Seller asking for November rent from tenant after closing

Seller asking for November rent from tenant after closing

Member since 2024 · 1 post · 0 votes

Hi guys,

We are kind of a unique situation. My wife and I recently purchased a duplex (first house) and are currently house hacking and happened to have a tenant already renting. The owners of the duplex hired a property management company to manage the duplex but for their leasing agreement, they amended the leasing agreement so that the tenant would pay on the 25th, instead of the first. The sellers credited us with the security deposit and about $900 for rent (tenant pays $1200). The $900 credited to us was under the addendum under Tenant prorated rent received.  Apparently, the sellers never disclosed to us that the rent that the tenant was paying was for the previous month (back paying), instead of paying for the month ahead (forward paying). Because of this, they are requesting that the rent that is due on November 25th, should go to them directly from the tenant, so that they would get their third of rent. If we were to do this, they would net $300, and us $900 for the month since we closed on the 6th, meaning it would be an equal split. The kicker is that they never disclosed this to us previous to closing on the house, and they requested this a week later (today).  Our concern is that at the end of lease, the move out day will be the same day that rent is due, the tenant could refuse to pay that months rent and we would have to keep the security deposit. We would need something legally showing that the tenant is back paying to justify keeping the security deposit in this case. 

My question to you guys, is what would you do? Is this a moral question of doing the right thing? Should we request from the seller that the tenant is actually back paying rent show that on a legal document? 


We are for sure NOT going to have the tenant pay the previous owners directly, but instead pay us and we will make our decision from there.

Thanks!

0Reply
32 views

Most Popular Reply

Real Estate Agent · Tooele, Salt Lake City UT · Member since 2020 · 136 posts · 54 votes
1y

You're absolutely right to keep the tenant paying you directly, as you’re now the property owner. To protect yourselves, ask the sellers for written documentation confirming that the tenant is back-paying. This can safeguard you at lease-end if the tenant refuses to pay the final month’s rent, as you’d have a legal basis to keep the security deposit. You might also consider talking to the tenant about shifting the rent due date to the first of the month to avoid future confusion and align with typical forward-paying leases. As for the sellers’ request, if you’re open to it, you could pro-rate the November rent and split it as they’re asking, but only after the tenant pays you directly. Ultimately, this isn’t just a moral question; it’s about ensuring clear, documented terms to avoid issues down the line.

See this reply in the discussion

5 Replies

Jump to latestLatest
  • Real Estate Agent · Tooele, Salt Lake City UT · Member since 2020 · 136 posts · 54 votes
    1y

    You're absolutely right to keep the tenant paying you directly, as you’re now the property owner. To protect yourselves, ask the sellers for written documentation confirming that the tenant is back-paying. This can safeguard you at lease-end if the tenant refuses to pay the final month’s rent, as you’d have a legal basis to keep the security deposit. You might also consider talking to the tenant about shifting the rent due date to the first of the month to avoid future confusion and align with typical forward-paying leases. As for the sellers’ request, if you’re open to it, you could pro-rate the November rent and split it as they’re asking, but only after the tenant pays you directly. Ultimately, this isn’t just a moral question; it’s about ensuring clear, documented terms to avoid issues down the line.

  • Drew SygitBusiness Member
    Property Manager · Royal Oak, MI · Member since 2012 · 12k+ posts · 9k+ votes
    1y

    @Noah Schulz what does the lease state about payment and what period the payments cover?

    If not covered by the lease, why didn't the seller provide you a lease addendum about this ahead of time?

    If it's not in writing, it's unlikely to be true.

    Even if true, the seller didn't disclose it, so their ethics are questionable.

  • Wale LawalBusiness Member
    Real Estate Broker · Houston | Dallas | Austin, TX · Member since 2018 · 5k+ posts · 2k+ votes
    1y

    @Noah Schulz

    The previous owners' failure to disclose a back-paying arrangement complicates the situation, potentially leading to tenant disputes or security deposit concerns. To address this, request documentation, update the lease, address rent payment, consult an attorney, and maintain a positive tenant relationship by communicating clearly. Consult a legal professional to abide by local laws.

    Good Luck!

  • Adam BartomeoBusiness Member
    Real Estate Broker · Cape Coral, FL · Member since 2015 · 2k+ posts · 1k+ votes
    1y

    It sounds like you and or your agent may not have done your full due diligence. Same thing on their side, they should have had this written in the contract. If the rents were collected after closing and they were not addressed in the sale, then you shouldn't have a legal obligation to give them anything. I would ask myself if the money really belongs to me or not, despite the legalities. If it doesn't then I would give the previous owner their portion.

  • Theresa HarrisPro Member
    Member since 2019 · 15k+ posts · 11k+ votes
    1y

    So the seller is essentially saying the tenant is paying 25 days late each month with their permission. I find that hard to believe.  I'd tell them that they signed the sales contract and rent is always paid in advance, so they are out of luck.  I'd also talk to the tenant as there is no way a landlord, especially a property management company, would let anyone move in without having paid the first month's rent.

Join the conversationCreate a free account to reply, vote on answers and follow this thread.