Sneezyone Posted June 14, 2012 Share Posted June 14, 2012 We are landlords…reluctantly. The current lease for our house expires June 30. The renters are current on their rent and they paid a 1 month deposit. All good right? Well, not so much. In April, they asked us to consider including a purchase option in the lease so they could buy it at some point during the year. DH and I were still considering this in May when we a) got a loan modification that significantly reduced our payment (below rent levels) and b) the renters asked to be two weeks late on June’s rent b/c of car problems. Now, how are you supposed to buy our house if you can't even cover unexpected car issues? So the first week of June we sent them a letter that said no, we're not selling to you (they probably wanted some sort of assumption of loan deal...so not happening) and you have until the 15th to decide if you want to renew the current lease for another year at the same rent or send us notice of your move out date. One half of couple responded ASAP and said she was moving out in 30 days. The other half has yet to respond. To complicate matters, my kids and I are moving back to the area in a month. We had planned on renting an apartment ourselves b/c our house was occupied and we’d only be back in town for 18 months or so. Now, I’m thinking I should just send these people packing and take my da*n house back. My kids love it there and my change-averse son has missed the place since we left it. If you've followed me this far, my question is WWYD? Would you send them a letter terminating the lease on July 15 or wait to hear from the guy regarding his plans? FWIW, the only party who ever corresponded with us or sent rent checks is the one who's moving out. Quote Link to comment Share on other sites More sharing options...
Sneezyone Posted June 14, 2012 Author Share Posted June 14, 2012 The one who's not responded yet is the name on the lease. The GF was never on the lease except as an occupant. She's been sending/paying the rent tho and is a paralegal at a local firm, stable job. Him...I dunno. Quote Link to comment Share on other sites More sharing options...
Trilliums Posted June 14, 2012 Share Posted June 14, 2012 We are landlords…reluctantly. The current lease for our house expires June 30. The renters are current on their rent and they paid a 1 month deposit. All good right? Well, not so much. In April, they asked us to consider including a purchase option in the lease so they could buy it at some point during the year. DH and I were still considering this in May when we a) got a loan modification that significantly reduced our payment (below rent levels) and b) the renters asked to be two weeks late on June’s rent b/c of car problems. Now, how are you supposed to buy our house if you can't even cover unexpected car issues? SNIP One half of couple responded ASAP and said she was moving out in 30 days. The other half has yet to respond. First, could you tell me how you got a loan modification for a rental? :bigear::bigear: Feel free to pm me. :) Second, from what you have written, it sounds as though party 1 (who responded) is doing the communication for both of them. I would send a letter or call or email asking for clarification on this issue. You could say you need verification from the person whose name is on the lease. Quote Link to comment Share on other sites More sharing options...
Sneezyone Posted June 14, 2012 Author Share Posted June 14, 2012 (edited) No, she made clear that she was responding only for her...she made sure to copy him and ask him to speak for himself. LOL. I believe there is a break up in progress. Oh, I just of a another option. I could give them until 7/31 to move out and give an incentive for moving out by the 15th...like say, refunding their rent less cleaning costs. As for the loan mod, under the new HAMP rules, you can qualify for a mod even if the home is a rental. We just had to attach a copy of the lease with our other docs. I believe those new rules were announced in March and effective June 1. All we had to show was significantly changed circumstances (I haven't worked since we moved last year). Edited June 14, 2012 by Sneezyone Quote Link to comment Share on other sites More sharing options...
Truscifi Posted June 14, 2012 Share Posted June 14, 2012 Since you gave them until the 15th to respond, I would wait til then. If he doesn't respond tomorrow, go ahead and give him notice you are terminating the lease. Quote Link to comment Share on other sites More sharing options...
Trilliums Posted June 14, 2012 Share Posted June 14, 2012 Thanks for the info. I didn't realize change went into effect already. I would definitely keep on trying to contact party #2. We are in a similar situation (reluctant landlords). If we moved back (or temporarily fir an extended time) to the location of our rental house I would definitely try to stay in the house even though an apt would be less. My kids are also change adverse and I think it would be the less stressful option for all involved. For your situatiOn, I see you need to keep trying to get in touch with party # 2. Maybe he just isn't used to dealIng with you all. I hope it resolves amicably. Quote Link to comment Share on other sites More sharing options...
Brilliant Posted June 14, 2012 Share Posted June 14, 2012 Oh, I just of a another option. I could give them until 7/31 to move out and give an incentive for moving out by the 15th...like say, refunding their rent less cleaning costs. I don't think you need to give them until July 31st. On the leases I've signed in California at least, if the lease terminates on 6/30 then it is assumed to go month-to-month unless either party gives 30 days notice. So if you give notice on 6/15 - they have until 7/15 to move out. (Oh, and they OWE you rent until then - they must give you 30 days notice even though their lease expires. This is how our last 3 leases have been set up; it might be different in your area.) Quote Link to comment Share on other sites More sharing options...
