Skip to content
×
Try PRO Free Today!
BiggerPockets Pro offers you a comprehensive suite of tools and resources
Market and Deal Finder Tools
Deal Analysis Calculators
Property Management Software
Exclusive discounts to Home Depot, RentRedi, and more
$0
7 days free
$828/yr or $69/mo when billed monthly.
$390/yr or $32.5/mo when billed annually.
7 days free. Cancel anytime.
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
General Landlording & Rental Properties
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated about 3 years ago on . Most recent reply

User Stats

9
Posts
2
Votes
Benny Cash
  • New to Real Estate
  • MA
2
Votes |
9
Posts

Inherited a rental property with non-paying tenants

Benny Cash
  • New to Real Estate
  • MA
Posted

Hi all, Looking for tips on how to handle a situation in which a mixed-use property was inherited with three non-paying tenants who had been given permission by the now-deceased owner to occupy the property without paying rent.  The story goes that tenants were down on their luck and couldn't make their rent, so the owner allowed them to stay until they could get back on their feet.  The property has been neglected and is in now complete disrepair, likely in teardown condition, and is an enormous tax burden on the beneficiary who inherited the property (significant back-taxes owed, high annual property taxes, etc).  What is the cleanest way to remove the tenants at this point, given that they had received prior permission from the deceased owner to stay, so that the property can be cleaned up and sold?  Is it just a matter of knocking on the door and notifying the tenants that circumstances have changed?  Or is it better to find a more "hands off" approach?  Thanks for any thoughts!

Most Popular Reply

User Stats

28,071
Posts
41,075
Votes
Nathan Gesner
  • Real Estate Broker
  • Cody, WY
41,075
Votes |
28,071
Posts
Nathan Gesner
  • Real Estate Broker
  • Cody, WY
ModeratorReplied

Even if they were told they could live rent free, it's considered a verbal lease agreement which defaults to month-to-month. You can give them 30 days notice to vacate. If they refuse, you'll have to start the eviction process.

Since they are living there for free, there's no incentive for them to leave. You may consider paying them to get out. If you do that, don't pay until they're out and the locks are changed so they can't get back in.

  • Nathan Gesner
business profile image
The DIY Landlord Book
4.7 stars
165 Reviews

Loading replies...