Tenant won’t pay Security deposit

[Jay Smith]

Hello everyone, I have a 2 family home that I rent and in the one unit a family friend lives there.

They moved in with no security deposit and keep making up excuses after excuses it’s been 5 years now still no SD. 

There lease ended May 1st 2024 so we are on a month-month. I sent a 30 day “Notice to Writ” with the rent increase plus SD needs to be paid in full.

I haven't received anything and let’s say they pay the rent increase what’s the likelihood I can evict for reasons of no SD payment ?

It’s a shame I’ve done nothing but help them over and over again yet they seem not to appreciate it and always somehow has money for brand new cars

Curious if anyone’s been in this situation any help is gratefully appreciated. Thanks !

[Nathan Gesner]

You are stacking one mistake on top of another. Get rid of the tenant, period. Do not allow them to pay the deposit or accept a rent increase or anything else. The reason they have money for new cars is because you aren't holding them accountable. I would bet good money that they are paying below market rates.

In case you missed it: get rid of them.

Spruce the property up, study the market to determine a fair market rate, and find a renter that is willing to pay the market rate, pay the deposit, and abide by your agreement.

Not everyone is cut out to be a good landlord. If you struggle with creating a strong agreement and enforcing it, then you may be better off hiring a property manager. I have dozens (yes, DOZENS) of owners that make a lot more money after hiring me than they ever did on their own.