I just closed (8/18/15) on my first ever investment property which happens to be my first house as well. I bought a Triplex and plan on living in one of the units and renting out the other two. My father who has helped me through this entire process is a bit old school and is giving me some advice that I don't agree with and I would like to get a second opinion.
All the rents are $200 under market value and he insists that I do not raise them. I plan on renovating each one and raising the rents after. Is this okay?
Second, The tenant in the middle unit has Christmas lights hanging from the house over to bushes for some reason and also has a punching bag in the front yard, It gives it a "Ghetto" feel for me and I would like him to take his things inside. Would asking the tenant to move their things inside be over stepping the boundaries or am I in the right..?
Having rents a little below market can do great things for you. I don't think keeping the rents below rate is "old school," just bad business. I like the concept of just below the high end. I don't like vacancy just because I want to push limits. To me that starts bordering on greed.