StephanieZ Posted June 14, 2012 Share Posted June 14, 2012 Out they go! No question. Review the lease, follow the law, and kick them to the curb. You need the house. Tell them that is the reason why, and be sugar sweet about it, including a financial incentive to leave on time and things in good shape. If you want the house, no doubt, get them out now. It will also renew your various occupancy tax things so that if you go to sell it in a few years and make a profit, you are more likely to get that profit tax free. Quote Link to comment Share on other sites More sharing options...
Sneezyone Posted June 14, 2012 Author Share Posted June 14, 2012 I don't think you need to give them until July 31st. On the leases I've signed in California at least, if the lease terminates on 6/30 then it is assumed to go month-to-month unless either party gives 30 days notice. So if you give notice on 6/15 - they have until 7/15 to move out. (Oh, and they OWE you rent until then - they must give you 30 days notice even though their lease expires. This is how our last 3 leases have been set up; it might be different in your area.) This is how it's written but I thought month to month meant the 1st to the 30th or 31st. We're new to this whole landlord thing and are REALLY inexperienced. These are (at least she is) nice people. I'm trying to be nice.:D Quote Link to comment Share on other sites More sharing options...
QueenCat Posted June 15, 2012 Share Posted June 15, 2012 Oh, I just of a another option. I could give them until 7/31 to move out and give an incentive for moving out by the 15th...like say, refunding their rent less cleaning costs. I don't think you can take normal cleaning costs out of the deposit. Only if it exceeds normal wear and tear type of stuff. For example, carpet cleaning, at least around here, falls into normal wear & tear, after a tenant moves out. Quote Link to comment Share on other sites More sharing options...
Sneezyone Posted June 15, 2012 Author Share Posted June 15, 2012 (edited) Not in Arkansas. I had the house and carpets professionally cleaned before they moved in. We went room by room and noted/marked any scuffs, scratches, missing/broken items, etc. and that's exactly how it's supposed to look when they move out. If it doesn't look that way, I deduct the cost of fixing it from the deposit and send them an itemized statement with the rest. I never price gouge tho and have been able to return the full deposit in the past. My house is only 5 years old so there really is no excuse for major damage. When we left two years ago, there was one red koolaid stain on the stairs leading up to the playroom from the kitchen that we couldn't get out. I'll fix that this summer. The rest was pristine. Edited June 15, 2012 by Sneezyone Quote Link to comment Share on other sites More sharing options...
Sneezyone Posted June 15, 2012 Author Share Posted June 15, 2012 So the other half of the occupants (the one actually on the lease) wrote today to say he wants to renew but forgot to reply earlier. Is it out of line for me to say... "Thank you for letting us know. Here’s the deal though…since getting X's notice, we have had serious concerns about your ability to meet the rent obligation as the sole adult in the household. We qualified you for the lease on the basis of your combined incomes and, since then, all of the rent payments and correspondence we’ve received has come from Ms. X. Can you provide documentation that demonstrates your ongoing ability to pay the rent, on time, independent of Ms. X?" Can you tell I really want them to go??? I just have a feeling I'm going to be put in a bad position with rent, mortgage and other expenses b/c this guy is a flake when left to his own devices. Quote Link to comment Share on other sites More sharing options...
Tess in the Burbs Posted June 15, 2012 Share Posted June 15, 2012 yes, you send a letter stating you aren't renewing the lease b/c you the owner is moving back. State the last day they can occupy the property. Send it certified to the name on the lease requiring signature. We rent and our owners are coming back. Legally we can finish out our lease but we are trying to get out sooner. It stinks. So yes, if you want your house, you can have it, but give them warning NOW. Quote Link to comment Share on other sites More sharing options...
Dobela Posted June 15, 2012 Share Posted June 15, 2012 Sneezyone, we are in AR as well, and for situations such as this, my dad has found a great attorney to answer questions and to handle touchy correspondence. He feels that the cost of the attorney has more than paid for itself. You absolutely want to be totally within the law in situations like this. Quote Link to comment Share on other sites More sharing options...
