All Forum Posts by: Michael Peters

Skip them if they can be avoided.  Utility savings is nice but odds are tenants are already paying for it.  I only have one and finding a qualified plumber that regularly works on these can be difficult and costly.  If you have hard water you would also want to have this hooked up to a water softener.  It has a lot more moving parts and won't stand the test of time as well as a standard 40 gallon which has the space to deal with the sediment build up.

Evict.  Seems pointless but if they were to get out and sue you would have zero legs to stand on.  

Agree with above.  Pay it this time and include it in your lease going forward.

We never seem to get any real interest until your 95% completed.  You'll get some people who want showings but odds are no one is going to sign the lease.  @Stephen J Davis is right.  Most renters don't have the imagination to take it seriously mid-construction.  I would post the property and schedule showings for when the property is nearing completion.  No use wasting your time up until that point.

Adding a tenant isn't a big deal but it would count as an amendment and you could raise rents.  Its great to be able that your'e willing to be flexible but extra person is added wear on the property.  Make sure to properly vet the prospective tenant to ensure you would rent to them under normal circumstances.  If they all check out you can either tell them the dollar increase or start by ask the current tenant what they believe would be a reasonable rent increase to allow the additional tenant.  Letting them go first will give you some leverage in the negotiation.  Just depends on your management style.

I would keep shopping and look for around $300.  I've had luck posting what I want done on Thumbtack with a dollar limit.  I'm sure someone will pick it up between bigger jobs since this is an easy install.

Agree with @Charles Cooper here.  Issues with inherited tenants is part of the game.  Have them pay the additional amount or remove the additional tenants.  Its not worth the headache or additional wear on the property.  If its only 1-2 people you might want to have a conversation before just sending them a letter increasing the rent.  Maybe your both happy with a 5% increase per tenant.

I would also have the current owner/manager send out something as well stating you will be taking over on X/X/XX.  Don't forget to ensure you get all relevant records at close.  Pictures, condition catalog, tenant statements, repair notes, leases, and any relevant communication.  This can be the difference from being able to hold an inherited tenant to damages verses covering everything yourself.  Finally ensure the deposits are also placed in escrow per @Mindy Jensen suggestion and have those transferred at close as well.  

Never counter sign a lease agreement or stop looking for a tenant until the deposit is in your hands.  It only leads to putting someone less then ideal at the last minute or extra vacancy.  Sounds like you dodged a bullet if the tenant is already threatening to move on.

@Willie Cedillo it sounds like the perceived guilt of holding onto the deposit is what's getting to you here and not the indecision of if the tenants were negligent.  You just stated for the 2nd or 3rd time now that their negligence caused the excessive damage to the floor.  Would a normal person have seen the dishwasher leaking onto the floor each time the appliance was ran as an issue?  I think any reasonable person or judge would say yes.  The tenants are responsible for reporting issues to you so you have an opportunity to take care of the problem, improve their living situation, and protect your investment.  If they failed to do that they should burden the financial responsibility.

If your still struggling eat the additional cleaning costs this time, charge the flooring damage, and then improve your processes and upfront tenant expectations so this is a clear what does my lease/procedures say.