Tenant gave 1 week notice said they are moving out.

Tenant gave 1 week notice said they are moving out.

Rental Property Investor · Alexandria, MN · Member since 2018 · 45 posts · 44 votes

Tenant text me last week Thursday saying they are moving out on April 30th.  They sent a text message stating that there are plumbing issues with drains not draining (first time they have ever told me about these issues) and at the end of the message they said that they were waiting to find a new place before they let me know and now they are moving out.  They are 6 months into there 12 month lease.  How can I handle the deposit once they leave.  Can I keep the deposit for them just leaving with a weeks notice only and with the lease still active?

Thanks

Aaron

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Rental Property Investor · Red Bank, NJ · Member since 2017 · 1k+ posts · 1k+ votes
6y

@Kenny Dahill- Moving on does a disservice to all of us hard working landlords who put effort and money into screening.

If you want to "move on" at least file an eviction so we can all be alerted to this turd nugget.

Don't be a lazy landlord.

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  • Real Estate Broker · Northeast PA · Member since 2017 · 2k+ posts · 2k+ votes
    6y

    @Aaron Harren, it depends on what your lease and your state L/T laws say about that issue.  However you decide to handle it, make sure you send the letter with an explanation before the deadline after they move out.

    Good luck.

  • Rental Property Investor · Red Bank, NJ · Member since 2017 · 1k+ posts · 1k+ votes
    6y

    1. Ask them for their forwarding address for purposes of the return of any deposit.

    2. Contact that landlord and inform them of what has occurred. If it does not phase them (they are the new breed landlord) then make sure they realize that you will be bringing an action, once courts re-open, for a formal eviction and back rent, the payment of which will certainly be pursued by you... i.e. they may be short on future rent.

    3. Begin whatever eviction process is allowable under your state law (you may be able to file but not litigate). Bring a companion civil action for May's rent.

    4. List the rental and get on with getting on....

  • Dan H.Pro Member
    Investor · Poway, CA · Member since 2015 · 7k+ posts · 8k+ votes
    6y

    In CA, the LL must try to find a new tenant but are not expected to lower their standards or the rent.  The tenant is responsible for the rent until the unit is filled with a qualified candidate.  Under these Corona conditions, that could be a long vacancy that the current tenant is responsible for.

    Find out the laws for your jurisdiction with regard to an early lease termination from the tenant.  After you determine this, determine if you want to keep this tenant.  If you want to keep the tenant, notify them of their financial responsibility.  It may convince them to stay. If you do not want to keep the tenant, do not inform the tenant and take their financial responsibility out of their deposit and send anything else they owe to collections that will report this on the tenants' credit record (you may never collect but at least it will show up on their credit report for a long time).

    Good luck

  • Investor · Tempe, AZ · Member since 2018 · 1k+ posts · 731 votes
    6y

    @Aaron Harren, that's unfortunate.

    Most importantly: follow the state law and lease agreement.  Typically you can keep the deposit for missed rent.

    You have two choices right now:

    1. Fight the tenant and jeopardize their new home, go through evictions, collect back-rent
    2. Keep security deposit and move on

    Personally, I would move on.  Start listing your rental immediately so you can minimize vacancy.  Hopefully the unit is left in good standing.  If it wasn't, I would consider Option 1.

    You need to either take them to court and officially evict them.  Or, have them sign a lease addendum once you have new tenants in place.  Addendum is the easier option.  Make sure to wait until you actually have a new tenant in case the leasing takes a long time.  This allows you to go back to court for an eviction if needed.

    Best of luck.

    1. Rental Property Investor · Red Bank, NJ · Member since 2017 · 1k+ posts · 1k+ votes
      6y

      @Kenny Dahill- Moving on does a disservice to all of us hard working landlords who put effort and money into screening.

      If you want to "move on" at least file an eviction so we can all be alerted to this turd nugget.

      Don't be a lazy landlord.

    2. Rental Property Investor · Canton, OH · Member since 2017 · 1k+ posts · 1k+ votes
      6y

      @Patrick M.

