Tenant is still in the property after their move out date

Tenant is still in the property after their move out date

Investor · Wasilla, AK · Member since 2016 · 277 posts · 139 votes

I'll try to make the story short.  Tenants gave proper notice to be out on the 30th.  I have a new renter signed and ready to move in by the 15th of the next month.  Former tenants are buying a house, but the closing date keeps getting pushed back (or so they say, though I don't have any reason not to believe them... and having bought properties before, I know all about delays in closing).  The incoming tenant has to the end of the month to move out of his previous place, and has been gracious in moving his start date out further.  However, now I'm told that they will not close till the end of the month now, and are not willing to go find a hotel or something for the week in between.  I've accepted money up till the 15th, which I understand invalidates the original move out date, but I have a statement in writing that they will be out on the 15th and the 25th.  I also have protection in my lease (for what it's worth) against the new tenant coming after me if there's no way he can move in on time, but I hate to put him at an inconvenience.  I could give them notice for non payment of rent, but then they will come up with money, and if I accept it, then they are entitled to stay there.

How's that for a tricky situation?  I'm hoping that the incoming tenant will be willing to stay in another unit I have that is vacant for a week or so until things get straightened out... and that they do actually close on their house and leave, but...... If hopes were wishes and all that.  Any advice or ideas would be welcome.

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Investor · Philadelphia, PA · Member since 2015 · 3k+ posts · 3k+ votes
8y

Help the new guy out with moving and storing his large items. Offer free moving services if you have the vehicle for it. Also you lease should have something about "holdover tenants" where you can charge them double rent for the time that they stay past their move out date.

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  • Investor · Philadelphia, PA · Member since 2015 · 3k+ posts · 3k+ votes
    8y

    Help the new guy out with moving and storing his large items. Offer free moving services if you have the vehicle for it. Also you lease should have something about "holdover tenants" where you can charge them double rent for the time that they stay past their move out date.

  • Property Manager · Boston, MA · Member since 2014 · 194 posts · 73 votes
    8y

    its simple charge the tenants for everything. Or lose a sure thing. Usually approvals by banks get delayed not closings. But I never been delayed from a closing. Suspicious 

  • Pueblo, CO · Member since 2018 · 64 posts · 32 votes
    8y
    Originally posted by @Account Closed:

    its simple charge the tenants for everything. Or lose a sure thing. Usually approvals by banks get delayed not closings. But I never been delayed from a closing. Suspicious 

     I have had two closing delayed for title work and my dad had one held up 90 days. It does happen. 

  • Nicole A.Pro Member
    Rental Property Investor · Baltimore County Maryland and Tampa Florida · Member since 2013 · 2k+ posts · 2k+ votes
    8y

    You can do as suggested and offer to store the current tenants belongings, or you can simply get firm and explain that they must be vacated by the agreed date or you will have to file for "holding over" (or whatever your area calls it). Their issue with closing on their home is not your problem and they shouldn't be trying to make it your problem.

    Obviously it's too late now, but this is why I always say not to start setting up new tenants while a unit is still occupied. Over and over, issues just like yours comes up when trying to avoid vacancies by showing and signing leases before the unit is vacant.

    When the current tenants finally move out, you also might end up finding the unit requires more work than you initially thought to get it rent-ready...further delaying the move-in of the new tenants. This method tends to set a landlord up for avoidable drama, inconvenience, trouble, and bad first impressions to the new tenants.

  • Investor · Wasilla, AK · Member since 2016 · 277 posts · 139 votes
    8y

    Great comments.  That's interesting that you wait till something is vacant to set up new tenants.  I've been doing this for 10 years with an average of 7 or eight doors for that time, and this is the first time I've had this issue.  Quite often I have tenants move out on the 30th, and move in on the 1st.  It is quite often that we are doing repairs the last couple days of the month while the outgoing tenants stuff is still in the garage so something, but this is a 1st (and I did have a 15day window to start with.  Having the cash flow from almost 0% vacancy has really helped us build up our investments.

    As far as closing... from what I'm told, it's the borrower's qualifications and the properties qualifications that have been affecting the lender's closing date.

    Keep the info coming, it's going to be an interesting week.

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