All Forum Posts by: Joe Senchuk

Update... I was able to work things out with this tenant. They agreed to a 3 month lease extension that required the entire 3 months to be paid upfront. The rent has been increased by $250/month. They signed a lease extension agreement and gave me the check last Thursday and the check has cleared. This worked out for them and for us. We will have enough time to go on our trip and deal with the rest when we get back. 

We inspected the property and it is in good shape. Just a few minor things but nothing that would require us to keep the entire security deposit at this point (maybe $100-$200 worth of damage to a few blinds and sprinkler heads). 

After talking (nicely) to the tenant and providing several scenarios they seemed to come around to the idea that it was just better to work this out and compromise. I was also told that they were advised by their representative with the temporary housing agency to just stay after the lease expires. Nice huh? This guy's credit is in the "good" range and this lady advised him to work against us... I think most of our problems originated from the person pulling the strings at the temp housing agency. She got an attitude when I told her that we weren't going month to month because we were headed out of the country for a couple of months during this time. She really got an attitude when she discovered that she wasn't going to bully us into doing what SHE wanted. It seems she lost site of what was most important... her client. I'm now in touch with the insurance company's (Allstate) claims rep about how this went down. I even copied him on our entire chain of communication. We'll see how things work out for her. I don't really care. I'm no longer working with her.

Also, the tenant took me over to his burned house to see what it looks like and the progress that has been achieved so far. I should actually say... lack of progress that has been achieved. It's been 6 months and the house is still bare studs. The contractors haven't been showing up and they have had 18 infractions (12 electrical , 4 plumbing and 2 framing). In my opinion based on many years as a GC, I do not see their house being completed by July 31st anyway. Now they are talking about firing their GC. So I suspect that when we return from our trip, they are going to need more time in our rental...

My other renters that I had lined up have agreed to move into one of my other units that opened up a week and a half ago until this house becomes available on August 1st. I kept them in the loop about what was happening and worked to get them situated in the mean time. I am glad that they have been so understanding and willing to work with me. In the future, I guess I should be more careful about lining up renters before my current tenants move out. I've never had a problem like this before so...Not sure... it's good to get the unit re-rented asap. I'm open for suggestions about this though.

That's about it... got it worked out. No eviction process required at this time. When we return we'll be happy to go month to month as long as the house is in good shape and they aren't defaulting in anyway. Hopefully they will just move out so our other tenants can move in.

I wasn't referring to you Donald.  Moving on...

Yep. I am working with an attorney that Jon Holdman referred me to. Drew Hamrick with THS Law. Was definitely good advice. Thanks Jon.

~Joe

@Donald S. I understand your perspective and thank you for being candid and not condescending.  I never said I was an expert. I learn like you do.  Have you not made any mistakes throughout your professional career?  I don't pretend to be an expert and I'm ok with that.  I know the old cliche's and I am not trying to argue with anyone. Just don't condescend and act like it is for my own good. Condescending is just... condescending. Even if I was a newbie... is it ok to condescend to someone who is just trying to learn from people who have more experience and knowledge of the subject matter in a forum specifically designed for this purpose? BTW... I've been holding and renting properties for about 11 years but I still consider myself a newbie. Especially compared to a lot of the folks in this forum. I've made other mistakes and learned from them. Everyone else has been able to offer their opinions and help without resorting to condescending remarks. I get it. I made a mistake. I am no attorney. I have never had experience with evicting someone past the expiration of their lease. I already knew the answer but I was hoping someone else knew something different that I didn't and could offer up a hail Mary.  I feel stupid now. Happy? Up to this point things have just gone rather smoothly for me (not perfect... but relatively hassle free with all due consideration to other stories I have heard). I chalk that up to being able to work with my tenants and my kind nature. But don't mistake my kindness for weakness or lack of professionalism in my every day business life.  I know how easy it is to get burned and I always do BG, credit checks and income verification. When we sign the lease, we always go through it line by line and the tenants initial each page. I take other measures too. I even did this with this tenant. Their income is low but they have a clean record and a credit score just over 700 (which is high compared to my other tenants). They even own their own house and a condo that they rent to a friend (don't ask me how because I have no idea and frankly... don't care).  After talking to them yesterday and giving them several options  (including the eviction and the ramifications to their credit and such) and getting inside the property (which surprisingly is in great shape.. just a couple of blinds are messed up)  the tenant changed their tune and even apologized.  I think we have come to a nice agreement... but nothing is for sure until the ink dries and the check is cashed or the keys are finally in my hand.  If I get burned on this, I will put it out here for others to learn. I'll own it and I will learn from it.  But I don't think I or anyone else in this forum deserves to be condescended to regardless of their experience level. I think this is my first post in the 2 years I have been a basic member and I am quite happy with the support I have received aside from the condescending one. I exposed myself and was prepared for the cliche's and some chiding because I deserve it. However, my kind nature ends when someone feels the need to insult me (or anyone else) through their condescending remarks. This is all I am going to say about this. I don't want any problems with anyone and I would like to remain in good standing with BP and its members. I think there is real value in this community. I've learned a lot here but never contributed and I wanted to participate and contribute. I'll update this situation for anyone who cares to follow it as things develop. 

