Tenant paid in full and then didn't sign lease

Tenant paid in full and then didn't sign lease

Member since 2023 · 21 posts · 4 votes

I'm a remote landlord this time. Yesterday, tenant found listing on furnished finder and made specific requests and they were hoping to get in that day, so I told them they could deposit cash in my bank and I would email the lease directly, which I did. I have emails and texts about this. They paid all prorated rent, deposit and cleaning fee in cash up front. (Granted, I realized after I created the verbal agreement on price with texts for proof and the lease that I didn't apply the discount I had advertised online. I just deleted the discount from online and didn't mention it, even though it makes me feel bad.) The beds weren't made and everything was not perfect there yet but she told me she was fine with that and understood. I have texts about that. It's only a 60-day lease and in Wisconsin verbal lease agreements are legally binding. Still, I wonder exactly what the reason they haven't signed. It makes me nervous that they're looking to squat later. I will sue the pants off them, this is not my first rodeo. Maybe I'm too uptight, as well. I do know the lease copy was emailed to me from Rocketlawyer instead of keycheck, which was confusing, and the tenant texted they finally found the email in spam and would sign. They haven't yet, though. I texted them to call keycheck with problems and no reply yet.

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Investor · Greenville, SC · Member since 2016 · 5k+ posts · 13k+ votes
2y

If you turned over the keys prior to lease signing, the ship has sailed.  Call them and get them to send the signed lease today.  If no reply, let them know that you unfortunately have to send a notice to quit without a signed lease...but it won't likely come to this with a simple phone call.

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  • Investor · Greenville, SC · Member since 2016 · 5k+ posts · 13k+ votes
    2y

    If you turned over the keys prior to lease signing, the ship has sailed.  Call them and get them to send the signed lease today.  If no reply, let them know that you unfortunately have to send a notice to quit without a signed lease...but it won't likely come to this with a simple phone call.

  • Member since 2023 · 21 posts · 4 votes
    2y

    At least the docusign was done this evening after I made this post, but live and learn about 1st, 2nd, 3rd step. It's been taken care of.

  • JD MartinBusiness Member
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    Rock Star Extraordinaire · Northeast, TN · Member since 2015 · 10k+ posts · 16k+ votes
    2y
    Quote from @Laura Kreinbring:

    At least the docusign was done this evening after I made this post, but live and learn about 1st, 2nd, 3rd step. It's been taken care of.


     Yes, if remote your order should generally be:

    1. Show the house/collect the application (this can be interchangeable).

    2. Do the credit/background/reference check

    3. Provide the lease for signature

    4. Provide the payment instructions

    5. Verify all utilities are transferred & rental insurance obtained (if you require)

    6. Someone meet with tenant to turn over keys, go over emergency shut off locations, features of the house, etc. 

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  • Nathan GesnerBusiness Member
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    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    2y
    Quote from @Laura Kreinbring:

    ...this is not my first rodeo.

    I think you are setting yourself up for a rude awakening.

    Anyone who rents for more than 30 days is legally a long-term renter. Calling it a mid-term doesn't change the law or how you should behave as the landlord. If you put anyone in a long-term lease, they should be adequately screened, all funds paid, the lease signed, and every other requirement met 100% before you hand them keys.

    People who pay cash and want to move in immediately are often the worst renters, usually desperate because they were just kicked out of their last place. Your willingness to take them in will bite you hard one of these days.
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  • Investor · Milwaukee - Mequon, WI · Member since 2010 · 5k+ posts · 7k+ votes
    2y

    We have some firm rules. Security deposit in exchange for signing the lease. And keys only in exchange for rent. 

    I prefer wet signed leased, so I have a chance to talk about the most important points (train your tenants), but in a pinch will do zoom + docusign.

    Also, don't use Rocketlawyer. Go to Wisconsin Legal Blank. Store is in Milwaukee, but you can order online.

  • Member since 2023 · 21 posts · 4 votes
    2y

    I moved from the area and have never done this remotely before, and use Keycheck which uses the full-fledged tenant documents for Wisconsin through Rocketlawyer. If I'm going to have an issue it would be now. I haven't heard of Legal Blank. I also have a subscription to Legal Shield. It's a limited-term lease advertised on Furnished Finders. My mistake was doing all the steps at the same time and a bit too quickly, but everything is signed now. They need transition housing I guess, since their permanent home is available in 2 months. There is a woman from California looking to do this upcoming for a year before purchasing locally to live near her children, that sort of thing, and in her case taking it slowly.

    The lease is signed and they paid. Per the lease they only owe me about 6 more weeks until they're out.

  • Member since 2023 · 21 posts · 4 votes
    2y
    Quote from @Nathan Gesner:
    Quote from @Laura Kreinbring:

    ...this is not my first rodeo.

    I think you are setting yourself up for a rude awakening.

    Anyone who rents for more than 30 days is legally a long-term renter. Calling it a mid-term doesn't change the law or how you should behave as the landlord. If you put anyone in a long-term lease, they should be adequately screened, all funds paid, the lease signed, and every other requirement met 100% before you hand them keys.

    People who pay cash and want to move in immediately are often the worst renters, usually desperate because they were just kicked out of their last place. Your willingness to take them in will bite you hard one of these days.

     Yes, all that is true. It's setup so that they are given a limited-term lease, but if they breached that and stayed beyond the lease also states that they would continue to pay the same rate. It definitely is the same laws that apply to long-term leases. 
    I have seen other landlords put verbiage into leases where tenants pay double if they stay beyond the agreed move out date, and if I wanted to be tough I could do that. 

  • Member since 2023 · 112 posts · 70 votes
    2y
    Quote from @Laura Kreinbring:

    I'm a remote landlord this time. Yesterday, tenant found listing on furnished finder and made specific requests and they were hoping to get in that day, so I told them they could deposit cash in my bank and I would email the lease directly, which I did. I have emails and texts about this. They paid all prorated rent, deposit and cleaning fee in cash up front. (Granted, I realized after I created the verbal agreement on price with texts for proof and the lease that I didn't apply the discount I had advertised online. I just deleted the discount from online and didn't mention it, even though it makes me feel bad.) The beds weren't made and everything was not perfect there yet but she told me she was fine with that and understood. I have texts about that. It's only a 60-day lease and in Wisconsin verbal lease agreements are legally binding. Still, I wonder exactly what the reason they haven't signed. It makes me nervous that they're looking to squat later. I will sue the pants off them, this is not my first rodeo. Maybe I'm too uptight, as well. I do know the lease copy was emailed to me from Rocketlawyer instead of keycheck, which was confusing, and the tenant texted they finally found the email in spam and would sign. They haven't yet, though. I texted them to call keycheck with problems and no reply yet.


     ALWAYS. I REPEAT ALWAYS GET YOUR PAPERWORK SIGNED PRIOR TO MOVE-IN!


    ALWAYS. I REPEAT ALWAYS DO AN APPLICATION SO YOU CAN HIRE A COMPANY TO HAUNT/GARNISH THEM FOR THE NEXT 10 YEARS.

    Other than that, you can't make anyone do anything especially if they already have access. So they probably being lazy about signing as you have no leverage to get them to sign.

    Speak to your local evictions attorney for guidance.

    L. Thomas
  • Member since 2023 · 21 posts · 4 votes
    2y

    YEs, I did an application and a background check beforehand. 

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