Stressed: Non-paying pro tenant suing for everythingg.
CA · Member since 2019 · 7 posts · 4 votes
Stressed: Non-paying pro tenant suing for everythingg.
Most Popular Reply
Investor · Gardena, CA · Member since 2017 · 445 posts · 398 votes
7yYou must have specific philosophies you adhere to to run any business and to keep yourself in-check and safe from a nervous breakdown. Before you start your a business you need to set yourself up with a mind-set, business plan and business model that protects yourself both financially so you make better profits and protect yourself from not wanting to run a very profitable business. Yes! Being a landlord is really a serious business and should not be looked at like it is something that does not need any thought in regards to how you will react and what you will do when you have tenant problems.
This is how it works. You knew that tenants can be problems and drive you insane when they tear up your property and don't pay the rent. The day I put my first multi-unit property in escrow I make a promise to myself that I would never let a tenant get me emotionally upset. I told myself that running a rental property business was exactly the same as running a gas station, liquor store, or any other type of business and every type business has inherent problems that can drive most people crazy.
So, I closed escrow on my first 28-unit building, called in my bulldozer operator, knocked down the entrance doors to the courtyard, ripped out the trees, stairs, concrete sidewalks and swimming pool. The tenants were so angry about the mess one tenant spit in my face and wanted to fight. I am quite a hothead myself and this tenant was a wimpy 4-/1/2 foot 85 pound Asian, but I actually smiled and asked the tenant when he was going to move. My wife and workers could not believe I was so cool and was smiling and they asked me why. I said it was because I made that promise to myself, ahead of time, and because when a tenant moves I make an instant $36,000 profit by increasing the rents.
I also set up a business plan with operating policies to keep from going insane. Whenever you want to evict a tenant, or any time you have a tenant with a trash mouth you do not every say one word to that tenant. The only want you can communicate is in writing. This way you don't antagonize each other and you don't put yourself in a situation where you have to argue in court about what happened.
When I write a letter and make a demand I do not give tenants the idea that they can negotiate and drag out the eviction. I spell out exactly what their deadline, when I will file with an attorney and that they will be liable for all the costs.
Then, even though you are taking a loss, turn your eviction over to an attorney and bear the costs because if you don't get an attorney very quickly you are injuring yourself. I've evicted about 40 tenants and almost every one takes exactly 7 weeks and costs about $650. That is not bad at all when you should have at least a one-month security deposit. So, maybe you lose 1 month rent plus attorney costs. As for mold and all the other garbage, any judge should understand that you have the 'tenant from hell' and tenant's claim is only a ploy to remain in the rental unit he is not paying rent for.
I've has several tenants bring up the issue about mold in their apartment. The first thing I tell a tenant is that if they even suspect there is a mold problem they cannot remain in the unit for even one more night, or they do so at their own risk. Then this is my procedure.
1) I immediately give the tenant a notice to vacate the apartment, immediately, or they remain at their own risk.
2) The second thing I do is I give the tenant a 24-hour notice telling them that we are entering their apartment, with or without them being present, and I have the apartment tested for mold. The cost for the test is about $500, but the peace-of-mind and knowing that I am acting for the best interest of the tenant is well-worth $500.
3) Usually, the only mold you find in rental properties is penicillium found on bathtub walls and in showers. This mold is caused by the tenants when they don't clean the walls and grout. I send a letter telling tenants that there was no mold in the bathroom when they moved in and mold growth was caused due to their failure to keep their bathroom clean.
4) I evict every tenant who even mentions the word 'mold' because sooner or later you will have problems with this type mentality. I had one tenant who lived in an apartment for only a few weeks and he said his nose was bleeding due to mold in the apartment. I spent $20,000 remodeling the entire apartment just before he moved in. The day the tenant told me he was sick from the mold I told him that he could not stay in the apartment for one more night. We argued for about 3 hours and finally I convinced him to move into another apartment on the same property before the end of the day. I moved him within a few hours on a Saturday and I evicted him from that apartment on Monday morning. Then, I paid a mold testing company to test the apartment just in case the tenant sued me.
For the landlords who don't have the proper business plan and mind-set the loss is much greater and these landlords hate owning rental properties. Then, it is all downhill from there.
35 Replies
- Rental Property Investor · Davenport, FL · Member since 2013 · 285 posts · 220 votes7y
Sorry about your situation! It is definitely time to hire professional help. Get a lawyer on your side to combat these guys and in the future, focus ALL of your attention on pre-screening tenants and setting minimum standards for your rentals. (Not saying you didn't this time - bad ones fall through the cracks regardless but a good reminder to everyone).
