All Forum Posts by: Nathan Gesner

It is a mess and you are partly to blame because you are ignoring all these red flags.

Write her a notice that says the home is uninhabitable due to the water leaks and you are terminating her rental agreement, period. No fancy excuses, don't write a long letter. Just send the letter, terminate, and move on.

First, you can't terminate the lease until the natural expiration date or until all parties agree.

Other than that, I would just write a simple letter explaining your intent.

I don't allow subleases because I don't want Tenant A in charge of Tenant B. There's too many potential problems. For example, Tenant B doesn't pay their share of rent, so Tenant A pays the entire amount to avoid late fees or an eviction. now Tenant B is forced to go after Tenant B and you may not find out until months later.

Yes, but only if they paid for it. Increase the rent $50 per dog and $100 a month for the chickens then sit back and laugh all the way to the bank.

@Leo Gomez you should have a solid foundation first, then start investing and continue to shore up your foundation.

It doesn't mean you need a huge nest egg, a 401k, or anything spectacular. It means you should get rid of all debt, have a fund set aside to handle emergencies, and have a fund available for investments and investment emergencies that pop up shortly after investing. 

For example, I just bought six units in June. Within one month, three of the units turned over so I lost some money. I also had to replace a large water heater for over $1,000. If I had spent every dime on the purchase, I would have been scrambling with these unforeseen expenses. Because I have no debt (except my mortgages) and I have a reserve fund, I'm able to weather these storms.

They've lived there for two years without the additional insulation. I doubt they would move if you deny the request and I doubt $225 of insulation will make a significant difference in their utility expenses.

I agree that your inspectors should be held accountable.

I would talk to the tenant first before offering any compensation. You may get lucky and find they are willing to sleep on a friend's couch or let you work around them. If not, then you can offer some money to compensate them for the trouble or put them up in a hotel.

You should hire a property manager because you're treading in dangerous territory. 

If your property rents for $1,000 a month and the property manager charges 10%, that would cost you $1,200 to hire them for a year.

On the other hand, a rookie mistake like you just made could easily cost you several thousand dollars.

You can start by going to www.narpm.org and search their directory of managers. These are professionals with additional training and a stricter code of ethics. It's no guarantee but it's a good place to start.

1. Ask how many units they manage and how much experience they have. If it's a larger organization, feel free to inquire about their different staff qualifications.

2. Review their management agreement. Make sure it explicitly explains the process for termination if you are unhappy with their services, but especially if they violate the terms of your agreement.

3. Understand the fees involved and calculate the total cost for an entire year of management so you can compare the different managers. It may sound nice to pay a 5% management fee but the extra fees can add up to be more than the other company that charges 10% with no add-on fees. Fees should be clearly stated, easy to understand, and justifiable. If you ask the manager to justify a fee and he starts hemming and hawing, move on or require them to remove the fee. Don't be afraid to negotiate!

4. Review their lease agreement and addendums. Think of all the things that could go wrong and see if the lease addresses them: unauthorized pets or tenants, early termination, security deposit, lease violations, late rent, eviction, lawn maintenance, parking, etc.

5. Don't just read the lease! Ask the manager to explain their process for dealing with maintenance or problem tenants. If they are professional, they can explain this quickly and easily. If they are VERY professional, they will have their processes in writing as verification that it is enforced equally and fairly by their entire staff.

6. Ask to speak with some of their current owners and current/former tenants. You can also check their reviews online at Google, Facebook, or Yelp. Just remember: most negative reviews are written by problematic tenants. The fact they are complaining online might be an indication the property manager dealt with them properly so be sure to ask the manager for their side of the story.

I hope this basic guide helps. If you have specific questions about property management, I'll be happy to help!

It's common for people to withhold funds and hope you'll never sue. If she missed the deadline, you may get an automatic win and a significant pay-off. I'd stick with small claims and see what you can get.

@Ariel Rodriguez you'll have to do the research yourself because it varies widely. I know some managers hire an attorney to handle all eviction actions. Some handle the eviction but charge you for their time. Others include it in their management fee.