All Forum Posts by: Josh B. James

We have a rental that is currently under a month-to-month lease. The current tenant has been paying $825/ mo, on time, for the past 3 years, but market research suggests we should be charging $1600 - $1700/ mo. The tenants are capable of renting at that price range but are obviously accustomed to the $825 rate they have had for the past 3 years. 

I've read up on offering 3 rent tiers in a rent increase notice, which I would like to incorporate, but how much should I raise rent and what should the timeline be to get the rent up to market rates? I'd like to get it to market rates as quickly as possible without spooking the current tenants. I image a 3-year timeline:

Yr 1 - $1,000/ mo (1 year lease), or $1,100/ mo (6mo lease) and $1,200 (month to month). 

Yr 2 - $1,200/ mo (1 year lease), or $1,300/ mo (6mo lease) and $1,400 (month to month).

Yr 3 - $1,400/ mo (1 year lease), or $1,500/ mo (6mo lease) and $1,600 (month to month).

Has anyone else dealt with this, or have any strategies to reduce sticker-shock/ timeline to reach the market rate?

Hey, this is my first time on the site, so apologies if I am asking a question that has been asked. I am struggling to find financing for purchase + rehab for a primary residence. The home price is $300k, the renovations would be about $150k, the ARV would be in the $550k area and I have 10% down. I just learned hard money lenders won't finance a property intended for primary residence and every bank I have called says their guidance has changed since COVID-19 and can't do reno loans. Is this just the current landscape? Is there another way to go about this? Thanks in advance for any assistance.