How soon do you evict?

[James Rodgers]

It appears I may not have selected great tenants my first time around. They paid a security deposit + prorated rent for August, but about 9/3 the payment still hadn't gone through on Cozy. So I texted to make sure there were no issues with the payment system. They said, "No issues, one of their direct deposits didn't go through so they were having to pick it up in person." Got a call, maybe the next day, for one of them saying that the church he works for has fired their "minister of finance," and there were some issues writing people their checks. 

I think 9/6 (my birthday!) I went and delivered a courtesy late rent notice, saying that the $100 late fee just applied and every day from here on out $20 will apply. They said the church is having an emergency meeting, and hope it will work out soon. 

His income from the church is supposedly 41% of their income, and they rented a house for 5 years for $1400/mo previous to this one, which is $925/mo. 

I'm thinking I'll give them a pay or vacate notice the 15th. Sound right?

Thanks. :(

[Jon Holdman]

Never, ever pro-rate rent the first month.  Always collect the full deposit and a full month's rent at move in.  In cash, preferable.  Never with a check.   Prorate the rent for the first full month of occupancy.  For example, they move in on the 20th, so you collect a full month and deposit.  On the first of the month, you collect a third of a months rent.  Now they're paid for the partial move in month and the first full month.

For me, rent is due on the 1st, late on the 5th.  Unless we have an arrangement, I post a pay or quit on the 5th.  Here in CO, you can file for eviction three business days later.  Still no money and no arrangement?  The eviction gets filed.  

There's no way a new tenant could make any sort of arrangement for late rent.  That's something I do with a good tenant who's been on time most months and has a hiccup.  Not a brand new tenant with no history.  In your shoes, I'd post the pay or quit today.  Amazing how that resolves issues.  None of these issues are your problem.  Don't get caught up in the tenant's story.

No way would I do a five year lease.  For one, it almost certainly violates the due on sale clause in your loan.  Typically any lease longer than three years does.  I only do month to month because a lease often ties the landlords hands more tightly than the tenant.