Buy Caravan Park in Australia

The Importance of Being Strict with Tenants when you buy a Caravan Park in Australia

When you purchase a Caravan Park you most likely will take over a few tenants that live permanently in the Caravan Park. Your permanent customers will be retirees and people that work in the area and as you move into the Park your tenants will be sizing you up and getting a feel for how you will handle the rental roll and manage the tenants.

As you enter any business with current customers it’s a natural reaction to try to win your customers over and be everyone’s friend. You may allow one tenant to skip a payment or keep a messy plot area but the risk is that other tenants will take notice and you will be left in a weak position.

Its really important to set the tone from the beginning. Show the tenants that you are a fair owner but also consistent and strict in regards to payment and managing the rental roll. Once you let payment slip its very difficult to get the renter to catch up.

If you take over a Caravan Park in Australia and the previous owners have been more lenient it’s advisable to place a correction in writing to cover yourself legally. The letter should describe that they may have had allowances in the past however these will no longer be given and all tenants need to keep their payments up to date at all times or they will be charge late fees and eviction notices.

Setting rules tells your difficult tenants that you are not push over and it will make your good tenants happier. People get upset when others are able to take advantage of the system.

It’s great to develop good respectful relationships with your tenants. You will want to have their help when needed and tenants will have an abundance of information about the Caravan Park and the areas that need improvement.

Leave a Reply

Your email address will not be published. Required fields are marked *