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All Forum Posts by: Steve S.

Steve S. has started 2 posts and replied 159 times.

Post: Tenant plumbing damage - who is responsible?

Steve S.Posted
  • Investor
  • River City, Manitoba
  • Posts 162
  • Votes 193

I have never seen an overflow as the result of a broken handle ... but there's a first for everything.

The handle simply lifts the flap inside the tank to let the water down into the bowl and forces the water into the sewer drain.

A clog in the "S" trap part of the bowl usually will result in water filling the bowl. All bowl specs that I know of allow for the bowl itself to handle the full capacity of the tank. Meaning one flush should NEVER make a bowl overflow.

Here's the problem for most people. They flush... the waste isn't removed.. the bowl is filling up (showing there's a clog in the drain) but they think that flushing again will somehow unclog the drain line. This is where you may need to educate your tenants. 

Step one.. if the bowl isn't draining don't attempt to flush again. (perhaps pressing harder on the handle won't help either)

Step two ... if the bowl continues to fill with water the flap isn't closing on the tank.. the floater will keep the water running into the tank and into the toilet... to prevent this show them where the supply line shut off valve is on the toilet. (righty tighty lefty loosey) Show them how to turn the supply line off.

With the supply line shut off the bowl should stop filling and you will have no overflow issues. Tell them to wait 5-10 minutes and check back on the toilet... if the water/material has drained you still may have a partial clog ... if the water and material is still there you have a fully clogged drain. 

In either event... introduce them to a tool called a plunger and tell them to open the supply lines allow the bowl to fill, shut off the lines once again, and try unclogging the drain line. May have to try this two or three times.... otherwise call a plumber

Post: Tenant withholding necessary repairs

Steve S.Posted
  • Investor
  • River City, Manitoba
  • Posts 162
  • Votes 193

How's that phrase go??

An ounce of prevention is worth a pound of cure?

This is where I say that if you're managing your own properties, you have to do more than just cash the cheques. I'm in each of my units every 3 months. I have a check list of items that I go over. And at least once a year usually during the summer months I make sure I'm doing maintenance on the units. If you're getting a property manager to do this then you need PROOF that they're looking in on the units as well... otherwise they're just taking money for doing nothing while tenants are in the unit.

Personally I think it's GREAT if a tenant is willing to let me know if there's issues with the place. I'd rather get them addressed immediately than deal with the consequences.

Drain smells... this can because water in the pea trap has evaporated or is leaking out. Generally the pea trap holds the water and prevents sewage gas from coming back in the drain. Check your lines. could also be the vent line somehow is clogged or blocked and the gasses are coming back up through the drain line....  Pouring a liquid down the drain line doesn't really do much especially if the lines are clogged or blocked.. after snaking the lines try to use a product that will foam up and fill up the lines.... there's home remedies and store products that you can buy that will work.

Lights flickering could be as simple as tightening the light in the socket. It could also mean there's a loose wire connection at one of the boxes. Check the light bulb first... if that doesn't remedy the issue check to see if all the flickering is on the same circuit if it is, you only need to fix one loose connection... if they're not chances are you're going to be tightening the wires in a LOT of junction boxes.

A bathroom floor that's caving in does NOT sound like a simple fix in my opinion. This is the result of a LOT of water damage and a lot of neglect. If you have access to inspecting the floor from the bottom either by basement or crawl space do so. My guess here is that the subfloor which would be 3/4 inch plywood has taken in so much water that it's rotten. That would need to be replaced..... that can be a mid sized job already. What's worse if the joists are also starting to show signs of rot or mold. If that's the case you're looking at a hefty bill... 

Someone mentioned that with this type of water damage you can get your tenant to pay for the repair bills. I would say you need to do your research and find at least three court cases in your county or area that are very similar where the judgement has been in favour of the landlord. Otherwise you're going to be dumping more than just bleach down the drain with the lawyer fees.

Best of luck @Chris A.

Post: Flipping, so easy a monkey can do it!

