Posted by Keith Williams on March 13, 1999 at 23:15:45:
An excellent reason to base the offer on current rent, rather than what you might/should be able to get!
Rental Lanlords - Posted by David Alexander
Posted by David Alexander on March 12, 1999 at 20:03:13:
I have a property that I bought that is a rental. I bought it only with the intention of selling and carrying paper. The people in it have lived there three years and pay their rent like clockwork, and the place is immaculate.
Their lease is up and it is time to renew or move out, ended
March 1st. I talked to them and they want to continue renting until they find a place(urgghh) to move, they don’t want to buy this one as it is in a bad area and is a long way from their job.
Would you make them sign a another lease, what is a fair amount to raise the rent? My goal is to still sell this property, was to end user, maybe I should keep it rented and sell to another Investor.
Numbers are 33k owed, Payment PITI 339/month, 27 years left.
Rent is 475/month
Thoughts appreciated.
David Alexander
Re: Rental Lanlords - Posted by Irwin
Posted by Irwin on March 13, 1999 at 06:32:16:
David:
Never look a gift tenant in the mouth.
Ask yourself the question:
What happens if they move out, and you don’t find a buyer for 3-4 months? People don’t exactly jump at houses in bad areas. Even good contract buyers.
You might get rid of good tenants, only to find that now you have to find new ones, and maybe the new ones won’t be as good as the ones you have.
Just a thought.
Re: Rental Landlords - Posted by Mike (KCMO)
Posted by Mike (KCMO) on March 12, 1999 at 20:52:31:
David,
I had a similar situation a few months ago, and here’s how it turned out. I offered my tenants the option of signing another full year lease at the same rate they were paying, or of going month-to-month for an additional $25 per month. They weren’t prepared to move right away, and decided to stay on another year. I feel like it worked out well for both of us. Hope this helps.
Mike