      I hear what you are saying (and understand), but as of now it doesn't sound like there is anything he can even file an eviction for if they are paid through April. It may be state by state, but where I live, I know magistrates are not happy when they spend their time on an eviction hearing, only to learn the tenant has already moved out and the landlord filed "as principle."

      All that said, to the OP, your situation sucks, and I hate to hear about it! Yes you can try and force them to pay based on the lease, and even threaten them, probably won't do any good though and only cost you time and money. They are not moving out because of plumbing issues if they never told you about them before (there's something else that may not even be due to you). So long as they don't trash the place, I'm assuming they broke their lease, which means you (probably) keep their security deposit. I would leave it be and avoid unnecessary court/legal costs, and move on...especially considering evictions are on hold in most of the country. Could be a lot worse.

    3. Investor · Tempe, AZ · Member since 2018 · 1k+ posts · 731 votes
      6y
      Originally posted by @Patrick M.:

      @Kenny Dahill- Moving on does a disservice to all of us hard working landlords who put effort and money into screening.

      If you want to "move on" at least file an eviction so we can all be alerted to this turd nugget.

      Don't be a lazy landlord.

      Valid point.  Unfortunately evictions cost money, time and stress.  There is a lot to assess whether it is worth going through the process.

      My top priority is minimizing my expenses and time, not increasing them.  I would focus on finding a new tenant to minimize the damage.

      I do agree that getting them with an eviction on record is benefiting the greater good.

    4. Rental Property Investor · Closter, NJ · Member since 2015 · 884 posts · 722 votes
      6y

      Did the Tenant clog the drains and now they bail? Have a drain service unclog the drains and use their security to cover the expense.

      Then let them vacate, and find a new, qualified, tenant at a higher rent.

    5. Rental Property Investor · Red Bank, NJ · Member since 2017 · 1k+ posts · 1k+ votes
      6y

      @Kenny Dahill an eviction takes minimal time and incidental expense to file. Bang! Joe Turdnugget is now by virtue of the filing on all of our radar.

      If you want- show up for the calendar call on the appointed day and get a default.

      This "I can't be bothered approach" is lazy landlording in my book.

    6. Rental Property Investor · Concord, GA · Member since 2015 · 3k+ posts · 3k+ votes
      6y

      So are they leaving because of the drains? I'm not getting that impression. That's just an FYI for the landlord. As far as what now, it depends on the state. eg, in FL there is no obligation for the landlord to seek another tenant and can leave the unit vacant and hold the tenant responsible for the entire lease term. Most wouldn't do this, but it's just an example of needing to know your state laws. I would do the turnover, retain the deposit (make sure to deal with the deposit appropriately as that's important.)
      Finding a tenant can be done. I just signed a lease this morning on a property that went vacant after the covid thing started and needed a 3 week rehab.

    7. Nathan GesnerBusiness Member
      Moderator
      Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
      6y

      They are not allowed to leave without proper notice, even if there is a maintenance issue.

      Your are required to make a good faith effort to find a replacement tenant. Once these yahoos vacate, clean the place up and get it rented as quickly as possible. The departing tenants can be held for cleaning, repairs, and rent or other expenses until the new tenant takes over. If you find a new tenant in three days, charge the old tenant for three days of rent and refund the remainder. If it takes two months, apply the deposit and charge them for the remainder.

      I also recommend you purchase "Every Landlord's Legal Guide - California Edition" and learn the basics of managing your rental within the confines of the law.

      The DIY Landlord Book4.7248 Reviews
    8. Greg H.Pro Member
      Moderator
      Broker/Flipper · Austin, TX · Member since 2013 · 4k+ posts · 4k+ votes
      6y
      Originally posted by @Patrick M.:

      @Kenny Dahill- Moving on does a disservice to all of us hard working landlords who put effort and money into screening.

      If you want to "move on" at least file an eviction so we can all be alerted to this turd nugget.

      Don't be a lazy landlord.

