A row of modern, two-story townhouses with a mix of white and grey facades under a clear blue sky. Each home features a balcony, large windows, and a garage, complemented by neatly landscaped front gardens with lush shrubs and a manicured lawn. A television antenna is visible on the roof of one townhouse. The image is peaceful indicating a lack of conflict with the tenants.


While owning an investment property can help you build wealth and achieve your financial goals, there are risks associated with it, unfortunately this can include conflict with tenants. One of the biggest variables you rely on to maintain stability at your property is your tenants. If your tenant engages in illegal behaviour at your property or is unable to pay the rent, it can be costly and make it more difficult for you to meet your financial obligations. Keep reading below to learn what to do if your tenant breaks the rules or stops paying their rent.

Follow your jurisdiction’s laws for overdue rent

Each state and territory has laws that outline how to address overdue rent. No matter where your investment property is located, there are processes to follow to resolve this type of conflict with tenants, that you need to follow the correct timeline and advise the tenant of their rental arrears using the correct forms from your relevant tenancy authority. If you issue a breach notice to your tenant and they still don’t pay the rent owing, you may need to terminate the tenancy.

Just like issuing a breach notice for overdue rent, you must follow the timelines and use the correct forms for terminating a tenancy. Remember, the tenancy doesn’t officially end until the tenant vacates the property and returns the keys. If they refuse to vacate, you will need to have the matter heard at the relevant court or tribunal.

Determine if an issue is a breach or illegal activity and act accordingly

When a tenant breaches their rental agreement, it means they’ve not followed the agreed terms. Breaches may include issues such as not paying rent, subletting the property, or making significant changes, such as knocking down a wall. In these instances, you need to issue a breach notice telling the tenant to rectify the issue or evict them. The rules differ in each jurisdiction, so speak with your property manager to understand your rights if a tenant breaches their agreement.

Landlords have the right to evict a tenant without notice for illegal activity. Examples of illegal activity that can be grounds for eviction include dealing or growing illegal drugs, abuse, harassment, or domestic violence, and storing stolen goods at your property. Make sure any unlawful activity is reported to the police so they can resolve it.

Find quality tenants to prevent conflict with tenants

Of course, the best way to avoid conflict with tenants at your investment property is to find a quality tenant in the first place. Your property manager should be able to help you through this process, first by making sure your property is attractive to good tenants. This may mean listening to and actioning their recommendations for improvements, such as replacing the carpet and painting the walls. Similarly, once you receive applications, your property manager will need to complete thorough due diligence to make sure the tenant will look after the place and pay their rent on time.

When a tenant does something illegal at your property or stops paying the rent, it can be incredibly stressful. Following the steps outlined in your jurisdiction’s tenancy laws will ensure you issue and manage any breaches legally to fix the problem as soon as possible. And, where possible, make sure you work with your property manager to find a quality tenant to reduce the risk of issues occurring in the first place.

Our team at AMKAR Real Estate is expert in property management and can assist with preventing and managing tenant issues that arise, contact out friendly team here

Remember, this article is general in nature and is not financial or legal advice. Please consult your professional financial and legal advisors before making any decisions for yourself.