All Forum Posts by: Marcia Maynard

The best solution we've found for a basement is a commercial grade sheet vinyl flooring with a loose lay. We purchase a good quality nice looking wood look-a-like vinyl. The tenants place an area rug on top. Best of all worlds. Durable, withstands moisture, inexpensive, quick and easy to install, flexibility to change out as needed, and the tenants like it.

We've modified our rental agreements over the years to suit our needs. I started with a standard lease agreement and incorporated best practices borrowed from other lease agreements.  We never had to take it to an attorney or realtor. Just be sure your lease is compliant with the landlord-tenant laws for your jurisdiction and meet the requirements of your local courts.  We actually have a core rental agreement (7 pages) and addendums, such as the property rules (10 pages), mold disclosure (1 page), lead paint disclosure (1 page), utility transfer (1 page).  Yep, 20 pages!  Common sense is not common, so we spell it out from the start and our tenants appreciate this. Also, the font is easy to read (Times 12 point) and with 1 inch margins as required by our county court. I've seen some terrible lease agreements that were one or two pages, micro print, and didn't cover all that was necessary. We aim for long-term tenancies, so we prefer our rental agreements to be thorough and easy for all parties to understand and follow.

We only show properties after a person has passed our telephone screening interview.
The the time of showing, we provide: a printed copy of our rental criteria, a printed information sheet about the property, and a printed application.  We also have a copy of our rental agreement on hand so prospective tenants can view it in advance. Flyers (property information sheets) help prospective tenants remember the features of the different properties they are considering.

You need to have strong wording in your lease and the moxie to enforce it.

Here's an excerpt from our rental agreement:

SMOKE ALARMS AND CARBON MONOXIDE ALARMS. Tenant acknowledges that Landlord, or his agent, upon commencement of tenancy at the above described premises, has installed or caused to be installed __________operational smoke detection/alarm device(s), __________operational carbon monoxide detection/alarm device(s), __________operational combination smoke/CO detection/alarm devices and has shown Tenant their operation. Tenant assumes responsibility to maintain these detection/alarm devices in proper operating condition and will not tamper with these detection/alarm devices. Failure to comply with these provisions would be a violation of the laws of the state of Washington and can result in a fine to Tenant of not more than two hundred dollars ($200), and is grounds for eviction.

The late rent is a separate issue. Find the root cause for the late payments and address that. If the tenant pays within a few days of the cut off and pays the late fee each time, I wouldn't sweat it. Gently guide them back on track. Most tenants who pay late occasionally by only a few days are generally not struggling to pay rent, but more likely forgetful. Try to get your tenants to set up auto-pay (through a payment platform) or bill-pay (through their bank) to make it easier for both of you.

Allow the dog according to your pet policy. Make sure you have a pet addendum that includes information that demonstrates they have what it takes to be a responsible pet owner.

Here's a sample of ours:

PET AGREEMENT

(Addendum to Rental Agreement)

The Month-To-Month Rental Agreement (the “Agreement”) dated _______________________ between __________________________________________________________________________, as Landlord and ________________________________________________________________________, as Tenant of real property located at _______________________________________________________, is hereby amended to include the following terms and conditions: 

The rental agreement specifically prohibits keeping pets and animals without Landlord permission; Tenant agrees to follow these terms and conditions in exchange for permission to keep a specific pet:

Condition for keeping a pet:

Tenant agrees to pay additional rent of _____________ per month for the privilege of keeping this pet.

Tenant agrees to pay additional security deposit of ______________ for the privilege of keeping this pet.

Name of pet: ___________________________________________________________________

Description of pet: ______________________________________________________________ (type, breed, color, age)

Veterinarian: __________________________________________________________________

Emergency Caretaker: ___________________________________________________________ 

Tenant agrees to:
1. Provide proper care for the pet in accordance with veterinary recommendations or ASPCA (American Society for the Prevention of Cruelty to Animals) guidelines. See www.aspca.org.

2. Adhere to local ordinances, including leash, vaccination, and tag/licensing, requirements.

3. Clean up after the pet and dispose of pet waste properly and quickly.

4. Not to leave pet food or water outside the dwelling, as it could attract other animals.

5. Not to leave the pet unattended for any unreasonable periods of time.

6. Keep the pet from being noisy, aggressive, or from causing any annoyance or discomfort to others.

7. Immediately remedy any complaints that arise from pet behavior.

8. Immediately pay for any damage, loss, or expense caused to others by the pet.

9. Provide pet with regular health care, to include inoculations as recommended by a veterinarian.

10. Spay or neuter the pet when it becomes of age to do so.

11. Arrange for an emergency caretaker for the pet.

12. Maintain adequate insurance to cover claims resulting from damages or injury caused by pet.

Tenant agrees to indemnify, hold harmless and defend Landlord against all liability, judgments, expenses (including attorney fees), or claims by third parties for any injury to any person or damage to property caused by Tenant’s pet.

Landlord reserves the right to revoke permission to keep the pet should Tenant break this agreement or provide false or misleading information.

Landlord _____________________________________________________ Date __________

Tenant ______________________________________________________ Date __________

Is the tenant still renting a place from you or did they vacate?  
How did you find out about the problem?  Did you verify the facts?
What does the tenant have to say about this?  How was the tenant able to do this without your personal information, SSN, and signature?

I would not pay a bill based on fraudulent activity. Instead pursue removing your name and personal information from fraudulent accounts.
File a dispute immediately with the cable company.  File a dispute with the credit bureaus and freeze your credit until you get this resolved. File a report with the police when you have sufficient evidence to do so.