      What do you want him to evict for ?  The tenant is current.  An eviction is for possession of the property and if they follow through the seller will have possession of the property 

      Now, he may want to pursue a judgment for any monies or damages due 

    9. Rental Property Investor · Red Bank, NJ · Member since 2017 · 1k+ posts · 1k+ votes
      6y

      @Greg H. "and if" he doesn't? "And if" the girlfriend throws him out in two week and he tries to claim he never sent the text, which wouldn't constitute proper notice. "And if" he decides to challenge the failure to return the deposit.

      Lazy landlords love to play the optimistic "and if" game. Me not so much.

    10. Greg H.Pro Member
      Moderator
      Broker/Flipper · Austin, TX · Member since 2013 · 4k+ posts · 4k+ votes
      6y
      Originally posted by @Patrick M.:

      @Greg H. "and if" he doesn't? "And if" the girlfriend throws him out in two week and he tries to claim he never sent the text, which wouldn't constitute proper notice. "And if" he decides to challenge the failure to return the deposit.

      Lazy landlords love to play the optimistic "and if" game. Me not so much.

      What?  Based on the information provided, the landlord has zero grounds to evict. How could that possibly be construed as a lazy landlord ?

       

    11. San Jose, CA · Member since 2015 · 4k+ posts · 3k+ votes
      6y
      Originally posted by @Aaron Harren:

      Tenant text me last week Thursday saying they are moving out on April 30th.  They sent a text message stating that there are plumbing issues with drains not draining (first time they have ever told me about these issues) and at the end of the message they said that they were waiting to find a new place before they let me know and now they are moving out.  They are 6 months into there 12 month lease.  How can I handle the deposit once they leave.  Can I keep the deposit for them just leaving with a weeks notice only and with the lease still active?

      Thanks

      Aaron

       This is what happens when you don't have month to month agreements.  The tenants who want out claim other maintenance problems or pest problems, etc.

      Check your MN laws, but in CA you can deduct from their security deposit any out of pocket costs.  So, if it takes you however long to find another tenant that is acceptable - and you don't have to do anything beyond just reasonable actions to find an acceptable tenant - you don't have to just take anyone - you can charge the leaving tenant rent until you find another acceptable tenant.  And you can also charge them any reasonable cleaning and damage fees.

      In CA, you don't have to give them the normal notice for move-out inspections, etc., if they leave without proper notice.

      And, as someone else mentioned, there are laws that determine how a tenant can behave if they have maintenance problems, which it sounds like these tenants haven't followed.

      So, all you can do is let them leave, and then make reasonable charges against their security deposit, and if you determine they owe you money, you can either wait for them to pay you, wait for them to sue you (normally in small claims court - no big deal), or go ahead and sue them yourself, which is probably a waste of your time.

    12. Rental Property Investor · Portland OR · Member since 2018 · 2k+ posts · 3k+ votes
      6y

      First and foremost read your states tenant landlord laws. The answer is probably there. 

      For example in Oregon we must work diligently to rerent the unit and can only charge the tenant for the time it took to Re-rent, but only up to 2 months. 

      Also, I agree there is little point in chasing the tenant or calling the new landlord. Just let the tenant go (you cant stop them from moving) and find a better tenant and sign them up to a month to month agreement! 

    13. Property Manager · Raleigh, NC · Member since 2014 · 728 posts · 596 votes
      6y

      @Aaron Harren

      Look at your lease. What does it say? I have had several clients move out early. It works out for me as I have zero vacancy as they are contractually obligated, until a new lease is signed. You should explain to them that you will start looking for new tenant but they are obligated for full rent until the new lease is signed. Of course, if they refuse to pay rent, then the entire deposit is yours.

      If your lease says anything else, you need a new lease.

