How to Deal with Tenant Complaints & Conflict as a Landlord

Appfolio Websites • October 23, 2020

Dealing with Tenant Complaints & Conflict as the Landlord

When you serve as a landlord, your relationship with your tenants is incredibly important. You have a lease in place that governs the relationship, which is helpful. But, lease aside, you still must do what’s necessary to ensure your relationship thrives.

There are other relationships at your properties that are just as important and often far more complex than the tenant-landlord relationship, those between and among your tenants. Do you ever wonder how to deal with tenant conflicts as a landlord? You’re not alone. 

It would be nice if there were one magic recommendation to be made about how to handle tenant disputes with other tenants, but those disputes can be among the most challenging situations you can encounter when managing a rental property.

The first step is always to discern who is creating the issue. That’s not to say you can just hold one person accountable for tenant conflict in a multi-unit building. Rather, handling tenant issues with other tenants is a sensitive task, one you can only master over time. When you have a challenge with a tenant disturbing other tenants, or a similarly challenging tenant-tenant relationship problem, here are some ideas for resolving the conflict.

Address Everyone Involved in the Tenant Conflict

Once you’ve figured out who is causing the problems, the tendency may be to single that person out and chastise them like or impose requirements for changing their unruly behavior. But that’s not often the best course of action, even though it’s likely the most obvious. Instead, you must always address all parties involved, even if the culpability isn’t evenly spread out.

Why is that? Because tenant relationship problems often boil down to the age-old “he said, she said.” Or it may be a case of one tenant saying, “He did this!” while the other tenant is saying, “But she did that!” 

Truly, it can be one of the most aggravating situations to find yourself in as a landlord. But even after you make an internal determination as to who is at fault, you still must address both parties. Singling out just one party is only going to make that individual or group come to resent you, which can often lead to conflict between landlord and tenant. But telling both parties to stop what they’re doing makes no one feel truly at fault. 

Make sure to appeal to each person’s superiority. Something along the lines of, “Hey, I know the other party is doing this, but I’m counting on you to …” is always a good approach to take. Also, make sure they understand living in a multi-family building means living in close quarters, and it’s not good for anyone to live with such conflict hanging over their heads.

What Can Be Done Legally in a Tenant Dispute?

Adding to the frustration of tenant issues with other tenants is that there's rarely ever a legal remedy. That's right — you're most likely on your own to come up with a solution. This is because: 

  • The state of Pennsylvania and almost all other states have processes and regulations that govern how and when a landlord can evict a tenant. 
  • Even in the most severe cases of tenant-tenant conflict, you'll rarely have the evidence needed to satisfy legal standards for eviction. 

Remember how we mentioned most conflict falls into the “he said, she said” category? That's part of the problem. Most evictions are related to easily provable situations. For example, the tenant didn't pay rent for three months. That's a lease violation, and one that can trigger the start of the eviction process. It's not so simple when a tenant is disturbing other tenants.

And the last thing you want is to get into some sort of legal challenge or extended legal disagreement. Is a landlord responsible for tenant behavior? In legal terms, it’s a little murky. But in practical terms, a landlord is responsible because the legal system can’t be counted on to govern tenant behavior. 

Practical Management Over Legal Action

When you manage a rental property, you’ll often find a practical approach to management trumps all. You’ll be tempted to take a legal approach in some situations, but you’ll discover a practical approach is far more effective and far more natural once you gain experience in operating a property and regularly dealing with its residents. 

Experience matters in these cases. Very few property owners enter into rental property management with a preternatural understanding of practical management. In fact, the tendency as a new landlord is to focus on legal rights — which is normal and understandable in the absence of experience. But, over time, as you deal with how to manage fighting tenants and other issues, you’ll begin to develop that deeper understanding of practical management, and you’ll find that a practical approach naturally emerges over time.

That’s not to say you shouldn’t pursue legal remedies in the most severe cases. But focus on practical management first, and you’ll find it’s far more effective than anything else you can do.

Become an Unbiased Mediator of Complaints and Conflict

Here’s one final thought on how to deal with tenant conflicts as a landlord. Never get swept into the conflict and placed in the middle. Set yourself up as an arbiter, an independent and unbiased third party who wants nothing but the best for all involved. When you choose sides or start mediating the “he said, she said” aspect of a conflict, you’ll find yourself swept into a never-ending back and forth that will drive you crazy without leading to a solution.

Again, take the firm-but-compassionate approach of telling both parties to knock it off from the start. Flatter each party when you can. This will engender goodwill and help spark a resolution. To the extent you can change the circumstances around the conflict, go for it. But most conflict isn’t so easily remedied with a change in circumstances.

Let Us Handle Your Tenant Vs. Tenant Challenges

Yes, a practical management approach takes experience and naturally emerges over time. But not all property owners want to take a hands-on approach to mediating tenant conflict. That’s why choosing an experienced management partner can be such an attractive option.

At Harrisburg Property Management Group, we provide comprehensive rental property management services. We take care of everything related to your property, from leasing to repairs and maintenance to mediating tenant conflict — and, when necessary, evicting tenants. Let us help you make the most of your investment in a rental property.

Contact us today about property management services from Harrisburg Property Management Group.


