All Forum Posts by: Ted Klein

@Abby Paulson I currently have a tenant that is 84 years old with no disabilities. She has family that lives within 5 miles and goes out of their way to help her. I have not had any calls to change lightbulbs or any of the other things mentioned by the others.

The property just had a complete rehab and she was the first renter, so there was really not a thing wrong with the place. When she first rented the unit, I suggested to install a grab bar in the shower which I did. A week later, she then called wanting to add a ceiling fan and to change out the exterior lights on the property. I responded that I didn't install ceiling fans in any of my units and that the lights out side were functional and provided adequate lighting. I mentioned, that if she wanted these items, it would be a tenant requested improvement and she would have to pay for it with the understanding that she would have to pay to restore the unit to the original condition when she moved out. Well, she agreed to pay and I hired the contractor to come out and install the items.

Fast forward, 6 months of market rate rent and utilities being paid on time and I get another call for an improvement. Ok, so what's up now I think. She wants a walk in shower installed. I remind her, that this is a tenant requested improvement and she understands and is willing to pay for the improvement.

Initially, I was thinking of having a fiberglass shower surround installed so I went out and got some bids for this. I returned the information that it was going to be around $3500-3800 to install this. Knowing that the fiberglass surround was somewhat of a downgrade to the existing finishes as the place has quartz counters and new cabinets etc...

I mention to her that I wasn't a big fan of the fiberglass insert and her reply about floored me. Turns out that she isn't either and would rather have tile installed. When I mentioned to her that the price would immediately jump to around 6k, she replied, well, I don't really want to pay 10k for a shower, but get another estimate.

Wow, I thought this is fantastic. I have a tenant that is willing to pay for significant upgrades that will greatly enhance my property value.  I immediately scheduled an appointment for a contractor to come out to measure and give me a quote for the installation. Now I don't yet know what the final outcome will be, but I can assure you one thing. If the bid goes through, I have a good paying tenant that is going to be there for a long time which is our goal.

While I agree, this is somewhat unusual, I am liking my older tenant at this point. She pays on time, is paying market rate and is willing to pay for improvements to enhance her living space. It seems possible that people of this age could be willing to do something like this so that they can live out their remaining years in someplace they like with the finishes they like.

I will provide updates after the bid comes in. Until then, fingers are crossed hoping for a reasonable bid and approval from the tenant.

@Brie Schmidt @James Wise @Thomas S. @Uchenna A.
Thanks for the replies. I am going to re-submit my bid requests and raise the standard to have tile installed to meet the standards of the rest of the unit. We already have quartz tops throughout the unit and I am afraid that the shower kit would downgrade the look. There are two bathrooms and putting a shower kit in the master bathroom would look cheap. Sounds like a win win to me.

I have an elderly tenant that has requested to have a walk in 4 piece shower kit installed and is willing to pay for the improvements. The unit has just had a remodel and is in new condition so it is just a matter of convienence.

I have agreed to allow the improvements under the condition that my contractor would do the installation. I have submitted three requests for quotes and am preparing to submit the quotes to the tenant for their review and approval. Not sure how much they were expecting to pay, but the quotes are between 3-4k for labor and materials.

I have a certain expectation on the quality of materials that will be used to ensure that the improvement fits within the existing quality of the unit and the materials included in the quote are near borderline to that expectation being a cheaper shower valve, a 4 piece shower kit over the existing 1 piece unit and a low cost shower door.

I am not a fan of the multi piece shower installation kits thinking they look cheap. Should I demand a higher quality shower kit or provide a quote with the installation being tile walls? Tile walls could end up looking bad if the cleaning is not adequate and since the existing 1 piece shower/tub surround is pretty much tenant proof and is in very good condition, I am somewhat hesitant to even proceed.

I might add, I am getting slightly above market rent and the tenant pays on time and has expressed an interest in staying as long as they can so I am thinking that if I allow the improvement, then the tenant becomes more invested in the unit and is more likely to stay.

What experiances do you have in situations like this and what advice can you provide? Providing that they approve one of the bids, are there any additional liabilities that I could be held to since they are paying for the improvements?

Hello BP, I am looking for good recommendations for Tile and/or Wood Flooring contractors in the Seattle / Puget Sound region

@Jo Mendes Welcome and congratulations on joining BP, this is your first step. I did my first deal as an owner financed house hack while living in the Lake Worth area of South Florida years ago. IMO, this is by far the easiest path to entry into REI. It is possible to get into a deal with little to no money down using creative financing options. In my first deal, I was able to get a deal with 5k down on an owner financed deal. This would allow you to get started in your own backyard where you have knowledge of the area. If the cost to entry is to high in your immediate area start looking 2 hours out.

Investing out of state involves much more risk as you need to have boots on the ground to help look after your investment. I'm not saying you shouldn't invest out of state, but if you do, be sure to vet your partners/team members to ensure that you can trust them to look out for your best interests.

Start attending meetup's in your area and network with other local investors who may be able to help you find a deal. Keep reading the forums to gain knowledge. At some point you will need to take action, just be sure you have the knowledge and the support to make an informed decision on your investment.

Tanya, Please send me the details on the property if it is still available.

[email protected]

Thanks, Ted Klein

Do some comps in the area and see what other like units are selling for. Run the numbers using the BP rental calculators using different scenarios. if it pencils out it's a good deal. As the saying goes, if your not embarrassed by the offer you make you probably offered to much. Good Luck

Lesley,

I sent you a colleague request a little bit ago. This one sounds interesting. Please forward me the information.
Thx,

Ted Klein

@Thomas S. @David Dachtera  @Jonathan Jewell @Glenn McCrorey
Thanks for the responses. I have talked to the tenant and they have agreed to fewer bars and to pay the expense of a professional installation. I am hopeful this is going to be a long term tenant and that their requests will remain reasonable.

After screening many tenants and narrowing it down to two quality candidates, I have accepted a holding fee equal to the security deposit for an elderly tenant for move in at the end of the month. They have pre-signed the lease and at move in will pay the 1st months rent and I will sign the lease to finalize it. I chose this candidate based upon potential long term tenancy.  A few days after the pre-signing of the lease, as a precaution, I asked if the tenant needed a grab bar for the shower stall, thinking I would install one for safety purposes and I asked for input on where to locate it. I just received a text this morning with a picture attached of their current shower and it shows 4 grab bars and a seat mounted to the back wall of the shower surround. This is obviously more than I was expecting. My current shower stall has one plastic bar on the far wall as shown in the second image.

Obviously these would require the walls to be reinforced with blocking between the studs to affix the bars which would require removal of the shower enclosure.

• My question, can I ask the tenant to pay for the grab bars and the professional installation?
• Do I really need to outfit my shower stall to the same level as shown in the image?
• Doesn't the tenant have to restore the property to the original move in condition when they move out?
• Is there another way to install the bars without removal of the enclosure?
• Would it be possible to ask the tenant to cancel the lease agreement, (I have not signed yet, only a holding fee has been paid) and then select the other candidate?

Tenants Current Shower My Shower Stall