I realize this will probably vary from state to state, but I need some advice.

Long story short, I have a rental property that I leased to a family for 2 years. This lease expired 9/9/2011. The tenants wanted another two years, however I refused because of late rent payments, although they were able to satisfy the terms of the two year lease and pay me everything they owed in full. Because of this, I told them they could stay on a month to month lease until the property is sold. I didn't want to search for new tenants because I am in the process of selling the house. While we did have a formal written lease for the initial 2 year period, I did not draw up a formal written lease for the month to month period. I just sent them something in writing in July stating that they can remain in the house on a month to month basis as long as I get rent, and / or until the house sells.

Well, they are now 3 weeks late for November's rent payment and December's payment is due in 10 days. Even if they make November's payment in the next day or two, I know they will not be able to make December's payment on the 10th.

So, I have already gone through the eviction process once a few years ago with the prior tenants and know exactly what needs to be done. I had planned on starting the eviction process with the existing family also. My question is, because I never drew up a formal lease with the month to month terms, just sent them a letter stating we can extend the exisiting 2 year lease month to month, how likely am I to win a judgement for back rent. I want to give them until January 9th to get out (rent is due on the 9th of every month). Anyone have any experience with this at all?

 

Good luck getting them out by Jan 9th. The eviction process usually takes about 3 months(at least in this area). Also, if you do start the eviction process, I don't think you can go on to the property after it starts. I know a guy that never messed with the eviction process. He just went in and turned off the water/power for days at a time for "maintenance". He says that they would eventually get the picture and leave. It wouldn't help with back rent, but it would hopefully get them out by the date you were wanting. I would definetly check local laws first and go from there.

 

Thanks. I went through one eviction process already and had them out in 2 months (the prior tenants). January 9th was just the end of the month to month lease I was going to give them, I need to give them at least 30 days notice. I would need to set up a seperate small claims case for back rent, which has nothing to do with the eviction, they are two different court cases. My inquiry was more to do with sueing for back rent because I never signed them to a month to month. Regardless though, they finally paid me yesterday. So I am back at square one now and I am sure I will be going through the same thing again next month.

 

Sounds to me like their hearts are in the right place and that they are "trying" to be honest. However, looks like they live "month to month" like many do. My guess is, you have about a 50% chance of getting the money they will owe you when they finally leave. I doubt it would be worth your time trying to go to court for it if they don't pay. (Deduct the unpaid rent from your tax return though.)

- Jack

 

Typically if no lease is drawn up then the initial lease remains into affect on a month to month default lease. You should be fine depending on your state regs.

Send them a pay or vacate letter. Then go to the courthouse and get the eviction process started.

 

Which did you send them ?
You have one that says you OK'd month to month, and another that is extending the terms of the 2 year lease on a month to month basis.

In the letter did you actually give an end date to the month to month terms ?
You say until the house sells, and then on another post, you gave an end date of 9-JAN-2012.

Comes down to what was actually in the month to month lease extension you sent them.
Sure you know this, standard contract has a start and end date, and the terms of what they get for the amount they pay and when it is due and some form of approval or agreement for the contract.

If you sent them a letter with a month to month extension of the previous 2 year lease agreement with a 30 day cancellation notice , until 9-JAN-2012, that might work in court.
How did to send it ( drop it off ?? ) did you have them sign something approving it ?

If you only sent them a letter with the information, and no signature page, you could be in trouble.
Even more so if you did not send it FedEx / Registered mail, where they had to acknowledge receipt of it.

I'll agree with Jack, they sound like are trying to follow the spirit of the agreement, but if you have nothing signed, you could be in for a ride not only in terms of getting the rent from the, but getting them out to be able to close on selling the place.

Without something signed, and lacking a default to month to month from the rental laws, you might look like you are letting them stay there until they get back on their feet. Squatter's rights if applicable in the rental rules.
The check they send you ( late even ) is their way of returning the favor.

Best to pull the rental rules and take a good read of them. You could be in for a lawyer bill in the process, if the city / county allows for Squatter's rights.

 

Yeah, a pal of mine evicted his tenants after they received 9 months of free rent.

His tenants had a restraining order against him after he tried to take the law into his own hands.

Long story short:

His property had 60 prime harvestable oak trees on it.

When he was allowed to return to his property, he found the tenants had harvested all of his oak trees and had sold them to the lumber mill.

He didn't get a dime from the sale and the property is now standing vacant plus the tenant's intentionally ruined the place and he has no idea where they are.

 

being a small landlord has it hazards. This is why a management company is good.. A management company has the resources and the know how to get a bad tenant out in a few days. It can also be worth the money to hire a real estate lawyer. I'm not a landlord but I've seen it all in my business. I run a carpet cleaning business so I'm always going in and trying to fix up places that have been trashed. People do some nasty stuff to rental propertys..

 

After seeing my mom's ordeal with renters and friends...I will never rent to anyone including family.

People just don't care about others peoples stuff now adays.

 

here in California after you have expired a lease and you give them the letter of a month to month extension. if they go in arrears (fail to pay) you can start eviction proses. first a 3 day pay or quite then a 30 day notice before it can be filed. then it will take 3 weeks or better to get a Cort date. then once the judge rules in your favor the Cort send out the sheriffs in about a week or so and gives them 2 to 3 hours to get out! so your looking at 8 weeks at best and all the cost of the Cort/time you miss from work that you more than likely to never see.
its some time better to just ask the Tennant to move and tell them you wont mess there credit up if they get out by say 2 wees time it lets them move and your not stuck with the fees and all. most will move on but every now and again we have to do the hole Cort thing what with 208 different units we manage. it seem as if we live in Cort at this time of year!

 

Thanks for the input guys, they are all paid up and expect to be out by 1/9...I'll have to see if they try to stiff me on the last month's rent. Lot's of good info if I ever decide to become a landlord again (which is highly unlikely).

 

Being out 1 month rent is a lot better than 2 months rent plus them squatting and taking the full time for eviction.

Glad it is working out for the most part.