What would you do - disabled tenant wants $ to reno bathroom

Question

I have a family of five with three small children, father is in a wheel chair, living in a 2 bed, 3 bath SFR in Georgia south of Atlanta. They have been living in the unit for a year. Paying on time. Gave notice last June but could not find a place so did not move out. They do not have great credit and I discovered has one criminal offense recorded.

I had the place listed for $1,300 - they were paying $1,100 - and they agreed to pay $1,200 going forward. It was a relief that they stayed as I didn't have to show the place or clean it up to market it. I did have a couple potential tenants walk through it when it was listed and the feedback that I received was that the condition of the place was appalling. It's not clean or well kept and there are marks all over the walls from the wheel chair.

It's hard to say that there is a 'trend' because they have only been in there a year - but it seems like this family has a maintenance request every couple of months. I have stopped paying for clogged drains but because he is disabled he can not do even the simplest of fixes. Not that I'm not sympathetic and I'm grateful not to be in his shoes but it can get expensive.

After I agreed to let them stay another year, they said that they would need to make modifications to the residence - widen doorways, and remodel the master bathroom shower. I understand that, by law, they are allowed to but must return things to their original condition upon moving out. This seemed overly burdensome and expensive so, in an attempt to provide some relief, I offered to pay for materials if they would upgrade the project and make it 'nice' vs utilitarian. So that it might appeal to the next tenants/resell value. Originally, they said that they had a handyman friend that would do the work for free. They are planning to do the basic job - not the nice one - and they still want me to pay for materials. Originally, I offered them a budget of $600 for materials. I'm out of state so I will not be able to oversee the project, quality of work, or even the final product.

In the past year and a half, I have spent over $20K putting on a new roof, exterior paint job, and it has a new HVAC.

So, I sent them a reply that I'm not in a position to go above and beyond on this bathroom remodel and that they are welcome to proceed with the basic plan at their own cost. Awkwardly as could be expected - they are disappointed that I'm not willing to provide them with the $600 funds to do the project - (shame on me for ever offering). He responded by saying that they may need to give notice and move out if I don't pay the $600 for materials.

I'm conflicted:

I don't want unhappy/resentful tenants, they have paid on time for 14 months, (no guarantee that will continue), on the other hand - not looking forward to more maintenance requests every couple months IF they continue, I'm concerned about the wear and tear on the place that this family of five is doing, I could potentially be getting an additional $100/month if they move out, or I could sell it but it's a bad time of year to sell. Not confident about how long they will stay considering that I know it's not a good fit given the steep driveway with his wheel chair and the only reason they are still there is because they could not find another place. On the other hand - I could have them for years if they can't find a better place.

Thank you for reading - it was a lot of history to ask the question - would you pay the $600 or not?

Nathan Gesner · Answer

$100 below market rate is $1,200 a year in lost income. On top of that, you're making improvements to the home that are completely unnecessary.You're being played. Did you know you could have hired a professional property manager to handle all this for you and you would still wind up with more money in your pocket?Put your foot down. When someone looks at your home, let them know - in writing - that they are renting it in the condition it is in without any promises of improvements or renovations except those spelled out in writing. If something breaks, you fix it. But you don't paint the house, add a roof, give them new carpet, install central A/C, etc. If they want improvements made to the house, they should only be done with your WRITTEN approval, at the tenant's expense, and by a qualified, licensed, and insured contractor. Period.

Greg M. · Answer

The response to this is easy. "I understand you need to do what is best for you. Let me know by the end of the week if you would like me to draw up lease termination paperwork or if you prefer to stay through the remainder of your lease". Give them notice of non-renew at the end of their lease.They rented the place knowing what the bathroom was like. You made a fair offer to cover some materials provided the final outcome benefits you. They declined. Now they are trying to bully or bluff you into paying to help them. You're not a charity, you're a business.

Jacob Sampson · Answer

Did you inherit these tenants through the acquisition of this property?When you rented to them was the property in good condition?I would want the tenants to leave. It doesn't sound like they are taking care of your property. You are about to find out that repairs from bad tenants are far more expensive then missing a couple of months rent due to vacancy.I would not pay the $600 if for no other reason than they are clearly training you to be the landlord they want rather than you training them to be the tenants you want.Your goal is to provide a quality living environment relative to the rent being charged and then require the tenants to take care of your property.It sounds like you either provided crappy property to crappy people or you provided a good property to crappy people and have failed to hold them accountable to your expectations.Boot 'em, take the financial hit to get rent ready, learn from this experience, and move on.

Theresa Harris · Answer

I agree with Greg. They knew what the place looked like when they rented it. You offered some money to cover materials and now they want more. Tell them they can break the lease with 30 days notice. Then book a trip to the place to inspect it when they move out and start doing the required repairs. Once they give notice, tell them it is final as you are booking people to come in and get the place ready for the next tenant. The fact that he's in a wheelchair doesn't mean they don't have to do things like unclog drains. The wife can also do things like that or they can ask a friend for help.

Dennis M. · Answer

Your being way too nice .. just get somebody else in there . Not worth the time trouble and money to kiss their butt . You already got 20k in it so now you can get that higher rent amount

Katrina Cabral · Answer

Hi Biorn. Sorry I never met you when you were here in LG and thank you for your reply. We live downtown too and been here 26 years. Unfortunately, I have had two really bad PMs in Georgia. So I am self managing. Agree with your assumption. This could be very tricky especially considering that they gave notice before and when they couldn’t find a place they stayed despite the fact that I told them that staying was not an option.(!) I may be stuck between a rock and a hard place.

Bjorn Ahlblad · Answer

@Katrina Cabral Hi Katrina, I lived in downtown Los Gatos for 30 years! Left in 2017. I agree that you are better off without the remodel. Who knows what it will look like and what you might need to do to get the place rent ready. Stick to your guns and let them leave. Are you self managing this place from Ca? You might look into getting a PM; this upcoming transition may not be as smooth as you'd like it to be. All the best!