All Forum Posts by: Jennifer T.

Communication and Not Listening to My Needs.

One of my worst experiences ever with a "professional", RE or otherwise, was a REA in FL. It was right after Katrina and I landed in Miami after I evacuated NOLA. I needed a short-term, preferably furnished rental, while I figured out what to do. At that point, I didn't even know what had happened to my residence.

I answered a CL ad put up by an REA that SPECIFICALLY advertised short-term rentals. All he wanted to do in every conversation we had was sell me a condo in one of the "new developments" that...ooohhh such a deal....he could get me below offering prices on because of his contacts.

No part of "I've just experienced a tragedy", "I literally don't even know what I own at the moment", and "I doubt I will live in Miami longer than a few months" would derail that "buy a condo" train. I felt like I was in some surreal, alternate universe.

Once I finally got it through his thick skull I wasn't going to buy a condo ever, he completely lost interest and told me he had a lot of short-term rental options and would e-mail them to me. After calling the next day when I didn't receive an e-mail, it was a curt and rude, "I couldn't find anything."

Then found out a coworker's g/f had a RE license in FL, though she was no longer living in FL. From Kansas, she found me three great places in about 30 minutes and set up a showing with the owner for my fav one the next day. It was great, I signed my month-to-month lease, and BAM the Kansas gal probably got a nice fat commission for MAYBE an hour of her time from home.

When I bought my current house, my REA was fantastic. But the selling agent was a nightmare. Kind of like what others are talking about. Wouldn't call back my agent. Drug her feet to do anything. In fact, my closing was pushed out ten days because her client (a bank, it was a foreclosure) was required to un-winterize the house, per our contract.

When they finally un-winterized the house, just a few days before the original closing date, after my agent hounded her to hound them for a month...something went wrong and half the pipes had to be replaced. Fortunately the bank just fixed them without making a squeak about it.

I have always allowed pets in my rental with no restriction on size. The only thing I restrict is no puppies and no breeds not allowed by my insurance. I've found my flexibility on dogs has put me in a niche in my market. I seem to always attract a large, qualified pool of tenants.

All the tenants I have had, had medium to large breed dogs and they have all told me how grateful they were to find a place that allowed their pet(s). It definitely helps that my rental has no carpets and there is a large, fully fenced in backyard.

I have only ever had damage once from a tenant's dog. Her dog scratched some doors and chewed some door trim. However, my tenant fixed the damage herself right before she moved out. I didn't even have to subtract anything from her security deposit because she did a great job fixing it.

I have one rental (other side of my duplex) and do allow animals. So far, all the tenants I have had also had at least one dog. Though no cats, so far.

I have no restrictions on the dogs I allow other than no puppies or breeds restricted by my insurance. The insurance part probably doesn't matter for my tenant's animals, but it doesn't hurt to be more cautious.

I've found allowing dogs, even large breed dogs, gives me a real niche in the market. I really get my pick of tenants anytime I have it up for rent. I don't charge an extra pet deposit or an extra rent amount for pets...but it helps justify my charging on the slightly higher side of the rent spectrum.

With all that said, my place is set up well for dog owners. There are no carpets and the backyard is large and fully fenced in.

I've only had damage once from a tenant's dog and, not only was it very minor, but the tenant fixed the damage before she moved out. Her dog had scrached up the front and back door and also chewed some of the trim on the front door and bathroom door. But, like I said, the tenant fixed those issues right before she moved out (did a great job!) and I returned her full security deposit.

Just want to say hi and welcome to the BP forum. Although I currently live in NOLA, I grew up in San Clemente and go back home to see family and friends about once a year. I also lived in North San Diego county when I went to school at CSU San Marcos.

Fun for me to see on this post where some of the OC investors are from!

Good luck with your searches.

Hi Ryan--

I own a duplex. Live on one side and rent out the other. It was actually my first home purchase and is currently the only property I own but, since it has been a phenomenal experience, am looking into (hopefully) buying a 4-plex within the next year or two. I will give this as a big caveat, my experience so far has been smooth with few problems, so I'm pretty rosy about the whole house hacking experience. But I know there are always nightmares that can happen.

