All Forum Posts by: George Paiva

I do the same. I have accounts at Sherwin Williams and Painters supply. They have much better quality paints than the HD or Lowes. I use the same colors everytime Dover White or Antique White. I am setup with a PRO cash account which saves me a few bucks.

But the time saved is what helps the most. I only need to do one coat. I once was in a pinch to get paint and was already at HD. Had to paint it 2x to get decent coverage.

Not sure about Michigan but in CT.

If property is in LLC then you need attorney to handle the eviction.

You can't do anything till the property has been acquired from you.

If the tenant likes the place then just satisfy him for now by fixing a few things to get him happy enough to pay rent. At least gives you a little time to figure out next steps. Have him fill out an application and do all necessary background checks as you would any tenant. If he does not meet your criteria try to get him to agree to a month to month.

Oh and BTW why would you think he would stay in coorespondance with you if you do not own the property??? You maybe jumping the gun here.

I am following this thread as I would like to know as well.

I have People's United Bank which is regional to the northeast here. But they don't have the expertise or products that cater to landlording. Just to get ACH functions they want $25 a month for the module. To do the security deposits its basically an escrow account where you are the agent. They looked at me like I had a third eye when I inquired about how they could handle this for me.

Although the reason I went with Peoples is that they had the best rate, terms and conditions for my commercial loan.

I bank personally with eTrade and I can do so much more right from my armchair and for free!

On the 11th Day I go to the courthouse and request a "Notice To Quit" Form. I have it all filed out and present it to the marshall to service it. Usually gives the tenant till the 15th to volunteer to vacate. If not I am basically the next day in the courthouse getting the paperwork ready for Summary Process for eviction. This will vary in your state and again if its your first time and you have to evict please do so with the help of a Lawyer.

By Day 10 they get this:

As you know, your account is now in “Eviction Status”. It’s possible that you may not know about or understand the ramifications of what it means to be the subject of an eviction proceeding. Below is a list of easy to understand consequences a person will face as a result of a legal eviction:

1. Eviction Court. This can be a humiliating experience and also matter of permanent public record.
2. Dispossession. You will be forcibly removed from the premises. This can be a humiliating experience and also matter of permanent public record.
3. Judgment (s). Your credit rating will be severely damaged. This may also result in

• A collection process until your debt is paid in full
• Possible seizure of assets you may own, including bank accounts
• Garnishment of wages
• Notification of credit bureaus causing inability to qualify for lines of credit, including credit cards, car loans and mortgages.
• Notification of National Tenant Reporting Services causing inability to qualify for rental housing (Most quality rentals require credit & tenant screening)

We understand that you are having difficulties paying your rent or complying with your lease agreement. We sincerely hope you will be able to resolve any problems you are currently experiencing and bring your account out of eviction status.
Thank you for you cooperation in this matter.

By day 7 they get something like this:

Your rent in the amount of $_____________
Plus a late charge of $_____________ Initial late charge as of the 5th day after due date
Plus dailies: $_____________ As of _______________ (__day(s) @ $20. Per day)

Total Due As of Today: $___________
Please add any additional late fees as applicable if paid after this date.

This Notice is a demand for payment.
Attorney’s fees will soon be added on if you do not comply with the demand(s) herein.

Your rent payment has not been received, nor have we received a call from you. Is there a problem paying the rent on time, or has it been lost? Please contact us. All accounts late beyond the seventh day after due date are in pending eviction status.

You are hereby notified that you are indebted to _____________________ in the sum of $__________ dollars for the rent and use of the premises :___________________________________________, now occupied by you and that demand is made for payment of the rent / added rent or possession of the premises within _______ days (excluding Saturday, Sunday and legal holidays) from the date of delivery of this notice, to wit: on or before the _____ day ______________, 20____.

Remember, daily late charges at $20.00 a day (as in your lease, after the 7th ) can add up. They are an incentive to pay your rent promptly. Please try to avoid them. If you have already sent your rent, but not your late charge, please forward it promptly TO AVOID ADDITIONAL CHARGES. Thank you.

Any questions, call your manager: ______________________ Ph.#: ________________

Usually by the 3rd day of the month a late tenant gets something like this:

It’s possible you may have overlooked something. Your ____________________rent payment was

For ______________________ has not been received. A late charge of $________________ is now due with your payment. According to your rental agreement, an additional daily late charge of $________________ is also due for each day beyond the ________.

Remember, daily late charges can add up. They are an incentive to pay your rent promptly. Please try to avoid them. If you have already sent your rent, but not your late charge, please forward it promptly to avoid additional charges to your account.

Please remit this amount as soon as possible in order to bring your account current and keep your lease in full force. Enclosed is a pre-addressed envelope for your convenience.

Please make all payments payable to: ____________________________________

If this matter has been tended to, please disregard this notice and consider it a thank you for your kind
cooperation.

Well you can't create your own eviction template because its illegal to evict by self help. Please read up on your States laws to follow the correct process. I suggest using a lawyer if this is your first time.

Now your first step before eviction has to be a written notice indicating tenant has past due rent and may be evicted if not paid up. Follow with a call or in person. Does the lease state any penalties for late rent?

If tenant doesn't want to pay then follow up with notice to vacate by a certain time or eviction proceedings will occur.

Now depending on what relationship you have with this tenant you may be able to see if they volunteer to vacate by sweeting the deal on your part. "Cash for Keys", paying the tenant to leave.

If you go down the eviction route please note that at minimum it will take 1 month to get them out or up to 3 months by the time you complete the eviction.

You really need to lawyer up if this is your first time. Please don't do anything foolish such as locking them out or turning off utilities. You will be arrested and put in jail ;(

Hope this helps a little. Post back on your progress.

That's what my Accountant tells me as well. My LLC is setup as Pass Thru to my taxes. Maybe the S-Corp or Corp setups can get away with this.

Also note that they say you can't have more than 3yrs losses in 5years or it would be a red flag to the IRS.

I would also add in addition to what was said above.

The Commercial Lender will also want a Personal Financial Statement from you showing all Assets and Liabilities. Generally they want credit score 740+ and Personal Guaranty. For the property they want it to be at minimum 1.2 DCR. It may vary for you but this was the case in Feb 2012 when I purchased my last property.