Keep Current Tenant or Find New One?

Keep Current Tenant or Find New One?

Rental Property Investor · Southern CA · Member since 2017 · 25 posts · 2 votes

Hello everyone- My current tenant’s lease is up soon and she is wanting to renew for another year. The only advantage of extending the lease is the tenant has paid on time every month. In fact, she pays early. As a precaution, I contacted my neighbors to get feedback since I live out of town. Here are the complaints from neighbors: the tenant’s “guest” lives there full time, the “guest” is extremely loud (plays video games and yells loudly when watching football) and smokes marijuana (violation of the lease). The tenant is very kind, quiet and respectful but it is her “guest” that is not. I wish my neighbors complained to me earlier about this but according to them, this has been ongoing. (Why do neighbors stay mum on stuff like this?!!) I had given the tenant a warning about this “guest” back in March 2020 but to my surprise, it seems she ignored me. My neighbors didn’t complain after that so I assumed all was well. 
Here is my issue: I will have an urgent health issue requiring surgery and treatment. Treatment could last a year. Out of convenience, I was contemplating keeping my tenant since she pays rent on time. She never complains nor contacts me. I wanted to focus on my health without adding another stress in my life by finding a new tenant. 
However, it is obvious it is her “guest” that is the problem, not her. The lease was a year long and transitions to month-to-month after that. I was going to keep it month-to-month until I find a new tenant but then my health issue arose. 

The good news is a friend referred a coworker to me who seems to be a good fit. I have sent her photos of the interior and exterior of the rental and so far, she likes it. The problem is trying to show the property to her while it is occupied by the current tenant. If the “guest” has been smoking, it is likely to stink of smoke. 

At this point, anyone is better than my current tenant who has a “guest” who stays all day and smokes and plays video games loudly.

If it weren’t for my health issue, I’d find a replacement tenant in an instant. I know I’m not guaranteed the perfect replacement tenant either with this referral I have. 

So…what would you do? I’d appreciate any and all feedback. Again, if my health was fine, I’d know exactly what to do. But, I have major surgery soon and then treatments after likely to last a year. Not sure how much I can handle with finding a new tenant from scratch, assuming the referral doesn’t work out.

Thank you in advance! so sorry this post was so lengthy. Wanted to cover the details. Thanks for reading and helping with your input. 

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Nathan GesnerBusiness Member
Moderator
Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
4y
Sometimes a tenant will pay rent early to avoid you looking too closely at how they're behaving or maintaining the home.

I agree with the recommendation to hire a property manager. They can often get a higher rent rate, reduce costs, and put the same amount of money in your pocket.

Ask yourself this: do you want to deal with a problem now, or do you want to deal with a problem while also dealing with your health issue?
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  • Brandon RushPro Member
    Real Estate Agent · Portland, CT · Member since 2019 · 761 posts · 849 votes
    4y

    Hey Vanessa,

    Have you considered putting a property manager on this property? It sounds like you don't want to deal with too much while taking care of your health. Also, what's to say other issues won't pop up outside of brining on a new tenant. What will you do then? Just something to think about which may give you peace of mind and let you worry about your health. 

    Sorry I did not answer your question exactly. I am curious to know how others answer. 

    Good luck with everything!

  • Nathan GesnerBusiness Member
    Moderator
    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    4y
    Sometimes a tenant will pay rent early to avoid you looking too closely at how they're behaving or maintaining the home.

    I agree with the recommendation to hire a property manager. They can often get a higher rent rate, reduce costs, and put the same amount of money in your pocket.

    Ask yourself this: do you want to deal with a problem now, or do you want to deal with a problem while also dealing with your health issue?
    The DIY Landlord Book4.7248 Reviews
  • Theresa HarrisPro Member
    Member since 2019 · 15k+ posts · 11k+ votes
    4y

    If you now know that the guest is still there and causing problems, I wouldn't renew her lease.  Check the references from the coworker.

  • Member since 2021 · 240 posts · 300 votes
    4y

    Raise the rent...either she leaves or you get more money for it...win win?

  • Investor · Van Isle · Member since 2021 · 455 posts · 226 votes
    4y

    What, in your lease agreement, constitutes a ‘guest’? Sounds to me like maybe you are not charging for a tenant. Considering your health situation though, I agree. Hire a manager.

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