Tenant Attempting to Break Lease Due to Heat

Tenant Attempting to Break Lease Due to Heat

Member since 2023 · 9 posts · 9 votes

Hello everyone,

I have a property located a little ways outside of the DFW metroplex (east). It is a duplex. I am having problems with a tenant, and their heating/cooling. For context, this duplex was built in 1900 and has original shiplap walls and ceilings, with a few rooms being dry wall. We did a full remodel on this property, installed new HVAC and fully insulated it. 

When the tenants moved in, the HVAC unit was not keeping up all day. It would start out at the desired temperature, but would slowly start creeping hotter to 82 degrees. It was never 80+ degrees for more than a few hours a day. For those of you who make not know, Texas has had an extreme heat warning from about the past month with heat reaching 100-111 degrees. On days that are 90-95 degrees, the unit keep up.

Since the issue started, these are the steps we have taken to address the issue:

1. Giving two portable A/C 14,000 BTU units on wheels which can be moved from room to room. 
2. Adding attic fans in the attic to reduce heat.
3. Adding 9 additional inches of insulation to the already insulated attic.
4. Adding door sweepers to better insulate the exterior doors.

5. 2 different HVAC companies have evaluated the units and have said that this is the best it can do given the excessive heat and older house. They have serviced the units 4 times in this 30 day window.

The utilities we have kept in our name and billed the tenants. We told them we would cover 45% of the electricity from this past month, as that was what we estimated their usage for cooling was on their unit. 

Despite our trying to accommodate them, they have been very ugly to us. I understand it is hot, but we have made every attempt to rectify the issue. We are going to install more soffit vents and roof attic fans to try and reduce attic heat. So we are still trying, but they have told us that they would like to be relieved from the lease agreement.

When they moved in, they paid 3 months of rent + deposit + pet deposit. They are a little over a month into the lease and are demanding their money back. In our lease agreement, there is an acceleration clause. If the tenant breaks the lease prematurely, they are in default. The remedy for tenant default in our agreement is the acceleration clause mentioned. All the rent becomes due effective immediately. 

They are threatening to take us to small claims court, because they are stating we violated the agreement. I have looked over the agreement, and cannot find anything which would indicate that.

I am looking for advice to how to handle this situation, and what their legal remedy would be for breaking this lease. It doesn’t seem to me like they have a case. However, I have never had this specific situation occur. Any advice or thoughts are welcome. 

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Honolulu, HI · Member since 2008 · 3k+ posts · 2k+ votes
3y
Aloha,

You have already gone FAR above and beyond, given the ambient temps. AC's can only reduce the temp by around 20 degrees from ambient. 

I would just let them out of the Agreement, charging for every day of occupancy, and cleaning/damages based on conditions found after they turn over the keys and possession. If they want to take you to small claims, let them. Just be sure you have every written communication from them regarding the AC (and any other issues), as well as your receipts for repairs and improvements as you have described.
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  • Honolulu, HI · Member since 2008 · 3k+ posts · 2k+ votes
    3y
    Aloha,

    You have already gone FAR above and beyond, given the ambient temps. AC's can only reduce the temp by around 20 degrees from ambient. 

    I would just let them out of the Agreement, charging for every day of occupancy, and cleaning/damages based on conditions found after they turn over the keys and possession. If they want to take you to small claims, let them. Just be sure you have every written communication from them regarding the AC (and any other issues), as well as your receipts for repairs and improvements as you have described.
  • Rental Property Investor · Boston, Massachusetts (MA) · Member since 2016 · 2k+ posts · 2k+ votes
    3y

    wow, sounds like you have done everything right. You may be better off saying "ok you may go, and if we find a good tenant in time I will refund your money."

    They might be using the heat as an excuse,  and its too expensive for them,in which case you will get a better tenant, and if they really can't hack it they will continue to give you trouble anyway. The threats can be ignored. 

    Only basing this on whats easier, and ultimately more profitable, for you. life is too short. Not sure the acceleration clause would stand up in curt but you (hopefully) no the local law better.

    They signed for three months paid one month and they are giving notice now, so you are talking one month total right? use it as a carrot to get them out. they only get the money after they leave everything in good order and you get a paying tenant.

