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Updated over 10 years ago on . Most recent reply

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Brent Ludwig
  • Real Estate Investor
  • Columbia, IL
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What can I do if a tenant only pays half his rent?

Brent Ludwig
  • Real Estate Investor
  • Columbia, IL
Posted
I have inherited a tenant that had an unwritten agreement to pay his rent in two payments every other Friday but he hasn't payed both Fridays of any of the months I have had it. He is up to about $2,000 behind but he pays at least half each month can I evict him if I take the half rent or does that matter? Should stop taking the money or just take what he give and start the process of getting him out?

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Marcia Maynard
  • Investor
  • Vancouver, WA
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Marcia Maynard
  • Investor
  • Vancouver, WA
Replied

In our state it would not be a problem to take partial rent and post notice for the difference, but it may differ in other locales. If doing so, write a receipt that clearly shows it is partial rent and there is more rent still due. Check your landlord-tenant law. Post the "Notice to Pay Rent or Quit" as soon as you can. Often it will spark a tenant to catch up. However, your tenant is seriously behind and the chance of you being able to save the tenancy is quickly diminishing.

By our rental agreements, we post new money to older debt before newer debt. We have it spelled out clearly in our rental agreement, so there is not question about it.

"PAYMENTS.  All payments made by Tenant to Landlord after the tenancy commences, no matter how designated by Tenant, will be applied as follows: first, to any outstanding amounts due for damages/repairs, utilities etc.; second, to any outstanding service charges and fees from prior months; third, to any rent outstanding from prior months; fourth, to any service charges or fees due in the current month; and lastly to the current month’s rent."

You may want to add something similar to your rental agreements from this point on. Also, make it clear rent is due in full according to the terms of your written rental agreement, not the verbal one. In fact, best to put into writing that you will be adhering to the written agreement effective immediately.

 

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