All Forum Posts by: Derrick Ruiz

ok Amir thx

ogh crap i was gonna dm you but now i have to go look up house hacking

Thx Michael S.

Amir, my bestie Greg Scott says this is not the MLS or Loopnet so I guess I can't help you. Just kidding. I am going to take Mike Sato's advice and go post it on the classified section. Prolly on Tues aft, feel free to DM me or email me. thx, got a great 7 Cap NNN

Bro, that's why I asked. Thanks for the snark though.

I am relatively new to BP so I wanted to check in first before I post. Thx guys.

#1 - Get copies of all leases. This may seem obvious but it is absolutely critical. Check to see if the tenant is allowed to sublet the property (This should be a hard no). Or if they can have roommates. Or pets. If there is no lease you must rely on the tenant estoppel statement. Consider preparing a new lease for them when you own the property.

#2 - The seller must provide estoppel statements signed by the seller and each tenant on the lease. This is especially important if the tenant and landlord have no written agreement (it happens). The tenant estoppel specifies: The move-in/start date of the lease, the current rent amount, the current deposit amount, the date of the last rent increase, all legal parties to the lease, all other occupants (kids or others), any pets or pet restrictions, who pays what utilities, any parking provided and which parking spot(s) or is it street parking, any storage spaces provided to the tenant and if so what space number, if the tenant is facing bankruptcy, who owns what appliances, if the tenant is in default or arrears in their rent, if there are any modifications to the lease (verbal or written), has the tenant moved anyone in to the unit without the notification of the landlord, 

#3 - If any tenants are in Section 8 or are receiving government assistance, make sure to get all the paperwork for each unit that is section 8 and get the name of the representative, their phone number, and their email address. Call the rep to verify all information of the section 8 tenants. 

#4 -  Get the original applications of each legal party to the lease. If they do not have them, have the seller or listing agent make each tenant fill out a new application. What you want is their contact info and their work info. You will not be running credit reports.

#5 - Get all cell phone numbers, work phone numbers, and email addresses of each tenant. Also if they park on the premises, get every make, model, color and year and the license plate number of each vehicle.

#6 - Get copies of all keys to the units and on your final walkthrough before you close escrow VERIFY THAT ALL KEYS WORK! If not insist that the seller provide keys that operate all doors to each unit. Also get keys to any gates, garages, laundry rooms, etc. MAKE SURE THEY WORK!

#7 - Get 6 months to a years worth of utility bills. 

#8 - Try to meet each tenant in person. I'm a good judge of character and you probably are as well. If you see any problem tenants, or tenants that are slovenly or super messy, you'll probably have problems. Also this is a good time to check if there are more people living there than is on the lease. This is also a good time to ask them if there are any repair issues with their unit. 

#9 - Verify if any tenants or are in arrears or are constantly late payers if you can.

#10 - Prepare and deliver a letter to each tenant notifying them that there is a new owner or new property manager, tell them where to send or direct deposit their rent each month. Remind them of the date rent is considered late and how much the late fee is. Give them a phone number or email address so they can contact you or the management company if they have problems.

#11 - Make sure you ask fellow landlords or your broker for 3 good recommendations to landlord/eviction attorneys. You'll need them at some point.

#12 - Join a local Apartment Association landlord organization. Stay up to date on any changes to the laws or if you are in a rent control city how things work.

I think that is all for now. I've been selling rent property for 37 years in L.A. Some of this stuff might not apply to your city or state but most of these recommendations may. DRE lic 00919713

Guys you are crazee if you think you can strong arm tenants or threaten them in any way and get a way with it. Any talk about CCW or weapons is nutz. Stop talking about bikers or Spec Ops. That is the fastest way to jail as the courts are sympathetic to tenants and unjust to landlords. For you not in Cali you have no idea about the laws our pathetic politicos pass. If you are not in a rent control city Berkeley, Beverly Hills, East Palo Alto, Hayward, Los Angeles, Los Gatos, Oakland, Palm Springs, San Francisco, San Jose, Santa Monica, West Hollywood then you are automatically under The Cal Tenant Protection Act of 2019 AB1482 (with some exceptions). Here is the link to the law  <<click here

Find a competent attorney. And be very careful of buying small rental properties in low class areas with tenants in place. Did you look at their rental applications? Does their lease say if the can sublet or have people move in? If it was me I would offer the tenants way more the 3 months rent to get out. 3 months? Pfft no one will move for that. Prob more like 10k. And if/when they get out file an insurance claim with your ins company for the damage. That's about all you can do at this point. 

Are you in Merced CA or Los Angeles? All properties in California that are not under local rent control are now under Calif Statewide rent control courtesy of AB 1482 and their are restrictions on evictions I believe.

When I was about to list my Uncles trashed out house, I contacted Homevesters.com and they put me in touch with a local franchisee and he purchased the property without using the MLS.