All Forum Posts by: Dave Polykoff

@Nathan Gesner I should clarify a few points because it’s a bit more complicated. These are student tenants. The 2 tenants stopped living at the apartment due to health reasons but agreed with the other tenant to continue to pay rent anyway. Some of their stuff was still at the apartment.

There was a few months left in the lease so they wanted a sublease for those remaining months to make up the money they were losing.

idk if that changes your answer but from what it sounds like you’re saying is never do subleases and if 1 of the tenants stops living there that the only option is to remove them from the lease and have the remaining tenant(s) pay their portion of the rent?

I should note, in this scenario, the tenants that left and the tenant that stayed had a falling out and do not speak. So, cooperation between them was unlikely. Again, more complicated layers to this. 

The Scenario: I have a rental with 3 tenants on the lease. Two of the tenants moved out a few months ago but still pay rent. One of the tenants who moved out found a person to sublease for them. 

Question: Who needs to sign the sublease? Just the old tenant (subleaser), the new tenant (subleasee), and myself (landlord)? Or do the other two tenants need to sign the sublease as well?

Essentially, legally, is the sublease a contract between the 1 tenant and the subleaser? Or do the other tenants need to be involved with that paperwork as well?

Thank you all for the replies! (@Michael Plante, @Eric Greenberg, @Rich O'Neill, @Dan Powers)

Makes sense to avoid doing anything extra that a college student wouldn't fully appreciate. Besides tenant acquisition/retention I was wondering if there was anything worth doing that would increase the value of the house.

But, since it's a MFH the value would mostly come from cap rate, correct? So rather than it be something an appraiser would appreciate, it would have to be something a tenant would appreciate enough to pay more in rent for (which, to your points, there's nothing to be done to it that would make a tenant pay more in rent). 

Am I thinking about that correctly?

Anybody have experience with remodeling a back patio area for a rental property?

I purchased a triplex in Philadelphia (near Temple University). The bottom unit has access to a decent-sized back patio (about 28’x17’).

Right now it’s just a fenced in area with pavement. So it’s a blank canvas.

Is there anything smart to do to the back patio to add value to the property?

I mostly rent to college students so an area they can hang out would be great but also don’t want anything that they can easily break - like moveable patio furniture.

I was thinking about more solidified updates like built-in wooden benches around the fence. Or putting down fake grass to give it more of a backyard feel. Or fake hedges around the edge.

Visual upgrades but nothing that could be stolen or broken by tenants over the years.

@Steve Babiak Yup, just confirmed with my accountant on that as well. Making that change. Thank you for the response!

Thanks @Yuriy Skripnichenko. Another quick question. I set up a business in Philadelphia last year (unrelated to Real Estate). I received the below error back from the application since I tried using my SS# for the Activity License. I don't want my other Philly business tied to my real estate business. Is there something I should be doing differently here?

@Yuriy Skripnichenko - Thank you for this! Question: I recently purchased a triplex. I'll be living in one of the units. In this scenario, do I need a Renter's License?

When viewing the Renter's License page it states "If you rent 1-3 units in a property that you occupy, you need an Activity License Number instead."

Currently, I have the BIRT# and applied for the CAL. Are there any other city accounts/licenses I need to apply for besides these two in my owner-occupied scenario?

Additionally, if I do not need a Renter's License since I will be living in one of the units, then will I need to obtain a Renter's License once I move out?