All Forum Posts by: Roger P.

I never understood going around and collecting rent $$s at the property. Maybe back in Mayberry you could get away with it. There is always a resistance to change, but we converted all of our tenants to deposit accounts several years ago. It is amazing how much easier it is- no more waiting on the post office, or listening to excuses about the check's in the mail...

We did convert people gradually as leases were being renewed- I think all tenants really like it now that they are doing it- they have more options on how to pay- they can go to the bank and make the deposit or setup recurring deposits that are automatically transferred from their account to ours. and they get a receipt showing their rent was paid at the time it is paid.  

You posted that "the fireplace hasn't been working for a while"- was it not a priority for you and PM to fix? How long ago or how many times had tenant requested repair?  You posted that "the tenant fixed the gas line"- was it leaking gas and possibly a safety risk? Is the fireplace needed to keep the unit comfortable?

From a different perspective- Would you rather be right or rich? What is the monthly rent for this unit? Is the $200 worth the cost of eviction/turnover costs? How long have you had this tenant? Is this an opportunity to train the tenant and PM on your expectations?

I could use a bit of advice. We have an upcoming vacancy in a duplex and will be able to raise rents either a little or a lot. If I do the usual move out routine of cleaning, painting, replacing carpet etc., we will be able to easily raise rents by about $200 per month.

If we do more of a remodel, i.e., replace cabinets, update bathrooms, new base boards, new upgraded interior doors and maybe reconfigure the interior we could probably raise rents by $400 or more.

We have a pretty good handle on how to do a tenant turn over and get a unit ready to re-rent quickly. We do not have a lot of experience in doing a full remodel. The questions I have are, is it worth the extra cash to do a full remodel to the property? How long should the payback period be? How do I find quality contractors that can get in and get out quickly? Should we hire someone to give layout change suggestions or other improvement ideas? Are there specific materials that can be used that stand up better to tenants? 

I just finished the “Tax Strategies for Savvy Real Estate Investors” book that was recommended - Loved the book and I got several good ideas from it. Reminds me of the saying “you don’t know what you don’t know”.

I have used a non-CPA tax guy for the last several years and I am starting to wonder if I am being underserved. He charges about $300 each year for the preparation. I provide all of the information from the W-2s, 1099s and 1098s- Quicken report for all rental expenses. The process takes about 30-45 minutes to enter the info into his software. I review the returns to verify the data was input correctly and they are sent. Seems like I could do what he is doing by using turbo tax.

We have our primary residence, a few duplexes in the metro Denver area, a rental in AZ and my W-2 job. The tax preparer has some rental properties of his own and a few of his other clients also have rentals or commercial property. I have asked about using various entities as a strategy for liability protection or tax savings and he has pretty much poop pooped the ideas as not being cost effective. He believes that the only people that make any money with LLCs or partnerships are the attorneys and CPAs that set them up. He also believes that the liability protection is better mitigated by increased liability insurance.

Is he right? Does anyone know of a tax preparer that is a specialist in the real estate arena. I am not looking to through away money but I have heard from several sources that there may be better ways to protect against liability issues and save on taxes.

I will be there.

Thanks for hosting the meeting Bill!- it was a lot of good information and an outstanding presentation! The info was timely as we are in the process of sending out several Lease renewals with rent increases. It was nice to go to an event with other landlords from the area. I look forward to the next meet up! 

It was really good to meet you and I enjoyed the conversation with both you and Martin.

Sounds great. I have also been looking for info on the meet up, excited to meet everyone.