All Forum Posts by: Terri Pour-Rastegar

I'm not familiar with your market or exactly what sorts of properties you're targeting, so I can share only my experience in my market. 

Mostly, I buy-and-hold as a rental. I fix up my rentals a little more nicely than the average landlord around here, but I also get top dollar because my houses are in great shape.  So I'm focusing on durability first, but it also must be visually and functionally appealing to a tenant. 

• If cabinets are in good condition, they get a facelift: new hardware, paint, etc. 
• If the cabinets are not so great, I replace with new, all-wood construction cabs.
• New laminate counter tops
• New appliances
• Ideally, I tile all kitchens and baths.  My second choice is quality sheet vinyl.
• Remove all carpet and refinish the hardwoods that are usually already there; or install new real hardwood.  I have a zero tolerance policy for carpeting.
• I often replace old windows with new energy efficient units.
• Fresh paint throughout--choose one wall color, one ceiling color and one trim color from the same brand and use it for every house.  You'll thank me later.
• Replace outdated light fixtures
• Take care of all obvious repair or maintenance issues.
• Upgrade electrical panel if necessary--I don't mess around with electricity.
• Service the HVAC system
• If a house has only central heat but not AC, I install a new system.
• I have a plumber go through the house thoroughly to make sure everything is in good condition; if it isn't, he fixes it.

There's more, I'm sure, but I'm blanking out.  LOL.

As for flips, I do much of the same; however, I'm more likely to replace the entire kitchen, maybe re-configuring the layout too.  Granite counters, tile floors, nice back splash feature, add can lights, stainless appliances, etc.  I'll fully update all baths--new everything.  I'll try to enlarge closets and upgrade laundry areas and such.  I'll do a nicer paint color scheme with higher grade paint and maybe accent walls and such.  I'll definitely update the exterior as well, like if it needs new siding and doors.  Landscaping will get the VIP treatment.  With a rental, I just make the landscaping/lawn easy to care for.  It's always a toss-up when it comes to upgrading electrical, plumbing, and HVAC systems because, while those are some of the first things I look at when considering an investment, most home buyers don't have the first clue.  Replacing them before listing the house, I think, is a waste of money--it's not going to increase your asking price (it should, but it won't).  Any problems will be discovered in the buyer's inspection period and can then be remedied through repair or negotiation.

There's a lot more to all of this, of course. However, the bottom line for me is this:  If I'm keeping it for a rental, I'm in for the long haul, so I want everything to function as smoothly as possible and be relatively low maintenance.  If I'm flipping, it has to look amazing first and foremost, but also have what buyers in that area are looking for.  

Hope this helps.

Perhaps it is simply an error? I would definitely contact the bank (or more likely the Realtor who has listed the property) and verify this information.  The only other thing I can think of is perhaps it's a mobile home, but I doubt it. Verify.

Thanks, @Russ Wallace .  I was thinking of contacting an attorney who specializes in zoning issues.  This property was allowed to operate as a "commercial childcare center" (with 13-79) kids, even though it is in an R-5 residential district.  I don't know how they had obtained that status, but I want it back!  Thanks for the tips.  Everyone has given me some great info.

Thanks!!!

I like the way you think, @Pat L. !  Appeal to their pockets.  

BTW, I see you're from upstate NY.  So am I--I grew up in Schoharie County, but lived in Albany as an adult.

Wow!  Thanks @Bill Gulley !  I didn't expect such a wealth of information so quickly!  I really appreciate it.  Great information to get me started.  I guess I have a bit of homework to do.  :)

Hello all.  I have purchased a building in a residential neighborhood (R-5) in Charlotte NC, that was run as a commercial childcare facility for nearly a decade.  Then those folks lost the property to foreclosure.  Zoning is telling me the property has lost it's valuable non-conforming use status as a commercial childcare center because the property has not been used as such for more than 12 months.  I think this is BS--it was not used because it was in foreclosure!  

I could use any help/advice in how to try and get the nice folks down at the city offices to reinstate the commercial childcare status. I want to rent this place out, and I don't need to tell you how much more I can ask in rent if it's allowed as a commercial childcare facility, versus a home childcare facility or, even worse, a SFH or duplex (all of those uses are allowed). To convert it back to anything but it's previous commercial use would require me to restructure at least 30% of the interior, as there are no legal bedrooms as it currently sits.

Thanks in advance.  :)

So I have a 1+ acre lot here in Lake Wylie SC, and it has a great well and septic approved for 4-bedroom. I'm not ready to build something decent on that lot quite yet. I was wondering if there's a market for renting this land to folks who want to park their mobile home on it? The property is zoned for mobile homes, as long as they're not pre-HUD.

• How would I find such "land tenants"?
• What could I charge for rent (for just the land)?  Keep in mind, I will maintain well/septic--they need only pay for power.
• What potential pitfalls do I need to watch our for?
• What does such a lease need to say specific to this situation?

Any information/direction would be greatly appreciated.

PS:  I'm also open to the idea of buying a MH and putting it on my lot and renting it out like that.  But that's a whole lot more work.  LOL!

Thanks!

You bring up some excellent ideas, @Mike F.

First though, my leases state that they automatically renew without any action from either party, unless one or the other sends a minimum of 30 days' notice.  The law is silent on this matter, I I've never heard of another local landlord who has run into problems with that issue.  

However, I LOVE your idea of sending them a renewed lease at the increased rental rate, including a clause that without a signed lease, rent reverts to MTM at a higher rate.  I don't know why I didn't already think of that.  Excellent idea.  I will probably use this.  Thank you so much!

@Steve Babiak , I'm embarassed that I never responded to your last post on this thread.  Somehow I missed it.  Anyway....

Yes, what I do now is I totally skip the requirement that the tenant sign and return anything regarding lease renewal (or rental increases, for that matter).  What I do instead is mail a letter about 45 days from the end of the current lease term, and say something like, "You'll be glad to know that Blue Sky Homes is renewing your lease for another year and the new rental rate of $______/month .....if you choose not to renew your lease, please complete and return the enclosed Tenant's Notice to Vacate within 30 days of the current lease-end period."

This puts it in the tenant's hands if they don't want to renew.  My leases have a rental increase clause, listing a minimum 2% rental increase each renewal. So there are usually no surprises.

I do not need to reward my tenants to renew.  I take excellent care of my tenants and my properties, and I'm quick to repair anything that comes up.  AC systems are professionally serviced twice yearly.  I send my handyman around to each property twice a year to clean gutters and check the exterior mostly.  However, I also notify the tenant as to when he'll be there, so that maybe he can make some other repairs as needed while he's there.  One tenant said she loves it because it's like having her own personal handyman once in awhile.  I give my tenants patio plants/flowers in the spring, just to say hi.  If they want to tackle a yard project, I'll pay for the materials while they do the work.  So my tenants are pretty loyal.

So far, this is working out well for me.  However, I'm always open to suggestions to improve upon my systems.

A slight twist here...

We have a piece of land for which zoning allows mobile homes (there are certain restrictions of course).  We were considering leasing the land to someone who wants to park there MH there.  We have a perfectly good well and septic system in place.  I just need to tidy up the lot a bit (many fallen trees that were never removed after Hugo ripped through the area).

What I'm wondering is:

• Is there a solid market for what I'm offering?
• What would I be able to charge for rent?
• What sort of problems should I prepare to encounter?

Any advice would be appreciated.  Thanks.  :)