Investor · Silverlake, CA · Member since 2020 · 30 posts · 4 votes
Sadly my amazing tenant passed away from natural causes; she did not expire in the rental unit but at a senior living home. My rental is in Palm Springs, CA and I was wondering if anyone had any advice of what to do next? Her family and friends are going to clean out the apartment and she didn't have a will. Should I have them sign some thing saying they are moving everything out and she is officially no longer my tenant once her belongings are taken out? Any advice would be greatly appreciated.
Yes, this is tricky. In 2019-2020, I had six tenants die in their rentals in a four-month period. I manage 400 units, so it was just an oddity.
You definitely have to be careful with who you give access to. I once had a tenant pass and her nephew called and offered to move out her belongings. He actually moved into the apartment and then refused to leave. I had another one where a family member came to clean out the apartment, but she really just rifled through her aunt's belongings, took a couple items of value and all the cash that was squirreled away (we're told it was thousands), and then disappeared.
I now have a clause in my lease and lease renewal that asks the Tenant for the name and contact information of an individual authorized to handle their account, remove their property, and receive any refund in the case of death or incarceration. I passed it by my attorney and he felt it was sufficient to cover my behind. When a tenant passes, I contact that individual to proceed. Much, much easier and safer.
I also give them a short letter that explains what they're authorized to do, what items are to remain in the rental (I don't want them leaving with my washer/dryer!), a deadline for completion, instructions for payment or refund, etc. It may not be a legally binding contract, but at least I have some evidence of what we agreed to in case there's a dispute.
We had this happen recently, in our case the family paid for the next month and moved the belongings out of the unit during that time. They did not sign anything but neither were they on the lease to be in a position to. I turned over the unit and re-rented it as the party I had the contract with was now deceased. It was not an extravagant turn over just had good communication with the family on what they needed and then we in return to facilitate that.
Access is a delicate issue. Hopefully the people that are entering the property have legal permission to enter based on your lease or she gave them access herself. I would not give a key to anyone. I would not open the door for anyone who did not already have legal access. If something of value goes missing, you hold some responsibility. I'd talk with an attorney. It's worth 30 minutes of consultation.
The other issue is going to be related to rent payment. If you are lucky she has you on autopay from a bank account with funds. We once had a tenant die. His kids lived in the building and had a key to his place. They started clearing out the unit but it took them weeks. In our case, we just ate the costs, but technically, the estate owes you the rent and you could become a creditor to her estate.
Of course, double check with a qualified professional or two...
The lease would now be part of her estate. I THINK technically you would have to take it up with the Executor/Executrix of her estate if you wanted the lease honored and be paid the rent. Having died without a will, she passed away "intestate." But, there is still probate, if necessary.
That being said, if you can amicably settle it with the surviving family I would do that and move on. I wouldn't need anything signed. She has passed so she doesn't need to occupy the unit. The personal belongings are being moved out so you don't have to deal with that legal matter. Finally, if you can get another tenant in there, you have no reason to make a claim from the estate for unpaid rent.
I'd give the estate a chance to declare their intentions in regards to tenancy. They may want to carry it. Question is who represents the estate. I would not give access without vetting the requestor, and documenting. A lawyer consult is something you could do quickly.
Thank you for all the great advice, I spoke to my tenant's niece who is lovely but my tenant's friend is moving the belongings out which the niece is not too thrilled about. I don't want to get involved with the family drama but want to make sure I'm legally protected. So far I've spoken to both parties and everyone is very amicable. If anyone has any CA specifically Riverside/Palm Springs area real estate lawyers they would recommend i would greatly appreciate it.
Yes, this is tricky. In 2019-2020, I had six tenants die in their rentals in a four-month period. I manage 400 units, so it was just an oddity.
You definitely have to be careful with who you give access to. I once had a tenant pass and her nephew called and offered to move out her belongings. He actually moved into the apartment and then refused to leave. I had another one where a family member came to clean out the apartment, but she really just rifled through her aunt's belongings, took a couple items of value and all the cash that was squirreled away (we're told it was thousands), and then disappeared.
I now have a clause in my lease and lease renewal that asks the Tenant for the name and contact information of an individual authorized to handle their account, remove their property, and receive any refund in the case of death or incarceration. I passed it by my attorney and he felt it was sufficient to cover my behind. When a tenant passes, I contact that individual to proceed. Much, much easier and safer.
I also give them a short letter that explains what they're authorized to do, what items are to remain in the rental (I don't want them leaving with my washer/dryer!), a deadline for completion, instructions for payment or refund, etc. It may not be a legally binding contract, but at least I have some evidence of what we agreed to in case there's a dispute.
Nathan your post is very helpful. I think I'll definitely draft something up with items you listed plus a final move out date and if they go over the rent needs to be prorated per day over. Thanks
