Investor · Miami, FL · Member since 2015 · 1k+ posts · 390 votes
Recent tenant eviction, although they are rare in my world, they do occur once in a while, this one was like no other one before, tenants of (3) years, stopped paying the rent, we had to evict the tenant, the tenant moved out and took:
Toilets
Vanities
Furnace (yes, they disconnected the gas line and the dedicated electrical circuit)
Hot Water Tank (yes, they capped the water lines ( so, thank you for not flooding my home))
Kitchen Cabinets (Including the kitchen sink .... hahaha)
Kitchen Appliances
Aside from the regular move-out items and small repairs, this was new to me, they did not really vandalize the home, but they stripped it, which is kind of awkward, I thought about making an insurance claim, but now I am thinking just pay to replace the items and move on, the time, effort, money, and delay will outweigh I think the potential for the home going back on-line and getting back to cash flow positive.
Investor · Kirkland, WA · Member since 2017 · 310 posts · 271 votes
8y
If it were me I would file a police report and then file an insurance claim. That's what insurance is for, let your insurance company go after them. Meanwhile you'll end up with a nice newly updated property, you can raise the rent.
If you let them take you for a free ride it also just encourages them to abuse the next landlord.
During the crash of 2008, I'd gone in to appraise formerly tenant occupied properties that had gone through foreclosure. I never knew what I was going to walk in to. Sure, you expect it from jaded homeowners who were foreclosed, but it always seemed odd when tenants did it.
If it were me, I'd file a police report and an insurance claim.
Well, the tenants probably didn't have enough money saved to move elsewhere (first month's rent, last month's rent, plus security deposit exceeds their savings), and they realize that they definitely aren't getting back the security deposit they gave to existing (now foreclosed) landlord. So they use the stuff in that foreclosed property to come up with money so they can move along. They aren't "getting even" with the bank like a homeowner would think - the tenants are "getting even" with the landlord that they feel screwed them over by getting foreclosed.
While this is entirely true... with Lee County's issues with Rocket-Docket foreclosures, tenants likely could have stayed in the house for a year or more. Regardless, nothing excuses theft except maybe to feed a starving child.
Rental Property Investor · San Diego, CA · Member since 2014 · 1k+ posts · 2k+ votes
8y
You are with Smartland and this should not surprise you. You are turn key experts. With your expertise you know that people don't turn bad when you rent to them. There was something in their past that should have given you a clue that these tenants were bad. They were bad before you rented to them.
Swanny
Rental Property Investor · San Diego, CA · Member since 2014 · 1k+ posts · 2k+ votes
8y
Also, they had an axe to grind and were not happy or disrespected. Once you have a good solid paying tenant, did you treat them like royalty? At each lease renewal did you wash one room as incentive to sign at the higher nuisance rental rate? What did you offer them to sign at the new higher rental rate. Were you prompt with replying to their concerns in the past 3 years? Now the owner that you turn keyed this place suffers. Heed my warning people. NOBODY will treat your property the way you will. Your team on the ground is key. The owner is on the line here for this mess up. Not the PM. They have ZERO skin in the game. That's why I have always said. If you have one rental property it is very risky and you MUST have at least $10,000 in reserves for when Murphy's law raises its ugly head. It is not if, it is when. If you vet your tenants properly, treat the good ones like royalty, because they are making you financially free, this will rarely occur. Especially, if you are in solid blue collar hard working c class neighborhoods.
Swanny
Rental Property Investor · Los Angeles · Member since 2018 · 49 posts · 13 votes
8y
Steven I am as we speak in escrow for a rental property that I’m expecting you and the team at Smartland to manage for me. Please tell me that in the event this happens to my property you’re approach will be a little more aggressive as I am out of state and placing my trust in my PM company.
Steven I am as we speak in escrow for a rental property that I’m expecting you and the team at Smartland to manage for me. Please tell me that in the event this happens to my property you’re approach will be a little more aggressive as I am out of state and placing my trust in my PM company.
If it were me I would file a police report and then file an insurance claim. That's what insurance is for, let your insurance company go after them. Meanwhile you'll end up with a nice newly updated property, you can raise the rent.
If you let them take you for a free ride it also just encourages them to abuse the next landlord.
It is something I am weighing, I am just thinking about the ramifications, having a sizeable portfolio does it make sense recording the claim, paying the $1500 deductible - claim as theft ? Have had what I thought experienced everything you can possibly encounter, this is something new.
F all the noise.
File 1099-C as “forgiven debt” for all they took + all the unpaid rent + eviction fees.
Let the IRS throw em in jail for tax evasion. You’re not getting your money anyways.
This is so smart I’m blown away
Can I file 1099s for contractors who burnt me in 2017 or is it too late?
Also not positive I have their SS# but most relevant info to maybe track them down?
If it were me I would file a police report and then file an insurance claim. That's what insurance is for, let your insurance company go after them. Meanwhile you'll end up with a nice newly updated property, you can raise the rent.
If you let them take you for a free ride it also just encourages them to abuse the next landlord.
It is something I am weighing, I am just thinking about the ramifications, having a sizeable portfolio does it make sense recording the claim, paying the $1500 deductible - claim as theft ? Have had what I thought experienced everything you can possibly encounter, this is something new.
