Question on dealing with a problem tenant post stealth move-out

[Andy Sabisch]

OK, looking for some input on a situation.  Had a tenant behind on the rent and then had one excuse after another as to not paying and then flew off one night.  The security deposit won't cover the damages and we are out the rent.  We can file with the magistrate and go that route but one has to weigh the chance of getting blood from a stone even with a judgement . . .I know some states make it easy but PA is not one of them.

What we do want to do is to try and ensure the next landlord does not find out what great tenants they can be.  The question is can we file something with the credit bureaus or other organization to provide that as a red flag?  Does this require a judgement from the courts before you can file with them?  What actions would you take in this situation?  Thankfully this is the first time we have run into this hence the uncertainty of what can be done.

Thanks

[Charles Carillo]

@Andy Sabisch

I have gone through this many times over the years. There really isn't much you can do that will make a difference. Going after tenants is usually a waste of time and money. If you did get a judgment, and they have a job (that you know about), and you were able to garnish their wages; they would just get another job, and you have to start again. Yes, once you have the judgment, you could give it to a collection agency and something will go on their credit but, they will have someone else sign on their next lease and on their utilities in the future. In one rare instance, an EX tenant of mine (that owed me thousands) bought a house, and the collection agency contacted me to see if I wanted to lean it, and I did. Now just waiting for them to sell it (not holding my breath).

I would focus on fixing up the unit and getting it rented to good tenants that you are able to thoroughly vet.

[Andrew B.]

I've never personally done it, but once you have a judgement you can have it attached to their credit (I'm probably using the wrong verbiage here) and you'll have to renew it every few years, but they will have to pay you back to clear it up if they ever decide to buy a house or finance a car down the road. 

[Andy Sabisch]

Quote from @Charles Carillo:

@Andy Sabisch

I would focus on fixing up the unit and getting it rented to good tenants that you are able to thoroughly vet.

Sage advice . . . . this was a tenant that we inherited when we bought the property so we are only out one month and while the security deposit will not cover the repairs, throwing good money after bad really does not make sense when we are talking about less than $1,000 owed.  When we closed and introduced ourselves, they said they would not be paying rent until we put in new carpet and painted the walls . . . well, a great way to introduce yourself so we have them 30 days notice and then they opted to leave the two dogs in all 30 days (so we do need new flooring) and in general left the place in need of renovation.  We are almost done and will use our usual screening which has been effective to-date but I guess you can always get a winner.  But as you said, throwing more money into chasing smoke is not worth the effort.  Move on and collect the rent without issues from the next tenant.