    14. Joe SplitrockPro Member
      Moderator
      Rental Property Investor · Sioux Falls, SD · Member since 2015 · 9k+ posts · 18k+ votes
      6y

      @Aaron Harren I have found in these circumstances the best policy is to cooperate with the inevitable. They are leaving and breaking their lease. There is no way to force them to stay for their lease term. That leaves you three priorities:

      1. Get the property back in the best condition possible (clean and damage free).

      2. Rerent the property as fast as possible.

      3. Recover lost money from old tenant for damages, cleaning, lost rents and releasing expense. 

      I would ask for their forwarding address. Tell them giving proper notice to vacate requires them to also provide a new address for security deposit disposition. Explain to them that the property needs to be cleaned to move-in condition to satisfy requirements of their security deposit agreement. (Do not promise any specific return amount. If they ask, just explain it is based on condition in which they leave the property, so you can't promise anything.)

      After they leave, do a thorough job of taking photos and documenting anything that is not clean or is damaged. Hire any cleaning or repairs done, so you have receipts as proof. Create a summary of security deposit deductions including cleaning, damage, May rent and one months fee for re-renting. In other words, you are charging them the equivalent of two months rent for breaking their lease. Obviously this will result in them not getting a refund on their security deposit and instead they will get a bill. If they fail to pay, take them to small claims court. Some people will argue the money is noncollectable, but I disagree. Judgement end up on credit reports, so if they hope to secure loans or buy a home in the future, they may need to pay your judgement. You can also pass it off to collections. Most importantly, having a judgment on a credit report serves as a warning to future landlords, so it makes it harder for people who stiff landlords to rent in the future.

    15. Joe SplitrockPro Member
      Moderator
      Rental Property Investor · Sioux Falls, SD · Member since 2015 · 9k+ posts · 18k+ votes
      6y
      Originally posted by @Patrick M.:

      1. Ask them for their forwarding address for purposes of the return of any deposit.

      2. Contact that landlord and inform them of what has occurred. If it does not phase them (they are the new breed landlord) then make sure they realize that you will be bringing an action, once courts re-open, for a formal eviction and back rent, the payment of which will certainly be pursued by you... i.e. they may be short on future rent.

      3. Begin whatever eviction process is allowable under your state law (you may be able to file but not litigate). Bring a companion civil action for May's rent.

      4. List the rental and get on with getting on....

       Although I agree you should get their address and seek to collect lost rent or damages, I am not sure that contacting their new landlord or seeking eviction is helpful. 

      I hate to say it, but most landlords will not care that they are screwing their old landlord. The already approved them to rent. They didn't do a good job screening, because verifying current address and not talking to their current landlord is a mistake. If the landlord does decide to back out and not rent to them, then you are stuck with an angry tenant, who may not pay and may not leave. You could easily just make the situation worse by contacting the new landlord is my point. 

      Eviction is hard to pursue in this case, because you need a reason to evict. They have given written notice to vacate and after they move out, how do you evict someone who doesn't live there? I am not even sure Minnesota is holding eviction court at this point, so it could be difficult to even get in front of a judge. I do agree with getting a judgement, which would be a warning to future landlords and may allow you to recover funds. 

      I am fully in support of landlords helping landlords, but it requires landlords to do proper screening. Running a credit report would reveal their current address. If addresses on the credit report don't match the application, that is a warning sign. The reality is many mom and pop landlords rent without any screening. I rarely get reference check calls, like shockingly rare. 

    16. Rental Property Investor · Red Bank, NJ · Member since 2017 · 1k+ posts · 1k+ votes
      6y

      @Joe Splitrock I decided when I repositioned my properties and got rid of the horrible inherited tenants that if someone decided to f*** with my business I would push right the f*** back. It has served me well.

      I educate any prospective tenants of that fact, both through my thorough screening as well as interview. My tenants love it. It makes their building a little slice of heaven.

      I am an outlier, and more and more each day on here. I don't rent to "customers." 

      And I can tell you something else, this wouldn't happen on my watch. But in the event it did it would not be a measured response, but it would be legal.

    17. Joe SplitrockPro Member
      Moderator
      Rental Property Investor · Sioux Falls, SD · Member since 2015 · 9k+ posts · 18k+ votes
      6y
      Originally posted by @Patrick M.:

      @Joe Splitrock I decided when I repositioned my properties and got rid of the horrible inherited tenants that if someone decided to f*** with my business I would push right the f*** back. It has served me well.

