I've been reading on BP for a while now but I thought it was time to make my first post! Anyway, here goes:
We have had several oil companies approach us about renting out homes to them in the corporation's name. We have been turning them down because we are worried about the type of people they will be running through there without the usual checks. The lease states the occupants allowed to live in the property but I have no doubt they will end up violating that provision.
Does anyone have experience with these corporate type leases? What recourse do we have if they violate the lease? Can you evict a company?
I once rented to a company and had no problems at all. They even fixed my house for free.
A commercial contractor wanted to lease my house under the corp.'s name since they had a job near a mall in my area.
Their other option was to drive a total of 4 hours each day, the lease was for 3 to 4 months. It was November and since the house was not rented, it will stay empty till March anyway.
The lease was done under the corporations name so they could justify the corporate business expense.
The house was empty with no furniture so it was a bunch of construction workers sleeping on the floor with air mattress. I had a few things broken around the house and they fixed them for me at no cost.
One other thing to known is that a company can be reported to the credit reporting agencies just like an individual, you can also pull up there credit report to find out if they have had issues with not paying there suppliers, landlords, etc.
@Aaron Nelson they are likely paying out the nose at some local hotel and are looking for more economical options. If they were to rent my place, I would require extra security deposit, automatic debit from company bank account, 1 year minimum lease and much higher rents. Check the local hotels and see what their monthly rate is. I would go for about half of that assuming it's at least 1.5X what your current rent is.
Expect heavy use and plan on repairs when they leave. Document condition very carefully.
Sounds like a windfall to me I would go for it. Why not collect a little bit on the oil boom?
You must be a BiggerPockets member to post on the forums
Join the world's largest, most open Real Estate Investing Community online, 100% free forever!