All Forum Posts by: Jay M.

Please share your favorite additions to your lease agreement, or share what you would like to add.

My rental lease is good, but I want it to be better. I'll soon meet with a guy who knows the local laws so I'd like to present him with your good ideas to verity they will fly in my area.

For instance, my lease needs more explicit language as to tenant responsibility for repairs.

Thanks Shawn & Doug.

I'll check Tyroc. I did use a layered subfloor with green glue, which made a difference.

Would you guys consider vinyl in a mid to higher end place? Maybe the grouteable stuff?

What flooring would you install in a mid to higher end 2nd floor rental where impact noise is an issue? Carpet is not an option.

The property is in a higher rent area; especially the first floor unit. I was planning to go with laminate on the 2nd floor living room and tile in the kitchen/half bath. Tile would be great, but possibly the noisiest option (impact noise) and the kitchen is right in the middle of the floor plan.

I treated the sub floor to reduce noise, but am now considering laminate or even vinyl (due to better moisture resiliency).

Is tile going to be much louder than the current existing sub floor (at least in terms of impact noise). I know the tile would help airborne noise.

@Brant Richardson @Scott E. @Annette Hibbler If I pay myself for the work I did on the property, adding that to the costs of acquisition and renovation, and deduct PITI, 10% for maintenance and 10% for vacancy/etc., then I would cash flow at least $500. I would be left with a ~35% equity position and enough cash to expand.

The point that many of you have made, and that I neglected: do I have good deals to use all that leveraged money. Probably not. Thanks!

@Robert Leonard I hadn't considered using a LOC, this might give me more flexibility. If I didn't find additional properties then I wouldn't be stuck with cash I can't use. I'm feeling more comfortable with the idea of having a lot of equity in the property.

Thanks Brant. I would like to buy several more properties in the next year/two though I'm not yet sure if I'm going to accumulate what I would call a large portfolio.

If I finance for what I have put in, it will probably cash flow $200+/unit and I will have two or three down payments in equity. Would it be reasonable to finance for a lot more and use that to buy more properties rather than selling and paying the gains?

I'll soon be financing a duplex that I bought with cash, then renovated. I bought the house as a buy and hold.

The property has appreciated a lot because of the area and the reno, and will likely appraise at a point where, if I finance at 80%, it won't cash flow (using the 50% rule). Of course nearly everything is new so maybe I'll still be ok.

So, I should either sell it, or finance less of the property? I could finance 97% and use the extra cash to invest in other properties - it won't cash flow for a while. For some reason I feel the route forward should be clear but for some reason I don't see it.

Thanks Elizabeth. I have already added this and some other items to my lease. The real problem is that I did not trust my gut. They were awesome applicants but I had a feeling they would be high maintenance. Serves me right for not trusting my gut!

My gut isn't helping much with the squirrels though.

I wish I had been as self-directed towards a business goal when I was just out of university. Apparently you are driven and know what you want - good for you! My advice would be think about moving in a direction that allows for flexibility. Your career is young and who knows where you'll be in a year or two. Travel to Japan could turn into living overseas for extended periods. This happened to me. At graduation I would never have imagined that I would move abroad - I loved Japan, and then Brazil. My business had to wait, yours may not. I hope you enjoy your travels and the beginning of your business.

I think I need a lesson on what I am responsible for as the landlord.

The tenants that occupy the upstairs unit of a duplex have been complaining about squirrels in roof area above their third floor bedroom. The squirrels are inside the ceiling walls and there is no access to that area. The lease mentioned nothing about pests.

I have used a trap to catch 7 or 8 squirrels over the past three months. When I catch a pair, a new pair moves in. I filled one hole in the eves without success. I am planning to cut some trees next to the house and will fill a hole when the weather allows me to get to the roof because I don't want the damage, nor do I want unhappy tenants.

Recently, they said that they are frightened that the squirrel will come inside the house and that they have talked about moving out - I didn't discourage this because they complain about everything. I had to explain to them that they should not call me when someone parks in front of their driveway. You know the type.

My question though - how would you treat the squirrel issue, and the tenant issue.