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Updated over 7 years ago, 07/06/2017

User Stats

89
Posts
39
Votes
Landon Elscott
  • Investor
  • Newton, IA
39
Votes |
89
Posts

Landlord Says Won't Honor New Lease - Iowa

Landon Elscott
  • Investor
  • Newton, IA
Posted

So, I'm asking a question on the flip side on behalf of my parents who are tenants.

I just want to get some 3rd party feedback.

My parents have been renting a duplex unit for roughly 3 years I believe without incident, and recently recieved a new lease - presumably from a new and larger company that manages several large apartments in addition to the sum of duplexes they bought up in the neighborhood.

Old lease, they were responsible for their own utilities, mowing and snow removal.

New lease says landlord pays 80% of water bill, provides mowing and snow removal.  So my dad signed the lease and then sent it back and called a day later to inquire about how to handle the water bill now since it is in my parents name.  Got transferred multiple times before being told theyd receive a call back.

Property manager calls and says, the new lease doesnt replace the old lease and if they dont like it, they can give 30 days notice to vacate.

Unfortunately, my parents are preapproved to buy a house sometime in October or November.  So moving out in August isnt ideal.

My understanding is there is a new lease and the old lease is null and void.  The new company is responsible for the utilities and yard, and if that was a flub thats on them.  There is a signed contract with both parties suggesting this is the case per the lease.

I told my dad at this point, dont sign anything new but just keep following the terms of the old lease until we get it resolved.  I feel like they are strong arming them, but when I send a tenant a lease and sign it I do under the understanding that it is fact.

Can they retroactively take this court?  Assuming they buy a house in October, should they just wait to make a stink about it then and see if they get offered a 30 day move out again.  I hesitate to have them play the witholding rent game, especially without even sending the property management a written compliance notice zo should they just send one each month until theyve lined up a place to live.

Thanks!

User Stats

89
Posts
75
Votes
Lora P.
  • Investor
  • Normal, IL
75
Votes |
89
Posts
Lora P.
  • Investor
  • Normal, IL
Replied

I don't understand why your parents were sent a new lease if the company doesn't want to honor it. Did the company say why that happened?

User Stats

89
Posts
39
Votes
Landon Elscott
  • Investor
  • Newton, IA
39
Votes |
89
Posts
Landon Elscott
  • Investor
  • Newton, IA
Replied

The management doesn't want to provide reasoning, only just reinforce that my parents can either discard the new lease and go with the old lease (resigned for the new year) or move out sith 30 days notice.

Due to the lack of reasoning, I assume what occured is that at least their duplex was sent a lease meant to be for their apartment buildings where they do intend to include mowing and snow removal and water bill. 

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User Stats

125
Posts
67
Votes
Orita Issartel
  • Real Estate Investor / Realtor
  • Miami, FL
67
Votes |
125
Posts
Orita Issartel
  • Real Estate Investor / Realtor
  • Miami, FL
Replied

Did their old lease expire and that's why they signed a new one? I strongly suggest they consult with a lawyer.

User Stats

13,926
Posts
12,725
Votes
Replied

Based on the time lines their best approach would be to stay with the old lease. If it was OK for them before it should be OK till they move in October. I don't see any reason to make waves.

User Stats

89
Posts
39
Votes
Landon Elscott
  • Investor
  • Newton, IA
39
Votes |
89
Posts
Landon Elscott
  • Investor
  • Newton, IA
Replied

Yes, their old lease expired and they were sent a new lease by the new company.

The plan was originally for them to transition into a month to month tenancy at an additional cost until they moved into a house; however, when they received the new lease they decided the incentives of snow removal and mowing at their age and health and the water bill was a bonus would be a good incentive to stick around awhile longer and sign the year long lease and not expedite their purchase of a home.  Of course that locked them in for a year.

But now, if they dont want to honor this new lease, they'd rather not wait until next year for the lease to expire to purchase a home and would rather see about moving out in October or November.  

The reason they have to wait minimum until October is because their home flooded with 9' of water in the basement several years ago in an area that wasnt considered a flood plain.  That has since changed and new flood maps have been updated to reflect potential risk of flooding where they used to live.  Since the area wasnt considered a flood risk, their options without insurance were limited and they opted to do a Deed In Lieu of Foreclosure since the damage was so extensive and move out of the area.  They are preapproved to buy again, but under writers want them to wait a minimum amount of time from the signing of the Deed in Lieu of Foreclosure.

User Stats

5,116
Posts
5,168
Votes
Kyle J.
  • Rental Property Investor
  • Northern, CA
5,168
Votes |
5,116
Posts
Kyle J.
  • Rental Property Investor
  • Northern, CA
Replied

Was the new lease already signed by the management company when they sent it over to be signed by your parents?  Or did they just send over an unsigned agreement for your parents to sign first?  Makes a big difference.

User Stats

89
Posts
39
Votes
Landon Elscott
  • Investor
  • Newton, IA
39
Votes |
89
Posts
Landon Elscott
  • Investor
  • Newton, IA
Replied

It was already signed.  The landlord sent them a presigned lease my parents were to sign and send back.

I had my parents copy it after putting their signature on it, as at thst point it was binding.