All Forum Posts by: Scott Parker

Thanks guys, I really appreciate all the advice. My gut tells me that what @Nathan G. said is what I should do because this is such a grey area. The fact that the tenant has not been living there, no utilities, no lease with the prior owner or me, and refusal to communicate with me further or give me any information sort of makes it a wild west situation. The previous owner has terminal cancer and doesn't even know the tenant's last name much less have her date of birth, driver's license information, etc. I don't have even the basic information to go through the eviction proceedings. In my mind, I really don't have anyone to evict as I am only trying to get belongings and furniture out and I thought it would be considered abandonment since there are no utilities. I called the clerk of the judge, and of course, she said to proceed with eviction and that a lot of people couldn't afford utilities and that alone did not mean much. She said on the positive side that if I ever found out that the tenant had a job that I could garnish wages etc. As an act of kindness, I offered to pay to have her things moved to wherever she wanted but got no response. The sheriff told me that legally there is no proof that she lives there since she is living with relatives and no utilities especially in light of the fact that the previous owner is now non-communicative and actively dying. I really appreciate everyone's input and taking the time to help me sort this out. 

Pat, thank you for your reply. I agree with Nathan. I am going to change the locks but I know they will knock the door down or break windows out of spite but I suppose that is an entirely another issue to be dealt with by the sheriff if it happens. 

Nathan, wow, thank you so much for your reply. That is an awesome thing for me to say, and what I had in mind but didn't know how to express it. You are exactly right, the tenant walked all over the previous owner, who has terminal cancer, and clearly is a "professional tenant". The tenant is now stealing from me and my family and I refuse for that to happen. I agree that I likely won't be sued and they are just trying to see if I will bow to them. It also doesn't make sense to me to go to court to get an eviction since, technically, there isn't anyone to evict. Thank you again for your insight and response. 

Hello all, I have an inherited tenant situation that I have not experienced and have never heard of this specific situation before. I purchased a property that had a tenant that was 3 months behind on rent, has no job, and has never had a lease from the previous owner. I had a very clear and frank conversation with the tenant after I purchased the property and they said that they could not pay rent and would have to move. I get a text a couple days later that says that they are living with family and are going to leave their belongings in the property until they find somewhere else to rent which will be at least a month. The electricity and water have been off for a while. Clearly I want their things out of the house but it appears they are trying to hold me hostage and use the property for storage for an indefinite period of time. I live in Mississippi and, after my review of the landlord-tenant laws, the tenants have abandoned the property because there are no utilities on. The way I see it, there is no lease in place and they aren't living there so I could have them arrested for trespassing if they show up and I can simply remove their things and proceed with renting the property to someone else. Again, I have reviewed the Mississippi laws and this specific situation isn't addressed, only that abandonment can be used because the utilities are off. Have any of you seen this specific situation and do you have any thoughts about how I should handle it? Thank you. 

I had the same problem finding insurance when I first started investing in real estate. I went with Foremost because all the regular insurers had stopped insuring rentals after Katrina. A local State Farm agent contacted me a few weeks ago wanting to give me a quote stating that State Farm insured rentals again. He is an awesome agent and saved me $6,000 per year and I got a lot more coverage. I switched all 20 properties and have been very satisfied so far. 

Hello everyone, I bought the BiggerPockets landlord forms and, I must say, they are really awesome. I've read the lease a couple times and it seems a seasoned investor wrote it because it includes a lot of the things I see over and over. I know that BiggerPockets uses an attorney in each state. Does anyone know how I can find out who they used? I would like to connect with the attorney because of a very specific statement in the lease. The Mississippi self-eviction clause was placed in the lease which is the first time that I have ever seen it in a lease besides mine. I have spoken to many landlords and attorneys all over the state and no one has ever heard of it, yet it is clearly in the Mississippi Landlord-Tenant law. Anyone that knows about such an unknown law is someone I would like to connect with. 

Thanks Steven!

Hello all, I have a question regarding issuing 1099's. This has been the most difficult question to get answered even from cpa's. I understand the general rule of giving a 1099 for work performed over $600 but, after hours of research, I understand that this doesn't apply to landlords. Congress repealed having to issue 1099's for landlords in 2011 with bill HR4 but no cpa that I have spoken to has ever heard of it. I am not a real estate professional according to the IRS and I feel that my rental company is considered a passive activity in that I don't meet any of the 7 tests of material participation. My simple question is, am I required to issue 1099's? Thank you in advance for any insight.

Thanks Jim. I didn't know I could deduct the premium. At $850 per month, the life premium seems to be a hefty price to pay to do business with this bank. I could get two additional properties for $850 per month. 

Thank you for your reply Shaun. I've never heard of a lender doing this either. My loans should be based on my financials, payment history, and the collateral of my homes. I am still searching the blog for similar situations but have yet to find one. Thanks again.