Would Christmas change your plans to evict a non-paying tenant?

[TomB]

So it`s finally happened. We have a tenant we must evict for repeatedly being late on rent. He`s only been our tenant since the end of Sept. but has never managed to pay the rent on time. Last month the rent was more than 2 weeks late and this month, still no rent and we wonder if it will come at all with Christmas approaching. There is always some lame excuse or another for not paying the rent on time and we are getting tired of chasing him for the rent each month.

We can give him a 10 day notice to pay up or leave (BC property). The 10 days doesn`t start counting until the 6th day after a registered letter is sent with the 10 day notice. If I mail the notice tomorrow, then count off 6 days for him to receive it, then the 10 days start on Dec. 16th which means he will have to move on Dec. 26th. We are not going to do that - just can`t as it is Christmas and we just can`t do it. We will probably extend the move-out day a few days to Dec. 28 or 29th. Of course, the tenant can cancel the eviction notice entirely if he pays the rent and utilities owing within 5 days of receiving the notice.

Just wondering if you were in this position would you mail out the eviction notice or wait until January? There is a chance we will get the rent paid on the 15th which is our tenants bigger pay-day of the month, but if we send out a notice then he might not pay anything at all.

 

[tonypeters]

I know this doesn`t feel good, especially at this time of year, but you MUST get the clock ticking!If not, you will be the one that loses out! How do you think I know this? I have been in this position before, except I tried to be compassionate. The brutal reality is this; while being compassionate is nice, it may get you nowhere in the end!

My recommendation...Get the (eviction) clock ticking, and try to work something out with your tenant. If this fails, at least you will minimize your losses!

Good Luck!

QUOTE (TomB @ Dec 8 2009, 03:45 PM) So it`s finally happened. We have a tenant we must evict for repeatedly being late on rent. He`s only been our tenant since the end of Sept. but has never managed to pay the rent on time. Last month the rent was more than 2 weeks late and this month, still no rent and we wonder if it will come at all with Christmas approaching. There is always some lame excuse or another for not paying the rent on time and we are getting tired of chasing him for the rent each month.

We can give him a 10 day notice to pay up or leave (BC property). The 10 days doesn`t start counting until the 6th day after a registered letter is sent with the 10 day notice. If I mail the notice tomorrow, then count off 6 days for him to receive it, then the 10 days start on Dec. 16th which means he will have to move on Dec. 26th. We are not going to do that - just can`t as it is Christmas and we just can`t do it. We will probably extend the move-out day a few days to Dec. 28 or 29th. Of course, the tenant can cancel the eviction notice entirely if he pays the rent and utilities owing within 5 days of receiving the notice.

Just wondering if you were in this position would you mail out the eviction notice or wait until January? There is a chance we will get the rent paid on the 15th which is our tenants bigger pay-day of the month, but if we send out a notice then he might not pay anything at all.

 

[GSI]

QUOTE (TomB @ Dec 8 2009, 04:45 PM) So it`s finally happened. We have a tenant we must evict for repeatedly being late on rent. He`s only been our tenant since the end of Sept. but has never managed to pay the rent on time. Last month the rent was more than 2 weeks late and this month, still no rent and we wonder if it will come at all with Christmas approaching. There is always some lame excuse or another for not paying the rent on time and we are getting tired of chasing him for the rent each month.

We can give him a 10 day notice to pay up or leave (BC property). The 10 days doesn`t start counting until the 6th day after a registered letter is sent with the 10 day notice. If I mail the notice tomorrow, then count off 6 days for him to receive it, then the 10 days start on Dec. 16th which means he will have to move on Dec. 26th. We are not going to do that - just can`t as it is Christmas and we just can`t do it. We will probably extend the move-out day a few days to Dec. 28 or 29th. Of course, the tenant can cancel the eviction notice entirely if he pays the rent and utilities owing within 5 days of receiving the notice.

Just wondering if you were in this position would you mail out the eviction notice or wait until January? There is a chance we will get the rent paid on the 15th which is our tenants bigger pay-day of the month, but if we send out a notice then he might not pay anything at all.