I bought the house as a foreclosure for $81K 3 1/2 years ago, with 20% down. It needed a lot of work before I could even move in or rent it out! I conservatively estimated the "must do now" renovations and came in way under budget (phew!). That initial rehab expense was about $5K. Over the last three years, I've put about $25K into the property with another $6500 planned.

I initially rented out the other side four months after I purchased it for $850/month. My mortgage/ins./taxes was $600/month. My biggest, biggest regret in the beginning was hoping my husband could do the work to lay down the new laminate flooring on the rental side in order to "save" $500. So...yes...I missed out on $3400 in rent to "save" $500. Pretty dumb!

With the other improvements I've done over the few years plus rental rates have continually been going up in my area, I now rent the other side out for $1200/month and have the same $600/month mort./ins./taxes payment.

I do feel that I have been very, very lucky with my tenants. Of course, some of that has been making good choices, but I think more of it is luck. In fact, in the future, I plan to be more stringent and selective so that "luck" is less of a factor. I do live in a landlord friendly state, which is why I have been more lackadasical than I probably should have but, so far, it has mostly worked out.

The only negative experience I had was about 2 years ago when I signed a lease with a couple who changed their mind and didn't want to move-in...which was only 10 days after they had seen the place and signed the lease.

Long story short, they took me to small claims course to get their security deposit back...plus a plethora of made up costs. For example, their security deposit was only $950...but the small claims max. in our state is $5000. And they sued me for $4960. I kid you not. I think they were just scammers all along but, whatever.

It was emotionally upsetting and I know I will need to have a thicker skin going forward because, the more rentals I own, the more likely I will be to end up court with unethical, horrible people. Plus it was a bit of a hassle to go to court, but not a big deal in the grand scheme of things.

Quite frankly, there were red flags when they did the walk through and filled out the applications. Huge ones that I am now pretty embarrassed (but I will below) to admit, lol. I would never have signed a lease with them if I had done better due diligence...but it was a good learning experience that fortunately wasn't very catastrophic and now I just THANK my lucky stars that they never moved in.

I wish I had been a member of BP back then, let me tell you! I would have learned from others' mistakes. Red flags:

--They told me a lot about the problems they had with the current place they were renting. Including that their current LL probably wouldn't return my call because he was "absentee".

Waited two days for that LL's return phone call and signed a lease with them without it. Yes, incredibly dumb. I should have waited a third day. He called me back then and said, "I've been a landlord for over 10 years and these are the WORST tenants I have ever had. They pay their rent on time, but constantly complain."

--Male rentee had an aggressive, pushy attitude, even when things were going pleasantly.

--They emphasized they HAD to move-in on the 1st because their current LL wasn't going to give them any leeway, even though he wasn't planning to rent the apt. back out (Superbowl was coming up in our city and he was waiting for that). Problem was, my current tenants wouldn't be out until the 30th, so it gave me no time to prep the place...which they knew and we had discussed before they signed the lease.

--This happened after the lease was signed, so I couldn't have really known ahead of time, but then they were texting/phone call maniacs. CONSTANTLY texting and calling me to ask the same questions I had already answered many times.

--After the security deposit return request ugliness happened, there were tons of texts and e-mails. I initially replied to a few to try and work things out, outside of court, but when that didn't work, I thought I was going to need to get a restraining order. Fortunately, when I told them all further communication needed to be only through the courts, they did comply.

I hope my long post helped! I'm a talker :). But that is the almost all good, a little bad, and a little ugly experiences that I have had.

@Jared...I just wanted to caution about Quicken Loans and HELOCS. I tried them for my HELOC about 2-3 years ago...and specifically chose that I was only interested in a HELOC.

I got a TON of telemarketing calls from companies they sold my info to and NONE of them did HELOCs, only refis and/or original loans. Needless to say, it was highly annoying and aggravating.

Of course, the OP might have better luck than I did. But that is one of the dangers of giving contact information to websites who just mine it out to others.

I own a duplex (live on one side) and recently got a HELOC from Whitney Bank. Not sure if they are in FL.

There were no questions or problems about it also being a rental property, and they were fully aware it was. I actually found the process much smoother and faster than I was expecting. They even paid the $500 appraisal fee.

