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Updated over 1 year ago on . Most recent reply

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Adah N.
  • Investor
  • Atlanta, GA
141
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Pay or Quit Notice When Lease is Active

Adah N.
  • Investor
  • Atlanta, GA
Posted

You serve them a Pay or Quit Notice, they quit. Lease specifies tenant is responsible for rent until unit is rented. Is tenant still legally responsible for rent until it is rented to next tenant or lease expiry? 

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Nathan Gesner
  • Real Estate Broker
  • Cody, WY
41,056
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Nathan Gesner
  • Real Estate Broker
  • Cody, WY
ModeratorReplied
Quote from @Adah N.
Is this not a good, effective, $0 cost way for tenants to get out of a lease? Stop paying rent, get pay or quit notice and simply quit? They wanted to quit anyway….
Yes, it's an excellent way to get rid of a Tenant! But you can't keep charging them for rent after you've forced them out.

You'll hear about "cash for keys" on BiggerPockets and it's a method taught by Brandon Turner. Unfortunately, it's used way more than it should be. It should be a last resort, or close to it.

I typically terminate a dozen or more leases every year. I start by giving them a written notice and demanding they leave by a certain date. The law requires I give them 30 days, but I sometimes give less and they sometimes comply. If they push back, then I give them the 30-day Notice to comply with law. If they still don't leave, then I file in court. Once they receive the summons for a court hearing, they pack their bags and disappear because they know I'm going to win the case.

I've managed hundreds of rentals for 13 years with thousands of Tenants and I have never had to pay any of them to get them out. 
  • Nathan Gesner
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