Tenant Having Trouble Making The Payments
I'm wondering what to do may tenant is having trouble making the payments she is locked into a 1 year lease but lost her job only 4 months into lease. The question is do i break her lease keep her security or do I try and get to finish out the lease ? I think in az if your tenant proves that they can't afford your payments then I'm obligated to let them out?
start eviction proceedings immediately.
I went through a situation just like that a few months back. I let the tenant out, but I sued and won a judgement against her for the difference. I was able to send the debt to a collection service after receiving the judgement.
The tenant was upset, but I explained- Mom, it's just business.
Seriously, I don't feel like you ever gain anything by trying to force someone into staying with a lease they can't or won't honor. I do not know Arizona law, but in California residential leases are much less onerous than commercial leases. You may just try to get a new tenant immediately and explain to the previous tenant that you would be grateful if she would stay until you can replace her. Don't know your market, but you can probably get a tenant quickly if you reduce the price just a little. Maybe you can explain the rent reduction to the current tenant and try to coax her to make it up out of her deposit ($50 less per month = $600 out of her deposit). Check on the legallity of just keeping her deposit because she bailed. It's not always that simple. Bottom line- if you can part amicably under a reasonably fair agreement, you will certainly be financially better off than if you have to evict or keep getting shorted for months.
Good luck.
Your local landlord/tenant law is probably very specific on how and when a tenant forfeits a security deposit.
If you release the tenant from your lease agreement, then (usually) the security deposit can only be used for unpaid rent and damages. The balance of the deposit must be refunded.[ Edited by DaveT on Date 05/16/2004 ]
If you think you can get the apartment re-rented quickly, tell her that if she moves out right now you'll let her out of her lease, and she'll only owe you for any unpaid rent, repairs, and the advertising necessary to find a new tenant. She can't pay anyway. Dragging this out in a long and painful process won't help either of you. Better to get past this asap and move on with your life.