Prevoius seller collected first and last month's rent
I purchased a rental property 3 years ago. Now, the tenant has moved out. He said he paid first and last month's rent when he initially moved in and is demanding the last month rent back since he doubled paid.
When I bought the property, there was no mention that the last month's was already collected. That amount was never adjusted for during closing.
What should I do in this situation?
Most Popular Reply
I'd start by asking for proof that first and last month's rent was actually paid. If he can prove it, then either you or he has a case against the seller. I'll let the legal eagles say which one of you has to eat it and then go after the seller. I suspect it might by you.
This is like closing the barn door after the horses are gone, but for the other readers who want to prevent this from happing to them, get a signed estoppel from the tenant prior to closing. The estoppel is a form where the tenant confirms the terms of their lease. If this tenant had signed an estoppel saying that they paid a security deposit only, then they'd have no case to raise a claim for last month's rent now.