A while back I had an interesting email exchange with a tenant… Here it is, with the names changed to protect the guilty.
The Setting…
I rent an apartment and sublet one of the bedrooms. In December I received first/last months rent ($1100 total) for an agreement beginning in January. I asked this person to sign an agreement that they would provide 60 days notice. They did. On Mar 9 I received notice that he was moving at the end of the month.After I reminded him of the 60 day notice, I told him that if I couldn’t get a replacement he would at the least forfeit the last months rent. He said he didn’t care. So now 4 days before the end of the month I find a replacement. But honestly, I spent 4 beautiful days in, interviewing for the room.
Question: Do I have to give him money back? I didn’t even get 30 days never mind 60. Thanks.
I Answer
Hi Mr. Smith,
Welcome to being a landlord, you are not allowed to charge double rent. You are allowed to charge for any legitimate charges you may have incurred such as advertising expenses and credit checking expenses.
R
Another Question
Thank-you. Is a legitimate expense your time?
I Answer 2
Dear Mr. Smith,
You could try. Not usually, although it should be…
R
What Does It Feel Like To Be A Landlord?
Thanks again. It just burns me when I kept the place immaculate and did everything I agreed to…
Question 3
Sorry, but one last question…if I refused, what would happen? If it was taken to small claims court, could I be charged additional money as well as having to return the $550? This guy is a student from Japan and really arrogant. It would please me to make his life uncomfortable. Thanks.
I Answer 3
Dear Mr. Smith
Chances are he won’t sue.
R
Question 4
But if he did, would I have to pay court costs or anything like that..how could this play out? Also, if he did, would you go to court with me? Thanks
I Answer 4
Dear Mr. Smith,
No, I would not go to court with you. You cannot legally collect double rents just because he’s a jerk doesn’t give you the right to rip him off
R
The End…
Ok, Thank-you.
We should force every tenant to walk a mile in a landlord’s shoes
Everyone in this world needs to live somewhere I suppose.
“We should force every tenant to walk a mile in a landlord’s shoes”…and vice versa.
Fact is most landlords have been tenants… It’s just when you are the landlord you realize what the economics look like. I think that is the main problem between landlords & tenants.
I am a tenant and a landlord.
I owe 4 buildings, which includes 15 x 3 bedroom units. All of which are in mid-class neighborhoods of Montreal. Cash flow is positive individually and as a whole. They were purchased years ago when the Cap rates were better. I maintain the buildings and they are kept clean, safe and maintenance is done quickly. Over the years I have learned to separate the stress from my personal life (it took some practice). Between cash flow, appreciation (current) and mortgage paydown I make 70-80K a year, tax sheltered.
However, I travel for work, every week, Monday-Friday, and I don’t personally need a lot of room, esp. as I am a young widower. I prefer to be near my family when I am home, and I don’t want to be in the same building as my tenants for my own privacy. So I rent a 2 bedroom apartment. I don’t own a condo, as I don’t see the value, and it wouldn’t cash flow or balance if I had to rent it out. My landlord is a large corporation, so I interact with the building managers.
I take the opportunity to see how they handle maintenance, forms, follow up, rental forms, etc etc. I can’t say every month is a learning experience, but I do learn some best practices and a lot of “what not to do”.
My home is not my investment, its my home. However, real estate, when done right is a great investment. My home is chosen to fit my needs, and some of my wants. My investments are chosen to make me money. People confuse the 2 sides of the same coin.
True enough, as a building manager I can assure you that it is very difficult to “make everybody happy”
Also sounds like some people forget that Landlording is a business (money for a sevice) not an excuse to punish people for personal hangups.
Sunday Morning Dump: Earth Day Edition » Financial Uproar // Apr 22, 2012 at 6:42 pm
[...] fun when tenants think being a landlord is easy. Go check out Rachelle from Landlord Rescue’s interesting email exchange with a wannabe landlord. Aside: as someone with the last name Smith, can we use a different last [...]
I’ll keep that in mind next time… I’ll use John Doe