Condos, investors, rental fraud, and bedbugs

New landlords have a very steep learning curve when it comes to tenant selection and all landlords have a few horror stories to tell. There are many terrible tenants out there looking for a new home because they were evicted out of their last one. These potential tenants know that they can lie and commit fraud with impunity because their actions are not subject to criminal law – rather the matter goes to the residential tenancies branch which can be manipulated with endless spurious appeals. Even if a landlord wins a judgment against these folks they are often judgment proof as they are operating under assumed names, or have no money. If a landlord is tenacious enough to attempt a garnishment of wages the tenant will quit and find another job to avoid losses. These folks survive by lying and, as such, have become expert liars. The trusting rookie landlord doesn’t stand a chance and they will learn quickly the realities of rental fraud.

 

One of the side effects of these terrible tenants is their tendency to take great risks with bed bugs and they are likely to bring bed bugs wherever they go. And when a new condo investor rents out his property the above risks loom. The bad tenants will drag infested furniture through the hallways causing neighbours to be infested, will allow the bugs to fester for months without professional treatment, and will attempt periodic self treatments that will push the bugs to other units. The bad tenant knows his tenancy will be relatively short term so cooperative effort is not worthwhile. In other words the entire condo complex bears the risk when a rookie condo investor rents out his property.

 

I recommend that a legal clause be added to the condo purchase agreements that prohibit the rental of the units to non family members. This would cut the bedbug risks to the building substantially.

 

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