All Forum Posts by: Terri P.

Thank you everyone for your input! I got another bid for under 10k with a 3 year warranty on labor, 10 years on parts. I am replacing the entire system (Goodman 2-ton 13.4 SEER2 Gas/Electric). This doesn’t include any needed ductwork (TBD). I replaced the capacitor last year for almost $500 (because it only goes kaput during a heatwave and you need it asap). I don’t want to spend more money on a control board for something else to break during another heat wave. All of my renters are working professionals and I try to treat them (& my property) well. This is a small single family home and to answer someone, rent is $2300 and cashflow $500 (before this new HVAC system). 

Quote from @Patrick Drury:

@Terri P.
Is that the only quote you got? I would get some more quotes. The post above doesn't say how many BTU's the unit is, but that seems very expensive to me. 

California is expensive but I agree it’s quite a bit for a 850 sq ft house. I figured the unit being on the rooftop is a huge labor effort. I am working on getting at least 1 more quote.

Hello. Having been a university student who had shared a townhouse with other students, I can speak from my personal experience that there is a lack of accountability for the shared space. No one wanted to clean the floors, kitchen, or refrigerator. And many did not read the lease agreement to understand subletting wasn’t allowed. There was subletting for when a student studied abroad and/or went home for the summer. There was also the live-in boyfriend who never went home (or to class). Then there was the ones who didn’t feel like living there anymore and found a replacement student without notifying the Property Manager. 

Someone has mentioned to make sure the students are aware that they are ALL responsible for the monthly rent so if one person did not pay, the others are responsible too. There was an instance where all the students gave their money to one student to write one check for the rent and that student took off and vanished with the money. I love students but when it involves more than 2 students, it’s tough. 

Regardless if students or family, you are restricted by the law to charge a fair market rate. If it’s a group of more than 2 students, consider charging the higher end of the market rate. 

It’s time to replace one of those higher cost items in a rental: the air conditioning system. I was quoted $12,000. The system is 15 years old and the climate here in Northern California can get over 100 F in the summer months.

The alternative is to replace the control board which is $1150. But I was advised (by AC company) that it’s an older unit so it will continue to give me issues in the future.

I am considering replacing the system but was wondering how beneficial this is for my income tax write offs. Still a newbie in the home rental market so not sure. I have a day job so the rentals help with my W2 income tax returns. My questions:

1) is there a max on how much I could claim in a tax year for each rental property?

2) should I ask for a payment plan or pay for the AC unit in full to maximize my tax return for 2025?

3) loan through the AC Company is 6.5% interest for credit scores over 700 (I’m north of 800)

I’ve always been the DIY person but recently had to pay to get my taxes done. May need to hire a tax advisor. 

Thanks for your input!

Quote from @Ned J.:

Exactly like Nathan stated.... if they pay for it and its properly installed by a trained professional and they pay to maintain it..and its stays.... no problem

Hi Ned! That’s where I’m hesitant about the simple ask because they will likely install this themselves so no receipts. Per my request they sent me a YouTube video (see above) where it’s placing a bracket to hold the filter and disconnecting the cold water faucet hose from the shutoff valve, then installing a water supply line adapter to the cold water faucet hose. Seems simple until something goes wrong.

Quote from @Nathan Gesner:

Quote from @Terri P.:

I would allow it with a written agreement that states:

1. Tenant will pay for installation costs and provide receipts as evidence;

2. Tenant is responsible for any damage linked to the improvement;

3. When tenant leaves, the filter becomes property of the landlord or the tenant must pay to have it professionally removed and provide receipts of evidence.

Thanks for responding, Nathan. The YouTube video they sent me seems pretty straight forward so I am certain they are planning on installing the under sink water filter themselves. I will include that it stays otherwise the removal of the brackets would leave holes (& maybe next tenants would use it?). I’m unsure if changing out the filter is required even if next people don’t want to spend money on replacing the filters. 

I would treat him as any applicant and determine his application (once submitted) based on that. It already appears that he is not on top of his responsibility with overdue parking tickets (plural too -- how many does one get before learning?). Is his income stable? I am one to give people benefit of the doubt but it usually ends up with hurt feelings and regrets in business. And no matter how you try hard to be kind, people don't always see things from the Landlord's perspective when it comes down to money. Have you listed the unit as furnished to see your prospect? I am personally not attached to things so I would sell everything vs paying for storage or risking renting to a less-than-ideal tenant. Best of luck with the move and new job! Change is good!

It really doesn't seem like a big deal but I have never used one of these systems myself and don't know if there may be future problems with leaking or water pressure/flow issues. It appears to be an easy installation process as well. I wanted to check with other landlords prior to approving this. What are your thoughts? What should I include in my approval email? Thank you!

https://www.youtube.com/watch?v=68alEt8HZgE

Quote from @David Vaughn:

I wouldn't do it. I have never had luck with someone paying a large sum up front and so much so I now refuse every time. JMO

 Could you offer examples of what happened/what went wrong with these tenants? I'm very curious to learn about your experience and what I should be cautious of. Thank you!

I'm following this post as I'm experiencing a similar situation: I have an applicant offer to pay for rent 1 year upfront on his Zillow (generic) application. My lease is only 6 months to account for the season. Credit Score 776. He has his business bank statement and personal bank statement showing his income. He does not have significant rental history as it looks like he's lived at the same apartment for awhile. His references are his friends as he is his own boss. No criminal history on the background check. Housing is somewhat competitive at this time, even for renters. 

I couldn't find information on the internet about whether or not taking 6 months upfront in California is legal. I only have come across anecdotes and posts of people talking about doing it. Not sure about how this would affect me filing for taxes, etc. but I am just holding onto money that would go towards the mortgage. I've read people responding to this saying it may be difficult to evict later -- but I'm not sure how that applies if you're evicting for other reasons (and not over unpaid rent).