All Forum Posts by: Ian Barger

@Theresa Harris The current lease does not have any fees for pets. I personally will write all of my leases to include a pet fee if any are in my property. 

So, what are my options to remedy the situation then? Do I give the option to either get the animals and the boyfriend out or to sign a new lease under my terms? If we both agree to sign a new lease, is it legal for me to just terminate the current lease? I highly doubt she will get the animals or the boyfriend out and if she doesn't, she is violating her current lease, so my understanding is that I have every right to demand she complies or signs a new lease with me, correct? 

Thanks for the responses. 

@Theresa Harris I have asked my realtor to see about having them lower the price to cover that lost rent so I am waiting to hear back on that. They are $250-300 under what I expect to get for rent so it would be a big hit. 

I am closing soon on my first house hack and first home ever. It is a great property in a great location, and I believe it will be a solid investment for me. I will be inheriting tenant who has been in the property for several years now and always pays rent on time. The only issue is that she is way under market rent and will greatly impact my returns for as long as she is still occupying my property. 

Her lease ends at the end of the year but she has an option to extend the lease for two more terms with only a small increase in rent which will still leave me with very low rents compared to the market. She has expressed interest in leaving at the end of the lease if she can find a house to buy but if she can't I would hate to be stuck with her for any additional terms. She is violating the lease in a few minor ways such as having two additional animals that aren't in the lease and a boyfriend who has moved in even though he is not on the lease.

I am willing to let her stay until the end of her current term this year despite these infractions, but once this term is over, I want either sign a new lease with her or find a new tenant who will pay current market rents.

So my question is, are these infractions grounds to not honor the existing lease should she choose to exercise her extension clause once this current term comes to an end? If so, do I just refuse to extend the lease and how do I go about doing that?

Thank you for any advice.

Thank you for the replies! @Michael Dumler, I was approved for a 3% conventional loan but all of the lenders I have spoken to tell me that they can't get me that type of loan for small multifamily. I am committed to purchasing a small multifamily which is why I have been steered towards FHA, although it isn't my first choice for a loan product.

Does anyone have any suggestions for getting an FHA offer accepted in this extremely competitive market? I am trying to purchase a small multifamily property to house hack for my first home and I am finding that getting an FHA offer accepted is difficult. I understand why sellers find FHA buyers less attractive than a conventional loan buyer, but FHA fits my needs much better. Does anyone have any strategies to make my offer more competitive or should I just wait a bit longer and save more money so that I can put more money down with a conventional loan?

Thank you!