All Forum Posts by: Jared K.

I have found instead of relying on an agent or broker to relay this information it is best to put it on the purchase agreement upon making the offer that way you are protected. I did run into a similar situation where the previous owner owed a water bill and the lien transferred with the property instead of sticking with the previous owner. I called the water company and explained I was trying to buy the house but couldn't b/c of the situation b/c it wasn't my water bill so why should I pay it, can you help me? They did negotiate the balance down for the previous owners debt and I had the previous owner sign a notarized document that they would pay it off or go to court. The previous owner was a help in the matter. She had to do a short sale b/c she couldn't afford 2 homes and agreed it was her debt and paid the bill so I could close.

In your situation I would be inclined to hold the agent responsible for my deposit or to pay the water bill out of their commission and you will close but they are responsible for one of the 2!!!!!! If they didn't do their job hold them responsible, that's what they are getting paid to do!!!!!

Thanks!! Hope it helps someone!! @Steve Veen 

Renovate the empty units if their are any and offer the tenants that are in filled units the option to move in them first with a discount for their troubles or some perk. If your doing a lot of demo some of the other filled units will probably move out due to the inconvenience any way. Not sure about the laws in your area when it comes to demo etc but this might be an option or you could agree to buy the property ONLY if it is vacant the day of closing and let the other person handle it their way so its out of your hands. Just a couple thoughts.

I agree with @Marcia Maynard . I basically apply the same thing in my own rental business. My lease states the tenant will be liable for any filing fees, court costs etc. I charge $20 for being late and $10 per day until I am paid on top of the rent and I do not accept partial payments. I give them all the same rules. 

 Rent is due on the 1st-5th, 6th is late fee of $20, $10 each day after and on day 10 I evict. If the tenant can prove they will be getting payed within a few days of the 10th day I sometimes wait but if I let them know I am not going to call and beg for my money or they can move. It is their responsibility to get the rent to me and if I have to file eviction and they want to stay in the property and clean up their act they have to reimburse me for all of my costs plus rents & fees. From that point they have to pay in a timely manner or be forced to move. Rules are rules, its your business, retirement, money, and credit on the line! The bank don't wait for payment so why should I?

Doesn't sound like a deal after closing cost, $5K in expenses, repairs etc to me. Sorry to be honestly harsh. Best of luck.

@Joel Owens Great answer! 

@Eric Johnson I agree with Joel. You could always use it as extra leverage toward a reduction in purchase price b/c not everyone smokes and it would have to be non-smoker ready aka remodeled to some extent. I have owned rentals for several years and its mostly just paint and shampooing of carpets but duct cleaning isnt something I have to do b/c I dont have them. It may need done depending on the length of time and frequency they smoked, and what all they smoked which will remain unknown.

Cool!! Thanks Drew!! I will have to check it out.

@Drew Wiard 

Either have the seller hold off and do the eviction yourself, which is what I suggest instead of buying in the middle b/c you know it will get handled your way, or just get a contract on the place for 6 months and tell him to keep you updated and you will buy it when they are out. I would get a discount on the purchase either way for my hassles!

Stick to your lease b/c it falls under utilities!!!!! Just b/c cable is available don't mean you should pay for it!! Tell them its a bonus it is for free until then!!! If they didnt ask about it prior then its not your problem either!! You were just making them aware it will be up to them to renew it in their name, case closed!!

@Jon Lafferty If your offering fair market rent and they are that much of an issue I would stick to my guns and find another tenant that can pay on time. If they have been there for several years, take great care of your place, never been late much and fell on hard times then it would be a thought to consider I suppose. From my 10+ yrs experience if you give them an inch they will take a mile!! If your calling every week now its a big red flag to me !!! If they get a discount now they will want more of one later somehow!!! Maybe they need to change jobs or do extra work somewhere, not your resposibility? Keeping a roof over your head should be #1 priority for them just as it is for you and the bank dont lower my payments so why should I lower rents? In a very special situation I could see lowering it $50 a month for a little while and then returning to the normal rate but even then if other tenants know you will do it they will want that treatment too. If your going to do that I would set ground rules for yourself and them and stick to my guns. Example- lived in the property 2+yrs, proof of job loss, only reduce rent for 6mo. 

After having issues for several years trying to be nice and believe all the hard luck stories (which some might be true) I finally just said Ok here is how it is!!!!!!!!!! Rent is due on the 1st and no later than the 5th (4 day grace by law I must offer here) if you don't have the full amount of rent by the 10th including late fees you receive an eviction and its the same for everybody. This give the people that get a 2 week paycheck time to pay their rent if they have fell behind on the last check and came up short for the rent. I also use a 5 page 1 year lease b/c I feel its in my best interest in court for the protection of my property instead of a month to month.

The way I see it the faster I get the problem tenant out the faster I can find a good long term tenant that will pay and I wont have to call and beg for my rent. Been there too many times my friend.