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Updated over 3 years ago on . Most recent reply

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Swaga Deb
  • Investor
  • Silverlake, CA
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Tenant Death...What to do next?

Swaga Deb
  • Investor
  • Silverlake, CA
Posted

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.

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Nathan Gesner
  • Real Estate Broker
  • Cody, WY
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Nathan Gesner
  • Real Estate Broker
  • Cody, WY
ModeratorReplied
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 Gesner
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