A problem with tenant

amother

Linen

Tue, Jun 23 2015, 7:48 pm

amother wrote:

The problem I keep pointing out is that you bought a house with tenants already there. Will you really kick a family out on the street for business? This isn't a guy that walked into the grocery. Youre talking about calling the guy back as he was leaving the store with his bread and milk and asking for more money.

I said, it's your right. But don't expect the majority of us tenants to sympathize.

Well said.

You may have the right, but there's also something called "naval birshus hatorah." Heard of it?

amother

Burlywood

Tue, Jun 23 2015, 7:49 pm

lime I dont understand you, everyone else is paying that price?! you dont seem to see that. only that its high price? oh its high, so find another place for cheaper. I didnt force him to stay. thats the price. I dont want sympathy. I want to know how lakewooders deal with this. obviously I want to hear from landlords. I guess I have to wait for them to answer. and btw he was lucky he got away with this price for so long. what do you say to that?

SRS

Tue, Jun 23 2015, 7:55 pm

I'm confused. You bought a rental with an existing tenant with the plan to walk in and raise the rent and a plan to make money on a regular rental right off the bat? To me it sounds like you did not do your homework regarding renal property, which by the way I appreciate as an investment. A regular rental, not something that you bought on a fire sale, is not normally income producing for many years and much of the potential is in future appreciation, not in current rental value.

Furthermore, cities/counties are known to suggest a percentage that you can raise rent, even if not legally enforceable. Where I live it is around 3%. So a property renting for $1500 might increase $50 when the lease is up. To get to $1650 would be a 3 year plan.

amother

Burlywood

Tue, Jun 23 2015, 7:56 pm

and to the poster with the grocery. I am a new grocery owner and I highered the prices and you decided you dont want to pay the new prices. thats what it is. look its not a conversation I want to continue.if you are a tenant I dont want to hear all of this. I already made up my mind.none of what tenants say will change it. btw I was super nice to one of my previous tenants and they didnt appreciate it at all. all those nasty tenants cause the landlords to be nasty. try to be mentchlich and see if that helps. but I wont be cheap at this point because tenants dont appreciate it.

amother

Lime

Tue, Jun 23 2015, 7:59 pm

amother wrote:

I say, this is how the business works: there's a market price when the tenant signs the lease. Market prices in many heimish neighborhoods shoot up faster than the landlord should be raising rent. That means eventually a tenant will be paying much less than market price because that's just the way the math works out.

When he moves out, your new tenants will pay the exhorbitant sum you will demand because they will have no choice.

And you keep saying this ridiculously heartless statement of "move out if you can't afford it". Uh, market price has gone up, remember? Of course that's not your problem if you're only a businessman. But if you're also a decent human being, you see people on the other side of the business deal.

SRS

Tue, Jun 23 2015, 7:59 pm

amother wrote:

and btw he was lucky he got away with this price for so long. what do you say to that?

I would say welcome to the free market. He negotiated, they landlord accepted, you purchased the property with the existing tenant. I have some professional involvement in rental properties and normally procedure is to grandfather in existing tenants.

I'm all for the free market, but I don't think it is good business to go about evicting existing, paying tenants. And since it sounds like you are a novice, I should warn you that a paying tenant that has been staying put is gold. A single month of vacancy where you have to show, advertise, and fix up stuff can easily cost you the additional $1200 annually you might garner.

Last edited by SRS on Tue, Jun 23 2015, 8:10 pm; edited 1 time in total

SRS

Tue, Jun 23 2015, 8:06 pm

amother wrote:

to srs its not what I want to get into now. I am interested in hearing what lakewooders do when a tenant doesnt pay.

(Apologize for not being a Lakewooder, but I do know something about it) Is the tenant not paying, I.e. skipping out on all the rent, or not accepting a new contract at the new rate? You can go to court to get the tenant evicted.

Pull your contract out of the file cabinet and find out what it says. To me this isn't an emotional conversation about tenants and their spending habits or tenants and their complaints about high rents, but a simple conversation about what your contract says and then what or if you should do anything about it.
But, you emotions should not rule the conversation and saying I have to generate X amount of income doesn't change the facts on the grounds about the nature of rental properties.

amother

Burlywood

Tue, Jun 23 2015, 8:10 pm

[quote="amother"]I say, this is how the business works: there's a market price when the tenant signs the lease. Market prices in many heimish neighborhoods shoot up faster than the landlord should be raising rent. That means eventually a tenant will be paying much less than market price because that's just the way the math works out.

When he moves out, your new tenants will pay the exhorbitant sum you will demand because they will have no choice.