Hi Tom,

It looks like you have history with this tenant and it isn`t the best one. You need to operate the business like a business and that means issuing eviction notices.

When you build up relationships with your tenants and you have a legitimate `crisis` that you feel you need to be compassionate about, then do so. But remember that there are a lot of savvy `professional` tenants out there who know how to work the system, seek compassion from the courts and stay rent free during the holidays. Not to be callous, but this is a fact. I have a few tenants working that angle now - and the courts do side with tenants more often than landlords, regardless if you have followed the correct protocol.

So, yes, get the eviction ball rolling. If you tenant pays up, set your expectations clearly and keep the rent on time if you decide to keep them. Otherwise you`ll be getting played every month that your tenant decides rent isn`t a top priority.

Hope this helps,

 

[TomB]

Great advice - thanks! (Tony, Todd and Danielle). Letter is ready to go by registered mail tomorrow for termination of tenancy on Dec. 29 if he doesn`t pay the arrears by Dec. 19. No - doesn`t feel great to do this in Dec. but he does have the option to pay and stay so it`s up to him how it ends up.

 

[Savard]

The smart business decision is to evict as soon as the process allows.

Be generous with your donations to the poor or whatever cause you choose. Don`t ever be forced into donating to a tenant or other "charitable cause".
Donate your time or money to the place that you choose and where you feel it will have the most impact.

 

[Dan_Eisenhauer]

In a word, NO.

There has been some great comments above. I have just given 14 day notice to evict a tenant on the 23rd. In checking the suite yesterday, we learned that the tenant has moved without notice, thus saving us the trouble.

 

[invst4profit]

Normally I would say evict ASAP. I would use Christmas as leverage.Bottom line in this case is what is your true intention. Do you want to force your tenant to pay or are you intent on evicting.
If you evict will your unit be vacant through January or is there some way you can rent it out.

I would serve the notice in person and sit down and talk with the tenant. Make it clear that rent is to be paid immediately and beginning in January if rent is one minute late he is gone. If he still doesn`t pay he would be out before Christmas.
If he pays this will allow you the extra breathing room and better timing to find a replacement tenant in the new year (February, March).
You will still likely end up evicting, or he will move voluntarily, but it will be far better timing for you.

 

[Bill]

QUOTE (invst4profit @ Dec 10 2009, 06:40 AM) Normally I would say evict ASAP. I would use Christmas as leverage.
Bottom line in this case is what is your true intention. Do you want to force your tenant to pay or are you intent on evicting.
If you evict will your unit be vacant through January or is there some way you can rent it out.

Our first eviction several years ago was right before Christmas, they couldn`t afford to pay me my rent, but they could afford Christmas presents for there kids worth thousands of dollars. Christmas can be the worst time of year for landlords as we get trapped in the compassion of the year while unscrupulous tenants use it as a time to get away with not paying.
The bonus of having them out prior to Christmas is you can usually get someone in right after Christmas to do any required work and have the place ready for January 1st. Remember it`s a business, the bank doesn`t care if you buy Christmas presents, so if the tenants don`t pay you, you still have to pay your mortgage and it comes out of your pocket and potentially out of your families Christmas presents.
The unfortunate side effect of being a landlord may end up being an eviction just before Christmas, but you need to protect your assets!

Regards,

 

[GoRentFreeFast]

First rule of business...Keep it about business

The tenant knows this eviction is coming and if you don`t process it ASAP then guess how late January`s money is going to be! I am not suggesting you be mean about it but this has to happen now.

Typically my first step it to communicate with the tenant indicating what you`re being forced to do...it`s amazing when it`s in their face how quick money if found!

Philip

 

[therealpotentials]

I would be in your same position this coming week. I have a tenant who has consistently not paid his rent on time and I feel like I`m chasing him all the time. He has given me 2 bounced checks in his 3-month stay in my property. I will serve him a notice today.

