All Forum Posts by: Randy E.

I probably wouldn't rent to them, because I can't verify they make enough to meet my income threshold and the father won't be a full-cosigner.  

However, I like Marcia's idea of an increased security deposit to mitigate any money problems.  Just remember, you'll have to stay on top of the situation.  If they ever fall behind on the rent, initiate eviction proceedings promptly.  If you wait because you feel the extra security deposit will cover the late rent, you'll take a chance on losing money to property damage.

Also, don't forget to collect extra security deposit for the pets.  Two pets can cause a lot of damage when left alone for most of the day.  And it sounds like with the jobs and classes that the pets will be left alone for most of the day.

Good luck.

 Also a possibility.

I agree with those who have said the "deals" are everywhere.  

My first property was a house listed on MLS that I found on Realtor.com. My second was sold by the owner with no agents involved and no listing. My third was a tax foreclosure.

I don't ignore MLS/Realtor.com/CL/etc listings. I search any and every way I can think of. And I'm always adding new avenues to search by. In the end, I don't care how I discover a deal, I just want the deal.

True Story: A few weeks ago, I tried to buy a major rehab project.  It would have been by far the biggest rehab I'd done, but it also promised great returns.  My numbers would be tight (because the total I could afford for buy+rehab was limited) but I could make everything work if I got the property at a price that worked for me.  I lost that auction to a wholesaler who was buying the house for an investor, who spent $10K more than I wanted to spend.  Just a few hours ago, the wholesaler emailed me (we exchanged contact info after the auction) and asked if I was still interested in that house because her buyer backed out on her.  Unfortunately, I just bought another house and don't think I have the capital needed to complete the rehab necessary on the house she wants to sale -- not at the price she wants.  Now, it's a fair price, but I'm tied up right now.  Point is, that was yet another avenue for a deal.

It's a shell game out here.  The good news for us is, the treasure doesn't lie under just one shell.  Treasures are under all shells.

@Stewart Morrison, it depends on the actual house and the price.  Just putting "ATTENTION INVESTORS" in a listing doesn't mean a lot to me.  Sometimes, that phrase is used when the price is way too high for anyone, investor or owner occupant.  Other times the phrase is used when the price is more appropriate for owner occupants than investors.  

When I've seen the phrase used for houses that are accurately priced to sell quickly to investors, the houses (at least in my area) are getting sold quicker and quicker.  A couple of years ago, accurately (according to me) priced homes would linger on those sites for weeks and months, and were perfect for an even lower offer.  Recently, accurately priced investor houses are placed under contract within a couple of weeks to a month -- at close to list price, or even higher.  

Is the phrase a fishing tool when used with an overpriced home?  I don't know.  Maybe.  When I see a house targeted to "INVESTORS" that is overpriced, I just assume the agent is an idiot and doesn't know how foolish he/she looks.

 I wouldn't say it's too much.  I usually have to put up $1,000

My banks won't "cash" or deposit a check that is post dated.  When I inadvertently give them such a check, the teller gives it back to me and points out the postdated date on the check.  I think that's a rule for all banks.  I would say it's the bank's fault and they should correct the charges.  The bank never should have deducted the money from the tenant's account in the first place.

These days, there are electronic copies of all checks online, so the bank should have no trouble verifying their mistake.

I vote for #2, and tell them if anything similar ever happens again, they will be evicted.  If they refuse to pay the bill to restore their handiwork to its original state, deduct it from their deposit and begin eviction proceedings.

I understand why young men might try something like that (hey, I was a young man once before,) but they have absolutely no excuse for doing it again after they were caught and warned.  To me, that screams an absurd level of immaturity and disrespect for rules.  I'd be very worried about what they might do next.  Or, what they've already done that you haven't yet discovered.

 Hi Charles.  I've learned through experience to never leave any tenant-paid utilities on in my name as of the move-in date.  There may be laws against turning off utilities after a tenant is residing in your unit.  I don't know if there's a law in your area that stipulates you keep the gas on for her (being that it's an extreme winter area,) but from now on, make sure all utilities are taken off your name before tenants move in.  

If a tenant can't afford to have utility service in their own name, I feel they can't afford to rent my properties.

Good luck with this.

 Sometimes, when investing with an acquaintance you have to be just as thorough as with a complete stranger.  Business is business, and your hard earned money deserves more than to be handed over without any checks and balances.

Make the call today.  Ask the questions.  Get some answers.  I didn't realize you had already invested some money with this guy.  What exactly has happened so far?

 Understood.  Well, I hope things work out to your satisfaction.