All Forum Posts by: Hoi L.

Agree with Nathan.  Jobs that started less than 2 weeks ago and barely make your income requirement for rent.  In my own experience, when a tenant needs 2 jobs (not 2 people have 1 job each) just to make rent standards will ensure frequent repeated late rent payments.

Consistent long paying jobs and income history is more indicative of stable rent collections.

Keep looking.  

My multi-unit tenants pay for electric but not gas. Even though gas is very cheap, calculations have shown that since this multi-unit is a long term investment, I upgraded my tenants' unit once gas range requires replacement and I paid for the 240V upgrade. ROI is long (close to 10 years) but no longer do I have to worry about "gas smell" and I don't have to worry about the ever rising utility costs.

@Will Fraser

Thank you for your recommendation.  We ended up going with Heil because it is build by the same company as Carrier and Bryant.  The installer provides a better warranty and that is probably even more important I found learned from research.

Thanks!

-Hoi

I had an extremely high water bill month to one of my SFH outsidepf Philadelphia. I texted the tenant and found out the toilet was running. They fixed it. If they don't address the issue, I would've capped monthly water allowance and would bill back to tenants with proof from the water bill.

My 100 yr old 5-plex is being insured at $3,700.  So your quote is not too far off.  It was found by my insurance broker that is my longterm insurance broker for my primary residence and multiple-cars.

We chose 30-yr fixed rate DSCR loans in our last 2 SFH properties due to having them owned by our LLC and do not want the risks of being called by the banks or the rates skyrocketing. The 1% higher rate is worth the steady payments in our opinion, since the properties are still generating positive cash flows at the higher rates.

However, once the recent rises of rates throughout all loans, the multi-unit property we last purchase came from family loans with 100% cash paid. Once the higher rates do not allow for (+) cash flows, we stopped looking at DSCR loans.

@Stephanie P. has been a great resource and provided me with the best package prior to us choosing family loan/cash deal.

Also if you are late with or missing payments, he can repossess the property and keep your downpayment and resale it.

I agree that since you've found them to be "good tenants", then its your judgement call regarding allowing this grace period.  They may be notifying you ahead of time so that you don't think they are too irresponsible as tenants and will start Pay of Quit notice.  However, I agree with others that you have to stick to the late fees (if your lease have it on).  I have had a great tenant that notified me twice ~1-2 days ahead of rent due date (even though late fees are not charged til the 5th-7th of the month dependent of where the 5 days grace period ends on the week) to let me know that they will be late with the rent and that they will pay the late fees along with the rent.  

One of my other tenant also has had late rents but never notified us, just that Innago will notify that the rent is withdrawn due to insufficient funds.

I find it it is better to keep easy (not calling/notifying every few days), clean tenants that will keep your place intact and never miss rents (may be late sometimes) than finding tenants that will keep your passive income investment not so passive.

Good luck in your decision.  

Sounds like you've done everything proper and has the eviction in your favor.  Congratulations.  This is the reason why I will not own a residential property in Philadelphia, instead own my properties in PA suburbs.  State laws are less skew against the landlords than Philadelphia laws.

Keep us posted.