Direct Contact with Tenants will Cost YOU $$$

direct communication


 If you have direct contact with your tenants you are putting yourself at risk of losing thousands of dollars!



We have discovered that while it may be “nice” for Landlords and their tenants to be able to chat and become mates – nine out of ten times this will INCREASE miscommunications and STRESS for the owner.


Almost EVERY contact an owner has with a tenant weakens the property manager’s ability to manage the property. For example, if a tenant does not like to be told to catch up on rent by the manager – she can call up the landlord and ask for the some “time” to catch up.


We are trained and have systems for this – you most likely do not – and it will cost you money.


You and your property manager form a team. Once we have your instructions it is imperative that you step away and so we can set clear boundaries for your tenant.


Here are some examples of where having direct contact with tenants has cost an owner money:


1)    Coral Sea had negotiated a 3 year lease renewal with an existing tenant with a $10 rent increase after each 12 months. The owner attended the property to inspect an overgrown tree and spoke to the tenant about the renewal. The owner told the tenant she would be happy for her to renew at the same rate for 3 years and did not inform Coral Sea. When Coral Sea went to get the new lease signed with an increase, they were unable to get the tenant to sign due to the commitment the owner had made privately.


By having direct contact with the tenant, this cost the owner $1560!



2)    A tenant had a problem with their irrigation system and the owner attended the property to repair the item. While at the property, the owner told the tenant to contact him directly if there were any further issues.


Over the next 6 months, there were 6 occasions where the irrigation system had leaked however Coral Sea were completely unaware as the tenant was going straight to the owner.


Then the owner received an excess water bill of $1200 and asked Coral Sea to claim it back.


The tenants made the argument that the irrigation system leaking had caused the bill and the owner argued that he had attended the property within 2 days of the tenants reporting the maintenance to him each.


The owner DID NOT have a system to record when the maintenance was reported or when it was completed so he was left in a ‘he said, she said’ situation.


Because of this, the owner had to cover the entire excess water bill and was not able to recover ANYTHING from the tenants.


By having direct contact with the tenant, this cost the owner $1560!


We understand that your tenants a nice people and it would be great to build a relationship with them however, as you can see, THIS WILL RESULT IN LOST MONEY FOR YOU!


Avoiding direct contact with your tenants will save you from losing money!


If you would like any further information regarding Direct Contact with your tenant please don’t hesitate to give Cheryl a call on (07) 4724 1723. 


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