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Don't Lose Your Shirt With Your Rental Property

By Helena Sandmin

It seems that your prospective tenant is just what you're looking for. He says he'll deliver the rent to you in cash each month, and isn't overly concerned with the amenities in the home. Everything you ever wanted, right? Wrong. You should recognize things like those to be giant warning signs.

Rental units being used for marijuana grow ops in Canada have become an increasing problem. If a tenant puts together a grow op in a residential unit, the home can sustain significant damage. The simple solution for someone like this is to commit these crimes on someone else's property.

Many growers keep dangerous weapons in the home in order to protect themselves from other criminals. The risk of fire is greatly increased when wiring is tampered with, and hydro meters are bypassed. Marijuana plants require a lot of water, resulting in high levels of humidity and mould.

Generally, if your tenants have caused this damage, your insurance will not protect you. Sadly, your property could be mouldy, unsafe, gutted, or possible destroyed completely due to a fire.

What can a landlord do to protect themselves from tenants that are looking to use the property for an illegal grow operation?

Screening your tenants is very important, so do this carefully. A rental agreement is important, but if you don't follow up and contact the prospective tenant's former employers and landlords, it could be disastrous for you.

Make sure they show you proper identification. Write down their information from the ID. Inform them that monthly inspections of the home's exterior will be done. In addition to this, tell them you will be doing interior inspection occasionally after giving them written notice. When tenants know that each month you will be showing up to collect the rent cheque, the unscrupulous tenants will probably look elsewhere to rent.

Advise them that you know your neighbours. Make the tenants aware that you talk to the neighbors often. When tenants are aware that the neighbors will be talking to the landlord, criminal-minded tenants will probably move on to a different rental. Be at the home on the date when the tenants are moving in. If you do this, you will be able to ascertain if they are truly moving in, and can go over the rental agreement once again with them.

Recognizing red flags

You should be wary if:

Cash is how the tenants prefer to pay rent. And if they offer you more rent than you're asking for, consider it a warning sign that something may be fishy. They're more interested in the electrical panel than in the layout of the home. If this is the case, they could be planning how they're going to alter the wiring to handle several 1000 watt bulbs. Being suspicious can be helpful in this situation.

The tenant has no job, but has a pricey vehicle. If a tenant takes possession of the unit, regular inspections of the home's exterior could show you if a grow op is in operation, and if you catch if quickly, less damage will be done than if you miss the signs.

These are signs you should look for:

Windows covered with black plastic, bed sheets, or heavy curtains that are drawn tightly shut, and are pressed up against the windows. Look for excessive condensation on the windows.

Odours coming from the home, possibly skunk-like or chemical in nature.

The sound of equipment humming all the time, like fans or ventilation.

Many visitors to the home, late at night especially.

Garbage or equipment, such as bedding plant pots, discarded potting soil, piping, or wiring lying about the yard.

Any unusual changes to the home's hydro meter.

Signs indicating there is a guard dog on duty.

You could end up having to spend an incredible amount of money to restore the home, and insurance may not cover you, so beware of the signs of this dangerous activity. Protect yourself from devastating losses before they happen.

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