  • Chris SeveneyBusiness Member
    Moderator
    Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
    3y
    Quote from @Jesse Collins:

    Hello everyone,

    I have a property located a little ways outside of the DFW metroplex (east). It is a duplex. I am having problems with a tenant, and their heating/cooling. For context, this duplex was built in 1900 and has original shiplap walls and ceilings, with a few rooms being dry wall. We did a full remodel on this property, installed new HVAC and fully insulated it. 

    When the tenants moved in, the HVAC unit was not keeping up all day. It would start out at the desired temperature, but would slowly start creeping hotter to 82 degrees. It was never 80+ degrees for more than a few hours a day. For those of you who make not know, Texas has had an extreme heat warning from about the past month with heat reaching 100-111 degrees. On days that are 90-95 degrees, the unit keep up.

    Since the issue started, these are the steps we have taken to address the issue:

    1. Giving two portable A/C 14,000 BTU units on wheels which can be moved from room to room. 
    2. Adding attic fans in the attic to reduce heat.
    3. Adding 9 additional inches of insulation to the already insulated attic.
    4. Adding door sweepers to better insulate the exterior doors.

    5. 2 different HVAC companies have evaluated the units and have said that this is the best it can do given the excessive heat and older house. They have serviced the units 4 times in this 30 day window.

    The utilities we have kept in our name and billed the tenants. We told them we would cover 45% of the electricity from this past month, as that was what we estimated their usage for cooling was on their unit. 

    Despite our trying to accommodate them, they have been very ugly to us. I understand it is hot, but we have made every attempt to rectify the issue. We are going to install more soffit vents and roof attic fans to try and reduce attic heat. So we are still trying, but they have told us that they would like to be relieved from the lease agreement.

    When they moved in, they paid 3 months of rent + deposit + pet deposit. They are a little over a month into the lease and are demanding their money back. In our lease agreement, there is an acceleration clause. If the tenant breaks the lease prematurely, they are in default. The remedy for tenant default in our agreement is the acceleration clause mentioned. All the rent becomes due effective immediately. 

    They are threatening to take us to small claims court, because they are stating we violated the agreement. I have looked over the agreement, and cannot find anything which would indicate that.

    I am looking for advice to how to handle this situation, and what their legal remedy would be for breaking this lease. It doesn’t seem to me like they have a case. However, I have never had this specific situation occur. Any advice or thoughts are welcome. 


     Let them break it, they are only going to create more problems. 

    I would also look into doing something to better insulate the property. If your rental is in the 80's I would be upset as well - even though you are having a heat wave. Fix the problem vs a bandaid. 

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  • Mackaylee BeachPro Member
    Real Estate Agent · Kansas City, MO · Member since 2020 · 1k+ posts · 492 votes
    3y

    It seems like you have made an effort to remedy the issue - there is not much you can do to change the weather conditions. Makw sure you have saved a timeline record of when every issue was reported and everytime you had someone come out. Always save all receipts and records of communication with the tenant.  It seems Iike they are being difficult and giving you a hard time - as long as you have the proper verbiage on your lease, I would not refund but allow them to break the lease. I would still follow the lease and complete a move out disposition - charging for anything seemed necessary. 

  • Nathan GesnerBusiness Member
    Moderator
    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    3y

    Let them go and only charge them for the month they occupied. Refund everything else. They won't sue and I can't imagine them winning if they did because you've clearly made an effort.

    Educate the next tenant in advance and this won't be an issue.

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  • Theresa HarrisPro Member
    Member since 2019 · 15k+ posts · 11k+ votes
    3y

    I'm sure there is something else going on.  You've done more than enough.  Let them out of the lease.  You can either have them pay for days stayed (up to the end or middle of the month, not a random date) or try to have them pay until it is rented it again.  Clearly these people are a pain, so I'd tell them they can give notice and move out in either Aug 31, Sept 15 or Sept 30 and are responsible for rent until that date...and get it in writing signed by both of you.  If down the road, they try to change their mind, tell them no.

  • Travis TimmonsPro Member
    Rental Property Investor · Ellsworth, ME · Member since 2021 · 1k+ posts · 2k+ votes
    3y

    Let them out of the lease and properly fix the problem. Get a heat pump/mini split or central AC. You're in Texas; A/C is more important than water. You need A/C that will keep the house in the 70s. Full stop, period, end of story.