Good luck getting them out and recovering from this and I wish you luck in your future investing! Keep moving forward past this!
Here are out miniumum requirements:
Minimum Requirements:- Applicants must make three times (3x) rent in income
- Must show proof of income (Last 30 days of pay statements or other income)
- Applicants must have suitable criminal history background results determined by property management
- Applicants must have suitable credit history. Minimum credit score is 550. If credit history cannot be verified due to lack of credit or if credit score below 670, you may qualify with additional deposit up to 100% of security deposit
- No prior evictions, suitable past rent history and positive landlord reference
- We perform a credit check, criminal background check, employment verification and rental history verification on every applicant
* This list and any information on this page is provided for informational purposes only, please refer to the latest application for the most up-to-date rules
Application Process:
- Call *** for pre-qualification and to schedule a showing
- Each applicant 18+ years old must submit a separate application
- $45 for each application (paid online at submission of online application)
- To apply, click "Apply Now" on the desired property page
- The entire application must be completely filled out or the application may be rejected
- Approved applicants will be notified by phone
- Holding Deposit must be paid within 24 hours of approval to hold the unit. If holding deposit has not been received after 24 hours, the unit will be offered to the next eligible applicant. Holding deposits apply toward security deposit and are non-refundable if tenant fails to occupy the unit. Holding deposit is $400.
- Move-in costs, including full security deposit and first months rent must be paid prior to move-in date (if move in date is 25th or later, next month will also be charged)
- Utilities must be placed in tenants name prior to receiving keys
- Administration fee of $100 applies to all approved applicants
- Standard lease terms are typically 9-12 months, depending on the time tenancy is scheduled to begin. Shorter-term lease options, including month-to-month, are available, and will be charged additional monthly rent (up to 125% of long-term rental rate) and/or a non-refundable convenience fee of $300.
- Please review the lease agreement prior to applying
Smoking Policy:
- Our rentals are strictly non-smoking
- Tenant’s guests who smoke should only smoke outdoors, at least 25 feet from any door or window and not on the property
- Tenants will be fully responsible for damage caused by them or their guests during their tenancy
Pet Policy:
- If pets are allowed, pet deposit may equal up to 100% of security deposit
- Pet rent of $30 per pet (up to a maximum of $90 a month) may be applied
- Maximum 3 pets
- Breeds not allowed by insurance include, but are not limited to: Animals with a previous bite history or vicious propensities, Dobermans, Chows, Rottweilers, Akitas, American Staffordshire Terriers (Pit Bulls), attack dogs and Wolf Hybrids, (or any mix thereof) Ostriches, Emus, Horses, Farm or Ranch animals, or any type of wild exotic animals or pets.
- Real Estate Agent · Dallas, TX · Member since 2019 · 3 posts · 1 vote7y
I would definitely seek out the advice of a lawyer in this case Jack. If you haven’t done anything that would put you in the wrong legally speaking, it will alleviate your concerns to hear that said from a lawyer. A professional who has heard the personal details of this case will be able to guide you in the right direction, and help you plan a course of action. Also in the future what David posted about tenant screening is great advice.
- CA · Member since 2019 · 7 posts · 4 votes7y
Originally posted by @David Stone:
Sorry about your situation! It is definitely time to hire professional help. Get a lawyer on your side to combat these guys and in the future, focus ALL of your attention on pre-screening tenants and setting minimum standards for your rentals. (Not saying you didn't this time - bad ones fall through the cracks regardless but a good reminder to everyone).
Good luck getting them out and recovering from this and I wish you luck in your future investing! Keep moving forward past this!
Here are out miniumum requirements:
Minimum Requirements:- Applicants must make three times (3x) rent in income
- Must show proof of income (Last 30 days of pay statements or other income)
- Applicants must have suitable criminal history background results determined by property management
- Applicants must have suitable credit history. Minimum credit score is 550. If credit history cannot be verified due to lack of credit or if credit score below 670, you may qualify with additional deposit up to 100% of security deposit
- No prior evictions, suitable past rent history and positive landlord reference
- We perform a credit check, criminal background check, employment verification and rental history verification on every applicant
* This list and any information on this page is provided for informational purposes only, please refer to the latest application for the most up-to-date rules
Application Process:
- Call *** for pre-qualification and to schedule a showing
- Each applicant 18+ years old must submit a separate application
- $45 for each application (paid online at submission of online application)
- To apply, click "Apply Now" on the desired property page
- The entire application must be completely filled out or the application may be rejected
- Approved applicants will be notified by phone
- Holding Deposit must be paid within 24 hours of approval to hold the unit. If holding deposit has not been received after 24 hours, the unit will be offered to the next eligible applicant. Holding deposits apply toward security deposit and are non-refundable if tenant fails to occupy the unit. Holding deposit is $400.
