To discount or not? What’s your take?

Question

Hello, I would love your take on an issue I encountered: Long story short last year my prior tenant asked me to reduce the rent from $2,200 to $1,800 and offered to do gardening and snow removal for the property. I included this on the contract and agreed to it. He did cut the grass but not as specified verbally to every 2 weeks. I had to go and cut the grass a couple of times. I want the house nice so I didn’t tell him anything. At the first snow storm I asked him if he had cleaned the snow from the house because the city enforces snow removal on a specific time limit after stops snowing. He backed off and gave me 2 months notice to move out bc he was too tired to clean the snow. He entered the lease last year on March 1st and by Nov he was giving me notice to move out end if Dec. I would like to use his deposit to compensate for this breaking of the agreement. He got a $400 monthly discount in exchange for cutting the grass and removing the snow but broke the deal on the first snow storm. I had to clean the snow myself and hired one more person to help me as well. He didn’t clean the snow October, Nov, Dec, and extended to move middle of Jan. Is it unusual to charge the tenant for not complying? I have a conversation on text where he mentions that he no longer wants to clean the snow and the amount he was supposed to pay ($2,200).

Anyone out there that knows about tenant law that can advise?

Thoughts?

Thank you,

Sochi

Anyone out there that knows about tenant law that can advise?

Thoughts?

Thank you,

Sochi

Adam Martin · Answer

If the tenant broke the lease my lease states that the deposit is forfeited as well as a 2 month break penalty so the issues you had wouldn't make a difference unless you tried to pursue them, I wouldn't though.  You are going to be out money based on him not fulfilling the lease and damages plus him not living up to the contract.  What does your lease say the penalty is for breaking, that is probably your easy out for not giving the deposit back, add to that the damages, and then you can add not fulfilling his contract for maintenance.  They probably owe you money, send an itemized receipt of what they owe and see if they fight it.  We are quick to advise a lawyer, hold off until you get a response but this seems fairly easy to fight and I wouldn't waste the money.  In the future don't discount rent for maintenance as you get in these situations.  If the tenant is doing any maintenance this is a separate contract where you pay them however rent is still due, if they don't pay it is agreed that it is deducted from what they owe you.  If they fail on fulfilling the contract they are fired but rent is still due.

Xochitl Cadena · Answer

@Xochitl Cadena I am adding here advice from an attorney so that you also benefit and comment on your experience. I just don’t understand the purpose of a security deposit then.

“The breach of contract in the form of not shoveling snow and cutting grass is something completely different from the security deposit law. First, I don't think it is worth it to try and recover the $1200 of unpaid rent. It will cost more than that to file the court papers and go to court.

Next, The security deposit statute is located at MGL 186 15B. It is very complicated and demands strict adherence by a landlord. It requires an itemized list of damages to the rental unit before or at the beginning of the tenancy, the amount of the security deposit cannot exceed one month's rent and must be held in a separate bank account in a Massachusetts bank, the landlord is required to provide notice to the tenant of what bank the money is held in and account information. You should have a receipt from any contractor who repaired any of the damage caused by the tenant. Damage does not include reasonable wear and tear.

I could go on about security deposits and Housing Court. The damages paid by a landlord for these violations is three times the amount of the deposit plus interest plus court costs and attorney fees. So, unless you have an itemized list of damages before he moved in and after he moved out with written estimates for the repairs, you probably won't win in Court. I don't know the extent f the damages you're claiming, but you had better have complied with everything in the statute concerning security deposits and be able to prove damages or it will costs you a lot of money.

Lastly and most important going forward, I suggest small landlords do not take security deposits from tenants. Tenants  always use violations of the security deposit law as a defense to an eviction. “

Dennis Wayne · Answer

You got into a pickle because you made rookie mistakes allowing them to do work in exchange for reductions or credits . Look If he can’t pay the 2200 throw his sorry a&& out ! This is a business not a charity . Hobby landlords fail because of silly things like this .

John Morgan · Answer

@Xochitl Cadena

Keep the whole deposit and move on. They broke the lease and you lowered rent a ton already. You win some, you lose some. I’ve had a couple situations similar to this. I took my losses and ended up getting great tenants to replace them. There’s a of luck or just bad luck with the tenants we get. Don’t let the bad ones or experiences bring you down. Get them out ASAP and move on.

Tina Tsysh · Answer

My best advice is to go and talk to a lawyer. If you take the tenant’s deposit, he might sue you or leave your property completely trashed and damaged. Did you have any language in your contract about what happens if the tenant doesn’t perform his tasks? Contract law varies state by state, so even if it’ll cost you a couple hundred dollars, go for a consultation with a lawyer. You don’t want to be stuck with someone extending their move out date even further or having to repair your property if they ruin it.

Douglas Snook · Answer

Xochitl I think your post above sums it up it. NEVER "pay" a tenant to do maintenance! If you want to reduce the rent because he has been a good tenant in the past and has a rough patch now, fine.

If he damaged the apartment, you have 30 days to send him an accounting and refund the difference, so take the damage that was beyond normal wear and tear and send him the rest. Forget about the rent difference and caulk it up to a learning experience and don't let it happen again.

Xochitl Cadena · Answer

Thank you John, yeah that’s what I want. At this point I don’t care to pursue the diff for every single month, I just want it for those months where they didn’t clean the snow. Oct, Nov and Dec. But again, I don’t want to incur on any more losses including legal fees.

Xochitl Cadena · Answer

Thank you Max, yeah I do a lot but always bring my maintenance guy with me and definitely pay him for all he does. A property management company that does things on demand would be great to find.

Max T. · Answer

@Xochitl Cadena

Well I didn’t see you mention anything about shoveling. You said you mowed ($0). So I guess you could charge whatever you have receipts for if you had to pay someone else to do what the tenant agreed to do in the contract. I manage a handful of units and honestly stuff like this isn’t worth going after. Just move on and find a mew tenant. Life is too short. And yes if I plan on charging the tenant for something I never do it myself- always hire a 3rd party with a receipt. Because like you said I don’t work for free. But no judge is gonna let you pay yourself for labor out of the tenants SD.

Xochitl Cadena · Answer

No, that was definitely not zero. I pay my maintenance person $200 per snow cleaning. If he cleans twice there’s the bill going up. Not sure why would assume is zero, do you work for free?

To discount or not? What’s your take?

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