All Forum Posts by: Adam Roberts

@Adam Demchik I'd say if conservative assumptions yields $188/door that's a good find. What are the respective prices on the two properties? Age of properties?

@Ron K. ditto on the $100/door/month. My quad does a bit better than that most months however my pro-forma forecast has 50% rule in place (50% gross revenue will go towards expenses). Link below to a good video that explains this:

http://www.biggerpockets.com/renewsblog/2013/06/14/50-percent-rule/

@Trevor Bartee I attended the 3-day seminar. It was $199 at the time so not sure what the price is now (you can negotiate the price BTW). For me it was all new, so I found value in it. It created some excitement to do some more exploratory research as well. However, I did go into it mentally prepared that I wasn't going to spend the $$$ on the up-sell, so be careful there.

Thanks for the feedback guys. I was definitely surprised by her quick action as well.

@Jon Klaus below is an excerpt of a written document I presented in person to her. Think I should also follow-up with a formal eviction filing (without actually executing since she's already gone)? Appreciate your insight.

"Tenant–

Per our phone discussion December 4, 2013, you are in breach of your contract as defined in the Residential Lease Agreement. As of December 4, 2013 you are in default of December rent per the lease agreement. As of September 18, 2013, you were notified of a pet deposit due November 30, 2013 due to pets on the property not included in the original lease agreement. Late fees for October rent payment in the amount of $170 were accrued and not paid during November timeframe. I am willing to avoid executing a formal eviction if you perform the requirements of this document. "

.........and then I go on to state that she must vacate by Dec 31 or I will file for eviction formally.

Team - I had to go through the unfortunate activity of releasing a tenant this past week and figured I'd post the story to share with others. Feel free to critique or add more story-telling.

Tenant (4 plex) was late paying rent in both Sept and Oct, missing late payments for both months, but coming clean on everything in Nov (late). She was advised that she breached contract as well in Sept when I found 2 dogs in the apartment, and that I would allow her to sign a new lease once she paid a pet deposit. She agreed, but never paid by agreed date. The last and final day for December rent rolls around and she calls to say that she "lost her job due to downsizing at her company, and will not be able to pay Dec rent until Dec 20, OR potentially Jan if her family can't come thru". Red flags all over the place.

My reaction: After careful deliberation with my partner, I called the tenant to advise that the relationship was not working, and that I wanted to move forward with an eviction. I stated that I would avoid executing a formal eviction if she moved out by Dec 31 at midnight and exchanged the keys for security deposit. I did this verbally and then through a written agreement. She was not happy since it's the holidays, and she pleaded that she could actually still afford the rent, etc etc. Ultimately, she agrees to our agreement (written agreement with terms on how we handled the cash-for-keys), and actually moved out on Dec 15. I sent her a notice of lease termination asking for her concurrence which she responded to.

In lieu of paying me pro-rated rent for the 15 days of Dec, she responded to a written agreement for me to keep her security deposit, which was about half of 1 months rent (I did this after inspecting the property.....).

Unfortunately I had to do this around the holidays, but with her job loss I saw it going in a bad direction. I already had granted amnesty in other months. Good news is she left the unit in relatively great shape, however I will be out a few hundred to do a make-ready. All-in-all, not bad.

How have others handled similar situation?

Welcome to the team @Jerald Foote - glad to hear about your comeback. Check out the tools on the BP site, a lot to offer and great people.

Adam

welcome to the team @Chris Soignier . Plenty of good info here, check out the podcasts, they are great. There is a DFW Biggerpockets meet up this week as well out in Irving (Champs sports bar, thurs 7pm). Great chance to network, a lot of great people attend.

Look forward to meeting.

Adam

welcome to the team @Mitchell Smith . Don't hesitate to reach out if you have any questions. There's a great DFW contingent here.