- Move-in costs, including full security deposit and first months rent must be paid prior to move-in date (if move in date is 25th or later, next month will also be charged)
- Utilities must be placed in tenants name prior to receiving keys
- Administration fee of $100 applies to all approved applicants
- Standard lease terms are typically 9-12 months, depending on the time tenancy is scheduled to begin. Shorter-term lease options, including month-to-month, are available, and will be charged additional monthly rent (up to 125% of long-term rental rate) and/or a non-refundable convenience fee of $300.
- Please review the lease agreement prior to applying
Smoking Policy:
- Our rentals are strictly non-smoking
- Tenant’s guests who smoke should only smoke outdoors, at least 25 feet from any door or window and not on the property
- Tenants will be fully responsible for damage caused by them or their guests during their tenancy
Pet Policy:
- If pets are allowed, pet deposit may equal up to 100% of security deposit
- Pet rent of $30 per pet (up to a maximum of $90 a month) may be applied
- Maximum 3 pets
- Breeds not allowed by insurance include, but are not limited to: Animals with a previous bite history or vicious propensities, Dobermans, Chows, Rottweilers, Akitas, American Staffordshire Terriers (Pit Bulls), attack dogs and Wolf Hybrids, (or any mix thereof) Ostriches, Emus, Horses, Farm or Ranch animals, or any type of wild exotic animals or pets.
Decent paying tenants for years. Hard to understand how they can turn like that.
Lost for words.
How much will it costs for a defense lawyer to defend these frivolous cases if it does get to court?
- Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes7y
Get an eviction attorney, keep moving ahead. There is a Very small chance they sue you for anything....it would cost them money as no attorney will take their case on a contingency.....it’s just a threat to scare you and buy more time rent free, if you fall for it.
- CA · Member since 2019 · 7 posts · 4 votes7y
Originally posted by @Wayne Brooks:
Get an eviction attorney, keep moving ahead. There is a Very small chance they sue you for anything....it would cost them money as no attorney will take their case on a contingency.....it’s just a threat to scare you and buy more time rent free, if you fall for it.
Eviction is still on while court date is still waiting. But I already contacted my insurance so I might have gotten tricked. Too late to cancel that claim. Now their lawyers has insurance so money signs just go way up.
I'm stuck and it's the weekend so law offices are closed.
- Real Estate Broker · Cleveland Dayton Cincinnati Toledo Columbus & Akron, OH · Member since 2013 · 30k+ posts · 20k+ votes7y
Originally posted by @Jack Lauer:
Hi guys,
Newer sfh investor. Started eviction after non payments. After the delays in court date process. It's month 4 no payment. Now they repeatedly threatened with a lawyers demand letter inhabitable health issues for mold and other issues. They shut down phones and emails.
From the PM and us. Every repair has been taken care of and documented. Definitely stressed about it. Called insurance and they aren't sure about mold coverage liability. Calling insurance might have been a mistake also since it's only a threat.
Should I get my own lawyer and proceed? I'm stuck in a tough situation. Need some help.
I assume the property management company has an attorney working on this case correct? Where are you at in regards to the eviction? In most jurisdictions even if there are needed repairs at the property the tenant can't simply stop paying the rent. They need to pay it to the court system, there is a whole process. Has that happened or did they just stop paying? You may be in a much better situation than you think.
- CA · Member since 2019 · 7 posts · 4 votes7y
Originally posted by @James Wise:
Originally posted by @Jack Lauer:
Hi guys,
Newer sfh investor. Started eviction after non payments. After the delays in court date process. It's month 4 no payment. Now they repeatedly threatened with a lawyers demand letter inhabitable health issues for mold and other issues. They shut down phones and emails.
From the PM and us. Every repair has been taken care of and documented. Definitely stressed about it. Called insurance and they aren't sure about mold coverage liability. Calling insurance might have been a mistake also since it's only a threat.
