All Forum Posts by: Derrick Snearl

 I totally agree with Matt.  In addition, you've got it easy if your only tenant issue is that you can't figure out how to make it easy for you to collect rent. 

Some tips to consider: 

1. Your tenant should have been assigned a Section 8 advisor.  Develop a very cordial relationship with the advisor and they will often be very helpful with tenant issues. Again, be very cordial.  They can be very helpful in explaining some the procedures I needed to follow if want I want get rid of a tenant without evicting them.  

2. Why have you not tried to evict them for non payment of rent.  If this is a option for you, make sure all repairs have been done.  California is very tenant friendly. If have to go to court this issue could come back to haunt you.  

3. You can following the correct procedure to remove that unit from the Section 8 program. The tenant will then be required to pay the full rent amount. Most will want to keep their Section 8 certificate , so you would hope they would move.  Others may stay and continue not to pay (or pay late), which will give you the chance to move forward with evicting them for non-payment of rent.  I was very tolerate with one tenant I had because , get this, Section 8 paid the total rent - so I was tolerate of some non- rent issues.  

4. Document everything.  For instance, I would send courtesy reminders to one of my tenants who was sometimes late and other non-compliance issues, but I would always fax a copy to her advisors, just to establish history.  In hindsight , I should have been more professional and proceeded with evicting her sooner (I was just trying to avoid going through an eviction). Overtime , the faxes established a history of this tenant being a problem. 

I hope this helps a bit. 

 Thanks Logan A., I appreciate your comments.  My duplex is in South Los Angeles.  I've had it for over 20 years - so it cash flows very nicely.  I must say that it's in a flood zone so I pay the dreaded flood insurance each year - and the premium was recently just raised . All tenants that have occupied my duplex have been  on Section 8 - so I can provide some insight to those who are interested in the Housing Department's Section 8 program. In fact, I just passed a Section 8 inspection a week ago - the cash keeps flowing in!!   There have been a few pundits predicting a major real estate crash in the next few years. I would say if the numbers work and your positive cash flowing going the deal , then why wait. You appear to have a few well thoughtout approaches to go with. You're certainly on the right site to get further feedback.   I definitely will be looking to buy out-of-state before considering to buy in Californa - unless a great deal just falls in my lap. 

 Hi Account Closed,

Thank you for your comments.  I've been heavily vetting a few investment groups or I guess you call them networks that deal with turnkey providers. They all offer real estate investment  education and counseling and have affiliates in several markets that they've "vetted" to provide turnkey properties with tenant and management in place. In reviewing their podcasts, webinars, and online sites, I've been impressed. I'll say I'm less skeptical than prior to all the research I've been doing. I'm sure my dad will cringe when I share with him my goal - all of his properties are within a 10-15 minute drive from his residence.  Los Angeles is not landlord friendly - at all. I went through a very stressful eviction recently. Those who are familiar with The Shriver Act will have a hint at what I'm referring to.

 Hi Sterling, thanks for welcoming me to BP.  To answer your question -  ultimately I see my self purchasing about 15-20 units (assuming my cash flow requirements are met for each unit), over an 8-10 year period (starting next year)  in combinations of mostly SFRs and Duplexes (with consideration for triplexes and 4-units). In addition, I'd like to diversify into  2-4 markets using turnkey solutions.  In a nutshell, that's the goal, we'll see where this adventure ultimately takes me. If all works out, I should be able to reach my goal of mirroring my retirement income coupled with providing a great foundation for my 2 boys to learn about real estate. 

 Thanks Ali for the acknowledgement.  You're definitely someone I would be interested in speaking to you at some point in order to gain some insight about your experience as an out-of-town owner. I don't believe I can meet my cash flow criteria in California's market the way I plan to buy, which pretty much will be 20-25% down plus closing cost - pretty simple and straight forward. No-money-down deals and other creative financing is probably not something I see myself getting into , but you never know.

I'm a Programmer/Analyst (working in Los Angeles) who will be retiring in October of 2018. I own a duplex that I've had for over 20 years - it cash flows very well. My dad basically required each of my sibilings to own at least one income property. I felt I could do much better in the stock market, so I never really pursued real estate much further than the duplex. After being fairly successful with stock investing, my portfolio is at the point whereby I experience "huge" losses (and gains) do to the volitility of the market. I like the ups and hate the down days. I find myself looking at the duplex - it cash flows so nicely regardless of the market, regardless of whether the building has lost some value. So now I'm convinced I should have pursued more real estate during those stock investing years. I'm ready to get more aggressive with accumulating more income property over the next 10 years. I've been listening to hours of podcast and reading recommended books. I'm looking to pursue turnkey-solutions in areas outside of my state. I'm looking forward to learning more about real estate through the Bigger Pockets network of resources.