Problem Renter Advice Needed

[Dianna Marble]

Hello!

I have renters in our unit for the past 5 months. They signed a 6 month lease with us. Last month, while paying rent, one of the tenants told me that they were considering not staying the full 6 months and that he would let me know what they decide to do. I thanked him for telling me and asked him to let me know if they decide to break the lease. They have been pretty good tenants up until now, they are late on paying rent this month. He did let me know ahead of time that they would be late this month and I again thanked him for telling me and let him know how much rent would be with late fees on the date he said they would be paying. 

Because he told me they had to pay late, I contacted the utility companies to see if they were also late with those bills, and they were. I contacted them to tell them to pay the utility bills immediately, and yes, I did it in a kind way. He then proceeded to tell me that he felt I was threatening him and being hostile and he tried to tell me that they were not late on other bills. So, I gave him the amounts they were late and the due dates that they missed and assured him that I was in no way being threatening or hostile. So, that is kind of the back story...

The advice I need is on the upcoming months. If they don't pay when they are supposed to, do I go ahead and give them an eviction notice? The guy has tried to intimidate me before with wanting to pay less rent before signing the lease, which I did not allow and then again when he told me I was being threatening and hostile. I'm a little concerned that they will move out early and not tell us or that they will attempt to stay without paying rent. Also, they have pets, which we had them pay extra for each month, but I know all the carpets will need to be cleaned and deodorized when they move out. Do I take the carpet cleaning costs out of their security deposit? Also, what other costs am I allowed to take out of the security deposit and, if they don't pay rent, am I allowed to take it out of the security deposit when they move out? 

Any (constructive) advice would be greatly appreciated. (Please be gentle as I am still very new to the investment property/rental business.) Thanks in advance!

[Account Closed]

Dianna,

What you needed to do was send them a Notice to Quit the very first day rent was late.  They have 7 days, plus 2 full days for mailing them the Notice, (Michigan) to pay or you will file for eviction on them on the 11th.   That should be your rule. 

The moment your tenants began to "bargain" with you, would have made me terminate their tenancy with me, due to the breakdown of our relationship. Never accept ultimatums or threats. (Providing they were on M-T-M) which my tenants always were, just for this reason.  

File that Notice to Quit TODAY.  Plus charge them for the late fee.  If they don't give their 30 day notice to quit now, this month, and it has to be within a rental month.  Meaning, this is already January.  

If their due date was January 1st, they had to give you a 30 Day Notice to Quit, in December.  If they did not and they move, you can charge them not only for January's rent, but also February's.  

All monies owed to you will be deducted from their Security Deposit and you must send them a break down of that to their last known address, (their rental unit) within 45 days.  You will not issues any Security Deposits, until you have proof they have vacated the premises, and then you start adding up damages and money owed. If they have money coming back, which most of them won't, you will issue them a check along with the break down of what you did with their Security Deposit.  If they don't enough to cover the monies owed to you, you can get a money judgment. (some courts will allow you to receive a Judgment for eviction and a money judgment at the same time, but my court didn't.  I had to file two different suits. 

If you receive no answer from them and they move, and you sent them a Notice to Quit, still go to court and get a Judgment.  This way you can garnish their wages if they don't pay.  

Always choose people who are COLLECTIBLE, and who have all the move in fees, and rent.  And never let your heart take over your senses, this is a business and in order to be successful you have to stick to your lease agreement, always, no if's , and's, and buts. 

Nancy Neville