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Updated almost 2 years ago on . Most recent reply

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Samuel Heran
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Priperty management allowing tenant to stay past lease

Samuel Heran
Posted

I Hired a property manager 1 year or so ago. They do a good job for the most part. At the moment theres a tenant I want out. I told the property management I didn't want to sign a fix term lease with the tenant again. The tenant has know for more then six months. The tenant didnt pay march rent and their lease ended at the end of march. The tenant refuses to sign a 15 day extension the property management offered them. The tenant says they will move out on the 15th. No money has been collected since February rent and the property management is trusting the tenant will move out. This tenant has a lengthy history with me and them of just lying. Am I wrong to think they should of started doing something to get them out yesterday?

Thank you for any advice!

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James Hamling
#2 All Forums Contributor
  • Real Estate Broker
  • Minneapolis, MN
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James Hamling
#2 All Forums Contributor
  • Real Estate Broker
  • Minneapolis, MN
Replied
Quote from @Samuel Heran:

I Hired a property manager 1 year or so ago. They do a good job for the most part. At the moment theres a tenant I want out. I told the property management I didn't want to sign a fix term lease with the tenant again. The tenant has know for more then six months. The tenant didnt pay march rent and their lease ended at the end of march. The tenant refuses to sign a 15 day extension the property management offered them. The tenant says they will move out on the 15th. No money has been collected since February rent and the property management is trusting the tenant will move out. This tenant has a lengthy history with me and them of just lying. Am I wrong to think they should of started doing something to get them out yesterday?

Thank you for any advice!


 This is a bit choppy of info so I will just re-cap what we do. 

Someone has a term lease, let's say $1,500mnth. EVERY lease also has a hold-over clause drastically ramping UP that price, say from $1,500 too $2,000. 

So let's say someone holds-over. We will be communicating about they NEED to do something, move-out or sign new lease, but there paying that $2k. 

Someone stays in unit but does not pay. DONE, were pressing you the owner that we are filling eviction. And in addition, I am advising to ALSO file for a judgement at same time, either in same proceeding or in connection to it. Because once you get a judgement, it's financial herpes, that's never going away, period. You can garnish wages, garnish bank accounts etc., and in our lease you can include legal fee's so that's a none issue of not taking enforcement because of legal cost, the tenant will ultimately pay those. 

Simultaneously we have the "carrot or the stick" talk with tenant. We let them know this is not a threat, it's advisory. That they are about to experience 1 of 2 situations, and it's 100% on them to choose, carrot or stick. That they ARE moving out, that's done, it's gonna happen, with via a sheriff throwing them out, or them moving out, that's choice 1. And, they WILL be paying what's owed, either via there own actions or garnishment, again there choice but it's gonna happen, period. That's choice 2. And finally, how much it costs them. If they work WITH us that it going to be a lot cheaper, and if they don't have it ok, maybe payment plan can be meet BUT if they wanna play games or THINK they can just blow this off, it's ALL STICK and they WILL loose. yes, I tell them this, they WILL loose because it's a done deal via contract, they only control how expensive it is. So they can go ahead and pay attorney fee's and other costs to do it, that's fine, or make it cheaper on themselves. 

This is how a PM should handle these situations. 

If you PM is scared of tenant, doesn't know the laws, want's to sit on thumbs until tenant decides they feel like paying or moving out, FIRE that WORTHLESS PM.    Look, a good PM, we ARE the Devil, and were a Saint. And we are reedy to be whichever the situation requires, with sociopathic level care of whichever we need to be. We get stuff done, full-stop. 

  • James Hamling
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