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January 1, 2025 17 mins

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Ever wondered how to effectively manage tenants who push the boundaries of lease agreements? We promise to arm you with essential strategies and insights to tackle even the trickiest tenant situations. From exotic pets to unauthorized occupants, we explore the nuances of crafting watertight lease agreements that leave no room for ambiguity. Join us as we dissect real-life scenarios and share practical advice for handling violations like hazardous material storage, while emphasizing the critical role of rigorous adherence to local ordinances and safety regulations. 

Our conversation doesn't shy away from the tough issues, including smoking in non-smoking units, neglect of property maintenance, and illegal activities on the premises. We equip you with tools for maintaining open communication and clear documentation, ensuring you're prepared to address any challenge head-on. Plus, we delve into the complexities of utility payment defaults, providing guidance on possible legal actions. Whether you're a seasoned property manager or just starting out, this episode is packed with actionable tips and vital knowledge to enhance your landlord-tenant relationships and keep your properties running smoothly.

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Episode Transcript

Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:00):
Happy New Year, everyone.
Welcome back to the Deep Dive.

Speaker 2 (00:02):
Happy New Year.

Speaker 1 (00:03):
You know what day it is.

Speaker 2 (00:04):
It's Wednesday.

Speaker 1 (00:05):
It's Wednesday, which means it's time for another
episode of the Problem 10aChronicles.

Speaker 2 (00:10):
Ooh, I love this one.

Speaker 1 (00:11):
Before we get started , let's give a big shout out to
our sponsors for making thisDeep Dive possible.
Flowers and Associates PropertyRentals and Robert Flowers'
exciting new book I've heardit's really good.

Speaker 2 (00:25):
Yeah, I hear it's a must read for anyone interested
in real estate.

Speaker 1 (00:26):
It's called Real Estate Investment Strategies for
Beginners the Basics of Rentingand Wholesaling.
So if you're looking to maybedip your toes into real estate
or level up your landlord game,give Robert a call at
901-445-8148.

Speaker 2 (00:40):
Yeah, he's a wealth of knowledge.

Speaker 1 (00:42):
Now today we're tackling a topic that can make
even the most seasoned landlordshudder problem tenants.
Oh boy, yeah.
We've got some real-lifescenarios pulled from pasted
text that highlight the kinds ofchallenges landlords face and
we'll discuss some proactivesteps you can take to protect
yourself.
So first up, imagine you startgetting complaints from other

(01:03):
tenants about strange smells andnoises coming from one
apartment.
You investigate and it turnsout your tenant has a secret
menagerie of exotic pets.
We're not talking about anextra goldfish here.
Think illegal reptiles, maybeeven exotic cats.

Speaker 2 (01:20):
You know it's surprising how often landlords
kind of overlook the importanceof clear language in their lease
agreements when it comes topets Like you need to be really
specific.
A vague pet policy can open thedoor to all sorts of unexpected
situations.

Speaker 1 (01:35):
I bet.
But isn't it hard to enforce apet policy if a tenant says
their pet is an emotionalsupport animal?
I mean, where do you draw theline?

Speaker 2 (01:43):
That's a great question, and it's an area where
landlords need to be supercareful.
While landlords are generallyrequired to make reasonable
accommodations for emotionalsupport animals, they're not
required to allow animals thatpose a direct threat to the
health and safety of others orthat would cause significant
damage to the property.

Speaker 1 (02:00):
So what's the best way for a landlord to handle a
situation where a tenant claimstheir exotic pet is an emotional
support animal?
What do they do?

Speaker 2 (02:07):
Well, documentation is key.
The landlord should requestdocumentation from the tenant's
health care provider thatsupports the need for the animal
.
This documentation shouldclearly state the animal's
therapeutic function and how italleviates the tenant's
disability.

Speaker 1 (02:22):
Okay, so clear documentation is crucial.
But what if the documentationchecks out?
Does the landlord have anyoptions if they're still
concerned about, you know, theanimal's safety or potential for
damage?

Speaker 2 (02:34):
In that case, the landlord could consider
requesting additionalinformation from the health care
provider about the specificanimal and its temperament, or
they could consult with anattorney to explore potential
options for mitigating risks.

Speaker 1 (02:47):
This brings us to another important point regular
inspections.
If a landlord suspects a tenantis, you know, hiding
unauthorized pets, wouldn'troutine inspections help prevent
the problem, or at least catchit early?