Should I get my own lawyer and proceed? I'm stuck in a tough situation. Need some help.
I assume the property management company has an attorney working on this case correct? Where are you at in regards to the eviction? In most jurisdictions even if there are needed repairs at the property the tenant can't simply stop paying the rent. They need to pay it to the court system, there is a whole process. Has that happened or did they just stop paying? You may be in a much better situation than you think.
All the notices are in, just waiting on the court date. They delayed the first one already. They were 2.5 months behind before claiming all this BS. Then decided there's a loophole. Here's the thing, the insurance is involved now and I might be locked out with evicting.
- Real Estate Broker · Cleveland Dayton Cincinnati Toledo Columbus & Akron, OH · Member since 2013 · 30k+ posts · 20k+ votes7y
Originally posted by @Jack Lauer:
Originally posted by @James Wise:
Originally posted by @Jack Lauer:
Hi guys,
Newer sfh investor. Started eviction after non payments. After the delays in court date process. It's month 4 no payment. Now they repeatedly threatened with a lawyers demand letter inhabitable health issues for mold and other issues. They shut down phones and emails.
From the PM and us. Every repair has been taken care of and documented. Definitely stressed about it. Called insurance and they aren't sure about mold coverage liability. Calling insurance might have been a mistake also since it's only a threat.
Should I get my own lawyer and proceed? I'm stuck in a tough situation. Need some help.
I assume the property management company has an attorney working on this case correct? Where are you at in regards to the eviction? In most jurisdictions even if there are needed repairs at the property the tenant can't simply stop paying the rent. They need to pay it to the court system, there is a whole process. Has that happened or did they just stop paying? You may be in a much better situation than you think.
All the notices are in, just waiting on the court date. They delayed the first one already. They were 2.5 months behind before claiming all this BS. Then decided there's a loophole. Here's the thing, the insurance is involved now and I might be locked out with evicting.
Insurance company has nothing to do with this. You have a non paying tenant, evict them. After that if you've got things in your property that need repaired, repair them.
- Investor · Los Angeles, CA · Member since 2017 · 523 posts · 476 votes7y
Originally posted by @Jack Lauer:
Hi guys,
Newer sfh investor. Started eviction after non payments. After the delays in court date process. It's month 4 no payment. Now they repeatedly threatened with a lawyers demand letter inhabitable health issues for mold and other issues. They shut down phones and emails.
From the PM and us. Every repair has been taken care of and documented. Definitely stressed about it. Called insurance and they aren't sure about mold coverage liability. Calling insurance might have been a mistake also since it's only a threat.
Should I get my own lawyer and proceed? I'm stuck in a tough situation. Need some help.
Which county are you in? And yes, I think if you're not experienced with housing court in CA, a lawyer is a must from day one. I will admit that as a lawyer (not in this field), I am biased, but really, it is important.
Remember that we have professional tenants here (who live for free by knowing how to abuse laws), and also groups like the Eviction Defense Network and BASTA (if you live in Los Angeles), who help tenants for free, and collect attorney's fees. The good news is, with a smart lawyer, these issues can absolutely be handled. I would ask your fellow investors and property managers in your area, who they work with on evictions.
- Investor · Gardena, CA · Member since 2017 · 445 posts · 398 votes7y
You must have specific philosophies you adhere to to run any business and to keep yourself in-check and safe from a nervous breakdown. Before you start your a business you need to set yourself up with a mind-set, business plan and business model that protects yourself both financially so you make better profits and protect yourself from not wanting to run a very profitable business. Yes! Being a landlord is really a serious business and should not be looked at like it is something that does not need any thought in regards to how you will react and what you will do when you have tenant problems.
This is how it works. You knew that tenants can be problems and drive you insane when they tear up your property and don't pay the rent. The day I put my first multi-unit property in escrow I make a promise to myself that I would never let a tenant get me emotionally upset. I told myself that running a rental property business was exactly the same as running a gas station, liquor store, or any other type of business and every type business has inherent problems that can drive most people crazy.
So, I closed escrow on my first 28-unit building, called in my bulldozer operator, knocked down the entrance doors to the courtyard, ripped out the trees, stairs, concrete sidewalks and swimming pool. The tenants were so angry about the mess one tenant spit in my face and wanted to fight. I am quite a hothead myself and this tenant was a wimpy 4-/1/2 foot 85 pound Asian, but I actually smiled and asked the tenant when he was going to move. My wife and workers could not believe I was so cool and was smiling and they asked me why. I said it was because I made that promise to myself, ahead of time, and because when a tenant moves I make an instant $36,000 profit by increasing the rents.
