All Forum Posts by: Melissa Villegas

Quote from @Jagga Magga:

Can anyone recommend good realtor who can help with purchasing existing cabins?

 Monica Maynard Wood

972-898-5741

Quote from @Cheng Chu:

I own a cabin in broken bow and I would say, generally speaking, it's a saturated market.  But what market isn't right?  If you were to buy an existing cabin, and If it's a good one, I think you can pay off the mortgage, but likley won't cash flow with the current interest rates.  To have a truly unique property, I think you will have to build a cabin from scratch and have some experience in cabins prior to starting.  I don't think you can just buy a cabin an expect to cash flow.  Now, if you were planning to use it as a vacation home for the family, then the math may work out.  

I agree with this! We have a cabin there and it went from having nice cash flow to barely breaking even.  We have a super low interest rate and put 25% down, so the numbers worked out nicely.  Bookings are down significantly from 2020, 2021 and 2022.  I'd be cautious in this marketl.

Thank you all for your time and great insights.  @Nathan Gesner, you're right I already knew the answer.  Honestly, letting them go will be a relief and I do agree that I shouldn't have been lenient on any of the terms of the lease because she certainly isn't giving me any grace. 

What north Texas is calling the 1000 year flood is unfortunate, but there are drainage issues I have been trying to take care of.  

Thanks again!!!!

Hello BP friends,

I'm in a pickle. The tenant wants out of their lease at no cost to them. They said they are afraid of mold from water seepage and are threatening to sue if I don't oblige. What would you do?

Background:

Flashflood rains caused water to come over the foundation and seep into the house 3 different times since late May.  They had to shop vac out several gallons of water each time.  Each time I have offered to help in any way that I can, they haven't asked for any.  

A French drain is in place, but we are in the process of adding more drainage.

The floors are LVT.  Lease started 12/1/21 and they asked for an extended lease of 18 months.  The lease states a $1500 fee for breaking the lease.  $3000 is the monthly rent.  $2500 security deposit.  

She wants to break the lease because she said she's afraid of mold.  She said some of her furniture has slight damage. I offered to replace it, she refused and said that she wants out and wants to turn in a 30 day notice as of 9/1 and is going to contact an attorney if we don't agree.   

Other facts: the a/c went out and I called for an emergency, same day repair.  Oven went out, I bought a large counter-top while we waited for a new one to be delivered and installed.  They have "emotional support pets" which I didn't charge her additional since they are alleged "emotional support" and she provided some generic computer print out and pet ID.  The two large dogs completely dug up all of the landscaping in my backyard, which they haven't fixed.  She pays by credit card and I repeatedly don't receive the rent by the first, usually the 5th-8th. I've never complained or charged her a fee.  There is a hole in the wall and ceiling that they haven't repaired, which they haven't fixed. 

Frankly, she has been a pain.  Asked me to pay for professional pest control for wasps in a tree by the house, I offered her ways to take care of b/c it's not part of the lease.  Complains that the solar panels don't pay for 100% of her electricity despite the hottest summer in Texas in years.  

Now that you have most of the story I would really appreciate your advice on how to handle this? 

As always, thank you for your valuable insights.  

Quote from @Tom Fontoura-Sutliff:

I don't think they need any compensation. You did your due diligence in finding a replacement. If anything I would have looked for a used oven first or tried to repair given the lead time for a new one.

Is this really that much of an inconvenience to not use an oven between mid-June through mid-July in TEXAS? (assuming this property is local to you)

We DEFINITELY avoid using our oven in the middle of summer in Texas :)   Yes, it's local.    I ordered a really nice countertop oven to bridge the gap. 

Thank you again everyone!

Thank you very much. This is all great feedback!

Hello and thank you for taking the time to consider my question.

I have a SFH that is currently under an 18 month lease. It's a 40-year old home, and since the tenants have occupied it we have had a few maintenance issues. The latest is that the oven has gone out. I immediately ordered a new one today, but it won't be delivered until mid-July because just like everything else, there's a supply shortage.

They haven't asked for anything but I wondered if you would compensate them in any way for the extended inconvenience of not having an oven????

As always, thank you in advance for your insights!!!!

Originally posted by @Christopher Grice:

Hey Jason, the 140 K range for an acre of land is a good price many places are heading way north of that now closer to the 160 K an acre in that area. About six months ago to eight months ago you could find some land for about 120 to 130 K but that’s pretty much all gone. And as far as the cabin goes that’s hard existing about the best you’re going to find starting price is in the 550’s That’s just kind of where the market is at right now.

Is there demand north of Hochatown from a rental perspective? I'm just wondering how many people are willing to drive 30 minutes, or maybe they prefer it????  Do you know where we can find more info?

Originally posted by @Todd Goedeke:

@Melissa Villegas could you share what was square footage of cabin and number of beds/baths?

It's 1550 square feet with 2 king suites and two master en suites 

Originally posted by @Adam Martin:

Keep in mind you don't have to do all the updates at once as well.  I would first focus on what will get the most bang for your buck which tends to be paint and updated flooring and maybe some new fixtures.  Wallpaper is dated and I would diffidently get rid of it.  From there you can look to see what your budget allows and see what makes sense.  I like to do small updates on every turn, for my most recent I updated the bathroom flooring.  It is dated and stained but would have rented as is for the same amount but feel it adds long term value and the market won't always be as hot as it is now.  Pools here aren't as common as I imagine they are in Texas so they may be more necessary where you live but I avoid them here.  Remember though tenants sort properties based on price so by including pool maintenance in your monthly rent you may not get as much traction as you would listing it as say 2700/month+ whatever monthly maintenance costs are.  You get the same monthly however it feels different to the tenant and puts you closer to the top of the list.  

Adding the maintenance cost outside of the actual rent is a great idea.  Do tenants usually do their own lawn care, or should I try to add that in too?