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Eviction Issue Subscribe to Eviction Issue

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My partner and I just became the owners of a 4-plex in Oregon on July 29th. It had 4 long term renters in it throughout the process. Then, at closing, we were told that one tenant was being evicted for non-payment. We were told that she legally had until August 18th to leave. But, we were also told that she was leaving willingly and would be gone by July 29th. Tonight, July 31st, we went to check on the apartment, and she is still there. She is not a happy camper and says she has no where to go and she may sue because she doesn't know why she is being evicted. In the meantime, we are losing at least a months rent. But my biggest concern is what responsibility do we have in this issue? If she does not leave are we responsible for the legal actions? If she sues, can we be named in it? We got a great deal on the 4-plex, but not the way we want to start our landlord career. Any suggestions?


Property Manager · Honolulu, HI


First and foremost...what does your purchase agreement call for? That is the crucial document. If you did not address the tenant issue, it IS now your problem. Of course, Tomorrow is Aug. 1, so rent is due...to you, for August (absent any contrary WRITTEN agreement/lease terms).

IF there is a written rental agreement, simply follow the letter of the terms and local law. If August rent is not paid when due, start the eviction process. July rent is irrelevant...it's not your money, it was not your property in July (ok, three days worth is yours).

For future reference, being " told" something carries no weight with a judge. You need it in writing.

It's Just Business.



When I say, " we were told" . I meant that it was in writing at closing that the tenant was being evicted.


Property Manager · Honolulu, HI


Well, that's a start. Is it an addendum or otherwise a part of the contract? What, exactly, does it say? Does the seller accept responsibility for the costs of eviction and agree to credit you? Ideally, you would have made a provision for, and postponed closing until the property was vacated. Once the deal is closed, there is not much motivation for the seller to get the tenant out...the additional time costs him absolutely nothing, since the rent is not his after that point.

You really need to establish what the seller is responsible for, otherwise it's all on you, and you'd best protect your own interest by either starting the eviction or trying a very quick " cash for keys" offer.

Either way, you need to impress upon the tenant that they DO owe you starting TODAY, and you mean business. Pay or Move.


Property Manager · Honolulu, HI


Here's a little tip on how NOT to handle the situation...

http://www.nbc10.com/news/17063134/detail.html?dl=mainclick


Real Estate Investor · Ohio


Since it's a multi-unit, I would not do " cash for keys" , even if it was cheaper. With multis, you need to set the precedent with the other tenants that you EVICT for non-payment as opposed to paying deadbeats when they steal from you. As Beachbum said, show them that you mean business. Start the eviction process the first day it's legal to do so.

Good Luck,

Mike


Property Manager · Honolulu, HI


MikeOH, normally I would absolutely agree with you on this point, however, under the circumstances of being the Proud New Owner, and given that the tenant only actually owes a couple days rent to New Owner, rather than dragging this out through the whole process, I would make a one time offer and cut my losses.

If they bite, you have eliminated a big source of unnecessary aggravation at minimal cost, and, as the New Sheriff in town, you are still in control and can make clear that this practice will NOT be Policy. In fact, at the same time (if it has not already been done), I would be adamant that remaining tenants complete a new application immediately to verify their suitability going forward, and meet with each to scrutinize their existing written lease, inspect their premises, and brief them on YOUR interpretation and policies.

It is not at all uncommon for sellers to tout the fact they have " long term" tenants. Unfortunately, this frequently just means the seller was lazy, meek, or financially " on the edge" , and couldn't " risk" a vacancy. The rents are (usually) substantially below market; there is deferred maintenance in the units; and the tenants have a Long Term bad habit of not following the terms of the rental agreement or LL/Tenant laws.

By shaking things up immediately, they are put on notice to shape up or look elsewhere, and the sooner you get qualified tenants willing to follow the rules, the better.

To be clear, I would NOT make such an offer to a tenant I put in, or at any time other than very soon after closing on a new rental. I also would/have used the tactic to expedite matters in a owner occupied foreclosure situation.



Were the security deposits passed at closing or did the previous owner seize the deposit against rents?



According to the records, this tenant did not pay a security deposit. Two of the four tenants that we inherited showed they paid security deposits, and we did receive this money.



Do you ahve the lease the tenant was(is) under?



sorry brain burp " have" not what I put.


· OR


I would say that since you closed escrow without making sure she was out, she just became your problem.

She's being "evicted"? What does that mean? Has the case been to court and the judge ordered her out?

Was she given a 30 day notice to vacate, but hasn't actually been served any legal documents?

If the judge ordered her out, and she isn't out, the sheriff will escourt her out.You will have to call the sheriff and set the appointment; it isn't automatic.

If all she got was a 30 day notice, you will have to file for eviction to get her out if she hasn't left.

Here's a news flash: all tenants will threaten to sue you if they think that will get them their way. They almost never actually sue, and being evicted without having any place to go is not grounds for a lawsuit, and the judges in Oregon aren't going to have any sympathy.

It's not your problem if she doesn't have any place to go, and there are several cases where she doesn't have to know why she is being evicted; she just has to get out because she was given notice.

If legal papers have been served on her, the reason for the eviction will be on the court paperwork. It's not your problem if the tenant doesn't understand it, and the judge isn't going to care, either. He'll just order her out and have the sheriff enforce the order.

I suggest you get together whatever paperwork you have concerning her, and if you can't understand it take it to a lawyer who specializes in evictions.

Oregon eviction paperwork is easy enough to understand if you are capable of reading at the second grade level, so you should be able to figure out where you stand. If not, take it to a lawyer.

Give some more detail about what paperwork she has been given, and you will get better advice.

Do not express any sympathy or worry to her, or you will increase her level of begging and threats.


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