The Landlord Thread

[raeoflyte]

I'm not expecting rent any time soon. I have been contemplating selling one of our houses for the last 6 months, just waiting for the tenants lease to expire (Did yesterday). Now I'm thinking I should have done a keys for cash and unloaded it while I could.

[buystoys]

DH and I discussed this.  We're willing to work with our tenants if it comes to that.  Right now, he is working (overtime all the time) while she is at home.  She may be working from home, DH didn't ask when he went to fix the septic sprinkler this morning.

The tenants have paid on time every month and they've been there almost a year.  They keep the yard picked up and neat looking.  I'd like to keep them if possible.

[CCL]

Apr 1, 2020 18:55:22 GMT -5 raeoflyte said:

I'm not expecting rent any time soon. I have been contemplating selling one of our houses for the last 6 months, just waiting for the tenants lease to expire (Did yesterday). Now I'm thinking I should have done a keys for cash and unloaded it while I could.

You might still be able to do the keys for cash. If they run out of money and have someone else they could move in with (free) like parents or other family
they might go for the cash.

Of course then you'd have an empty house and an
unknown real estate market to deal with.

[raeoflyte]

Apr 2, 2020 20:30:19 GMT -5 CCL said:

Apr 1, 2020 18:55:22 GMT -5 raeoflyte said:

I'm not expecting rent any time soon. I have been contemplating selling one of our houses for the last 6 months, just waiting for the tenants lease to expire (Did yesterday). Now I'm thinking I should have done a keys for cash and unloaded it while I could.

You might still be able to do the keys for cash. If they run out of money and have someone else they could move in with (free) like parents or other family
they might go for the cash.

Of course then you'd have an empty house and an
unknown real estate market to deal with.

I don't want to list it now. They've been good tenants and I would feel terrible asking them to leave in all of this and I expect the housing market to take a bath. Maybe its better to be at the front of that wave, but seems too risky to me. Better to sit tight for now.

[Sharon]

I'm not a landlord but thought I would throw this out here.

Rent Forgiveness proposal

[NastyWoman]

Apr 3, 2020 9:27:22 GMT -5 Sharon said:

I'm not a landlord but thought I would throw this out here.

Rent Forgiveness proposal

I can see only a little of the article since there are ads that keep popping up blocking the text. But if is says what I think it says (landlord forget about receiving rent now or after the COVID19 situation) this non-landlord says bully to that. Our second installment of the property tax will be due a week from now and the Tax Assessor's office send a letter out reminding everyone that their taxes are due and on time -> definitely no waiving of late payment fees.

I always pay on April Fool's day and this year was no exception. But if you insist that you get paid and paid on time you'd better not have the hutzpah to tell others to just waive payment! 

[Sharon]

This is the beginning of the article.

“We’ve never talked about a rent moratorium before or forgiving mortgages. I know it might sound outlandish to some, but I just ask them to consider the alternatives or offer alternatives. You can’t squeeze blood from a stone,” Portland City Commissioner Chloe Eudaly told KATU.

[countrygirl2]

We have a trucker that just went back to work since surgery and rehab, he paid half will pay the rest when he gets paid. We have one that we will give April rent too, otherwise everyone is paid up.

Will they next month, to be seen.  I have enough to pay insurance and likely half of the property taxes. Once we get those are paid we are ok, out of our funds, hope we don't have to.  We are planning on the new house on the market in the next couple of months. We are debating if that is a good time or not. Will see once its done.

[Tiny]

There's alot of moving parts with owning a property (rental or primary home) - as in taxes, insurance, mortgage PI, maybe hoa fees, maybe utilities. If renters don't have to pay 'rent' that would seem to indicate that the property owners would also be getting some kind of relief. But from who? The lender? the hoa? the insurance company? the local taxing body? the utilities?


I have one rental/tenant that I expect will stop paying rent. I'm not sure how this will all work out with the Property Manager. The tenant paid almost 2 months rent upfront when they signed the lease - (1 month rent and then some refundable fees and whatnot). I suspect I won't see any of that $$ as it will go towards re-conditioning the property and other property manager expenses. Which isn't a bad thing, exactly.

The other rental is a family member who's a double income and both are still employed. I can make them be the manual labor for some improvements to the property if they can't pay.

I can cover all the expenses of my house and 2 rentals from my paycheck - if I have to (I'm a very risk adverse kind of 'investor'). If I lose my job and have no rental income - I can carry everything for 3 to 4 months.

I'm hoping I have a boring landlord experience during all of this.

[countrygirl2]

All our personal property, rental property and insurance bills are coming in, about $12k to $13k.

It's going up and most of the rents here are maxed out.  Our insurance is about the least expensive we can get. Now with the coal mine closing and the power plant closing our property taxes are going to go up.  

