Please can anyone give me some good reasons why being a nice landlord is a bad idea.
I am starting to realise that nice seems to leave you open to being taken advantage of by most people (ie: tenants.)
I am genuinely trying to shed my idealistic skin ASAP as i have had consistent experiences of hassle when taking this approach as a landlord.
Yes, even “GET A PROPERTY MANAGER” quotes are invited.[whip]
Hammer me!!!! I need to harden up quick.[smash]
lifexperience
Just do what you believe is fair and complies with the law. Dont worry about gifts. Just charge market rent.
LifeX,
I don’t think one can change one’s nature necessarily, and nor do I think it’s desirable to attempt to do so. Just be yourself. You’ll get a mix of good and bad outcomes whether you’re soft or hard anyway. If we could all make sure that if we were “hard” and we would be guaranteed 100% stress-free IP ownership… then we’d probably all be “hard”. But sometimes things mess up- nothing to change your whole personality about
kay henry
Thanks Yack, I’m aiming for fair and firm.And follow the landlords guidebook to the letter.
I have individual leases on shared houses, and furnish and garden and pay bills (split house requirement). Market rent is hard to judge, but i’m cheaper than the university who do the same set up.
I’ve had a few experiences of picking up tenants at ground zero, where they have no-where to live and little money.And go out of my way to get them started. Often have to chase up the initial few rent payments, and even pay for the odd hotel room as a bridge before they enter properties.
I spent a week of travelling to properties(4 hours total driving a day before shiftworking evenings) to take a chance on two young lads who were down on their luck. Got them in a room, new bedding, bunks, towels and heater. Chased up Centrepay for days and finally settled them in.
I do no end lease date and simply ask for 2 weeks notice. I am trying to focus on people who might fall outside the standard 6-12 month contracts as these are the types (i think) who would more likely frequent a shared house.
I also dislike the way R.E. Agents treat tenants poorly (in my many experiences), and wanted to provide a service that is deserved for what i see as a valued customer who pays many thousands of dollars a year for my product.
But in there somewhere, i must be too soft, cause the aforementioned lads cancelled the automatic rent payments, and mentioned they may move out Friday. (under 2 weeks required notice)
I am happy with these extras i provide, and the end result is a more profitable property. But I just need some tips on how to…..i don’t know. ??????
lifexperience
Thanks Kay,
Good words. My personality changes all the time. It tries to adapt best it can to things i might have to deal with on regular basis.My idealistic super-nice do anything to help anybody hippie type attitude is cool for just hanging out in general, but is not a goer when dealing with property and tenants, i have found that i may have to slant towards more of a curt business is business and thats it attitude.
[huh]
lifexperience
LifeX,
Sounds like you are setting up more of a “boarding house” situation. People who share houses are all kinds of people. I lived on an expired lease in the same house for 12 years before I moved to sydney- and everyone there- there were 5 of us- all were working and studying. None of us were “down on our luck”.
I think if you are targetting “down on their luck” people, then you may be fostering some possible co-dependent relationship with your tenants, which goes beyond being a “soft” landlord. I consider myself the kind of landlord that is really non-interventionist, and pretty laissez-faire… but I would not be setting up some sort of quasi-parental or refuge kind of thing for tenants- frankly, that would do my head in- I’m not equipped for such a thing.
It’s one thing to be relaxed and not overly-vigilant, as a landlord.. it’s another thing to enter into the kind of role which your post suggests.
kay henry
Well I am a soft nice landlord. Fortunately my wife is a rabid nazi and I send her around when I need to. [biggrin]
Works well for us.
Cheers,
Simon Macks
Mortgage Broker
http://www.mortgagehunter.com.au
0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Hi LifeX – You must be a good person who wants to help others. That makes you a soft target in PM. I tried mixing social work with PM and still have bandaids all over me. They don’t mix successfully without you suffering at regular intervals, and also enjoying the special satisfying feeling of helping someone worthwhile out of a hole.
I adopted the firm approach, set guidelines, and avoided the hassle and labour intensive nature of socio-economically challenged properties and tenants. However, if I had some of those properties, I would charge market rent, and hold a hard line, that’s the person who gets paid first, and you can then afford to help someone deserving when they come along.
cheers
thecrestthecrest | Tony Neale - Statewide Motel Brokers
http://www.statewidemotelbrokers.com.au
Email Me | Phone Meselling motels in NSW
I’m soft and I know it. I don’t think I can change that. I’ve let agents pick my tenants so they did all the checks on them and I can say I’ve had no major problems. I started using a PM now but as my properties are in New Zealand this was inevitable. Otherwise, I think it is prudent to use PMs and our IPs should be geared so we can afford them – not always possible in the first years…
Hi LifeX,
How’s “you could get burnt” for starters????? [blink]
I used to be a soft landlady, but after having one of my IPs trashed to the tune of 11K (insurance co. only willing to cover me for 2) and THEN shocked2]….the next night to have it torched to the ground!!!! [bawl]….trust me, I hardened up pretty damn quick!!!! [glum2]
All that aside, that doesn’t mean that NOW I am nessarily “hard” more fair I’d say, but one thing is for certain, I NEVER mix business with pleasure, not in this game…(for me anyway) experience has been my greatest teacher!!!! (Well, next to my mum anyway!!!) [blush2]
Cheers,
Jo
Kay, simon, thecrest, vicgirl, jo.
Thanks for guidance and support.Rabid Nazi hmmmmm.
I am going to be firm, and say NO if necessary.
I am going to be firm, and say NO if necessary.
I am going to be firm, and say NO if necessary.
I am going to be firm, and say no if necessary.
I am going to be firm, and say NO if necessary.
I am going to be firm, and say NO if necessary.
I am going to be firm and say NO if necessary.
I am going to be firm and say NO if necessary.
I am going to be firm, and say NO if necessary.
I am going to be firm, and say NO if necessary.
I am going to be firm, and say NO if necessary.There! lines should do it. [cowboy2]
lifexperience
LifeX
Business and pleasure do not mix.
(In this case, it is business and welfare.)
You are in the renting property business. Hire a professional to do the “dirty” work.
If you are inclined to do some welfare, do so at your heart’s content, but stay away form your business with it.My two bob’s
May God prosper you always.[biggrin]
Marc
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