Identifying and handling tenants involved with illegal drugs

Chape of house filled with mixture of drugs

Discovering that your rental property has been turned into a Breaking Bad-style drug lab ranks pretty high on every landlord’s list of worst-case scenarios.

However, a growing number of criminals are indeed choosing to run illegal drugs through rental properties, making it important that landlords know the signs to look out for.

While some large-scale drug manufacturing operations may need a lot of space, many can easily be set up within a domestic property’s garage, loft, or basement – sometimes, small-scale operations are even run from the kitchen table!

It’s naïve to believe it’ll never happen to you, even if you have the most meticulous tenant screening process. Unfortunately, not every drug addict carries a joint behind their ear, and few criminal masterminds dress like gangsters. Most criminals will go to great lengths to appear respectable and avoid attracting suspicion when looking for a property to rent, so landlords need to keep their wits about them!

In this article, we’ll provide practical advice and tips to help landlords ward off criminals and quickly detect signs that tenants may be involved in illegal drug activities. Being informed about these things can help avoid becoming entangled in difficult situations and minimise risk to your rental business and the local community.

The law, illegal drugs, and rental properties

If you’re a landlord, you are responsible for ensuring that, to the best of your knowledge, the property you rent out is not used for any illegal activities.

If you were to look the other way and knowingly allow tenants to use, store, or produce illegal drugs at your rental property, then you could find yourself facing criminal proceedings.

The two main laws you need to know about are the Misuse of Drugs Act 1971 and the Anti-Social Behaviour Act 2003.

The Misuse of Drugs Act 1971

According to the Misuse of Drugs Act 1971, it is an offence for a landlord to knowingly permit any of the following activities to take place on those premises:

(a) producing or attempting to produce a controlled drug

(b) supplying or attempting to supply a controlled drug to another

(d) smoking cannabis, cannabis resin or prepared opium.

Landlords who fail to comply can face severe consequences, such as the confiscation or forfeiture of their property, a substantial fine, or imprisonment for up to 14 years.

The Anti-Social Behaviour Act 2003

Illegal activity involving drugs can often lead to other problems within the community, including violent and anti-social behaviour. According to the Anti-Social Behaviour Act 2003, landlords have a duty of care to ensure their tenants don’t cause problems for the wider community.

This law gives the police and the local council the power to close down rental properties using a Closure Notice or Closure Order if they are associated with the production, use, or supply of class-A drugs and are causing serious nuisance or disorder.

These laws highlight the seriousness of ignoring a tenant’s involvement in illegal drugs. If you suspect or have been tipped off that tenants may be using, storing, manufacturing, or dealing illegal drugs from your rental property, then you must take immediate action. Doing nothing could have legal and financial repercussions and ruin your reputation as a responsible landlord.

The detrimental effects of illegal drug activities on landlords and neighbourhoods

If illegal drugs are being manufactured or dealt by tenants living in your rental property, it could significantly impact you and your rental business. Aside from the fact that you could find yourself at risk of facing fines and criminal proceedings, dealing with this kind of situation can also be very expensive and stressful.

First off, if tenants are using your property to manufacture or grow illegal drugs, there is a much greater risk of a fire, explosion, flood, or toxic contamination breaking out at the address. Imagine dealing with the aftermath of a police raid, or worse, the damage caused by the drug operations themselves. If your property is significantly damaged, you can say goodbye to rental income while it’s being repaired. And if the property is shut down using a closure notice or closure order because of anti-social behaviour, that’s more rent down the drain.

But financial losses are only part of the headache. You may also have to deal with complaints from the neighbours, not to mention the blow to your reputation as a trustworthy landlord. And if you’re forced to evict the tenant, you’re looking at even more lost rent during the eviction process. Finally, to top it off, you can expect your landlord’s property insurance premiums to rocket.

However, it’s important to remember that you are not the only person who would suffer as a result. Living next door to or near a property where criminal activities are carried out can be unpleasant, disruptive, and worrying. The manufacturing, growing and dealing of illegal drugs harms society and can directly impact the local community within which it is being carried out. Tenants who are involved in manufacturing or dealing drugs may have lots of different people coming and going from their house at all times of the day and night. These comings and goings often bring noise, violence, and other anti-social behaviour to the neighbourhood. This can negatively impact the neighbourhood’s reputation, reduce the quality of life for those living there, and bring down property values within the area.

Understanding the broad impact of illicit drug activities demonstrates the importance of being vigilant for the sake of both your investment and the community it’s located within.