And I imagine the real estate market is going to or has also cratered with the virus situation going on.
People still need somewhere to live so it will be ok. We have even considered dropping our insurance on the properties. Our only concern is liability. We know that if we did we could be sued but would go the limit of the LLC. However our attorney said they would go for it all as we are considered affluent and suggested we don't drop it so likely won't.  

[obelisk]

Our renters our paying their monthly payment and we are blessed.  We are in contact with the renters and do not ask/request personal information regardless of their situation. Please stay safe!

[buystoys]

We had a storm last month that caused a tree to fall on the rental.  The damage was mostly to the exterior.  We hired someone to remove the tree the same day it happened.  Surprisingly, our insurance settlement check came only two days later.  The problem?  We've been waiting for the contractor to do the work.  We already paid him 1/2 the total bill, so it's not like we can just get someone else to do the work now.  Well, we could, but we'd be out a chunk of money.

The contractor is good, we've used him before.  I just wish someone would light a fire under his butt and get the work done.  We can't file for the depreciation until he's done and we have a final bill. 

Fortunately the tenants aren't pushing to get the work done.  There's minimal damage to the ceiling in two rooms and no leakage from outside. 

I'm just complaining here.  I know that we made a mistake in hiring this guy.  We'll learn from it though.

[Works4me]

Nov 10, 2020 9:22:19 GMT -5 buystoys said:

We had a storm last month that caused a tree to fall on the rental.  The damage was mostly to the exterior.  We hired someone to remove the tree the same day it happened.  Surprisingly, our insurance settlement check came only two days later.  The problem?  We've been waiting for the contractor to do the work.  We already paid him 1/2 the total bill, so it's not like we can just get someone else to do the work now.  Well, we could, but we'd be out a chunk of money.

The contractor is good, we've used him before.  I just wish someone would light a fire under his butt and get the work done.  We can't file for the depreciation until he's done and we have a final bill. 

Fortunately the tenants aren't pushing to get the work done.  There's minimal damage to the ceiling in two rooms and no leakage from outside. 

I'm just complaining here.  I know that we made a mistake in hiring this guy.  We'll learn from it though.

When was he planning to start the job and what are is his current timeline? Personally, I would contact him to find out what his plans are. If he is uable to start the work in the near future, I would explain to him that the money needs to be returned to you because he certainly would not do anything unethical like spend the money you paid him before soing the work. But then again, I'm a bitch like that and I've also been burned too many times by contractors and other sevice providers. 

[buystoys]

Nov 17, 2020 2:49:43 GMT -5 Works4me said:

Nov 10, 2020 9:22:19 GMT -5 buystoys said:

We had a storm last month that caused a tree to fall on the rental.  The damage was mostly to the exterior.  We hired someone to remove the tree the same day it happened.  Surprisingly, our insurance settlement check came only two days later.  The problem?  We've been waiting for the contractor to do the work.  We already paid him 1/2 the total bill, so it's not like we can just get someone else to do the work now.  Well, we could, but we'd be out a chunk of money.

The contractor is good, we've used him before.  I just wish someone would light a fire under his butt and get the work done.  We can't file for the depreciation until he's done and we have a final bill. 

Fortunately the tenants aren't pushing to get the work done.  There's minimal damage to the ceiling in two rooms and no leakage from outside. 

I'm just complaining here.  I know that we made a mistake in hiring this guy.  We'll learn from it though.

When was he planning to stat the job and what are is his current timeline? Personally, I would contact him to find out what his plans are. If he is uable to start the work in the near future, I would explain to him that the money needs to be returned to you because he certainly would not do anything unethical like spend the money you paid him before soing the work. But then again, I'm a bitch like that and I've also been burned too many times by contractors and other sevice providers. 

He has shown up the last few days.  Thursday and Friday were taken up with taping up and protecting the windows.  Yesterday they sprayed the house with the first coat of paint.  They're supposed to be back to day for the second coat.  That takes care of the big items.  We were afraid they were going to delay so long that we got into the rainy season or winter. 

All that will be left after painting is to replace a window that was broken and fix the crack inside the house.  Both can be done at any time.  I just hope they keep coming out and finish up this week or next.  The window has been a problem as no one makes anything similar to it.  We're going to have to replace the curved plexiglass with flat.  He should have ordered it by now so it shouldn't take that much longer to get it.  I hope.

[Miss Tequila]

I have 14 units and all but one are caught up. The one dirt bag hasn’t paid since March. The moratorium on evictions let him sit there rent free. Courts opened up and I got my eviction judgment and he had 10 days to get out. If a tenant doesn’t get out you ha e to file for an order of possession. Before we could get the constable out, the courts shut down again.

