There are certain things in life that we cannot avoid even if we want to. One of them is inevitable death, and it is something that we have no control over. That includes the death of your tenants. What exactly should you do if this happens inside your property? Are you allowed to move out their belongings immediately? Here are the things you need to know if a tenant death occurs. These apply only to tenants who live alone.
Official Notification
The landlord should acquire a formal notification from the tenant’s closest relative or his estate’s executor. This is important in assisting the family and transferring the unit to new tenants.
A tenant’s death does not automatically terminate the lease agreement. Therefore, you will not be allowed to remove any belongings without going through the correct process. You might want to coordinate with the tenant’s executor and plan on how to transfer the property back to you.
What would be the first thing to do?
The first thing that you should do after you have known of the tenant’s death is to check if the property is secured. The windows and doors should be locked. For extra measure, you can change it for new locks to avoid any entry from friends and family with spare keys.
If some members of the family request to go inside the property, it will be best if you accompany them. This will help avoid any family conflicts in the future. List down all the things they have taken, including clothes and photos of the deceased. After contacting the executor, you should give him a spare key and let him manage the tenant’s belongings.
What happens to the lease?
The lease can extend until the date of expiration. This will depend on whether it is a month-to-month lease or a long-term agreement.
Month-to-month lease
The formal notification after the tenant’s death will indicate the 30-day notice and will signal the end of the lease. The estate will be responsible for any money owed by the tenant for 30 days. Remember to discuss the removal of the deceased tenant’s belongings with the executor.
Long-term Agreement
As mentioned above, the tenant’s estate is responsible for the rental payment until the end of the lease. However, you might prefer having new tenants fill in the vacancy. The executor might not also be on board with paying for an empty property. You can both decide to consider it as a broken lease agreement. You can look for new tenants and the executor will stop paying rent as soon as they move in. It will be easier for both parties that way.
What about the security deposit?
You can use the security deposit to cover the financial loss caused by the tenant’s death. After that, you must return the excess amount to the executor. List down all the expenses that you deducted from the deposit to avoid any doubt.
If the security deposit is not enough to cover the expenses to repair the property to its habitable state, you must coordinate with the executor and have him cover the cost.
Do not worry about these things happening because it is normal. All you need to do is follow the proper protocol to avoid having any problems. Don’t be turned off with the idea of renting out properties because there is a correct way of dealing with these things.
You already know what to do after this so you don’t fret. Just continue doing what a good landlord does and you’ll be fine. Once the unit is ready to welcome new tenants, use Padleads to create your property listings and have it syndicated to popular websites so that you’ll get more leads in a shorter amount of time.