Investor · Paramus, NJ · Member since 2015 · 35 posts · 8 votes
Last week I closed on a two family house that I purchased directly from the owner, she gave me a good deal with the condition that she would stay in the first floor apartment and pay a reduce rent. The issue is with the second floor tenant, they've been there for 5 years and never had a rent increase. The previous owner has mobility problems and hasn't been to the apartment since she rented it 5 years ago. When I did the inspection prior to closing I found out that the dog they have does its business in one of the bedrooms. There was fresh pee on the hardwood floors and stains from what appeared years of pee. I looked at their lease which ends in six months, and the lease states "No pets". My question is, how can I remove these tenants from my property? They're destroying the apartment and paying about $600 less then market value for it. TIA..
The damage is already done. Since their lease is almost up I would wait and give notice to non renew. Give them plenty of advance notice. No point in wasting your efforts on a eviction in my opinion. Either way you definatly do not want to keep these tenants.
I assume you made plans to reno their apartment before you purchased the building and included the cost of that when buying.
I would also make plans to move the previous owners rent to market ASAP or get rid of her as well. Keeping her was a poor business decision that has devalued your investment. You need to figure out how to now fix that mistake.
If you have not already done so you need to study/learn all your state landlord tenant regulations....NOW
Hire a lawyer and get their opinion. NJ is more tenant friendly than the average state. In addition, if they have had the dog there for a long time they may be able to argue that the landlord lost the right to enforce the no pets clause. This would depend on whether or not the old landlord knew about the pet (or if tenants lie). All that being said, there has to be a way out if they are actively damaging the property and you will need a lawyer to advise you properly.
I hope you got a hell of a discount, because that whole unit will need to be gutted.
The damage is already done. Since their lease is almost up I would wait and give notice to non renew. Give them plenty of advance notice. No point in wasting your efforts on a eviction in my opinion. Either way you definatly do not want to keep these tenants.
I assume you made plans to reno their apartment before you purchased the building and included the cost of that when buying.
I would also make plans to move the previous owners rent to market ASAP or get rid of her as well. Keeping her was a poor business decision that has devalued your investment. You need to figure out how to now fix that mistake.
If you have not already done so you need to study/learn all your state landlord tenant regulations....NOW
@Andrew Boettcher
Thanks Andrew, I did get the property at about 100k less than retail value, I knew coming it that I would need to do work to both apartments.
I would consult with a real estate attorney before attempting to evict. You may want to call a property manager also just to get some advice on how to evict. At this point it may be better to make them move at the end of their lease than to evict now and end up in a lawsuit. Send them written notice 90 days prior to end of lease and request that they move at the end of their lease because the unit needs remodeled.
As far as the previous owner, it sounds like you have an agreement with her to let her stay for a period of time at the reduced rent. I would honor this and not try and get her out. Once the agreement is over, then put her on a plan of rent increases to get her to market level over a period of time.
I am sure you will get this all straightened out. Good Luck!
Im sort of in the same boat, I took on tenants that I had a feeling would be a problem.. So Im not entirely surprised at the way things are going. Im over there 4x a week working on the other unit, and they are blatant with lease breeches. Now they are a day late on rent.
For me it was either take them on, or not get the house in the first place. Chances are they would have thrown my offer in the trash if I asked it to be delivered vacant.
@Walter Aaron Poling
Thanks for the info Walter, I’m not 100% sure that here in NJ you can just say that you won’t renew the lease. I definitely need advice from a local attorney.
@Brian Ellis
I got a good deal on this property and new it would come with headaches, just want to make sure I tackle the issue right. Good luck to you also.
@Harold Valencia
Don’t panic .. hang loose and give the legal notice your not renewIng the lease Before Its up. When these sItuatIons come up you must have the abilIty to bIte your tongue and rIde it out .MIght as well Make Money On Them While They Are There . My advIse Is purposely start to Save back rents for the repairs you know you’ll be doing in the future . Be professional and don’t shoot your golden goose atleast not yet
Echoing what was already said... hire an experienced landlord/tenant attorney and explain the situation. I believe you are correct that you 'cannot refuse to renew the lease.' You have to provide a 'for cause' about why you are not renewing. If you haven't done so already, start to record the damage to the property done by the tenant and the lease violations. Each time there is a new lease violation or refusal to correct prior violations, serve the tenant with a notice. You have to build a record of violations and notices. I hope you can get this tenant out, at the very least, when their lease is up.
In NJ under the Anti-Eviction Act, a landlord cannot impose a rent increase so large that it is "unconscionable", meaning an increase that is extremely harsh or unreasonable.
Unfortunately the term "unconscionable" is subjective and depends on the facts of each case. Only a judge can make a ruling on this.
The damage is already done. Since their lease is almost up I would wait and give notice to non renew. Give them plenty of advance notice. No point in wasting your efforts on a eviction in my opinion. Either way you definatly do not want to keep these tenants.
I assume you made plans to reno their apartment before you purchased the building and included the cost of that when buying.
I would also make plans to move the previous owners rent to market ASAP or get rid of her as well. Keeping her was a poor business decision that has devalued your investment. You need to figure out how to now fix that mistake.
If you have not already done so you need to study/learn all your state landlord tenant regulations....NOW
100% this. Let it expire but give them notice soon that you won't be renewing. Don't tell them it's because of them. Pretend you are moving into the unit or something. Also agreed about getting rid of the previous owner ASAP. I almost bought a four plex recently and the tenants and the previous owner practically demanded that rents not be increased. They even balked when I wanted to walk through the units when I showed up to the appointment specifically to walk through the units during inspection...an appointment we had made for this very reason. I got the tour after telling them to pound sand if they expect me to buy it sight unseen inside, but the tenants were entitled and uncooperative low end people and they had been spoiled by the landlord who had no idea how to manage. I walked but someone else made an offer, been pending for two months since....
SUPER glad I walked. Sometimes the best business decision is to walk or do nothing.
Also, regarding Unconscionable rent increases, check with the town to determine if they have rent control laws. If Landlord increases the rent too high, not only will the Tenant sue the Landlord, but the Town Building Inspector will also go after the Landlord.
@Harold Valencia
Did you read the link Walter provided? You give 30 days minimum notice before lease end, and when the lease expires, it expires. You aren’t bound beyond the term of the lease. The article Walter provided was written from a tenant advocacy point of view, but even it says the landlord can give notice to non-renew.
@Harold Valencia
Did you read the link Walter provided? You give 30 days minimum notice before lease end, and when the lease expires, it expires. You aren’t bound beyond the term of the lease. The article Walter provided was written from a tenant advocacy point of view, but even it says the landlord can give notice to non-renew.