Finally got the scum bag out. He wasn’t impacted by Covid and didn’t file for any relief. He just knew he could save money by not paying me.

He also left behind a ton of junk, had holes in the walls and other minor damages.

This has taught me a valuable lesson. I have very stringent standards and lessened then for this couple. Their credit was terrible but they had a years worth of rent upfront (long story but their precious landlord was in a flood zone and they were bought out since the home would keep flooding - tenants were given 1 year of living expenses from an agency). I broke my golden rule “one does not appreciate that which one doesn’t own”.

Between lost rent and damages I am probably out $12k-$15k (I’m praying no more!).

[Miss Tequila]

I also instructed the property manager to let the leases expire and let them go month-to-month. While evictions keep getting shut down, you can non-renew a lease.

[buystoys]

Sorry you've had such a horrible experience Miss Tequila.  Hoping you don't have any further issues.

[Miss Tequila]

Dec 9, 2020 7:54:54 GMT -5 buystoys said:

Sorry you've had such a horrible experience Miss Tequila.  Hoping you don't have any further issues.

Thank you. I will survive but it still frosts my ass. I understand people fall on hard times. I had a few tenants that I had to work with. It took them a few months to get caught up but they did it

This guy just took advantage of the pandemic. Made zero attempt to make good on his rent, didn’t apply for any assistance and damages the house. People like him suck.

But he is gone and we will rehab and move on. He will always be a loser while this is just a blip (albeit, not a tiny one) in my real estate career.

[nidena]

This thread is eye-opening.

I'm considering investing in rental properties in a few years because there is a lot of inexpensive housing here in Indy.  But this is one situation where I'm not jumping in without lots of research.

[buystoys]

We still have our good tenants.  I've been thinking about increasing the rent by $25 per month, but haven't made a decision on that yet.  We still make a nice profit, I'd just like to keep up with the rents in the area a little better.  Housing is difficult to find right now.  Our new neighbors took their house even though it wasn't what they wanted.  They had lost four houses already and needed to have somewhere to live.  Rents have gone up the past two years, but we've kept ours the same.  I don't think they'd move out over $25 per month, but I also don't want to risk it. 

Just rambling here.....  I'll eventually make up my mind.

[nidena]

The path I'm looking at is providing housing that is inexpensive to renters, even if it doesn't make a profit.  I imagine the hard part is how do you price something high enough to keep out the drug users but low enough that it's still affordable to the less than average income.

[nidena]

I would love to turn this monstrosity into a useable building.  www.realtor.com/realestateandhomes-detail/4923-Kessler-Boulevard-East-Dr_Indianapolis_IN_46220_M30524-17992

[snapdragon]

Mar 14, 2021 10:33:51 GMT -5 buystoys said:

We still have our good tenants.  I've been thinking about increasing the rent by $25 per month, but haven't made a decision on that yet.  We still make a nice profit, I'd just like to keep up with the rents in the area a little better.  Housing is difficult to find right now.  Our new neighbors took their house even though it wasn't what they wanted.  They had lost four houses already and needed to have somewhere to live.  Rents have gone up the past two years, but we've kept ours the same.  I don't think they'd move out over $25 per month, but I also don't want to risk it. 

Just rambling here.....  I'll eventually make up my mind.

Remember you also have increasing property taxes that never seem to go down. So a extra $20 or $25 is very reasonable. The money can be added to your maintance accounts in case something goes out or there is damage. 

Heck the HOA at my condo is $387/mo. and I expect the amount to go up here really soon. 

[bean29]

Dec 8, 2020 20:39:44 GMT -5 Miss Tequila said:

I also instructed the property manager to let the leases expire and let them go month-to-month. While evictions keep getting shut down, you can non-renew a lease.

If you tell a tenant to leave and they over-stay, the next step is eviction right?  How is that different than evicting someone for non-payment.

You go to court.  The judge asks if they have somewhere to go, they say no.  Then what happens?

I am just asking.  Did you actually go to court to evict anyone during the pandemic?

Just curious.

nidena - I looked at that house.  It is hideous.  I can not imagine buying that - you would need to totally gut it and start over.

[countrygirl2]

We did a cash for keys in Texas an old mobile home, was ours in the 80's. We gave them $5k, they had rented for years but were told as far as 3 years back due to our age we would be selling the land. She kept dumping money into that old trailer. She took the money and moved and the sale went through. It was sold to someone that made a bunch of money off it. We knew he would but there turned out to be title issues we didn't realize after all these years, and it cost them about $10k in attorneys to clear it plus paid the closing costs. We knew what we were getting into and its ok, we did good, he did good on the sale. That was our last Texas property and we wanted out of it. To hard to deal with from here.

