All Forum Posts by: William K.

Quote from @Chris Herrera:

@William K. I don’t know the exact situation but if renters are behind as it is, how do you see them paying increased rent?

You’ll probably have to let them go if you want to raise rent, you can have a conversation with them but if they’ve been behind as it is then their actions are saying what you need to know

 Letting them go seems to be where this is headed.  I have to execute a business plan.  Raising rent is part of business.  They my pull through.

Quote from @Michael Blum:

@William K.

Echoing the sentiments here. I’d definitely start with a conversation with them letting them know your intentions. Figure out where they are and if they can get on a plan to get current. Otherwise, don’t forget a very useful lever: “cash for keys.”

Thank you all for the advise.  I spoke to my PM and we have created a plan with much of your suggestions.  
I forgot about the "cash for keys".  May use that.

Quote from @Michael Dumler:

@William K. couple of questions to address. Are the tenants on a fixed lease or month-to-month? What are current rents? What can rents be raised to? If the tenants are on a fixed lease, then unfortunately you can't raise rents until their lease expires. If the tenants are month-to-month, and there is a big gap in their current rent vs. market value rent, then maybe take into consideration giving them notice to vacate. Hope this makes sense and helps!

They are month to month.  There is a $100 - $150 gap

With the economy finally exiting the covid 19 crisis.  This question is popping in my head.  When do i raise rent?

In reviewing the average rentals for my area my rents an on the lower side.  Logically I should increase rent! 

However, I have a moral dilemma.  Do I raise the rent for renters whom are behind?  If not while they are behind, when?

Quote from @Nathan Gesner:

Quote from @Scott M.:

Don't fire anyone, call them and talk to them and get more data.  I think the great @Nathan Gesner is a bit to strong, I would not be demanding anything at this point, be friendly.  Nothing of what you have said thus far indicates being hostile or going to the board.  

Get more info and post here.  The questions Nathan asked are great ones.  

 It's hard to give an answer with so many unknowns.

How much was originally owed?
They have not paid since mid Dec 2021

Who came up with the payment plan?
The PM came up with the payment plan

How much is still unpaid?

3,375

How much time has elapsed since the last payment?

I was told they paid 500 today.

When did the PM last tell you the tenant was "on track"?

She told me they were behind Jan and Feb on Feb 9th via text message. The PM told me over the phone that they had made a payment on Jan 24.

Via text message and email they said they have requested retail assistance for the tenant.

The dates of communication:

text:

Jan 5th 2022 - I reached out to PM. PM said," paid 1000." That left 675 due for Dec 2021. Jan was due on the 6th.

Jan 19th 2022 - I reached out to PM. PM said, "they were going to check up on them... ...Submit a request for rental assistance."

Jan 24th 2022 - was told by the PM over the phone that they had paid 675.

Feb 9th 2022 - I reached out to PM. PM said, "they are behind Jan and Feb... ... just submitted info to rental assistance case worker."

Feb 14th 2022 - Reached out to PM over phone and text. Found out they had not payed anything, since mid Dec.

Feb 14th 2022 - Email of rental assistance request was forwarded to me.

owed 3,375 (not including late fees).

I apologies for the lack of details. I was trying to get advise without revealing too much.
I don't want to fire anyone! I don't want to kick anyone out either!

We have 2 tenants (different homes and contracts).

One has paid rent on time twice. They moved in at the beginning of 2021. The PM has worked really hard with them. As of today they are a month an 1/2 behind.

The other tenants, which have a payment plan, have been having issues since November of 2021.

The communication between the PM and myself are very hard to follow, because both tenants that are behind are discussed at the same time on the phone or thought text message. Often, the text msg. does not match was was said on the phone.

I boiled over, and I posted here to get advise. I now realize i didn't provided enough info to get good advice. Please, let me know if you need any more details, and I will try to provided them.

deleted

How much was originally owed?
They have not paid since mid Dec 2021

Who came up with the payment plan?
The PM came up with the payment plan

How much is still unpaid?

3,375

How much time has elapsed since the last payment?

I was told they paid 500 today.

When did the PM last tell you the tenant was "on track"?

She told me they were behind Jan and Feb on Feb 9th via text message. The PM told me over the phone that they had made a payment on Jan 24.

Via text message and email they said they have requested retail assistance for the tenant.

The dates of communication:

text:

Jan 5th 2022 -  I reached out to PM.  PM said," paid 1000."  That left 675 due for Dec 2021.  Jan was due on the 6th.

Jan 19th 2022 - I reached out to PM. PM said, "they were going to check up on them...  ...Submit a request for rental assistance."

Jan 24th 2022 - was told by the PM over the phone that they had paid 675.

Feb 9th 2022 - I reached out to PM. PM said, "they are behind Jan and Feb... ... just submitted info to rental assistance case worker."

Feb 14th 2022 - Reached out to PM over phone and text.  Found out they had not payed anything, since mid Dec.

Feb 14th 2022 - Email of rental assistance request was forwarded to me.

owed 3,375 (not including late fees).

I have a tenant that is on a payment plan.  The PM has told me a few time they have paid and are on track.  I find out today that they are more than 2 months behind now.  I know I need to fire the PM, but I'm not sure how to proceed.  How do I get my late rent.  Do I sue anyone?

Last time i tried to do a HELOC on an investment property I was shot down. I have the appraiser scheduled for the new loans. No turning back now...
Thanks Brenden!

I have 2 investment properties with balances at a rate of 2.75.  I can cash them out, but that would move my interest rate up on the whole amount due.  I would like to keep the current balances at 2.75 and get the equity out with new loans.  Is that possible?