All Forum Posts by: Molly Turner

Quick correction to my post - the current tenant's lease will actually be done on the day BEFORE closing.  

I'm purchasing a rental property and the current tenant's lease will be done on the day of closing.  They are already out and have left some items in the house.  As the new owner of the property (same day the current lease ends), do I need to track down those tenants to sign something that I'll 'buy' the stuff they left behind for $1, so I can donate/dispose of their items soon?  MN law requires items left behind to be held for 28-29 days, I believe.  Since I'm not their landlord, and because the property changed hands on the last day of the lease, does this law even apply in this situation?    

Can I increase the rent from what was advertised, PRIOR to a lease signing and with full disclosure? I discovered an expensive needed repair, after I showed it to an interested party.  They have not received a copy of the blank lease from me yet and they have not paid an application fee or put any money down.  They did see the original rent payment on the ad and it was discussed during the showing.  Has anyone had this situation? Thoughts?   

The leases are 12 months.  I also forgot to mention I included misc. maintenance of $75/m (new locks, light bulbs, cleaning, etc), into my numbers.  What am I missing? 

Tenants (4 students) pay $435/each + all utilities except trash ($25/m).   The tenants will handle mowing (except June-Aug) & snow removal up to 5", then I will pay for snow-plowing of the driveway - estimated $700/yr for those.  All appliances are new incl. washer/dryer.  Windows, roof, furnace & water heater are about 15 yrs old.  Insurance $100/m, prop.taxes $200/m, license/inspections 25/m.

Purchase price $175K - financed, ARV $195K. Repair costs $10K, which includes an egress window & finishing of that 4th bdrm plus a radon mitigation system & misc. repairs. The home is in great shape, otherwise. What factors am I missing? This immediate area has zero vacancy because of it's location to the campus, but the margin is very tight.. Thanks for your input and opinions on whether you'd proceed or pass & why.

Tenants (4 students) pay $435/each + all utilities except trash ($25/m).   The tenants will handle mowing (except June-Aug) & snow removal up to 5", then I will pay for snow-plowing of the driveway - estimated $700/yr for those.  All appliances are new incl. washer/dryer.  Windows, roof, furnace & water heater are about 15 yrs old.  Insurance $100/m, prop.taxes $200/m, license/inspections 25/m.

Purchase price $175K - financed, ARV $195K. Repair costs $10K, which includes an egress window & finishing of that 4th bdrm plus a radon mitigation system & misc. repairs. The home is in great shape, otherwise. What factors am I missing? This immediate area has zero vacancy because of it's location to the campus, but the margin is very tight.. Thanks for your input and opinions on whether you'd proceed or pass & why.

I have an opportunity to buy a really nice SF home 2 blocks from a college campus. Occupancy is not an concern. My hesitation is that after repairs & my financing costs, I'm at 90% of the market value.  Rents are $1750/m & the monthly costs all in, are around $1300.  Thoughts? I'm concerned about the tight margin, but the demand for rentals there, is very high.