What are the telltale signs that tenants may be using a rental property for illegal drug activities?

Usually, if a tenant is using a property for illegal drug activities, there are telltale signs that give them away. While being oblivious to what your tenant is up to may protect you from criminal charges, it won’t shield you from the aftermath of damage and financial losses if your property becomes the backdrop for a secret drug lab, cannabis farm, or drug-fuelled parties.

While the red flags can differ depending on the specific illegal activity the tenant is carrying out, certain behaviours should set off alarm bells. For example, if your tenant seems overly secretive or resistant to you visiting the property for routine inspections or maintenance, you should ask yourself, are they trying to hide something? Equally, if you turn up at the property and locks have been installed on inner doors or windows are blacked out, you should question what your tenant doesn’t want you to see. Other common signs that something isn’t quite right include the tenant rarely staying at the property and lots of cash lying around inside.

Now we know some of the most common signs that something is awry, let’s look at the signs that could indicate particular activities relating to illegal drugs.

Signs tenants are growing cannabis

Cannabis plants require very specific conditions for optimal growth. If tenants are growing cannabis at your rental property, there are often unmissable clues to indicate this.

It smells of cannabis – Perhaps the biggest giveaway is a persistent smell of cannabis emanating from the property.
The lights are constantly on – Cannabis plants require a lot of light to grow. Fluorescent lights or high-intensity discharge grow lamps are usually used around the clock. So, if you notice an unusual glow coming from your property at all hours, this could be a sign of a grow operation.
Blacked-out windows or drawn curtains – If the windows are blacked out or the curtains are permanently closed, this could be to conceal what’s inside and control the light environment for the plants.
Very high energy usage – The equipment needed to grow cannabis, especially the lighting and ventilation systems, uses a lot of electricity, so look out for a sudden or consistent spike in energy usage.
Humidity – Cannabis requires high humidity levels for optimum growth. This excessive moisture can cause visible damage to the property’s interior. Look out for excessive condensation and peeling paint or wallpaper.
Ducting tubes – Sometimes, ducting tubes, like those used for tumble dryers, are used to vent the hot and humid air generated by growing equipment.
Tampering with electrical wiring – Electrical wiring is often tampered with in illicit grow operations to bypass energy meters or support high-energy equipment.

Signs tenants are trafficking or dealing drugs

If tenants are using your rental property for drug trafficking or dealing, it doesn’t just spell trouble for you, the landlord; it can be disruptive for the whole neighbourhood. Here are some red flags that could indicate that your rental property is being used as a hub for drug deals.

High traffic – If you notice a revolving door of different people visiting the property for just a few minutes, this can be a key sign that drug deals are taking place.
Weapons on the premises – If you or a neighbour notice that the tenant owns a weapon, this can be a warning sign of dangerous illegal activities.
Loitering visitors – Reports of individuals frequently waiting in their cars or loitering around the corner from the property could indicate they are waiting to buy or sell drugs.
Lots of nocturnal activity – A lot of nocturnal activity and visitors late at night can be an indicator of drug use or dealing.

Signs tenants are synthesising illegal drugs

If your rental property is being used to synthesise illegal drugs, it can pose a serious risk to the property and surrounding areas. Recognising the signs allows you to act sooner rather than later.

Strong chemical smells – One of the first red flags is strong, unusual chemical smells, which can be hard to conceal.
Excessive use of air freshener – If your tenants are going very heavy on the air freshener, it could be an attempt to hide other smells.
Chemical containers – Look out for unusual chemical containers, canisters, or bottles that seem out of place in a residential setting.
Lots of over-the-counter medicine packaging – Over-the-counter cold medicines are sometimes used to produce methamphetamines, so an excessive accumulation of packaging for these medicines could be a sign they’re being used for something other than cold relief!
Chemistry equipment, syringes, and very small plastic baggies – Keep an eye out for objects that seem out of place in a home. This could include laboratory equipment like syringes, glassware, and tubing.

Signs that tenants are using illegal drugs

A tenant using illegal drugs at your rental property poses several risks and can be a real cause for concern. You may worry about your tenant’s health and safety and how regular drug use could affect your property, rental income, and the local community.

Tenants with drug problems pose a financial risk as they could lose their employment over drug use and wind up not being able to pay their rent. They may also have unsavoury associates, be up all hours, and upset the neighbours with anti-social behaviour. If your tenant’s drug habit gets out of hand, it could become very expensive for them to sustain, resulting in late or missed rent payments.

