First Property - Dirty Tenant

[Michael S.]

Hey guys - looking for some advice and opinions.

I just closed on my very first investment property, a 4-plex apartment building.

All units are currently filled. Units A and D are on month-to-month. Unit B's lease is up in December. Unit C doesn't even have a lease. 

All units seem to pay on-time (Unit A had two late charges shortly after they moved in, but have otherwise paid on time for over a year). 

I'm about to send out a letter introducing my company and breaking the news that their rent is going up. 

Here's my hangup - the tenants in Unit B are pretty dirty. I visited the unit twice during the purchase phase, and both times there was old food siting out on the counter and kitchen table, and it looks like there was some "organic growth" in a cabinet according to the inspector. I have a decent amount of bills to pay with the new purchase (insurance premium, new mortgage, etc), and although the property can sustain itself without tenants in Unit B, I'd be nervous about letting it sit un-rented for several month, and given that their lease doesn't end until December, I'm scared about the prospects of getting it rented until Spring. 

I see three options for dealing with Unit B:

1) Let them know on Nov. 1 that their lease won't be renewed, which means I'll go in and clean everything up and then attempt to find a new tenant in December. I'm nervous about this, since what I've read indicates it's hard to find tenants in the winter.

2) Let them sign a new month-to-month lease, and once it gets to be Spring, don't renew. This increases my chances of finding a new tenant fast, keeps the cash flowing in until then, but also means I have to deal with dirty Tenants for another 4 months...

3) Let them sign an 18month lease that would get us into the Spring of 2018. This seems like the worst idea, since that means dealing with dirty tenants until then...

Thoughts? Am I missing any other options?