If you are a property owner, the one thing you hope you never have to deal with is the eviction of tenants. It does happen, however, and there is a set legal process that needs to unfold. One of the primary benefits of a property management company is that they can handle the eviction process for you, saving you time and some potentially unpleasant interactions with your former tenants.
How Does a Property Management Company Have the Authority to Evict Tenants?
Most property management companies will have you sign a contract where you declare them to be an agent on your behalf. Being an agent simply means that they have the authority to act on your behalf as a landowner. For example, they can start eviction proceedings and even appear in eviction court on your behalf.
(Note that you do not waive these rights for yourself. You still have the discretion to evict and to appear in court—just be sure that, if you are using a property management company, you are working with them on these issues!)
What Might Trigger an Eviction?
Most often, an eviction occurs because there has been a breach of lease (or breach of contract). The most common breaches include:
- Failure to pay rent in a timely manner (or at all)
- Engaging in illegal behavior on the premises
- Endangering others on the premises
- Destruction of the property
- Breaking specific terms of the agreement (for example, having to do with smoking, pets, etc.)
This list is not exhaustive, and those who have been landowners for some time have probably seen even more wild cases leading to eviction.
These cover what is called eviction with cause. In short, the tenant has done something wrong, or failed to do something they were supposed to do, and are thus in breach of lease.
Most cities and states require that the landowner or management company send at least one letter to the tenant(s) stating how the situation can be remedied. For example, if the tenant has not paid rent, the landlord is required to send a “Pay or Quit” notice, telling them what amount of rent is past due and needs to be paid to stop eviction from going forward. A “Cure or Quit” notice outlines what steps need to be taken to be compliant with the lease—for example, repairing damaged property, ceasing smoking in the building, finding a new home for a pet, etc. Once the letter is delivered, most cities and states also require a “reasonable timeframe” for the tenant to pay or fix the problem—usually 30, 60, or 90 days.
In some states, it is legal to give an eviction without cause if the tenant is month-to-month (i.e., does not have a lease). This means that the landowner does not specify a reason for wanting the tenants to leave. The law usually requires that the tenants be given a suitable warning time so that they can find new accommodations (again, 30 to 60 days is typical, but local laws vary). This is much more rare but sometimes happens when the landowner wants to sell the property or make room for tenants willing to sign a lease.
Why Use a Property Management Company for Eviction?
Establishing that a property management company can handle an eviction is easy; it’s just a matter of what the law allows, and what the management company is willing to offer as a service. The real question is: Is it a good idea to have a property management company handle evictions for you?
There are several reasons why landowners do find it valuable to use property management companies in cases of eviction:
The legal process.
The process of evicting a tenant is often complex, requiring that certain steps be taken at certain times. What those exact steps and timing are vary from state to state, however, and even from city to city. It helps to have the process handled by a property management company that is familiar with state and local laws concerning eviction, and that has experience taking the appropriate steps.
The time involved. Delivering letters, appearing in court, filing the appropriate paperwork...these all take time. A property management company can do these things more efficiently while freeing you to do other things.
Confrontation. Let’s be honest: Eviction is nasty business. For many landowners, hiring a property management company means they don’t have to deal with angry tenants. (And somebody else gets to be “the bad guy.”) This means less stress and anxiety for all.
Note that, for some companies, eviction is an additional cost
on top of monthly fees. Eviction itself is costly, and most property management companies are not going to cover this cost. That said, it is almost always worth it, as potential lost rent is often more than the cost of an eviction.
Are You Looking for Experienced Property Management in the St. Louis Area?
If you have multiple rental units in the St. Louis area, Select Leasing and Management can help manage your units, including handling evictions. Whether you live in the area or own your properties remotely, we’ll help you maintain your freedom while getting the most out of your investments.
Contact us today to schedule a time to discuss your situation with our professional property managers. We are confident our solutions can help you succeed!
