Tenants Want To Move Belongings In Early?
Question
I have an applicant that looks good, but he won’t have the full amount needed for both the security deposit and the first month rent for a week. He and his family are living with relatives. He is asking for permission to move his trailer load of belongings into the unit so that he can stop paying rent on the trailer. Are there issues regarding allowing this?
Answer
The issue of when possession of a unit should be given to the selected applicant is an important one that has potentially significant legal and financial implications. It should always be remembered that it can require an eviction to remove tenants once they are in possession.
Possession of a unit should not be given to new tenants until (1) all documentation, including lead paint disclosure if applicable, has been executed by all parties on the lease agreement, (2) all moneys have been received by the landlord (funds being in cashier check or cash), and (3) if utilities are still in the landlord’s name, arrangements have been made for certain transfer to the tenant.
Regarding item 3, allowing possession with utilities in the landlord’s name can result in problems because, in many jurisdictions, if the tenant fails transfer them to his/her own name, the landlord does not have the right to turn them off. This circumstance could require an eviction. While an eviction should be obtainable, assuming adequate lease clauses regarding the issue, it will require both money and a time for the landlord to regain possession.
It also highly recommended that a walk-thru inspection with move-in checklist being completed and signed by both parties prior to giving possession.
Never let a prospective tenant stay temporarily or even move a single item of his personal property into your vacant unit until all pre-possession tasks are completed and there is no chance that you’ll change your mind about the person’s selection. If you give out the key or indicate transfer of possession in some other way, including storage of tenant belongings on the property, you have effectively given him the legally protected status of tenant even though not all funds were paid or any other contingency of the lease agreement was not yet met. It will now require an eviction if he can’t complete the terms of move-in and refuses to voluntarily leave.
Finally, possession is often transferred by the landlord to the new tenant simply turning over the keys to the new tenants at the landlord’s home or office, perhaps with the tenants being handed a move-in checklist. However, a more formal safer way of transferring possession, though requiring more time for both landlord and tenant, has significant advantages in reducing risks for the landlord is to give possession at a “tenant orientation” at the rental with all signatories of the lease agreement present, if possible. It is possible that the new tenant orientation will be the only time that all parties are face-to-face until the time comes to conduct the move-out inspection. This is an opportunity for the landlord to make sure the tenants understand their responsibilities during their tenancy, as well as have a completed and signed move-in check list in hand prior to giving possession.
Typically, tenant orientation includes:
- signing of lease agreement if not previously completed by all occupants of legal age,
- delivery of all fees, deposits and rents (certified funds or cash) that might still be outstanding,
- brief review of lease agreement by the landlord, including rent collection policies and procedures, and discussion of any separate “house rules,”
- completion of the move-in inspection and completion of move-in checklist and signing of same by all lease agreement signatories,
- showing the tenants location of and explain operation of circuit breakers, gas shutoff valve, water shutoff valves, water heater, heating/cooling system, and
- giving the keys to the new tenants.