Eviction for non-payment in Minneapolis

26 Replies

Hello I just acquired 30 units (Multi-Family) in Minneapolis. I was informed that if a tenant is delinquent they have UP to 60 days before eviction. In Texas this is typically 30 days. My concerns are due to the neighborhood and potential tenants as they were previously comfortable with a traditional process as opposed to an automated convenient method. Anyone familiar with property rental guidelines in the Minneapolis area?

@Blake Wash it can be as little as 30 days. I’m not sure what you mean by “they were previously comfortable with a traditional process as opposed to an automated convenient method.”   Can you give some more clarity on what you are referring to?

@Blake Wash You will find that the process in Minnesota will be much more difficult than in Texas. During some of my MAHA classes we would have guest speakers and just about all of them used Texas as an example of a landlord friendly state. Work with you PM and put the pressure on this spring when it will be easier to fill the units after eviction with good tenants. Winter is a difficult time to find good tenants generally. All of the large companies I worked for would not allow leases to end during November-February.

Sometimes the best route is to turn most of the building rather than one at a time because the bad attitudes and poison pills ruin the new people coming in and it is difficult to get quality renters and keep them with the bad renters causing problems. Come up with a plan to fix the problem rather than play wack-a-mole.

I've never been delayed in Minneapolis, late on the 2nd and turned over to my attorney on the 5th. I'd highly recommend you hire a good property manager or at the very least get acquainted with Landlord Tenant 

@Blake Wash do you have a lease for the tenant? If so, non payment of rent is cause for eviction. If you do not have a lease you have to serve notice

It's much easier to evict a tenant than a squatter in Minnesota. The tenant landlord laws in this state are worse than the weather

@Sarah Brown thank you Sarah. I reached out to a few PMC however, by the time I calculated all of their fees it would have reduced my profit significantly. So, bootstrapping and BP it is for me......

Btw I was just in Idaho for the week in Couer D Alene it was beautiful.

@Tim Swierczek Hi Tim,

After reading my post I realized how confusing that sentence was. My tenants rent collection process with the previous manager was a phone call and meet up to collect their rent checks. Moving forward I would like to automate this as much as possible. I am considering "paynearme, or payment through my management software (Buildium)

To be honest my three properties need a ton of work as the previous PMC neglected the properties on every level from maintenance/bookkeeping/tenants.

I'm in day two in which seems to be difficult road ahead of me.

@Amber Gonion

Amber, great advice thank you for the recommendations. Smart move with drafting the leases to end after February. Yes, Texas is definitely a landlord state. I guess now I have property in both demographics a favorable landlord (Tx) and a favorable tenant (MN) state...lol

Thanks again for the advice.

@Blake Wash

Ok, month to month leases do require notice. Minneapolis is the only around that will allow an owner to represent themselves in eviction court.

My wife and I have a property management business, but aren’t equipped to managed your deal. I would highly recommend hiring a 3rd party manager who has at least 100 units under management in north Minneapolis. The city government is all over landlords who’d don’t properly manage their buildings. Google the names Stephen frenzen and Mahmoud Kahn to get a sample. Also, the worse your property is run the more the city will inspect and run up the bill on your building. You will save money by hiring quality management in that area.

I don't think your property will be the cash flow cow you were hoping for, but if you get a good manager it could be a good value add. Gentrification could hit that area some day, but it's going to be a minute.

@Blake Wash your comment makes sense now. Thank you for the clarification.  I recommend you choose the payment system that works best for you and not allow several methods.  For example, I've heard of LL's who allow Zelle, Venmo, check, or depositing into the rental bank account.  This created a bookkeeping disaster.  We only allow tenants to pay us via Cozy.co and that works great.  Since you use Buildium I would suggest you require your tenants set up to pay via Buildium only.  Occasionally I have people ask if you can do that legally and I would suggest companies do it every day.  I went shopping this weekend and saw multiple signs of companies who don't take checks.  Some bars only take cash, and many places don't take AmEx.  Your issue with this early on maybe some of your tenants do not have bank accounts so those tenants may need an alternative to pay you until there lease ends. 

Originally posted by @Blake Wash :

Hello I just acquired 30 units (Multi-Family) in Minneapolis. I was informed that if a tenant is delinquent they have UP to 60 days before eviction. In Texas this is typically 30 days. My concerns are due to the neighborhood and potential tenants as they were previously comfortable with a traditional process as opposed to an automated convenient method. Anyone familiar with property rental guidelines in the Minneapolis area?

