Warning Signs of a Bad Tenant You Need To Know

Being a landlord or real estate investor can be a lucrative venture, but finding the perfect tenant can be a difficult task. Renting to a bad tenant can be a nightmare for everyone involved, resulting in damage, late payments, eviction, and plenty of headaches!

Learning how to identify the early warning signs of a bad tenant can save you from a slew of unnecessary hassles. Let’s take a look at what you need to watch out for when leasing to a new tenant.

Poor Rental History

One of the first telltale signs of a bad tenant is a poor rental history. You need to watch out for past bad behaviors in a tenant, including any late payments, evictions, or damage to property.

Tenants with a history of late rent payments, previous evictions, or damaging properties are unlikely to change their ways. While past mistakes should not automatically disqualify an applicant, it's crucial to verify the reasons behind any previous issues and assess if the candidate has improved their behavior. Don’t be afraid to ask for references and reach out to past landlords to get a better idea of a person’s rental history.

Refusal or Delay in Completing Application Procedure

An applicant without something to hide won’t be afraid to submit all the necessary information, meaning they shouldn’t lie about their information or refuse to submit it. Even if they do submit all their information, keep an eye out for applicants who don’t send in their applications on time.

While a late application is not an immediate disqualifier, it can indicate how a person views deadlines—as landlords and investors, we’re always dealing with deadlines, so lateness is the last thing we need. And if you notice any inconsistencies in their information, run in the other direction!

Poor Communication

Communication is a critical part of any landlord-tenant relationship. If an applicant doesn't respond to your inquiries on time or seems evasive when answering questions, this could be a serious sign of potential problems down the line.

You shouldn’t have to play phone tag, either. Look for a tenant who will maintain open lines of communication and engage honestly with you throughout the leasing process.

Outstanding Debt History

One of the top warning signs of a bad tenant is an applicant with an extensive debt history. While financial setbacks can happen to anyone, an outstanding debt history, particularly those related to previous rentals, is a red flag.

Conducting a thorough credit check will help give you a solid idea of a potential tenant’s credit history. However, you have to ask your tenant’s permission before running a credit check; if they refuse, you may want to consider renting to someone else.

Rude Behavior From the Beginning

Dealing with difficult tenants can be a serious headache, but you can rest easy knowing that rude or undesirable tenants typically show their true colors from the beginning. While everyone can have a bad day, consistently rude or hostile behavior toward you or others is a major red flag.

In these cases, it’s important to trust your intuition and weed out any applicants who are outright disrespectful or, even worse, seem violent or overly abrasive. Personality clashes may not be a reason to disregard a tenant completely, but it’s important to consider whether a prospective tenant may pose a potential risk to your property or community.

Putting extra effort into screening your tenants will pay off and can ensure a peaceful and profitable rental experience for everyone involved!