And you keep saying this ridiculously heartless statement of "move out if you can't afford it". Uh, market price has gone up, remember? Of course that's not your problem if you're only a businessman. But if you're also a decent human being, you see people on the other side of the business deal.[/quote]fi

are you from lakewood? I want to tell you that yeshivish people in lakewood have a bad name. they dont pay. its geneiva you know? yes move out if you cant afford it. exactly. I lived in a non jewish apartment for 3 yrs cause I could afford better. so yes I talk where mmy mouth is.

amother

Gray

Tue, Jun 23 2015, 8:14 pm

Lakewood landlord here

I rent out a basement, tenants have lived there for awhile. when they first began rent rates were pretty low. we locked in at a price, a year later rent skyrocketed and my tenants were paying wayyyy below market value. we didn't raise the rent. for a really long time. we technically legally could have but we didn't. many people I know also don't raise, or if they do very little like $50, which is cheaper than moving so most tenants do agree to the raised rent. however soon my tenants are moving so I will raise the rent to market value. if rents go up again I probably also won't raise until new tenant. we do have an agreement with tenant that due to this they should take care of their own repairs. if its something very costly or major like an appliance replacement or water heater, or something then that we do. so we chalk up the loss of "market" rent to not being bothered about small things time wise and money wise.

I wouldn't evict if I were you...it takes months and its a hugggge hassle. I know someone that tried it took over 2 years legally, not simple. not to mention the community backlash you'll get, even if your not from here. Jewish world is small, and it will affect you, fair, correct or not. however, if you have a contract and a legal lease stating the rent and you can prove he pays less each month, put it on his credit score. you might have his social security number if you rent to him. you can let him know you'll be doing this. next time he applies for a car lease, credit card or mortgage, it will effect him. when he comes to you that his credit score is low because of faulty rent payments you can offer to change your report to credit company when full amount due is paid.

as for his attitude, well, a wise old relative of mine who managed apartments for years once said she knew when someone's sister in law, or brother in law got a promotion/house/brooch, etc. because then the tenant would stop paying rent and start complaining about maintenance, etc. he probably wanted to buy this house an couldn't afford it. so its all your fault. ignore the attitude, won't help. and you can't even be a bad reference for him cause then he'll never find a new place to move too...

good luck! I hope he doesn't give you too much agmas nefesh! oh and another way out is to hire a managing company to deal with him, they don't take nonsense. and if legal, I wouldn't do a single repair until he pays what he owes. send a notice in writing.

amother

Lime

Tue, Jun 23 2015, 8:15 pm

amother wrote:

for all who are interested, d cant make a lease, cause the guy is supposedly moving out, hes buying a house. I just cant wait for him to leave. I will only rent to [certain type].. people that are mentchlich. they dont argue about rent like [other type]. do.

Hahahaha.

I'm [certain type]

And I won't argue with you when I move in, but I sure will argue if you keep raising my rent outrageously to meet the ever-skyrocketing market price.

So good luck finding your dream tenant. Especially with such narrow-minded criteria.

amother

Burlywood

Tue, Jun 23 2015, 8:50 pm

they could be upset. thats fine. I pay alot for pesach food, but I pay it anyway. so noone bats an eyelash . everyone pays. thats how the market goes. you can choose to be upset and either pay or move out. I would be happy if he moved out. even if it costs whatever it costs. that way I dont have to deal with him anymore. and trust me I will look before I take my next tenant. I own the house I can choose whoever I want to take. I know you dont like this. but me being nice in the past with an ungratful teant caused me to be harsh. wait till you will be a landlord. and thats why pp take non jews as tenants. they dont give these problems. how do you like that? can you imagine, non jews have abetter name then us jews. yes unbeleivable. its true. I think its something to think about. tenants that are not mentchlich and come up with all kinds of theories why they shouldnt have to pay like some posters here are the cause for jewish owners to get non jews. and then they ruin the neighborhood and the yidden complain about them. you caused it to yourself. think before you act. noone buys property to have tenants cause so much heartache.

amother

Dodgerblue

Tue, Jun 23 2015, 8:53 pm

amother wrote:

Perhaps you haven't been reading my posts, but I am a landlord. And if I acted the way you acted my tenants would sue me and I'd lose my home, and I'd likely deserve it.

amother

Burlywood

Tue, Jun 23 2015, 9:00 pm

hello, does anyone here realize he was existing tenant from the previous owner. I recently bought the house. so to me hes a new tenant. I am not the only one a lot of pp that buy a house raise the rent for the new tenant. the tenant has the choice of moving. he would pay that price whhen moving eccept for the moving costs that he doesnt want to pay. so its not great for him either. and I wouldnt raise that amount all the time. its going up market value for what everyone else is paying. whatever someone else is trying to be nice. that doesnt work, I have tried to be nice I only get complaints afterwards. I may as well get mymoney for the heartache.

amother

Linen

Tue, Jun 23 2015, 9:03 pm

amother wrote:

fi

are you from lakewood? I want to tell you that yeshivish people in lakewood have a bad name. they dont pay. its geneiva you know? yes move out if you cant afford it. exactly. I lived in a non jewish apartment for 3 yrs cause I could afford better. so yes I talk where mmy mouth is.

I can't believe you're actually saying this. Yeshivish people in Lakewood have a bad name? Do you know who started the Jewish community in Lakewood? R' Aron Kotler. For his yeshiva. And the yeshivish people who learn there.

You don't like the yeshivish people in Lakewood? Who asked you to move here?