By Ryan Colquhoun • October 25, 2026
Whether you are selling your rental property to reinvest in another rental or put the money away in a retirement fund, you are likely hoping to walk away with capital gains. Capital gains are the profit resulting from the sale of an asset, particularly your investment property. In this article, we explain the types of capital gains, their tax implications and strategies for effectively managing them. For Harrisburg and Central Pennsylvania landlords, understanding capital gains on the sale of their rental property is critical to ensuring a profitable sale. The Two Types of Capital Gains There are two types of capital gains calculated on rental properties. Short-term capital gains apply to assets held for a year or less, and they are often taxed at the standard income tax rate. Long-term capital gains, on the other hand, apply to properties owned for more than a year and enjoy a preferential federal tax rate of up to 20%, depending on your taxable income. The longer you hold your property, the higher the chances of paying a lower capital gains tax. Calculating Your Rental Property's Gain To calculate the gain on your rental property, the first consideration should be the original cost basis. This is the initial cost of acquiring the property, including the purchase price, closing costs and any non-deductible expenses incurred during purchase. With the original cost basis, you can then calculate the adjusted basis. The adjusted basis is the original basis plus the cost of major improvements to the property that enhance its value or extend its useful life. If there are any reductions to the basis, factor them into the adjusted basis. The reductions could include casualty losses, easements granted and any depreciation allowable or taken. For example, if you bought a property for $250,000 and incurred acquisition costs of $5,000, your initial cost basis is $255,000. If during your ownership, you replaced the roof, added a deck and renovated the kitchen for a total of $45,000, these would be your capital improvements. For the sake of our calculations, let us consider a $30,000 depreciation taken. Step 1: Calculate the Net Sales Price Calculate the net sales price by subtracting your selling expenses from the gross sales price. If you are selling the property for $380,000 and incurred selling expenses of $20,000, then your net sales price would be $380,000 - $20,000 = $360,000. Step 2: Calculate the Adjusted Basis The adjusted basis will include your capital improvement and the original basis minus the depreciation claimed. According to our example, the adjusted basis is $255,000 + $45,000 - $30,000 = $270,000. Step 3: Calculate the Capital Gain For the capital gain, you will need to subtract the adjusted basis from the net sales price: $360,000 - $270,000 = $90,000. Decoding Depreciation Recapture Depreciation is the amount the IRS allows you to deduct each year for normal wear and tear, while recapture is the portion of that amount you must repay. If you sell your rental property for more than your adjusted basis, then the government will want to recapture the tax break it gave you during your ownership. Tax recapture applies even to depreciation allowable, not just taken. This tax is often subject to a special federal rate of up to 25% , but not more than your income tax rate. In our example, your total depreciation is $30,000. We will multiply it by the 25% to get the total recapture tax of $7,500 that the government will recoup. Federal vs. Pennsylvania Capital Gains Tax The federal government taxes capital gains at rates of either 0%, 15% or 20% . Your total taxable rate depends on your income bracket. For high-income earners, the government may also include an additional 3.8% net investment income tax. However, Pennsylvania has a different approach to taxes. Rather than taxing long- or short-term gains at different rates, the state applies a single standard rate to all net gains. The state doesn't charge a separate depreciation recapture, nor are there preferential rates. The state's 3.07% income rate applies to capital gains. Now, to calculate the total capital gains subject to tax, we don't start with the $90,000 because we have already calculated the $30,000 recapture. We start with the $60,000, which is the remaining capital gain. If you are in the 15% bracket, your tax would be $60,000 x 15% = $9,000. Add that to the depreciation recapture, and the total federal tax would be $9,000 + $7,500 = $16,500. For the Pennsylvania state tax, calculate the tax on the total gains. So, $90,000 x 3.07% = $2,763. Strategies to Minimize Capital Gains Tax While a capital gains tax is often mandatory, there are several strategies you can apply to minimize the total amount you have to pay. Timing your sale: Hold on to the property for at least a year. After a year, you are eligible for more favorable long-term capital gains. You can also align your sale with the year when you have a lower income to be in a lower federal tax bracket. 1031 exchange: If you reinvest the proceeds into a similar investment property, you can qualify for a federal deferment. This Section 1031 option allows you to defer both the capital gains and depreciation recapture taxes. You have 45 days to identify the replacement property and exactly 180 days to close. Convert to a primary residence: For two to five years before selling the rental, you may be able to convert it to a primary residence, allowing you to exclude up to $250,000 of the gain if single or $500,000 if married. However, do note that there are limitations, and you cannot exclude the depreciation recapture. Installment sale: You can also opt for the buyer to repay you in installments. This process enables you to spread the tax liability across those years, potentially keeping you in a lower tax bracket. Since the depreciation recapture is calculated in the year of sale, it will still apply. Avoid Common Pitfalls There are several pitfalls to watch for when working with capital gains: Ignoring state-specific rules: While federal laws apply nationwide, each state has its own unique laws that may affect capital gains or even exchange rules. Beyond federal laws, also investigate state-specific rules that apply to you. Inadequate record-keeping: Having accurate records is the best way to track expenses and improvements, making it easier to prove a higher adjusted basis. Poor timing: Selling without considering the impact on your tax bracket or market conditions may result in higher capital gains tax. Lack of professional advice: Whether federal or state-specific, tax laws are complex. Navigating them without professional help may make it easier to file the wrong form or even miss a due date. Partner With Harrisburg Property Management Group for a Smooth Sale Understanding capital gains on the sale of a rental property can help you navigate both federal and state-specific taxes. At Harrisburg Property Management Group, we are a comprehensive solution for landlords looking to sell a rental property in Central Pennsylvania and the surrounding areas. Our experience as a licensed real estate brokerage and property management company means we are there for you when you are leasing your property and when you need to sell it. We can help you conduct accurate property assessments that consider rental income potential and local market trends while streamlining the selling process. Contact our team and let us help you maximize the sale of your rental property. 
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