Speaker 2 (02:59):
Absolutely Regular inspections conducted with
proper notice to the tenant canbe a really valuable tool for
landlords to ensure that tenantsare complying with the terms of
the lease agreement.

Speaker 1 (03:08):
Makes sense.
Now let's move on to a scenariothat's a little more intense A
tenant storing hazardousmaterials.
Think like flammable liquids,unknown chemicals, maybe even
explosives.
I mean, this is a situationthat could have really serious
consequences for everyone in thebuilding.

Speaker 2 (03:26):
You're absolutely right.
This is an area where landlordsneed to be proactive and
informed about local ordinancesand safety regulations.

Speaker 1 (03:33):
But wouldn't it be difficult to know what a tenant
is storing in their unit,especially if it's like in a
basement or a garage?
I mean, can a landlord justbarge in and start snooping
around?

Speaker 2 (03:42):
Well, while landlords do have a right to access their
property for inspections, theyneed to respect tenants' right
to privacy.
A well-written lease agreementshould include provisions for
periodic inspections, specifyingthe purpose notice required and
areas that will be inspected.

Speaker 1 (03:57):
So let's say a landlord conducts an inspection
and finds that a tenant has astockpile of potentially
hazardous materials.
What happens then?
What's the next step?
Just tell them to get rid of it.

Speaker 2 (04:08):
It's not quite that simple, unfortunately.
The landlord needs to actcarefully and follow proper
procedures.
The first step is to documentthe violation, taking
photographs and detailed notesabout the materials found.
Then the landlord should servethe tenant with a written notice
referencing the relevant leaseclauses and local with a written
notice referencing the relevantlease clauses and local
ordinances that prohibit thestorage of such materials.

Speaker 1 (04:30):
And if the tenant refuses to cooperate?
What if they, you know, saythey need those materials for
their work or a hobby?

Speaker 2 (04:36):
That's where things can get a little tricky.
The landlord may need toinvolve local authorities such
as the fire marshal or ahazardous materials team to
assess the situation anddetermine the right course of
action.

Speaker 1 (04:48):
Speaking of tricky situations, let's move on to a
scenario that can be a reallegal quagmire Unregistered
occupants or squatters.
You think you have aresponsible tenant and then one
day they're gone and someoneelse is living in the unit
without your knowledge orconsent.

Speaker 2 (05:02):
Yeah, this is where the distinction between guests,
authorized occupants andunauthorized occupants becomes
super important.
A lease agreement shouldclearly define these terms and
specify the procedures foradding occupants to the lease.

Speaker 1 (05:16):
Okay, but let's be real.
Most tenants probably don't,you know, scrutinize their lease
agreements that closely, so howcan a landlord actually enforce
those rules?

Speaker 2 (05:24):
Regular communication and documentation are key.
Landlords should make a pointof reminding tenants about the
occupancy rules during leaserenewals or routine interactions
, and if a landlord suspectsunauthorized occupants, they
should document any evidence,such as additional names on
mailboxes or utility bills.

Speaker 1 (05:43):
So what if a landlord discovers that someone is
essentially squatting in theirunit?
Can't they just change thelocks and kick them out?

Speaker 2 (05:50):
Unfortunately, it's not that simple.
Evicting someone, even ifthey're an unauthorized occupant
, requires following specificlegal procedures, including
serving proper notices andpotentially going through a
court process.

Speaker 1 (06:01):
This sounds like a situation where it's essential
to have an attorney on speeddial.

Speaker 2 (06:04):
Absolutely Navigating .
Eviction laws can be verycomplex and having legal
guidance can help landlordsprotect their rights and ensure
they are following the correctprocedures.

Speaker 1 (06:15):
Okay, let's take a quick breather before we dive
into our next problem tenantscenario.
We'll be right back after aword from our sponsors.
Welcome back to the Deep Diveeveryone.
We're ready to tackle moretales from the landlord trenches
.

Speaker 2 (06:29):
Yeah, let's jump right back in.

Speaker 1 (06:31):
Before we do, I want to remind everyone that being a
landlord isn't all you knowsunshine and rent checks.

Speaker 2 (06:36):
Definitely not.

