Borrowing Trouble

Here's the scenario: Mary and Tom live back east. They have a home in Gilbert they rented to a family friend a few years ago. Family friend pays less than market rent, has bruised credit, lives on disability and has been ill for a few years. She is now somewhat fully recovered, still doesn't work and has done nothing to better herself, her credit or her circumstances.

Mary and Tom told this person more than a year ago that they would be selling the home next spring and she would need to find a new place to live. But no worries! She had "time."

Now then, for those graduates of my Landlord 101 course, don't spoil it for the rest of the class. Besides, you and I know you are busy snorting the cold beverage of your choice out your nose right now.

Mary and Tom called me today to ask my opinion of how cooperative I thought Family Friend was going to be (Breathe Graduates, BREATHE!!!!). By the way, Mary and Tom have not taken my Landlord 101 course and were slightly appalled at my position on their entire scenario.

Here's how I see it playing out if Family Friend doesn't move out. After all, she has no reason to be cooperative.

First, Family Friend will not be cooperative about having the house shown. She can refuse to allow for a lock box. She can refuse to allow reasonable entry. Yes, the Arizona Landlord Tenant act does say access can be granted to a rental property with a two day notice, but if there is no lockbox, and a passive aggressive tenant paying less than market rent who has nowhere to go, what are the odds, a buyer is going to get into the house to view it? In addition, Family Friend does not have to keep the home in pristine condition. She can also follow the prospective buyer around pointing out potential defects and problems (such as saying to a potential buyer, "Next door is a sex offender. Did you know that?" Even if it isnt' true).

Given there is a shortage of rental homes and Family Friend has no money (and did not pay a security deposit) to move, I doubt this will go well. Unfortunately, Tom and Mary are of the mind everything will be peachy keen. When I asked when was the last time they actually spoke to the Family Friend, Mary hesitated and said they hadn't spoken in person since she gave her tenant notice she would have to move--like a year ago. Since then, the family friend refuses to take Mary's calls, won't respond to texts or e-mails. So, Mary tends to contact Family Friend's adult son--who lives out of state--and asks him to please have Family Friend respond. That's the only way this tenant will get back with her. Mary didn't really see this as the least bit dysfunctional until I asked about it.

I am hoping this will work out for the best, but I'm always hoping that is the case. In the mean-time, I recommended they look at speaking with an attorney and checking on their legal rights. I might be borrowing trouble, but then again, I might also have graduated with honors from the School of Hard Knocks.