you find such a paragon of virtue? And what can you do if a tenant goes bad? WHAT TO DO WHEN A GOOD TENANT GOES BAD (AND HOW TO AVOID IT)
THE NIGHTMARE OF EVICTION When thinking about the negative consequences of a bad tenant, a landlord’s first thoughts naturally turn to removing them from the property. Let’s look at how a bad tenant can turn your investment dreams into a nightmare, starting with the dreaded eviction. From legal fees and court costs to property damages and lost rent, the cost of an eviction ranges from $3,500 to $10,000. The numbers quoted in this article are based on the national average for monthly rental rates. Court costs and legal fees will vary from city to city and state to state.
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