I also set up a business plan with operating policies to keep from going insane. Whenever you want to evict a tenant, or any time you have a tenant with a trash mouth you do not every say one word to that tenant. The only want you can communicate is in writing. This way you don't antagonize each other and you don't put yourself in a situation where you have to argue in court about what happened.
When I write a letter and make a demand I do not give tenants the idea that they can negotiate and drag out the eviction. I spell out exactly what their deadline, when I will file with an attorney and that they will be liable for all the costs.
Then, even though you are taking a loss, turn your eviction over to an attorney and bear the costs because if you don't get an attorney very quickly you are injuring yourself. I've evicted about 40 tenants and almost every one takes exactly 7 weeks and costs about $650. That is not bad at all when you should have at least a one-month security deposit. So, maybe you lose 1 month rent plus attorney costs. As for mold and all the other garbage, any judge should understand that you have the 'tenant from hell' and tenant's claim is only a ploy to remain in the rental unit he is not paying rent for.
I've has several tenants bring up the issue about mold in their apartment. The first thing I tell a tenant is that if they even suspect there is a mold problem they cannot remain in the unit for even one more night, or they do so at their own risk. Then this is my procedure.
1) I immediately give the tenant a notice to vacate the apartment, immediately, or they remain at their own risk.
2) The second thing I do is I give the tenant a 24-hour notice telling them that we are entering their apartment, with or without them being present, and I have the apartment tested for mold. The cost for the test is about $500, but the peace-of-mind and knowing that I am acting for the best interest of the tenant is well-worth $500.
3) Usually, the only mold you find in rental properties is penicillium found on bathtub walls and in showers. This mold is caused by the tenants when they don't clean the walls and grout. I send a letter telling tenants that there was no mold in the bathroom when they moved in and mold growth was caused due to their failure to keep their bathroom clean.
4) I evict every tenant who even mentions the word 'mold' because sooner or later you will have problems with this type mentality. I had one tenant who lived in an apartment for only a few weeks and he said his nose was bleeding due to mold in the apartment. I spent $20,000 remodeling the entire apartment just before he moved in. The day the tenant told me he was sick from the mold I told him that he could not stay in the apartment for one more night. We argued for about 3 hours and finally I convinced him to move into another apartment on the same property before the end of the day. I moved him within a few hours on a Saturday and I evicted him from that apartment on Monday morning. Then, I paid a mold testing company to test the apartment just in case the tenant sued me.For the landlords who don't have the proper business plan and mind-set the loss is much greater and these landlords hate owning rental properties. Then, it is all downhill from there.
- 7yJay HinrichsBusiness MemberReal Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
Originally posted by @David Stone:
Sorry about your situation! It is definitely time to hire professional help. Get a lawyer on your side to combat these guys and in the future, focus ALL of your attention on pre-screening tenants and setting minimum standards for your rentals. (Not saying you didn't this time - bad ones fall through the cracks regardless but a good reminder to everyone).
Good luck getting them out and recovering from this and I wish you luck in your future investing! Keep moving forward past this!
Here are out miniumum requirements:
Minimum Requirements:- Applicants must make three times (3x) rent in income
- Must show proof of income (Last 30 days of pay statements or other income)
- Applicants must have suitable criminal history background results determined by property management
- Applicants must have suitable credit history. Minimum credit score is 550. If credit history cannot be verified due to lack of credit or if credit score below 670, you may qualify with additional deposit up to 100% of security deposit
- No prior evictions, suitable past rent history and positive landlord reference
- We perform a credit check, criminal background check, employment verification and rental history verification on every applicant
* This list and any information on this page is provided for informational purposes only, please refer to the latest application for the most up-to-date rules
Application Process:
- Call *** for pre-qualification and to schedule a showing
- Each applicant 18+ years old must submit a separate application
- $45 for each application (paid online at submission of online application)
- To apply, click "Apply Now" on the desired property page
- The entire application must be completely filled out or the application may be rejected
- Approved applicants will be notified by phone
- Holding Deposit must be paid within 24 hours of approval to hold the unit. If holding deposit has not been received after 24 hours, the unit will be offered to the next eligible applicant. Holding deposits apply toward security deposit and are non-refundable if tenant fails to occupy the unit. Holding deposit is $400.
