The Easiest Way to Earn a Tenant’s Respect (aka “The 30 Day Rule”)

Admittedly, he had no idea I was going to knock on his door.  He had oily and uncombed hair on his balding head.  His face was gaunt and sunken.  He needed to shave.  His t-shirt was twisted around his skinny, hunched-over torso probably from sleeping on the couch all night.  I could see at least 10 beer bottles on the coffee table behind him.  

I felt like evicting him before he even opened his mouth.

That was 10 years ago and I consider him one of my best tenants ever.  He has a six-figure job in the city.  He pays his rent early, doesn’t complain about rent increases, does a lot of small repairs himself, and prefers 2 year lease extensions.  It took me a few years to realize I was wrong about this tenant, but it only serves to prove my point.  First impressions are harder to reverse than they are to create.

Enough has been written about the importance of first impressions.  It will overwhelmingly form a person’s opinion of your character, work-ethic, etc.

We can use this to our advantage as landlords and property managers, but few of us do.

It’s called the Halo Effect.  The Halo Effect is when our impression of someone is skewed by one positive trait, leading us to make generalizations about them as a whole.  It’s a mental short-cut our brain makes in order to conserve energy.  Instead of reevaluating our opinion of a person each time we meet them, we form an opinion early and tend to stick with it.  This is not a bad thing because, again, it conserves energy.  Energy that we can then devote to other tasks.

As I mentioned in my post Don’t be Friends with Tenants, operating income can be improved substantially with good landlord-tenant communication.  And by forming a good first impression with the tenant, it will shape their opinion of how well you are keeping your end of the lease (an important element of trust) for as long as they live in your apartment.

The trick is to over-deliver on promises in the first 30 days of tenancy.  A year from now, when you haven’t been around in 3 months, they will still think of you as the guy during the first 30 days.  It’s the Halo Effect at work here.  And you can either use it to your advantage or not.

When you meet a new tenant, don’t miss this opportunity to form a solid first impression.  At a bare minimum, I do these things over the first 30 days of tenancy.

1. Sit down and go over the lease with them item-by-item.  It’s not important what is said, but that you are focusing your attention on the lease in detail; going over every word like it is scripture.  Ask the tenant if they understand each clause in the agreement.
2. Call them within 3 days of moving in to ask how things are going.
3. Call them 2 weeks after move in to ask about maintenance issues.
4. Drop by to say hello 3 weeks after move in.  If they aren’t home, leave a note so they know you were there.

The last thing you want to do is disappear after the lease is signed.  Establish yourself, in your tenants eyes, as a doer.  This is so important because it’s during the first 30 days that the tenant will learn what they can get away with.

Of course, all these high-visibility tactics will mean nothing unless you also follow through on any maintenance requests promptly.  If you agree to replace an old window covering, have your maintenance guy over the NEXT DAY, ideally.  Show your commitment to get the work done on-time and with quality.  

Be an example to your tenant.  In the first 30 days, you are communicating that qualities like being on-time, following through, and sticking to your word are all important in your relationship with each other.  

If you want to be treated with respect, show some respect.  Your tenant will follow your lead and treat you the same.