Jim FL
08-22-2007, 11:51 PM
Hey Folks,
I noticed this section has not had a juicy landlord story for a little while.
So, because I had the fun of getting a unit back today, I thought I'd post something up.
Where to begin.........?
Well, first, this particular unit is a single wide mobile home on land, that my wife affectioniately refers to as 'our little junker cash cow'.
See, even though our last occupant was in the unit for 3 years, previously, we've 'sold' this unit with lease options, more times than I can count.
Each time, it comes back a little worse for wear, but never sits empty for more than 2 weeks.
Each tenant makes improvements, then defaults and moves out, leaving a mess behind.
The payments are dirt cheap, so we have been able to keep it cash-flowing nicely, even charging slightly under market rent for it.
The thing is, this defaulted tenant, did not tell us she'd moved, until last night, when she called to report that the place was broken into and vandalized.
The thing is, she had not totally moved out, and did leave possessions in the home.
So, we filed a police report last night.
Today, while getting the unit secured, we learned from a neighbor, that over the last 3 weeks, the tenant had not been in the house, but, her teen age kids and some others from the area, had made my unit, 'party central'.
So, we now have holes in every wall, some all the way thru to the next room.
Broken windows, roach infestation, and trash everywhere, inside and out of the place.
The grass is also a forest.
After securing the place, I placed signs, one in the yard, one in the window, and directionals, for a 'handyman special'.
We've had four calls already, and two of the folks want it, 'as is', to fix up.
So, once again, this lovely rat trap will be filled, someone will make it nice, and hopefully, this time, either buy it in the end, or, leave with less mess.
or
not.
and either way, I'm really fine with it.
Especially in light of the fact that I bought this unit, creatively, no money down, for about 40% of value, some time ago.
We've since paid it off, refied for some cash, and still sit at less than 50% LTV on it, just based on the land value alone.
The thing that really gets me, is this tenant, was a chronic late payor.
They paid late 10 out of 12 months per year, ALWAYS paying late fees, which added cash flow.
Had I known the place was empty, or going to be, and needed electric on, perhaps it would have been secure, and her child would not have turned it into the condition it's in now.
I was a little upset at first, when I saw the conditon.........then, I returned home, the phone began to ring, and my wife showed me pics from 3 years ago, when it cam back to us last.
Not much better than it sits now.
The thing is, even if the unit does not sell 'as is', I'll either clean it up, and rent it again myself, or, remove the MH, since it's ugly, and sell the lot carrying paper to someone who wants to place a new MH there.
or
Something else.
My exits, are really unlimited.
And yes, this is the same MH that I've mentioned in years past, and even posted pics of the last 'trash out'.
So, what have the other landlords in the house been up to?
Jim FL
I noticed this section has not had a juicy landlord story for a little while.
So, because I had the fun of getting a unit back today, I thought I'd post something up.
Where to begin.........?
Well, first, this particular unit is a single wide mobile home on land, that my wife affectioniately refers to as 'our little junker cash cow'.
See, even though our last occupant was in the unit for 3 years, previously, we've 'sold' this unit with lease options, more times than I can count.
Each time, it comes back a little worse for wear, but never sits empty for more than 2 weeks.
Each tenant makes improvements, then defaults and moves out, leaving a mess behind.
The payments are dirt cheap, so we have been able to keep it cash-flowing nicely, even charging slightly under market rent for it.
The thing is, this defaulted tenant, did not tell us she'd moved, until last night, when she called to report that the place was broken into and vandalized.
The thing is, she had not totally moved out, and did leave possessions in the home.
So, we filed a police report last night.
Today, while getting the unit secured, we learned from a neighbor, that over the last 3 weeks, the tenant had not been in the house, but, her teen age kids and some others from the area, had made my unit, 'party central'.
So, we now have holes in every wall, some all the way thru to the next room.
Broken windows, roach infestation, and trash everywhere, inside and out of the place.
The grass is also a forest.
After securing the place, I placed signs, one in the yard, one in the window, and directionals, for a 'handyman special'.
We've had four calls already, and two of the folks want it, 'as is', to fix up.
So, once again, this lovely rat trap will be filled, someone will make it nice, and hopefully, this time, either buy it in the end, or, leave with less mess.
or
not.
and either way, I'm really fine with it.
Especially in light of the fact that I bought this unit, creatively, no money down, for about 40% of value, some time ago.
We've since paid it off, refied for some cash, and still sit at less than 50% LTV on it, just based on the land value alone.
The thing that really gets me, is this tenant, was a chronic late payor.
They paid late 10 out of 12 months per year, ALWAYS paying late fees, which added cash flow.
Had I known the place was empty, or going to be, and needed electric on, perhaps it would have been secure, and her child would not have turned it into the condition it's in now.
I was a little upset at first, when I saw the conditon.........then, I returned home, the phone began to ring, and my wife showed me pics from 3 years ago, when it cam back to us last.
Not much better than it sits now.
The thing is, even if the unit does not sell 'as is', I'll either clean it up, and rent it again myself, or, remove the MH, since it's ugly, and sell the lot carrying paper to someone who wants to place a new MH there.
or
Something else.
My exits, are really unlimited.
And yes, this is the same MH that I've mentioned in years past, and even posted pics of the last 'trash out'.
So, what have the other landlords in the house been up to?
Jim FL