Should I purchase a home with a tenant in it? CA

[Brandon Carlson]

Hi BP,

So I found an amazing property in a sought out area in Southern California (Los Angeles County). The issue is, the listing agent said the tenants aren't paying rent and haven't done so in a few months. Tenants are on a month-to-month lease agreement and have occupied the property for several years. 

The owner and agent have attempted a cash for keys option to remove the tenants. When asking the Realtor what the dollar amount was, she said a few thousand dollars (seems low). They have not received a response yet from the tenants. 

My question are:

- What options do I have if I purchase the property with tenants in it? This will be my primary residence, would this help me evict them?

- If the tenants didn't loose their job due to COVID can they continue not to pay rent? According to the Realtor, social security is their only means of income. 

Any recommedations or ideas would be greatly appreciated. Thank you!

[Greg M.]

California & Los Angeles like to impose rapidly changing rules. Best to consult an attorney.

State law gives you the right to remove them if you are moving into the unit. There may be a relocation fee due to them. You should also be able to non-renew the month-to-month lease and evict them this way. The problem is that you need to get a judge to agree and a sheriff to process the eviction. 

Cash for keys worked when there was the threat of eviction. Why would anyone leave for a few thousand dollars when they may be able to stay rent free for another year? If I were a deadbeat I'd drag it out until we had an actual eviction court date and then approach the landlord for cash to leave.