All Forum Posts by: Harriet Baldwin

But I like vanilla :)

Lesson - always read before signing!  If landlord signs & then pdf's to tenant, most leases will have terms of how to change a lease that would mean any changes by tenant would nullify the lease.

That said, we sign leases in person with our tenants (small city, not too many units).  We actually take 10 minutes to go through the entire lease in detail before the tenant signs.

If the tenant really wants to change the document, a pdf won't prevent that - it *will* make it more difficult.  A creative tenant could print out a pdf, cut & paste (literally) - or use a pdf editing program - sign, scan, resave the document as a pdf with the original name, and send it back...

In some states that require separate accounts for each tenant, the banks offer a "landlord/tenant" or some such account. It is a single "parent" account for the landlord, with individual sub accounts for each tenant.  I know such accounts are available in NY and in CT.  Our local bank offers them but the branch had never heard of them until we asked...

At least in NY as I understand it, the interest belongs to the tenant *but* the landlord can charge a 'reasonable fee' for managing the account.  With interest rates as low as they are now, the 'reasonable fee' eats up all of the interest.  I assume (but haven't really double checked) that the account management fee cannot eat into principal.  not a lawyer, not legal advice

In our area, we have to deposit security deposits in a bank account, and to do that we need ID and ss# (or, the bank does) to title the sub-account for the tenant's benefit.  So for us, whoever's name the account is in, gets the money (if any) due back to tenant.  (If, as in this case, unrelated parties are sharing a lease, we can end up with more than one security deposit account for a given unit).

Landlord portion follows whatever is in the lease (did they give you enough notice or is any rent due post-move-out, any damage at post-move-out inspection, etc.).  

Tenant portion, did your lease spell it out?  I assume the lease still in both names?  If the lease isn't explicit, and both names are on the lease, I would check with an attorney (I am not a lawyer, this is not legal advice).  Were the funds to you for the security deposit officially (or unofficially) split between the tenants?  That would give you a reasonable basis for a split of any monies due back to tenants. I would be tempted to write a letter *now* to both parties explaining your rationale for whatever split % you anticipate...

Sounds like potentially a good fit.  Is your gut saying "yes" and your analytical side saying "no", or the other way around?  I would not talk anyone out of a gut "no".  Trust your spidey sense :)

You could make sure your lease is clear about consequences for breaking it early, and make sure you get a security deposit.

Has he lived separately from his family before?  Is he also responsible for their housing costs or is some other income from the family covering that?

What @Joe Splitrock said.  Definitely worth doing imo, but know the costs before you agree to a price on the property!

Also, make sure that this is a legal 2 unit - something to double-check any way, but especially if you are planning on splitting the meters.  Check with both the assessor and the code dept (may be able to do assessor online, if property info is available look for "use" classification).

If there has ever been two services, it can be pretty easy (especially if there is still a meter box that is usable).  If there has never been two services and the building was once a single unit that has been divided, it can be much more involved (could require new wiring/separating shared circuits in addition to new box, etc.).  Also in our area the utility does a site inspection that runs $75-200 depending on the situation for a new service.

For common areas, if there are some but they are not large areas, you can sometimes have 2 light fixtures in the shared hallway, one on each tenant's panel.  Shared heat you would either have to split the heat or retain a house (3rd/landlord's) meter.

Assuming all tenants are in a month-to-month status (not sure if that is the case?) and you already have copies of the leases, I would:

-make sure you get adjustment at closing for full partial month's rent from seller (it doesn't matter if tenants are on time, seller owes buyer rent due buyer for stub of month, unless you close on the last day of the month)

-give all tenants a 'hello, I'm the new landlord' letter - note where to send payment and what the payment terms are ("according to your lease, your rent of $xxx is due each month on the first; if payment is not received by the xth a late fee of y will apply")

-pursue nonpayment eviction against anyone who doesn't pay on time.  

-to avoid the whole building vacant at once, for paying tenants (if any) you may want to take 30 day notices (end of tenancy) one unit at a time (start with most under-market rent or least well kept apt) - some folks may start to pay more promptly given your actions!  Also this gives you a chance to refresh the units one at a time.

Go by your lease and local regulation.  

I tend to drop by during first week or two of tenancy to "make sure everything is ok" - also allows a quick survey of housekeeping, undisclosed pets, etc.

If it's an outside inspection (City, Section 8, etc.), I let them know as soon as I know the date (usually a few weeks ahead of time).

If you want to inspect the unit regularly, you could write it into the lease and schedule as far in advance as possible, with a 48 hr (or so) reminder...

If you are inspecting because you suspect a problem, in many cases prior notice would not be required (for example, emergency repairs).

what @Shawn Thom said -pop in, not actual shadowing.  

Our main contractor jokes that he charges more if folks want to watch him work - it slows him down and hinders his concentration.

Section 8 can be a great strategy, but I am also skeptical about a $10,000 house being able to pass without a fair amount of work (beyond just paint and carpet).  We have 2 section 8 tenants now and had more when we were in CT.  Inspection requirements can vary considerably from one market to the next, so ymmv.  

We have bought houses for under $10,000, but they are not section 8 houses and would have needed significant repairs to pass inspection (and we did make significant repairs to them).  Our two section 8 houses were about $14,000 and $22,000 initially, including fix-up in the latter case.  Median home price in our county is mid $70,000s (closer to $35,000 in the specific neighborhoods).

The $14,000 section 8 property was occupied by a section 8 tenant when we bought it, but had a lot of repair costs at our first section 8 inspection (the building's second).  Things had not changed significantly since inspection #1, and this a fair inspector.  Apparently inspection #1 was motivated to get the tenant out of a dicey situation, with some "we can worry about that next year" items (and there were no children at inspection #1, there were at inspection #2).

Is this a "C" tenant in a "B" property (argues for giving notice)?  Or is the tenant pool for this property likely to bring you less than perfect tenants all over again (argues for living with their imperfections)?

If you do decide to keep them, raise the rent slightly (unless you already have, and/or are at market for the condition the apt was in when they moved in), get the repairs done to insure habitability, and give them a deadline and a cost for replacing the AC filter ('replace AC filter by x date or we will do it and charge you $y as added rent' assuming your lease allows such).  Check with your lawyer to make sure anything you do is legal where you are (and doesn't somehow trigger a 1 yr lease)...

Also, don't forget this is a business :)  Yes, it seems more complicated to ask someone to leave who is pregnant, but including that in the post suggests you are thinking like a friend, not a landlord.  You can be compassionate without losing money :)

Good luck!