All Forum Posts by: Dave Bopp

Hi all,

I am planning to 1031 exchange one rental property into another. I received a written offer on the property I plan to sell. Is there anything supplemental required in the signing of the agreement of sale for the property being sold regarding the 1031 exchange? Or would I take that AOS to a 1031 intermediary once completed?

Thank you in advance!

-Dave

Hello all,

I'm writing to get some advice on withholding money from a tenants' security deposit because of damage caused by his cat. He just moved out yesterday and upon getting the unit ready for turn over I discovered mounds of cat feces that he had dumped and left in the basement next to the laundry area. I cleaned up the mess, but of course the basement still reeks of cat urine/feces. I plan to withhold money from his security deposit, but am unsure how to quantify what should be with withheld. He had been paying pet rent and paid a $200 non-refundable pet deposit up front, but I know this smell is going to linger and will be an issue for the tenants who just moved in.

Any input would be appreciated!

Hey all-

During these uncertain times, is it good practice to have lines of credit established for each current rental property owned? On one hand it seems like an effective tool to protect against loss of rent situations and to have capital on hand when new opportunities arise. 

I've also read that the HELOC products were some of the first loans called during the last recession. Any guidance on whether to establish new lines of credit would be welcome!

@Kevin M.- thats absurd. Do you know anyone in the Philly market who has been successful in an appeal request? It doesn't seem like the city would have any motivation to approve an appeal request

@Mike H.- the company provided no details in their letter aside from stating a new monthly payment amount and that it was the result of an escrow issue. I had to call to get more information.

@Scott Anderson- I was able to speak with someone yesterday and worked out an extension in the escrow balance amount for 3 years which helped, but the payment is still $400 more per month than my current payment even with the extension. 

@Josh C.- the current mortgage is $1,830 per month and the new amount was set to be $2,713. I was able to extend the amount but they still set the payment at $2,250.

@Kevin M.- this property did have a 8% increase in assessed value from 2018 to 2019, but, seems unreasonable to then expect me to pay over $10k more per year as a result. Have you had any lucky appealing any of your tax assessments with the city? 

Thanks @Account Closed- I've owned this property for a little over two years now and through the first year it was owner occupied Bill so you are likely right about the tax increase for those reasons. My mortgage company never gave me any kind of report regarding the changes though, just a letter of notice stating that they were raising the monthly payment amount. I'll have to ask for this document. I appreciate your insight on this!

I just received a notice from my mortgage company stating that they would be raising my mortgage payment $900 per month beginning in March because of an escrow shortage. The taxes and insurance both went up this year on this property, but that seems like an extreme amount of increase for a monthly payment.

Has anyone encountered this before? And any suggestions for countering this increase?

Thank you!

Thank you @Cassi Justiz- that was my thought but always helpful to get input from others. Much appreciated!

Hello All!

I have a tenant in one of my rentals who signed a two year lease- he has another 15 months on that lease. He informed me that his girlfriend was going to be living with him for some time. I was going to add her to the lease, but it sounds like she will only be staying at the house for the next 7 months because of an internship change.

Does anyone have suggestions for how to go about this? Should I create a separate 7 month lease for her? Or is there a lease addendum I should create to accommodate  her time in the rental.

Any help would be appreciated!  

@Sarah Brown- I'll try clearing out the aerators to see if that helps. Thanks for the suggestion!