Speaker 1 (06:37):
It requires vigilance , knowledge and a good dose of
legal savvy.

Speaker 2 (06:43):
Couldn't agree more.
It's not enough to just own aproperty and collect rent.
Landlords need to be proactiveabout protecting their
investments and ensuring a safeand harmonious living
environment for all theirtenants.

Speaker 1 (06:53):
That's right.
Speaking of potentialdisruptions, our next scenario
is one that many landlords haveprobably encountered the
unlicensed daycare or business.
Imagine your quiet residentialproperty suddenly turned into a
bustling hub of activity, withkids running around or clients
coming and going all the time.

Speaker 2 (07:11):
It's a situation that can create a lot of tension
between tenants and landlords.
On one hand, tenants may feelthey have a right to use their
rental unit for you know,personal or entrepreneurial
stuff, but, on the other hand,landlords have a responsibility
to uphold the terms of the leaseand to protect the interests of
all the tenants.

Speaker 1 (07:29):
OK, but isn't it a bit I don't know overreaching to
tell tenants they can't run asmall business from their
apartment?
I don't know overreaching totell tenants they can't run a
small business from theirapartment.
What if they're just likeselling crafts online or, you
know, tutoring a few kids?

Speaker 2 (07:44):
Well, that's where lease agreements need to be
super specific.
It's not about, you know,stifling tenants'
entrepreneurial spirit oranything.
It's about setting clearboundaries and expectations.
A well-written lease shouldexplicitly state what types of
business activities arepermitted, if any, and outline
any restrictions, like maybethere are limits on client
visits or noise levels, thingslike that.

Speaker 1 (08:03):
So let's say, a tenant ignores the lease and
starts operating an unlicenseddaycare.
Oh boy or a busy air salon.
What steps can a landlord taketo address the situation?

Speaker 2 (08:13):
Well, first things first, the landlord needs to
gather evidence of theunauthorized business activity.
This could include photos ofsignage, you know, increased
traffic, maybe even testimonialsfrom other tenants who have
been affected by the noise ordisruption.

Speaker 1 (08:26):
But wouldn't confronting the tenant directly
like lead to a confrontation?
It seems like a trickysituation to navigate.

Speaker 2 (08:33):
You're right, it is.
It's important to approach thesituation diplomatically.
The first step should always bea polite conversation.
Remind the tenant of the leaseterms and express your concerns
about you know the impact of thebusiness on other residents.
If the tenant is receptive, youmight be able to work out a
compromise, like maybe limitingoperating hours or the number of
clients allowed.

Speaker 1 (08:54):
And if the tenant just isn't receptive to those
suggestions or they just keepoperating the unlicensed
business?
What then?

Speaker 2 (09:01):
In that case, the landlord might need to take, you
know, more formal action.
This could include sending awritten notice outlining the
violation and demanding that thetenant stop the unauthorized
business.
If they still don't comply andkeep ignoring the lease, the
landlord might have grounds tostart eviction proceedings.

Speaker 1 (09:18):
It sounds like knowing local zoning laws and
business licensing requirementsis super important in these
situations.

Speaker 2 (09:24):
Absolutely.
Landlords should familiarizethemselves with the regulations
in their area to determine ifthe tenant's business is even
allowed in a residential zone.
If it's not, the landlord couldreport the activity to the
appropriate authorities, likemaybe the city's code
enforcement department.
Okay, before we wrap allowed ina residential zone?
If it's not, the landlord couldreport the activity to the
appropriate authorities, likemaybe the city's code
enforcement department.

Speaker 1 (09:40):
Okay, before we wrap up our deep dive into all these
problem tenant scenarios, let'stake a look at some common
questions we've received fromlisteners.
These questions touch on someissues that a lot of landlords
deal with on a regular basis.
First up, we have a questionfrom Sarah in California.
Sarah asks what can I do if atenant consistently violates the
no smoking policy in theirlease?

(10:02):
Secondhand smoke can be reallyannoying for other tenants and
it can damage the property too.

Speaker 2 (10:08):
You're right.
Enforcing a no smoking policycan be a real challenge,
especially in multi-unitbuildings where smoke can easily
travel between apartments.
Clear communication anddocumentation are key in this
situation.

Speaker 1 (10:22):
So walk us through the steps a landlord should take
if they find out a tenant issmoking in a non-smoking unit.

