All Forum Posts by: Michelle Lyons

Does anyone know how to listen to BP podcasts on Amazon Echo? Thanks Michelle

I use the official association of realtors lease "GAR" Georgia Association of Relators and then add a bunch of special stips. I like to use this lease to: 1) Reaffirm with tenants I don't make stuff up and my lease is what is generally best practice / is legit 2) that my lease is written in accordance to state law and easily enforceable in court. (A subtle hint) 3) do add additional stips as needed. I have a whole page that I attach. Totalrealestatesolutions.com has a slew of "Forms" that I also find useful. I create a notebook with the lease, their rental app, drivers license, credit report, smoke detector, lead based paint, move in report... in it....

Hey Nick I also invest in Atlanta, in Decatur (30032, 30035 30034 and 30083) with homes and tenants similar to yours. I didn't read through all the posts so it might have been already mentioned. I used to not rent to folks with dogs but have since found that if your home is very dog friendly, dog owners may stay longer. A nice fenced backyard with direct access to the yard from the home can be a dog owners' dream! Also I saw someone say that the dog may have some pitt bull in them. If so, these folks have a harder time finding a home and my experience stay longer. In addition to meeting the dog... I would make sure their insurance policy and yours covers liability from dogs without any breed restrictions as some do. Have them sign a longer lease (all my leases even without pets are 2 year minimums ending February), additional deposit and rent which you're doing and is great. I wouldn't worry about the hardwoods. Include regular inspection check ins. Congrats on your first! Would love to connect with you sometime offline to network. I'll PM you. Michelle

I have a different philosophy that folks may feel is naive  but has worked for me the past 10 years.

I see dispo filing as a means of training and the legal avenue for being able to work with someone on a payment plan and protect your ability to evict and also the first step in evicting which I've never had to do. 

I have filed dispo on folks several times, even gone to court and done mediation to help get someone caught up... and have never had to evict anyone in over 10 years and the minimum time anyone has stayed with me has been 2.5 years and most my families are average 4+ years. 

Even with the best screening good people fall on hard times and will struggle and want to do right but can't, but if you work with them they can end up being even longer term tenants. For example the tenant I've done mediation with is still with me 3 years later, a total of just over 5. This influences my philosophy. 

I think of real estate investing as a long journey and sometimes you have to peddle hard to get up a hill but once you do you're able to coast awhile. (tenants, repairs, finding the right deal...)

The advice I was seeking was about whether I need to wait to give notice to pay or quit since I took money from them a week ago for the balance of June rent. I want them on "notice" for July. I see little problem of providing "notice" that converts to a future filing the day I so choose...

Thanks everyone for your feedback and advice!

Before interviewing supposed current LL/owner look up the property tax records  to see when they purchased, how much they paid, what property taxes are and on google what house looks like. When I call I ask them questions to confirm they are indeed the owner. 

Even better I ask prospective tenants to show documentation of paying rent on time via bill pay history or cancelled checks... It seems like a lot to ask in addition to the things I suggested on earlier post and not everyone can do it, but if you select one who does you're more likely to have a good tenant  

Also Google prospective tenants' phone number and email. Search for them on Facebook. 

One more idea. I do things backwards from most folks and don't take an application from anyone until they've passed screening ideas from earlier posts, been invited to view my home at an open house, and then I choose who I invite to apply. I am not potentially discriminating if someone has not applied or paid money... with all the prospects I talk to wouldn't it be easy to simply forget to follow up with someone or have misplaced my notes, that's not discriminating.

An application is the last thing I do.  It's function for me is to get in writing what they've already told me, be authorized to do a background check.  Be clear upfront that you are smart and thorough with your background check so no need to waste their time and money lying. It will naturally weed some folks out. 

Of course there are no guarantees you'll have a great tenant but I've found these ideas improve the odds. 

Thanks! I've checked the Georgia tenant law handbook but it only mentions how you cannot receive money after notifying tenants without having to start the clock over, which I knew. 

But laws seem so uber tenant skewed these days that I wouldn't be surprised if there were some policy that you can't receive partial payment on a Tuesday and then file on Thursday, which btw I wouldn't do.  I just wasn't sure if I need to wait.

