Landlording for maximum profitability and Financial Independence
I know a lot of landlords that manage their property themselves. This is perfectly fine, but you need to know how to avoid bad tenants. Many landlords had no idea how to identify bad tenants, much less how to avoid them.
Continue reading “How to Avoid Bad Tenants”
This post will tell you how to use credit checks for screening renters.
Why do we care about Credit Records and Credit Score? A credit is score is an indicator of the probability of a default, nothing more. It will show if the person has been responsible with their finances. If a person is responsible with their finances, odds are, they are also responsible with the rest of their lives. A credit score of 700 or better, indicates a solid person. A credit score below 600, indicates a person with some issues, maybe permanent, maybe temporary. Continue reading “How to Use Credit Checks For Screening Renters”
When I purchased my first 4-plex, it was in a first ring suburb, in a nice area of town. It was built in 1985. You could throw a rock outside the complex, and hit $300K homes on all sides. By anyone’s definition, this should be a great place. Unfortunately, the apartment classification was less than to be desired. Continue reading “How I turned a Class ‘D’ Apartment Classification complex into a Class ‘B’ complex.”
All landlords have a renter horror story, I am no different. As a landlord, I meet many interesting people. As a Section 8 landlord in my early days, the people were MUCH more interesting. Now I meet people who have jobs, might have a kid or two (with the same last name), and strive for success in a more standard method. Most have never been arrested, let alone actually ever been in jail. Quite a boring life… Continue reading “Renter Horror Story – Mike The Murderer”
When I first became a landlord, it was somewhat by accident. I didn’t even know I needed financial independence. I wasn’t sure what to do, and how to do it. I had a solid six-figure income job, and was able to weather out any storms. I left one place vacant for 18+ months, because I didn’t have the time to work on it. I took in some bad tenants, and suffered some aggravation. Luckily, I had the income and backup capital to weather any storms. Continue reading “Investment Property for Financial Independence”
I wanted to expand on the credit score criteria in any Tenant Screening Requirements just a bit.
It is a fact that lower credit score individuals are a high risk to insurance companies, and for collecting payments. It is a fact that lower credit score individuals engage in riskier behaviors.
Here is why tenants with a low (or 0) are high risk.
Continue reading “Risk of Tenants with Low Credit Score Explained”
The fact is, about 85% of America has a credit score above 600. At 600, you start to get below a 50% default rate on mortgages, and an even higher default on rents. Remember, you are not looking for an average renter for your quality unit; you want a quality renter for your quality unit. Continue reading “Why Avoid Tenants with Credit Scores Below 600?”
I became a landlord sort of accidentally, like many people. In my case, it was a bit more sudden. My father, who lived in a duplex, has a stroke several years ago. He had a large mortgage and was incapacitated. It was an opportunity to attempt to purchase an investment property.
Continue reading “My Fourth and Fifth Investment property (and first semi-horror story)”
National criminal checks are not worth the paper they are written on. National records are seriously behind; some states do not contribute their records to the registry. Continue reading “National Criminal Checks”
This is a rental situation that is run across many more times than you think, the landlord trap. If you think it is your tenant scenario, it may be, but it happens so often it isn’t funny. Continue reading “The Landlord Trap, Do not get caught in it”
