Buying 4plex via Short Sale & need to evict tenant?

at the leases of each of the existing tenants to see what your rights are under the assumed leases. Then, the most important step, is you have to look at the California law to see what is legal to do and the process you need to follow.

Here are some of the changes that have occurred since the new law updates on 1/1/11:

12. Landlord-Tenant

This law changes the method of serving an unlawful detainer notice on a commercial tenant. The law provides that service on a commercial tenant can be made by any of the following methods:

(1) delivering a copy to the tenant personally,
(2) leaving a copy with some person of suitable age and discretion at the property and sending a copy through the mail, as
specified, or
(3) by affixing a copy in a conspicuous place on the property
and sending a copy through the mail, as specified.

This law authorizes a court clerk to allow access to court records of eviction proceedings involving residential property that has been sold in foreclosure if 60 days have elapsed since the complaint was filed and judgment was entered against all the defendants (tenants).

This law also requires, until Jan. 1, 2013, that any Notice to Quit served to a tenant of residential property within one year after a foreclosure sale include a separate cover sheet containing an additional notice to tenants (statutory language in Section 1161c(b) and (c)).

Existing law makes it a misdemeanor for a person to claim ownership or take possession of someone else's residential property for the purpose of renting or leasing it to another without the consent of the owner. This law increases the penalties for this offense to a maximum of $2,500 or imprisonment in a county jail not exceeding one year or by both.

H.R. 5297 includes an expansion of the 1099 reporting related to a trade or business. Under existing law only those real estate professionals engaged in property management-type businesses have been required to file Form 1099. This new federal law extends the Form 1099 requirement to any person who receives rental income. This requirement would apply to any landlord (including a small investor), rather than only those who are in the business of managing property.

Starting Jan. 1, 2011, any person who receives rental income must provide a Form 1099 for all payments of $600 or more made to service providers such as plumbers, carpenters, yard services and repair people. The purchase of goods is not included within the reporting requirement. The Form 1099 is provided to the IRS and to the service provider. The new requirement applies to both residential and commercial property.

Check with a RE attorney so you don't cost yourself in the long run if you don't know the proper format for eviction.

Hope this helps.

Thank you trustpoint. This is very helpful.

if one of the tenant's lease is about to expire or has expired, then it will/has become a month to month lease, so a 30 day notice should suffice.

If not, then I would suggest hiring a RE attorney (as suggested by Bill).

Valerie

Hello Adam,

When you say, " I need to move into one of the units...." is this in order to meet an "owner occupied" condition/requirement in order to get the Short Sale approved, for financing, because you presently (or soon) need a place to live, feel it would be more convenient to Self Manage this property, or a combination of these or some other reason(s)? Please tell us a little more.

As Val mentions, perhaps one of the leases has (or is about to EXPIRE) and if this is the case you will probably need to increase the rent. If the rent were raised (fairly & Legally....consult w/your lawyer/laws/regs.) and the new rental fee becomes more than the tenant can (or are willing to pay) bear they may be "motivated" to relocate and you could possibly avoid the whole "eviction" process.

I need to move in to be approved for financing as well as it being convenient for managing the property.