All Forum Posts by: Stone Jin

I've been getting email from Toledo REIA regarding how all "rental" homes need to be in compliance with lead. What does this mean for rentals in Toledo?

This legislation will require:

“the presence of deteriorated paint, which may contain lead, on the interior and exterior of pre-1978 residential structures and on bare soil be identified and correctly addressed.”

“No owner, agent, real estate agent or broker, company, or any person or persons shall rent, lease, let, mortgage with right of occupancy, or otherwise allow the occupancy of any residential rental property constructed prior to 1978, unless a lead-safe certificate has been issued for the property.”

The Director of the Toledo Lucas County Health Department shall issue a “Lead-Safe Certificate” upon the filing of all of the following with the Toledo Lucas County Health Department:

o A completed application for a “lead-Safe Certificate” to include the name, address, and telephone number of the Owner or the Owner’s agent of the residential rental property and the number of rental units at the address.

o A lead-safe report issued by a local lead inspector, who has completed a local lead inspection in compliance with the requirements of this Chapter.

o A filing fee of $45 (per unit)

The lead-safe certificate shall expire from the date of issuance by the Director as follows:

o Four (4) years from the date of issuance by the Director; or

o If the residential rental property has undergone lead abatement, designed for the single purpose of permanently eliminating lead hazards consistent with the provisions of Ohio law.

Local Lead Inspection means an inspection that includes a visual assessment of a residential rental property, followed by the collection of environmental samples to determine the presences of presumed lead hazards. When performing a local lead inspection in residential units, the local lead inspector shall do all of the following:

o Perform a visual assessment in the residential rental property to identify all deteriorated paint, visible dust, paint chips, debris, or residue. For exterior areas, visually inspect that bare soil within 3 feet surrounding the perimeter of a building on the property has been covered, enclosures have been installed properly and painted surfaces have been properly sealed.

o Following a visual assessment, a dust sample shall be collected from a floor, and if present, window sill and window trough in no fewer and four separate rooms. A minimum of twelve samples shall be collected unless the Residential Rental property contains less than four rooms, in which case a dust sample shall be collected from a floor, window sill and window trough, from each room.

Fines for non-compliance

o After 365 days have passed from the effective date of this Chapter, anyone in violation of section 1760.02 shall be subject to a fifty dollar ($50) per day administrative penalty per dwelling unit with a maximum penalty of ten thousand dollars ($10,000) per year per dwelling unit.

can you share the name of the complex. I ran across this situation and my broker was able to do the deal by looking at the assessor's data vs the survey provided by the HOA.

I've used prospect mortgage for loan amount in the 40K range in Phoenix.

@Jesse Gonzalez

We live in AZ which is a community property state.  I understand that the total amount of the loan will be due if the property is transferred or sold, but I thought I read somewhere except when it is transferred to the spouse.  My question is still if the loans are "transferred" to her after my death, how does that work if she already has 10 conventional loans in her name.  Will there be an issue with her taking over the loans?  Given that she already has 10 conventional loans, she can't acquire additional conventional loans, correct?

As we are doing estate planning we are coming across this bizarre question.  Let's say I currently have 10 mortgages and my wife has 10 mortgages.  If one of us were to die, would the other assume the mortgages even though we are maxed out on conventional loans.

Thanks in advance.

In terms of compliance, you just need to contact the city's department of taxation.  They will send you all the forms.  They backdate some taxes if you are not in compliance.  They may wave the penalty if you reach out to them, I believe there was some period of time last year where they allowed you to just pay the back taxes and not the penalties, you may want to check with on that if you have back taxes.

Also, I thought in Phoenix, you didn't have to pay the tax until you have more than 2 rentals.  Maybe I'm mistaken on that.

Mesa and Chandler are also quarterly.  The renewal process occurs each year as well.  We just call out the tax in our lease, no one has ever thought twice of it.

Separately. What do you Have?

@Justin Windham

Thank you for the info.  

I guess the question is what are you looking to get out of the meet ups.  I'm a member of azreia, I use it for 2 primary purposes.  1 is to get the Phoenix market update each month, 2 is to get the Home Depot rebate program.  The rebate program covers my cost of membership many folds.  I also attend some of the sub groups they have whenever they have a topic I want to learn more about.  I wouldn't pay for something if I didn't perceive getting tremendous value from.  

I would think the groups that are relevant to you would depend on what you are trying to do.  If you are trying to wholesale, I'd consider going to meetups focused on Selling and not necessarily real estate.  If you want to buy and hold or flip, then trade organizations like AZreia can be valuable.  

There are so many resources available locally and on the web, the main question is what is your game plan.  Once you have that figured out, then tailor something that fits what you want to do.

Stone