All Forum Posts by: Marc Freislinger

If the lease was signed after the notice of foreclosure, the lease is not covered by the tenant protection laws. If her lease is not valid, you can provide her with the appropriate notice required by state law to leave, and she can sue her former landlord for her prepaid rent.

I agree with Mitch. If you hang it, and there are ANY issues, it will be on you. If you have an earthquake and that TV falls, they'll expect you to replace it. If someone does a pull-up on it, and it falls, they'll expect you to replace it.

I would like to require them to hire a professional to do it, since there would be no liability for me. Practically, I would probably just let them do it though. I've never been that worried about a few minor drywall patches, but you could easily let them know it'll be $25 or $30 or something off their deposit when they move out.

I prefer not to let tenants "return the property to original condition" after I had a tenant fill several gouges in drywall with toothpaste.

I'm a bit torn on this one Josh. This is similar to the question asked by wholesalers about how to estimate repairs. I got a wholesale lead a couple weeks ago where the repair estimate was $15k. I walked the place, and would be putting about $100k into it to get the sales price they claimed $15k would pull. His problem was that he took his estimate from the owners. The home probably could have been made complete for $15k, but still would have been completely outdated, with no curb appeal.

Where do you draw the line with this stuff? I agree that agents should have some knowledge of the properties they sell. They should know if the plumbing doesn't work, the electric doesn't work, the walls are missing, or the roof is shot. I believe the NAR requires that an agent disclose these defects even if their seller requests them not to.

The problem then is that all of these could be in decent shape, and the home still require a lot of work. The layout could be ****, the cabinets could be hideous, etc. Should the agents have to tell the buyer that everything is outdated and worn out? Even then, every buyer will have their own idea of what needs to be done. I've seen cabinets painted that I would tear out, or carpets cleaned that I would replace. I may even replace windows that don't leak or a roof that has an ugly color.

In my mind, the agent should know if the mechanicals work, as well as the roof/windows/etc. I do not think they are responsible for a complete list of work that needs to be done to a property. Any investor who is relying on someone elses scope-of-work is asking for trouble.

Tape the notice to the front door and take a photo of it with a timestamp. If you deliver in person, you can simply let a judge know that you hand delivered it. I'm not sure which township you're going to court in, but in my experiance, the judges in Indy usually go with the landlord. They get plenty of notice from the time you file the eviction until the courtdate anyway, so I doubt you'll have an issue with the extra 3 day notice.

She's right. The banks have this written into their loan agreements. Never bank the same place you borrow from.

As far as I am aware, if you live in the property, you do not have to follow fair housing. You may also determine who is allowed on the property. Rent can be applied to damages first, but the damages must be provable. In my experience, you cannot fix something yourself and charge a tenant for it.

You will need to check with an attorney in your state to see if any of the items of your lease are illegal, but I did not see anything that jumped out at me as being unenforceable, except maybe the cleaning. (Who gets the money for cleaning, how unclean does it have to be to get charged, etc) Too many variables for me.

How about something like this? Cover the problem, but save it for your resale value.

http://www.parkyourpool.com/

Matt,

If all of the properties you have selected are actually comparable, same square footage, similar floor plan, age, neighborhood, style, etc, etc, then what benefit is there in pricing yourself in the middle of the market?

Your rehabbed property should fetch a price at the top of the market correct?

I do agree with J though, you will need to work on your comps. A 95k home is probably not comparable to a 223k home, so you need to look at both and figure out which one will more closely resemble your home when it's completed.

Do you want to pay the fixer-upper price, or the post-rehabbed price?

When you look at comps, you want to check the condition of the properties sold. You want to judge your fully rehabbed home against other fully rehabbed homes, rather than SS or REO properties. If you fully rehab a home, and price at the same price as an REO, you're not getting top dollar for your home, and not helping improve home values in the area. Always make sure to judge apples-to-apples. REOs and short sales sell at a discount due to the joys of dealing with a financial institution.