Rental Property Investor · Jackson, MI · Member since 2019 · 4 posts · 0 votes
Who can help me either “evict” or even have rent property I’ve bought as a foreclosure from auction.com? Obviously, there will need to be some rehab and the previous owners will need to find some other living arrangements. As we all know time is money, and a quick flip to sell or buy and hold are my goals.
Rental Property Investor · Erie, PA · Member since 2015 · 1k+ posts · 2k+ votes
7y
Post a notice for them to vacate. Then go to the local magistrate court and file an unlawful detainer lawsuit. Call the local magistrate court - if they're like mine they're very helpful, will answer your questions and will tell you what paperwork you need to file.
Who can help me either “evict” or even have rent property I’ve bought as a foreclosure from auction.com? Obviously, there will need to be some rehab and the previous owners will need to find some other living arrangements. As we all know time is money, and a quick flip to sell or buy and hold are my goals.
Thanks,
Matt
If these properties are in Michigan then the former occupant/borrower have a 6 month right of redemption from date of sale. If they are a tenant, then the lease needs to be honored if a 12 month term or more.
In either case you can offer cash for keys to buy out the redemption rights or lease respectively. Beyond that I would hire an attorney versed in evictions if you are not familiar with them. Will be the best $500 to $1000 you'll ever spent (invested).
Glendora, CA · Member since 2016 · 106 posts · 21 votes
7y
@Karl B. How long is typically a unlawful detainer lawsuit? If someone purchased a deal using a hardmoney loan I would imagine time would be critical...
Rental Property Investor · TN · Member since 2018 · 2k+ posts · 2k+ votes
7y
I bought one that had a tenant, not the owner. He was month to month and well under market. I needed him out as 1. I am not a slum lord, and 2. I do not rent to people with his background.
After closing I introduced myself and gave him a notice of rent increase in 45 days. I put the rent at the amount rent would be if the house was not a slum. He did not want the rent increase and moved out in 15 days. In his case his probation officer helped him with finding where to move.
All was well.
I recommend giving them a notice of rent increase to a level above market value if they are not under a lease. Then you can evict for not paying the rent. Otherwise you will not have a copy of anything -the lease, the amount of the rent, etc. If they fight in court they will have to produce the lease. For my tenant the foreclosing bank actually rented a 2 bedroom house to a registered child sex offender and his criminal unnamed 'friend' for $300 a month total and it included water, gas, electricity, sewer and trash! And no, he did not keep the house clean and repaired or even mow the lawn. I would have been loosing money on that deal just paying for their utilities!
Stockton Ca. · Member since 2019 · 6 posts · 0 votes
7y
@Chad Urbshott
In regards to the "cash for keys" method. I have read $250 Min/Max $5,000. An old business aqaintance (mentor), received $7,500 for keys. His argument was this: move in cost were first & last rent [$3,200] along. And that due to his medical disability (SSI) he would need to hire a moving company [$3,500] the balance [$700] would be for any unforeseen situations... The owner agreed and paid.
Lender · Ladera Ranch, CA · Member since 2014 · 1k+ posts · 1k+ votes
7y
It depends on who the new owner is and what they're willing to pay. Sounds like your acquaintance got really lucky. We typically won't offer more than 1% of the market value of the property for CFK and that's a max. If circumstances dictate, we may go higher. The new owner may be an investor, big bank, note investor, or someone that plans to be an owner occupant. There's too much variation to predict exactly what each type is willing to offer as a minimum or a maximum.
My partner on the rentals we own didn't believe in cash for keys at all so we never offered on the foreclosures we bought together. Start paying rent to us, move out on your own, or we'll evict.
Paradise, CA · Member since 2015 · 1k+ posts · 871 votes
7y
If the occupant isn't the previous owner or family of previous owner, Just make sure you follow the Protecting Tenants at Foreclosure Act. It's Federal. You can't do anything for 90 days and if they have a legitimate lease, you have to honor the lease. Agreed nothing stops you from offering CFK, but they have no obligation to accept and you have no recourse except to ride it out.