Tenant informs me that they MAY move out in a month

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Tenant informs me that they MAY move out in a month

Dave S.
Investor / Wholesaler · Erie, PA · Member since 2015 · 120 posts · 18 votes

Looking for some advice as my wife and I recently took over as property managers to our rental portfolio. One of our tenants reached out to let us know ..."So it is 90% that we will be moving April 1st. We will know for sure tomorrow". This was received on March 4th...already into the 30 day required notice. As of the 6th, we still dont have a definitive answer! Im looking at it from a business, and time is money. Every day counts. Im holding off marketing the property. So i have a couple questions: 

1) Is the text I received notice enough about moving out? Or do they have to sign something? (which would definitely clear up future move outs!)

2) Suggestions on next steps...its more difficult as we befriended the tenants as well. Also as some history...the tenants have been great and lived there for 3 years.

Looking forward to hearing what others think

Thanks

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Nathan GesnerBusiness Member
Moderator
Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
7y

Tenant must provide "written notice" of intent to terminate. A verbal statement is not official and "90%" is not "100%". 

When they give official notice, the countdown begins. If they don't give that written notice until March 10th then they are responsible for 30 days of rent from that point forward which means they would owe a prorated portion of April rent.

If they argue they gave notice on March 4th, let them know it was only 90% notice and you need the other 10% before it becomes official. :)

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  • Theresa HarrisPro Member
    Member since 2019 · 15k+ posts · 11k+ votes
    7y

    What does your lease say?  Most will say 30 or 60 days notice.  They haven't given you formal notice.  Remind them the lease says 30 (or 60) days notice and they're responsible for the rent during that time.  I'm assuming they are month to month.

    1Reply
  • Nathan GesnerBusiness Member
    Moderator
    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    7y

    Tenant must provide "written notice" of intent to terminate. A verbal statement is not official and "90%" is not "100%". 

    When they give official notice, the countdown begins. If they don't give that written notice until March 10th then they are responsible for 30 days of rent from that point forward which means they would owe a prorated portion of April rent.

    If they argue they gave notice on March 4th, let them know it was only 90% notice and you need the other 10% before it becomes official. :)

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  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    7y

    So as everyone else said they haven't given you 30 day notice and they haven't even confirmed.

    Some judges are accepting a text as written notice. I have updated my lease to specifically say that a text from a tenant is not considered written notice. I did not say that a text from me isn't written notice. 

    Judges I have talked to say that if someone responds to a text or an email they would consider this written notice.

    But again you didn't get the required 30 day notice.

    1Reply
  • Alex S.
    Specialist · Cleveland, OH · Member since 2018 · 270 posts · 187 votes
    7y

    30 day notice is the minimum and it has to be in writing. When is their lease up? Or they are month to month?

    0Reply
  • Johann Jells
    Rental Property Investor · Jersey City, NJ · Member since 2011 · 1k+ posts · 876 votes
    7y
    Originally posted by @Nathan Gesner:

    When they give official notice, the countdown begins. If they don't give that written notice until March 10th then they are responsible for 30 days of rent from that point forward which means they would owe a prorated portion of April rent.

     My research indicates that this is not correct, at  least here in NJ.  The 30 days is considered to be by pay period, not any random 30 days. If they pay on the 1st, they need to give notice before March 1st to move April 1st.

    1Reply
  • Patricia Steiner
    Real Estate Broker · Hyde Park Tampa, FL · Member since 2019 · 2k+ posts · 3k+ votes
    7y

    It's not notice.  I recommend:

    Right now, send a text reminding him that a 30 day written notice is required to terminate the lease per the contract.  Let him know that if he gave notice today, he would be liable for rent through April 7th.  

    What will you accept as written notice?  Will a text be okay?  An email?  Be sure you include that in your text so that there is no expectation of something other than that.

    Be clear, concise with just the facts.  Mr. 90% wasn't even 10% correct in how he handled this.  

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  • Nathan GesnerBusiness Member
    Moderator
    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    7y

    @Johann Jells and that's why it's important to know your state law. Most states allow the Tenant to give notice on any day of the month and then they terminate 30 calendar days later. Some states require the termination to take place at the end of a calendar month.

    Thanks for reminding me.

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  • Anthony Wick
    Rental Property Investor · Ankeny, IA · Member since 2017 · 2k+ posts · 3k+ votes
    7y

    @Dave Saveri

    Leases are important. We can’t give you a good answer without seeing yours. But we all know that “I may move out” is not a notice of moving out.

    0Reply
  • Robert Hooks
    Real Estate Agent · Los Angeles · Member since 2018 · 17 posts · 7 votes
    7y

    Raise the rent and see if they give you a written notice. JK

    It sounds like even if they do not move out this month or next they are thinking about it. 

    I would ask them to cooperate holding an open house next weekend and see how they respond. If they respond aggressively just tell them you are trying to cover your bases and ask if this was just a whim thought or are they intent on moving as soon as they find another place?

