All Forum Posts by: Levi T.

You now owe me a $1 for Googling that for you....Call your insurance buddy and he will give you the lowdown on tenant liability insurance that is offered with ALL rental insurance programs by ALL decent insurance companies. This is a universal standard for most providers, it's just up to you as a LL to require it or not in the coverage, which you should be doing. https://www.nationwide.com/renters-insurance-cover...

The question once again comes down to the process of collecting on damages beyond normal wear and tear. I would assume one would file a claim with the tenants insurance company and present them the documents, or could one just go right to court and get the judgement, then file the claim with the insurance company so one does not have to argue with them about it.

That's not true, "Personal liability renters insurance policies may cover bodily injury and property damage to others caused by your actions or negligence." - Nationwide

If the renters insurance does not have the liability component, then yes it only covers their belonging, however if it does have a liability component, then it does cover other damages where the insured is found guilty or liability of damages, such as a fire, or water damage. 

Once again, what I'm asking is; has anyone successfully used this process to recover damages beyond normal wear and tear on move-out of a tenant, as Lee Ripma had claimed, and if they did, what was that process?

Our company, which owns and manages hundreds of units, require all tenants to carry renters insurance, and $300k in liability... And yes we are named as the additional insured. If we could use case law to collect damages from insurance companies on renter insurance for items found by a judge to be beyond normal wear and tear, that'd be a huge win in terms of turnover cost.

@Mike Scott-Smith @Lee Ripma  I am specifically referring to the damage part of it, as in beyound normal wear and tear after the security deposit. I already know about the additional insured that's fairly standard.. We require tenants to have tenant insurance as well as liability insurance due to damages from neglect, like a busted pipe and they don't turn off the water, but I've never heard of anyone using it for damages after move out for items beyound normal wear and tear.. if that's possible, I'd like to learn more about that part.

Expand on that if you could. I've never heard of anyone getting renters insurance that covers the renter damaging the property. What specific coverages are you all requiring, and have you used it and gotten the tenants insurance company to pay it?

2.5x (don't got below that), 550 score or more, no evictions in 5 years, and no crimal history. We like to stay in the 3x with 600+, but the other numbers are our dead drop offs. Good luck!

Welcome to BP

Not legal advice. It's only limited by the legal number of occupants. Likely get into some discriminion issues with the state if you tried to pull non-related as an excuses not to rent to someone based on their relationship.

In my last post, I was not saying we rent beds, we rent units to students in accordance to the number of coupents per unit.

It all comes down to your investment plans. We have one for management, another company for marketing, another company that just does investments, and a handful of LLCs for properties.

We have grouped them by investors, regions or neighborhoods. Think of it like a bucket that you put things into, if it makes since to put one item into the bucket or a dozen, that's up to you.

Virginia is super cheap as well, $100 setup, and $50 a year. I have an over priced attorney that thinks each property should be in its own LLC, because you know attornies, they are black and white when it's comes to legal things.. IMO that is such overkill, so we mostly group by partners or larger properties that need its own bucket.

See my last post.. 700+ scores, 5x rent, no eviction, no criminal. Bottom line is there is always tenants who are late on rent, or ride it all the way out to court, then start the process over the following month. If anyone thinks otherwise, they don't own a few hundred units and know what they are talking about. Insurance companies, banks, cellphone companies, and yes landlords will always have late pays no matter the amount of screening your doing,  it is statistically impossible to have zero late pays. Adding towing to your late pay leverage is about adding more tools to the toolbox to resolve problems.

No no, your missing the concept. They would already have late fees and be getting evicted. It's simply leverage to force the tenant to resolve the issue more quickly because fines don't always get them to pay on time.

Case in point, we had a tenant move into a unit 1 month ago. They have a 700 score, 5x the rental income, no criminal no eviction history. This month they did not pay rent. They had already been fined $260, sent certified notices, and a court was being filed.

They claimed they where switching bank accounts and because of that they could not pay rent with cash, check, ACH, or credit card... one quick email to them from the pm saying if they did not pay rent, their car would be towed, we would freeze their accounts, garnish their pay checks, and have the police remove them from the property by force if rent was not paid by 8am the following day did the trick. They paid rent at 8:59am the follow day... problems solved. they did not fear late fees, they feared our collection process. Could we tow their car, no, but we could do everything else, having the power to legally tow it would provide  heavy incentive for them to pay on time as we would not be bluffing, and because the towing is immediate, not a month from now when court arrives.