It can be difficult to identify the signs that a tenant is using drugs behind closed doors; some signs to look out for include the following.

Drug paraphernalia – If you notice drug paraphernalia within the property, then this is the most obvious sign that your tenant is using drugs. Look for bongs, pipes, syringes, rolling papers, and small plastic baggies.

Financial strain – If your tenant seems to be having financial difficulties and is regularly late paying rent or is in and out of employment, this could indicate that something is not right.

Unusual hours – Tenants who seem to keep unusual hours, often have visitors around until the early hours, and whose nocturnal activities are provoking complaints from the neighbours could be up late partying and using drugs.

Cannabis smell – Cannabis has a very distinctive smell, which can be difficult to mask. If you smell it at the property, this is a clear sign that it is being used onsite.

Tips for safeguarding your rental property against illegal drug activity

Illegal drugs are used by people from all walks of life, with many people concealing their habits very well. It is impossible to eliminate the risk of inadvertently leasing your property to a tenant who uses or deals drugs. However, you can take some proactive steps to minimise the risk and protect your property.

Screen, screen, screen – Ensure you have a thorough tenant screening process. Always meet potential tenants face to face, take copies of their ID, and carry out background, credit, and reference checks. Some experienced criminals use a ‘front couple’ to pose as potential tenants and pass all screening checks. After the keys have been collected, this couple disappears, and the criminals move in. Always listen to your gut if something doesn’t feel right about a potential tenant.

Routine property inspections – Make it clear from the outset that you conduct regular property inspections. This allows you to monitor the property’s condition and may deter those considering renting the property for illicit activities.

Beware of those paying rent upfront – If a potential tenant wants to pay a large lump sum of rent upfront, this could be a red flag, especially if they’re not in stable employment. If the tenant appears to have a valid reason for wanting to pay an upfront sum, make sure you still go through the screening process.

Enhance property visibility – Tenants planning to participate in illicit activities usually prefer properties with some privacy. Installing security lighting or cameras and trimming back trees or shrubs can make your property less attractive to criminals.

Communicate with neighbours – Other people living in the neighbourhood will likely be aware of any issues long before you are. Establish open lines of communication with your property’s neighbours. Exchange contact information and encourage them to reach out if they notice any suspicious activity.

Monitor vacant properties – Properties that stand empty for long periods are vulnerable to criminals. Take steps to minimise void periods at your rental property and check in at the property regularly if it is empty.

Include a clause in your tenancy agreement – Include a clause within your tenancy agreement that explicitly prohibits the unlawful possession, use, manufacture, or distribution of controlled substances on the premises. This sets clear legal boundaries and provides you with grounds for action should any issues arise.

Landlord Insurance – Make sure you have comprehensive landlord insurance covering criminal or drug-related scenarios. A robust landlord insurance policy can provide invaluable financial protection against damage to your property, loss of income due to illegal activities, and potential legal fees associated with evicting tenants involved in criminal behaviour.

What to do if you suspect your tenant is involved in illegal drugs

If you become suspicious that a tenant may be involved in illegal drug activities, it puts you in a tricky situation. The best course of action depends on the seriousness of the problem. It’s important never to put yourself in a dangerous position. If you have any concerns about your safety, you should always report the issue to the police first rather than try to tackle it yourself.

A minor issue could include a suspicion that your tenant occasionally smokes cannabis. If you otherwise have a good relationship with the tenant, you may consider addressing the problem yourself. A candid conversation followed by a formal written warning may resolve the issue without escalating to eviction. However, it is still advisable to notify the police to document your concern and action. If the tenant continues the illicit behaviour, you should seek legal advice and start eviction proceedings using a Section 8 notice.

If you have concerns that a more serious offence is being committed at your property, such as drug dealing or manufacturing, it is important to prioritise your safety above all else and avoid confronting the tenant directly. Instead, you must report your suspicions to the police so that they can investigate and take appropriate action. You should also start gathering evidence as soon as you become suspicious. This could include complaints from neighbours and other tenants, police crime numbers, and evidence of property damage.

The potential risk of inadvertently renting out your property to tenants involved with illegal drugs is a daunting one. However, armed with the right knowledge and strategies, landlords can effectively safeguard their rental properties against illegal drug-related activities. By rigorously screening tenants and proactively safeguarding your rental business against criminal activity, you can protect your property, rental business, and the wider community.