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Updated over 1 year ago on . Most recent reply

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Keren Messing Guy
  • Los Altos, CA
1
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Tenant ended their lease with a large sum in debt due to damages

Keren Messing Guy
  • Los Altos, CA
Posted

Hi Everyone!

I would appreciate some advise (preferably region specific) on what to do:

I have recently sold my rental property in Rockwall, TX. The tenant has been renting it for a few years, had two large dogs. When they left there were many things that needed repairs which were defiantly beyond wear and tear. 

Our property manager submitted them with the "security deposit itemization form" totaling $12K in damages. 

While we were preparing the house for sale, the property manager put their best effort to try and get a payment plan for the tenant but without a success. Once the property was sold, the PM advised me to submit the case to a collections company.

Few months have passed since, and the status update I got now was that the tenant stopped responding and that the case was sent to the 

credit bureau. 

I find it really hard to communicate with the collection company that the PM chose (even though I received full authorization. they just don't answer my calls). But on the one occasion I was able to get a hold of someone there, they told me that I am "probably not going to see my money back".

So, my questions are: 

1. what are my options at this point? (sue the tenant?)

2. Does anyone have a similar experience? can anything happened once the case gets to the credit bureau?

Thank you for your help. 

Most Popular Reply

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Greg M.#3 General Landlording & Rental Properties Contributor
  • Rental Property Investor
  • Los Angeles, CA
4,931
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2,090
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Greg M.#3 General Landlording & Rental Properties Contributor
  • Rental Property Investor
  • Los Angeles, CA
Replied

Supposedly Texas is awful for collections. 

It's on their credit report. Your hope now is that before it falls off the credit report (typically 10-20 years) that the person goes to buy a house or car or get a job that runs credit and they need it removed. That's when you can collect. Until that point, sit back and wait. 

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