All Forum Posts by: Neal Bratton

I would bill them directly. I only touch the security deposit after the tenant moves out. They could cause more damage before they leave and if you run through that deposit money, good luck trying to get any more.

@Dawn Anastasi 

I wouldn't buy a property without an inspection either. Down the road, if I have enough experience to skip the professional and go through it on my own, so be it.

@Danny Dang 

You don't want to bend over backwards for them or they will keep asking for more and more. But of course you need to bring the living conditions up to an acceptable standard. As leases expire you can try to bring rents up as you make improvements, most tenants are more likely to go along with a price increase if they can see they are getting a better place to live.

I like @Dick Rosen suggestion. If you can avoid vacancy/turnover loss, you will come out ok. I have an early lease termination fee in the lease as well as 30 day notice for move out. I would hold them responsible for 30 days rent plus fee (usually 1-2 months rent). I would still only hold security deposit if repairs needed to be made but refund if in good shape. That is how my lease is set up, but haven't had to use it yet. (fingers crossed) 

Hello @Ryan Jackson , Welcome to the site. It is a great place to learn. I might also suggest when you get a chance, Update your profile. Put up a picture and fill out your goals etc. It helps people on the site feel more comfortable interacting with you.

Hello @Frank D'Amato welcome to the Forums. Sounds like you off to a good start with a couple of deals under your belt. Keep doing deals, knowledge helps fill the holes but it's no substitute for experience. By the way, I love the title of this thread. I think it should be your slogan or something. "Frank Flips Louisville" sounds like a TV show. :) 

Good Luck.

Welcome @Uriel Castro  Great to hear from you. Sounds like you have been on the site for a bit so you know how much great content there is. But, I think your business partner is right, talk on the forums and connect with people. Even consider posting about your progress on your development projects. It will help build a track record in the community. Good luck.

Well first and foremost check your local landlord tenant law or speak with an attorney. Different areas can have regulations and even rent controls that dictate how much you can charge/increase.

I have never dealt with the situation personally, but if they don't have a lease signed for a specific amount of time and are just on a month to month agreement, go ahead and raise the rents up closer to market. I would give them all a 30 day notice that saying that rent will increase X amount. Then if the sign a year lease you can discount 10% or six months 5%. But I would think you would want all of them to at least sign "your" rental agreement with your rules and expectations so you have grounds to evict if they are not up to your standards. Good Luck. 

@Brandon Crumpton 

 I have not rented a muti-family, while living in one unit, but I do think that it is a great way to get your first property. I also don't know anything about California landlord-tenant law, but I'm willing to bet there are some nit-picky things that could get you in trouble down the road if you don't do your homework. You will definitely be able to save some money by taking care of maintenance and property management yourself. But when you are looking at the deal, try and assign a dollar value to those categories so you can see how the property will perform 10 years down the road when you move out, or don't have time do fix everything.

I also second what @Account Closed said about screening your tenants. Big make or break for a first time landlord. See

http://www.biggerpockets.com/renewsblog/2013/01/27...

Neal

I can't recommend any specific books on the subject, but there is a ton of information floating around this site. You are at the right place. Just keep visiting and reading blogs and forum posts. Setup keyword alerts such as "mortgage financing" or "creative financing". Articles and post on BP will probably more up-to-date than most books anyway. Good luck.

Neal

Sometimes it can be nice when partners have different interests. You can share your investing ideas with her and she can share her interests with you. Otherwise you would only talk about real estate 24/7. It is nice when couples compliment each other. But before she does give the go ahead on any major purchase, she will have to feel comfortable with the risks. For that BP is great. Listen to a podcast on your next car ride together. Or grab a book on tape. (Rich Dad anyone?) Show her you understand what you're doing and the possibilities for your future.