How does a transfer work?
The essential thing to remember about transfers is that they are really no different than if the tenant rented from someone else and they wanted to begin renting from us.
- The tenant needs to give their current landlord proper notice or 20 days prior to the end of the month.
- The tenant needs to put down the full deposit required to rent that property. There are no transfers of deposits between properties. The deposit at their current rental is for the security of that property. This is for the protection of that property’s owner.
- The tenant will sign a lease for the new property like any other.
- If the tenant’s credit has been verified thru CPI in the past 12 months they do not need to apply. If the tenant has a good rental history with CPI we may waive the requirement with PM approval. Otherwise, the tenant has to apply as any other prospective tenant.
There needs to be a clear understanding about how the tenant plans to be out of one unit and into the next unit in the short timeframe allowed, i.e. they need to vacate their current unit and be in the new unit essentially on the same day (first of the month).
Catlin Properties will work with tenants to achieve their goal of moving but we also need to protect our owners from the shortfall.
What is proper protocol when vacating an occupied unit?
Sometimes a tenant will want to “be taken off the lease”. There are several steps to this process
The first step is that everyone on the lease (including cosigners) need to realize that the security deposit stays with the unit. We do not refund any portion to the exiting tenant. If the remaining tenants wish to give the exiting tenant money that is between them.
The exiting tenant has to come in and fill out a NOTICE TO VACATE OCCUPIED UNIT FORM. There are three sections to this form:
At the top of the form, the tenant releases their interest in the property including their rights to any security deposit. At this point, they are not released from any liability.
The exiting tenant then schedules an appointment with the maintenance department to perform an occupied inspection. The purpose of the inspection is to assess any damages to the property. If there are damages, they need to be repaired and paid for prior to the exiting tenant being released from the liability of the lease.
Providing the unit has no damages or after the damages have been repaired, a property manager signs off on the form. At this time the tenant is removed from the lease and released from future liability.
A tenant can only be released from a property that has no outstanding debt. There cannot be any unpaid rent, outstanding utility bills etc.
What is proper notice?
Proper notice is given when the tenant comes into the Catlin Properties office in person and fills out a notice to vacate form (NTV). They need to do this 20 days prior to the end of the month, i.e.: if the month has 30 days, notice is required by the 10th of the month, 31 days by the 11th of the month and so forth. Per the Landlord Tenant Act of 1973 if proper notice is not received tenant is rent responsible for the next month’s rent.
When a tenant signs a lease for a specified amount of time, for example, 11 months, what happens if they moved out early?
- The tenant forfeits their security deposit in full. This means they have no deposit to draw from to pay cleaning, damages etc. These expenses will be fully out of pocket for the tenant.
- The tenant is responsible for rent for the balance of the lease term. For example, if the tenant moves out in the 6th month of their lease, they are responsible for the monthly payment for the remaining 5 months, or until the unit is re-rented.
- We move as quickly as we can to get the unit back on the market in rent-ready condition.
NOTE: Catlin Properties realizes that situations come up where a tenant feels they have no choice but to vacate prior to fulfilling their lease. The best thing you can do is work with us, keep us informed of the situation so we can best help you limit your financial responsibility. Returning the unit quickly (if rent is unpaid) and giving the unit back to us in the best possible condition to both limit the expense of cleaning to you and to give the unit its best possible chance of renting quickly.