    If the latter then push to show and as referenced above check with state and/or local municipalities on specifics rules and delivery notice instructions/time frames around a landlord's notice to enter which one valid reason for doing so is to show the unit to prospective tenants.

    If you have not been in the unit in a while this is also a way for you to do an inspection it as you show it. Be sure to take pictures of any damage that you may want to deduct repairs for from the security deposit.

    They may be friends but at some point it has to be business.

    Good luck.

    R

    0Reply
  • Kyle J.
    Rental Property Investor · Northern, CA · Member since 2012 · 5k+ posts · 5k+ votes
    7y

    I would accept a text message if they said they were definitely moving out on a particular day, and I think most judges would too. However, I would not consider a text message that said they MIGHT move out as notice. I’d tell them you’ll start the 30 day clock 30 days from when they confirm a definite move out date. Not before. 

    1Reply
  • Dennis M.
    Rental Property Investor · Erie, PA · Member since 2018 · 6k+ posts · 9k+ votes
    7y

    I hear tenants say this all the time . Take it with a grain of salt .

    0Reply
  • Blaine Johnson
    Rental Property Investor · Pocatello, ID · Member since 2014 · 33 posts · 6 votes
    7y

    @Johann Jells

    Same goes in Idaho. If they give notice beyond the first of a given month, they are responsible for the FOLLOWING month. The same is true for rent increases on my part. 30 days ahead of the intended month is required for ANY lease changes. Month to month is still a lease/rent agreement.

    1Reply
  • Ned J.Pro Member
    Investor · Manteca, CA · Member since 2017 · 1k+ posts · 2k+ votes
    7y

    Until its 100%, there is no "clock ticking" on the notice...and that's what I would emphasize and tell the tenant...... 90% aint gonna cut it.... nothing is official notice until I get a 100%. I may start thinking and planning ahead of time, but the tenant is still on the hook for the lease terms.

    I would accept a 100% statement via text...easy to document and have proof....not really any different than email...... but it has to be a "100% this is our notice" and then the clock starts.

    0Reply
  • Scott P.
    Rental Property Investor · Indiana...mostly · Member since 2019 · 468 posts · 245 votes
    7y

    My answer is a little different than the consensus answers so far....I love getting informal notice from a tenant who "may" (or may not) move, especially one like yours who has been there 3 years and has been great.  Informal notice allows me to put out, or have them put out, a sign so that I can start receiving applications.  I sense you're hesitant to do that?  Maybe there is a cost in your case to "marketing the property"?  My advertising in only the sign in the yard.

     Of course, I tell callers that I don't know when the property will be available for sure but in my case that helps me determine who really wants the property next and is willing to flex their schedule to get it.  In my experience, those are stable tenants.  

    I would even tell my current tenant that if they gave notice and then decided to stay another month and not move yet that's no problem.  Why take a chance on the new tenant when I have one I like?  Of course i can't promise the unit to anyone else either.

    The Lease may govern the time notice and method of notice but I'm flexible on that with my tenants.  I doubt the time and energy to recover any $ from them for not giving exactly proper notice would be worth the effort and might not be legally possibly anyway.  So I take the "nice guy" approach and let them stay and pay as long as possible while I have time to prepare for them to move.

    Good luck!

    0Reply
  • Matt M.
    Specialist · Easton, PA · Member since 2018 · 1k+ posts · 2k+ votes
    7y

    @Dave Saveri

    Hi Dave,

    I would ask them ASAP what their intentions are, and remind them of the amount of notice they need to give you per your lease. If they leave April 8 at this point, they owe you 8 days rent for April. I would either ask for the money or take it out of their security deposit if they have one coming back. Nazareth is a good area, shouldn’t have trouble re-renting especially once it gets warmer here. Oh and hey.. if you ever need a good local contractor, feel free to reach out. I’m in Palmer Twp.

    0Reply
  • Lynn McGeein
    Real Estate Agent · Virginia Beach, VA · Member since 2012 · 2k+ posts · 1k+ votes
    7y

    This has happened to me on occasion.  If they said "we will know for sure tomorrow" but did not give official notice, just contact them and say, Assuming you are not giving written notice.  That way you've clarified it.  If they do give notice and they're great tenants with a special circumstance, like a job offer out-of-state, I have been known to just let them give insufficient notice, but I have everyone sign an early termination addendum, something like, Tenant agrees to vacate no later than x date.  As of this date, Rent has been paid in full through x date; $____ balance for rents through x date due by....  Landlord may market and show the property with 24-hours notice, although I usually only do that if it's one of those tenants that looks like it's been staged -- I've been lucky enough to have a few of those -- and I usually just set up many appointments over a 3-hour window on a weekend afternoon to make it easy for all.  It also has something about penalties if tenant does not vacate and unit has been leased, where they would be responsible for any damages resulting from that scenario.

    Also, never befriend tenants.  A cordial business relationship is fine, but once you're "friends" it makes everything more difficult.   

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