  • Russell BrazilBusiness Member
    Moderator
    Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
    3y
    Quote from @Jesse Collins:

    Hello everyone,

    I have a property located a little ways outside of the DFW metroplex (east). It is a duplex. I am having problems with a tenant, and their heating/cooling. For context, this duplex was built in 1900 and has original shiplap walls and ceilings, with a few rooms being dry wall. We did a full remodel on this property, installed new HVAC and fully insulated it. 

    When the tenants moved in, the HVAC unit was not keeping up all day. It would start out at the desired temperature, but would slowly start creeping hotter to 82 degrees. It was never 80+ degrees for more than a few hours a day. For those of you who make not know, Texas has had an extreme heat warning from about the past month with heat reaching 100-111 degrees. On days that are 90-95 degrees, the unit keep up.

    Since the issue started, these are the steps we have taken to address the issue:

    1. Giving two portable A/C 14,000 BTU units on wheels which can be moved from room to room. 
    2. Adding attic fans in the attic to reduce heat.
    3. Adding 9 additional inches of insulation to the already insulated attic.
    4. Adding door sweepers to better insulate the exterior doors.

    5. 2 different HVAC companies have evaluated the units and have said that this is the best it can do given the excessive heat and older house. They have serviced the units 4 times in this 30 day window.

    The utilities we have kept in our name and billed the tenants. We told them we would cover 45% of the electricity from this past month, as that was what we estimated their usage for cooling was on their unit. 

    Despite our trying to accommodate them, they have been very ugly to us. I understand it is hot, but we have made every attempt to rectify the issue. We are going to install more soffit vents and roof attic fans to try and reduce attic heat. So we are still trying, but they have told us that they would like to be relieved from the lease agreement.

    When they moved in, they paid 3 months of rent + deposit + pet deposit. They are a little over a month into the lease and are demanding their money back. In our lease agreement, there is an acceleration clause. If the tenant breaks the lease prematurely, they are in default. The remedy for tenant default in our agreement is the acceleration clause mentioned. All the rent becomes due effective immediately. 

    They are threatening to take us to small claims court, because they are stating we violated the agreement. I have looked over the agreement, and cannot find anything which would indicate that.

    I am looking for advice to how to handle this situation, and what their legal remedy would be for breaking this lease. It doesn’t seem to me like they have a case. However, I have never had this specific situation occur. Any advice or thoughts are welcome. 


     The solution is simple here...you return all their deposits, let them move...and then you get your place fixed before you rent it to someone else. The temperatures you have the house at are completely unacceptable.

  • Theresa HarrisPro Member
    Member since 2019 · 15k+ posts · 11k+ votes
    3y
    Quote from @Travis Timmons:

    Let them out of the lease and properly fix the problem. Get a heat pump/mini split or central AC. You're in Texas; A/C is more important than water. You need A/C that will keep the house in the 70s. Full stop, period, end of story.


     Will AC be able to do that in the extreme heat that they've had?  There are limits to what they can do and from what the landlord wrote, they have had multiple people in who all say it is working, they've brought in portable units AND blown in extra insulation.

  • Member since 2023 · 9 posts · 9 votes
    3y
    Quote from @Travis Timmons:

    Let them out of the lease and properly fix the problem. Get a heat pump/mini split or central AC. You're in Texas; A/C is more important than water. You need A/C that will keep the house in the 70s. Full stop, period, end of story.


     Hi Travis,

    I value your opinion as we share the same state. We have a 2 ton central A/C unit on both sides of the duplex. One side is maintaining in the 70s, while the other is not. We offered them two rolling units as mentioned, and they have only accepted and retained one. I am certain the two additional rolling units, they could keep it in the 70s. 

    Note- this would not cost them more, because we are covering the estimated electricity usage for cooling right now. 

    However, based on this, it seems to me that are intensionally attempting to magnify the problem by not assisting in rectifying the issue.

  • Travis TimmonsPro Member
    Rental Property Investor · Ellsworth, ME · Member since 2021 · 1k+ posts · 2k+ votes
    3y

    That does add some valuable context...letting them out of the lease will make your life better. I do commend you for taking action, though. You didn't shrug your shoulders and ignore their situation. 

