I used to want to be a landlord

[Tobin S.]

Now that I don't want to be one it looks like I might become one. I have a little one bedroom condo that I moved out of around Christmas of last year. I've had it for sale ever since then, but it has generated very little interest from prospective buyers. My realtor is even suggesting that I rent it. There's a similar condo a few doors down from me that's for sale for about $12,000 less than mine and the realtor for that one says no one is interested in it either. I guess the housing market still hasn't recovered in that area.

So it looks like I'm going to be a landlord. Any tips?

[alphafemale]

1. Let the realtor be the landlord.

Or if that agency doesn't do rentals find one that does. You don't want that headache.

[Tobin S.]

2. What do property managers usually charge?

[alphafemale]

3. Not sure. But you're not making any money with it just sitting there.

And I think an agency takes on the responsibility if someone really trashes the place.

But they absolutely do the advertising and background checks and cleanings. Yes they take a percentage of the rental fee for that...but again. What are you making now on the place?

Also to consider. Is the condo anyplace that could be considered a weekly/weekend tourist rental? The cleaning rates are higher. But the rentals charges are higher too. Generally as much for a week as a month would be for someone with a lease.

[Tobin S.]

4. It wouldn't make a good vacation rental because of the location

But I do think getting the property manager is the way to go. Like you say, it's more cost effective than having it sit empty. I looked up what is customary for a property manager to charge. If they just find the tenant and get the lease set up they charge the first month's rent. If they actively manage the property after getting the lease agreement they charge half the first month's rent and 10% a month thereafter. That doesn't sound like a bad deal.

[alphafemale]

5. Hands off for you is not a bad deal at all.

You don't have do deal with "I don't have the rent cause I didn't get paid. You ain't going to evict me and my babies are you? My youngest has asthma, my dog has eczema, and I'm full of shit."

No, you are too kind hearted to be a landlord. Scoundrels could sniff you out from a half mile away. Let an agency handle it.

Any money is better than no money.

[grasswire]

10. I thought this was a "progressive" web forum.

Come on. Thousands of DU-ers are renters. Show a little class.

[alphafemale]

14. I'm talking about people who DON't pay the rent.

You gonna defend that?

Come on?

I'm Waiting.

[grasswire]

18. that's not precisely what you said

You told him to allow a property manager to take over because then he wouldn't have to deal with low lifes and scoundrels.

We can nit pick about what you said, but the implication is clear: property owners have a high probability of dealing with scum.

Tell me something. Where are the scum supposed to live? Scum have toddlers and grandmas too. Where are they supposed to live? They have faces and names and needs, too.

When property management companies donate money for affordable housing enterprises and lobbyists, then I will think more highly of them.

[alphafemale]

22. Clean the shit out of a fridge drawer and come back and talk to me.

Yes. I've seen that.

That's actually a minor incident of damage.

I've seen plumbing ripped out, wiring ripped out and the dry wall punctured everywhere. Carpet sliced and pissed on to hell and back.

Renters CAN BE absolute scum.

Most of them are OK.

But there is NO Reason on earth to assume that risk if an agency is willing to do it for a percentage.


If he has an agency deal with everything it will be their loss if someone trashes the place.

[grasswire]

24. I hope you are not in that business any longer.

Cuz it's very hard on your perspective on life.

Don't property owners have insurance available to protect themselves from the expense of damages? Don't they ask for damage deposits?

I agree that someone who hates dealing with sketchy folks should not be in that business.

[alphafemale]

27. There's no reason for Tobin to be in this businesss

And I can't believe you are excusing the worst of renter practices.

You just have to deal with people smearing shit on your walls...or you hate poor people.

Go sit on something pointy and spin.

[grasswire]

28. please show me where I excused "worst renter practices"?

Of course renters should not smear shit on walls, or destroy or deface the property. I don't excuse that or defend it.

But people who go into this kind of business should, for their own profit and peace of mind, know that some people are damaged, some are addicted, some have mental health issues, some have PTSD, some just wig out. There's no surprise here.

No rational person would destroy their home. A desperate or frightened or wounded or substance-dependent person might.

Property owners should insure themselves against the possibility of damage. And accept the possibility as dispassionately as possible, as the cost of doing business.

But let's talk solutions here. What is the solution to the problem? Where do people live who aren't "acceptable" to property owners because they might put shit in the refrigerator drawer?

What is the solution when there is a ten year wait for housing assistance -- seven years even for the disabled and elderly? Public housing? More money for HUD? Some people who have Section 8 vouchers have to return them because no landlord will rent to them!

What are the solutions? The problem isn't going to go away.

Do you have some suggestions to address the lack of affordable housing?

[Tobin S.]