Check the status of all utility accounts associated with the rental unit. Some utilities can become a lien on the property if not paid, others will chase the tenant and not hold you accountable. Use the security deposit after the tenant has moved out for missing items, damages, unpaid utility bills that could become a lien on your property, unpaid rent, unpaid fees, etc.

Good luck!

RATS!  You need traps... the big snap type traps. They work best when mounted a a board that you can easily pick up and move without danger of snapping your fingers off.  We had a Norway rat infestation at a home on the Oregon coast. It was gnarly.  A woodpecker had pecked at the siding at the second floor level creating a hole. The Norway rats from the woods climbed up the vertical siding into the hole and gnawed their way through the wall cavity and into the attic. From there they made a breeding den and nests in the insulation.

It's important to get the rodents out of the structure, sanitize the areas where they've been, and seal closed points of entry. Trap on the inside, don't poison, because you want to be able to retrieve the carcass and dispose of it properly.  If not, it may rot in the walls and create nasty odors.  Our pest management company traps (snap traps) on the interior and baits (poison bait boxes) on the exterior. That's a good approach. Be patient. It takes time and diligence to resolve the problem.

There are some good websites for DYI pest control. It's not hard to figure out and do yourself, but if you'd like to leave the task to someone else, by all means locate a competent and honest pest management company. That industry is fraught with people who are incompetent and/or dishonest. To locate a good company, start with the professional association for your state. They will guide you with how to choose a company that will meet your needs. Then check the references and reviews. It's amazing how many rogue pest control companies are operating out there!

Good luck!

I'm sorry you're finding yourself in a tight spot. Where is this property located? What was your dream for the property? How did you originally acquire it? Do you really want to sell? Or are you feeling trapped by this circumstance and believe you must sell?

You could sell the property "As Is" with the tenants as part of the deal.  If you are accepting a cash offer for below market value, then let someone else buy the problem.  California Landlord-Tenant law doesn't favor landlords and it can be a difficult and lengthy process to evict tenants in many jurisdictions. If you're an out-of-state landlord, you need boots on the ground to work with you and/or a good property management company and/or a good construction company.

Is it possible you received inaccurate information about the assessment of fines against a property owner for illegal activity by the tenants?  What's your source?  If you make a good faith effort to prevent illegal activity by establishing clear terms in your rental agreement, take steps to periodically inspect the property, enforce the terms of the rental agreement, and do all you can to comply with the law, then you should be able to avoid those kinds of fines. How did you find out about the marijuana grow? Did you receive a code compliance letter from the city/county/state about it?  Most government agencies will provide a means to come into voluntary compliance before assessing maximum fees.  I'm wondering if someone is working the system by instilling fear in you, giving you wrong advice, or even reporting code violations to authorities, with the intent to get you to sell your property. Hmmm.

Time for you to clarify your values and verify the facts before making a decision.

For over 24 years we have been buy and hold investors of single family homes and small plexes. Currently we have 17 rental units.

We created two LLCs for our holdings and engaged the services of an attorney who specializes in business matters to do so. The legal services included a meeting with the partners, creating the Operating Agreement, creating the Memorandum of Action in Organization of the Company by the Members, filing with the state, and periodic review and adjustments to the LLCs as necessary over the years. We pay a premium hourly fee for the services of the attorney and a lower hourly fee for services of other staff in the attorney's office who assist the attorney.

We've only needed to engage the services of an attorney on three occasions to evict tenants by court order. We work with an attorney who specializes in Landlord-Tenant Law and Evictions for such. Because we are members of the local rental association, we get a discounted price from the attorney that serves the association. The eviction service was a flat rate fee of $600 + costs = about $800. It included a review of our rental agreement, preparing and filing legal documents with the court, serving legal papers to the the tenant, representing us in court in front of the judge, and securing the services of the county sheriff to enforce the court order.

So far, our real estate purchases have not required the services of a Real Estate Attorney because we work with a top notch Escrow Agent, a great Realtor, and a good Loan Officer. The Purchase and Sale Agreements have been straightforward and primarily standardized.  However, we did purchase a few properties on Contract from a family member and did seek out the services of an attorney to review and prepare documents for that purpose. Depending on the type of work that was necessary, our attorneys charge a flat fee for preparation of standard documents and/or an hourly rate for other services.

Another area that may require the services of an attorney would be related to insurance and liability issues. Since we have established and maintained a great relationship with an insurance broker, we have in place appropriate insurance policies to provide us with a layer of protection. Our insurance agency will go to bat for us when we have a legitimate claim or if someone tried to sue us. It's the scenario of "Our people will talk to your people." Insurance companies have strong legal teams to protect the insurance company interests and those of their insured when facing adversaries.

The tenant appears to have made a good faith effort to mitigate damage and notify you in a timely manner when he discovered the problem. I would not hold the tenant accountable here.  Appliances sometimes fail and can cause significant damage when they do. It could have been worse. Be grateful and maintain a good landlord tenant relationship.

There are some things landlords can proactively do to help prevent situations like this: 1. Perform regular maintenance inspections of their properties   2. Put water alarms or sensor shutoff valves in in high risk areas such as with hot water heaters, washers, fridges with water lines, dishwashers, and in cabinets under sinks.  3. install a DWIP type pan under dishwashers, washers, and hot water heaters so leaking water will run in a direction where it is more likely to be seen and not cause damage. 4. Keep an appliance log which indicates useful life of appliances to anticipate when certain appliances might fail and need replacement. 5. Have sufficient insurance coverage.  6. Require tenants to have renters insurance in place that lists the landlord as an interested party.