I'm in the process of selling my duplex in San Jose CA and I have one tenant that is cooperating and one that is not. He's nearly refused all showings and is not being communicative. Any advice on how I should handle this? So far my realtor has been corresponding with him and I'm reluctant at this point as I don't want to hit the hornets nest with a short stick.
My thoughts are to call and simply see where he's at. I'm concerned that he could really make this difficult on the sale and would like to know what my rights are being that CA is not a landlord friendly state.
Real Estate Broker · Hyde Park Tampa, FL · Member since 2019 · 2k+ posts · 3k+ votes
5y
This is what happens when the landlord doesn't know state law...so here it is:
"The landlord can show the apartment to prospective tenants while it is tenant occupied. A tenant cannot flatly refuse. California law states that a landlord can enter a rental unit to show the rental unit to prospective tenants, purchasers..."
Here's another: "Tenants must accommodate reasonable requests to show the unit to prospective tenants for re-rent or to prospective purchasers when the property is for sale."
The sources: a quick internet search via Google gives you no less than "13,500,000" of the same (according to Google). My recommendation is this:
1. Share the California Landlord/Tenant Law on showings with the agent and let the agent know that his refusal is illegal. Ask the agent to post a notice on his door - in an envelope - advising that he will be given 24 hours advanced notice going forward and that his cooperation is required by California Law. (Shame on the agent for not knowing this...).
2. Call the tenant and let him know that all showings will be accompanied by the agent and that he will have advance notice - but he will be expected to comply with California Landlord/Tenant Law.
When you don't know your lease and the law, you give away your power and created needless chaos.
Real Estate Broker · 3412 S. Harlem Avenue Riverside, IL 60546 · Member since 2015 · 6k+ posts · 5k+ votes
5y
@Erik Gundersen this is always so tricky and I have run into this so many times as an agent. I list a lot of properties here in the Chicago area that are 2-4 units and that are tenant occupied. The owner needs to be involved in the process, otherwise the tenants end up running the show. As an agent, I can work hard to set up showings but I am not the owner. I always need the owner to be on board with managing the property up until the day it closes in order to be successful.
I would recommend speaking with a good RE attorney in the area there to find out what your rights are as well. You want to make sure that you know your rights, so you can communicate those effectively to the tenants when you post notices and do the the things you need to do legally in order to show the unit.
Real Estate Broker · Rochester Hills, MI · Member since 2009 · 2k+ posts · 2k+ votes
5y
If you can talk to him that is the best option. See where he is at and what his issues are. May say COVID, may say he isn't going to move but if you can try and find the root of his issue that will really help. Not always, but a lot of the time tenants are afraid they are going to be asked to leave. If that is the case then both you and your realtor can better assure the tenant that is not the case (If it isn't) and the new owner will have to abide by the terms of the lease. If the buyer is an investor then you can tell him they want him to stay etc...
If the issue is something else then you and your realtor can deal with that.
Not the last resort, but one of them is looking to your lease about posting notice for entry. Give them proper notice you are coming in and let yourself in. This is pretty close to the hornets nest scenario you described though.
May want to have an attorney send them a note prior saying we have tried this and that and you are not talking to us and according to the lease we are going to post notice blah blah, but that coming from an attorney will carry some weight with most people.
Time to be a part time phycologist. Most investors never talk about this part of the biz : )
Property Manager · Baltimore, MD · Member since 2014 · 1k+ posts · 1k+ votes
5y
I'm sure your lease (and/or state law) gives you the right to access your building with a certain amount of notice. That said, if the tenant doesn't want to cooperate then they aren't going to cooperate (i.e., even if you gain access they could be disruptive/sloppy/etc. and scare off any potential buyers).
Have you considered either 1) waiting until his lease expires, or 2) offering some kind of incentive to cooperate ($25/month off his rent for every showing he allows)?
Real Estate Broker · Hyde Park Tampa, FL · Member since 2019 · 2k+ posts · 3k+ votes
5y
This is what happens when the landlord doesn't know state law...so here it is:
"The landlord can show the apartment to prospective tenants while it is tenant occupied. A tenant cannot flatly refuse. California law states that a landlord can enter a rental unit to show the rental unit to prospective tenants, purchasers..."
Here's another: "Tenants must accommodate reasonable requests to show the unit to prospective tenants for re-rent or to prospective purchasers when the property is for sale."
The sources: a quick internet search via Google gives you no less than "13,500,000" of the same (according to Google). My recommendation is this:
1. Share the California Landlord/Tenant Law on showings with the agent and let the agent know that his refusal is illegal. Ask the agent to post a notice on his door - in an envelope - advising that he will be given 24 hours advanced notice going forward and that his cooperation is required by California Law. (Shame on the agent for not knowing this...).
2. Call the tenant and let him know that all showings will be accompanied by the agent and that he will have advance notice - but he will be expected to comply with California Landlord/Tenant Law.
When you don't know your lease and the law, you give away your power and created needless chaos.
Thank you for all your responses! I have reached out to the tenant and let him know what our plan is. He’s agreed to keep his credit clean, stick to the lease agreement (month to month) and was quickly educated on CA law. We are looking good at this point and all the advise was much appreciated! Thank you!
Rental Property Investor · Rockford, IL · Member since 2019 · 471 posts · 342 votes
5y
@Erik Gundersen
Lots of ideas here for sure.
What reason does the tenant refuse the showing? Regardless of what some law passed may say, I will allow or not allow people in my home, even if I am renting.
I was this tenant once. The owner figured that he could just call and say he was coming over, and I had to be OK with that.
I had my reasons more that being a butt, but the owner came off as if he could do as he wished. Who knows the issues this tenant may have? Had my landlord been a bit more polite and courteous, and gave me a week to really tidy the place up, it would not have been an issue.
Consider some sort of premium for the tenant to be more receptive to a walk through.
Emotions. Feelings. They should not be discounted just because you have a business to run.
A non paying tenant would get my same efforts.
Idea:
If the issue is "a stranger " should not be in the home I rent, perhaps the owner can take video of the insides.
After all, if I can walk one side we'll, all I need to see of the other side, is general features and areas of potential repairs.
Real Estate Agent · Chattanooga, TN · Member since 2020 · 107 posts · 62 votes
5y
@Erik Gundersen I’m just a RE rookie, but if your lease says something to the effect of entry with 24 hours notice, what stops you from showing up 24 hours later and entering after knocking?
Thanks for the input and good advice. I / we have been more than accommodating and his excuse is, get this, he has the ladies over on the weekends. We've worked out a deal and all should run smoothly now. Once I showed him that CA state law demands 24 hours notice to show and if he refuses he's doing so illegally.