All Forum Posts by: Jeff B.

One thing I Never see discussed about deducting business travel expenses from your taxes is what actual amount is saved when paying taxes.  I totaled up some travel expenses to test in past years TurboTax returns and for $1 in Travel Business Expenses I received a .21 cents reduction in my taxes.  Ex. Spend $1000 and taxes are reduced $210.  

If you own the business you should be aware.  You can stay in a $400 or $200 a night hotel but you are only saving $84 paying $316 vs saving $42 and paying $158 a night for a hotel.  The $158 difference is still reducing your profits.

Additionally when I input the meal expenses my taxes were only reduced approximately. 10 cents for each $1 spent.

This illustrates a difference between working for a company owned by someone else and having to manage your own company.

I think one of the biggest problems with ROI is that you have to set the proper criteria when you are calculating it. Purchase price $100,000 + closing cost +rehab cost = Final Purchase Price.

Additionally if you do any improvements throughout ownership that would increase the Total Investment or Final Purchase Price. 

Next I can easily inflate my ROI by listing it as Gross vs. Net

Federal Income tax could be considered an expense.  Rarely does anyone go
back to their last years spreadsheet and factor this tax (expense) into their calculations. 

Additionally probably 1/2 the ROI's posted are for 1 year and not an average.
If you have vacancies then your ROI was lower for that year.  

Appreciation is an unrealized gain but some people factor it into the ROI which is a mistake. 

Lastly you should be comparing ROI to similar like properties meaning that ROI is location specific.

Sorry to complicate things but I am a realist and want to know what my investment has earned after all expenses and what I can hold and spend today.

@Derek Lacy.  You are correct about what Renter's Insurance covers.
I reviewed a couple of Renter's Insurance Policy and they are written similarly.

Some advice about Renter's Insurance is that it must be read for content.  There are
many clauses, definitions, details, and exclusions defined in the policy.

After reading the posts and reviewing the "Maintenance" or Wear and Tear sections of the lease
I agree that an addendum is needed to detail and define the Landlord's expectation and whose
responsible for what regarding "Maintenance items"

Regarding Dogs/Pets owned by Tenant's there seems to be a good article on Nolo (Legal Info)
"Landlord Liability for Tenants' Dogs".  They detail liability and responsibility when Tenant's have dog's and define the Tenant's and Landlord's responsibility for housing and securing the premises.

Derek Lacy

Originally posted by @Derek Lacy:

Jeff B.

But unless it is smoke, fire or explosion, tenant damage to the rented residence will not be covered. But damage to their belongings may be.

The Renters Insurance Policy's I reviewed included coverage for "Vandalism"(
Vandalism is an offense that occurs when a person destroys or defaces someone else's property without permission.) Additionally you could file the claim under the Renters Insurance "Personal Liability"

The items I listed in () brackets of my 3rd reply would be consider accidental and would happen unexpectedly and unintentionally.

This should be addressed with your insurance professional. 

Dogs have the potential to cause more accidents and physically assault someone, Tenant, Guest or service personnel.  

Tenant/Renters Insurance Policy is noted that 2 Dogs occupy the property .  If the Renters overloaded an outlet while displaying holiday lights and this a causes a fire it should be covered under their policy.  Like the bank you are requiring assurances against unforeseen losses at the home.

If you receive push back educate them that the bank requires a Home Owners policy on a mortgaged property.  There are numerous ways the property can be accidentally damaged.
(Parking car in garage the car damages the wall/piping/electrical., Playing in yard and something breaks a window.,  There is a Burglary while there away on vacation.  A faucet is left on, overflows, and damages some items.)  A renters insurance policy is one of the better values in insurance.  It is beneficial because it protects the Renter from unforeseen financial losses which could add up to being substantial. 

This is protects both if it becomes a legal battle on who caused the loss. 

"I think they do have renters insurance already but I don't know the details"

This is not acceptable.  Landlords should have a copy of the tenant's renters insurance
policy.  My experience is the Insurance Policies are different by company and state.
Are you now named as "additional interest" on the policy?
This allows you to receive a copy of the policy and any notices.  You would know if they cancelled the policy or made changes.

What type of dogs do the tenants have and does their Renters Insurance have an aggressive breed exclusion for the dog in question? 

I agree with having the "interior" repairs completed while the tenants are present.  This reinforces their obligations for payment and care along with reduces the Landlord's loss of use time frame after move out. 

Wow, didn't realize that people were overlooking Insurance as a solution.

Requiring Renter's Insurance with a substantial liability coverage amount is needed.
If you agree to allowing the pet's then this is a great opening to have them sign additional
addendums and requesting a modification to the current lease for pet deposit or pet fee.

The tenants changed the original agreement by adding pets.
Hopefully you have the move in check list and/or pictures showing condition of property prior to them taking possession. You will still need to depreciate some costs of the repair unless the condition was new when they moved in.

As for the lawn I just realized my own lease does Not go into detail on Outdoor Maintenance, and
what is required of the tenant. (Mow grass, rake leaves, remove tree debris, water grass, clean gutters, or trim trees.)  This will go on my addendum detailing the items listed above.

I think us landlord's overlook outdoor maintenance but this is a part of the tenants responsibility in Single Family Home of which they have access and use of these areas.  When the higher then expected bill arrives to get your lawn returned to the previous states it becomes a concern.

I'm not a lawyer but I did stay at a Holiday Inn Express last night.
Legally you have the right but as others have mentioned if your current
tenant is present they can say anything.  The prospective tenant can think
that what ever you did to upset the current tenant you may do to them.

Then you have to post and prove you posted the 2 day notice in case the
tenant says they didn't receive it.  Lastly showing the property angers the
current tenant more and they decide to trash the unit out of spite.  

I would first notify tenants and make sure no guests are using the spaces.  As for the tow company you need to reference FLA Statue 715.07, specifically 1a. "Any towed or removed vehicle or vessel must be stored at a site within a 10-mile radius of the point of removal in any county of 500,000 population or more, and within a 15-mile radius of the point of removal in any county of less than 500,000 population."

Then just call another tow company and tell them to post their tow sign and give them a try.  We all know some tow companies are better than others but this is how they make their money so the should respond in a reasonable amount of time.

Any one who has been to SOBE knows how bad parking can get in Miami.

Or you could do what this guy in the UK did and use a 2 ton bag of gravel to block them in.

http://www.dailymail.co.uk/news/article-3445555/Ir...

Hey Ryan,

I saw this article on Moneywatch about Pro American Football Player Ryan Broyles and thought it may be of interest.

http://www.marketwatch.com/story/nfl-player-ryan-b...

It basically details how he understands the value of money, lives on $5000.00 a month and invests the majority of his money for the future.  Additionally he mentions investing in Real Estate and the stock market through a financial adviser.