All Forum Posts by: Michael Olesky

@Karen Dayley This is an interesting question that I've been curious about as well.  I haven't had to deal with it yet though.  

I've seen the statement below in most of the local property management application packages addressing this issue.  You'll definitely want to look at your local laws and check with your local property management companies.

" Current occupancy standards are a maximum of 2 persons per bedroom, except for infants under 4 years of age. However, some city and county municipalities and/or homeowners associations prohibit more than two (2) unrelated adults or more than one family to reside in a single family dwelling unit."

@Karlyn Brasselmon  

http://www.ripoffreport.com/r/Peter-Vekselman/Cumming-Georgia-30041/Peter-Vekselman-CoachingbyPetercom-More-overselling-by-a-real-estate-guru-Cumming-Geor-436038

@Kelly Vassey   Yes, be worried!  And go see a real estate attorney with all your lease option paperwork ASAP!!

@Jacob Stark  - I'll echo what some others have said, paying a year upfront is a warning for me.  So still do your normal background/criminal/reference check and find out why they want to pay a year in advance.  

I'll also add that I've done this twice now, the first time was a retired couple who lost their house to forclosure.  They were upfront with me on all the details and offered to pay the year upfront because their credit was shot.  They checked out and I was comfortable with them so I rented to them and everything went well.

The second time I did this was for a young couple who moved down to florida from up north and were wanting to start a new life here.  The wife had a full time job and the husband worked part time and was starting a business.  So they offered to pay 4 months up front.  Everything else checked out and I rented to them and everything worked out fine.

Definitely check your landlord laws as here we have to either keep it in a non-interest bearing checking account or give the tenant a percentage of the interest if it is held in an interest bearing account.  

@Eric P.  - I think of this feeling as the uneasy feeling that comes with stepping out of your comfort zone and growing.  I've experienced it in the blink of an eye while surfing and I've experienced it over several month's/years as bigger decisions played out.  There were times when it was a warranted feeling after a mistake and sometimes it was just an uneasy feeling after a good decision.  Time will tell that part.  

For now, take comfort that you are making the best decisions for your family that you can at this point in time and get your emergency fund up to 6monts - 1year of living expenses.  With a solid emergency fund, you won't be stressed about making payments.  

Congrats to you and your family!

-Mike

@Justin C.

 Try rentometer.com, I've found it to be accurate in my area.

@Jake Milk.

 Had a friend telling me this same story yesterday for a condo down here on the beach.  The mortgage broker he is working with said if it didn't meet the owner occupied requirement, he would have to use a different loan product which had a higher down payment in his case.  

So I would suggest calling several mortgage brokers and see what additional loan options they can offer.

@Emily Allen  Whenever I replace something for a rental it is usually the second best item.  For instance, i wouldn't get the cheapest fan, but i would get the second cheapest one that looked good.  I look for the item that looks just good enough without costing much more.  You don't want to buy junk either.  Your tenants will probably not take care of your upgrades so don't spend more than you can afford to replace!

My bad, coffee is still kicking in!

@Gracw W.  I'll second what @Greg H. had to say and add that utilities can be tested without them being turned on.  A plumber can pressurize the system and tell you if it is holding pressure or loosing pressure due to a leak.  Electrical would be more difficult but same concept, circuits can be tested without power being on.