Odd Situation with Tenants (I am the landlord)

[Aaron W.]

So my tenants never moved in my house but they did put furniture in the house.  Seven days after the house was under contract I had water come into the home and I have not yet fixed the issue; however, they never moved in and actually started living in the property.  They stated the house is not safe to live in bc water can get into the home.  The water is currently dried up and I am working to get the property sealed.  The problem I am having is no residential contractor is guaranteeing they can fix the issue then contractors flake etc.

The tenants still want to be in the house which I find odd as I later found out water came into the garage and there is a lot of mold damage and I had another water restoration contractor removing the drywall and scrubbing the wood frame of the walls.  Despite all this they still want to move in.  They said since they never got to utilize the house in September they want to have their first month free.  I am finding myself having to take care of the property now bc the pool had turned green.

Truly I want out of the contract I tried to offer them a lucrative deal give them their deposit money back along with their first months rent plus money on top of both the first months rent and their deposit back.  They still want to rent and are telling me we want in there ever how long it takes you to fix all the issues.  Let us know when you have everything fixed.  Personally I would rather sell the property is in Texas with the cookie cutter Texas realty contract. 

[Nathan Gesner]

You're creating your own drama.

I recommend you contact the tenants and tell them the house is not habitable and you don't know when it will be. They need to remove their belongings and the contract will terminate immediately.

Don't negotiate. Tell them you are refunding the rent and the deposit, period. 

Why do they insist on the keeping the home despite these problems? Probably because it's under-priced or they feel they can take advantage of you.