And we sold another in a few days that wasn't even listed, got top dollar for that house, so 2 more rentals off the market.

We are considering selling another this year, the guy has rented for over 20 years from hubs dad and us. We have offered it to him before for a fair price, his credit is still a mess even while paying minimal rent. Told hubs he is going to be very upset if we sell it. There is 10 acres of land beside it we lease out, it is melon land which is valuable. Between $8 to $10k an acre. We can get $80 to $100k from it, hubs wants to sell the house with it. But the farmer would just tear it down. On its own we would get at least $50k with some sprucing up on it, maybe more has an acre with nice garage. And with the land sale likely just price of land. We can use our solar tax credit against the capital gains on it.

Hubs thinks housing is going to go down, I'm not sure, it may and we could buy 2 places in town with that money. After all the capital gains on it, I doubt it. But it will be sold one day as all of our will, by we think age 80, if our health remains good.

So right now we have around $300k of rental property, I am surprised even here it has appreciated in value, and that is low ball sales figures.

[Miss Tequila]

Mar 16, 2021 12:38:35 GMT -5 bean29 said:

Dec 8, 2020 20:39:44 GMT -5 Miss Tequila said:

I also instructed the property manager to let the leases expire and let them go month-to-month. While evictions keep getting shut down, you can non-renew a lease.

If you tell a tenant to leave and they over-stay, the next step is eviction right?  How is that different than evicting someone for non-payment.

You go to court.  The judge asks if they have somewhere to go, they say no.  Then what happens?

I am just asking.  Did you actually go to court to evict anyone during the pandemic?

Just curious.

nidena - I looked at that house.  It is hideous.  I can not imagine buying that - you would need to totally gut it and start over.

Yes, I evicted someone in December. It took 8 months to get him out but I did. In my county (can’t speak for the state), they were allowing evictions for everything but non payment. I have a person on my Facebook that is currently living in a hotel because they got evicted and can’t find and apartment

[nidena]

Mar 16, 2021 12:38:35 GMT -5 bean29 said:

Dec 8, 2020 20:39:44 GMT -5 Miss Tequila said:

I also instructed the property manager to let the leases expire and let them go month-to-month. While evictions keep getting shut down, you can non-renew a lease.

If you tell a tenant to leave and they over-stay, the next step is eviction right?  How is that different than evicting someone for non-payment.

You go to court.  The judge asks if they have somewhere to go, they say no.  Then what happens?

I am just asking.  Did you actually go to court to evict anyone during the pandemic?

Just curious.

nidena - I looked at that house.  It is hideous.  I can not imagine buying that - you would need to totally gut it and start over.

From the stories that I've read about it, the previous owner bought the main part of the property and then kept adding to the property and the house.

Gutting it would definitely be the path forward.  I could almost see it as multiple units or made into a Veteran's Home for the city of Indy.  In any case, ALL the tile and rocks would need to go.

[TheOtherMe]

It's over $1 million and it's hideous.

[countrygirl2]

I wonder if there is any help for small landlords in this new Cares Act?
Our one tenant that couldn't pay for a few months was getting caught back up, they were so excited. Now the last couple of weeks had his hours cut, lucky to work 4 hours a day. His girlfriend has applied for jobs all over and she hasn't worked for so many years they won't hire her. Well, I don't think that is all, she is very overweight and has tattoos and some piercings. I would like to tell her cover those and take the piercings out but won't. However, she said she knows part is because she hasn't worked in so long, and I know that is true. Her daughter is old enough she could now. She also has celiac disease, they just found out what was causing a bunch of her health issues. I don't want to get into any of that with her.

They had March's rent and ruined a tire and had to buy one, so had to pull that from the rent. I told her to send what was left. She asked if we wanted her to move, I told her she could find nothing for the rent they are paying now. She gets really stressed over everything. I told her to be thankful of what she has and take it a day at a time. He said its rumor of course but they are talking tons of overtime once they get going again. He works for a unit that makes brakes for new cars and the chip shortage has slowed down and stopped production. I'm surprised they are working at all. He would be better off to draw UE, well that would affect his insurance I guess. I know they will pay when they can. And yes next year I'm raising everyones rent at least $25 a month.

We need to get the mobile on the market. I want hubs to get it washed down and painted first and the new indoor outdoor carpet on the steps. It's looking pretty rugged right now.

The inside looks great, has all new carpet and all minor repairs done.

[resolution]

You should check with your state to see if they started an emergency rental assistance program. The states were given funds for this in the federal Consolidated Appropriations Act last December.  In my state they just have to be below 80% of the median income and have experienced financial hardship as a result of COVID and it will cover their rent for up to 15 months.