All Forum Posts by: Thomas S.

I don't think you got the message if you are even considering renewing their lease. My guess is you have not done any inspections of the property since they moved in. When you do finally get around to it, possibly when they move out, you are likely going to discover the entire place is a pig sty. If they are not taking care of the outside they are likely lazy slobs. You had better give a 24 hr notice for inspection.

Best lease language to protect landlords in all possible situations is M2M.

I assume you do not know your codes so now would be a good time to learn them. It's your business, do as you please based on your understanding of your state landlord tenant codes. There is no reason to tippy toe around tenants and appease or suck up to them. Being on M2M you may do as you please in having what you choose in your new lease (also M2M). Don't beg it's very unprofesional.

Use the fact that rent is never on time to force them out. The day after rent is due issue the pay or quit notice, apply late fees as permitted. Once you have a number of late payments and pay or quit notices you then refuse to accept rent and apply to evict. Alternately you simply wait till the lease is up and do not renew. In the interim send the required 24 hr notices and enter to cut the grass yourself and spray for weeds. First make sure you have studied and fully understand your state landlord tenant codes. Never take your realtors advice again. You may wish to distance yourself from this "friend" in the future after having them take advantage of you in placing these tenants. They clearly are not your "friend".

Rental income total of $15500/ month = $186000/year assuming the $15500 is your positive cash flow (probably not). Selling and investing the $2.8M in a income fund would generate about 10% return on average or $280000/year. For the additional 100K per year in income I would not bother owning real estate. You are obviously a ultra conservative individual and for that reason will not be able to maximise your returns. Most investors could easily double or triple your returns however you are not that person. If what you are doing makes you feel good, for now, it does not matter what others may think. For individuals like yourself it is not about making money it is all about physiological security as you have clearly expressed. Owning paid off real estate is like stuffing your money in a mattress. It's all about having the money not about using it.

Longer term lease for lower rent is illogical. The term of a lease has nothing to do with how long a tenant stays. Of course they will opt for the longer lease, take advantage of the reduced rent and still leave when ever they choose. Whether you use M2M or 2 year term your tenants will stay for exactly the same length of time. Life, not leases, determine when tenants move.

You had no legal justification to withhold rent. When you get to court you will find out the answer to your question not from us on here. The fact that your landlord is now refusing to accept your rent is obvious that he is intent on evicting. Withholding rent is a guaranteed loser for a tenant. When you did that you started the ball rolling.

Fix your credit before you consider investing. Take the time to educate yourself on investing, finance's and real estate while you are working on it. Plenty to learn and it takes time. Once you get your credit back up to high 700s you will be ready to begin.

No point in starting at a disadvantage.     

It time for you to do a inspection so might as well give notice, have locksmith change lock and charge her for it as you suggest. Since she is so closo the end of her lease just deduct the cost from her depot. As long as she is refusing to allow you to get a copy of the key you have the right to change the locks. Provided she is given copy.

Probably should have done it as soon as you found out you did not have a key.

The availability to get 100% financing for someone that makes bad choices is like offering a drink to a alcoholic. Fix your credit and change your bad habbits before you take on another dime of debt. Stop using any form of credit until you learn how to manage it properly. When you get your credit score back up close to 800 you can think about moving forward.