All Forum Posts by: Kate B.

 Scott, I was upfront with the insurance guy about my plans and it made no difference at all.   I have found that the people on the second floor are working out nice ways to give each other space.   The couple has use of a vacation place in Maine, and the single woman has many friends around here who she does things with to get away.   I have my own unit and I travel a lot.   I have found it necessary to say "this will be a landlord's weekend off", to which I always get the response "you should have every weekend off".   Sweet.

I expect problems, and probably on the third floor.  The last person to move in wanted it immediately.   He is in town on a corporate project for a year, then going home to his family in Texas.   Because he was such a fine tenant on background, I said yes immediately, with the other man's okay.   Obviously personalities will matter.   I think the worst is someone will leave.   I can deal with that too.

I was so happy yesterday about something nice that happened I just want to share my good news.

I bought my first investment property last December and then spent the next months fixing it up.  I had to change contractors in the middle after the first one marked up prices of things from Home Depot -- as if I couldn't check.  But he also had a self-esteem problem and kept needing positive feedback and I got sick of it.  

Last December, after I was under contract and days before closing I spoke to the realtor agent who helped me buy the house.  I asked what she thought I could rent each floor for.  She said $700, or $750.  That stunned me.   I asked if this was in current condition or with all new windows, new floors, new lights, new counters, etc.  She said it was after repairs.   I was floored and I told her so -- but I didn't say I never would have bought this house if that was true because I didn't believe her.   (FYI, this 3 family house was always owned and lived in by generations of one family so there was no history to check.)

Here's how it played out.   I decided to use the first floor for myself -- the whole reason I bought property in Worcester was I could not find rental property for my own use with two dogs.  I do advocacy work here and wanted a place to stay, so I took the first floor.

On the second floor I rented out two bedrooms separately, with the tenants meeting and approving of each other.   A couple is in the larger room paying $700 including utilities and a single woman is in the other room paying $550 plus half utilities which are in her name.  (I pay her the other half out of the couple's rent.)   I'll take in about $1,175 a month after paying half of the utilities.

On the third floor I also rented out two bedrooms separately with the tenants meeting and approving of each other.  There is a middle aged single man in each room.  One pays $625 plus half utilities and other pays $550 plus half utilities, which are in one man's name. That's $1,175 a month.

They all signed leases, the last one this week.  All have paid their rent.    I think RE investing suits me just fine.  Just wanted to share it.

It depends on what you enjoy.   I am a small scale RE investor after a career of being a lawyer doing Family Law work mostly.   I find I am thoroughly enjoying constantly learning about how a house works (and how multi-families work) and I enjoy my tenants and I enjoy making money.    Yes, I enjoy many other things, and so far there has never been a day when I wanted to do something else and my RE life interfered.  

Well, I am glad I asked about this because I learned a great deal. Here's what happened.

The person who got the job offer has not had a background check yet, from his new employer. His wife told him not to sign a lease until all that was done.

I had not canceled any appointments to show it to people, and the first person I showed it to took it at noon today.

Thanks Colleen.  He's paying as of June 1, but not coming until mid June.   I made him pay for whole month (since that's what I advertised and it seemed very likely I'd find someone who would).  So the check will come before he does, or neither will come.

NEXT time I will say certified check, but I didn't think of that and already told him how to do it.  I have to start writing all these things down.   I got some great advice from people here.

Thanks!

I have to look into the electronic free options.  I forgot, since nearly all my tenants want to pay cash.

"Just figure out how to make it work and be happy you don't have to show it anymore!"

That's exactly my thinking.   Thanks!

Thanks for all the great advice.

Renting it for June tenancy this late in May was a whim.   I almost went with July 1.  I don't feel I have risked much doing it the way I have.   His extensive Linked in profile fit what he told me and what I researched.   What he said also fit with the university that's his new employer -- I am an alum.  I did not put any money out.   I will know a lot if he does what I asked him to do:  provide first and last months rent in advance (covering me for 60 days if he bails) and provide security deposit when he arrives.   I haven't risked anything except canceling appointments with people who wanted to see it.  I also told him if he does not email back signed lease ASAP, I will continue with all scheduled appointments with prospective tenants.

My main concern was how to get docs and rent fast which can remove more risk.

Thanks again for all the great insights shared!

This is my question.   What is the best way to have him send first and last months rent?  Overnight mail?  FedEx?    My plan was to have him email back signed lease, then send back hard copy of signed lease with check in overnight mail.   (By the way, is overnight mail really overnight?)   There is a lot of interest in this property, but I see his reason for taking it fast.  (He does not have a car and his employer -- a university -- is right up the street.)

I am a rookie landlord and never encountered this before.   FYI, he gave me his full name and current employer and all that.    I just want to know the best and fastest way to get papers and the rent.

Thanks!

In NY it is required by law that a licensed real estate professional has to disclose it.  I don't know about California.