All Forum Posts by: Account Closed

I have found a few of the popular sites that offer state specific leases to work. You pay a small fee and get the form you want. If you just want a good starting point they aren't bad. Michigan Legal Aid has one that is basic and free. They are also the organization that will help tenants take legal action against landlords. Here is the link

http://michiganlegalaid.org/library_client/resourc...

Welcome. I look forward to seeing your info on rehabbing. BP is just pure awesomeness!!

Find a new property manager. You should not have to deal with this. Most property managers would gather bids and have good connections for a roof repair. For the fun of it, call a couple of the top companies that come up for that area on a google search and tell them how many units you own, tell them the situation with the roof, and ask how they would handle it and who they recommend.

This will be very educational and most likely solve your problem. You don't have to switch but you would know who to use when you do. 

 That is awesome. Buy more of those ;-) 

There are many benefits to the landlord. Lots of blog and other articles on it. I would not offer a discount. This is unnecessary. If you require it then they will do it. Good tenants already have auto insurance and just add it with their current company. It is typically less than $15 a month. If an applicant comes along without any insurance, or does not want to get renters insurance, I would beware. 

If you don't require it there should be a clause in your lease either way regarding damage to their personal items etc. You will see this in almost all lease templates.

One way it helps landlords is when a pipe breaks and ruins their big screen TV and they call you to replace it, you can say "As stated in your lease, we are not responsible for your personal items. You will want to contact your insurance company."

Keep it simple.

If they stay past this fall I would raise it. I have an automatic increase if they choose to go month to month built into the lease. I use this to negotiate a renewal sometimes. In this case I would let it ride a couple months, but build a month to month clause into your lease for next time or if they renew have them sign the new lease. If they don't move out this fall then offer a renewal for 1 year at $3,000, $3,100 for 6 month, or stay month to month for $3,200. These are just examples. You can play with the numbers. I like an increase for month to month convenience.

And before people start arguing about a lease term vs. month-to-month, I have a buy-out built in the lease so I don't mind sticking them to a term and then if they get transferred or whatever during that time it is covered and I make money on it. 

My spouse thought I was a bit crazy. The money at first was small and every repair seemed like a huge blow. I shared the long term picture with her and got her on board early. I think keeping the focus on the long term helped a lot in the early years. Now of course I have her full support.  I keep her informed and there is a lot of trust. Its when a deal goes bad that the trust is tested. 

Communicate the risks and long term rewards. Your spouse could be sitting on a beach with you one day living on your residual income, or living in the basement of that bad 4-plex you bought . . . Having your spouse on board, even if they aren't interested, will help. Get them to buy in a little then move forward.

If there is an area you already know then start there. I started with a 4-plex as an owner occupied. I was living in one at the time as a rental and learned from the owner and from being a tenant. Then I moved to a home and turned it into a rental. Repeat a few times. My first few properties were owner occupied. Keep it simple and stick to what you know at first. Use BP, network with professionals, and avoid speculation.

Welcome! And that is a great question.

Hafa Adai

I'm in Guam consulting on a couple multi-family projects. The marine project is moving forward and we will know more details within 30 days. But do not get caught up in the hype and speculation. I do see a lot of opportunity in single family homes here. Take your time to get to know the market and the effect of the military rent allowances. There is also a lot of potential in vacation rentals. 

When you get to Guam and get ready to do something contact me. I can help if I am still here. I also have some good contacts. WELCOME to BP and Guam!!

Use professionals. Spend your time talking to different property managers, accountants, and others. You will get a good idea of what you can do yourself and what you should not. Don't assume you are saving money by doing something yourself.