I want to give them more time to possibly pay, but already be in the position to file without further delay if I need to. 

Thanks for your advice!

You'll have to do a Schedule E The attached should you give you an idea of the categories. https://www.irs.gov/pub/irs-pdf/f1040se.pdf Also don't forget depreciation of building value.

Let me preface this lengthy post (I'm new here, is there a limit on length :-) by saying I am not desperate to find tenants. I like to spend time to find quality tenants that I can build a long term partnership with. My families stay with me for a long time because I do the diligence up front to ensure the home is truly a good fit for them, lifestyle wise, financially and responsibility wise. Also my minimum Lease is 2 years, but they typically stay longer. Also, my guidelines may potentially disqualify someone who might have been okay, but it mostly saves me time in ruling out folks that aren't a good fit and I'm okay with this. First of all I like to do a lot of asking questions on the phone to select who I want to invite to see my home on an open house from 2-4 on a Sunday. I have everyone come during this time and wait their turn. It's more efficient and also helps create buzz. No, specific appointments as inevitably folks don't show up when they say they will.. I start by asking very open ended, so what's your story? Tell me about your family, work, income, rental history and zodiac sign. The zodiac sign comment I make a joke about, to lighten things. It's amazing what they tell you or won't. If they push back I just say hey I'm trying to do some of the pre qualification process up front, no need to take time, gas and money to meet and then ask you questions that are free to ask on the phone and then find out it won't work. I also tell them I don't want to waste their money on an application to learn something I could ask for free. Remind them that you do a thorough background check including criminal and eviction so save their money and everyone's time and tell you upfront what you'll find. They may accidentally hang up on you. Also ask them if they've looked at any houses. If yes, have they applied anywhere. What happened? They may tell you they weren't approved because of xyz and now you just let someone else screen them for you. Also I like it when people have seen a few houses so that they know my house is truly the right one for them. Beware if they haven't seen a single home or have seen too many. On a related note, I want people who have rented homes before and not just apartments. If they've never rented homes they need to understand you're not offering concierge type service that some apartments do. Also if yard is their responsibility ask them if they have lawn equipment. And of course the basics... How long have you lived at your current place (I'm only interested in someone who has stayed a minimum 2 years) Ask them why they are wanting to move? This can be telling. What do they like about where they live or don't like. Find out details about the home, bedrooms, baths, garage, basement... If I feel like moving to my house is a downgrade for them I'm not interested as they I want them moving into my home to be a positive move, makes for a happier tenant. How much do their utilities run? Also ask about water. I want to know that they are fully accustomed to paying utilities that are comparable to what my house would be. Where do they work. (Home must be convenient geographically for them to be long term tenants) Ask them if they have ever had Disposessory recorded, and explain that does not mean that they were evicted but just paid late. Let them know you can look it up. They often don't know it involves a filing and will admit they paid late a few times. Also get more than one month security deposit and then offer them interest on their deposit, applicable only if they pay on time or aren't ever late (whatever you choose here) only payable at the end if they are eligible to receive their security deposit. I'm happy to pay a little extra for someone who did everything right. Hope this helps! Michelle

just wanted to clarify my comment about not filing Monday was this past Monday

I have tenants who are behind on rent for various reasons. Last Sunday I told them if they'd at least pay $500 that I would promise to not file Disposessory on Monday and they did pay. They are still behind a month and change.

It's become blatantly clear now over the last couple of days that they are not getting out of their hole anytime soon ($1200 water bill they have not paid in 9 months and have been cut off...) and they will make rent the last priority.

I would like to file 3 day notice to pay or quit. I know you can't take money after you make notice, but is there a period of time before giving notice that I must wait. Tenant keeps saying I can't file because they gave me money last Sunday. I didn't think it worked in reverse but thought I'd confirm with experts. I said I wouldn't file this week.

Also the reality is the notice to pay move is to reel them back in because they have gotten out of control on rent and other behavior. I know the costs of securing new tenants... and that one month is not a big deal but I either need to train them or get them out. 

Thanks in advance for your advice and expertise.

Michelle