I have a tenant in a SFH with a lease ending July 31. Rent has been paid late about 75% of the time and is pretty consistent around the 15th vs the 1st. My PM will send a 5 day notice and rent usually shows up on day 5. The tenant is current, but hasn't paid any late fees over the term of the lease.
My gut says this tenant has to go and that I need to send a 30 day notice first thing next week, but am I overlooking something?
If she's current she at least does pay her rent. It's up to your PM to train your tenants. Your PM is clearly not doing their job. Rent is due when rent is due. If not received in your office when rent is due, then they are sent a Notice to Quit. In the meantime they are charged a late fee as well.
If you have a clause in your lease agreement stating that all monies received in your office is first applied to any outstanding bills they owe you, then that rent is applied to the late fee which makes their rent short and therefore still in jeopardy of an eviction.
You have to train tenants to understand that they signed a contract and rent is due when it is due. (You can salvage this tenant!) If you allow a tenant to pay anytime during a rental month, with no consequences, then they will take advantage of it. But make them dig in their own pockets or face eviction. is a rude awakening.
Fire that PM. Get someone who knows what they are doing. I think she is trainable.
You are overlooking something! Your PM has allowed this tenant to break the rules and disregard the terms of the rental agreement over time. You have not been holding your PM accountable.
I suggest you find someone to work for you who approaches contract violations politely, swiftly, firmly, and fairly. There may be more to the story than what your PM is telling you. Before taking away the home of a tenant because of poor management, I would attempt to reestablish the terms of the rental agreement and your relationship with the tenant. If you are not confident that you can turn this around and save the tenancy, then change to a month-to-month rental agreement for now, so you will have more flexibility if things go south. Have you or your PM seen the inside of the unit? Do you do regular inspections? Do you have a strong rental agreement that is clearly communicated and easy for tenants to read, understand, and follow? Start there.
Marcia Maynard, Fischer Properties | Podcast Guest on Show #83
Thanks for the information. I need to check the lease to see if it is structured where payment goes to outstanding fees first before being applied to rent. I will have a frank conversation with the PM. Im in my first term with them and havent been very happy to date.
House has been leased 9 mo and will be inspected next month. Outside is tidy but havent been inside in 9 mo.
I agree 100% with Nancy and Marcia that the tenant isn't the problem, your PM is the problem!
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