All Forum Posts by: Oscar Cardenas

is your goal to go in with least amount up front?

Then go FHA. They probably wont let you put it under an LLC but that is a question for your lender. There will be differing opinions on if you should go with a 4plex for your first one. While it is true that landlord tenant laws are complicated and getting a duplex vs a 4plex has more flexibility with the landlord tenant laws, there is **usually more money to be made in a 4plex. I would suggest getting a specialized realtor and a property manager if its your first time, Oregon is unforgiving to uneducated landlords.

 yeah from https://oregon.public.law/stat...

"(8) If the tenancy is for occupancy in a dwelling unit that is located in the same building or on the same property as the landlords primary residence, and the building or the property contains not more than two dwelling units, the landlord may terminate the tenancy at any time after the first year of occupancy:"

"(B) Without cause by giving the tenant notice in writing not less than 60 days prior to the date designated in the notice for the termination of the tenancy"

The lenders will not accept it because it cannot be done without you living in there in the first place. This exception can be mainly used to terminate the unit the landlord will not be living in after close if you wanted to (rent raises, bad tenants, etc). Or it can be used if a seller is a househacker themselves then a 30day notice can be given to a tenant during a transaction if the buyer wants to move in. 

@Matt Parker

They are trying to transition back to in person ASAP but currently still online lol.

@Matt Parker

https://northwestreia.com/events/virtual-salem-round-table/

Hmm from the looks of the website, looks like it’s live again but that sounds wrong. Let me check with a few peeps. I have a feeling it’s still online.

@Matt Parker

Good stuff. Congratz on the off market deal. You should come to the reia meetings in Salem once those start up in person again.

@Chace Fraser

Once he moves in there is a no cause 60 day notice allowed through a 2 unit house hacker exemption. Might be different in Portland since Portland is so different from the rest of Oregon though.

@Matt Parker

1.) yes, if the owner served a 90 day notice 35 days before close it theoretically leaves 5 days for you to move in so it’s allowed to close. As mentioned by grant earlier, you are taking the risk of eviction and whatnot though.

2.) from my understanding, the rent raise rule still applies if it’s a new landlord. Some realtors would tell you otherwise but from my 3 years evictions experience, rules/laws are stuck to the lease/contract and not to a new party entering the contract. So summary is that you should know when the last increase was so you can stay conforming.

This is why grant mentioned the tenants accepting a completely new lease with a new rent amount might work but definitely speak to an attorney first.

@Matt Parker

1.) you can close approx 35 days after owner gives the tenant a 90 day notice if they are willing to do that.

2.) yes, there is a yearly rent raise limit. There might be ways around it but sounds like an attorney question.

3.) once you move in and only after you move in, you have the option to terminate the other unit through a 60day notice. It’s an exemption only for househackers.

Before you ask, no you cannot do a 60 day notice without living in it first.

Great post. Thank you for that news! Definitely thinking of buying acreage now with allowance of an ADU and the trend allowing smaller lots and more building.

 Sure thing! If you have insider knowledge on oregon loan practices do tell! We still have the househackers issue here in Oregon that is heavily disputed regarding needing to start a 90day termination notice during the transaction. Have you found a way to bend that 60 day move in rule a bit so a buyer can start a termination after closing instead of before?