As far as a property management company. We are just about there. Up until now I've been able to get my guys in for repairs, maintenance and cleaning (many times I do these things myself). But the suggestion to hire a PM is certainly a good one. My other work taxes my time and I really think hiring a group of people who are better versed in landlordology is probably just the way to go. I have been putting this off. I admit it. 

Thanks for all of your support so far.

Thomas, you are making assumptions about me that are completely unfounded and unwarranted. I've been a general contractor for 23 years and have faced my fair share of issues (as every single GC I know does). I've also been a landlord for 11 years and I currently hold 8 rental units. We are currently in the market for a multi unit complex (8 or more units). I am not boasting/bragging but I am a bit offended that you would say such things to me when I seem to be having a nice measure of success in this business.  I didn't get here by being a hard *** with every tenant and client I've worked with.  Yes, there have been some near misses and I have even had to evict a family before. I've just never worked out a problem of this particular nature (every one who has rented from me moved out after the expiration of the lease and the family I evicted was evicted due to default of the terms of the lease... more specifically... marijuana growing in the basement). I did get myself into this one, I understand that. But I am getting it worked out and things are looking pretty good at the moment with this client and I plan to follow up with how things work out in this forum. The good, the bad AND the ugly. I'm exposing my soft underbelly in the hope that it may help others in the BP forum.  I came here for professional advice from like minded professional people who wish to help propel my success the way I wish to help propel theirs. Not to have someone like you condescend to me. 

I figured I would follow up on this by summarizing what the attorney from THS Law told me and how I plan to respond to this tenant tomorrow. I can't start the eviction process until the day after the lease expires. As Linda Weygant said, I can't just enter the property and take back possession and the eviction process does (in fact) take about 5-6 weeks in Adams county. Fun, Fun, Fun! Lesson learned... 

I am going to try to offer cash for keys and even offer some moving assistance (if I need to sweeten the deal).  I don't really have a grasp of how much cash I should offer.  Considering the rent is $3K/mo then I was thinking that I would offer $800 starting 8 days before the end of the lease term and then reducing that sum by $100/day for every day closer to the lease expiration date. They didn't pay the rent, the temp housing company did. Remember, the temp housing agency isn't on the lease and there is no legal agreement between me and the temp housing agency.  I think the $800 will appeal to the tenants even though it would more or less equate to a refund for the days that are already paid for. 

I am still open for advice and suggestions. I'll let you know how it goes. Maybe someone else in this forum can learn from my mistake.

Hey Grant.  What do you think would be a proper sum of cash to offer?  The monthly rent is $3000/mo.  Their rent is paid up for the month.  I was thinking like starting at $800 on the 23rd and then reducing it by $100/day after that. 

Seems I should clarify "friends".  It's actually our friends son and daughter in law and they have been well notified about our policies and that there will be no exceptions. They are well qualified and have great references too. They know its business.

Also, I contacted THS as Jon Recommended and we now have legal council in this matter. Thank you for all of the input and advice.  Much appreciated!

~Joe

Thanks Jon. I'm going to contact THS as soon as I finish this post. 

I know Nicky... I know... I just want to be a nice guy and now I'm the bad guy. Just business from now on...