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The Top 3 Lease Violations You Should Watch Out for at Your Multifamily Property

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Lease violations may seem like a taboo subject that residents will avoid at all costs. The truth is, you’re bound to deal with them at some point in your time as a property manager. But what constitutes a lease violation?

A lease violation is anything a resident does that breaches their contract with you. As the property manager, in accordance with local laws, you get to decide how they’re handled. Whether a violation triggers a preset fee the renter must pay, or it’s serious enough to warrant eviction, knowing the most common violations will help you prepare for these inevitable situations. Here are the top 3 lease violations you should watch out for at your multifamily property. 

Failing to Pay Rent On Time

Arguably the most common lease violation – and the most consequential – failing to pay rent on time is seen more often than you might imagine. It’s one thing if a late payment happens once or twice, but you may want to consider taking action if a resident makes it a recurring habit. At the end of the day, you need the rent from your occupied units to keep your property running smoothly and your cash flow healthy. If you can’t get this, beginning the eviction process could be an appropriate next step.

The good news is that late payments are often a case of forgetful renters with no bad intentions. Offering residents easy ways to pay is a proven way to curb this issue. In fact, ManageGo users have experienced an over 19%  increase in on-time payments. From automatic payment software to integrated payment plans, property management software has made collecting rent on time a reality. 

Ignoring Lease Policies and Property Rules

What’s a lease for if not outlining all of your policies and procedures? The types of broken rules you experience will depend on what policies you outlined in your lease agreement, but common ones that go ignored by residents include:

  1. Pet policies (bringing in unauthorized pets or failing to pay pet fees)
  2. Smoking policies (think disarmed fire detectors or smoking in non-smoking amenity spaces)
  3. Long-term guests (allowing guests to stay in their unit for an extended period of time)

No matter the policy that goes ignored by your residents, be prompt in taking action. As soon as you notice a violation, bring it to the attention of the renter in question, and serve them the appropriate consequence as outlined in their lease agreement. The longer these violations go unmanaged, the more leeway your residents will feel they have. 

Damaging the Property

Normal wear and tear is to be expected in a rental unit, but property damage is a different story. Except how can you tell the difference? Well, check out our dedicated blog on property damage to learn how! If you’ve done your inspecting and concluded that a resident has caused true damage, holding them accountable financially is fair game (if you’ve outlined it in their lease agreement, of course). 

The reality is, lease violations are costly for property managers and owners. Whether your cash flow is interrupted and unstable by frequent late payments, or you’re stuck paying for damages caused around your property, tracking these extra expenses is crucial. Utilize a modern accounting software to guarantee no expense is missed.

No matter your business goals, ManageGo has your back. To discover just how our software solutions can benefit you and your unique property management needs, request a demo today. Or, connect directly with one of our experts and get started on your journey to better property management. Plus, subscribe to our weekly newsletter to explore the industry, get the latest company news, and be the first to know about special announcements!

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