Updated over 4 years ago on . Most recent reply
non-paying tenants during pandemic
Hello BP community.
I wanted to reach out to anyone invested in the state of NY.
How are you handling non-paying tenants at this time? I have management in place, and I still cannot get any step closer to a resolution. The moratorium has these tenants blanketed from payment for nearly a year!
How are investors starting out supposed to maintain investment property when the entire puzzle of real estate investing is based on cash-flow. I understand that it is not all based on cash-flow, but I'm not interested in flipping homes, especially in certain areas. Regardless, there is major difficulty in selling a home that is occupied by a non-paying tenant. You cannot evict a tenant in NY due to the tenant protection in place, so it's almost a moot point. Many tenants were contacted by management with all required forms proving the pandemic effect; The result was most ignored them and simply did not respond. These same tenants are submitting daily complaints requiring repairs to the property. Each month the complaint is not addressed, an unavoidable fine is being issued.
I wanted some community feedback that can relate, and possibly offer suggestions around this disaster.
I appreciate the responses.
Thank you.
John
p.s.
**I posted nearly one year ago, possibly earlier, and both the subject and content is the same**
Most Popular Reply
@John P. A 1031 exchange is a great option for moving your funds so to speak to a different location. You will want to talk to an experienced CPA and QI like @Dave Foster so that you do it correctly, but yes, it can be done and is not all that expensive. Hope this helps!