 

[Thomas Beyer]

QUOTE (TomB @ Dec 8 2009, 03:45 PM) ..

Just wondering if you were in this position would you mail out the eviction notice or wait until January? ..
This is a business.

If you can`t do what is required to run a business there are 2 choices only:
a) hire people who can do what you can`t, or
b) chose another business

On a personal note .. I`d find this personally very hard so I always have at least one or now 2 people between me and a tenant !! too much emotional baggage .. too many heart breaking stories .. property management is tough .. but I know it is vital to a good business .. so I have excellent people or 3rd party firms on it !

Know your strength and weaknesses .. and govern yourself accordingly !

 

[gwasser]

QUOTE (ThomasBeyer @ Dec 12 2009, 05:27 PM) This is a business.

If you can`t do what is required to run a business there are 2 choices only:
a) hire people who can do what you can`t, or
b) chose another business

On a personal note .. I`d find this personally very hard so I always have at least one or now 2 people between me and a tenant !! too much emotional baggage .. too many heart breaking stories .. property management is tough .. but I know it is vital to a good business .. so I have excellent people or 3rd party firms on it !

Know your strength and weaknesses .. and govern yourself accordingly !


Thomas, does that mean you hire people or companies that specialize in evictions?

 

[Thomas Beyer]

QUOTE (gwasser @ Dec 13 2009, 03:41 PM) Thomas, does that mean you hire people or companies that specialize in evictions?
it means people OTHER than me do it .. people that know what is involved and have done it for years .. (and usually actually enjoy it) .. usually the property manager (which is a 3rd party or an employee/co-owner of a PM company that I co-own as part of the PrestProp Group ..)

 

[brentdavies]

Tenant arrears, bad cheques, and late rents peak at two times during the year. January-February when the christmas bills show up, and in September when kids go back to school, after the family spent most of their money on holidays.

You giving your tenant a christmas present by allowing the tenant to spend the money on Christmas first, rent second, because "my landlord won`t do anything about it."

Have you talked to the tenant to find out what the problem is?

 

[TomB]

Have you talked to the tenant to find out what the problem is?



Oh yes,,,,,,, many times. But it`s nothing but lame excuses comparable to `the dog ate my homework`. Whatever the problem is.... he can`t be honest about it. We suspect he has court ordered payments for the 1st of the month but on the 15th when he also gets paid, he is able to pay. If he discusses this, we might be agreeable but so far it is just a suspicion since he isn`t really forthcoming. We also suspect that we are down the list of payment priorities. This tenant takes home about 5400/mo. and the rent under $1000/mo. Should be no problem but it`s been a constant hassle since he moved in.

 

[wgraham]

I just had a tenant give notice for the end of the month!! Yes that is 15 days away! I told her that I had a lease for another 9 months and would like her to stay until Jan 31st to help everyone out. She said that she was living in an "illegal" suite and would call the city if I didn`t let her out!!

Thems the breaks......They had no quams about getting out over Xmas. With most of my tenants the loyalty works both ways.....this girl didn`t want to play nice so I am now searching for a new tenant over Xmas`s.

Its a business. It doesn`t care that it is Xmas and neither should you!!

Good luck,
Wade

 

[christineruptash]

I can say with certainty – no! We had a new tenant who moved into one of our duplexes in October and didn’t have his December rent on the 1st. My PM served him with his eviction notice on December 2nd, which we do whenever a tenant is late. He promised to have the money to her twice, and then wasted her time as she went to pick it up both times and didn’t even have partial rent. I have zero tolerance for that, she is a busy person and it is a busy time of year.
We began the application process for an RTDRS hearing and within a half an hour after notifying the tenant that this was the action we were taking, he gave us a certified cheque for payment in full. He was basically trying to play a game of ‘chicken’…..
If he is late again in January we will follow our eviction procedure, and mention that we are looking into the services of a bailiff.
It is a bad time of the year to lose a tenant, but if I am losing revenue anyway, I would rather offer a new tenant an incentive than reward a ‘professional tenant’.