All Forum Posts by: Douglas Snook

are you buying with tenants in place or starting fresh after you close? I am going to go with starting fresh after you close. Besure to get social security numbers and exact names. Also you need to send them the interest at the one year anniversary or take it off the rent for that month. You need to tell them within 30 days what bank it is at and what the account number is. When they leave you have to send a letter under the pains and penalties of perjury within 30 days listing the damages, if any and how much you are keeping.

That's just some of the basics. Many landlords no longer bother with a security deposit and ANY violation is triple damages

Sorry to be late to the party but here is my two cents. You didn't mention if the units are individually metered. Are there four meters on the building - one for each unit and one for the common areas? If it is not individually metered you can't really charge it separately.

Now not to be mean or anything but why didn't you know about this prior to closing? Do they have a lease that spells out who pays what? And you can only break out the utilities IN WRITING.

Are these folks under any kind of written lease, even a month to month one? (All of which I presume you found out prior to closing)

I would have the electric checked out ASAP to confirm it is all separate. If it is not, you will have to pay the electric for now but I would look at separating them out in the future.

I would also get them under a lease even month to month if they are not.

And be careful how you raise the rent, be sure to give them proper notices.

Feel free to contact me if you have questions

60 days sounds reasonable but it is not clear what the title issue is. "leave the title in his will" makes no sense. If he is on title alone and there is a will then there is a probate case opened. If his will is not clear on who inherits the property (say it is not even mentioned) it will go to heirs at law which may be more people then was mentioned in his will. 

A license to sell will usually be required and should be requested. The money will then go out according to the will and probate laws and should not concern you further.

Of course since there is a title issue you should be able to back out of the deal if you want. If you really want the property then you may just have to wait it out

Double check the lease to see if there is a notice requirement or not. If not you must give them notice before the end of April. I would do it so after the first.

You can give them notice of non-renewal and offer a new tenancy/lease at a higher rate.

Since these are legacy tenants, what information do you have about them? You can tell them if they wish to stay they need to complete your application and qualify as any other applicant. Depending on your situation you may not want to get that fancy. But if you do not have any application from the prior owner you can request one in order to renew. Also now you can use your lease (if you want to lock them in for a year. Also you can request a security deposit and last months rent if you want and one wasn't carried over when you purchased. You can add things like no pets and non smoking if you wish too.

One more thing no one has touched on - Is it legal in your state? In MA you can not take rent in advance (say the whole year at once). The law is very specific about what you can take to start a tenancy - first last security and a key deposit

Could you take several post dated checks? A grey area. You may have to send notice of your intent to deposit each check as it becomes due.

Does it happen that a landlord takes a few months in advance, probably. I have one landlord that just told me the tenant is getting about $10k tax return back. tenant is three months behind so will catch up but claims can't handle money so wants to pay next seven months (rent is $900). Told my guy don't do it. What if tenant suddenly wants to move in a month or two? You can bet they will be looking for there money back!

Do NOT move the stuff your self! Self-help is not allowed in MA! You will be in big trouble and it will cost you plenty.

Do you have a lease or written monthly rental agreement? what does it say they are renting? Is anything mentioned about storage in the basement or any place else? If the lease just  says  for example the second floor then they are vilating the lease. You give them time to cure and if not then you need to move to evict for alease vilation.

Since you don;t care if they renew or not you might be better off just sending them the notice you are not going to renew now for the end of January (hopefully they are month to month) if they don't move then evict and deal with hem moving ALL their crap in the court case.

In the future be sure your lease specifically states there is NO storage other then in the unit etc.

@Account Closed

When you say a three day retreat what exactly do you mean? I attended a free two hour seminar and signed up for the weekend (three day) seminar. I think it was $199 and allowed two people to attend. Is that what you are talking about?

I would search this site for others previous comment. I think you may be able to search my name for my previous comments in this regard. 

I do not know what your level of experience or knowledge is in regard to real estate investing. As an attorney I thought the three day seminar was worth the money as a good over view. Of course they do push their much more expensive program (like $40, 000) but just keep saying no and they will eventually leave you alone.

The seminar is like being at a Tony Robbins event in that it is very up beat positive can do attitude.

Tax lien investing seminar would be OK if it is already included. It is can be very complicated and state spacific. They will pitch a program/seminar too but I would stay away from anything more then a free one for now until you have some more knowledge and skill.

You should be able to proceed with small claims even with her address in Vermont. Go to your local court and ask them about it. Also ask if there is a lawyer of the day for tenants (or any lawyer of the day that can help you) they may only be there certain days or times. They may or may not represent you but could at least explain the process to you and get you going in the right direction

Have you done an eviction in your state before? Not sure about IN but I would check with a local attorney. If he does not leave on his own, there could be a problem evicting him because he is disabled. 

In MA (super tenant friendly) if he does not leave and you start the court process, he can ask the judge for up to one year to stay before you can physically move him out (he would have to pay use and occupancy during that time, but still he is there)

Also check your notice statutes. if you give him notice today Dec 1 in MA he would have until the end of January to vacate. If you wanted him out at the end of Dec you have to give notice in Nov.

All that being said, if he stiffs you on a months rent because he needs it at the next place, so be it, take the loss and be glad he left. What are you ever going to get if he is on disability? He is pretty much judgment proof.

Just my two cents

@Sharad Vadher Be very careful about charging for water and sewer even in a single family in MA! I don't have the law handy but in general you need to have installed low flow toilets and water saving facuets. It has to be done by a license plumber and it has to be registered with the town. Of course the written rental agreement has to state they are paying for the water. I believe the town will bill the owner (you) and hold you responsible whether or not you collect it from the tenant.

Unfortunately do not think MA would allow you to place a cap on the water and sewer usage (but would have to double check)

Easier to have them pay for the heat (whether oil or gas) and electricity and trash pick up (if there is a separate city cahrge for that)

Had a client lease out a single family home with a lease she got from the internet that called for tenant to pay water and sewer. She collected it over a couple years. When the tenancy went south they got a high price law firm to take it pro bono and she ended up paying all the water and sewer money back because had not complied with the law (was lucky she didn't get hit with triple damages)