Sneezyone Posted June 15, 2012 Author Share Posted June 15, 2012 Sneezyone, we are in AR as well, and for situations such as this, my dad has found a great attorney to answer questions and to handle touchy correspondence. He feels that the cost of the attorney has more than paid for itself. You absolutely want to be totally within the law in situations like this. :iagree: My mom is an attorney in AR and she's the one who told me to write it for the 31st of July and incent them to move earlier, just to make sure I gave them 30 days. I was just hoping/seeking some confirmation that I'm not being cruel and heartless. I feel terrible about the whole thing! We had already put down a deposit on our own apartment and we're going to lose that too. Quote Link to comment Share on other sites More sharing options...
milovany Posted June 15, 2012 Share Posted June 15, 2012 So the other half of the occupants (the one actually on the lease) wrote today to say he wants to renew but forgot to reply earlier. Is it out of line for me to say... "Thank you for letting us know. Here’s the deal though…since getting X's notice, we have had serious concerns about your ability to meet the rent obligation as the sole adult in the household. We qualified you for the lease on the basis of your combined incomes and, since then, all of the rent payments and correspondence we’ve received has come from Ms. X. Can you provide documentation that demonstrates your ongoing ability to pay the rent, on time, independent of Ms. X?" Can you tell I really want them to go??? I just have a feeling I'm going to be put in a bad position with rent, mortgage and other expenses b/c this guy is a flake when left to his own devices. While I like this if it were just a matter of whether or not he's going to renew the lease or not, if you want to go live there, don't send this. Just send a certified letter as stated by others that the lease ends June 30, 2012 and since you are moving back to the area, you plan to take up residence in the home again on July 1. As others have noted, I'd offer some kind of financial incentive for them to leave the place in good condition. Quote Link to comment Share on other sites More sharing options...
Dobela Posted June 15, 2012 Share Posted June 15, 2012 While I like this if it were just a matter of whether or not he's going to renew the lease or not, if you want to go live there, don't send this. Just send a certified letter as stated by others that the lease ends June 30, 2012 and since you are moving back to the area, you plan to take up residence in the home again on July 1. As others have noted, I'd offer some kind of financial incentive for them to leave the place in good condition. :iagree:I would not question his integrity or ability to pay, just let him know that the lease cannot be renewed at this time. Quote Link to comment Share on other sites More sharing options...
Sneezyone Posted June 15, 2012 Author Share Posted June 15, 2012 (edited) :iagree:I would not question his integrity or ability to pay, just let him know that the lease cannot be renewed at this time. OK, thanks. Makes sense. Ugh, this is hard! The only reason I even mentioned that is b/c it really is sort of the combination of all factors converging...her moving out, us moving back, his reduced ability to pay. FWIW - DH wants the guy to stay so that we can be more mobile. Edited June 15, 2012 by Sneezyone Quote Link to comment Share on other sites More sharing options...
Sebastian (a lady) Posted June 15, 2012 Share Posted June 15, 2012 OK, thanks. Makes sense. Ugh, this is hard! The only reason I even mentioned that is b/c it really is sort of the combination of all factors converging...her moving out, us moving back, his reduced ability to pay. FWIW - DH wants the guy to stay so that we can be more mobile. But this isn't information that you are obligated to share. And it might encourage the renter to not leave the property in good condition. It also might open you up for a legal challenge. If you want him to move, send him a letter indicating the end of the lease and a date for a pre-move walk through (if applicable). If you want him to stay as a tenant, but not with a month to month lease, then send a letter to that effect. Quote Link to comment Share on other sites More sharing options...
Dobela Posted June 15, 2012 Share Posted June 15, 2012 But this isn't information that you are obligated to share. And it might encourage the renter to not leave the property in good condition. It also might open you up for a legal challenge. If you want him to move, send him a letter indicating the end of the lease and a date for a pre-move walk through (if applicable). If you want him to stay as a tenant, but not with a month to month lease, then send a letter to that effect. :iagree:If he wants to stay, and your dh wants you to be more mobile, then I would let him know that you would require his going thru the application process again as the living situation in the home has changed considerably. Or just have him move out and then rent to someone else. Quote Link to comment Share on other sites More sharing options...
Mandylubug Posted June 15, 2012 Share Posted June 15, 2012 We moved back into our home that was rented out at the end of the lease. We gave them notice and offered to prorate their rent if they chose to leave early before the lease date. Otherwise, the last day of the lease agreement would be the day that keys would be handed over. Quote Link to comment Share on other sites More sharing options...
Sneezyone Posted June 15, 2012 Author Share Posted June 15, 2012 (edited) Well, I did it. I sent the GF and guy an email (letter to follow this afternoon) and just gave it to 'em straight. Apparently, in the intervening days since her first message to me, they'd reconciled and decided to renew in which case they could pay.:rolleyes: Still, I basically said this is a little too much drama for me so we're moving back in. The military is only going to pay to move me once so if something happened with them during the year, I'd be up a creek without a paddle! So...they're moving out by the 31st. She was really nice about it. Phew. Now I don't feel like such a creep. Edited June 15, 2012 by Sneezyone Quote Link to comment Share on other sites More sharing options...
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