Q: I got a fine from the city because my tenants put garbage outside my property on the wrong day. Why should I have to pay this fine? Ken, Roselle, NJ A: I have been a landlord for 20 years and believe me I can relate and understand your grief, Ken. In addition to a lease, I require all my tenants to sign and initial a lengthy lease addendum. The lease addendum I make all my tenants sign contains provisions that make tenants responsible for city violations they commit like leaving trash out on the wrong day. Requiring tenants to sign and pledge their understanding that they are responsible for violations they commit does 2 things: 1) it spells things […]
continue reading Q: Gerald, my daughter has been working for ten years since college and still can’t afford to buy a home. Is there anything on the horizon that will make it easier for first time homebuyers to buy? Jessica, Fishkill, NY A: Jessica, since the financial crisis, banks have tended to cater to wealthier, higher income customers, however, jumbo loans, which are mortgages too large to be sold to Fannie Mae and Freddie Mac fell by more than 10% last year. The jumbo market does not have the demand it previously did–refinancings have slowed and the new tax law with limits to SALT deductions has reduced incentives to buy larger homes. Some banks have already begun to embrace multi-generational home loans, […]
continue reading Q: Gerald, we have never allowed pets in our rentals, but lately we’ve been getting more tenant applicants with pets. Do you think we should start allowing pets in our rentals? Stacy, King Of Prussia, PA A: Great question, Stacy. First and foremost, you should think through your property management policies and procedures long before you even take rental applications because it makes decision-making much easier. I have been a landlord for almost 20 years and have never allowed pets either because of the damage that pets can do to a property. In some local real estate markets you can mitigate the risk of allowing pets by making tenants with pets pay an additional security deposit, in other local markets […]
continue reading Q: Gerald, some people say section 8 is great for landlords and others say it’s a disaster. Should I rent to section 8 tenants? Shane, Scotch Plains, NJ A: Although the Fair Housing Act doesn’t offer protection to tenants based on their source of income, more and more places in the US are adding that protection to local fair housing rules. Legal or not, I don’t think it’s smart business to disqualify a potential tenant based on their source of income. There are good and bad tenants within any group of applicants. One of the keys to being a successful landlord is having a well thought through, repeatable process to screen tenants. Section 8 is almost guaranteed money for landlords […]
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