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Updated almost 2 years ago on . Most recent reply
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Los Angeles Duplex Owner Occupancy
Hello all!
So excited to have found this resource.
A friend of mine and I are going in together to buy a duplex (to actually own property in the madness that is LA). We've been told that even if a duplex is fully occupied, we can each (as 50% owners) owner occupy-evict a unit. (we would, of course, try cash-for-keys first.) Therefore, we'd be living up and downstairs of one another.
Has anyone ever done this? Is it still considered a rental property if we, as owners, are living in the entire space? And should I bring in roommates within my unit to help bring down costs, can I "sublet" a room in my place? It seems like I can't have them on the lease because of the owner occupancy. But I would like a roommate to sign something. Maybe a roommate contract?
Brand new to this and looking for any insight. Thanks everyone!
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First of all, congratulations on taking action!
I bought a duplex in (non-rent controlled) LA, too a few years ago. It was fully occupied but I gave a 90-day notice to the Section 8 tenant in one unit so I can owner occupy. If the property is not rent controlled, you won’t even need to offer cash for keys. If it is, I suggest you look up the specifics on it. There are Protected Tenants whom you can’t evict (been in the unit for 10+ years, 62 years old +, or disabled/terminally ill). Otherwise, there’s a schedule of relocation assistance you’d be required to provide. It’s smaller if you are considered “mom and pop” landlords, which I imagine you’d probably qualify for. Link is below. Hope this helps :)
https://hcidla.lacity.org/Landlord-Occupancy-Owners
Btw, I also rented to a roommate, no problem. It’s probably wise to have a contract written up so you’re both protected ;)