All Forum Posts by: Uwe K.

At the risk that my response is perceived negatively I do have to reply to you:

That is quite some profiling: So from one question I am asking - where, by the way, you don't even know the real background and my intent for asking - you can tell that there is not much experience and virtually label me as some idiot novice. Whereas nothing is wrong with being a a novice, everybody starts out at some point in any field (which basically implies being the idiot with beginner's mistakes). I am sure you didn't get your vast and overwhelming experience you portray to be having with the breast milk...

It's like me assuming you have no proper command of the English language since the idiom you are applying would technically be considered an improper use.

Besides that rant: Yes, I do praise the heavens; he left, with no damage and the place clean. And the new tenant is already in.

Well, I didn't think you guys would beat me up like that for a question :-)

To answer some of the questions:
Didn't pay for eviction, because tenant had left before. Not in jail etc., actually talked to him on the phone and got some info from other people.
Took him in because he qualified, and he say he just doesn't want to live there anymore. There appears to also be a slight (or starting) mental disorder in play, I suspect. There is a point in a tenant's life where they turn sour. That does not necessarily have anything to do with how I run my shop or select my tenants or what level of experience I have or what kind of knife I use to butter my bread.

The "taking to court" would only apply if he takes certain action as discovered through the grapevine. And I just want to be prepared, hence my concern about using the correct date "just in case", which I still have no opinion on.

I wasn't aware that courts often throw out late fees, considering they are right there agreed upon in the legal contract, aka lease. Looking back, I realize I've never had this come up. But that's some good input.

Place is already re-rented, new tenant moved in Sunday.
State law says tenant is responsible for the lease, landlord has to take action to re-rent. However, tenant is also responsible for damages (e.g. new rental ads). I have no particular "break fee", as I think this would be thrown out here from a point beyond actual damages.

All the other requirements,such as sec. dep. statement, I am quite familiar with state law and have never gotten into trouble with that.

You're already telling us that you will be living there, so you're not lying to the city. I don't see an issue regarding the owner-occupancy. You can always show utility bills to that address, too.
I've done it the same way, mostly so I can do my own plumbing, which is allowed with signed affidavit for OO. Permit and inspections still required. For electrical a licensed electrician is still needed, no matter if OO or rental.
The gray area may come into play because you say you move in after the rehab. In my town, they want me to specifically live there already before the plumbing starts. Requires a lot of gray matter if the flip house comes with stolen copper etc :)

Agreed, Lowe's prices seem a bit steeper, although sometimes I am surprised. used to like their carpet install until the last time they created a tremendous trouble. But they're closing left and right in my area, they almost can't keep up with Blockbuster closings :)
I usually go to Menards, and I've never really had a problem with coupons there. Although they max at 10% and not on sales prices. Just annoying they always have to call for an override, and sometimes that takes forever.

I have (had) this tenant who didn't pay, then I sent a 5-day notice, he moved out even before he got the notice. No damage, everything good so far.
Considering going to court, but may be a dead-beat. I don't even know where to find him right now to serve.

In any case, the lease states a daily late fee until rent is paid in full. How many days should I calculate?

1. Days until he actually moved out (which would still need to be established... he says, she says)
2. Days until I learned he vacated?
3. Days until the apartment is re-rented (he left just in the second month of an 11-months-and-some-change lease)
4. Days until the I send the statement re. sec. deposit deductions (within 21 days)

My gut feel says number two is the way to go without leaning too much out the window.

Same for me. In the beginning, I got about 10% of handed out applications back. Nowadays I only give out the form if someone specifically asks or if, from talking to them during the showing, I like them and think they should have the form, just in case :) Still at least 50% that doesn't come back, no matter how interested they seem at the showing.

For the ones I do get back I explain the Smartmove process (I do only credit checks there), and it has never been a problem. If they don't have an email address, I just use a second account and ask them the quetsions over the phone. I am also in the lower end market, so many are not web savvy, let alone have an email address.

If it's a remodel, what of battery operated ones? Way less hassle. Of course, depends on your local restrictions. In my area, battery type are still ok, only new constructions needs the hard wired and linked ones.

In terms of electrical: if you do hard wire, and it's easy to go on separate circuits, do that. Otherwise, just go on one circuit. The smoke alarm uses so little power, it may come out to a dollar a year. Just a simple guess, but check the wattage and your kwH rates if you want it exactly.
What of the basements lights. Are you going to rewire everything with two switches, one to use for the first floor tenant, one for the second floor? :) If one tenant in ten years asks about it and complains, give them $5 for the cost and tell them to be quiet for the rest of their tenancy... :)

While my response is too late for your decision:
Yes, have the fill out everything, for two main reasons:
Smartmove does not ask for everything you want to know. Secondly, you check their info on the application with your other sources, incl. credit file, google, phonebook, court records. But also know that the credit reports are not always up to date specifically regarding addresses.
And, for my low-income clientele, Smartmove pretty much denies about everybody based on their algorithms, although they do meet my criteria Those are not too loose, but the credit score, for example, is just one factor, and in my cases often a minor one. I have a lot of excellent tenants that have scores under 500.

I would first listen to what the inspector has to say. Sometimes, if you work with them and/or try your best, they might let go of some things that are not that important, or a half-fix is accepted.

In regards to walking away: I have a pretty strong ethical opinion here. You bought it, you did or did not do your due diligence, and you have to live with the results. Unless you are in some financial distress (and I am not simply talking about a business deal that went the wrong way), walking away from the mortgage is an irresponsible and unethical way do deal with the fact that you made a bad investment. That is no different from people who spend money recklessly and then just say "I can always file for bankruptcy". Not as bad as people who walk away just because they are underwater, but quite up there. These people deserve everything on earth that can happen, including never being able to get a mortgage again, 30% credit card rates, nobody rents to them, and so on... Sorry for the rant, but every business is tough, and you have to deal with the risks if you want the rewards. That's why you get the risk premiums / price discounts with foreclosures.

That is besides the fact trying to suck every penny of rent out while not paying the mortgage sounds like it is at least at times unlawful. I also know in my state you have to disclose existing code violations to the tenants, potentially reducing the rent amount and the tenant pool. Or if it is considered uninhabitable (which you haven't mentioned), then renting it is plain illegal in probably every state.

They moved into one of your houses? How did they even get in or the keys?