https://boards.hellobee.com/ Pregnancy, Baby and Parenting blog, by Hellobee en Sun, 03 May 2026 11:04:26 +0000 https://boards.hellobee.com/topic/landlord-tips#post-2189826 Tue, 26 May 2015 16:57:50 +0000 sunny 2189826@https://boards.hellobee.com/ <p>There are 2 numbers you need to come up with.</p> <p>Market rate rent -- you can determine this via looking at comparable properties on Craig's List, nearby apartments, etc.</p> <p>Your profit/costs -- this is what it costs for you to own the place: mortgage, maintenance, HOA, insurance, etc. </p> <p>Obviously the numbers are related since costs will inform "how low" you are willing to go (especially in the case of renting to a family member for a "deal"). However, as a renter, I only care about how your unit compares to the market rate rents. Personally, I wouldn't go for an investment that is cash flow negative right off the bat. </p> https://boards.hellobee.com/topic/landlord-tips#post-2189810 Tue, 26 May 2015 16:41:29 +0000 Mrs. Lemon-Lime 2189810@https://boards.hellobee.com/ <p>@yoursilverlining: thank you :happy: </p> <p>I'm drafting our lease agreement now and hoping this experience doesn't turn sour. eek, eek! lol </p> https://boards.hellobee.com/topic/landlord-tips#post-2189055 Tue, 26 May 2015 08:13:37 +0000 yoursilverlining 2189055@https://boards.hellobee.com/ <p>Congrats on the contract!</p> <p>We set fair rent by looking at craigslist and other online rentals to see what others with similar sized spaces (ideally with similar amenities, etc.) in our area were charging. </p> <p>For us personally, our rent covers our mortgage, insurance and HOA fees ($185/month). </p> https://boards.hellobee.com/topic/landlord-tips#post-2189006 Tue, 26 May 2015 07:20:37 +0000 Mrs. Lemon-Lime 2189006@https://boards.hellobee.com/ <p>Update: We have a contract on a condo.</p> <p>New Question: How do you set fair rent? For example: our condo fees are $350/mo and HOA fees are $350/mo; I don't know what our mortgage, tax, &amp; insurance is just yet. My husband also wants to include an interior pest control service.</p> <p>ETA: I think it's by adding all the fixed (known) costs on a monthly basis and the rent covers it. My husband is still fixated on $850/mo, which means all fixed costs will not be covered. The rest he figures will reduce our taxes and we would come out even at the end of the year. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175975 Tue, 12 May 2015 15:21:01 +0000 jedeve 2175975@https://boards.hellobee.com/ <p>Oh I HATED the property management company I rented from in college. They were grossly unethical. But I'm sure it makes life significantly easier for a landlord. </p> <p>A lease protects your SIL too. There isn't a downside to getting one that I can think of. You can always choose not to enforce provisions of it, like letting her break the lease early if she wants. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175928 Tue, 12 May 2015 14:48:03 +0000 Tanjowen 2175928@https://boards.hellobee.com/ <p>@Mrs. Lemon-Lime: I second Mr. Bee's advice about hiring a management company. They had the resources and money to go after someone that broke the agreement that we just didn't have on hand. It turned out to be a very good thing when our first renter broke the lease, but we got to keep the first/last month deposit fee. Our management fee was a certain percentage of the rental price each month, and they had their own maintenance person that fixed any issues. </p> <p>We forgot to put in a section about a fee to repaint if the renter painted walls, so that was a pain. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175884 Tue, 12 May 2015 14:09:08 +0000 Anya 2175884@https://boards.hellobee.com/ <p>I guess it doesn't apply to you if you've already got a tenant but in addition to all the above advice, I'd say be choosy about selecting a tenant. Make sure you get credit reports, references etc. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175868 Tue, 12 May 2015 14:00:37 +0000 Mrs. Lemon-Lime 2175868@https://boards.hellobee.com/ <p>@mrs. wagon: I noticed we had to provide a ton more information to secure a mortgage this time. It'll be interesting to see what our rate is compared to our very low home mortgage. My husband wants to get a variable rate for the investment property and at first I thought that was not a good idea, but maybe it is.</p> <p>@bluestriped bee: that's an interesting way of accounting for the pet especially over several years. I think for SIL a non-refundable pet deposit will be the best way to go. </p> <p>@sarac: @Anagram: ugh! This sounds like owning a home all over again and fixing/replacing the stuff the inspection company said we wouldn't have to worry about for many years to come, but actually having to address in the first 2 years. </p> <p>Everyone has been so helpful. Thank you all! </p> https://boards.hellobee.com/topic/landlord-tips#post-2175757 Tue, 12 May 2015 13:13:34 +0000 BSB 2175757@https://boards.hellobee.com/ <p>I'm a renter and not a landlord, but have you considered having a pet rent? I pay $20 per pet each month. It's pretty common in my area to have a pet rent. I'm sure it helps the landlord out when we move and he has to replace the carpets or something. Oh, our landlord had to meet our dogs to approve them to stay. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175746 Tue, 12 May 2015 13:07:09 +0000 mrs. wagon 2175746@https://boards.hellobee.com/ <p>Just chiming in to note (in case anyone else hasn't already) that your interest rate will be much higher than if this was your primary residence. Lenders will want to collect more interest for an income property.</p> <p>Also, not sure how much it varies state to state but I know that in MA and NY landlords have very little power. It takes at least six months to evict someone, and this isn't very widely known, but it's ridiculously easy to break a lease. it's very difficult for a landlord to go after you if you just move out. We had two tenants break leases and had to go a month without rent for each. One of them was a messy divorce and the husband actually called us begging us to call his wife and reconsider leaving him... ugh. Haha. </p> <p>This is why we are not landlords anymore :) </p> https://boards.hellobee.com/topic/landlord-tips#post-2175740 Tue, 12 May 2015 13:04:00 +0000 Anagram 2175740@https://boards.hellobee.com/ <p>@sarac: I'm in a similar situation now---my last renters didn't *do* damage themselves, but they didn't tell me about a water leak coming from the balcony through the patio doors (wtf!) and now I am scrambling to find a contractor to repair all the mess before the next renter moves in--and I have 1 month where it's unoccupied to do the repairs.</p> <p>A savings account is a must---I already know one of the AC units is on it's way out, and in the past 2 years I've had to have the roof patched, the refrigerator worked on, the AC repaired, and the hot water heater replace, and the garage door opener replaced. I can write it all off on my taxes but you have to have the money up front! </p> https://boards.hellobee.com/topic/landlord-tips#post-2175718 Tue, 12 May 2015 12:53:02 +0000 sarac 2175718@https://boards.hellobee.com/ <p>Get a property management company, at all costs. I shudder to think of the hassles we'd have had if not for ours. Then make sure you have a big savings account for repairs - I'd say 10k minimum. We got hit with 6k in sewer replacement, and it wiped out our savings and then some. Never again!</p> <p>Also, just be prepared for the reality of renters. We just sold our rental property, and we made almost nothing on it because of the 5k in damage the renters did. Just, expect this. It's not fun. I'm really glad to be out of it. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175478 Tue, 12 May 2015 10:52:23 +0000 MrsADS 2175478@https://boards.hellobee.com/ <p>You MUST get a written lease. Seriously, do not do not do not go into this without it, family or not. If your SIL is reasonable she will understand. You need to have everything in writing. You can find free ones online. If you are in the U.S. just look up "state" Landlord-Tenant Act. Every state has one. You need to know what your and your tenant's rights and responsibilities are in terms of who pays for what, repairs, security deposit, and the procedures if she defaults on the lease, stops paying rent, etc. </p> <p>We have a condo we rented out for the last 1.5 years (not to family) and have had a few minor issues. I am a lawyer and I used to do landlord/tenant cases. You must get something in writing. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175392 Tue, 12 May 2015 10:05:32 +0000 yoursilverlining 2175392@https://boards.hellobee.com/ <p>@Mrs. Lemon-Lime: Our property manager is really the face of the landlording relationship- if that makes sense. Our tenants don’t ever call us, they call him. Something breaks at 2am, he is the one who gets the call and has to deal with it. He is the one who has to wait all day for a plumber to show up, etc. He collects rent (we’ve had no issues with tenants paying, but plenty of people do, and I don’t want to get into having to call and be an asshole about people paying rent on time – he would do that). Also, a good property manager (or management company) will have connects for all the usual services – so you don’t need to know a great plumber/electrician/handman in that area, etc. The peace of mind alone is worth the fee each month.</p> <p>Re taxes: I have not experienced a significant tax savings as a landlord. Your rental income is counted as income for you, offset by what you pay in upkeep/maintenance, property taxes, mortgage interest, etc. So, we aim to break even, until the mortgage is paid off, at which point we’ll be taxed more overall, since our overall income and tax rate will go up by whatever income we receive from rent. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175338 Tue, 12 May 2015 09:44:58 +0000 Mrs. Lemon-Lime 2175338@https://boards.hellobee.com/ <p>@My Only Sunshine: I think I will write in that example in our lease. Very helpful.</p> <p>@alphagam84: ok, that's one more thing to put in writing. She's moving from a one bedroom to a two bedroom and I don't want her having room mates or a live in boyfriend without that person also being on the lease. Even "temporary" couch surfing would irritate me.</p> <p>@Anagram: yes, your tax example makes sense. My husband is going to have to show me the numbers like you have before we communicate anything else, let alone put it in writing, to her. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175302 Tue, 12 May 2015 09:20:09 +0000 alphagam84 2175302@https://boards.hellobee.com/ <p>Definitely get a signed lease. My sister rents a townhouse from my Dad and had her friend move in. No one listened to me when I said to have him sign a lease and get a deposit, etc. They didn't have him do anything legal and he ended up being a jerk and moved out leaving bills unpaid and he let his dog pee in the room which left a horrible smell and stains on the carpet. They had to rip up all the flooring and replace it and were out the money since they didn't do a deposit or have a last month's rent. </p> <p>You and your SIL will be protected if you have something official written up and signed. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175256 Tue, 12 May 2015 08:49:15 +0000 Anagram 2175256@https://boards.hellobee.com/ <p>@hotchildinthecity: your landlord sounds awful! I feel like tenant responsibilities are replacing light bulbs/replacing air filters on AC/maintaining the tiny yard in back and all of that is written into the least (HOA does the front yard). Everything else is the landlord's responsibility. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175249 Tue, 12 May 2015 08:46:13 +0000 Anagram 2175249@https://boards.hellobee.com/ <p>@Mrs. Lemon-Lime: it is true that you can claim a loss on a rental property and it helps with taxes, but you also get to write in all your expenses (maintenance costs, HOA fees, all repairs, your mortgage interest and *maybe* insurance--can't remember--)so once your rental income is 0, any other $ you put in after that has no effect on your taxes.</p> <p>Let's say the rent is $1000/month, but you charge only $800/month expecting to write off the $200/month as a loss on your taxes.</p> <p>If your Mortgage interest, insurance, property taxes, and HOA fees equal $10,000/year and you collected $2400 less from SIL than you paid, then your fees exceed your income by $400 and that's just money you lose. All you can do is declare 0 income from your rental property.</p> <p>Does that make sense? </p> https://boards.hellobee.com/topic/landlord-tips#post-2175237 Tue, 12 May 2015 08:34:55 +0000 My Only Sunshine 2175237@https://boards.hellobee.com/ <p>I'm a lawyer so I always see the potential landmines in this kind of situation. I definitely wouldn't do it without a lease. It may be awkward and uncomfortable to talk about it now, but it'll be SO much better doing it now than having the whole thing blow up a year from now and ruining your relationship. The lease should specify the amount of the rent, what she's responsible to pay, what you're responsible to maintain and fix, how much notice either of you need to give to end the lease, etc. One common division of repair responsibilities is the tenant is responsible for anything from the walls in and the landlord is responsible for the rest. So, a leak from the kitchen sink = tenant. A leak from a pipe in the walls = landlord. You can do it however you want, but that's an example.</p> <p>A tip if you decide to have a lawyer write up your lease - it's usually easier and cheaper to just have the lawyer write up the lease from scratch rather than bringing in a lease you find online and having them check to make sure it complies with the law. Any lawyer that does real estate law will have a standard form lease they use, and it takes much less time for them to input your information into their form than to review a form they're not familiar with. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175230 Tue, 12 May 2015 08:32:30 +0000 Mrs. Lemon-Lime 2175230@https://boards.hellobee.com/ <p>@mrbee: I think our realtor also has property management services; I'll have to look into his pricing. We will be 4 hours away from the rental, so the less headache keeping that house in order the best. @oliviaoblivia: I've been convinced- we will have a lease! </p> https://boards.hellobee.com/topic/landlord-tips#post-2175226 Tue, 12 May 2015 08:31:33 +0000 hotchildinthecity 2175226@https://boards.hellobee.com/ <p>@Mrs. Lemon-Lime: I think like heating/cooling, plumbing, structural stuff. Our built in air conditioner (belongs to the apartment) keeps breaking and the landlord keeps saying it's not her problem. We had a plumbing issue (the toilet kept running) and we just ended up paying for the guy because we didn't feel like arguing with her. In NYC, it's the building's responsibility to install window guards and she gave us SUCH a hard time about it. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175216 Tue, 12 May 2015 08:28:18 +0000 Mrs. Lemon-Lime 2175216@https://boards.hellobee.com/ <p>@kiddosc: nothing is set in stone yet. We are still waiting on our offer to be accepted. So far he has only communicated her rent; and at this point let's call it a suggested rent. :wink: </p> https://boards.hellobee.com/topic/landlord-tips#post-2175211 Tue, 12 May 2015 08:26:25 +0000 Mrs. Lemon-Lime 2175211@https://boards.hellobee.com/ <p>@Anagram: we are planning to repaint the place before she moves in and replace the carpet after she moves out. Eventhough the carpet is in the plan, a cost we are happy to incur and know we must once she leaves, we can recoup part of it from her? This is good.