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Updated almost 7 years ago,
How Do I Collect From an Ex-Tenant
I have a tenant that left last October after being in the property for 5 years and there was damage in the property. I was very reasonable about assessing damage and made sure to prorate everything based on useful life. Still in the end they owed me around $1000. I sent them a summary within a timely manner asking them to pay. It was sent registered mail and they singed for it. I sent a follow letter asking for payment. No response from the tenant.
Judging by the mail I received after they left, they have a long line of collections people after them. I can take them to small claims court, but there are two considerations:
1. It is unlikely I will be able to collect on a judgement. That means I will use my time and energy for nothing in court.
2. There is the outside risk of retaliation. I have had one crazy tenant that threatened to damage my property. I don't think these people would do that, but they are heavy drinkers, so not sure what they might do when the alcohol is speaking.
I am interested to hear how all the experienced landlords on this forum deal with debt collection. What is your process? How does it change based on dollar amount owed or perceived risk of a crazy tenant? Any tips are appreciated.