      I educate any prospective tenants of that fact, both through my thorough screening as well as interview. My tenants love it. It makes their building a little slice of heaven.

      I am an outlier, and more and more each day on here. I don't rent to "customers." 

      And I can tell you something else, this wouldn't happen on my watch. But in the event it did it would not be a measured response, but it would be legal.

       Tenants will break lease regardless of how well you screen and how thorough your lease is. There is only so much the courts will do to help you. You only have so much control. For example if someone moves out and stops paying rent, you have to take them to court each month for unpaid rent. At some point the judge is going to ask why you are not rerenting your property? If you evict the tenant, you lose rent collection rights effective the day of the eviction. Once someone is court ordered to be removed, you can't charge them rent. You can only collect rent and appropriate fees up until the point of eviction.  

      I am curious in this situation, you said you would evict. First step is notice to quit. Lets assume they vacate, because they already said they were leaving. How do you file a summons for eviction at that point? The eviction needs to be for lawful reasons, so what reason do you give? Unlawful evictions will be dismissed with prejudice and may even subject the landlord to damages. 

    18. Property Manager · Henderson, NV · Member since 2018 · 501 posts · 317 votes
      6y

      I would suggest sending them a letter ASAP (certified mail and email) letting them know what they will end up being responsible for.  The letter would include verbiage taken directly from the lease stating lease break procedures/insufficient notice...etc.  You should also include move out procedures and what they are responsible for.  

      The key is reminding and warning them that the lease is to be followed and enforced.  So when they receive their move out statement then there will not be any surprises.  

    19. Rental Property Investor · Red Bank, NJ · Member since 2017 · 1k+ posts · 1k+ votes
      6y

      @Joe Splitrock notice to quit goes onto the door once they refuse to let me in to fix the drain and it is determined to be destroyed. Then mailed out when I stop at town PO.

      I file the eviction so that there is a record of it- a red flag.  From the tenant's (MTM) notice he has the apartment for 30 days. Do I give a rats *** if he has already vacated or will tomorrow or come back on weekends- no. Am I looking to actually 'enforce the eviction'? No. Am I making sure that every future landlord will see it- yes. Am I satisfying myself that I have exacted a bit of justice on this guy for f***ing with my business. Yes. Am I within the law- yes.

      I take issue with "Let's assume they leave" I don't sit on my hands- that is my whole point of these replies. I am sure a s*** not waiting to see if they leave or assuming it. I spring right into action.

      I offer

    20. Rental Property Investor · Ankeny, IA · Member since 2017 · 2k+ posts · 3k+ votes
      6y

      @Patrick M.  @Aaron Harren

      What purpose would filing for an eviction do? I understand Patrick wants to get a record on the tenant, in order to warn other landlords. However, there would be nobody to evict in a couple days. No court dates are available now, and no court date would be given or an eviction given, because they have moved out. Notifying their next landlord could be a possibility, but essentially does nothing. Also, and most importantly, there is not a reason to file for eviction. What would you put on the court documents as a reason for filing eviction? 

      The first thing to do, is list the place for rent. In my jurisdiction, landlords have an obligation to mitigate their losses. In other words, find a tenant asap to replace the lost rent. You probably have 3 weeks to give back that damage deposit. Use all 3 weeks. Then, send a notice of what expenses you have incurred and taken out of their deposit, which could include missed rent. Yes, get their next address to "send them their deposit back". But also so you can file in small claims court for any money owed beyond the damage deposit. And this is what future landlords can use as a warning when they do their background checks. 

    21. Rental Property Investor · Ankeny, IA · Member since 2017 · 2k+ posts · 3k+ votes
      6y

      @Patrick M.. To be clear on my last message, I am in-line with you on much of your thinking. I also believe in filing evictions and small claims court for money owed, and I definitely do not like it when landlords say "why bother". Just in this case, I don't believe filing for eviction is even possible. 

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