It's a little different for me because I own and live in a duplex. So my tenants are also my neighbors that I share an interior wall, porch, and backyard with.

But, yeah! I've received from and given gifts to my tenants. In fact, the man of the first couple I rented to was a chef. He often brought us over yummy goodies from the kitchen.

I also got married while my second set of tenants were in the unit. My husband and I returned from our honeymoon and they had left a wine basket in our living room (they had a key to bring in our mail) for a wedding present.

Because of the arrangement, I am probably more friendly with my tenants than most BPers would recommend. But, so far (crossing fingers), it hasn't been an issue. And it makes it a more pleasant place to live for everyone when we can all hang out in the backyard with some beer and BBQ.

Here are the improvements I've made over the last three years as compared to the increased rent, with one caveat. Rental prices in my area have jumped up in the time I have owned my duplex, so all of my increases have some of that included:

--Originally rented out my 2/1 side 3 1/2 years ago for $850/mo.

--Tenants moved out after 13 months because they bought a house, rented it out to new tenants two weeks later at $950/mo. Didn't really do any improvements between the two, but rents in my area went up.

--While those tenants lived there, I replaced the siding, exterior insulation, and windows for that side. Although huge improvements, I don't think any of those items command a rent increase. It was more badly needed and overdue maintenance. But certainly perks I mention to set me apart going forward now.

I realize to most of you exterior insulation as a "perk" sounds crazy, but NOLA is filled with 100-150 year old houses (mine is over 100 years old) and most of them do not have this...or the double paned windows I put in.

I also added a large storage shed in the backyard for my tenant's use. That was $500 plus a chunk of my husband's time.

--Added a fire pit in the backyard. That was for me. I live on the other side of the duplex, but my tenants and I share the backyard.

--After those tenants moved out, coincidentally also at 13 months and they also bought a house, I took 7 weeks to:

--put in new kitchen cabinets and countertops $3,000. The old cabinets were in terrible shape and the old laminate countertop had a huge cut in it I'm assuming from when it was installed. Up to this point, I had been "discounting" my rent (in my own mind) based on comparables because of the kitchen condition. Countertop is porcelain tile. Also added a backsplash that shines and looks like copper, but is actually plastic. Cool stuff.

--Added a dishwasher for $350, while I was totally replacing the cabinets anyway. I know a lot of BPers say not to put in dishwashers...and that certainly makes sense for lower end and even mid places. For my market, B property middish end, dishwashers are not necessary, but set my rental apart for a fairly low cost.

--New medicene cabinet $100. A super cute big one to replace a smaller than normal old one that no longer closed.

--Repainted and put in new shower surround with new faucets.

--Put in two ceiling fans $120 total. Very popular and typical to see here in the South. I don't think it adds to the rent, but makes the place more attractive.

I now rent the other side for $1200/month.

So, bottom line, after:

--kitchen reno $3000 (outside labor/materials)

--Ceiling fans $120 (materials)
--New interior paint $400 (materials)
--Storage shed $500 (materials)
--Dishwasher $350 (materials)
--Medicene cabinet $100 (materials)

I now rent my unit out for $350/month more than I did 3 years ago. Again, some of that is also due to increased rental rates in my area. I'd guess that portion would be $150-$200/month...about half and half.

I'll also be the first to admit some of the improvements are small costs that don't necessarily equal more rent...but make the unit more attractive to renters and sets it apart.

Hmmm...so here is a possible flip side to the question. If I were a potential renter, I would view it as a red flag if my LL showed up driving a car in terrible condition. Not necessarily old or a work truck. But things like rusted out areas, loud noises and/or missing a bumper/needing major body work for a car.

I'd be asking the question to myself, "Whoa! If their car is in such bad shape, maybe they don't have the money and/or inclination to take care of the property if a problem arises."

I'm a little ashamed to admit this because I know it shouldn't matter, but it would also leave a little bit of a bad impression on me if my LL drove up in a really fancy car. But I'm talking more on the extreme end...like $80K plus. Especially if it was a new, bright yellow or red high end sports car. I really side eye those anyway, lol.

And it wouldn't stop me from renting the right place and certainly wouldn't affect my paying the full rent on time.

But, to answer your question, I drive a 2010 convertible MINI Cooper. My only car.