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All Forum Posts by: Jerel Ehlert

Jerel Ehlert has started 7 posts and replied 853 times.

Post: Landlord won’t fix AC in timely manner or provide alternatives

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

I'm only licensed to practice law in TX, but I'll chime in:

1) Rent is based on what is included at time of leasing.  There was a functioning AC.  Now there is not.  Rent abatement is possible.  (as is I'm paying XX per month for functioning AC, and it could have been fixed by now, and LL is changing the bargain by willfully refusing to fix -> reduce the rent by an amount reflecting the monthly value of the AC usage).

2) Tenants will remember this and **** over the *** hat Landlord.  They have use and occupancy of the property.  Even though I'm not licensed in OH, my thesis paper included a survey of LL/T law in all 50 states.  It is harder to get rid of tenants through eviction on the east coast states.

3) Courts generally disfavor landlords (unofficially).  Screwing over spouse and kids of active duty deployed will get the LL sanctioned or fined, to the limit of the court's authority.  Not to mention getting blackballed among active duty spouses.  She should contact the base for assistance in dealing with this Landlord.

Just my $0.2. (and former Navy).

Post: Bad Foundation - Who is right here?

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

There isn't much getting around an engineer's letter from only 2 months ago.  The foundation is structurally sound.  Period.

What does that mean? The slab is not cracked, is whole, and continuous.  Instead of bits coming off and shifting, the whole plate is shifting.  There are low spots.  These get filled with floor leveler (that is a real thing, not a gag).

Like Michael said, offer what your numbers tell you to buy it at and move on.

Post: Selling Agent lying about having a tenant.

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

Have a frank conversation with the agent (and if necessary, their broker).  If that representation formed the basis of the offer, and it was false, they are outside the exemption from Texas Deceptive Trade Practices Act.  I doubt anyone really wants to go there, but...

Post: The new TX laws and what contracts should I have as a wholeseller

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

Pretty much spot on for what @Ryan Blake said.  Before I became an attorney, I used the TREC 1-4 residential contract.  You can use it for cash purchases, sub-2, and wraps.  It's free and title companies know how all the blanks function.

TREC got the Tx legislature to redefine what it means to "broker" to include assigning contracts, to the extent that you must disclose your intent to assign the contract.  This, in my personal legal opinion, is horseshit, but until challenged in court, will stand.  

Post: Investing in Properties that owe back taxes.

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

@Michael Randle re: your example.

Buying a "tax lien" can be a property tax loan under our property and tax codes.  There are very precise requirements under the codes you must comply with, but if you do, you step into the shoes of the taxing authorities, including their priority.  That means you have a higher priority lien than even a mortgagee.  Foreclosure is under the judicial process, and can take months.  

If you do foreclose and if there is a mortgagee, they are wiped out so long as they are given notice of the suit.  @Bruce Lynn is correct - most of the time they will step in and cure the defaulted taxes.  They also pay the costs of the suit and court, and the statutory interest on taxes.


I worked one of these where the lender stepped in and paid the taxes, court costs, my attorney's fees, and interest before I got an order of sale.  She wanted the house, but was almost as happy having the interest.  I had another where I represented the former owner in getting the excess proceeds (property was sold at sheriff's sale for much more than taxes).  Mortgagee was a Countrywide spinoff that woke up and claimed all of it 10 years after they stopped asking for payment on the mortgage.

Yeah, this kind of file can get interesting.

Post: Bought a foreclosure but it’s occupied

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

PSA: In Texas, an eviction after a foreclosure is a 30-day notice to vacate, not 3-days.

Post: Tarrant County TX - Judicial Foreclosure Fees

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

@Ryan Drean I can't say specifically what fees to expect in your case.  When I say that the NJF costs are added to the JF, it isn't at the end of my cases, but added in at different stages.  I have the costs to start the suit (JF fee), then get permission to send the NoD (NJF fee), then filing the returns and get order to send NoF (JF), send the NoF (NJF), then return to the court (JF).  Technically, the rules of civil procedure say I don't have to appear for oral hearing if the debtor didn't make an appearance, but most judges make us anyway, so that is additional JF fee.  THEN the judge signs the order allowing the sale (JF), which we conduct on the 1st Tuesday allowed under the property code (NJF).

JF has all the same steps of NJF, just with court oversight, and all the costs of both a suit and trustee's sale.

Post: Tarrant County TX - Judicial Foreclosure Fees

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

@Greg, Probably judicial foreclosure on deed of trust to secure assumption (usually of the spouse that got the house in the divorce gives the other a lien to ensure the mortgage gets paid).  If unable to foreclose non-judicial, there's an expedited section of the Texas Civil Procedure for judicial foreclosure.

Judicial foreclosure will be more expensive than non-judicial.  The attorney is doing all the same steps of non-judicial, with the added joy of filing and getting the court's approval before and reporting back afterwards.  My non-judicial is $1600+ expenses, judicial is hourly with a $3K retainer to start.  Each court (even within the same county) runs slightly different and have latitude to ask for more or less from the foreclosing attorney.  If the spouse fights the foreclosure, costs will go up.

Post: Maintaining annonymity from your renters

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

Also, under the Texas property code you are required to disclose who the owner and manager are.  Sec. 92.201

Post: New Member Introduction

Jerel Ehlert
Posted
  • Attorney
  • Austin, TX
  • Posts 887
  • Votes 758

Hi @Nancy Truong!  I was licensed in 2015, but started real estate investing in 2000 and didn't go to law school until after the crash.  

Tonight Jet Investors and Renter's Warehouse have a monthly bash at the Red Neck Country Club in Stafford.  You have to register for it, but it is free.

There's the Rich Club, Wealth Club, Prosperity Group, and Quest IRA meetings to name a few around Houston.