Real Estate

Residential tenant(s) asking for rent deductions

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  • Aug 25th, 2016 5:43 pm
[OP]
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Residential tenant(s) asking for rent deductions

Hi all,

What questions would you ask your tenants when a tenant asks for 10-15% off on lease dollar amount, other than just replying possitively or negatively? i.e. Just tell a person yes or no.

That inquiry strikes me as a big yellow sign as capacity to pay rent; the tenant seemed to be in ok shape financially per application files, for a moment i thought maybe he was laid off. The thing is, if a tenant has a shoestring budget the more he/she would want to save and not become homeless. And my particular tenant is planning to own a home they live in. So i think the story could still turn out positive but there is going to be a bit of rollercoaster ride.

Are there certain things that i must avoid to say, in a negotiation setting and maybe away from property?

And if this signify as problem tenants of tomorrow? And which N forms would be optimal to serve?

I know a lot of rental gurus lingering here, pls help!! Any good resources available. Thanks.
21 replies
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May 3, 2013
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Certainly ask and see why the tenant wants the reduction. If you think the current rate is on par with the market, bring market data to back you up for your negotiation.

If you suspect they will be problem tenants, you can't just kick them out. They would need to "do something bad" before you can serve any forms.
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Did you perform credit and employment check on these tenants?
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[OP]
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realtorhome wrote:
Apr 21st, 2016 10:56 am
Certainly ask and see why the tenant wants the reduction. If you think the current rate is on par with the market, bring market data to back you up for your negotiation.

If you suspect they will be problem tenants, you can't just kick them out. They would need to "do something bad" before you can serve any forms.
The reasoning was that I would have to pay the MLS fees anyways, just hand that to them so they will stay.

Checked MLS, it's on par inside a $25 band.

What kind of bad things? N12 would not require a bad thing to end the tenancy. N12="Notice to End your Tenancy Because the Landlord, a Purchaser or a Family Member Requires the Rental Unit".

One bad thing I observed was the unit was in a sanitary state that viewing is counterproductive. Total new paint may be required as some staining looked permanent to me and exact color match is not possible. I wonder how I would be getting that money back.
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traderjay wrote:
Apr 21st, 2016 12:36 pm
Did you perform credit and employment check on these tenants?
At application time. All of the credit and employment letters were attached to the lease agreement too.

Could I also request to verify the employment status and salary again? as the lease agreement is about to expire.
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LongLiveRFD wrote:
Apr 21st, 2016 1:23 pm
What kind of bad things? N12 would not require a bad thing to end the tenancy. N12="Notice to End your Tenancy Because the Landlord, a Purchaser or a Family Member Requires the Rental Unit".
Right, the N12 can be served to retake possession at the end of the lease if indeed the scenario is as indicated on that form. But if your intention is to simply kick the tenant out because you think they might be "problem tenants", you need to tread carefully.
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LongLiveRFD wrote:
Apr 21st, 2016 1:26 pm
At application time. All of the credit and employment letters were attached to the lease agreement too.

Could I also request to verify the employment status and salary again? as the lease agreement is about to expire.
Interesting question, but pretty sure you can, HOWEVER, the tenant is not under any obligation to provide that information though.
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realtorhome wrote:
Apr 21st, 2016 1:45 pm
Right, the N12 can be served to retake possession at the end of the lease if indeed the scenario is as indicated on that form. But if your intention is to simply kick the tenant out because you think they might be "problem tenants", you need to tread carefully.
No I wouldn't go through the termination forms unless there's accrued rents or nuisance. It's a possibility as request to deduct rent is weird or at least unheard of.

I thought N12 would be the easier and cheaper route to replace with new and higher quality tenant(s).

To server N12, my blind spot is if care services must be involved? or that the owner wants to move in by him/herself is sufficient?

http://www.sjto.gov.on.ca/documents/ltb ... 0_2015.pdf
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realtorhome wrote:
Apr 21st, 2016 1:47 pm
Interesting question, but pretty sure you can, HOWEVER, the tenant is not under any obligation to provide that information though.
That's fair. Is there anything that I must be careful when reaffirming/further defining the terms of the original contracts that's about to expire?
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If you have the tenant's employment information, can you not just verify if the said person is still at the company? I am not sure if this require the tenant's prior approval?
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[OP]
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traderjay wrote:
Apr 21st, 2016 7:37 pm
If you have the tenant's employment information, can you not just verify if the said person is still at the company? I am not sure if this require the tenant's prior approval?
I was wondering if there's extra protection with black and white.

If a document is forged, I could take legal actions. But if it's just verbal, probably difficult.

Plus the tenant is single income family working in financial. Things can change rather quickly.
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LongLiveRFD wrote:
Apr 21st, 2016 1:23 pm
The reasoning was that I would have to pay the MLS fees anyways, just hand that to them so they will stay.

Checked MLS, it's on par inside a $25 band.

What kind of bad things? N12 would not require a bad thing to end the tenancy. N12="Notice to End your Tenancy Because the Landlord, a Purchaser or a Family Member Requires the Rental Unit".

One bad thing I observed was the unit was in a sanitary state that viewing is counterproductive. Total new paint may be required as some staining looked permanent to me and exact color match is not possible. I wonder how I would be getting that money back.
Well, the problem with your logic is you used MLS and the first thing any good tenant is going to say "well, I came to you without a realtor and you don't lose first months rent to a realtard"

if they are good tenants, it's up t to you.
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LongLiveRFD wrote:
Apr 21st, 2016 1:26 pm
At application time. All of the credit and employment letters were attached to the lease agreement too.

Could I also request to verify the employment status and salary again? as the lease agreement is about to expire.
no you can't they will tell you to F off. They don't have to re-sign a lease. in Ontario it's MONTH TO MONTH after the lease expires. You can't kick them out, unless you are going to live there, or if immidiate family is moving in.... and if you lie and you get busted, the landlord/tenant board is going to rape you so hard.
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sirex wrote:
Apr 21st, 2016 10:52 pm
no you can't they will tell you to F off. They don't have to re-sign a lease. in Ontario it's MONTH TO MONTH after the lease expires. You can't kick them out, unless you are going to live there, or if immidiate family is moving in.... and if you lie and you get busted, the landlord/tenant board is going to rape you so hard.
This. Thanks.

Not to mention that unless mutual agreements were reached where tenant gets rent rebated.

I do actually plan to live there, but am I also required to be grounded in my own home and for how long?

I am curious how LTB enforce this.

Note: I have not mentioned I am kicking anyone out, I outlined it as a future probable path with a tenant gone rogue.
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sirex wrote:
Apr 21st, 2016 10:50 pm
Well, the problem with your logic is you used MLS and the first thing any good tenant is going to say "well, I came to you without a realtor and you don't lose first months rent to a realtard"

if they are good tenants, it's up t to you.
I see the logic now.

But no we each had a realtor, and the tenant is asking for the entire 1st month.

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