New landlord - Suggestions for contracts/online pmt?

Question

Hey everybody!

So I am jumping headfirst into renting out my home. I've done lots of research on BP and elsewhere as to what I'll need to do it effectively. I even have some great prospective tenants interested via word of mouth.

Unfortunately, I do not know how to go about getting a contract agreement that I can print out for them to sign. I was recommended to on-site, but I don't see anywhere for a contract I can edit. It looks to me like it's just multifamily/apartments and they sell you software.

Does anyone know where I could download/edit/print a (preferably free) contract agreement to legally protect myself and my property?

Also looking for suggestions on ways to setup online rent payments. Again, the ones I was referred to seem to be for large complexes, or charge really high fees.

Jonathan Johnson · Answer

+3 Cozy, only complaint is it may take 3-5 processing before it arrives in your account. I'd take that over paying $9, or anything,  a month with many other services though.

Linda S. · Answer

+2 Cozy... free for landlords, lets you set up leases, add payments/fees.. and is free if your tenant uses a checking account, and only 3% if they use a credit card.   My tenants love the flexibility!

Peter Schuyler · Answer

+1, Love Cozy.co

Loren Clive · Answer

Cozy.co is a free service to collect rent. Highly recommended

Account Closed · Answer

When I had LegalShield review my lease they recommended blumberg forms: https://www.blumberg.com/forms/lease-residential-c... There is a nominal fee, however.

Also, I second @Loren Clive's recommendation above regarding Cozy.co. Cozy provides a screening service ($40 fee for the applicant - however the credit report and background check gives you peace-of-mind that you selected a good tenant) as well as online rent payment.

Scott Weaner · Answer

Find a local Real Estate Investment Association. They can help you find a good lease. I bought a lease written by a local eviction attorney...well worth it.

I use eRentpayment to collect rent. Their customer service is great.

I use Rentec Direct to manage the finances. The free version should be just fine for you. I find it very easy to use and understand.

Account Closed · Answer

Sorry to spam your thread.  I just found their WA state specific lease:

https://store.nolo.com/products/washington-residen...

Account Closed · Answer

Oh, and if there isn't a better alternative, my daughter let her tenants pay her with PayPal.  If they choose the option to pay "friends and family," there is no fee for either party.  I wrote up a simple agreement for them that said if there were any fees because they paid with a credit card, etc., that the tenant would pay the fee.  It worked great for them.

Account Closed · Answer

Also, there is a professional landlord here named Marcia Maynard, I think, who I believe has her properties in WA.  It might be OR.  I can't tag her, but maybe someone here could tag her.  She is a wealth of knowledge and if I have the state correct, she would probably even have a contract she'd let you use.

Account Closed · Answer

I much prefer the Nolo contracts to any apartment association contracts.  The owner I worked for was a member of the local apartment association and could use their contracts for free (included in his dues), but I really hated them. Too complicated.

So, I suggest you pay for this Nolo book that would include the correct contracts/forms for your state:

http://store.nolo.com/products/leases-and-rental-a...

The Nolo contracts are editable.

I highly suggest you only rent your place with a month to month contract.  Or, just a short-term contract, 3 or 6 months, but not a full year.  That way, if somehow you ended up with a terrible tenant, you can more easily get rid of them.

Also, another great thing about a MTM agreement, is that you can change any terms with just a 30 day notice.  Let's say there turns out to be a parking issue, or they allow a friend to move in, or just anything that you forgot to address in your original contract.  You can change any terms with 30 days notice, and you don't need to get them so agree or sign anything.  You just give them a 30 day notice of change in terms of the agreement.

I only used MTM contracts.  I did not advertise a MTM contract, because then you'll get a bunch of people looking for a cheap hotel.  If you already have a good tenant in mind, that's great.  Sometimes they can fool you, though, so I'd just go with a MTM, just in case.

What they will often be worried about, is you raising the rent, if they don't have a lease.  So, in that case, I'd just write into the contract that as long as they were a tenant in good standing, I would not raise the rent for 12 months.

Nolo also has other books regarding how to manage rentals.  They're all written by attorneys, are easy to understand, and normally include forms, etc.  They're really a great deal.   I had the CA one, and it was my bible.

http://store.nolo.com/products/landlord-tenant/lan...

Oh, and I agree completely that it's better not to hire a management company.  You seem quite capable of learning how to do it yourself, and then there is no extra cost or dealing with the possibility of a bad manager who may rip you off.  Been there myself.

Good luck to you.

New landlord - Suggestions for contracts/online pmt?

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