All Forum Posts by: Christian Bors

@Steve Babiak Thanks for the clarification. It doesn't make sense that the state forces a landlord to return the extra security deposit even if the tenants are still in the building.  The extra security deposit was triggered because of less then par requirements.  Hence, it doesn't incentivize a landlord to take risk on questionable tenants.  Anyways, I appreciate the help.  I will make sure to follow the law and I'll look for the thread.

@David Krulac unfortunately it looks like the start of year 2 the deposit cannot exceed 1 month's rent.  Hmmm, I didn't realize you had to give a deposit back to a less then qualified tenant after 1 year if they didn't move out.  This law doesn't seem to reward landlords who are willing to give questionable tenants a chance.....

https://www.thelpa.com/lpa/landlord-tenant-law/pennsylvania-security-deposit-law.html

@David Krulac If you charge 1.5 moth security deposit, for example 1500 for 1000 rent, after year 1 do you have to give the tenant the additional 500 back?

So it sounds like I should collect first month's rent and the deposit at closing.  Give the keys on the first of October.  Say if the tenant does get cold feet prior to the move in date and the lease is signed, am I entitled to the security deposit and the rent already paid?  Hopefully that doesn't happen, but I am in just wondering.

@Jim Shepard  Ok, I was thinking along those lines but wasn't 100% sure. 

@Steve Babiak  I know the in PA you can charge up to 2 months security deposit, however after 12 months it must revert to 1 month's rent.  If I collect 1.5 months rent, what do I have to do after 12 months.  Give the extra 500 back or can I continue to hold the funds?  I'm not sure I completely understand this law.  Also, what if the tenant gets cold feet?  If the lease is signed, am I entitled to all monies already collected? Finally, the property is already completed and ready for move in now.  I decided to accept these tenants because I thought it would be a good fit.  Two of the neighbors recommended them. They have very high incomes, long length of employment at current employer and no pets.  Also, the husband is a former vet so I have a soft spot.  However, both of their credit scores are not the greatest hence the extra deposit.

On Tuesday, I am having my newly accepted tenant sign a lease starting 10/1.  Since the lease won't begin until October, what should I expect as far as collecting first month's and security deposit.  We agreed to a 1.5 months security deposit which they are bringing.  Do you also require first months rent even though the lease doesn't begin for another month?  I have not yet responded to the request of signing the lease on Tuesday, so I can respond to the tenant telling them what to bring.

Thanks in advance.

@Erin L. I know this is kinda old, but how did this turn out? 

Like @Hattie Dizmond mentioned you shouldn't have a problem. Sounds to me like you are doing it by the book. Using an FHA to acquire a multi unit is a great way to start. Thats what I did and it worked out great. Good luck!

@Nelson M.

Like @Jassem A. said, you can find anything in harrisburg.  Just be careful the neighborhood you buy a 50k property.

@Nick Laeder Welcome to the site. You should join a couple of local REI Groups. There are several in the harrisburg,, york, and lancaster.

I am the President of Carpoa which meets the first Thursday of the month at 7pm.  The location is at Giant in the camp hill mall.  We strongly encourage new investors to come.  Its a great learning experience. We have speakers that cover a variety of topics such as evictions, accounting, flipping etc....  For Septembers meeting, we are having a DJ speak.  This is usually one of our more popular events.  The group is made of many experienced investors and newbies looking to learn.  If you have anymore questions feel free to PM.