Speaker 2 (10:26):
The first step is to remind the tenant of the no
smoking policy in the leaseagreement.
This reminder should be inwriting and it should clearly
state that continued smokingwill result in, you know,
further action.

Speaker 1 (10:36):
What if the tenant says they're only smoking
outside on their balcony orpatio?
Is it still a violation?

Speaker 2 (10:41):
It really depends on the specific language in the
lease agreement.
Some leases prohibit smokinganywhere on the property,
including balconies and patios.
Others might be more lenient.
Landlords should check theirlease agreements and make sure
the language is clear andunambiguous.

Speaker 1 (10:57):
OK, so let's say the tenant gets the reminder, but
they still smoke inside the unit.
What's next?

Speaker 2 (11:02):
Well then, the landlord could issue a more
formal warning notice outliningthe consequences of further
violations.
Those consequences couldinclude fines, the requirement
for professional cleaning to getrid of smoke odors, or even the
possibility of eviction if itkeeps happening.

Speaker 1 (11:18):
Okay, our next question is from John in New
York.
John wants to know what can Ido if a tenant is neglecting
basic property maintenance likeyard work or keeping the unit
clean.

Speaker 2 (11:28):
This is another common issue.
Leases typically outlinetenants' responsibilities when
it comes to property upkeep, andit's important for landlords to
address any you know breachesof these obligations.

Speaker 1 (11:38):
So what's the best way to approach a tenant who
isn't keeping up their end ofthe bargain when it comes to,
you know, maintenance and stuff?

Speaker 2 (11:46):
It's really important to document any instances of
neglect, you know, take picturesor videos as evidence.
Then the landlord should send awritten notice to the tenant
explaining the specificmaintenance issues that need to
be fixed and referencing therelevant parts of the lease
agreement.
This notice should also givethe tenant a reasonable amount
of time to take care of thesituation.

Speaker 1 (12:06):
And what if the tenant just ignores the notice
or, like, makes half-heartedattempts to fix things?

Speaker 2 (12:12):
In some cases, landlords can hire a
professional cleaning service ora landscaper to handle the
issues and then deduct the costfrom the tenant's security
deposit.
However, it's super importantto check with an attorney to
make sure you're complying withlocal laws regarding security
deposit deductions.

Speaker 1 (12:29):
This brings us to a more serious question what if a
tenant is doing illegal thingson the property?
This is a situation no landlordwants to deal with, but it's
important to be prepared.

Speaker 2 (12:40):
Definitely, landlords need to act quickly and
decisively in this kind ofsituation to protect themselves
and their other tenants.

Speaker 1 (12:47):
So let's say a landlord has a good reason to
believe that a tenant isinvolved in like drug activity
or something like that.
What's the first step?
Can they call the police rightaway?

Speaker 2 (12:57):
If the landlord suspects illegal activity is
happening and there's animmediate threat to safety,
absolutely they should call thepolice right away.

Speaker 1 (13:05):
And what about talking to the tenant directly?
Is that a good idea?

Speaker 2 (13:08):
Once the police are involved and the immediate
threat is addressed, thelandlord should talk to an
attorney to figure out the nextsteps.
Many leases have clauses thatallow for immediate eviction if
the tenant is doing illegalstuff.

Speaker 1 (13:20):
Okay, our last question is from Lisa in Florida
.
Lisa asks what can I do if atenant won't pay for utilities
that are clearly theirresponsibility according to the
lease?
This can be a big financialheadache for landlords.

Speaker 2 (13:33):
Absolutely.
This is a scenario that showsjust how important it is to have
a clear and detailed leaseagreement.
The lease should say exactlywhich utilities the tenant is
responsible for and what theprocedures are for dealing with
non-payment.

Speaker 1 (13:46):
So what are some practical steps a landlord can
take if a tenant isn't payingtheir utilities?

Speaker 2 (13:52):
First things first, send a written notice to the
tenant reminding them of theirresponsibility and outlining the
consequences of non-payment.
The notice should include theamount owed and a reasonable
deadline for payment.

Speaker 1 (14:04):
What if the tenant ignores the notice or just
refuses to pay?
What options does the landlordhave then?

