All Forum Posts by: Wesley W.

 Did they pay you all of your contractually agreed upon late fees?

This thread reminds me that the allure of "automatic rent" with S8 is actually a myth.  In my market they routinely pay 3 weeks late and the contract precludes them from paying any late fees as long as the payment is not more than 30 days late.  Good stuff.

I require ALL move-in costs to be paid in cash (or wire transfer if out of town), no exceptions.  Even cashier's checks and money orders are being spoofed these days.  Once I hand over the keys, they pay as per the lease (deposits to a pre-designated bank account).

I have long cautioned folks from using any third-party vendors for rent payments or deposits because of the very generous clawback provisions for the payer in the TOS, which can be initiated even MONTHS afterwards.

Here's one such post.

I have a provision in my lease that addresses this:

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19. MOLD: You must take steps to limit the growth of mold in your apartment. This includes operating your heating and air-conditioning system as appropriate to reduce humidity, using appropriate ventilation, limiting evaporation of water, promptly removing any visible mold, and immediately reporting to us any leaks or other water intrusion into your apartment or any visible mold that you cannot remove. Household furniture must be positioned and/or elevated to allow adequate air flow underneath and between furnishings and adjacent walls.

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When I was first starting out, my lease was 2 pages.  Each time a situation arose that was not expressly addresses in the lease, language was added.  It is now 11 pages.  My rule has always been, (a) try to avoid mistakes by learning from others', and (b), if the mistake was not avoided, change my business operations in response and make each mistake only once.

Almost universally, inherited tenants never work out in this situation (at least in my experience).  I would proceed with that expectation, and not waste too much time or money trying to salvage that which is not meant to be.  Give proper notice, do not provide any extensions and evict if necessary.  They will either conform to your new business operations, or they will need to find a housing provider with whom they will.

Not to discourage you, but the overreach is about to get a lot worse when the new guy gets elected in a few weeks.  As I am sure you are aware, housing is part of his aggressive socialist platform.

I always marvel at the disbelief investors outside NY display here on BP when these laws are shared.  NY is all about bequeathing property owners with all of the responsibility but none of the control.  It defies logic and equity to anyone looking in from the outside.

This is a major reason why there is a housing problem in NY state.  Who would willingly deploy their hard-earned investment into this legislative meat grinder?  Invest your money where it is treated better.  I know it's a different business model, but I would consider divesting from the state and own remotely in greener pastures.  Sell out to a large operator - which seems to be, as you suggest, what they want. This is what many more of us are doing since the changes in 2019.  It's just not worth it, in my opinion, and as I said above, it's about to get a whole lot worse for those in the 5 boroughs.

I would decline any changes (although Theresa gives good advice moving forward), and thank your lucky stars for dodging this bullet.  Even if you pushed back and they relented, they are showing you who they are.  Believe them.

I know I am beating the same 'ole drum here on BP, but this is reason #42 for having a MTM lease.  You give proper notice to terminate, and you are unfettered by all of these complications.

My lease states no notice shall be needed to enter interior porches/hallways.

Regarding storage:

(k) Yards, patios, balconies, vestibules, hallways, and entrances may not be used to store belongings or to dry clothes. Interior common areas must be kept clear to both allow access to maintenance panels/hatches as well as unimpeded entrance and egress from the Rental Unit. Only appropriate potted plants and other outdoor furniture are permitted on patios, decks and balconies. Grills may not be kept or used on or under the wooden decks, or within 3 feet of a building. No fire pits, bonfires, tiki torches, fireworks, or other outdoor open flames may be used or stored on the Premises. We may further limit what is placed in outside areas.

I would either take out the receptacles or control them with a switch behind a locked door, such as a storage closet or in the basement.  This will further dissuade tenants from using the common areas, which can reduce your liability and risk of fire, etc..

If it's a small multi, I would put all the common area utilities on one unit's account and sign a utilities addendum with the tenant and give them a rent credit each month.  It's a win for both parties, as the credit I give is always above what utilities I could possibly use for lights and the occasional receptacle needed for repairs, and it saves me from having the connection fee for an account each month.  Some utility providers want you to have the agreement on file with them to avoid claims of shared metering.

I collect one month's rent as a non-refundable binder fee.  This is the prospect's skin in the game.  Once a prospect has been selected, they have 24 hours to pay the binder fee.  After my due diligence, They are given 24 hours to sign the lease and pay the balance of their move-in fees.  All of these pre-possession payments must be in cash.  With each step I give the following disclaimer:  "After 24 hours, we reserve the right to offer this unit to another qualified applicant."

Love @Dan H.s answer.

Oftentimes, in this biz (and especially with self-managers), kindness is mistaken for weakness.  I cannot think of any "financial emergency" -  besides a complete job loss without unemployment benefits - a tenant could have that preclude them from paying their rent.  Utility providers have payment plans.  Airfare and funeral costs can be paid via credit card.  It's not that they don't have the money to cover the rent, it's that they do not respect you enough to pay you FIRST in their monthly expenses.  They take the roof over their head for granted because they think you will not play hard ball.  You need to set expectations and raise their level of concern that there will be immediate consequences if they get more than a few days behind on their rent.  You want to incentivize them to move you up on their priority list.