I just won a HUBZU REO auction which is sold as-is and with no inspection contingency. The property is occupied and I'm responsible for removing the occupants. I would like feedback from the BP community on the best way of dealing with an occupied property. Its kind of funny because I pass the property everyday on my 3-mile run.
Thanks in advance for all your inputs.
@Peter Philando , first off, congratulations on your new property. I hope everything is smooth sailing for you.
Why do you want the occupants out of the property? Are you planning on moving into it, flipping it, or renting it out yourself?
WHO are the occupants? Are they renters? Are they the former owners? Are they just squatting?
You say you jog past it every day, so I'm assuming it's in Florida. Do they have a valid lease? I believe you have to honor the lease until is ends, provided they honor their end by making rent payments on time.
Here is an article detailing the Eviction Process. In Florida, you can issue a 3-day pay or quit notice to non-paying tenants. After three business days have elapsed with no rent payment, you may file for eviction. If they are paying rent, but violating other terms of the lease, you can give them a 7-day notice to remedy or quit. After 7 days (I don't believe these are business days) you may file for eviction. If you haven't done this before, I recommend an attorney to help you the first time. Every state is different and I've never evicted anyone in Florida, so I'm not sure of the exact process.
Another idea is Cash for Keys. If they aren't paying rent, the eviction process can be drawn out and costly. Going to the home and offering them cash in return for the property in decent condition and keys can be faster and have a better result. This gives them incentive to not destroy the property, and to not remove the appliances, copper, play hammer-darts, etc.
If they are tenants, you simply have to give them 30 day notice (the tenants in foreclosure protection act expired), you don't have to honor a lease, after the 30 days, you can evict. If the former owners, you have to do an Ejectment, getting a Writ Of Possession, which is a slightly different procedure.