Dealing with tenant

I am self managing and am dealing with a frustrating tenant situation. Keen to get another perspective on if I’m overreacting or any tips on what to do going forward.

some context. When Covid hit in March the tenant asked for a significant reduction due to changes in their employment. I was happy to negotiate once They provided all the evidence of change in circumstances. They refused to send anything and went silent for a few months, still paying full rent.

now they’ve come back and asked again for a reduction. This time because they feel they are paying too much as there are plenty of similar properties listed online for less. The amount they requested was still lower than market. I countered with a reduction that I think is fair given the market. After going back and forth I was firm, understanding that they can leave if they’re not happy and I will have a vacant property.

They accepted my offer but have been sending me abusive emails claiming I’m not treating them fairly, not showing compassion and that they still believe they should be paying less. Yet still don’t seem to show any intention of leaving for these cheaper places.

now I’m concerned that it will be difficult to manage them going forward, eg. Getting access for maintenance. I’m considering just giving notice as I think long term the situation will only get worse.
Would the usual 90 days apply?
Are there things I need to consider to make sure it’s not retaliatory?
Are there any other considerations that could come up if they decided to take any action via ncat?
Are there other ways to manage the situation?
If the property is vacant (I don’t think it will be as it’s in an in-demand area), I can move in there myself to live.

Thanks in advance for your help

 

If you have a property manager, you have a buffer between yourself & the tenant. They are probably trying this out because you are self managing.

 

This is why you don’t self-manage especially in the current environment!

For a few dollars a month, do you really want to have to deal with all that. And what would you do if they stopped paying altogether and refused to move or didn’t even answer your calls and emails? It happens all the time.

 

I agree with you. I’ve been self managing for 10 years and this is the first issue I’ve had. Prior to covid They were relatively low maintenance. Plan is to get an agent once they’re out. Need to work to that stage first.

 

What? Do tenants really turn bad? Unbelievable!!!

 

My husband wanted to have a barbecue every Christmas for the 12 tenants we had in our commercial premises, put my foot down and said no. I am a great believer in keeping tenants at arms length ...

 

Find the agent now and pick their brains. There are so many ways this could play out so best to be on front foot.

Depending on where your property is, there are good PMs here.

 

I'm surprised that this is such a difficult situation though. Isn't one solution just to say "nah"?

 

Will they be more more difficult to deal with? Probably.
Will it matter if they are paying the rent and otherwise low maintenance? I doubt it.

It goes without saying that neither party will feel they got a fair deal if it wasnt what they wanted.
I've been in the same situation as tenant and I just move if I dont like like the final offer.

It sounds as though you have a couple. One too lazy to move, the other irate at having to stay and pay more than they would like.

If they continue to pay I wouldnt worry, you could do worse than a tenant who whines about paying too much despite having just agreed to do so.

Remeber too that emails lack tone. They may not indeed to sound abusive, but their complaining about it now is fairly pointless all the same if you ask me.

 

Are they on a lease, and how long remaining if so ?
If there is 6+ months remaining consider handing management over to an agency.
Or you could reply to their emails countering that you have reduced the rent as asked and that they agreed, question why now are they emailing, if they remain unhappy they can either give notice to vacate or you can !

 

lease expired and they’re on periodic.

if I do, can it be seen as retaliatory. Or can I just not give a reason for notice?

 

Having an agent will shield you from the abusive emails and other 'politics', so it might be better to move to a PM now to see if they can manage the existing tenants, given you are looking to have an agent manage new tenants anyway. It might save you the expense of finding new tenants if the relationship can be salvaged.

 

Agree, do it now. Easier all round.

 

You can give the req'd min notice period (possibly 90 days, but not sure how Covid affects this currently), they might see it as retaliatory but by giving the 90 days you shouldn't be req'd to list any reason...

In all honesty when negotiating a lower rent I would have bargained in a new 12 month lease to the arrangement, now they are trying their luck a second time (going for all they can thinking you are a soft target)

 

Just be aware that any new tenant will have your contact details included on the new lease.

 

That's a great alternative solution here!

How long had the tenants been in the house before COVID and are they otherwise great to deal with?

 

Surely you can breach them on that (if the emails are actually abusive, any chance you can post anonymous sections?), can a PM confirm? If I tenant sent me objectively abusive messages, I'd send them packing!

 

Sending abusive emails in itself isn't a breach of a tenancy agreement though.

 

In NSW it could be though.

Here is the relevant section of the Residential Tenancies Act:

DIVISION 2: TERMINATION BY LANDLORD

92 Tribunal may terminate residential tenancy agreement for threat, abuse, intimidation or harassment

(1) The Tribunal may, on application by a landlord, make a termination order if it is satisfied that the tenant, or any person who although not a tenant is occupying or jointly occupying the residential premises, has—

(a) seriously or persistently threatened or abused the landlord, the landlord’s agent or any employee or contractor of the landlord or landlord’s agent, or caused or permitted any such threats, abuse or conduct, or

(b) intentionally engaged, or intentionally caused or permitted another person to engage, in conduct in relation to any such person that would be reasonably likely to cause the person to be intimidated or harassed (whether or not any abusive language or threat has been directed towards the person).

(2) The termination order may specify that the order for possession takes effect immediately.

(3) A landlord may make an application under this section without giving the tenant a termination notice.(4) The Tribunal may make a termination order under this section that takes effect before the end of the fixed term if the residential tenancy agreement is a fixed term agreement.

 

yes 90 days

unaffected

Correct - 90 days no grounds termination