F all the noise.
File 1099-C as “forgiven debt” for all they took + all the unpaid rent + eviction fees.
Let the IRS throw em in jail for tax evasion. You’re not getting your money anyways.
This is so smart I’m blown away
Can I file 1099s for contractors who burnt me in 2017 or is it too late?
Also not positive I have their SS# but most relevant info to maybe track them down?
Honestly, I'm not sure as I haven't used it yet myself.
I would guess you need their SSN/EIN or something along those lines.
I'm sure some tax guru on here could clarify further.
If it were me I would file a police report and then file an insurance claim. That's what insurance is for, let your insurance company go after them. Meanwhile you'll end up with a nice newly updated property, you can raise the rent.
If you let them take you for a free ride it also just encourages them to abuse the next landlord.
It is something I am weighing, I am just thinking about the ramifications, having a sizeable portfolio does it make sense recording the claim, paying the $1500 deductible - claim as theft ? Have had what I thought experienced everything you can possibly encounter, this is something new.
F all the noise.
File 1099-C as “forgiven debt” for all they took + all the unpaid rent + eviction fees.
Let the IRS throw em in jail for tax evasion. You’re not getting your money anyways.
This is so smart I’m blown away
Can I file 1099s for contractors who burnt me in 2017 or is it too late?
Also not positive I have their SS# but most relevant info to maybe track them down?
Honestly, I'm not sure as I haven't used it yet myself.
I would guess you need their SSN/EIN or something along those lines.
I'm sure some tax guru on here could clarify further.
If it were me I would file a police report and then file an insurance claim. That's what insurance is for, let your insurance company go after them. Meanwhile you'll end up with a nice newly updated property, you can raise the rent.
If you let them take you for a free ride it also just encourages them to abuse the next landlord.
It is something I am weighing, I am just thinking about the ramifications, having a sizeable portfolio does it make sense recording the claim, paying the $1500 deductible - claim as theft ? Have had what I thought experienced everything you can possibly encounter, this is something new.
F all the noise.
File 1099-C as “forgiven debt” for all they took + all the unpaid rent + eviction fees.
Let the IRS throw em in jail for tax evasion. You’re not getting your money anyways.
This is so smart I’m blown away
Can I file 1099s for contractors who burnt me in 2017 or is it too late?
Also not positive I have their SS# but most relevant info to maybe track them down?
Once you have a judgment, you issue the 1099C in the year when you have reached the point of forgiving the debt; you could try to collect for a year or a few first. Without a judgment, I would be careful doing this.
Manville, NJ · Member since 2015 · 140 posts · 59 votes
8y
So look at the upside. File the insurance claim and police report for theft. Then have new products installed. You just upgraded all the mechanicals for $1500.00 also if you work both ends. The insurance company will likely pay more then you can have it done for. So you might actually not even spend $1500.00
I know a guy who had 30 homes flood damaged. He said it was the best thing that ever happened. He received great deals on the renovations and updated all those homes for virtually nothing. He actually made $100k updating his homes. He wished it would happen every 20 years.
Lindenhurst, NY · Member since 2017 · 75 posts · 35 votes
8y
I don't know about your state but in NY that's a felony. You know who did it. You just have to explain that access to the apt was limited. You don't have to prove anything to file a police report. THe police need probable cause to arrest and the DA needs proof to convict - not you. Police, insurance then renovate. Any other tenants nearby who saw anything? Also, what about filing a claim against them in court? THe judgement will sit in their file forever. You never know if they win the lottery lol.
If you don't file a report then it never happened. You have no idea if this is happening to other owners. A contractor may be buying the stuff and the police may be able to round a few people up with enough pieces of the puzzle.
Rental Property Investor · Yardley, PA · Member since 2008 · 1k+ posts · 561 votes
8y
Originally posted by @Account Closed:
The police will probably say it is a civil issue.....next
Since when is robbery a civil issue. I would report and press the police to investigate, and would continue pushing until they are arrested. I would then demand either jail or restitution.
The police will probably say it is a civil issue.....next
Since when is robbery a civil issue. I would report and press the police to investigate, and would continue pushing until they are arrested. I would then demand either jail or restitution.
First of all, it isn't robbery. Second of all, I said "probably", and third of all you must have never dealt with the police.
Investor · Kirkland, WA · Member since 2017 · 310 posts · 271 votes
8y
I'm sorry, did the person saying to "1099-c them" later in this thread then say they've never done it before? Now I'm no botanist but I'm pretty sure that a 1099-c requires certain documentation or certification of the debt, some kind of judgement or decree or arbitration settlement acceptable to the IRS. Which would probably be easier to get if you could show the judge or arbitrator a police report and independent confirmation from your insurance company that said losses were incurred. Or can I just 1099-c anyone I feel like and the IRS doesn't require any documentation beyond my word?
Rental Property Investor · Yardley, PA · Member since 2008 · 1k+ posts · 561 votes
8y
How isn't it robbery? They stole items. That is illegal. That is a crime, likely a felony. If we don't prosecute these people what is to stop everyone from doing this?