All Forum Posts by: Christa P.

I have had a rental real estate business on the side for the last six years. I continued to work during that time and always used my paychecks and W2s to get financing for each of the properties. As of January I am only self-employed. I started a second LLC with an unrelated business line. While I am building this business, I have not yet completely replaced the paycheck that I was getting. The income from my rental properties is completely separate to this and very solid.

Will a conventional financing bank consider my paid off properties as sufficient support to approve me for a loan since I can’t give them a consistent paycheck, like I used to? Three of the properties that I own are entirely paid off and fully rented. I’m just wondering if I can be approved for a loan where I don’t have a consistent paycheck with my self-employed businesses.  Again, just to confirm, my rental real estate business is solid and supplies consistent income. I just don’t have as much total income as I used to when I was employed by someone else.

Thanks @Joe Splitrock!  Great advice!!

It is curious, for sure.  She said if they chose to move out early, I would keep the full year's rent...

Good afternoon!  I just had a prospective tenant ask if I accepted funds from a trust.  She didn't describe it that way exactly, but that is what I finally figured out she was saying.  Anyway, sounds like I have to fill out an IRS form to request the funds and will get paid for the full year and deposit in advance.  Sounds awesome, right?  But is it too good to be true?  Have any of you ever dealt with this?  It seems the risk is that the check may not get paid, but of course, just don't let them move in before the check clears...  Other implications?  Thoughts?  Concerns?  THANKS!!

what about process check lists or anything?  Make sure you get all of these documents, questions, etc?

Will anyone share some of their best practices for the following?

Showing a house - follow them around, let they look at their leisure, ask lots of questions, which questions to ask, hand outs with information on utilities, neighborhood, etc.

Screening - I have read the articles about questions to ask and what not. Anything unique that you do and believe is a best practice?

Renting - once you have selected a tenant, what do you do to hand over the property?  Rent talk like recommended by Mike Butler?  Walk the house with move in check list?  Other best practices?

Thanks!

Advice on how to handle this decline letter?  His credit is average.  Looks like he is behind on his student loans.  Otherwise everything is current.  He and co-tenant/roommate meet income limits easily.  I found out from a mutual Facebook "friend" that he is a "pot head."  How would you guys handle it?

I have consulted my lawyer and read all the state laws.  I have performed within my rights.  My property has brand new carpet and new paint.  It is in great shape.  It is priced equal to the others in the neighborhood.  The tenant moved out because he got divorced.  It had nothing to do with the property.  I am going to send him a letter formally terminating the lease.  Thanks for all the advice!

Thank you all!  It is awesome to get such prompt and informed answers.  This is my first property.  So, I am learning a lot.  To answer some of your questions...  I have not had a completed application come through.  A few showings and some interest, but I have not turned down any qualified applicants.  This is the first month that I have actually gotten completed applications.  As I mentioned, there are a number of very similar houses for rent in the same neighborhood, and I believe that the cold weather is keeping people away.  I have consulted with my attorney, and am waiting for his response.  I agree, I have been lucky that he has paid this long.  Happy New Year!

I have a tenant that signed a year lease, and then moved out after two months.  The lease states that the full 12 months are due.  I verbally told him that I would pro-rate as soon as I got it re-rented.  Well, the re-renting has gone very slow.  There are a number of houses in the neighborhood for rent, and I am not just renting to anyone.  I am screening to find a good tenant.  He paid rent more or less fine for the three additional months after moving out.  But, this month, he has not paid and is not responding to emails, texts, or phone calls.  He doesn't live there anymore, so I can't evict him.  How would you go about enforcing the lease?

PS - I have a couple qualified tenants that may move in February 1.  So, my loss "should" only be January.  But, nothing is a done deal with them yet.