Posted almost 15 years ago

Do You Have The Guts to Evict a Tenant in December?

I can't tell you how many times I have spoken with new real estate investors who wanted to know what it takes to purchase a rental property.

My response is now almost pure reflex.

Instead of starting a discussion on how to find great properties, or evaluate them for their cash flow potential, I ask this real estate investor if they'd be able to evict a non-paying tenant in the middle of December... and then I stand back and watch their reaction.

I can tell in the first 2 seconds whether they are going to make it as a landlord.

If they hesitate at all, I know they most likely are doomed because if they can't evict a non-paying tenant in the month of December, they will more then likely fall victim to most "stories" their tenants try to put over on them.

Am I being too harsh? I don't think so.

Every successful real estate investor knows that they are running a business, not a charity!

Why do I write this now? Simple, I have read and or responded to a handful of posts in the past couple of weeks dealing with the subject of tenants not paying their rent.... and we are fast approaching the holiday season where your ability to put someone on the street will be tested.

Are you up for it? You better be... if not sell your rentals or turn them over to a property manager who will ensure you are getting the rents you deserve.

To Your Success...

Pete

If you found this post to be of value, I would be honored if you passed it on to others who may benefit.

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Peter R, Giardini is the founder of The Club, Real Estate Mastermind a National Real Estate Investor Coaching program whose philosophy is that real estate investing coaching/ mentoring can only be provided by experenced "local" coaches in a one-on-one environment. To find out more about The Club visit or send an email to .

Comments (13)

People that don't pay landlords or pay late on items are THIEVES. They are stealing the usage of space of the opportunity cost of dollars. Either way they are criminals and should be treated as such! I used to be a softy when I got started. The rental business turns you into a nasty SOB quickly! I would kick them out personally on Christmas Day if they owed me money.

Bryan Hancock, about 14 years ago
That's why I always have property managers act on my behalf. Pay them the 10% and pass the hard work to them. Of course, I would instruct my property manager to evict them in December if they don't pay.

R Davidson, almost 15 years ago
In Philly we land lords don't get that chance, the sheriff's office will not put anyone out between Christmas and New Years. Bah Humbug! Because of this, sneaky tenants who know how to play the game will stall by paying part of the rent so as to time the final serving of the writ of possession as close to Christmas as possible. If they time it right they can just about get another month of free rent. Some advice for newbie land lords, put on your top hat and black cape. Rent is due on the first, late on the fifth, and we file an eviction on the tenth. The only way I will allow a tenant to go past the 10th is with a firm pay date, and they must give me collateral against this loan period. Collateral is usually something I pick out, most of the time it is their most valuable possession, their TV and cable box.

Dennis , almost 15 years ago
I don't understand it either. I guess when you rely on people to be rational about their situation, they usually disappoint.

Christopher W., almost 15 years ago
Michelle, This is a difficult situation... no doubt. It is hard to explain what goes through a persons mind when they find themselves in this situation. Hopefully this coming season will be very different.

Peter Giardini, almost 15 years ago
I could if it was my own property, however I would have given them plenty of notice before. Last Christmas I had 3 of my REO listings that I had come by offering these people cash for keys and they refused, I had to show up 2 days before Christmas with the sheriff and have them locked out. Sometimes you feel like the grinch, but you have to try to remember it's a business. However, it really bothered me all Christmas that the kids in those families wouldn't have there own home for Christmas. What really bothered me is that one of the families the bank offered them $2500, and the other 2 they were offered $1500 and they refused it. Why would anyone leave with $0 rather than $2500?

Account Closed, almost 15 years ago
Account Closed, almost 15 years ago
Michael, Thanx for the comment. I am not sure what you are seeing but I see the text with no problems. Perhaps Josh could lend a hand.

Peter Giardini, almost 15 years ago
I agree. You have to get rid of the nonpaying tenants or you'll be out of business and the bank won't show you any leniency. Just out of curiosity, why does this article have all the html markup in front of the content? Is my browser off or did you try to do a special font that didn't work out?

Michael Rogers, almost 15 years ago
James - You're definitely right about having the proper temperament. If you don't have it, you're almost destined to fail.

Joshua Dorkin, almost 15 years ago
This a a great question to ask potential landlords. I constantly tell buyers that 90% of landlords don't have the proper temperment to be a landlord. This is a vague way of stating it. Your question cuts right to the heart of the matter. It is normal to feel empathy for a tenants problems and wish them well but when you don't evict them for non payment you are actually taking on their problem and making it your problem.I have enough problems without taking on any one elses.

James G., almost 15 years ago
I also agree. I would evict anyone that is not paying me. (For me, it is a business descision.) But, it is easy for me to say this, I am not a landlord!

James Ward, almost 15 years ago
I'm in complete agreement, Peter. If you can't get yourself to evict, even with the premise of months of no new tenant, then you shouldn't be a landlord.

Joshua Dorkin, almost 15 years ago