Abandoned Rentals and How to Prevent Them

It's not something that you want to face, and luckily doesn't happen very often, especially if you have screened the tenants well, but it is something that you should be prepared for, and try and avoid at all costs.

Disclaimer: This is just a guide at some steps to take, if you have an abandoned property on your hands then get the right advice! This summary covers some Australian rules and some US rules, so make sure you know which ones to follow.

So what can you do to prevent it?

Make friends with the neighbors! 

This is probably the best deterrent there is.

• If you own a block of apartments, then make sure that all the tenants know that if you see tenants moving out and it looks a bit on the suspicious side, to give you a call. 
• If you own a single dwelling, then give your contact details to some long term residents who live close by and tell them the same thing.
• Make sure you find a (polite) way to inform your tenants that their neighbors will look out for them and if there are any issues that they will call you. This is a nice way of saying "you have been forewarned".

Don't Jump to Conclusions.

• If a property is abandoned make sure that you know the circumstances. Has a family member died, have they gone on a long vacation, in hospital? That way you may find out that they haven't abandoned the property.
• Try to get in contact with the tenant, call their emergency contacts, their work place, or any of the references that they gave. Tell them all to encourage the tenant to contact you (but it is probably a good idea not to tell them why you want to tenant to call).

So They Really Have Gone

• If you fully believe that they are not going to return, then apply to the Tenancy Tribunal in your state (Australia) to have it declared abandoned. Follow all the rules!
• Take lots of dated photos. This will be important for any future legal issues.
• Tell the neighbors to call you if you see them, and maybe even offer an incentive (if allowed) to do so.

So Now what?

• More often than not if a place is going to be abandoned it is due to a pending eviction. If that is the case then let it run it's course and if it clear that it is truly abandoned then go through the process to apply the appropriate 'Notice of Abandonment' (US).

Belongings

• Be aware that in Australia you cannot keep any goods left by the tenants!
• If they have left a lot of their belongings. Try and contact them again and tell them that they have a certain period of time to remove them 48 or 72 hours should suffice. Meet them at the property and stay there the entire time. This will ensure there is no damage done.
• For any belongings that are left behind you need to look into the rules of where the property is based. In some locations in the US, depending on the value, belongings can either be disposed of, or you may be able to sell them. The proceeds from the sale of items can offset the costs of the abandonment.
• Make sure you know the tenants rights on reclaiming their belongings. You don't want them turning up a year later expecting their property back (which maybe within their rights in the US) only for you to have sold them off.

It is quite an unpleasant business, but if you go through it step by step and follow the rules for your area, then you will survive it, and learn from the experience.

So have you ever had to deal with an abandoned property? How did you deal with it?

Here is a great summary of Abandoned Property procedures per Australian state.