    I've had nagging tenants that annoyed me in the past. The one practice that we have employed is that I let my wife draft the "I don't think this is working out, you can be released from the terms of the lease" email. I have too much angst, snark, and frustration that bubbles up to the surface.

    It has also been so. freaking. hot. This year seems hotter for longer, but the problem is likely to happen again next summer and/or the summer after that. 

  • Contractor · Richardson, TX · Member since 2022 · 265 posts · 146 votes
    3y

     The solution is simple here...you return all their deposits, let them move...and then you get your place fixed before you rent it to someone else. The temperatures you have the house at are completely unacceptable.

    Russell, Wow!  You sound like such a pleasant and sensible person ... NOT!  If you were local, we'd definitely NOT do business with you.  But of course, that's just my humble opinion... :P
  • Russell BrazilBusiness Member
    Moderator
    Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
    3y
    Quote from @Jerry V.:

     The solution is simple here...you return all their deposits, let them move...and then you get your place fixed before you rent it to someone else. The temperatures you have the house at are completely unacceptable.

    Russell, Wow!  You sound like such a pleasant and sensible person ... NOT!  If you were local, we'd definitely NOT do business with you.  But of course, that's just my humble opinion... :P

    Well Id definitely not do business with your either if you are renting out homes that are not habitable. The ops house is not habitable in its current condition.

  • Investor · Las Vegas, NV · Member since 2013 · 8k+ posts · 10k+ votes
    3y

    Pretty sure Vegas is just as hot. We have tenants that keep their properties at 72 all summer long. People are temperature sensitive. 70 is too cold, 76 is too hot. They’re paying the bill, they get to choose the temperature. 

    You can check your local regulations to make sure you’re not legally wrong but in reality it shouldn’t matter. Let them go and fix the problem. This should have been found by your inspector before you purchased. Dallas has gotten much cooler than it used to be but you still need a working ac unit…maybe look in to radiant barrier? Find out the temperature coming out of the vents  if it’s under 70 degrees get a leak test performed, if it’s over 70 have the ac unit checked out  if you can’t fix it spell it out to anyone that spends days at home or has any kids  it will be too hot to occupy in the summer about 30 days a year have them sign a separate sheet saying they understand since it will probably be hard to sell unfixed  

    Greatest Annual days over 100 degrees
    Rank# of DaysYear
    1712011
    2691980
    3561998
    4521954
    5481956
    6472022
    7462000
    8441952
    9432006
    10
    (tie)
    40 2023*
  • Scott TrenchPro Member
    Rental Property Investor · Denver, CO · Member since 2014 · 2k+ posts · 6k+ votes
    3y

    I'd ask yourself - what would you do if you moved into the property? Would you use the solutions you provided? Or would you need something else done? You'll find your answer there. 

    And, likely, it's that the root problem of the place not being able to maintain a reasonable temperature has not been resolved. Despite your well-intentioned efforts.

  • Member since 2023 · 9 posts · 9 votes
    3y
    Quote from @Scott Trench:

    I'd ask yourself - what would you do if you moved into the property? Would you use the solutions you provided? Or would you need something else done? You'll find your answer there. 

    And, likely, it's that the root problem of the place not being able to maintain a reasonable temperature has not been resolved. Despite your well-intentioned efforts.


     Scott,

    Thank you for the feedback. I appreciate and value your advice. I like and understand the perspective of putting myself in others shoes. Regarding this specific topic, I have recommended some common things that tenants can do to reduce heat in their home. Here are a few:

    1. Blackout curtains (they did not do this)

    2. Portable units (which I offer two, and they declined one of them despite us paying for the electricity usage) 

    3. (This one is recent) They have 3 gaming desktop computers. 

    After doing some research on this, I have found that high performance desktops can produce extreme heat, and can often effect the temperature in a house by multiple degrees. As stated in a previous mention, the other side of the duplex is keeping up decently well. I am not convinced this is a problem induced by us, or that we should be responsible for it if they are off-putting excessive heat. 

    We are planning to reduce the attic heat by installing soffit vents and roof fans, as that was the only recommendation suggested by the HVAC companies. A/C unit wise, they are preforming as expected. The insulation is well beyond requirements. The unit keeps up fine when the heat is below 100 degrees outside.  