Steve S.Posted
  • Investor
  • River City, Manitoba
  • Posts 162
  • Votes 193

Great and informative thread... good points have been raised and you're very organized... You almost make it look easy to do!!!! bawhahahah We both know you earn every cent from flip...

Post: Removal of Mentally Ill Tenant. Has Month to Month lease.

Steve S.Posted
  • Investor
  • River City, Manitoba
  • Posts 162
  • Votes 193

As a landlord you should know the rules in your area that would validate eviction or non-renewal ... 

Find a reason that has nothing to do with mental wellness... noise violations, too many written warnings, late on payment what ever the rules are in your jurisdiction. 

Post: SFH rental and yardwork?

Steve S.Posted
  • Investor
  • River City, Manitoba
  • Posts 162
  • Votes 193

When buying units I look for either little to no maintenance yards or price it out to turn the yard into a zero maintenance yard.

The one unit I do have that has a very large front and back yard it's in the tenancy agreement the tenant must maintain the grass by cutting the grass at least once a week (in the growing season & I provide the mower) If the lawn isn't kept up, I will provided a written warning and if it still isn't kept in order I will outsource the work and they have to pay the bill. So far I have had no issues.  

That yard for that unit really is one of the selling features for the house so I always say to tenants that if they're looking for a house with a yard then they must either expect that they're going to do the yard work themselves or pay to have it done... so far no issues.

Post: Need advice - I bought a bad flip

Steve S.Posted
  • Investor
  • River City, Manitoba
  • Posts 162
  • Votes 193

Almost every home inspector will have some sort of "release" or waiver that will be signed prior to the inspection. Talk to you lawyer, where I live, most waivers and release of liability forms will not hold up in court but it may be different in your region. They're used to discourage lawsuits.

Seems like after the fact you did a lot of research on the property. The only good I can take from that is this may be a lesson for others, who need to do the same. Many people on here buy properties sight unseen and rent them out not knowing they're now liable for any issues with the property. I really can't stress it enough how important it is to do your research prior to purchase. 

You mentioned that you may not be able to afford litigation or the repairs. Leaving you stuck sucking on this lemon. The one commodity you have right now is time. If I were you I would look at this from the flip side first. Talk to a different lawyer but as if YOU were the flipper. Talk to them saying you bought and sold a property and now the new owners are coming after you for issues with the house. See how a lawyer reacts. In my own personal experience there's what's right, what's fair and what's legal. A lawyer will help you out on the things that are legal... but they're many are sales pitches. They prey on the fact that you think something isn't fair and are happy to retain services and go to court. So talking to another lawyer from the perspective of the "flipper" may give you some preparation as to what  you can expect if you take this to court.

Also with all your time I would use it.... see if you can take the owner into small claims court for each and every issue your house has. Nothing would make me want to resolve an issue more than the prospect of spending the next 2 months locked up in court hearings. You could take this one step further, since you now have improved your research skills, look to see if any other properties in the area are on title with this "flipper" you have worked with. If/when those properties come up for sale what's stopping you from sitting on public property adjacent to the one up for sale with a "buyer beware" sign and hand out leaflets with your own personal story.

I suppose what I'm saying is you could either let this eat you up ... and you can be the thorn in this person's side... or you can roll over and take it...  I wish you the best of luck in which ever direction you choose to take!

Post: How are people able to acquire properties so quickly?

Steve S.Posted
  • Investor
  • River City, Manitoba
  • Posts 162
  • Votes 193

@Brianne H.

In invest locally. My business plan is pretty simple. Buy a unit.... flip.... continue to build equity then with enough equity buy a unit and BRRR it and hold then back to the flips.

My area is pretty solid... there's not any really big ups in the market and there's not any really big lows either.  Home values around here rise at a steady state of approximately 3-7% per year. I certainly can't say that at the rate I'm going I'l be some property barron... my goal is that when I retire from my full time job (this is a part time thing for me) that I will be comfortable with a decent passive income. If you end up looking to invest further than you live and think that my neck of the woods is appealing by all means let me know and I'd be happy to help any way I can.

