Low Income Multi-Tenant
I currently have one SFH rental, which I've had for several years now, but looking at a 5-plex. It's not section 8 housing but it's a lower income housing complex. Any general advice/tips on ways on how to improve overall cleanliness deal and navigating trying to keep it a drug free complex? Anyone successfully try to incentivize current tenants to get their spaces cleaned and and better cared for? TIA
Low/lower income doesn't automatically equate to drugs and slum behavior. That's on the landlord who doesn't do his job right in the first place. The best things you can do to set a standard at your properties include:
1. Renovate/repair: Rent out properties that set a standard for the tenants. If you value the property by having it in good order/condition, maintain it, and present it clean, you've let them know by example (and then your verbal expectation) that this is a valued place that needs to be treated as such.
And, don't assume people know how to clean. Give written instructions on disposing of trash (like keep the dang lid on the trash cans), using exhaust fans when cooking/bathing (or crack open a window), what surfaces need a special cleaner. You're not talking down to anyone, you're educating them on how to keep the property mold-free/bug-free - and let them be responsible for those items in the lease.
2. Screen - for everything. Set your standards high. Check social media - if it's weird there, you'll be inviting it in. If they have a history of arrests, evictions, problems...those should not meet your minimum standards.
3. Contract Addendum. I have the longest paragraph/item in my contract addendum that states (in caps) that "THIS IS A CRIME FREE/DRUG FREE PROPERTY. " It goes on to state that I won't be waiting for a conviction to evict. If it is suspected, detected, complaints received - you're gone. Also, there's plenty on guests staying at the property. More on bothering other tenants/neighbors. Set the standard and manage to the lease. If you fail to manage to it, that's on you. You've let them know that you're all hot air...
4. Go Section 8. You still get to screen and select your tenant with section 8. We have a lot of single mothers who are employed (many are nurses) who are progressively getting to the point where they are paying the greater portion of the rent. We celebrate their financial success and cheer them on...
5. Require Renter's Insurance. It's inexpensive - yet it's a great safeguard for both you and the tenant.
6. Inspections. You MUST do regular inspections. Just give your state's notice and let the tenant know that you will be doing a quick inspection to determine what items will be needing maintenance/repair/replacement in the future. It's not adverserial - but it is the best thing you can do every 90 to 180 days.
This is probably more than you wanted to know but this is what it takes. You're running and managing a business.
Best...
Quote from @Garrett Stembridge:Tenants are who they are, you are not going to change a messy tenant to a clean tenant. So with that being said you will need to repair and clean the exterior of the property and as the units go vacant upgrade the units for the type of tenant you are looking for and carefully screen for much better tenants.
I currently have one SFH rental, which I've had for several years now, but looking at a 5-plex. It's not section 8 housing but it's a lower income housing complex. Any general advice/tips on ways on how to improve overall cleanliness deal and navigating trying to keep it a drug free complex? Anyone successfully try to incentivize current tenants to get their spaces cleaned and and better cared for? TIA
