I purchased a 2 unit rental property I planed on moving in on one side and renting out the other. Upon purchase both sides are rented out. I gave one side their 60 day notice to vacate. I'm now one week away from that day and they have not found another place to go. I need to move in there cause I have to be out of my current place. What do I do to get them out. Also my mortgage requires me to claim it as my residence within 60 days of closing.
Were they on a month to month lease or do they have a valid lease agreement for a year with 6,8 months left etc.??
You need to check the landlord tenant laws of your state. In most states you have to honor the rental agreement in place unless it was for the sellers relatives at a really reduced rate which happens in foreclosure etc. usually.
So if they are paying the rent on time and have not violated the lease then you have to honor that lease agreement in place until the primary term ends and it goes month to month.
At this point unless they are violating another provision in the lease you can evict on you are stuck.
If they had 6,8 months left etc. on the lease then what should have happened is to have the seller do a negotiated BUYOUT of the tenant rights of the lease. So for 5,000, 6,000 or whatever the tenant signed an agreement breaking their lease for this consideration and they would have to be moved out and the place clean in broom swept condition before closing. When offering an amount you calculate their moving costs, first and last months rent, security deposit where they will move too, and consideration for their trouble and time.
Now that you have closed you have created a pickle for yourself if they weren't month to month. If this tenant won't move what about the other side?? Are they month to month now and primary lease term has ended?? Are they violating any part of the lease where you can evict?? Can they be bought out to leave early??
The mortgage clause just document steps you are doing to get the tenant out so you can claim residency. You can only do everything in your power and the law and nothing more. Do not try a self-help eviction as that can get you in hot water.
No legal advice.
The building was for sale when they signed the lease and clearly stated that once the building was sold the new owner had the option to not continue the lease and give a 60 day notice to vacate.
Sounds like you're doing everything correctly. If you've given proper notice and they're not leaving you will need to evict. Best to speak with an attorney in your area. As a landlord, you need one anyway, so now's a good time to find one. The process varies by state but typically starts with posting a "cure or quit" notice that gives them a deadline for (in your case) leaving. If they don't, then you start the eviction process. That said, that takes time. Anywhere from a few weeks to a month or two, depending on your state timelines and court backlogs. A savvy tenant in a tenant friendly state can stretch it out for months.
Jon Holdman, Flying Phoenix LLC
I think you need to find a landlord-tenant lawyer to find out if that clause the previous landlord put in the lease is enforceable, if it is this can start the eviction on day 61, which my landlord-tenant lawyer tells me is much easier/faster for with a holdover tenant like it looks like you will have. If the clause is not enforceable and there are several months left, see if you throw some money at them if they will move into the other side of the building or move out. Can you move into the other side yourself to satisfy the mortgage requirement?
**I am not a lawyer; this is not legal advice**
I guess the good thing is I will get to learn how to evict a tenant right away.. kim... the other side is rented to long term tenants that would like to stay.
"I'm now one week away from that day and they have not found another place to go."
You need to clarify this with your tenant. Do they not have the money to move?? Have they tried calling around yet?? Do they have a credit or income issue as to why they can't get into another property??
You have to work to solve the problem to get what you want. If they need money to move then you have to weigh that against what it would cost to evict and time to get out. If money is equal or close it might make sense to pay them today and save the time. If they already have bad credit a threat of eviction really isn't going to motivate them any sooner to leave.
If they are worried about the new place not having enough storage cover their U-Haul truck costs and 4 months of a storage unit or something.
The key is as a landlord you have to be a problem solver.
No legal advice.
Joel... they tell me they just haven't found another place yet. And they are using a realator. But I have asked for the agents contact info and they refuse to give it to me. So u don't know if they are really trying or not. As far as the other concerns I will look into their situation more closely and find out.
@Mike Lukity get your lawyer to answer your questions. I don't mean this offhand but your situation is rather unique so I would expect there could be complications. Normally you would after the 60th day and you don't have possession, post a notice to them and proceed to eviction. As @Joel Owens pointed out, it may be quicker faster cheaper to buy them off. Bottom line on that approach is that it must go in parallel with the eviction process and no cash until you get keys. If they need money for a security deposit on a new place you might offer to pay for storage for their stuff so they can stay with family until they have saved up for an SD. They can likely think of all sorts of reasons to separate you from your cash before they give you the keys but absolutely do not fall for this. Pay for the stuff out right if you have to but no cash to them.
Make sure they sign a termination agreement and that your return their security deposit along with accounting as required by you state law.
I'm no expert, but have used $500 cash for keys on the last two purchases with tenants-at-will. When the writing is on the wall anyway, that $500 helps them with moving costs, deposits, rent, etc. Both got me the property two or so weeks earlier and I think (impossible to prove) it helped mitigate damages to the property as they were on their way out.
No legal advice!
That being said while I polite and professional I am stern! I would tell them "nicely" tough cookies. That if they do not leave in a week I will be forced to evict them which will appeal on their record.
From the way it "sounds" they are testing you because they don't want to move. I have found that they will always act ignorant but if I out my foot down I have been quiet successful
Free eBook from BiggerPockets!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
You must be a BiggerPockets member to post on the forums
Join the world's largest, most open Real Estate Investing Community online, 100% free forever!