- Move-in costs, including full security deposit and first months rent must be paid prior to move-in date (if move in date is 25th or later, next month will also be charged)
- Utilities must be placed in tenants name prior to receiving keys
- Administration fee of $100 applies to all approved applicants
- Standard lease terms are typically 9-12 months, depending on the time tenancy is scheduled to begin. Shorter-term lease options, including month-to-month, are available, and will be charged additional monthly rent (up to 125% of long-term rental rate) and/or a non-refundable convenience fee of $300.
- Please review the lease agreement prior to applying
Smoking Policy:
- Our rentals are strictly non-smoking
- Tenant’s guests who smoke should only smoke outdoors, at least 25 feet from any door or window and not on the property
- Tenants will be fully responsible for damage caused by them or their guests during their tenancy
Pet Policy:
- If pets are allowed, pet deposit may equal up to 100% of security deposit
- Pet rent of $30 per pet (up to a maximum of $90 a month) may be applied
- Maximum 3 pets
- Breeds not allowed by insurance include, but are not limited to: Animals with a previous bite history or vicious propensities, Dobermans, Chows, Rottweilers, Akitas, American Staffordshire Terriers (Pit Bulls), attack dogs and Wolf Hybrids, (or any mix thereof) Ostriches, Emus, Horses, Farm or Ranch animals, or any type of wild exotic animals or pets.
how are you going to handle the new laws that passed in OR and WA that say that a few of your items you mention you cant use anymore like income criminal etc.. its going to be a free for all for scuzzy tenants I am afraid.. I suppose you insulate your self by buying top of the market instead of bottom of markets were these type of life long tenants Professional tenants seem to dwell.
- Rental Property Investor · Davenport, FL · Member since 2013 · 285 posts · 220 votes7y
@Jay Hinrichs, do you have a link to these new laws? (specifically pertaining to income and criminal). I've seen the law changing the # of the 3 day pay or vacate, 20 day notice, etc. but nothing pertaining to changing by ability to discriminate income, criminal history, etc.
- CA · Member since 2019 · 7 posts · 4 votes7y
Originally posted by @Account Closed:
You must have specific philosophies you adhere to to run any business and to keep yourself in-check and safe from a nervous breakdown. Before you start your a business you need to set yourself up with a mind-set, business plan and business model that protects yourself both financially so you make better profits and protect yourself from not wanting to run a very profitable business. Yes! Being a landlord is really a serious business and should not be looked at like it is something that does not need any thought in regards to how you will react and what you will do when you have tenant problems.
This is how it works. You knew that tenants can be problems and drive you insane when they tear up your property and don't pay the rent. The day I put my first multi-unit property in escrow I make a promise to myself that I would never let a tenant get me emotionally upset. I told myself that running a rental property business was exactly the same as running a gas station, liquor store, or any other type of business and every type business has inherent problems that can drive most people crazy.
So, I closed escrow on my first 28-unit building, called in my bulldozer operator, knocked down the entrance doors to the courtyard, ripped out the trees, stairs, concrete sidewalks and swimming pool. The tenants were so angry about the mess one tenant spit in my face and wanted to fight. I am quite a hothead myself and this tenant was a wimpy 4-/1/2 foot 85 pound Asian, but I actually smiled and asked the tenant when he was going to move. My wife and workers could not believe I was so cool and was smiling and they asked me why. I said it was because I made that promise to myself, ahead of time, and because when a tenant moves I make an instant $36,000 profit by increasing the rents.
I also set up a business plan with operating policies to keep from going insane. Whenever you want to evict a tenant, or any time you have a tenant with a trash mouth you do not every say one word to that tenant. The only want you can communicate is in writing. This way you don't antagonize each other and you don't put yourself in a situation where you have to argue in court about what happened.
When I write a letter and make a demand I do not give tenants the idea that they can negotiate and drag out the eviction. I spell out exactly what their deadline, when I will file with an attorney and that they will be liable for all the costs.
Then, even though you are taking a loss, turn your eviction over to an attorney and bear the costs because if you don't get an attorney very quickly you are injuring yourself. I've evicted about 40 tenants and almost every one takes exactly 7 weeks and costs about $650. That is not bad at all when you should have at least a one-month security deposit. So, maybe you lose 1 month rent plus attorney costs. As for mold and all the other garbage, any judge should understand that you have the 'tenant from hell' and tenant's claim is only a ploy to remain in the rental unit he is not paying rent for.
