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User Stats

141
Posts
61
Votes
Sylvia H.
61
Votes |
141
Posts

Tenant stayed past their 30 day notice.

Sylvia H.
Posted

If a tenant gives you a 30 day notice and is supposed to be out on the 30th but doesn't actually leave until the 4th, are they obligated to pay the month that they stayed in? This came up in small claims court and the magistrate said if you're there on the 1st you owe for the month. The magistrate didn't even want to hear any testimony.  Anyone else experience this?

User Stats

476
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372
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Samuel Eddinger
  • Meriden, CT
372
Votes |
476
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Samuel Eddinger
  • Meriden, CT
Replied

It depends on the lease.  Our lease says that it is a holdover at 3X the rental rate (daily rate) to make it like a hotel. Many places have in the lease to charge the whole month.

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26,758
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39,481
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Nathan Gesner
Agent
  • Real Estate Broker
  • Cody, WY
39,481
Votes |
26,758
Posts
Nathan Gesner
Agent
  • Real Estate Broker
  • Cody, WY
ModeratorReplied
Quote from @Sylvia H.:

If a tenant gives you a 30 day notice and is supposed to be out on the 30th but doesn't actually leave until the 4th, are they obligated to pay the month that they stayed in? This came up in small claims court and the magistrate said if you're there on the 1st you owe for the month. The magistrate didn't even want to hear any testimony.  Anyone else experience this?


 I'm with Sam. Get a "holdover" clause in your lease that states the tenant will be charged a prorated amount for every day they hold the property. Mine is 3x the monthly rent, prorated daily. So a $1,500 rental would be $150 per day.

  • Property Manager Wyoming (#12599)

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14,195
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10,896
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Theresa Harris
Pro Member
#2 Managing Your Property Contributor
10,896
Votes |
14,195
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Theresa Harris
Pro Member
#2 Managing Your Property Contributor
Replied

Unless you'd arranged to stay a few extra days, then staying those 4 days potentially eliminates the landlord from renting it for the entire month.  Add a holdover clause as the others suggested.

User Stats

126
Posts
67
Votes
Spencer Abeyta
  • Property Manager
  • Colorado Springs, CO
67
Votes |
126
Posts
Spencer Abeyta
  • Property Manager
  • Colorado Springs, CO
Replied

In my state there has been a huge push in the courts to actual damages instead of punitive damages. What this means is that actual damages would be the 4 days extra they stayed in the property. Punitive damages would be the extra month of rent and this would be shot down in court. 

I agree with everyone that the holdover rate is very important to motivate tenants to move out on time. This is an actual damage that you could collect from the tenant. Most of the time you would have vendors scheduled to turn the property and now you have to reschedule them and this pushes back the ready date of the property.

User Stats

141
Posts
61
Votes
Sylvia H.
61
Votes |
141
Posts
Sylvia H.
Replied

Thank you to all. I agree with that. I know in Connecticut it is the law that if on a month to month they stay past the 1st they owe for the month. Was just curious to how others handled this. All of you gave great advice. 

User Stats

141
Posts
61
Votes
Sylvia H.
61
Votes |
141
Posts
Sylvia H.
Replied
Quote from @Nathan Gesner:
Quote from @Sylvia H.:

If a tenant gives you a 30 day notice and is supposed to be out on the 30th but doesn't actually leave until the 4th, are they obligated to pay the month that they stayed in? This came up in small claims court and the magistrate said if you're there on the 1st you owe for the month. The magistrate didn't even want to hear any testimony.  Anyone else experience this?


 I'm with Sam. Get a "holdover" clause in your lease that states the tenant will be charged a prorated amount for every day they hold the property. Mine is 3x the monthly rent, prorated daily. So a $1,500 rental would be $150 per day.

That is a great idea. Thanks

User Stats

141
Posts
61
Votes
Sylvia H.
61
Votes |
141
Posts
Sylvia H.
Replied
Quote from @Samuel Eddinger:

It depends on the lease.  Our lease says that it is a holdover at 3X the rental rate (daily rate) to make it like a hotel. Many places have in the lease to charge the whole month.

That's a great idea. I will definitely update my lease. Thanks

User Stats

38
Posts
21
Votes
Replied
Quote from @Nathan Gesner:
Quote from @Sylvia H.:

If a tenant gives you a 30 day notice and is supposed to be out on the 30th but doesn't actually leave until the 4th, are they obligated to pay the month that they stayed in? This came up in small claims court and the magistrate said if you're there on the 1st you owe for the month. The magistrate didn't even want to hear any testimony.  Anyone else experience this?


 I'm with Sam. Get a "holdover" clause in your lease that states the tenant will be charged a prorated amount for every day they hold the property. Mine is 3x the monthly rent, prorated daily. So a $1,500 rental would be $150 per day.


 This is a great idea, are "holdover" clause different per state or city?

User Stats

126
Posts
67
Votes
Spencer Abeyta
  • Property Manager
  • Colorado Springs, CO
67
Votes |
126
Posts
Spencer Abeyta
  • Property Manager
  • Colorado Springs, CO
Replied

I would check your local legislation to see if holdover rates are capped. So far in Colorado they have not been capped. The rate can vary from company to company but the goal is to have a high rate so it motivates the tenant to move out when they are supposed to.

We currently have our holdover rate at 10% of the monthly rent per day. So a $1000 per month property will have a holdover rate of $100 per day.