</p> <p>We may have to address the stated rent once we know for sure our financial responsibility. My husband tends to think our savings in taxes will offset any lower than market rent we charge her. Have you experienced a significant tax benefit as a landlord? </p> https://boards.hellobee.com/topic/landlord-tips#post-2175210 Tue, 12 May 2015 08:25:20 +0000 kiddosc 2175210@https://boards.hellobee.com/ <p>Renting to family without a lease sounds like a horrible idea. Especially since your DH doesn't seem to be thinking this through and has already let her get away with not paying last month's rent, not signing a lease, and not paying a fair rent. I would course correct out of this deal completely with a quickness. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175197 Tue, 12 May 2015 08:20:23 +0000 oliviaoblivia 2175197@https://boards.hellobee.com/ <p>My first rule would be to not rent to family. :bummed:<br /> Especially without a lease.<br /> I'd brush up on local landlord/tenant laws. Things can be very different in different areas. For example in Ontario you cannot charge a security deposit or pet deposit and all pets are welcome. In NY I paid an extra months security deposit for having a cat.<br /> Good luck. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175195 Tue, 12 May 2015 08:19:37 +0000 Anagram 2175195@https://boards.hellobee.com/ <p>I wouldn't rent to family if I could at all avoid it--or I would rent to family that I really, super trusted completely financially. Like, my brother has been taking care of my rental property while I'm between tenants and I trust him to do small fixes on his own/notify me immediately if something big goes wrong.</p> <p>I would not have told SIL her rent until I knew my monthly payout--I would also collect a pet deposit in case you have to replace carpeting/flooring, etc. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175194 Tue, 12 May 2015 08:18:27 +0000 mrbee 2175194@https://boards.hellobee.com/ <p>@Mrs. Lemon-Lime: I would hire a property manager even if it's not in the budget! It'll be a lot easier for everyone if she deals with someone else besides you for the day to day issues... </p> https://boards.hellobee.com/topic/landlord-tips#post-2175189 Tue, 12 May 2015 08:14:08 +0000 Mrs. Lemon-Lime 2175189@https://boards.hellobee.com/ <p>@yoursilverlining: I wouldn't rent to my family, but my husband says his sister doesn't have a history of burning people. We will see...if I'm not happy though we will course correct with a quickness!</p> <p>She has two pets; I'll make sure to include a stipulation that she cannot get a third or replace one of the two. I don't want her potty training new pets in our place.</p> <p>I don't think a property manager will be in the budget. My husband told his SIL her rent already and we don't even know what our expenses will be just yet. Ugh! She's definitely going to get a sweet deal. Utilities will be in her name. The HOA will maintain the lawn and outdoor pest control. My husband wants to pay for an indoor pest control. What are all the things your property manager does for you? </p> https://boards.hellobee.com/topic/landlord-tips#post-2175161 Tue, 12 May 2015 07:55:02 +0000 yoursilverlining 2175161@https://boards.hellobee.com/ <p>Oh man, renting to family is not something I would do, if I could avoid it!!! But I also won’t do any business with family or friends at all, so maybe that’s just me. :silly: </p> <p>We’ve been landlords for several years without (knock on wood) any issues. My biggest tip is to really draft up a good rental agreement – find and compare a bunch online if you feel comfortable, hire an attorney if you don’t. Make sure everything is in writing: who fixes what, who is responsible for inside and outside maintenance (including snow removal, if that’s an issue in your area), etc. </p> <p>Take extensive pictures before your tenant moves in, so that in case they trash the place, you can show the damage before/after clearly. </p> <p>We have a tenant with pets, and the pets are specified in the lease, so she can’t just go out and get a ton more pets because you allowed one dog. </p> <p>Hire a property manager if you can afford to (ours is a flat fee of about $100/month, others we looked at charge $75+ month or 10% of rent, etc.). My goal is to be an invisible landlord – I don’t want phone calls, I don’t want to deal with issues, nothing. I get the rent check each month and pay the mortgage and that’s IT. </p> https://boards.hellobee.com/topic/landlord-tips#post-2175158 Tue, 12 May 2015 07:54:10 +0000 Mrs. Lemon-Lime 2175158@https://boards.hellobee.com/ <p>@Modern Daisy: my husband is okay with a deposit, but doesn't want to collect last month's rent or even have a written lease. After reading the laws for my state a written lease provides more protection for us if she decides to move out. I'll have to push for that.</p> <p>@kitty: I'll definitely get landlords insurance and I want to require her to get renters insurance to cover her personal property. I wonder if we can require her to pay part of any deductible we would incur due to her negligence if we had to file an insurance claim.</p> <p>@hotchildinthecity: what do you think the landlord should fix? How specific should we get? For instance, changing out light bulbs is her responsibility. I would also want her to pay for plumbing issues if the root cause was her use. </p>