    If I were in their shoes, I would try to be apart of the solution, not the problem. 

    Thanks again for your response and feedback.

  • Investor · Cumming, GA · Member since 2015 · 79 posts · 72 votes
    3y

    @Jesse Collins

    80+ is too hot.

    Maybe you could also ask them to not use the stove?

    as well as their computers, hair dryers, dishwasher.. Put up black out curtains. Install a fan in each room and drink Ice water..

    As a 25yr landlord. You must fix the problem. That likely means a new HVAC unit.

    I'd let them out of the lease because they are not going to see it your way. I agree you have done more than most would but in this case it isn't enough.

    New tenants you can add a clause about the less than adequate AC conditions if you like.

    Ive had to replace HVAC more than once. Just wait till a septic field goes bad.. Oh boy! good times!

    Its not all sunshine and rainbows. several unprofitable years but as a whole.. Its been a great ride!

    Just sold one for 6x after renting for 8 years. The juice is worth the squeeze in the end.

  • Architect · Papillion, NE · Member since 2015 · 1k+ posts · 840 votes
    3y

    There is no reason why on 100 degree days you cant reach 74 degrees.  Have you made concessions, sure.  But texas sees more prolonged heat and you will continue to have problems unit you fix it. 

    I would get a building envelop person out to check out your house and see where the house is leaking from with a thermal imaging gun.  AC units are typically designed for 90 to 95 "degree day" temp. When temps exceeds "design degree day" temp the unit runs longer and harder. Your ac unit may be low on freon or really dirty.   Attic insul should be atleast R-38 and walls should have continuous insul of R-5 plus R-13 in the studs (IECC 2018 commercial).  More continuous insul the better. If you have old windows and window blinds are left open this will bake the inside as well. 

    I have a 1935 house in Nebraska and have no issues with keep it cool on 100 degree days and 70% humidity.  We are have a week of 115 heat index days right now.  It cools better than my house.  Its undersized for only 90 degree days but i can still keep it 73 and the house is in full sun due to no trees (newer development). 

  • Austin, TX · Member since 2019 · 5k+ posts · 5k+ votes
    3y

    I have no trouble keeping my personal residence at 68 degrees no matter how hot it gets outside.

    I can pull it down to 60 if I want.

    If this were my rental, I would have a thermal scan done of it, and see if the building is the problem, and if so how much of the problem.

    The other thought is you may have too much tonnage of A/C which lets the unit run (NOT) long enough or not as many times during the day to properly cool the unit.

    It seems to me that maybe, (not an A/C tech) if your tonnage was too low, it would run more and the portable A/C units would help pull the temperature down.

    You might have too much coolant, or not enough coolant. 

    All techs are not equal in their diagnostic skill regarding coolant amounts.

    Silver roofs are cooler than black roofs.

    White houses are cooler than dark blue houses.

    Thermal window tint may help (but it has a service life).

    Maybe your electrical company offers a free energy assessment with a thermal scan (???)

    Good Luck!

  • Member since 2023 · 9 posts · 9 votes
    3y
    Quote from @Jim Adrian:

    There is no reason why on 100 degree days you cant reach 74 degrees.  Have you made concessions, sure.  But texas sees more prolonged heat and you will continue to have problems unit you fix it. 

    I would get a building envelop person out to check out your house and see where the house is leaking from with a thermal imaging gun.  AC units are typically designed for 90 to 95 "degree day" temp. When temps exceeds "design degree day" temp the unit runs longer and harder. Your ac unit may be low on freon or really dirty.   Attic insul should be atleast R-38 and walls should have continuous insul of R-5 plus R-13 in the studs (IECC 2018 commercial).  More continuous insul the better. If you have old windows and window blinds are left open this will bake the inside as well. 

    I have a 1935 house in Nebraska and have no issues with keep it cool on 100 degree days and 70% humidity.  We are have a week of 115 heat index days right now.  It cools better than my house.  Its undersized for only 90 degree days but i can still keep it 73 and the house is in full sun due to no trees (newer development). 


