Tenant Property Destruction in Lakewood, CO

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Tenant Property Destruction in Lakewood, CO

Melinda O'Brien
Professional · Denver, CO · Member since 2016 · 1 post · 0 votes

Hi, I had a tenant who recently moved out at the end of their lease and upon final walk through, we discovered that the townhouse has been completely destroyed beyond what the security deposit will cover. They were the very first tenants to live in the townhouse after we purchased it and did a complete rehab including new wood flooring (destroyed & scratched), new base boards and trim (chewed & scratched by their dog), new granite counters (stained), new appliances (all dinged & scratched), all new light fixtures (electrical not working & light bulbs removed), newer carpet (horribly stained, smells like cat urine when no cat was approved & torn), new paint (holes kicked through in multiple places), doors have holes kicked through, door handle on sliding door ripped off, etc. The tenant lived in the townhouse for about 3.5 years, and while I received 2 complaints due to not picking up after their dog from the HOA that resulted in small fines that they paid, they pretty much always paid their rent on time and I didn't receive maintenance requests. The carpets are my biggest concern due to the horrible smell, do I need to attempt to clean them or can I just go straight to replacement? Also is it worth it to seek civil or criminal charges against them? And are there any considerations I need to think about given the current COVID-19 state?

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  • Stephen J DavisBusiness Member
    Rental Property Investor · Houston, TX · Member since 2017 · 529 posts · 467 votes
    6y

    Document everything with photos. I hope you have the before photos already. Then get everything fixed and back on the market to lease as soon as possible. Send them the bill. They will probably not respond. I would then take them to court for the balance. If it is more than what small claims will help you with, get an attorney.

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  • Nathan GesnerBusiness Member
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    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    6y

    The carpet will probably need to be replaced. You can sometimes clean it. Sometimes you get rid of stains but not odor, and sometimes it's the other way around. Based on what you've shared, it sounds bad enough that I wouldn't even bother trying.

    There are a couple lessons to learn from this:

    1. Screen your renters! That doesn't just mean that you have them fill out an application, run a credit check, and then let them move in. It means you actually screen them and look for red flags that would indicate they are problematic. Poor credit, no Landlord reference, new to the area, rent is more than 30% of their income, etc. If you want suggestions, let me know.

    2. Just because a tenant pays rent every month doesn't mean they are good tenants. Sometimes, the bad tenants pay extra early to keep you happy and prevent you from checking in.

    3. You MUST inspect at least once a year, even on the very best tenant. I manage 350 rentals and I inspect all of them, even the 65-year-old man that's lived in the same place for 20 years and been an excellent renter. People can turn from a good renter to a bad one based on life changes. You have to inspect the entire home and look for damage, filth, neglected maintenance, etc.

    4. Pets increase risk so you've got to mitigate that risk. You can start by forcing a pet application. I recommend petscreening.com which is free to Landlords but you could also require they have at least one Landlord reference that can attest to their pet behaving and leaving the rental in good condition. You can also charge a non-refunable pet fee up front ($100 - $500 is normal), an increase to the refundable deposit ($300 - $500 is normal), or a monthly increase to the rent. Personally, I think it should be non-refundable pet fee up front and an increase to the rent. Sounds expensive but people will pay it or go somewhere else. At $50 a month, which is very inexpensive for a dog over 40 pounds, you would have collected an additional $1,800 towards repairs. For $100 a month, it's $3,600.

    If you fail to identify risk and mitigate it, you will destroy your bottom line and never enjoy being a Landlord. Even if their screening came back stellar, you would have stopped this entire thing with an inspection during the first 3-6 months or at least not renewed their lease after one year. That single step could have saved you thousands in losses.

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