Selling... But The Tenents Are Scaring Buyers
I am selling and have been in escrow only to watch it fall out. I have a 3 unit and I live in the front house. I am concerned that my tenents are just giving a bad impression. It is not that they are doing anything terribly wrong it is just that their lifestyle and way of speaking is a little ghetto. For example they sit in front of there back unit and drink beer during the day sometimes. They speak in a loud ghetto slang that is bewildering. I believe people are factoring in that the current tenents (in one unit) are a little undesirable. It is not nearly as bad once you know them but the first impression people are left with is not good. I think that most people want to live in the larger front house until they see who is going to be living in their backyard. Frankly I think I would be better off if I just had the units vacated. What kind of options or solutions do you guys think I should be thinking of. I do not want to be rude or inconsiderate but they may well be costing a lot of money in this sale.
Thank you
Thank you, I have considered moving them out since they have a month to month lease but I am concerned they will cry racism or something since I have another tenent that is a non-minority and is also quiet and creates no issues with me.
This is tough because I have gotten along well with everyone but now the business side of me is telling me I should move them out and pay them if necessary. I guess I am going to let it play out a little futher and see if the next buyer rescinds their offer after meeting the tenents.
I am still open to hear more suggestions.
"what they see is they you get" Your property is obviously in a mixed area and who ever comes looking to buy they should expect just that. I am sure your price is right according to location,you just need the right buyer. Asking Tenants to leave will not change you local. Your other choice is give the tenants a Notice to Vacate, reason, you are selling the property.
Lease or no Lease you can do that.
What do you end up with after property taxes and insurance and other expenses seen or unseen including periods of less then 100% occupancy?
Example some properties the owner pays water for the whole building and in case of a rooming home the owner pays electric usually as well.
After all is said and done what is your bottom line for the year then divide the total cost of the purchase to get your percentage on investment and determine is this better with this property then others but also factor in appreciation each year to determine which properties will give you higher rates of return then others by combining rent and appreciation values in your comparison.
[ Edited by LagoonCondo on Date 08/16/2005 ]
Thanks.
I think the bottom line for the first year is around 30%
return assuming a 25% vacancy . Again, that sounds good to me but I lack a frame of referance...
Get a quote on how much it would cost to replace the substandard piping with larger PVS pipe. You are going to keep having the same clogging problems again even if you find chemicals that work.
First, your Plumber is correct about the 4" pipe,have the work done as soon as you can. Are you on a septic tank? if yes then you better check your leachfield. It it is 50 years old then the chances of no longer leaching are high. If you are on City Sewer then the new pipe should correct your problem. Occasional drain cleaners do work, I do that in all sinks as a prevantion in between tenants. Chemicals in Septics only liquefy the
waste but if your leachfiled is saturated they will not help any way. If you problem continues after you install the 4" pipe and you are on City then call them to check at their connection point to your property. A letter to the tenants will also help, female items not to be disposed in toilets,give them a warning that if this prooves to be the reason they will be charged for the works.
LagoonCondo-
You so crazy
Keep it and rent to the local big corporations employees. Just keep looking for a great tenant.