All Forum Posts by: David Shaw

I agree with another poster, suing would be a waste of time, energy, and LOTS of money for a MAYBE win. And even if you win who knows if the seller has any money to give. If I were you I would look into selling it as is and making a little money or breaking even in order to move on to bigger and better deals. 

I would SELL, mainly because of the TAXES. If you sell now then all the profit will be tax FREE since you lived in it for 2+ years. If you turn it into an investment property, then if you decide to sell in a few years you will owe Taxes on the profits. When in real estate investing do you have the opportunity to take the money Tax Free and go? Hope that helps. 

@Mary M. thank you, yes I saw those as well. It is a good starting point but definitely also need someone for the buyout agreement 

@Lee Ripma thank you! I didn't know a tenant negotiator existed. I will PM you. 

@Nathan Gesner thanks for the response. They are month to month. I inherited this tenant from the previous owner. Here in Los Angeles we have rent control, the max I have been able to raise the rents are 3% and even with raising it every year he is well below market rent. Cash for Keys provides a way where the tenant and landlord can benefit, but they have added regulation on regulation so I just want to make sure I go about it very legally. 

@KJ L. thank you! I will PM you. Yes they have made it very difficult and there seem to be minimums that are offered etc, a Lawyer sound like a good idea, hopefully won't cost an arm an a leg. 

Hi, first time posting, long time following the great advice here. 

I own a 4 unit in rent controlled Los Angeles and I am looking into cash for keys for a tenant that has been there for 8 years. 

Looks like it's more complicated in Los Angeles, and many use a company or lawyer. One company quoted me $2500. I wanted to see if anyone has any experience/guidance for doing this? What are typical costs, should I be using a lawyer in Los Angeles with all the regulations, and any idea what amount can be offered to the tenant? 

Thank you in advance!