All Forum Posts by: Brennan Hile

New landlord trying to learn the ropes.

I have a unit that has two people on the lease. They split and one tenant is wanting the other removed from the lease and the locks changed.

How have you handled this in the past?

My first instinct would be some type of written request from one tenant asking to end the lease and then sign a new one with other tenant only.

Thanks!

@John Tarricone follow as I am in a very similar situation

This is a duplex that I am house hacking using an FHA loan, so I will be living next door. The more I think about it the more simply clear exceptions and standards just need to be set.

I'm curious as to why you would recommend a property manager? 

Further explaining my situation: Low amounts of capital, and reasonable amount of time. This will be my only rental. With what I am currently thinking, I cannot justify how a property manager could add value by simply collecting rent and leasing the unit when it becomes available in August. In this situation is it not better for me to save the money and transfer to a property manager once I get a larger scale? 

Good point, thanks for the advice. 

Thanks @David Kelly 

I will just need to run the numbers at the point when appreciation/paydown gets me close the the 20% LTV

I am closing on my first rental property at the end of December. Its a duplex with both units currently occupied. One lease runs until Feb 28th 2020 and other August 2020. I will be living in one unit when the Feb Lease runs out. 

Questions: 

1. The current lease requires 60 days notice if the lease will be renewed or not. If no notice by either is given it becomes a month to month lease. This would mean that basically the day I close i need to notify the tenant that their lease will not be renewed. How would you go about this?

2. What are best practices for keeping distance from the tenant? I don't want to be the land lord that lives next door to avoid any hassle or late night request to fix a dripping faucet. I have considered a PO box and telling them I am the property manager. Any suggestions?

3. The two leases have a combined $750 in non refundable pet deposits. Any chance I will get those from the seller at closing? 

I would love to hear any additional advice about becoming a landlord!

Thanks for the help. 

@Lola Brown not sure where this property is located, but in my market I’d live in one half of the duplex, rent the other and do short term rental on the basement. Worst case if it’s illegal and you get caught you could just stop that and wouldn’t be homeless

@Kyle Lancuski I tend to lean more towards everyone doing their own thing on the fha loan and then form an LLC after to start investing with these partners.

I’ve got my first property under contract using an fha loan and I’m very hesitant to even think about partners at this point because I’m still trying to figure out exactly what matters to me, what I bring to the table, what I need help with etc.

I have several future partners I’m helping work through their first deals now, but it’s all being treated as a group of friends sharing best practices this point so early on.

Potentially try to all buy in the same area and begin to make a change on the street by renovating and raising rents.

@Ehsan Rishat updates: I have a duplex under contract and closing at the end of the month. Property was found off the market through a lot of cold calls. Lucked out and the seller needs cash to fund another project.

Thanks for the encouragement.

@Nicholas Iglesias updates: I have a duplex under contract closing at the end of the month, financing with fha and then using personal money to do some updating with hopes of being able to refinance in a couple years depending on interest rates. Thanks for the help