All Forum Posts by: Bradley Niemiec

@Bonnie Low

I had a few students who seemed to struggle a little with rent but paid in full without much delay.  My houses are leased the next two years so I won't have an update until the May inception dates.  As of now; looks like status quo with the university.  

@Scott Kohler

If it's maintaining a 100% occupancy, and has done so historically, then I don't think I'd change the system unless you think you can increase cash flow somehow by doing so.  If it doesn't have the 100% history and you're concerned about future vacancy then maybe switch it up to mitigate your risk.

Any chance you can squeeze a kitchenette on the second floor? If both floors have a private entrance maybe you could lease out similar to a duplex with some minor adjustments.  

@Jessie Troisi

Welcome to the club, neighbor.  I live and invest in the Susquehanna Valley.  Mainly multifamily 4 units or greater.  Single family homes in Lewisburg (while indeed beautiful) are difficult to create an immediate desirable cash flow.

Reach out if you have any questions.

@Frank Maratta

@Soh Tanaka is right about the affordability of QB desktop vs QB Online. I use QB Desktop for the bookkeeping end of approx 250 units (utilizing classes) I use QB Desktop Pro Plus with Payroll and also run multiple LLC's. With desktop you can have separate company files for all of the different LLC's without additional charge. (they charge by company with QB online so desktop will save a load of $$) Plus, with desktop you can leave the financial headache in the office when you've had enough for one day.

QB all day. 

Yes.  Collect at least the security deposit at the execution of the lease.  I have similar student rentals and I collect a double deposit upfront and then require the first installment of rent paid 30 days prior to the beginning of the term.  I also require my students to pay their entire term in two installments. The second being November 15th of the term year.  Also, if you are able, shorten the term by one month so you have unobstructed access to the property for repairs and maintenance between school years.  This doesn't mean you have to lose a month of rent, just take the monthly rent x 12 and then call it total rent for the term.  My leases run 6/25-5/25 with payments due 5/15 (50% of term) and 11/15 (50% of Term).  My tenants are always seniors (its all the U allows to live off campus) and leave after one term and I always state in the lease that it does not renew.

If you do not collect at least the deposit upfront and the tenant flakes out and doesn't move in as promised you're left with no money in hand to help with recourse.

If the parents want to know why they have to sign so far in advance its simply supply and demand.  They can wait, but their beloved child may be stuck without the off campus house of his choosing.  

@Brett Sayers

Anytime. Good luck investing! 

@Alexander Churchill

The PA rust belt is difficult.  I'm about 30 minutes south of you in Lewisburg/Sunbury area.  I've been buying and holding forever, and it's a need to be patient process.  We don't seem to get much appreciation around here but cash flow comes easy.  Keep rolling that positive cash flow and it'll get you lots of financing power as you grow.  Once you get a base you can branch out to different types of investing.  Keep some buy and holds and then bridge into flips to pay off your hold mortgages.  Money is cheap right now. 

@Jacob Shoesmith

I have a small off campus housing portfolio in PA (approx 23 beds).  I rent to undergraduate students via a set term which I define in my lease as June 25th-May 25th and charge a set rent for that term.  (The university only allows a set amount of seniors to live off campus so I have no carry over tenants ever) This allows me to refresh the houses unobstructed by tenants during that time.  I require the defined set rent to be paid 50% by May 15th prior to the start of the term and 50% on November 15th of the term.  Students pay the university by semester for traditional on campus living; why shouldn't they pay me the same for off campus?

I make students pay all utilities except lawn care and snow removal because you can't rely on them to get those completed.

Not all universities are the same; some have rules regarding off campus approval for undergrads so make certain you familiarize yourself with them.  Also, find out how much traditional on campus boarding costs... its a good indicator on what parents/students are willing to pay.

Student rentals are great investments but not for the faint of heart! Good Luck! 

Does anyone have any recommendation for a worthwhile timecard app?  I employ about 8 people in the PM side of my multifamily investments and would really like to bring their time tracking out of the paper stone age.

The 30 day notice should work provided the lease is a month to month term.  If you’re in the middle of a longer term lease then it probably will not avail. Does the tenant violate any other clause of the lease? If so, that may be the way to go... Extensive damages, subleasing to others, over occupancy, smoking inside the unit, etc...

Judges are real gun shy about the covid eviction moratorium and landlords should also be.  The financial penalties and potential jail time detailed by the CDC is extreme and is written vague enough that it could potentially effect judges as well as the landlords. 

Good luck; it’s a bizarre time to be a landlord. At least you have the majority of your tenants paying.