High Risk Tenant

[dif1810]

I have a high risk tenant as an applicant because his net income to rent is 80%. I would like to get 2 months security deposit (the max in California).

Worse comes to worse....if the tenant is late on one or multiple payments:
- Can I use the security deposit to offset?
- Can I send a pay now or quit letter to let him go within 3 days? If he doesn't what is the eviction procedure? Is it easy?

 

[Gail_in_Georgia]

I believe you may have posted this same issue on another legal forum and the general response was that taking someone whose rent would be 80 percent of their monthly income was a less than brilliant decision.

You are attempting to be a landlord in one of the most tenant-friendly states in the entire union. Evicting someone in California can be a long, painful and expensive process for the landlord. You are already facing a tenant who (unless they decide they don't need to eat, have electricity, cable, heat, air conditioning, water or any insurance) is certainly going to be unable to make your rent payments. Why would you put yourself in such a pickle?

Join a local landlord group (if one exists in your area) and listen to what seasoned local landlords will tell you about this possible decision.

Gail

 

[dif1810]

Any answer to the specific questions in the original message? Thank you.

 

[army judge]

I have a high risk tenant as an applicant because his net income to rent is 80%. I would like to get 2 months security deposit (the max in California).

Worse comes to worse....if the tenant is late on one or multiple payments:
- Can I use the security deposit to offset?
- Can I send a pay now or quit letter to let him go within 3 days? If he doesn't what is the eviction procedure? Is it easy?

This isn't going to work.

The risk is too great.

Once this broken roach checks in, it'll never check out.

It'll stay there at your expense.

In fact, courts usually side with these creatures.

They'll call you a slumlord for taking advantage of a broke roach!

A bad tenant is a bad tenant.

What some smart landlords do is request 3, 6, 9, or even 12 months rent in advance.

They give a discount against the rent for paying up front.

The court will not let you use security deposits in lieu of rent.

That is why they call it a security deposit.

Basic Rules Governing California Security Deposits
Note: Some cities may have more laws.
The landlord can use the security deposit to pay for the landlord's expenses if you fail to perform some duty as a tenant (that is, if you default on a tenant obligation). For example, a landlord can use your security deposit if you default by not paying all of your rent before you move out, by damaging the rental unit beyond normal wear and tear, or by leaving the unit less clean than when you moved in.

The CALIFORNIA EVICTION PROCESS: If the tenant doesn't voluntarily move out after the landlord has properly given the required notice to the tenant, the landlord can evict the tenant.

To evict the tenant, the landlord must file an unlawful detainer lawsuit in superior court. In an eviction lawsuit, the landlord is called the "plaintiff" and the tenant is called the "defendant." Find California Eviction Attorney.

An unlawful detainer lawsuit is a "summary" court procedure. This means that the court action moves forward very quickly, and that the time given the tenant to respond during the lawsuit is very short. More in the California Eviction Guide - How to evict or fight eviction in California.

http://www.rentlaw.com/eviction/californiaeviction.htm



California SECURITY DEPOSIT
In California, a security deposit for residential property unfurnished, the security deposit may equal 2 times the rent. If furnished, the landlord may charge up to 3 times the rent.

In California, there is no such thing as a "non-refundable" security deposit. No matter what it's called—a key deposit, cleaning fee, move-in fee, closing costs, last month's rent, etc.—all money you pay in addition to your first month's rent is refundable. Since "nonrefundable" deposits are illegal, don't worry if your rental agreement includes a section about a "nonrefundable" deposit. This section will not be valid even if you have signed the rental contract or agreed to it.

There is no restriction on the amount of the security deposit for the rental of a commercial property.

The Return of the Deposit: If a tenant damages the property, the landlord can deduct the cost of fixing it from the security deposit. But if the tenant returns the rental in substantially the same condition in which it was rented (less reasonable wear and tear), the landlord must return the deposit. A landlord can't make tenants pay for painting, new carpets or curtains, unless there was serious damage. The landlord is allowed to deduct the cost of cleaning if necessary to put the unit back to the same level of cleanliness it was in at the time the property was leased (less reasonable wear and tear).

Within 2 weeks of the tenant's move-out date, the landlord must advise the tenant, in writing, of the right to be present at a walk-through with the landlord. The purpose of the inspection is to allow the tenant an opportunity to repair damage pointed out by the landlord.

How much time does a California Landlord have to return the deposit? After you move out, a landlord has 3 weeks to return the security deposit or send a list of how much each of the damages cost including all receipts. A landlord can only charge a tenant for unpaid rent and for fixing damage, not normal wear. The landlord has to prove that the repairs are necessary and reasonable and must provide you with receipts for those repairs.
What if I don't get my deposit back after 3 weeks?
Write a letter to your landlord if you feel too much was retained from your security deposit and explain why you believe you are entitled to a larger refund.

Note: If you also paid "last month's rent," It must be used for the last month's rent.


http://www.rentlaw.com/dep/cadeposit.htm