I've has several tenants bring up the issue about mold in their apartment. The first thing I tell a tenant is that if they even suspect there is a mold problem they cannot remain in the unit for even one more night, or they do so at their own risk. Then this is my procedure.
1) I immediately give the tenant a notice to vacate the apartment, immediately, or they remain at their own risk.
2) The second thing I do is I give the tenant a 24-hour notice telling them that we are entering their apartment, with or without them being present, and I have the apartment tested for mold. The cost for the test is about $500, but the peace-of-mind and knowing that I am acting for the best interest of the tenant is well-worth $500.
3) Usually, the only mold you find in rental properties is penicillium found on bathtub walls and in showers. This mold is caused by the tenants when they don't clean the walls and grout. I send a letter telling tenants that there was no mold in the bathroom when they moved in and mold growth was caused due to their failure to keep their bathroom clean.
4) I evict every tenant who even mentions the word 'mold' because sooner or later you will have problems with this type mentality. I had one tenant who lived in an apartment for only a few weeks and he said his nose was bleeding due to mold in the apartment. I spent $20,000 remodeling the entire apartment just before he moved in. The day the tenant told me he was sick from the mold I told him that he could not stay in the apartment for one more night. We argued for about 3 hours and finally I convinced him to move into another apartment on the same property before the end of the day. I moved him within a few hours on a Saturday and I evicted him from that apartment on Monday morning. Then, I paid a mold testing company to test the apartment just in case the tenant sued me.For the landlords who don't have the proper business plan and mind-set the loss is much greater and these landlords hate owning rental properties. Then, it is all downhill from there.
Very good advice treating it like a true business. Have you had any lawsuits or demand letter threats during the eviction process?
I messed things up by getting the insurance involved due to fear of lawsuits. That's where I did wrong.
- 7yJay HinrichsBusiness MemberReal Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
Originally posted by @David Stone:
@Jay Hinrichs, do you have a link to these new laws? (specifically pertaining to income and criminal). I've seen the law changing the # of the 3 day pay or vacate, 20 day notice, etc. but nothing pertaining to changing by ability to discriminate income, criminal history, etc.
its all over the news.. I don't own rentals so I don't follow specifics and it could be only Portland proper and Seattle proper not out in the country were your at.. rent control is not that big of an issue in rural OR WA it self regulates based on average income in Rural WA and OR.. you not going ot rent 2500 dollar a month 1 bd apartments in Aberdeen for instance.. But to me its just a matter of time in our area were politics and votes are controlled by the population centers and those folks are very liberal thinking anti business etc.
- Rental Property Investor · Davenport, FL · Member since 2013 · 285 posts · 220 votes7y
Originally posted by @Jay Hinrichs:
Originally posted by @David Stone:
@Jay Hinrichs, do you have a link to these new laws? (specifically pertaining to income and criminal). I've seen the law changing the # of the 3 day pay or vacate, 20 day notice, etc. but nothing pertaining to changing by ability to discriminate income, criminal history, etc.
its all over the news.. I don't own rentals so I don't follow specifics and it could be only Portland proper and Seattle proper not out in the country were your at.. rent control is not that big of an issue in rural OR WA it self regulates based on average income in Rural WA and OR.. you not going ot rent 2500 dollar a month 1 bd apartments in Aberdeen for instance.. But to me its just a matter of time in our area were politics and votes are controlled by the population centers and those folks are very liberal thinking anti business etc.
That's why we buy out in good ol' Grays Harbor, LOL! I hear you though! But there's always a way. Adapt and oversome :)
- 7yJay HinrichsBusiness MemberReal Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
Originally posted by @David Stone:
Originally posted by @Jay Hinrichs:
Originally posted by @David Stone:
@Jay Hinrichs, do you have a link to these new laws? (specifically pertaining to income and criminal). I've seen the law changing the # of the 3 day pay or vacate, 20 day notice, etc. but nothing pertaining to changing by ability to discriminate income, criminal history, etc.
its all over the news.. I don't own rentals so I don't follow specifics and it could be only Portland proper and Seattle proper not out in the country were your at.. rent control is not that big of an issue in rural OR WA it self regulates based on average income in Rural WA and OR.. you not going ot rent 2500 dollar a month 1 bd apartments in Aberdeen for instance.. But to me its just a matter of time in our area were politics and votes are controlled by the population centers and those folks are very liberal thinking anti business etc.
