All Forum Posts by: Barry Cooley

@Jennifer T.

I lowered the rent to allow them the opportunity to save a little more for a new home/moving expenses.

I went by and talked to the tenant yesterday, gave him a 7 day notice to cure, and told him nearly exactly as you suggested (even before I read your reply). After giving him the notice, I agreed to allow them to stay until the end of May, with the stipulation that rent/late fees are caught up and payment is received by the first of each month. I also told him if they found a place before the end of May, that I would pay their first month's rent. I know the payments won't come, but I have the 7 day notice in place and will proceed accordingly.

@Jenny Roman

Thanks for your input. I have a CFK agreement that I intended to use when I first closed. I believe it has that in there, but will need to confirm. As far as the appliances, I have no idea what, if any, belong to them. I haven't put any in the property.

@David Martin

Thanks David. I actually tried to help them out with cash for keys when I first closed on the house. But at that time, they just weren't prepared to move. So, I am not against trying that approach again.

@Russ B.

You're right, it will probably be easier for them to find a place now. But also, if I don't get started on the rehab until they move out at the end of May, it's going to probably be getting cold weather before it's complete, so it's going to be harder for me to rent.

@Alex Zhao

Thanks Alex. That's what my gut is telling me.

@Paul Wachtler

Thank you for your input Paul. I failed to mention that this is my first property purchase. No other tenants at this time. With that being said, would you try to collect the rent until the end of May, and issue 7 Day notice to cure if it is not paid? Or would you go ahead and send a 30 day notice to vacate?

Good afternoon. I need the advice of the more experienced people on here.

Four and a half months ago, I closed on a foreclosure. There was a man, his wife, and five children living in the home. The home had belonged to the man's aunt, and they were supposedly paying $500/month rent to her. After closing, I went to talk to the man to see what we could work out. He said they were planning on moving out in February, after he gets a tax refund check. So, I wrote him a contract to expire the last day of February. I let them stay for $400 per month, which is about half or less of market rent, if the house was updated. They made on time payments each month. I wrote the contract so that if they stayed past the last day of February, the rent would go up to aproximate market, which is $900. It is now the 4th day of March, and I have received no rent payment for this month. I talked to him yesterday, and he said he should have the money by Friday or Saturday, and asked if they could stay until his kids are out of school at the end of May. I honestly don't see how this family will be able to pay $900 per month. But considering the situation that they were in, I have tried to help them out the best that I could. Since the house was bought with cash, the only money that I'm actually out of each month is Insurance, about $84. My biggest issue is that I need to get in the house to do the rehab, so I can do a cash-out refinance. How would you guys handle the situation?

@Cody Martin

Patricia Lancaster in Madison is probably what you're looking for.

@Ned Carey

Thank you for the input. That's definitely a strategy to consider. I'll see how it all plays out. If nothing else, a great learning opportunity. Thanks again.

@Bill Crow

Yes, the original seller is who I talked to briefly. I plan on talking to him in more detail in the next day or two.

The idea of trying to buy out the current owner did cross my mind. I didn't know if that was the best option, hence the reason I posted here. I knew some of you guys had likely dealt with this before. Thank you for your input.