All Forum Posts by: Lynn Z

The closing attorney handles the payment of the water bills outstanding on the HUD on the seller's side. You must push to get a copy before the closing and object if it's not there.

I just spent 4 days tracing a tub leak from a tub with shower and it was dripping down into the foyer ceiling below. The tenant had changed the shower nozzle to a high powered broad spray zone head and the water seeped through a pinhole in the tub caulking. What a mess.

Here the outstanding water bill is against the tenant but it used to be against the landlord. You need to know why that bill is so high. I know someone who just bought a beachhouse and his bill was $600 from a running toilet apparently.

Someone's been washing cars in the yard or taking in friend's laundry me thinks.

Yes, we have an appraisers board in the state government. Anyone with a license is regulated here.

If it's an investment appraisal in our are a junior appraiser can't do the appraisal. The supervising (licensed appraiser) must do it. Many times the appraisal company sends a rookie to "try" and do the appraisals on the ones I'm selling. Lenders are the only ones that seem to understand this. After much arguing, a senior appraiser always shows up. Make sure this guy is fully licensed and not an understudy.

According to our newspaper the National Husing Conference states the following expenses for homeowners from 1996-2006
Heating oil 131% (52% in 2008)

P&I 46% (`1995-2006)

Property taxes 66% (worse for investors)

Insurance 83% (1995-2005)

Rents increased 51% for the 10 year period

The CPA's at my last REI meeting stated the IRS agent he talked with said the IRS is auditing many 1031 exchange deals and finding 80% with problems. Some states are apparently moving to audit all 1031 exchanges.

I feel like the ones I've done are so darn complicated that any IRS agent could pick something they don't like.

Perhaps the IRS doesn't like 1031 exchanges.

Winter is a no-win situation here for rentals. You can hold from September through December to get any response. Rents are terribly low right now on Craigs list.

Try not to ever have a rental go month to month if you can avoid it. March - August is our reason and it is fixed.

Just north of Jacksonville, in S.C. we just got our property tax bills. All up an average of $250-$300 just based on mils increase.

My little 2/1 with 820 sq. ft. runs $1690 a year now. It's worse on 3/2's and multifamily buildings in town. My hairdresser's bungalow was taxed at $5500 and it's in a distressed area of town.

That break they gave homeowners on school taxes is going to be clawed from the 6% er's now and forever more.

I want responsible tenants. I seldom get that but that's what I want.

Check out that application. Is it legible. Are phone numbers left off? (Who's got time to get business phone numbers?)
Do they ask questions like "What is a credit reference?"

If they describe a problem with their credit do not say "Well, we'll have to consider you on a case by case basis"
This is a clue to them that you'll take them regardless of the credit report and you'll be hounded to death.

Pin them down on who will be living in the house/apartment and pets/smoking.
Reasons for leaving is important because most tend to go on against the landlord (suspecting you're going to check anyhow).

If they ask if you're going to check credit usually that's a bad sign.

If they ask too many questions about the security deposit or the utilities...they can't afford it.

If you do this for thirty years you know there's a big difference between knowing if a tenant is late and you will be paid vs. a tenant who is late and you remain unsure that you'll be paid (but suspect not due to past behavior).

If a tenant is in the second category you are better off being the hard *** as soon as possible. They're never going to change.

Some tenants can't pay on time and I have broken the payment into twice monthly payments. It's easier for them and that works. Also, one great tenant I had preferred to pay late almost every month but I knew he was going to pay and he did.

In S..C. no tenant voluntarily pays a late fee Ever. They feel entitled that all they owe you is the back rent.

Why are Americans so gullible?

I know an on site agent that worked very hard the past eight years. He also had alot of money invested in the stock market. Paid down the house mortgage after doing a A-1 renovation. Now...

they can't sell their home for a decent profit; they've lost alot in the stock market, real estate is pretty dead in out area especially for on site construction and they're living off of savings. There's no working spouse to piggyback the realtor to get through bad times.

I don't know how many people will last another year like this is some cases and hey, we're in a "no boom no bust"
city. Go figure.