All Forum Posts by: Robert Melcher

There are two sides to the coin and you have to weight the risks of departure against benefits of staying current in the market. Where are local rents relative to yours for similar properties?

It will cost a tenant more than the $300 annual increase to move.

It is also appropriate to explain why the increase is necessary, taxes, maintenance, insurance, etc all increased.

In my opinion, brinkmanship over $300 is unlikely.  I have one last lease at sub-market rates and I can't wait until the term is up so I can adjust to market.  My taxes and insurance went up considerably on that property.

if she's month-month and you provided adequate notice,  it would seem you are OK. File for eviction for holdover, in Texas anyway, you just have to prove you met the requirements.  Don't ask for additional rent, just ask for possession.

Doesn't your PM handle these things for you?

Start the clock on the security deposit accounting from the day they do not take possession. You have 30 days to complete the accounting and provide a statement of charges.

Since they are not taking possession, immediately work on getting a new tenant. 

If a new tenant moves in before the end of July, prorate the daily rent to return only the portion where it is occupied by the new tenant.  If utilities and lawn care are included in their lease responsibilities, I would also charge them for these expenses up to the day it is rented.

Mail the accounting certified/return receipt by the 30th day to their last know address, and keep it in your files if it is returned.  You can mail a corrected version if the house remains vacant longer, or mail them the right one when the call.  They are responsible for these things until the house leases, but you have to work to get it leased.

while you are researching comps and position the property, check a couple other things:  have them get a prequalificatiom from whomever will fund it, and talk to your own banker for advice. My broker said less than 5% of these requests have the means to accomplish it.

@Nancy Curran Wow.  Is that first hand experience (the stealing) or is that just hearing about somebody's bad experience from their third cousin's girlfriend.

Any employee in our organization that steals is fired. Our rates are competitive and we don't get paid until the landlord gets paid, so our interests align. We're licensed real estate agents, Realtors, and members of NARPM.

In 12 years at this job we've had one (1) accusation of theft by a tenant on a vendor, and they found the item a week later in their own home.

For many landlords, a competent Property Manager is the ONLY way they can make investing work.

Our job is to ALLEVIATE stress, not create it.

As in the previous three "corrections" the best situation is to be prepared.

There will be some pretty big adjustments across the board in the next year or so, with the hot market and crazy appreciations in real estate driving homes out of reach for many buyers.

If you have properties at higher mortgage rates and significant appreciation, I would cash-out refi so I had a solid cash position when things start to bottom out. Then the bargain hunting begins in earnest!

Periodic inspection is less and just as effective.  I walk my exteriors during the mid-lease and move-out inspections, and the residents know they are not responsible for wood-destroying insects, so I encourage them to report anything that looks remotely like swarming termites or earth tubes on the foundation.

Annually with the rent market. 2 to 7% depending on the market and MLS data.

Mansoor, I have forwarded your note to JP Reese at ONEprop.