How much rent

[look 171]

Originally Posted by fintstone

When I have allowed any long term failure to pay rent, I have never really been happy with the result. Once they can pay, few will come up with thousands or tens of thousands when then can just move out.

On a positive note, this is probably my best year for rentals ever. I raised rents just before COVID and everyone is actually paying early as rents and home prices are going up in all my markets...and folks are afraid their leases will not be renewed or that the rents will go way up when they do. While the rents and values of my suburban, single family home rentals have never kept up with some urban locations in the past, they are doing well now.

No rent control out your way. We voted against it, 2 months later our Gov Newsome, the azzhold, wrote that into law. Now the entire state is under rent control. As soon as the Prop. did not passed, city of LA and a bunch of others decided to have rent freeze within their cities. Can't raise rent period. It lifts as soon as rent control is signed into law. the smart owners raised rent as soon as they heard about the Prop. and jacked up rent to market rate. Some of these pro tenant groups lead many of the tenants to stop payment and protested at the owner's house. Its the law, what's not to understand?

[fintstone]

Originally Posted by look 171

No rent control out your way. We voted against it, 2 months later our Gov Newsome, the azzhold, wrote that into law. Now the entire state is under rent control. As soon as the Prop. did not passed, city of LA and a bunch of others decided to have rent freeze within their cities. Can't raise rent period. It lifts as soon as rent control is signed into law. the smart owners raised rent as soon as they heard about the Prop. and jacked up rent to market rate. Some of these pro tenant groups lead many of the tenants to stop payment and protested at the owner's house. Its the law, what's not to understand?

Yes. I have never owned a rental where there are rent controls. Seems very counterproductive (As to the poor or homeless)...as it likely keeps investors from buying rentals (providing housing for people that cannot afford to buy).

[look 171]

Originally Posted by fintstone

Yes. I have never owned a rental where there are rent controls. Seems very counterproductive (As to the poor or homeless)...as it likely keeps investors from buying rentals (providing housing for people that cannot afford to buy).

The idea out here is to level the playing field. Rent is market driven out here or elsewhere. The poor is being pushed out by the younger professionals. Yet these younger professionals are the ones voting for rent control. Oh, those poor people can't afford to live, so the gov must do something. At the same time, owners will do nothing but let the building rot. No one is investing. In the mean time, laws is killing us off trying to protect the renters. Its a mess. A lot of owners are caught off guard when Newsome sign that into law. They all got screw. one pen stroke, could mean the death of a large industry.

[john70t]

^fint ftw comment

[ILXLR8]

I have only skimmed the posts, so may have missed 50% of the content here.
As we know rules are different depending on the location and level of rentals that we offer.
I have had 5 rental homes for about 25 years. I feel that they are good average single-family homes for our town. Our town is a suburb of Chicago and is slightly above average.
I am fortunate to not have non paying tenants in the last few years and also due to Covid.

What I have learned due to a shift in the last 10 years:
Tenants sign a lease and then will do whatever they want.
They do not expect to follow the rules or agreement but will use the rules against you.
They believe that since they pay rent, the landlord owes them. (Very common to get needs for issues within days of paying rent)
If a tenant is light on income, they have a choice to not pay a bill & most likely choose to not pay the landlord.
The pressure to pay you before other bills due is beneficial.
A strong lease is very important, so you can reference it to enforce the agreement.

I charge a daily late fee after only one day of late rent payment. I explain that I don't want their extra money, but do need for them to pay rent, so I can pay the mortgage and the house will be available for them to live in.
If rent is due on the 1st and not paid. I will attempt to communicate on the 2nd. If I am unable, I assume that they are dodging me. In current times, we are all reachable every day!
If they fail to communicate, I give them a 10 day notice to pay or be evicted. Sounds strict? Well as I said, if they are short on money, they can choose who they don't pay.
So how has this turned out for me? 1 out of 10 ended up in me filing an eviction. 9 out of 10, they paid me and avoided someone else.
As I said, you may have other restrictions due to your area, but hope this helps you just a little!
PM me if you want to talk.

[jyl]

I can see having rent control laws that conform with what a good, normal landlord does and prohibits what bad, rapacious landlords do.

In Portland, when I moved here, there was no rent control at all and bad landlords would tell tenants “next month your rent goes up 50%”. So the voters in the city elected a city commissioner who pushed through a law that requires landlord to pay a moving charge (typically $1-3K depending on unit size) for a no-cause eviction or a rent increase greater than 10%, and then the state passed a law that prohibited rent increases greater than 10%/year. Landlords I know were not really affected by this, since few needed to raise rents more than 10% in a single year, and the laws allowed them to raise 10% every year. Then that same commissioner got a law passed that dictated a ridiculous system for screening tenants and choosing along applicants. That really affects the landlords I know, because they basically can’t choose good tenants anymore. Now we have an eviction moratorium, and while I understand the reason for it, it really needs to exempt the smaller landlords who are going to go bust.

[fintstone]

Originally Posted by jyl

I can see having rent control laws that conform with what a good, normal landlord does and prohibits what bad, rapacious landlords do.

In Portland, when I moved here, there was no rent control at all and bad landlords would tell tenants “next month your rent goes up 50%”. So the voters in the city elected a city commissioner who pushed through a law that requires landlord to pay a moving charge (typically $1-3K depending on unit size) for a no-cause eviction or a rent increase greater than 10%, and then the state passed a law that prohibited rent increases greater than 10%/year. Landlords I know were not really affected by this, since few needed to raise rents more than 10% in a single year, and the laws allowed them to raise 10% every year. Then that same commissioner got a law passed that dictated a ridiculous system for screening tenants and choosing along applicants. That really affects the landlords I know, because they basically can’t choose good tenants anymore. Now we have an eviction moratorium, and while I understand the reason for it, it really needs to exempt the smaller landlords who are going to go bust.

I don't understand this. The lease protects both the tenant and landlord. The only way you can raise the rent is when the lease is over. It should be no surprise to either party. If my costs went up 50%, you can be certain that the rent would go up that much if the market could bear it (assuming it was competitive). If the tenant can find a better deal, they can go elsewhere. If I have raised it too much, I will not find or keep a tenant. If I own the home, it is mine and I should be able to charge whatever I want. You can pay the price of go elsewhere.

The current rule regarding evictions makes no sense. Why should a landlord absorb the risk/cost instead of the tenant? If the state/city wants to pay the rent for the tenant and collect the money later...that is up to them. It seems that landlords should be able to sue the local government to recover this money.