All Forum Posts by: David Bennett

Henry - RE: Seattle: So lets assume instead of the east side, the property is in Seattle. Jay wanted to raise the rent, but did not seem to want to remove the tenant so long as they agree to the new rent. First, as I previously mentioned, if a tenant stays beyond the expiration of the lease, and the landlord accepts the next month’s rent, the tenant then is assumed to be renting under a month-to-month agreement. That puts Jay in a M2M situation. Which, in Seattle, is a bad situation.

For Month-to-Month Agreements, if the landlord wants to change the provisions of a month-to-month rental agreement, such as raising the rent or changing rules, the tenant must be given at least 30 days notice in writing elsewhere in the state. (Less notice is not allowed under the law.) As of November 8, 2021 the landlord must give written notice a minimum of 180 days prior to a housing cost increase in Seattle. These changes can only become effective at the beginning of a rental period (the day the rent is due).  Write your state legislator to keep the rest of the state from emulating Seattle. My advise is to go with 9.99% to go to the max.

But what Jay should do, at this point would be to make sure he has given the proper notice (in Seattle). Then diligently track payment. Yes, he can't then remove them because they will not sign a long-term lease. But he can enforce the lease strictly to get a "just" cause, should it exist.
- Late rent: you give a 14 day notice to pay or vacate and they fail fail to comply. Only one dollar short is enough.
- "Habitual failure": you issue 4 or more 14 day pay or vacate notices in the most recent 12 month period for late rent.
- Violation of the rental agreement: They receive a 10 day notice to comply with the rules of your rental agreement or vacate and they fail to comply.
- "Habitual failure": they receive 3 or more 10 day notices to comply or vacate in the most recent 12 month period for failure to comply with the rules of the rental agreement.

Pay attention to the date rent is due on the rental agreement. Rent is usually due on the first of the month. It's common to see late fees assessed on the third or fifth day. This does not mean the tenant get a "grace period" which is a common misconception some renters have. It just means they can't be charged a late fee until then. You can issue a 14 day notice any time after midnight of the day the rent is due.

The short answer for the future, is to get your tenant on a long-term lease with NO conversion to M2M. Whatever you do, do not accept rent for a period not under the lease. 

Henry, the OP said east side.  Meaning Bellevue, etc. If I am incorrect then Jay can correct me. But though in King County, it is not subject to Seattle rules. I will look those up for you. And while it is more difficult to terminate a M2M, it is not impossible. 

Possibly.  What does your lease state about landscaping and yard upkeep requirements.  Also, did you receive notice of its removal due to the heat wave. Without notice, you have to take their word.  But how many other trees in the area died due to the heat? 

Henry, that is not quite true, but I will not go into Seattle vs. everywhere else. Per the WA Dept of Commerce website: https://www.commerce.wa.gov/wp-content/uploads/2016/12/2012-... (page 15)

"If the landlord wants a tenant to move out and does not give a reason, the tenant must be given a 20-day notice to leave. The tenant must receive the notice at least 20 days before the next rent is due. The tenant can only be required to move out at the end of a rental period (the day before a rental payment is due). Usually, a 20-day notice cannot be used if the tenant has signed a lease. Check the specific rental document to determine if a lease can be ended this way. If the rental is being converted to a condominium, the tenant must be given a 90-day notice under state law. If a tenant refuses to move: For a landlord to take legal action against a tenant who does not move out, the landlord must first give written notice to the tenant in accordance with the law (RCW 59.12.040). The landlord’s options include personal service, service by mail, and service by posting notice in a prominent place on the premises. See the statute to ensure strict compliance. If the tenant continues to occupy the rental in violation of a notice to leave, the landlord must then go to court to begin what is called an “unlawful detainer” action. "

Jay, since they have gone past the end of the lease and you have continued to accept rent they are now Month-to-Month under the law and not under a term lease. You have already given them notice of the rent change and requirement for a new lease you are free to give a 20-day notice that they are to leave (see the timing required - you have about 6 days left). Hopefully they either ask to sign the new lease (if you want) or leave. Otherwise you are down the eviction road.

I second Bjorn’s comments, but also urge you to learn about your local leasing requirements. You will have State, County and City requirements that you will have to consider. And they can vary widely from one jurisdiction to the next. You might also look to join your local rental housing association and/or find an experienced property manager to consult with. 

I won’t repeat what has been said about credit scores as it is very true. But stick to a set of standards and don’t fall for a story. Everyone has a story. 

About the not seeing the property - I had a cross country applicant, so I did a showing via FaceTime and I “showed” the property - and still made him sign a sight unseen addendum. There is always a way to show the property if they are actually interested in THIS property.  If they don’t care about seeing it - what else will they not care about? Like taking care of the property. 

Several methods come to mind for the ADU. 1) a regular or periodically adjusted flat fee (based on an estimated usage); 2) factored into the rent (essentially the same as a flat fee); 3) percentage proportionally based on sqft. In any case you could base it upon the actual bill, or like the utilities do, based upon past usage, but at the current rate.

I use Enterprise Bank and Trust out of KS and everything I do with them is online.  They have a group that specializes in Property Management.  I can't post phone number/emails in the forum, but you could look him up easily enough if you wanted to. Jermee is very responsive.

Jermee Jones
SVP, Specialty Banking Relationship Manager / Enterprise Bank & Trust
12695 Metcalf Avenue / Overland Park, KS 66213

The key, especially in WA, is to have a consistent screening process that YOU do every time.  Have set criteria for Acceptable, w/ conditions and Nope - and stick to them.  If they fall into the "w/ conditions" bucket then you have to make them meet the conditions.  

I have had to turn away people that were literally crying/begging on the phone as I turned them down and you feel terrible, but I have a responsibility to the Owner to manage the asset responsibly.  You have that same responsibility to yourself and your family's assets.

Anecdotally, an Owner I now manage had self-managed and rented to a "family friend" who "needed help".  After their lease expired and they moved she had to pay ~$20K in renovations.  The prior history was there before to indicate it was a bad idea, but she rented to them because she felt sympathy for their situation. It wiped out two years of retirement income from the property.
 

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