Post: How to properly ternmiate a month to month lease?

Steve S.Posted
  • Investor
  • River City, Manitoba
  • Posts 162
  • Votes 193

Let me run a scenario by you... and here I'm just playing devil's advocate I'm sure you're already frustrated with this individual and sounds like you've already made up your mind.

Scenario #1 tenant breaks shower door:

Tenant doesn't disclose to you that they broke it and moves out only to leave you with a large amount of water damage AND a broken door. Now you have to do your repairs which will probably cost you way more than the damage deposit, and time before you get a new tenant in...

-or- 

Tenant as YOU requested fixes the door themselves, so he put's on some wood veneer door... right on the shower.. it's a door and on the shower... meets the requirements you have laid out... you're still going to be out time and money...

My take.. I think it was great that this tenant immediately called you and told you they broke the door. This is where you write up something on paper which states that they did damage to the unit excessive of normal wear and tear, and you write down exactly what needs to be done with an estimate and a payment plan option or deadline. They sign it... it doesn't matter if they even move out you now have something you can take to small claims court and you WILL win.

Personally I would LOVE LOVE LOVE it if all my tenants told me they broke something immediately. Things break, accidents happen regardless if it's 10 days or 10 months into a rental. This person was probably trying to fix it and eff'ed up...  so be it... at least they let you know ahead of time instead of trying to cover it up or get away with it.

Scenario #2

The kitchen outlet is no longer working and wants you to repair it! AS YOU SHOULD! An electrical outlet that is not working may be a fire or electrical hazard.  My reply would've been "thank you for making me aware of that issue, I'll be right over and not only will I install a new outlet I will make sure it's a GFCI for safety!

Just my opinion but where you see a tenant that may be troublesome I see a tenant that will make sure my unit will be up to snuff and easily turned over when they vacate. Furthermore I see a tenant who lets me know when there are issues as an opportunity to keep looking in on the place AND with more improvements that I make to the unit the greater the appreciation in value.... 

Post: Estimating expenses on buy and hold SFR

Steve S.Posted
  • Investor
  • River City, Manitoba
  • Posts 162
  • Votes 193

Don't do carpets

Don't do dishwashers

For rentals unless they're premium units I prefer "builder grade appliances"

I won't touch an AC unit.... but if it's required you can get them cheaper than what you have quoted.

I would do the roof myself and save the $$ but that's only if you like to do that kind of work.

Personally I take 5% of each monthly rent and put it into an account that I eventually use to spend on small expenses that require maintenance. This may include changing locks, adding, fixing or repairing screens for windows, changing faucets, etc. etc.

I also put 10% of the monthly rent and put it into a different account to pay for large ticket items like the roof, a hot water tank, furnace etc. etc. The second account I will spend at the end of 1-3 years ... I put both into separate accounts as it's easier for me to do the books and write off the expenses. 

Post: How are people able to acquire properties so quickly?

Steve S.Posted
  • Investor
  • River City, Manitoba
  • Posts 162
  • Votes 193

You may want to speak with a really good tax accountant. The tax laws and regulations in my opinion were just ridiculous and laden with red tape to make investing in the states worth while for me to take seriously. If you end up investing south of the 49 please send me a message and let me know some of the stuff you end up doing I'd love to learn your approach.

As for myself... I haven't scaled up at any rapid rate. It's a slow process for me. Purchase one property... flip 2-4 more... purchase another one ... BURRR it if possible... flip 2-4 more buy another one... BURRRR ... rinse and repeat.

Your personal location is also a bit tricky. Calgary has boom and bust years.... it's all controlled by the oil and oil industry. If you made money on your properties while in those bust years... you certainly are doing better than most. Some people got hit HARD. So that blue print that you do have going... use that.. come up with your plan.. and I wish you all the prosperity in the world. And please keep me posted if you end up investing down south.. I'd love to know how you do.