Why Good Tenants Matter More Than Full Units

Quick Summary:

• Bad tenants cost more than vacancies ever will.

• Keep your screening standards high—always.

• Use incentives to attract great tenants without lowering the bar.

• When buying a property, always look past the rent roll.

• Trust is earned, not given—and keeping it takes discipline.

Vacancy is scary. No landlord enjoys staring at an empty unit while bills stack up. And when your phone finally rings, it’s tempting to convince yourself that this next applicant—the one with spotty income, no landlord references, and a vague story—might just work out.

That’s the trap. And if you fall into it, you’ll wish you hadn’t.

The Real Cost of a Bad Tenant

You’re behind on your mortgage. Your unit’s been vacant for weeks. And someone shows up—credit’s not great, income’s iffy—but they say all the right things. You want to believe them.

But here’s what you’re really signing up for:

• Missed rent

• Excuses every month

• Damage to your property

• Late-night stress

• Legal headaches

• Thousands of dollars gone

A landlord once took in a tenant fresh out of a bad relationship, backed by a housing voucher. She was trying to get back on her feet. It felt like the right thing to do. But for two years, it was a mess—constant late payments, financial chaos, poor spending habits, and nonstop drama. She wasn’t a bad person. She was just in no shape to be someone else’s responsibility.

Desperate people do desperate things. It’s not personal. But if you let them into your building, their problems become your problems.

What Makes a Tenant “Good”?

Good tenants don’t just pay rent—they protect your building, your sanity, and your time. They’re the ones who keep things quiet, clean, and conflict-free.

Here’s what to look for:

• Credit score of 650+

• Verifiable income (3x monthly rent)

• No evictions in the past 5 years

• Strong landlord references

• Clean or explainable background

And above all: consistency. Every applicant gets the same process, no shortcuts, no gut decisions. You don’t owe anyone a chance just because they ask.

Trust is earned, not given.If someone’s going to live in your building, they need to prove they’ll treat it—and you—with respect.

Lower the Rent, Not Your Standards

If your unit won’t rent, the answer isn’t to lower your screening bar—it’s to adjust the deal, not the standards.

Try:

• Dropping the rent slightly

• Offering first month free

• Flexible move-in dates

• Reduced deposits for strong applicants

Great tenants have options. They won’t overpay. If your place has been sitting for more than a month in peak season, your price may be too high for the kind of tenant you actually want.

Vacancy vs. a Bad Fit: Do the Math

Let’s say you lose $2,400 on two months of vacancy.

Now imagine this:

• 2 missed rent payments: -$2,400

• Legal fees for eviction: -$1,500

• Damage to the unit: -$2,000

• Your time, energy, and sanity: gone

Total cost of a bad tenant? Easily $6,000–$10,000—and that’s if you’re lucky.

A vacancy today could prevent a costly disaster tomorrow.

Buying Rentals? Look Past the Rent Roll

When sellers list a building, they often:

• Hike the rents

• Offer fake incentives

• Fill units with anyone who’ll say “yes”

It looks like a cash-flow machine on paper. But once you take over, you might discover:

• A tenant paying $1,100 was at $750 until last month

• They’re already looking to leave

• Others can’t afford their rent and start falling behind

• New tenants were never properly screened

Just because a building is fully occupied doesn’t mean it’s fully functional. If you buy based on fantasy rents, but can’t maintain them with quality tenants, you’re buying someone else’s exit strategy.

Keep the Right People

Once you’ve landed great tenants, keep them.

• Handle repairs fast

• Communicate clearly

• Respect their space

• Renew leases with fair terms

Retention is the cheapest, easiest path to long-term success. Great tenants are worth hanging onto.

Use the Tools That Make Life Easier

You don’t have to do it all manually. A few simple tools can protect you:

• Screening services like RentPrep, TurboTenant, or Avail

• Online applications with automated background checks

• Digital leases and rent collection platforms

Consistency matters—and tools help you get there.

Final Takeaway

Anyone can fill a unit.But building something sustainable takes discipline.

Bad tenants are easy to find and hard to remove.They cost you money, time, and peace of mind.

Vacancy might feel like a loss—but compared to a bad tenant, it’s a gift.

A fully occupied building is worthless if it’s full of problems. Lower rent. Offer perks. Adjust the lease. Just don’t lower your standards.

Vacancy is always better than bad tenants—every single day of the week, and twice on Sunday.