Home Selling in Tracy>Question Details

Donna, Home Seller in Tracy, CA

Our rental property is in short sale. Tenants not cooperating with allowing agents/buyers to see house. Can we evict? Agreed to not collect rent.

Asked by Donna, Tracy, CA Tue Mar 29, 2011

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Hi Donna,
I work for a Real Estate Attorney / Broker.
You may want to have a consultation with an attorney to find out exactly what to do.

Have you tried to do a mod? Who is the lender?

If you not collecting rent they should be more than willing to work with you. If you give notice you should not have a problem showing the home.
0 votes Thank Flag Link Thu May 26, 2011
Hi Donna, two more comments:

1) Joseph is correct, the written rental agreement between you and the renters remains in effect and should not be affected by the short sale. You should be collecting rent!

2) You may find this document to be of use to you: http://docs.Steven-Anthony.com/Landlord-TenantGuideCA2010.pdf

Best, Steve
0 votes Thank Flag Link Wed Mar 30, 2011
You absolutely can collect rent. You sound like you have a legit hardship. Seek cousel of a Realtor, hopefully a CDPE, The rent can be held to make a cash contribution ot the short sale negotiations. Most 2nd's wont foreclose since they will ge tnothing in the process.
0 votes Thank Flag Link Wed Mar 30, 2011
This house is in short sale due to our own hardship of job loss and medical disability. We can not collect rent since we have failed to pay the lender. We both agreed she can stay in lieu of her not receiving her deposit back. We are thinking we may need to give the deposit back. We are still giving notice though. Time is an issue since we have been notified of foreclosure proceedings from the 2nd mortgage. We don't have time to dilly around. I appreciate all of your responses and any more that you may have.
0 votes Thank Flag Link Wed Mar 30, 2011
You could also tell the tenant that it is very likely that an investor wil buy the house and that thye wil be able to remain in the home. Sometimes this alleviates the stress they are feeling about the possibility of having to move. Most times when I see this behavior the tenant thinks if they can stall the showings they can stall the sale, and postponing their move.
0 votes Thank Flag Link Wed Mar 30, 2011
All is governed by the lease agreement between you and tenants Have your listing agent become involved with process full understanding.

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0 votes Thank Flag Link Wed Mar 30, 2011
Donna, I am sorry about the situation you are in. It is difficult to answer you question without seeing your lease agreement. However, most lease agreements contain a clause that allows the landlord access to the property given 24 hours notice. Most leases also have a clause that requires the tenant to cooperate with the landlord if the landlord decides to sell the property. So even though you have agreed to allow the tenant to stay without paying rent that does not mean you cannot evict them for violating other terms of the lease.

I reccommend you hire a real estate attorney or eviction service to help you with your problem. I also recommend you revoke the non-payment of rent agreement. I assume you did this in good faith so that the tenants would cooperate with the short sale. If they are not living up to that you should be able to revoke the agreement.


Cash for keys is an option as well but right now the tenants have a pretty good deal, free rent for as long as they can hold out. Once you start the eviction process they will feel some pressure to cooperate.
0 votes Thank Flag Link Wed Mar 30, 2011
I am sure your rental agrement alows you to come thru with 24 hours notice. Give them writen 24 hours notice each week for a very specific time and then arrange any tours for that time. The prospects can come thru with you.
0 votes Thank Flag Link Wed Mar 30, 2011
Definitely sounds like a consensus to me. Cash for keys would be your best bet albeit you'd be gritting your teeth and foaming at the mouth for having to acquiesce. Some things are gut wrenching but often times better than standing on principal or what you may consider and believe to be your right.
0 votes Thank Flag Link Wed Mar 30, 2011
It sounds like the only thing you can do is the cash for keys option. Anything else would take a long time.
Web Reference: http://SellEarth.com
0 votes Thank Flag Link Wed Mar 30, 2011
Do you have a term lease with them? Are they month to month?

I agree with the 3 other agents. You are going to need to make them a "cash for keys" offer and make it worth it to them to tear up their lease. If they won't agree to that, your best bet is to get a real estate attorney involved.

Good luck!
0 votes Thank Flag Link Tue Mar 29, 2011
You agreed to let the tenants stay for free and now you want to evict them. Wow? Talk about a mess! I agree with Steve, you need legal help before you make a bad situation worse.

On the other hand, it may be cheaper to follow the advice of the agent from Florida and offer cash for tenants to vacate and leave the property in good condition.
0 votes Thank Flag Link Tue Mar 29, 2011
Hi Donna:

I believe you have created a situation that may require a RE lawyer to untangle. Agreeing to not collect rent and then still allowing the Tenants to remain is very problematic. Evicting the Tenants and then trying to Short Sale the property would have been better for you.

You need to talk with a RE lawyer! Trulia is not a legal forum!

Best, Steve
0 votes Thank Flag Link Tue Mar 29, 2011
It will take you 8 months+ to evict the tenant at your cost. Rather offer 'cash for keys' for them to move without damaging the property (they only get the cash wnen you deem the property to have been handed over in a fit state).

It is hard enough for a REALTOR(R) to find a suitable buyer without the additional constraint of a difficult/hostile tenant.

Do yourself a favor...... get the tenant out. Your sale will close faster!

Best of luck..... it can be done - just choose an agent who is familiar with the process.


:)
A
0 votes Thank Flag Link Tue Mar 29, 2011
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