Nightmare Tenant Pt 2 - Advice from other investors in Virginia?

[Shane Welch]

Hello,  

Long story short, I have a tenant that has made it clear she does not intend to pay me at all. She has not paid me rent for the month of February all the way till now.  I had an eviction set up for yesterday, however with the COVID thing going on, it has now been pushed to July 8th.   At this point, even if there was no damage to the property that is almost $5,000 that I am owed.     

I have even asked if she would consider a cash for keys option, which she told me she did not want to do, she wanted to wait for the new court date.  Also, tenant has no job, she drives for "Postmates" full time, and claims to receive disability.  She was an inherited tenant.

My question for Norfolk investors is,   what is the process of reclaiming my money? Since she has no job i cant "garnish" wages, and from a quick google it seems I cant touch her disability check (if she even has it).  So what can I do to get even SOME of my money owed back?   Thanks.

[Filipe Pereira]

You're going to have to stick this one out and probably wait for the eviction to come around. There is no easy, or less than painful escape in these times. Depending on how your business is set up, you may be able to apply for some kind of help from the SBA or CARES bill, but short of that most people will say that real estate is a business and that brings risks with it. 

How much have you offered her for cash for keys? If You're already out a minimum of 5K, anything under that is considered money saved, right? I'd really consider that route, because even if you get to evict, that process still takes time.

Sorry to hear about these struggles. You aren't alone. About 1 out of 20 or so tenants we inherit are actually worth renewing a lease on.