San Mateo, CA · Member since 2017 · 7 posts · 0 votes
I'm renting my home out to a family who are in a middle of a sticky separation. They are unfortunately not being very civil at the moment and as their landlord, I'm somehow caught in the middle of it. The lease ends in one month, but they can't seem to wait it out until then to make changes to their living situation. The wife and children would like to remain in the home for another year, and she has already kicked the husband out. In addition, she had also changed the locks in the home to prevent him from entering. The husband would like to get his portion of the security deposit since he's been kicked out and no longer living there. The wife has agreed to pay for his portion of the deposit and will continue to pay rent on her own. Is this the right way to go? I asked if they could wait until the end of the month for us to do a walk through inspection of the home and re-issue a new lease, but they can't wait that long. What should I do?
When tenants break up the landlord retains the entire deposit until the last tenant leaves. As indivules leave they work out th edeposit between them. Landlord never gets involved.
Rental Property Investor · Galveston, TX · Member since 2018 · 49 posts · 29 votes
7y
@Sarah Brown Is the lease not a “jointly and severally” termed lease?
Although the husband may feel that he is owed half the security deposit, that does not necessarily mean that he is, especially if you have an original tenant still in place.
I assume both of there names are on the lease. First thing is check with your state law on this. It seems the lease is still in effect and the security deposit will continue with the new lease. I would not refund any funds until I was able to inspect the unit. The new lease will be in the wifes name only? As far as the security deposit is concerned, after I inspected and determined there were no deductions then I would refund the deposit in both there names if they are .both on the lease and have her provide a new security deposit. Let them fight over who should get what. I would try to stay out of the drama. If you choose to refund the deposit to him, have a document prepared and have both of them sign it so it is clear on what is being refunded and why.
When tenants break up the landlord retains the entire deposit until the last tenant leaves. As indivules leave they work out th edeposit between them. Landlord never gets involved.
San Mateo, CA · Member since 2017 · 7 posts · 0 votes
7y
@Thomas S. I get your point, and feel this makes the most sense especially since she and the children will still remain. but even if I re-issue a brand new lease to the wife only for the next year, I shouldn't give either of them back the deposit until the whole family leaves?
San Mateo, CA · Member since 2017 · 7 posts · 0 votes
7y
@Theresa Harris It's just a little confusing because we are still a month away from the lease ending. Also the wife and kids will still remain in the home and the security deposit is usually a retainer in case of any damages and if they leave the house cleaned up. Since the husband is only moving out, everything will still be there. I feel like it doesn't make sense for him to get the deposit back until they all move out?
@Sarah Brown She can give him the money directly and then what you have as the deposit gets returned to her when she leaves (minus any damages of course) just as it normally would. So if the deposit is $1000, she gives him $500 and now the $1000 that you have is all her money. The only money that changes hands is between the tenants themselves. You just need to have them both sign a document stating that what YOU have as the deposit is from her
Property Manager · San Diego · Member since 2019 · 26 posts · 9 votes
7y
@Sarah Brown first things first. If he no longer lives there how confident are you she can pay the rent on her own? If you know she is fine on her own and all parties agree that wife will pay his portion of the deposit and everyone agrees in writing that he can be released from the lease and get half the deposit back...No harm no foul. Just make sure she pays his half first, preferably in certified funds.
My experience with these issues is that they qualified for the home together but now with one of the lease holders gone, the remaining person lacks the income to meet the minimum income requirement.
I think you mentioned there was 1 month left. Send them a Notice of non-renewal and have them find a new home. Just make sure you send the notice in compliance with local laws.
San Mateo, CA · Member since 2017 · 7 posts · 0 votes
7y
@Bryan Feltman She was actually the breadwinner, so she can afford the home moving forward. Are you recommending that I don't renew the lease for her and find a new home?
Rental Property Investor · Southern NH · Member since 2017 · 87 posts · 100 votes
7y
We had a similar situation with a boyfriend/girlfriend breakup where the GF left the apartment and went back to her husband. She demanded her security back. I ended it simply by saying while the unit is rented, there needs to be a security deposit on hand. You two figure it out. And that’s the last I heard about it.
Although it’s difficult I don’t let myself get sucked into the personal affairs of feuding tenants as I'm not their mental health counselor or divorce mediator, I’m just there to run a business.
Investor · Philadelphia, PA · Member since 2016 · 2k+ posts · 1k+ votes
7y
I’d work with them to a point. It sounds like they figured it out and all you have to do is execute.
Drop off a lease termination and new 1-year lease with a blank for the effective date. The husband/wife signs the termination, the wife signs the new lease and provides the other half of deposit.
I’d also add a one-pager for ‘security deposit disposition’ which says 1/2 of the $xx deposit will roll over into the wife’s new lease and 1/2 will be returned to xxx at address.
Once you have the signed docs and the whole deposit from the wife, return the deposit to the husband and you’re set.
You’re helping, but staying at arms length from the drama.
Rental Property Investor · Sioux Falls, SD · Member since 2015 · 9k+ posts · 18k+ votes
7y
I have had a couple divorce situations and one person stayed with kids. In both cases, the person stayed for years and there was no trouble.
The issue you have is mostly paperwork. You will want to get his name off the lease and resign a lease with her. You can do that today. No need to wait. Make sure when she writes him the check, that she describes in memo that the check is for half of deposit at said address property. I would ask her to provide you a photo of the check for your records. Then in the future the deposit is returned only to her.
There is no legal reason to throw them out if she has ability to pay and they are current on rent.
Property Manager · San Diego · Member since 2019 · 26 posts · 9 votes
7y
@Sarah Brown if she is the breadwinner and you’re happy with her living in your home than I would have her pay his portion of the deposit, refund his portion and be done with him. But if they are forcing you to get in the middle of their problems and you foresee them getting back together and causing more issues in the future than you have the option to not renew their lease. You just need to do it according to your local laws.