Nonpayment of rent

[Carmen Assang]

My tenant owes almost 2 months of rent and her lease expires the end of this month.  She said she will pay in installments and refused to work with me for a payment plan.  It doesn’t look like she will be able to pay her rent.  I am not sure if she will move out by 9/30 either.  Should I give her a notice to quit now and then start an eviction process after 14 days or should I sit tight and hope she will move out the end of the month?

[Dennis McNeely]

In Michigan, there are several flavors of eviction. If the tenant violates the term of the lease, you'd file a 30 day notice to quit. I also file a 30 day notice if they don't commit to renewing their lease between 30 and 60 days from the lease's termination date. Doing so ensures they've had notice sooner rather than later, and also so they know I'm running a business and not simply enjoying a hobby in real estate.

On the other hand, if the tenant doesn't pay the rent when due, the law in Michigan only requires a 3 day notice. Once again, sooner is better.

Either way, I'd start the process now.

[Theresa Harris]

Start the eviction process now.  You are unlikely to ever see the money, but at least you can get her out before she owes you even more money.

[Nathan Gesner]

Quote from @Carmen Assang:

Yes, you should start the eviction process. If she moves out, good. If she doesn't, you are on your way to kicking her out.

I suggest you tighten up your process in the future. Start the eviction process the first month they don't pay. My process:

1. Rent is due on the 1st.

2. Charge a $100 late fee if rent is not received by midnight on the 4th. 

3. If balance is not paid in full by the 10th, I start the eviction process on the 11th.

Even if the tenant calls in advance and provides a legitimate reason for why they can't pay until the 6th, I still charge the late fee. If they tell me they can't pay until the 12th, I still start the eviction process and charge additional fees. They abide by the agreement or they pay the price. Period.

[Travis Biziorek]

Hope is never a strategy.

As others have mentioned here, definitely start the eviction process. You should have already started it. 

You don't necessarily have to evict, but having the option (and having it ASAP) is what's important. Otherwise you're just giving the tenant longer to live in the house on your dime.

[Drew Sygit]

@Carmen Assang you are your own worst enemy!

You shouldn't have waited this long to start the evction process.

Hire a PMC and save yourself from yourself:)

[Adam Bartomeo]

You should have started the eviction process about 2 weeks into non-payment. DO NOT wait for them to moveout because if they don't you will have more time invested. The tenant does not make the rules the law and you do. Follow the law and get the process started

[Warren Lizo]

Hi Carmen, 

Sorry to hear about your bad tenant. Whatever her issue is it shouldn't become yours! sounds like she is trying to stick you before move out. Send her a notice to quit ASAP. Be aware of Massachusetts Laws. If she has housing assistance, you need to provide 30 days, not 14 days. The eviction paperwork process should be considered separate from your continued rent collection process. I would also be clear with her that regardless of the her vacating the apartment, if she owes you a balance you are going to pursue collections actions so she won't get away free and clear.

Consider hiring a property manager next time if not just because they have the tools and processes to reduce the risk of this and move quickly to execute on a problem. For instance, I would be surprised if she hadn't been late on rent before this. If you do go to court for eviction, the mediator/judge will want to see a record of non-payment notices to demonstrate the tenant is not having a one-time hardship. Massachusetts does not like landlords. Hire a professional!

[Carmen Assang]

I appreciate all the feedback.  I am a fairly new landlord.  I know Massachusetts doesn’t like landlords that’s why i am a bit hesitant to take legal action.  My tenant has used the housing assistance program this year.  It might be a good idea to hire a professional.  I will consider to invest in somewhere else.

[Colleen F.]

@Carmen Assang  the fact that MA is not landlord friendly is all the more reason to file sooner rather than later. It will take longer in MA courts. Just getting a pay or quit notice says you are serious to some tenants.  Hire a lawyer and consider a GOOD PM if you don't want to deal with tenants. A property manager could be cheaper than selling and going somewhere else but you have to run the numbers on the property you have vs what you might buy. Rents are higher in MA than many places in the country.

[Douglas Snook]

As others have said, start the eviction process NOW.