All Forum Posts by: Melissa Hartvigsen

Quote from @Corey Hanson:

I'm curious if anyone in Oregon is offering medium term rentals and if they have a lease agreement for this type of rental in Oregon, or does anyone have an attorney they would recommend to draft this type of agreement.  

Hi Corey,

I rent to travel nurses in the Portland metro area, and have been doing so for over 3 years. Most stay anywhere from 3-6 months, but once in a while I get a 30 to 45 day stay. I use a standard rental agreement. How to show the rent on the monthly amount using a 45 days I suggest:
1. In the monthly portion list the monthly rent you are collecting.
2. In the special provisions section, you can write: "Rent for the full 45 day terms is $x".
Using $2,000 a month, this would read "Rent for the full 45 day term is $3,000".

Be cautious about the advice to use the Bigger Pockets Lease package. It is not compliant or up to date with all of our local laws. I buy mine from Multifamily NW (they have digital signing built in, and after the initial fee the annual subscription for unlimited use of the forms is under $50 for 5 or fewer units).

You might also consider getting your lease from the local landlord association. In central Oregon you may have different rules than I am used to. https://www.centraloregonrentalowners.org/

All Oregon rental agreements are required by law to have the provision that they convert month-to-month automatically at the end of the term. The way I deal with this when someone is booking is to include a "notice to vacate" along with their lease so you don't lose your right to evict in case they holdover possession.

You can send me a DM if you have more follow up questions.
Best wishes,
Melissa

Section 8 is a form of public housing assistance, and the assistance is granted to the individual (tenant) based on need, and then the tenant can select any property on the rental market. The property (unit the tenant will occupy) must meet basic habitability standards and go through an inspection at the inception of the tenancy as well as annually. 

I don't see how there would be a limit put on the units that can receive Section 8 assistance unless it is something your loan program requires?

Here is a link for you to get a general overview:

https://www.hud.gov/topics/housing_choice_voucher_program_section_8

I also suggest contacting your local housing authority (they are the ones who administer the Section 8 funding in your area).

Cheers,
Melissa

Hello Lizabeth,

Congrats on passing your licensing exam!  I don't work in your state, but when I got licensed, I found this video helpful to generate questions to interview brokers:

https://youtu.be/1VNW5PBlML0

I have been licensed for 6 years now, and often get calls from new agents asking about how to get into the business.  I am always happy to give them 30 min to an hour of my time to answer their questions. I am sure you will find the same in your area. : )

Best wishes to you!

Melissa

Quote from @Tommy Nguyen:

Hi Melissa,

I appreciate your response. At the time of my offer, the property had only one offer. Also, I believe the appraisal value will be lower compared to the listing price. If that's the case, could I negotiate with the seller to have the purchase price and appraisal value match? Thank you once again!

Hi Tommy,

The lender who is doing your loan will only give you the loan up to the amount of the appraisal value. You should 100% re-negotiate if the value to what it appraised for.  

The other option if for you to bring extra money to closing to make up the difference. Based on the factors you mentioned such as the property needs cosmetic rehab and it was on the market for a month, I would not advise this. If you were in the scenario that Joseph Cornwell mentioned (1 day on the market and 10 offers in addition to yours) then I would recommend considering this as long as your investment projections would still pencil out with the added out of pocket money.

-Melissa

Hi Besty,

1) Most students like their lease to start about a week before classes start so they can be settled. Leases for students are typically 9 months (assuming they go home for the summer). If your students plan to stay for the summer and take classes and or work part-time, they may want a 12 months lease (this is rare). I think you should offer both options, and see what your prospective tenants say.  If you do end up with 9-month leases, charge a higher rate to offset your summer vacancy, or post the rental as a short term.

Pacific University in Forest Grove has several programs that start at other times of year (the Physician Assistants and Optometrists don't have the same schedule as the rest of the student body, so you may have a lease start at another time of year. Also these grad students tend to stay for their entire program and you can expect an 18 - 24 month stay).

2) Compare the rent for the whole house as a rental, versus renting by room. Usually you will get more rent having individual rental contracts for each room. To estimate the costs for a room rental you may want to look up the going rate for a room in that town on craigslist.org (under housing, then rooms and shares).

