All Forum Posts by: Cassidy Burns

Hi @Jean Norton I have the same question as @Bill E.  How do you go about finding out if the title is clear and there are no liens on the property?  It has the title information sheet attached but I am having trouble reading it.  Anything in particular that I should be looking for?  The current property I am looking at also says it is occupied, should I be cautious??

Welcome @Luz Benito

Hi BP,

My brother will be moving to Miami, FL to pursue his career following college.  I am trying to take this opportunity to study the market and purchase my first FL investment property.  Any suggestions on location, safety.  Market trends?  I'd like to purchase a multifamily but it seems like they are flying off.  I am looking at condos, thoughts?  He will be working in Brickell, FL.  8th St. to be exact.  

Thanks for the help!

Welcome Jordan!  Looking forward to connecting.

Hi BP,

I am posting in regards to my current tenant situation, and how I got SCHOOLED.  

My tenants are breaking their lease early (Signed through Feb 1, moving out December 18th.).  I had sent an email saying that they would be responsible for the entire month of December's rent and I would be keeping the security deposit (I learned from BP that I should NEVER tell them this again.)  I thought all was understood as I did not hear back.  Tonight I received a call from the husband, as I had been communicating mostly wife during the duration of the lease term.  He gave his points as to why he thought their terms were fair.

1.) 10 weeks advance notice.

2.) Pay Prorated December's rent through the 18th.

3.) Forfeit the security deposit. 

I said via recommendation from several BP members, to state that by lease terms they are responsible for the duration of the lease.  He reveals he too is a real estate investor and that the agreement they signed actually wasn't even an official GCAAR lease, it was only a lease application.  Well, he was right.  I never had them fill out the official lease, I just had them fill out lease application...  Rookie mistake.  He is a great guy, we stayed on the phone discussing how I could have better protected myself, he gave me recommendations of what I should do in terms of getting it re-rented and he is also sending me the official lease that he uses for his tenants.  

As I said, I got SCHOOLED.  I agreed to their terms, yes I did not get the full month of December, but the knowledge and advice I received was well worth the time, effort, and anxiety of having the return the phone call.

Thanks again BP as I continue to learn something new everyday.

@Account Closed the long term goal is to generate a large buy and hold portfolio.  The current 3/3 rental is in an up and coming area and I am also hoping for a little appreciation in the next 3-5 years so I can perform a 1031 Exchange into a larger apartment complex.  Hopefully 16-32 units.  

@Karen O. Thank you.  I think that is the route I am going to take.  For a few days I fell into the much dreaded shiny object syndrome.  

Thanks for the help!

Hi BP,

I have a few scenarios that I would like to run by you... So I purchased my first investment property in Washington DC in the fall of 2016. I currently have it it rented out ($3,750/month, PITI= $3,150) but tenants are now breaking the lease and leaving December 18th. I am currently renting a 1 bed/1bath unit for myself in a high rise apartment complex for around $2,400/month (rent, pet fee, water, trash, sewage, utilities, and cable.) my lease is up February 1st. I had planned on purchasing another condo, in Washington DC to house hack, as I have a roommate that would be paying $1,650/month in rent. In order to purchase this unit I would use a lot of my liquidity that I have been saving up to purchase more investment properties ($25,000). My question is which scenario would be best:

1.) Continue to find a tenant for my current rental, even if vacancy is longer and continue to pay $2,400/rent and potentially have to cover the PITI on my current rental.

2.) Live in my current rental (3 bed/3 bath), with my roommate, he pays $1,650 and I pay the remainder of the PITI ($3,150-$1,650= $1,500), and potentially find a 3rd roommate for the third room. This saves my $25,000 and I can purchase a few more investment units.

3.) Purchase a second condo as primary residence using the $25,000 as down payment, roommate pays $1,650/month, I would pay remainder of PITI ($3,000-$1,650= $1,350.) Have to cover PITI on vacant unit until tenants are found.

What do you think would be the best scenario for the next step in my investing career?

Thank you in advance!

@Account Closed.  Thank you so much to all of you, this has been very helpful.  The unit is in the District of Columbia, 16th St. Heights Corridor to be more specific.  I actually did use the GCAAR lease and just read it over and it doesn't state anything regarding a penalty for breaking.  So I do have two more question.  I have had it on the market for a few days now, and no interested parties as of yet.  Since it is the holiday season, should I reduce the rent, which would eat up a little cash flow, in order to attract more potential tenants in order to have more options?  Or ride it out and hope that the new year allows me to get my current rent rate?

Second, how do I go about generating my own personalized, more specific lease?  Schedule an appointment with a real estate attorney that is familiar with the area and the rules within that area?  Also, would I have to do the same thing for out of state rentals?  Meet with individuals that are familiar with the areas?

Thanks again for all the great input.

Hi BP,

I have run into an issue and need some advice.  

My current tenants are breaking their lease and leaving early, December 18th, horrible time to try to rent condo out even in Washington DC.  I told them that they since they broke the lease they would be responsible for the whole month of December and I would be keeping their security deposit.  They responded 3 weeks later stating that my lease never stated they would be responsible for the security if lease is broken, I checked and unfortunately it doesn't.   They have offered to pay the prorated payment for staying through December  18th and forfeiting the security deposit.  

IS this a fair deal or should I respond and try to retrieve the full months rent for December?

ALSO, I now know that I need to upgrade my lease.  How do I go about developing a more detailed lease?  Should I have a different lease for my future units?

Thanks for any help.