After you might have obtained written discover that your tenant is vacating, you’ll want to pull out their lease and evaluate the phrases of their contract. There are some things you’ll need to search for when your tenant offers their discover to vacate.
Did They Give Sufficient Notice?
Each state is totally different relating to how a lot discover the tenant is required to give their landlord, however some widespread necessities are 20 or 30 days’ written discover earlier than the tip of the rental interval (you’ll need to examine along with your state to discover out what applies to you and your tenants). Whatever minimal discover your state requires wants to be in your rental contract.
For month-to-month rental agreements (an settlement for an indefinite period of time) within the State of Washington, tenants are required to give not less than 20 days’ written discover earlier than the tip of the month (or rental interval) that they’re transferring. Our rental interval runs from the primary day of each month by the final day of each month.
So, if one in every of our tenants offers their written discover on the 2nd that they are going to be transferring on the 31st, they’re golden. If they offer their written discover on the 24th with plans to transfer on the 31st of the identical month, that 20-day discover goes into the next month, which means their rental settlement legally ends the final day of the next month. In this case, the tenant is accountable to perform the phrases of their rental settlement by the success of the lease (the next month), together with paying lease.
Related: 7 Advanced Tenant Screening Tips (So You’re Not Fooled by Wolves in Sheep’s Clothing)
When a tenant doesn’t give us sufficient discover that they are going to be transferring, we give them two choices:
- They can keep the additional month, or
- They can proceed with their plans to transfer earlier than the tip of the present month, however they are going to be held to their obligations.
If they select possibility 2, we allow them to know they’ll nonetheless want to pay lease when it’s due on the first, however we’ll market the unit as regular, and if we approve a brand new tenant, they’ll obtain a prorated lease refund from the day the brand new tenant strikes in.
Are They Breaking Their Lease?
When your tenant offers their discover that they’re transferring, discover out when their lease expires. It will probably be essential for you to know if they’re transferring out in the midst of their lease so you may make certain they perceive what their obligations are. So, what are their obligations precisely?
A time period lease, or a lease with a particular begin and finish date, has its advantages, one in every of which is that, as lengthy as everybody stays in compliance, the tenant is assured a house, and the owner is assured lease for the whole time period of the lease.
So, when your tenant surprises you with the information that they’re transferring midway by the lease, it doesn’t have to be unhealthy information. Even although the tenant is transferring, they’re nonetheless accountable to perform the phrases of their lease by the tip date listed on the lease, most significantly paying lease till you will get the unit re-rented.
One widespread exception of the discover to vacate rule: If your tenant is within the navy they usually get reassignment or deployment orders, they might be allowed to break their rental lease with out repercussions. It’s a small value for us to pay for these serving in our US Military.
How Much is Their Deposit?
It’s good to understand how a lot your vacating tenant’s deposit is for therefore you could be ready to personally cowl any overages (if there are any). Of course, you’ll nonetheless maintain your tenant answerable for all costs related to returning their unit to rent-ready situation, however let’s be trustworthy, it’ll be some time earlier than (or even when) your tenant pays for any overages above and past their
deposit. We’ll focus on in a while on this chapter what to do in case your tenant owes you greater than what their deposit will cowl.
Related: 6 Tips for Raising the Rent Painlessly (Without Losing a Single Tenant!)
Using the Deposit as Last Month’s Rent
Lastly, when a tenant offers you their discover that they are going to be transferring, the topic of utilizing their deposit as their final month of lease will typically come up. While it’s comprehensible why a tenant would need to do that (they’re more than likely saving up for his or her subsequent place), by no means enable a tenant to use their deposit as the final month’s lease. Make certain your lease has a clause that states that the deposit might not be utilized towards lease at any time.
The deposit is held by the owner to encourage optimistic habits by the tenant throughout their tenancy and to guarantee they return the house to its authentic move-in situation once they transfer. If you get lazy and allow them to apply it in direction of lease, what occurs once they transfer out and you’ve got damages to repair, cleansing to get the unit rent-ready for the following tenant, and a rubbish invoice to pay? Or even worse, what in the event that they don’t transfer out on the finish of that month and don’t pay lease the next month? Now you don’t have any lease, no deposit, and hefty eviction prices in your arms. This is essential, so we’ll repeat ourselves right here: Never enable your tenant to use their deposit for lease at any time.
Anything else you do while you get discover your tenant plans to vacate?