29. Hey grasswire

I understand the risks associated with renting property and I do know they sell landlord insurance for it. I'm not trying to get rich in real estate here, I just need my house payment covered, or mostly covered. I don't plan on renting for more than my costs. I don't think the market in Dayton would support that anyway. I wouldn't turn away a section 8 person if my condo would qualify for it.

[grasswire]

30. I know, friend...

...and I'm sorry for making a fuss in this thread. I know you have good intentions and my quarrel is not with you. I just can't let those previous snarky statements from someone else stand without responding.

I'm really sorry you have not been able to sell your property. You're a victim, too, of the forces.

:-)

[Duer 157099]

26. +1000 for the attempt

I get so sick of hearing this attitude from "progressives"

In the end, it all boils down to $$$$ - you either have it or don't, and that's the real division in this country.

[jme0318]

7. Our weekend home...

I told you - that could be our weekend home... Kidding - I want it to be gone - except for the pool...

[Kaleva]

6. It's a business so you can't have a soft heart.

My in-laws rent out several apartments and I did some on line research for them as they've had major trouble with several tenants. Being rather easy going folks, they even allowed one renter to keep his apartment for almost an entire year without paying rent!

Of course, one can see that they make little to no money on this business and my wife and I have suggested several times they sell the apartment buildings.

Talk to other landlords who've been in the rental business for sometime and get tips from them. Laws vary from state to state so get to know your rights and the rights of potential renters. Make sure prospects can provide verifiable references and have a good contract that makes clear the obligations of the tenant. I know of one landlord who will start the eviction process if the rent is even just one day late. Even if the tenant does pay the rent soon after it was due, they are still evicted.

[grasswire]

12. as I said, the rental industry is brutal

Especially for renters. Kudos to your parents. They are people with hearts and consciences and sense of economic justice.

Why don't landlords work for policies that increase affordable housing options so they personally won't have to risk their assets on the poor, the unemployed, the displaced, the old, the sick, the handicapped?

The policies property managers use are often discriminatory and punitive. It's essentially a racket.

[elleng]

8. Realtor as renter sounds ok to me, Tobin,

be sure realtor is good/reliable/honest, check your contract with them carefully, don't settle for terms you're uncomfortable with. And good luck.

Jen, I understand 'pool' idea! I have 'country' apartment (60 miles from DC) and best friend has townhouse in DC suburb. Tho we'd like to save $ by giving up mine, I really do like having the option. AND its COOL at my place in hot weather, a/c not necessary, and I HATE to sweat! and mine less desirable in heavy, snowy winter, access difficult. SO wondering what I'll do.

Best of luck!

:hi:

[grasswire]

9. how about a wholly different approach?

One that pays homage to the many many working poor who can't find affordable housing and also gets you a tax deduction?

How about donating the property to a charitable organization? Preferably one that provides housing for battered women and their children, or seniors, or something like that?

The rental industry is brutal for those people who desperately need housing. They are generally treated like scum (and some of the comments in this thread reflect that snotty attitude).

So many people just need a place to live. You could do that for someone, through a charity, and get yourself a nice fat deduction.

[Tobin S.]

11. I'd love to do something like that, grasswire

But I can't afford to. I have a mortgage on the place and right now I have more money going out every month than coming in. I'm slowly going broke.

[grasswire]

13. but if you gave it away, you wouldn't have a mortgage.

You would be out from under it.

I'm just advocating for those who have no home. We have to find ways to relieve people of the burden of unwanted real estate and allow each person the dignity of a roof over their heads.

[Tobin S.]

16. For me to not have a mortgage I would have to sell the place

or have someone assume it.

[grasswire]

25. I am truly sorry for your situation, Tobin.

The whole housing situation is insane. Millions of properties sitting empty, children sleeping in the car, grandma in the closet. Frustrating as heck.

[alphafemale]

17. Charities are not going to assume a mortgage.

Don't believe this.

[grasswire]

19. no.

They will sell the property and use the money for programs.

[alphafemale]

20. And for as long as they do not sell the property Tobin will be responsible.

Correct?

[grasswire]

23. or maybe there's a shortage of housing in the area..

..and they keep it to use as part of a shelter system, and the agency assumes the mortgage.

Honestly. Rigid, authoritarian thinking does not help solve the problem of affordable housing in the land.

[Tobin S.]

21. There would have to be a profit from the sale for that to work

I already have it listed for a little less than I owe on it and it isn't moving.

[auntAgonist]

15. Good luck with whatever you're able to do Tobin.

I do think that a rental agency might be your best bet. I would think differently if you lived nearby the property, but I realize you're a distance away. Hard to keep your eyes on things from afar.

aA