Speaker 2 (14:10):
Well, local laws vary , but in many cases landlords
can deduct unpaid utilitycharges from the tenant's
security deposit or take legalaction to recover the unpaid
amount.
In some places, unpaidutilities can even be treated
like unpaid rent, which couldlead to eviction.

Speaker 1 (14:26):
Well, it seems like we've covered a lot of ground
today, exploring a wide range ofchallenges that landlords face.

Speaker 2 (14:31):
Yeah, we have.

Speaker 1 (14:32):
From exotic pets to hazardous materials to
unlicensed businesses andeverything in between, being a
landlord can be a realrollercoaster ride.

Speaker 2 (14:40):
It definitely can be, but with the right knowledge,
preparation and a healthy doseof vigilance, landlords can
navigate these challenges andprotect their investments.

Speaker 1 (14:49):
Before we wrap up this part of the Problem Tenant
Chronicles, let's hear from oursponsors.
Stay tuned, we'll be back withsome final thoughts and insights
.
Welcome back to the deep divefor the final stretch of the
Problem Tenant Chronicles.

Speaker 2 (15:01):
I hope our deep dive has been helpful for you.

Speaker 1 (15:03):
It's definitely been a wild ride, but I think we've
given some pretty good advicefor landlords dealing with or
trying to prevent those problemtenant situations.

Speaker 2 (15:14):
Yeah, one of the biggest takeaways for me is just
how important it is to beinformed.
Knowledge is power.

Speaker 1 (15:19):
So true.
We've seen how like littleoversights or unclear language
in a lease can blow up into hugeheadaches.
But being proactive,communicating well and knowing
your legal rights andresponsibilities can make all
the difference.

Speaker 2 (15:34):
When you think about it, it all comes down to respect
and understanding betweenlandlords and tenants.

Speaker 1 (15:39):
Right, and it starts with a good lease agreement.
It's more than just a piece ofpaper.
It's the foundation of asuccessful landlord-tenant
relationship.

Speaker 2 (15:46):
It should be clear, comprehensive and specific to
the property and local laws.
It needs to cover everythingPet policies, maintenance
responsibilities, theconsequences of breaking the
lease, how to resolvedisagreements, all of it.

Speaker 1 (16:01):
And don't just assume the tenant has read and
understood every single detailof the lease.

Speaker 2 (16:05):
No, take the time to go over the important parts with
them, answer any questions theyhave, make sure everyone's on
the same page from the start.

Speaker 1 (16:12):
Talking about being on the same page.
It's really important to keepthose lines of communication
open throughout the tenancy.

Speaker 2 (16:18):
Absolutely Regular communication can help prevent
small issues from becoming bigblowouts.
Landlords should set up a clearway to communicate, whether
it's through email, phone callsor even a tenant portal, and
encourage tenants to reach outwith any concerns.

Speaker 1 (16:33):
And let's not forget documentation.

Speaker 2 (16:35):
Oh, that's huge.
Keep records of everythingLease agreements, tenant
applications, every conversation, inspection reports,
maintenance requests, anynotices you send.

Speaker 1 (16:44):
Like building a case file just in case.

Speaker 2 (16:47):
Exactly.
If you ever need to take legalaction or go through the
eviction process, gooddocumentation can be your saving
grace.

Speaker 1 (16:54):
Speaking of legal stuff, landlord-tenant laws can
be pretty complicated andthey're different everywhere.

Speaker 2 (16:59):
That's right.
So landlords should reallyfamiliarize themselves with the
laws in their area or even talkto a lawyer to make sure they're
following the rules andprotecting themselves.

Speaker 1 (17:09):
That brings us to an important question for everyone
listening.
If you're a landlord, how canyou stop these problem tenant
situations from happening in thefirst place?
And if you're a tenant, how canyou make sure you're holding up
your end of the deal and havinga good relationship with your
landlord?
That's something to think aboutas we finish up this episode of
the Problem Tenant Chronicles.
Remember, knowledge is power,communication is key and a solid

(17:30):
lease agreement is thefoundation of a successful
rental experience.
Thank you so much for joiningus today on the Deep Dive.
Huge shout out to our sponsorsFlowers Associates Property
Rentals and Robert Flowers' newbook Real Estate Investment
Strategies for Beginners.
Give Robert a call at901-445-8148.
We'll be back next Wednesdaywith another fascinating
exploration.

(17:50):
Until then, happy rentingeveryone.
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