That's why we buy out in good ol' Grays Harbor, LOL! I hear you though! But there's always a way. Adapt and oversome :)
Grey is a good description. but for fun the airport at Hoquiam is one of my favorites for the 100 dollar Hamburger fly up the Columbia over Astoria bridge hook a right fly up long beach and do the approach out over the Pacific and land to the east.. go in have lunch
then sometimes I would pop up to the sound and go down the east side of Seattle Class B and scoot by Rainer and St. Helens made for a nice day..
- Real Estate Agent · Cupertino, CA · Member since 2016 · 4k+ posts · 1k+ votes7y
One needs to avoid this kind of tenants quickly. A good lawyer can sue the heck of ignorant landlord making him flat broke. Did you hire licensed mold inspector testifying that white spot was not mold? You need a mediator quickly get rid of the tenant even offer some incentives. Your own legal cost can also make landlord broke and you could have pay two battles when lost.
In CA the local superior courts are so booked up with billion dollar antitrust, patent lawsuits, they are 6+months behind. If you resolve it quickly you do yourself a service.
- Real Estate Agent · Southington, CT · Member since 2008 · 5k+ posts · 3k+ votes7y
@Jack Lauer Where are you at with the eviction process? Just stay the course and get them out.
The mold, suing, and maintenance threats are actually pretty normal for a POS tenant to pull. It is actually on page 2 of the “POS tenant handbook”.
Ok, there is no handbook I don’t think, but has anyone ever wondered how every POS tenant all do the same things when their back is against the wall? It’s unreal, same old stories all the time.
- Investor · Gardena, CA · Member since 2017 · 445 posts · 398 votes7y
I will give you an idea regarding the number of lawsuits filed by tenants against the property owner. ZERO! I have owner more than 140 rental units including homes and apartment buildings and started 50 years ago. Not a bad record for lawsuits. The worse i ever had is it took 3 months to go through the court process to get the sheriff to go to the property and lock out the tenant.
The most money i ever lost on a rental unit regarding the loss of rent was $8,000 and this happened two times in 50 years. Sometimes, you get a tenant who knows how to get a judge to keep giving them a new court date. I had one where a Korean woman spoke perfect English during the first court appearance and the judge asked her if she understood English and needed a translator. She said, "no" and then appealed the court's decision stating she had seven days to move by claiming she did not understand English. Then, she went to court a 2nd time without a translator.
I love the rental business because I have good philosophies that make the business fun and I develop all my own computer software that makes the business simple to run. Sometime next week, I am going to put a link on this forum with a video explaining what my software does and I give the software for free providing I don't get banned due to suspicion that I am trying to sell a service.
I am always looking for individuals who would like to come to my office and start a club where we can work together as a team to help people get started in the business and for the experienced investors actually work together putting large deal together. My office is in Gardena California, 11 miles south of downtown Los Angeles and 11 miles from the Los Angeles airport. My club is going to be a 24/7 club with no specific times members can come. I am going to dedicate one room with all the software and equipment where members can come any time to do their data mining, send direct mail, emails, crunch numbers and help each other by voicing opinions. - Realtor · Los Angeles, CA · Member since 2018 · 952 posts · 1k+ votes7y
Originally posted by @Account Closed:
I am always looking for individuals who would like to come to my office and start a club where we can work together as a team to help people get started in the business and for the experienced investors actually work together putting large deal together. My office is in Gardena California, 11 miles south of downtown Los Angeles and 11 miles from the Los Angeles airport. My club is going to be a 24/7 club with no specific times members can come. I am going to dedicate one room with all the software and equipment where members can come any time to do their data mining, send direct mail, emails, crunch numbers and help each other by voicing opinions.
Account Closed, this sounds great! I'm in!
- Contractor · Los Angeles, CA · Member since 2015 · 4k+ posts · 1k+ votes7y
@David Stone Your requirements are not good for most californians, unless they combine the income and etc. 3x on an average of 2500 for a 3/2 makes it 7500/mo. Sure if you’re in rural where it’s 1800 for a 3/2, it might be, but then again, pays on rural is lower than metro.
- Realtor · Oakland, CA and a Real Estate Investor with Multi-Family Units and a Self Storage Facility · Member since 2016 · 2k+ posts · 2k+ votes7y
You still never answered anyone’s question about where the property is located
Join the conversationCreate a free account to reply, vote on answers and follow this thread.