Oregon landlord tenant laws are more complicated than they are in other states, so please use forms vetted by our local landlord associations so you are compliant with our laws. I buy mine from: https://www.multifamilynw.org/

If you do the room-by-room option, you may want to have an attorney help you with special lease provisions. For example, how to address damages in a common area like a kitchen.  Be sure to have a landlord tenant attorney, and not a general attorney help you here!
https://www.justia.com/lawyers/landlord-tenant/oregon

Best wishes and good luck!
-Melissa

Hello Tommy!

Congratulations on finding your first rental property!

After your home inspection, you should get bids for substantial repairs. Your realtor should be able to help you with which items on your report should be negotiated.

For example, if the roof is at the end of its life and has signs of leaking, and the sewer line is cracked and needs to be replace, then I would recommend asking for those items. There are multiple ways to address it inspection items:  renegotiate a lower price, get credit toward the closing costs to offset the repairs, or require the seller pay for repairs using a contractor that you approve of (and you get to reinspect afterward to make sure it was done correctly). This last option is great if you do not have a lot of cash on your own.

If the appraisal comes in less than your offer, you have the right to terminate the contract or renegotiate the price.

You negotiation power depends on whether or not the seller received offers in addition to yours. You agent should have asked about this when your offer was accepted. If the seller has other interested buyers behind you, then they may not be as willing to negotiate.

Good luck! I would love an update when you get to closing and hope to see it on the deals page.

Melissa

Hello Jonathan,

If a tenant is in violation of the lease terms (i.e. getting a pet dog at your "no pets" property), then this is a matter that the property manager (Renters Warehouse) should address.  While you wait for your response from the PM, review your property management agreement as it should outline the process they use to deal with lease violations. Hopefully they are reputable and have that outlined for you.

In case your PM does not address lease violations as part of your contract, you might want to educate yourself about your rights as a landlord using a local landlord tenant association before taking any further steps. I pay about $100 a year to my local association and they have a member hotline and resources available. Here is a directory for your state:
https://www.thelpa.com/lpa/associations/minnesota.html

I am not familiar with MN laws, so your property manager or local landlord association will be the expert on which notice of violation or termination may be applicable.

In Oregon, we usually start with a "violation" = a warning with an opportunity to resolve the issue. If they remove the pet (which requires subsequent inspections by your property manager), then the issue is resolved. If they do not remove the pet, the next step is a notice of termination. Then, an eviction action can be brought against the tenant for non-compliance with the lease, and you will likely have to go to court to testify since you are the one that observed the dog at the property. Keep in mind that evictions can be costly, and are about getting possession of your property.  In Oregon, tenants have the right to ask for a reasonable modification to the lease to allow the animal to say under the ADA for an assistance animal (which does not meet the same standards as a trained service animal). In Oregon, the tenant can make this request after being served a violation and or termination notice and the landlord generally must make this accommodation. No deposit can be charged for assistance animals. The path of least resistance may be altering your policy, and having a damage deposit for the dog.

One of my tenants asked me to change my no pets policy so they could get a cat after being in my rental for a year. They were excellent tenants, paid on time, and kept the place clean, so I agreed to accept a deposit and allow the cat. When they moved out, the house was in great condition and I was able to return their pet deposit. If they had not been taking good care of my rental, I would not have agreed to the alteration of my pet policy.

I hope this helps!
Melissa

You are most welcome!:)

Hi Mathios,

I am a realtor in Oregon, and I have access to MLS (the multiple listing service) stats for appreciation in my market going back to the 1990s with only a click (back to the 1960s with a little more effort). Maybe you should connect with a realtor in your market and ask them to provide you the data.

Also, Redfin has appreciation statistics. Select "Buyer Resources", then select US Market. You can search for you Zip code there, but keep in mind they only go back 5 years.
https://www.redfin.com/city/5413/OH/Dayton/housing-market

Best wishes,

Melissa

Hi there,

I don't do this, but have followed this channel on YouTube for years. They have a full playlist of videos on rental arbitrage, and a Facebook Group where you can get advice. Sean is one of the best content creators I have seen in this space:
Your Introduction to Presenting to Landlords, rental arbitrage - YouTube

https://www.rakidzich.com/

Good luck!