There is not a 30 day or 60 day rule. I have evicted tenants successfully by the 20th of the month. The eviction process in Hennepin county is that you file the eviction after the rent is late (it could be on the 2nd day, but most wait until after the 5th day), then the county assigns a court date, which is usually a few weeks out. If the judge finds the tenant is in the wrong, then they order them to vacate, which is usually within 7 days if they have kids. Worst case is they stay and make you force them to move. Then you file a writ of recovery with the sheriff and within 3-10 days they are removed. 

Some think it's hard to evict here or that you can't do it in the winter, but that is just a lack of experience and/or knowledge. If a tenant doesn't pay, they don't stay. Many other states I invest in that are "Landlord Friendly" are more difficult than MN. 

Be firm and have good rental criteria, The area your property is in is going to need a very active type of management and will be full of challenges. 

 

@Todd Dexheimer how are you going to break a month to month lease agreement with out giving notice at least a full month before filing? If they set the court date out 3 weeks and give the tenants 2 weeks to vacate it’s a couple month deal. I’m sure there are worse states, but the month to month aspect adds 30 days to the process. In Minnesota we always keep our tenants on a lease.

@Matt Higgins the whole purpose of an eviction is to get someone out mid-lease.   The 30 days your are referring to is if you terminate an existing lease or non-renew it.  If you evict and win, the lease term is no longer relevant. 

Originally posted by @Matt Higgins :

@Todd Dexheimer how are you going to break a month to month lease agreement with out giving notice at least a full month before filing? If they set the court date out 3 weeks and give the tenants 2 weeks to vacate it’s a couple month deal. I’m sure there are worse states, but the month to month aspect adds 30 days to the process. In Minnesota we always keep our tenants on a lease.

3 weeks and 2 weeks doesn't equal 2 months. Also, I have never had it take 3 weeks to get a court date - usually 2 weeks and I have never had the court give the tenants 2 weeks to move out - 3 days or 7 if they have kids. 2 weeks for court, 1 week to move, equals 3 weeks from the day I file eviction. If I file on the 5th, then they are out before the end of the month. 

As for the month to month lease - I am not really sure how that plays into anything. If I am evicting a tenant, I don't have to give them a 30 day notice. If they break their lease terms (ie. non-payment of rent as noted by the original post), then I can file an eviction immediately. There is no 30 day rule.  

If you want them to move, but they haven't broken their lease terms, then yes, you need to wait 30-60 days or whatever is written in your lease. This is not an eviction, but a lease termination. It only becomes an eviction, if after a written lease termination the tenant doesn't move. Then they violated the terms and you can file eviction. 

I have an apartment building in Itasca county.  They make me wait 5 weeks for a court hearing.  I’ve called everyone i could up there and no one cares.  

I’ve only been to eviction court once in hennepin county and I didn’t get the feeling the system was on my side.  

Originally posted by @Matt Higgins :

I have an apartment building in Itasca county.  They make me wait 5 weeks for a court hearing.  I’ve called everyone i could up there and no one cares.  

I’ve only been to eviction court once in hennepin county and I didn’t get the feeling the system was on my side.  

That's why I hire an attorney to do the eviction. They know the system and the BS. The cost a few bucks, but save me a lot of headache and money in the end.  

I’m still looking for a good attorney, tried a couple, the last one cost me 1200$ to not win the case.  Similar situation to the original post.  I bought a bad building from a bad landlord.  The attorney than has the gal to advise me to payoff the deadbeat tenant, which I did,  3000$ headache minimum it cost me.  I evicted 4 more from that building that left easier, but I definitely feel the pain For this guy.  @John Woodrich referred a guy to me yesterday but always looking for a good Minnesota attorney reference.  

For all of these reasons I recommend people get an attorney on retainer.  Even if you want to handle the eviction on your own it doesn't cost a ton for an attorney to review your paperwork and discuss the options.  You mess up on the forms you will have a longer period of vacancy costing more money.  Only reason I was pursuing it on my own was that it was in a county near my attorney and wasn't a good use of his time.  If it was in the cities I would have talked him into it.

I have had great luck with tenants but was dragging my feet recently between the 9/15-10/15 tax deadlines and was missing rent from a tenant who was in jail.  Drafted the eviction forms, talked to my attorney, discussed other options such as declaring abandonment and decided to pursue options outside of an eviction.  A week later we made contact with the tenant, collected some rent and took over the property broom clean.  He was going to get some real time related to his DWIs and was very grateful we didn't file.  I understand it wasn't the most pro-landlord thing to do but he was a good tenant, was going through some personal matters, would have cost us more money, and worked to make it easy on us.  

My attorney is @Brad Schaeppi and I highly recommend him to people who need advice in this area.