All Forum Posts by: Jeff B.

I would inform the bank you have that type of insurance already.  It is called a "security deposit".  Ask them to provide one name of a US based Insurance Company offering this coverage with an A.M Best rating of fair, good, excellent, or superior.

It sounds like a good idea but if the US insurers have Not offered this product there is probably a very good reason and it is coming from the insurance underwriters.

You could also try to be creative and find a seller financed property that you can add value to and split the profits with the previous owner.  There is a lot more to a deal like this then is first apparent so need to have solid projections, numbers, and comps for the flip.

Unfortunately you should contact legal counsel and explain the issue.

The inspector may have the authority to seek an "Inspection Warrant" in Florida
see Florida Statute 933.22 but they have to meet certain requirements.  I would inform
the inspector that No work has been performed since you purchased the property.

Additionally inform them that you will abide by all building codes, regulations and obtain all necessary building permits for all work that is planned on the property.

I agree that maintaining the property, requiring the tenants to notify landlord of any hazards within a set period of time, performing routine property inspections, taking pictures of property condition prior to move in, having good contracts/addendums and having adequate insurance are going to provide good asset protection.  

Most people do Not realize that when you form an LLC there is A LOT of rules, regulations, paperwork, procedures, etc. you must follow for the LLC to maintain protection if challenged.

Linda,

I wish it was that easy to be able to talk someone on to meds.  I've read some studies from Jeffrey Swanson "Professor in Psychiatry and Behavioral Sciences" Duke University and each person's case is different and they respond to treatments differently.

Treating someone requires a professional evaluation and if all they prescribed was a pill then it is likely the treatment will fail.  One of Mr. Swanson's papers discusses how it is more cost effective to provide subsidized housing, disability income, and outpatient mental health care then it is for them to spend 95 days in jail.

Maybe if Bobby wants to help he can ask the police what services are available for this individual and try to fast track the treatment before this person reaches Stage 4 and something unthinkable happens.

You talk about the leases but do Not specify if they are month to month, or yearly with the agreement of rent increases.

You can Google "California rent increase law" to get the California Department of Consumer Affairs instructions on rent increases.  They talk about the 30 day notice for a rent increase of 10 % or less and 60 day notice for a rent increase of over 10%.  You need to factor that the percentage is calculated on a 12 month cycle.

I would type and tape a friendly reminder of the rent increase letter and include another copy of the notice of rent increase on the door.  Inform them in the letter that they need to contact you ASAP to remedy this oversight.  Ask them to notify you when you can expect payment.  If they are good tenants who take care of your property, pay on time, and you expect them to remain longer term tenants then I would do my best to try to work the issue at amicably without causing any spite.  

Haven't read all the replies but if you need to maximize the returns on your money then
you can rent a small place.  That will limit you initial capital investment.  Then keep investing and turning the money throughout the year.  This should more than cover your living expenses.  

I agree with everyone else that you need to be hungry. There is no better motivation then sink or swim. It is unclear what the terms of the $300,000 investment are, or if it is a loan from a family member. Buy/Hold/Rent is a slow but steady way to seek ROI. It is better to do as you mentioned with the RE license that way you have access to the resources, systems, and can reduce your expenses when you purchase a home by not paying yourself the 3% commission. I am talking about the flipping strategy with your partner.

As you know it is better to develop your target markets and work out from there.  I do Not see how you can fail with a good education basis, plan, motivation, and capital you mentioned.  I would recommend you eat, sleep, and live real estate until you have the knowledge and confidence that people are asking you for guidance.

If this is in California you need to contact the lawyer to see what you can do to expedite the eviction and/or provide any relocation assistance.  I just briefed the law but in California if a tenant dies in a rental unit you must disclose to the prospective tenant that the previous tenant died and manner of death for 3 years from the previous tenant's death.

I don't know about you but I will pay for someone like this to relocate as with this law it could have a serious impact on the ability to rent and ability to cover extended expenses until a tenant is found who is willing to rent a dead guy's apartment.

Reference "California Civil Code Section 1710.2"

Aaron mentioned RUBS (Ratio Utility Billing) but in Massachusetts there are specific laws regarding what and how you have to follow to be allowed to bill for utilities.

I would pass it by the lawyer but you can reference Statute or law 410.354 and 105 CMR 410 Public Health.  The law details specifically the billing of utilities to tenants.

I read Elizabeth stated that Hampton Roads did Not have the same amount of appreciation.  That was because the area did Not suffer much at all depreciation due to the War and military personnel surge and businesses/employees supporting the military demands for housing.

Harold probably knows that BRAC has threatened to close Oceana Naval Air Station since 2005 but failed as it has ended up costing the military considerably more money to close and realign the bases then it was planned to save.  

"But the department estimated similar excess capacity in 2004, when the last Base Realignment and Closure (BRAC) round was approved. It reduced the military infrastructure by less than 3.5 percent and ended up costing more than $35 billion to achieve roughly $4 billion in future annual savings."  Military Times (Pentagon: Another BRAC will save money.)