All Forum Posts by: Matt Ziegler

Madeleine,

Congrats and welcome! Treat this like a business from the very beginning. Follow the laws of your state, and like others have said, give them notice to vacate and start fresh. 

We had a similar situation and told the tenants that we had work to do, and that they could reapply once we had the property upgraded. Of course they would have to meet our rental criteria and pass our screening process.

They left, we improved the property and brought rents up to market value. We now have well screened residents who take care of the newly remodeled house and we enjoy better cash flow. Everyone is happy, including the neighbors!

Short term loss of revenue, long term benefits. This is a long term business.

Best of luck, cheer’s

Angie,

I think you need to be clear on your long term goals. Does this deal move you in that direction? Is yes, move forward, if not, keep moving.

The rate change isn’t the sellers issue.
What are the current rents like, market value or below.

How will this property perform I’m 3 yrs., 5 yrs.?

You might ask the seller what concession they will make due to the issues , but I wouldn’t push it too hard. If you plan to keep this property, will it matter in 10 yrs?

Best of luck

Congrats!

Felix,

Be respectful, friendly and firm. When do the leases run out? Have you reviewed the current leases?

When time comes to renew , provide clear rental criteria, follow all the local and federal laws, treat this like the business it is. Treat folks the way you would want to be treated, be friendly, but not friends with your residents. If you plan on self managing, learn as much as you can about RE managing.

Congrats and good luck

Nothing I can add that the others haven’t already covered. Letter of non renewal and move on!

Good luck on your journey 

Doug, congrats on getting to this stage.

I am not an agent or a lawyer, but check your state dept. of real estate web site. You should be able to get a state approved contract for real estate there. Or you can go to sites like legalwhiz.com and purchase forms.

Another option is to contact a real estate attorney, might cost you more, but consider it tuition.

Our first deal we wrote up , the title company was also helpful.

Best of luck!

Reiner, the bigger question is, why is the unit still vacant.

In todays market, a properly priced rental goes very quickly.

What is the scope of work the PM is doing to the unit?

August 21-March 22 is a long time that is a lot of lost income.

Depends on your goals. With the lack of inventory and crazy high resale market, it could be a good time to cash out.

That being said, if your goals are more long term, this property sounds like a solid long term rental in this market.

Either way, best of luck!

Will this be a hobby, or a business?

Your answer to that will also answer your first question.

If this is to be business, treat it as such and set up the proper entity and accounts.

Best of luck on your journey 

Jessica,

My thoughts… serve them with a notice of non compliance with the lease. Give them 30 days notice, clean the place up and turn it around to a better qualified prospect. With the current market in Co. Springs, you should have no problem filling the vacancy.

A few questions, do you have a documented rental criteria for this unit? What is your screening process for your unit?

Would your single mom be able to pass the above requirements? 

Reach out if We can be of any help, since we are here in town also.