To evict tenant in arrears (money due) or not?

Question

I have a tenant who owes $330 which has accumulated over 2 years. She is partial section 8, and sometimes shorts on her portion about $25. She tries to make these month to month fees but overall the total is accumulating. She has been a good tenant for years otherwise. How should I proceed with this? Would you evict? Try to negotiate?

Advice? thanks.

Joel Owens · Answer

Section 8 has specific processes and protections that standard renters do not. At least it is that way in my state.

The biggest thing for me and yes I have had the exact same situation as you before is this.

They have been there for years but how have they kept up the place?? If they still show pride of renter ship and keep it clean and do not bring a bad element around they are worth their weight in gold.

If however the place has gotten really beaten up over the few years they have been there then the longer they stay the more accelerated your damages will be when you go to eventually re-rent the place that exceed past normal wear and tear.

How much do you estimate if you evicted her that it would cost to recondition the property to a regular renters standard?? Remember many section 8 will let things go and not care but a regular renter paying the rent every month themselves will be way more picky.

At this point hounding her for more money might not be the solution. With reconditioning costs, lost rent, etc. it can take years to recoup your losses on a net gain with a new tenant and even higher rent. Long term landlords the ones I have seen in the business for decades do slight increases every year just below market rent rates. They want those tenants to stay forever to decrease turnover and rehab costs. A more seasoned and stable renter base helps you sell for more money as well as the income stream is proven.

To get the rest of your money you might want to look at charity assistance. Some churches and organizations will do one or multiple types of giving to help out those in need. You might get your back owed money that way.

Good Luck - No legal advice

Aaron Montague · Answer

Good Section 8 tenants are hard to dump.  If you can live without the $330, I'd simply readjust your predictions and figure out if she's still worth having as a tenant.

That being said, I'd start leaning on her for the money.  You have several good threats up your sleeve with the state as your backer.

I'd try the following:
1. Find out what her source of income is beyond Section 8
2. Tap that resource directly.  This will have to be voluntary on her part, but will help you.
3. Get her non section 8 income stream diverted to you on a regular basis to pay her rent and catch her up.  If she never sees the money, she doesn't have the opportunity to spend it before you see it.

Luke W. · Answer

Glad I found this topic today. I am pretty much in this exact situation. Thanks for all of the tips, guys. And, thanks for posting the original question!

Mathew Wray · Answer

Having Section 8 reps come out and examine the "wreckage" is a great tip that I've never even thought of!

I tend to agree with the others, it seems like a combination of good will and a firm hand in starting over now seems to make sense. Be clear about expectations going forward, that you want a plan to pay you the money owed, and that going forward a shortage in rent will not be tolerated. Since there is already a pattern of missed rents you'll have to be extra diligent in holding firm in the future.

Tony Ngo · Answer

I see that you're from Portland, OR as well.  I also rent to section 8 people and have had tenants paid late and also have had great tenants that always paid on time.  I had to start the eviction process with one tenant before.  I was lucky because she left with out damaging the house.  She did leave all of her trash behind for us to clean up.  I like your decision to work things out with your tenant.

One thing I learned from that experience is that, when a section 8 tenant moves out and leave a mess behind or damaged the house, you should contact section 8 immediately before cleaning or fixing things.  They will send someone out to evaluate and will pay for some of the damages.  I learned this after already cleaned up the place.  I took pictures to proof the mess but they wouldn't take it, they said someone from their team has to come out.  Hope that helps!

Genna Golden · Answer

Thanks all for input. Much appreciated. I will speak with her directly to at least arrange payment for her "no shows" for repair invoices. Wish she could mow the lawn, but no mower there. That would be easy and save me $80 a month. Also talk to her about fixing her own frequent plumbing problems with drano. In short, forgive some, arrange payment for some, and let her know not acceptable to have late payments and now shows on repair calls.
However, will not evict her. She has been a good tenant for years with no major problems or damage.

Deborah Saddler · Answer

She has not taken you seriously, and it is probably because you didn't contact/confront her about the seriousness of this  matter.  So since she got away with it more than one time.  She is not worried about it.  Since she is a good tenant, I would approach her tell her and then put it in writing.

Rob K. · Answer

I would talk to her or write a letter explaining that you are running a business, she owes you this money, and it needs to be paid. You could tell her that any other landlord would demand the money due now or report her to Section 8 if not paid. Because you're nice and she's been a fairly good tenant, you're willing to make a payment plan with her to get her current. Even if it's only $30 per month for eleven months, you will get your money.

Brian Mathews · Answer

Do you think she is honestly having problems?  If you think she's trying, I might be tempted to forgive the $330 and start fresh with her.  That is basically $14 a month over 2 years.  That isn't really that much money .Sometimes people are legitimately on section 8 for whatever reason.  Some are just lazy and work the system.  If you don't want to forgive the money, maybe find some work for her to do for you, such as do some makeready's for you on other properties you own.  Just tell her from this point forward she needs to keep up.  A little compassion in life never hurt anybody, its good karma.

Account Closed · Answer

You might find this recent guest post on my blog to be helpful.
http://blayman.com/problem-tenants-in-ohio/

To evict tenant in arrears (money due) or not?

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