Tilted Forum Project Discussion Community - View Single Post - Renting, buying a house, and going to college...

NoSoup · 03-15-2006, 12:06 AM

I rent to an older couple, and I tell you - they are the best tenants I could ask for. They care for the property as if it's their own. Conversely, I also rent to a couple of younger guys, and when they move out I'll likely have to spend several thousand dollars repairing the place.

You'll definately, definately, definately want evrything in writing. If your tenants are late on rent, you should have a clause in the lease agreement that requires them to pay a late fee. If they continue non-payment, you can eventually take them to small claims court and evict them. However, in the meantime, you'll obviously have to continue making the mortgage payments without their income. Depending on the situation and your local laws, if they do get evicted, they still have a substantial amount of time (30 days here in Wisconsin) to remove their items. Until they do, obviously you can't rent the place out, causing additional income laoss...

I'd check into getting a really good real estate attorney and have him draw up the paperwork, and ask him/her all the questions you have prior to purchasing the property. Good attorneys are more expensive, but can potentially save you thousands upon thousands of dollars down the road.

Also - make sure that your renters carry rental insurance. If something unfortunate happens to the dwelling and their property is destroyed/damaged, your homeowners coverage may not cover it all...

03-15-2006, 12:06 AM	#6 (permalink)
NoSoup Non-Rookie Location: Green Bay, WI	I rent to an older couple, and I tell you - they are the best tenants I could ask for. They care for the property as if it's their own. Conversely, I also rent to a couple of younger guys, and when they move out I'll likely have to spend several thousand dollars repairing the place. You'll definately, definately, definately want evrything in writing. If your tenants are late on rent, you should have a clause in the lease agreement that requires them to pay a late fee. If they continue non-payment, you can eventually take them to small claims court and evict them. However, in the meantime, you'll obviously have to continue making the mortgage payments without their income. Depending on the situation and your local laws, if they do get evicted, they still have a substantial amount of time (30 days here in Wisconsin) to remove their items. Until they do, obviously you can't rent the place out, causing additional income laoss... I'd check into getting a really good real estate attorney and have him draw up the paperwork, and ask him/her all the questions you have prior to purchasing the property. Good attorneys are more expensive, but can potentially save you thousands upon thousands of dollars down the road. Also - make sure that your renters carry rental insurance. If something unfortunate happens to the dwelling and their property is destroyed/damaged, your homeowners coverage may not cover it all... __________________ I have an aura of reliability and good judgement. Just in case you were wondering...