Tenant gave notice, and now wont move out!!

I have a property in Sydney (NSW) and my PM advised that the tenant had given notice and they would be vacating the property on 8th December. Before this date and after they had given notice, the property was advertised for lease and a new tenant was found and due to move in on 16th December.

The 8th came and went, and the tenants have continued each day to tell the agent that they will bring the keys back "tomorrow". The place is not clean and requires fumigation (due to fleas from their cats), and all their stuff is still there.

My PM is now going back to the new tenants to push back their move in date.

This all seems completely unfair and a very bad start to a relationship with new tenants, not to mention putting future rent at risk, and not allowing sufficient time to prepare the property for the new tenants.
Is there something the PM should have done or is there something they can do to get the tenants out?! What are my options as the landlord if the new tenants then refuse to sign the lease and I'm out of pocket trying to find new tenants over christmas?

 

You can't blame the PM if the tenant refuses to move out at the time they nominated.

There are processes to be followed by the PM to legally evict the tenant, and I hope the PM is submitting the correct paperwork at appropriate times.

But be warned, this won't be a quick process if the tenant refuses to cooperate.
Marg

 

It might even need to go as far as applying to tribunal for a termination order unfortunately.

'Overstaying' a tenancy is unfortunately not a breach of a tenancy agreement and you wouldn't be able to claim compensation for losses generally speaking.

 

The issue with the new tenants is separate. That's an issue onto itself to be dealt with separately.

With the old tenants, was this the end of their lease contract or gave notice on periodic? Unfortunately tenants can hold LLs a little bit to ransom here in that you can't physically make them leave at the end. I've had one where they didn't go at end of contract, arranged tribunal, it took 3 weeks to get a hearing then at the hearing the judge gave them 3 weeks from that day to leave (which could have been enforced by bailiff, but wasn't needed).

That's the joys of property investment. Sometimes things go smoothly for years without anything noteworthy happening. Sometimes people just want to be ******s.

My only advice is don't take it personally. Get them out of there, get the property tidied up and move on. Get someone good in. Claim costs on bond and insurance.

 

Look on the bright side.. once you get them out of the place 6 weeks from now, you'll be able to have leases start/renew during a much better month than 2 weeks before Christmas!

I just feel bad for the new tenants that are meant to move in, in 2 days!

 

In our case we didn't have someone coming in as we were planning to do renovations anyway. Have a colleague who had a case where landlord had sold their and was waiting to move in to their own rental, the tribunal member said too bad go stay in a caravan park.

In cases where there's a tenant signed up ready to go, I imagine it'd go the same way as that other thread Real estate withdrawing lease once signed @thatbum - do you think you could pass costs onto outgoing tenant in such situation?

 

Fascinating responses - thank you all for your input. It seems very flawed that you have to appeal even when notice is given.

The tenants were paying month to month out of contract, and gave 21 days notice.
I just feel awful for the new tenants, especially so close to Christmas. If it were me, id be demanding compensation for not meeting agreements, but I'm not a lawyer. With the other thread, if they have signed the lease, they have every right to move in... do they just move in on top of the old tenants?!

And then if the tenants decide not to move in, that leaves me out of pocket at the fault of the tenants. Surely there is some compensation claim there...

 

21 days in NSW (for tenant) 90 days for LL very balanced, NOT!

Just had the similar experience at one property recently, agent doing reference checks etc, tenant gives 3 weeks notice (early Christmas present) - all good. Agent then demands lease commences immediately, tenant withdraws notice. Dang, now to give 90 days notice effective just before Easter

 

And if I gave 90 days, they could have left anytime within that period and stopped paying, and yet if they stayed longer I still cant do anything except appeal to the tribunal then wait for a new date to be set? Its insane....

 

Exactly......

 

Bring back the old days were u could just go to the property and start chucking their stuff out on the street and change the locks, hahah I am not old enough for those days in my working career but witnessed lots of these due to my mum and her ruthlessness back in the lates 80s

Stay in the car and lock the doors. Righto mum!!!! lol

 

This exact scenario happened to me in Sydney. It wasn't my PM's fault at all, she had followed the process properly but the outgoing tenants called her two days before vacate and said they wouldn't be moving out for another week because they'd had a delay with their new place. They had had a baby in the previous months and were playing the sympathy card. Although they weren't being malicious, I just don't think they understood the implications as it was their first time renting.

We had left a 3 day buffer for carpet cleaning and some minor repairs which obviously didn't cater for it. I can't remember exactly what happened but I do remember she slapped with them a tribunal date immediately and warned them that they would be up for all costs. They did end up moving out within a week and a half and fortunately the ingoing tenant was a little flexible and it didn't cause too much trouble.

My main concern at the time was that I was effectively in breach of the new contract (tenancy agreement) and in theory, we could have lost the ingoing tenant. This would have cost me vacancy, a letting fee and all in all cause a lot of problems that I'm not convinced would have been recoverable. I'm sure technically they would have but good luck trying to get a few thousand dollars out of an outgoing tenant on a practical level. I'm guessing that I would have had to file a civil suit and pursue them in court which, from experience, it's usually more heartache than it's worth.

As has been said, you can't just physically throw them out or change the door locks. I did find quite a few reasons not to give them their bond back though with the cost of the filing in the tribunal being one of them.

 

Best practice is that lease documents are not signed until the property is vacant and that a reasonable buffer (i.e. one working week) is left between a vacate and entry.

Unfortunately, everyone wants to minimize vacancy, so this tends to get squeezed. Of course we also want to properly secure new tenants as well, so most take the risk and sign paperwork asap. I openly admit this is how we do business because it's just not practical to wait and leave properties vacant, but I am well aware that this is a risk factor.

The reality is that there have been a number of cases where an ingoing tenant has been proven to be entitled to compensation for not being able to enter the property on the agreed dates. In many/most situations, the agent and landlord have been held accountable- not the outgoing tenant.

 

Legally, that's how it goes. It is the agent/landlord who signed the lease with the ingoing tenant, the outgoing tenant had no part in that agreement.

However, the agent/landlord could then, in turn, attempt to recover from the outgoing tenant. Usually impractical and rarely cost effective.
Marg

 

Yeah, but theres more.....

When LL gives 90 days notice, tenant can pretty much walk anytime then, legally is 14 IIRC

 

PM should not offer a lease to be signed till other one is out IMO....or basically, no lease till place is vacant and ready.

 

Totally agree, when the place is ready have the tenant come to the office, sign leases, handover keys & incoming inspection report.

However, it does pose a level of risk to the owner if the bond & rent in advance haven't been received until vacant possession is confirmed.