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All Forum Posts by: Fred Dray

Fred Dray has started 3 posts and replied 105 times.

Post: Tenant backing out 5 days after signing lease.

Fred DrayPosted
  • Professional
  • Glendale, CA
  • Posts 105
  • Votes 47

We always asked for a $400 hold deposit with the application.  When they give $400 we have them sign a hold deposit agreement which states something like: This $400 holds the apartment for two weeks.  At move in the $400 is applied toward the security deposit.  If tenant fails to move in, then the $400 is non-refundable.  The hold deposit gives the landlord some protection in case tenant changes their mind.  Also serves as a deterrent for changing mind as they are giving you the deposit with application.   At that point when you stress that the $400 is non-refundable, that will induce those who are not sure to back away.

In your case, they signed the lease, thus the terms are enforceable.   I would think by law once they notify you of not moving in, you put the unit back on the market.  They pay rent until someone else signs a lease, pays rent and moves in.  Then remaining rent is returned to previous applicant.   If they didn't take possession of the unit, the security deposit would be returned (less hold deposit if you had one).

Always get tenant move out notice in writing.  Seems like you handled this properly and glad to learn you got a new tenant so quickly.

Let me also offer this.  Don't get in the habit of thinking in terms of "she was a good person."  That may be the case, but you want to treat everyone equal no matter what type person they are.  A landlord will often get into trouble when making decisions based on emotion "like feeling sorry for someone or caring."  Also, tenants will often sense when they have an "in" and take advantage.  Set criteria and follow it no matter what story a tenant may give.

Post: Purchasing A Property Already Approved For Section 8

Fred DrayPosted
  • Professional
  • Glendale, CA
  • Posts 105
  • Votes 47

My experience with section 8 here in CA has been just the opposite of @Marcia Maynard.  Once a tenant gets into the system, it seems difficult to get them out.  Knowing that, the tenants don't take great care of the units.  In fact, they cheat the system by working and getting paid cash which they don't report.  Or have one parent registered and the other not registered and earning income (that's how we finally god rid of one, they gave 30-day notice and wanted to recind...we told them only if she reports the husband living there to section-8) they moved.

The other issue and this is the bigger one...you lose control over tenants.   The landlord can't enforce rules or evict, it has to go through section 8.  Now this may be only in CA, but section 8 is understaffed and very unresponsive.   Again this may only be in my area, but I've found section 8 tenants to be lazy and not willing to follow rules and regulations.  The ones that don't work hang around their unit all day and seem to have a non-stop parade of guests/relatives staying.  This results in more wear and tear on the unit.

Hopefully, your experiences will be positive.  My advice is if there is no issues renting units, then stay away from section 8.  

Post: What's your bill for maintenance from Property Management?

Fred DrayPosted
  • Professional
  • Glendale, CA
  • Posts 105
  • Votes 47

Contact other clients of the PM co and see what they have to say about how promptly they handle maintenance requests.  I would ask them to create a paper trail.  In otherwords, give the tenant a request form to fill out (including date) requesting maintenance and turn in.   Have the PM co forward copies requests to you.  That way you can see how quickly repairs are made.

$2800 a year seems excessive, although a roof could eat up a large chunk of that.  What type maintenance is being done and how much are you paying?  Can any of these repairs becharged back to the tenant for misuse such as clogged toilet? 

I work for a PM co and can say from experience any worthwhile PM co will handle things (especially plumbing) ASAP because if not and things become worse, it's more of a headache for them.  So, I think you're fears (property worthless) are not warranted if you researched the co before hiring them.

Post: Worst tenant ever - I missed a giant RED FLAG

Fred DrayPosted
  • Professional
  • Glendale, CA
  • Posts 105
  • Votes 47

What did the previous landlords have to say about her? 

I've had those tenants before and understand why you have champagne on ice.   I managed a 3-floor apt complex and we had two tenants constantly bickering about footsteps, music, banging doors.   Actually, the tenant below was the aggressor and tenant above was responding in kind.  The PM co. finally sent both a letter stating if complaints continue both would be asked to leave.   I told them not to call me anymore, just call the police.  Next night tenant below called and their response: "We can't hear the noise from the street, there is nothing we can do."  The tenants below kept simmering and sniping until their lease expired and they moved. 

So take a drink for me when you do celebrate as I've been there!!

Post: Housing Authority wants to recapture rent

Fred DrayPosted
  • Professional
  • Glendale, CA
  • Posts 105
  • Votes 47

In CA, tenants are considered in possession of the unit until they turn in the keys, so you should not have to refund any $$.  You may want to contact an attorney with section-8 experience.

This is an example of why I would never accept section-8...you lose too much control.

best of luck 

First month rent + security deposit which is equal to one month rent + $15 per key and $25 per remote for deposit. 

Also, we asked for $400 hold deposit with applications which is applied to security depost at move in.  Thus, at move in they would pay $2100 - $400 or $1700 for security deposit.

Lease also states that security deposit is for cleaning and damages only, not last month rent.

Post: My tenant stopped paying rent...

Fred DrayPosted
  • Professional
  • Glendale, CA
  • Posts 105
  • Votes 47

@Dana Dunford gives you good advice.  We post a 3-day notice in CA as well.  Check your state rules, but non-payment of rent is usually 3-day.  However, sheriff at the door within 30-days....wow.  In So Cal it's 45-60 days.  Actually had a tenant watching for the sheriff and left as he was approaching the unit.   No matter how difficult the process, start it immediately and relieve yourself from the stress of dealing with this issue.  In most cases, once they get away with not paying, it becomes easier and easier not to pay.

So, start with the 3-day and you will usually end up in your local small claims court.

Post: Fireplace Addednum for Texas Property

Fred DrayPosted
  • Professional
  • Glendale, CA
  • Posts 105
  • Votes 47

Yep drying socks with a bungee cord clothes line and clueless as to why it wasn't a good idea.  I agree with @Kevin Harrison fire places are nice when properly used, but at least in So Cal where so many of our tenants are from different countries, very risky.

Post: Fireplace Addednum for Texas Property

Fred DrayPosted
  • Professional
  • Glendale, CA
  • Posts 105
  • Votes 47

Oh, congrats on getting your first property.  I'm in the market for my first as well.

Post: Fireplace Addednum for Texas Property

Fred DrayPosted
  • Professional
  • Glendale, CA
  • Posts 105
  • Votes 47

Both buildings I've managed in So Cal had certain units with gas fireplaces.  The gas line is shut off in most units and I tell tenants at move in they must call gas co out to have gas turned on (and check for gas leaks).  Only one or two tenants have done that as most want to save on gas.  I've had one instance where someone was using fireplace to dry clothes and one other where they were cooking hot dogs. 

I think it's a good idea to add it to your check list.  If it's wood burning, then I would address chimney issues and make sure tenant knows what purpose the flue serves.

If this is a house, good idea to have a fire extinguisher. 

good luck