Taking over a property -Paperwork from Tenant missing rent

2 Replies

Just purchased and took over a property last week and I noticed at the closing for the rent rolls, that one of the tenants missed this month's rent payment. The tenant could of course be lying, but when we went through the property to introduce ourselves as the new property managers, they stated that they sent in their notice to the previous Landlord/Property Management team a few weeks ago that they would be moving out.  My question is, if the tenant did in fact send this notice to the previous Landlord, should that paperwork/paper trail of notice been given to me before closing ? I did want this tenant out soon right after taking over the property anyways since  for some odd reason this tenant did not even have a security deposit on file with the previous Landlord, (even thought the tenant swears they do) which of course is concerning for obvious reasons.

@Nicholas Devine unfortunately, if you didn’t get a lease and didn’t sort out the security deposit before closing, you’re on the hook to give it back to the tenant when they do move out.

I would be ok with them moving out, I’d just follow up with a letter for them to sign /confirm that they are moving out September 1st (or whatever the date is), and they will leave the house clean, and trash free. That way you have something in writing from them.

Hopefully everything will go as expected, and you’ll get to place your own tenant.

Good luck!

Maybe the tenant didn't pay this month's rent because he's not suppose to be there; that would explain why you don't have a lease or security deposit for the unit.  I hope he's gone by now but if not, issue a Notice To Quit for Non-Payment of Rent.  I would not pay him a security deposit that was not provided to me at closing but I would direct him to contact the landlord/PM who he gave notice/paid the security deposit/etc.  

And, never close until you have every document, have completed a Final Walk-Through of the property, and have a proper accounting for each unit.  I'm amazed by the "liar, liar pants on fire" that is prevalent in these transactions in part because the buyer never did a Final Walk of the property right before the closing.