All Forum Posts by: Jason Schatz

I guess thats my question --- 

If I do nothing, she is already out, so all I am losing is the judgement of money that I was unlikely to see anyway?

If I pursue and someone lose...again, no difference?

If I pursue and win... probably still never see the money but waste their time as much as their wasting mine? 

Thanks Tim - that was my feeling on this that he was just submitting it hoping I wouldn't bother. They have no case. His tenant had a mold issue that was remediated (and documented) and she didn't like it, so stopped paying rent completely.  

The unpaid rent judgement wasn't enormous, a little over 2k.

This tenant turned into a total nightmare. my worst in 15 years of owning properties.  I didn't expect the money to be paid, I just wanted her out. at this point however, I'm considering submitted the civil complaint just to keep racking up her lawyers bills. 

Hi All -

I have a tenant that I successfully won an eviction hearing against for possession & back rent.  The writ of possession was executed and the apartment is vacated, however her attorney has submitted an appeal for the monetary judgement.  

thoughts on whether this is worth pursuing or to just let it go?

Thanks for all the input, this community is always so helpful. 

I started with a gentle reminder that the late fees had accrued and, per our lease were now considered rent, and that took care of it this time around at least...  

good question & point.... it has similar wording that considers late charges additional rent and failure to pay is breach of the lease. I guess I was just looking for any suggestions other than threatening eviction since I doubt I would follow through on that after just a few late fees

I have been reading a lot of the good posts on here about structuring of late fees and it has been helpful.  My leases currently have rent due on the 1st with a 5 day grace period and a flat late fee of $50 after that.  My rent collection is done online and the service automatically issues the $50 late fee if rent is not paid by the 5th. 

My question is, I have a tenant who has been late twice and the late fee has been added to their account but they are only paying the monthly rent.  How do you all force the collection of your late fees?  I could reach out with a reminded that they have an un-paid late fee balance but if that is ignored what is next? 

Makes sense. Last I talked w/ my CPA I had asked him if there was any benefit to billing my contracting company for work on my rentals and he had the same answer — no need as it would only expose me to more SE tax on that income. 

Thanks Ashish, I guess my concern was once the schedule C business completely disappears, whether it was a problem to oinly be reporting Schedule E income/loss without another form of income. My wife is a salaried employee, so that is obviously always w2 income reported. 

Happy New Year All -

So one of my goals for 2019 is to get my book keeping much more organized, and while doing that I have a question I thought I would throw out to those more experienced than I. 

5 years ago I left my full-time salary job to pursue self-employment as a home contractor as well as run our small portfolio (8 units) of rental properties.  For those 5 years, I reported my contracting income/expenses on my schedule C and our rental income/expenses on schedule E. 

I have recently decided - thanks in large part to bigger pockets forums & podcasts - to focus 100% of my time on our real estate portfolio — managing, maintaining, and purchasing more to reach our goals.  I no longer plan on taking any jobs for clients outside of this.

My question comes in regards to how I should set up my bookkeeping and plans for the upcoming year — since I don’t plan on receiving any outside income through my contracting business and my full-time job wil be real estate, would it make more sense to shift my rental income/expenses to a schedule C business? I understand that it would then be subject to the self-employment tax...   I have trucks/tools/supplies etc that I have been including as expenses on my contracting business in the past, but considering that I don’t expect to be reporting any business income, if I filed taxes the way I have been I don’t think the IRS would see my business as operating to produce a profit. 

Just for info, all of our properties are currently held in our own name and my contracting business is under and LLC. Holding the properties in an LLC vs. personal is another decision I will be making but not necessarily the focus of this post.

Any thoughts greatly appreciated.  Thank you!

Thanks Mike, helpful information. 

For those of you that split multi family property cash flow, do you determine this net cash flow on a monthly basis? Or do you set aside amounts for repairs/cap ex/utilities/ vacancy every month as reserves and split up the remaining difference?