     Hi Jim, 

    They just replaced the coil and reloaded freon in the brand new HVAC system. Also, the HVAC company took a thermal heat gun out there and our insulation looks good according to them. Brand new energy efficient windows in both sides of the duplex. We have a higher R value in the attic than you mentioned, and equivalent to the R value mentioned in the walls.

    HVAC guy on the phone just said Texas set a record for the most amount of days over 80 degrees ever recorded. According to him, the unit usually has time to catch back up, but given the constant heat, this isn't happening. He also said that many new construction homes he is doing are temping at around 80+ degrees as well. 

    Thank you for your feedback and insight.

  • Member since 2023 · 9 posts · 9 votes
    3y
    Quote from @Scott Mac:

    I have no trouble keeping my personal residence at 68 degrees no matter how hot it gets outside.

    I can pull it down to 60 if I want.

    If this were my rental, I would have a thermal scan done of it, and see if the building is the problem, and if so how much of the problem.

    The other thought is you may have too much tonnage of A/C which lets the unit run (NOT) long enough or not as many times during the day to properly cool the unit.

    It seems to me that maybe, (not an A/C tech) if your tonnage was too low, it would run more and the portable A/C units would help pull the temperature down.

    You might have too much coolant, or not enough coolant. 

    All techs are not equal in their diagnostic skill regarding coolant amounts.

    Silver roofs are cooler than black roofs.

    White houses are cooler than dark blue houses.

    Thermal window tint may help (but it has a service life).

    Maybe your electrical company offers a free energy assessment with a thermal scan (???)

    Good Luck!

     Hi Scott, 

    Thank you for the information.

    We have already had a thermal scan done, and our insulation looks good. The roof is black, but also brand new. 

    I will definitely look into your other suggestions mentioned.

  • Austin, TX · Member since 2019 · 5k+ posts · 5k+ votes
    3y

    Also, if you have some kind of green energy saving thermostat that micro manages the temperature throughout the day, that might be an issue.

    An old school Honeywell with no adjustments might be worth a try.

    Even a low IQ renter should be able to handle these.

  • Member since 2023 · 9 posts · 9 votes
    3y
    Quote from @Scott Mac:

    Also, if you have some kind of green energy saving thermostat that micro manages the temperature throughout the day, that might be an issue.

    An old school Honeywell with no adjustments might be worth a try.

    Even a low IQ renter should be able to handle these.


     Hey Scott,

    It's a standard Honeywell home thermostat. I don't think that would be an issue since all of my other properties have this and are preforming adequately.

  • Rental Property Investor · Member since 2020 · 1k+ posts · 1k+ votes
    3y
    Quote from @Jerry V.:

     The solution is simple here...you return all their deposits, let them move...and then you get your place fixed before you rent it to someone else. The temperatures you have the house at are completely unacceptable.

    Russell, Wow!  You sound like such a pleasant and sensible person ... NOT!  If you were local, we'd definitely NOT do business with you.  But of course, that's just my humble opinion... :P
    Think this one through, are you saying as a tenant you would find this acceptable and would prefer a landlord that threw up their hands and said they tried vs. a landlord pointing out the obvious that this is not acceptable.

    You have done a lot and tried and I agree that you have done more than many would do but sometimes your best efforts just aren't good enough.  If I was your tenant I would also expect to be released out of the lease and unwilling to blackout the windows creating a cave like atmosphere or turn off my electronics however them refusing the portable ac's is odd. You say your other properties are ok which tells me it isn't the heat itself but that this property is not equipped to handle it.  Have you looked into mini splits for supplemental ac, this would be my go to to at least explore.  I'd let these tenants out though penalty free and sign a lease with new tenants warning them of the issue.  I'm assuming this is a new unit for you or you just had really understanding previous tenants however based on my assumption it was sold because they had this problem, I would be very tempted to sell as well and buy a property that could keep up.  
  • Investor · Greenville, SC · Member since 2016 · 5k+ posts · 13k+ votes
    3y

    Wow, you've done a lot to troubleshoot it.  Unfortunately, that's not too pertinent to the resident as they simply want what they would get at other local properties (and businesses) that are able to maintain lower temperature.  As others have mentioned, I would let them out of their lease.  I suspect there is a true cause and solution but, if not, you may want to consider selling as this problem will dramatically impact your resident pool, class, and rates.

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