Move My Realty - Real Estate News

Landlord wise to avoid changing locks, evicting

October 23, 2008

By Robert Griswold
Inman News

Q: I own a rental home in a very quiet suburban neighborhood. About six months ago I rented the home to a young newlywed couple and everything was fine for the first few months. But the honeymoon is over, and lately I have been getting calls about some very serious and loud disagreements that have led to numerous complaints from neighbors. I spoke to my tenants the first time and then I sent them a written warning. Last weekend I understand the police were called. I got a hold of the wife and she tells me it is all her husband's fault and she wants me to change the locks and kick him out. I haven't spoken to him so I don't know his side of the story. What should I do?

A: You are not the first rental property owner that discovers that relationship counseling or mediation skills should be mandatory for landlords! Couples (or any combination of two or more individuals) who rent the premises together and have domestic disputes provide a tough challenge for rental property owners. As with disputes between neighbors or roommates, you need to avoid getting involved. You lack the authority to side with one party or the other, so stay neutral, encourage the couple to resolve their problems themselves, and continue treating all parties fairly and equally.

While apparently there are no allegations yet, unfortunately some disagreements between tenants involve domestic violence. In that case, you may receive a request from one occupant to change the locks or remove one of the co-tenants from the lease. While it can be tough to say "no," don't agree to any such changes, regardless of the strength of the tenant's argument, without first seeking legal advice and requiring a copy of a restraining order or other appropriate court order from the requesting tenant. I would advise you to insist on a verifiable letter or agreement and consent of the other party as well.

You need to be careful not to discriminate against the victim of domestic violence by evicting him or her, especially if the perpetrator is no longer in the rental unit and doesn't return to the property. While this may not be applicable to your situation, some of our readers may want to know that The Violence Against Women Act of 2005 prohibits public housing agencies and rental properties that accept Section 8 vouchers from denying an applicant because she has been a victim of domestic violence or stalking. Some states have passed legislation protecting women in similar situations, so check with local legal counsel if you run into one.

Q: My neighbors upstairs are really noisy. I called and complained to the landlord, and she said she would look into it, but the noise is still a problem. I have six months to go on my lease but want to move right away due to the noise. Can I break my lease and leave without owing any more rent?

A: This is a tough question because "noise" is very subjective. In most cases, the local laws or ordinances will require that the loss of your quiet enjoyment is substantial, as a certain level of noise will exist in any multitenant housing or especially in an urban environment. If the noise persists, you should attempt to "document" the noise in case you need to prove it. This can be done with witnesses, a tape recorder and an inexpensive decibel meter that measures the loudness of the sound. I suggest that you contact your local code enforcement or building department and see what guidelines they can offer.

Before you contact the landlord again, I would suggest you try to obtain third-party verification of the date, time, type of noise and the length of time it occurs. Local municipal officials may do this or you may need to contact law enforcement.

You have already complained verbally to your landlord, but you really should always make any and all complaints in writing to document exactly what your concern is and so there is no question that you notified the landlord and gave him an opportunity to investigate your complaint. Hopefully, the noise issue will subside, but if it doesn't the multiple written complaints and the third-party verification will be very helpful to convince your landlord that he should let you out of your remaining lease if the problem is not resolved. If you leave without the mutual agreement of the landlord, you run the risk of being liable for your rent for the balance of the lease. Your liability could be minimized, however, if the landlord successfully re-leases the premises to a qualified replacement tenant.

This column on issues confronting tenants and landlords is written by property manager Robert Griswold, author of "Property Management for Dummies" and co-author of "Real Estate Investing for Dummies."

E-mail your questions to Rental Q&A at rgriswold.inman@retodayradio.com.

Questions should be brief and cannot be answered individually.

***

Q: We are in the process of buying a home. We really did our homework before we started, but we've still hit a big bump in the road. We made an offer on a lovely house that is about 80 years old. It was advertised as renovated and was even on the area preservation society's tour of homes. We hired a really great inspector who knows the area well, and he found two major problems.

 

Read More...

"DEAR BENNY: We bought a second home a year ago where we've spent very little time (a few days here and there) until recently. We recently discovered a number of problems including an inadequate radiant floor heating system -- we can't get heat past 60 when its 30 or below outside (this alone may cost $25,000 to fix (seller says he never had a problem); the cooktop vent exhausts indoors in violation of manufacturer specs; the window wall is bowing, and window cracking indicates a load-bearing structural issue; and leaks are visible at almost every rafter-to-wall seam ... we can see outside! What are our rights in this situation? We paid $1.5 million for this 2,200-square-foot home. --Vikki"

Q: My daughter bought a condo with a friend. She put down $40,000 and her friend put down $20,000. They are both on title to the home, but only my daughter is on the mortgage.

How much of the property would her friend be entitled to if she wants out of the deal? They bought the home for $300,000 with a $240,000 loan. Her friend never paid any money towards the mortgage or other expenses and is demanding $150,000. The home was bought four months ago.

"High energy prices are taking their toll on just about everyone this year, so it's important to do whatever you can to create and maintain an energy-efficient home. Fall is the ideal time for weatherization projects, so this year's fall checklist is centered around what you can do to create a warmer home that has less impact on your wallet."

Two layers are better than one

October 15, 2008

By Bill and Kevin Burnett
Inman News

Q: I have an open ceiling in my garage that is insulated with paper-backed R-13 batts with the fiberglass exposed and held in place by metal strips. The ceiling has a lot of pipes and wires running over the ceiling joists.

I plan to install poly-encapsulated R-19 batts into these spaces. Is it better to remove the old insulation, then install new insulation? Or can I leave the old insulation, remove the metal strips and fit the new insulation into the space? Another option would be to leave the old insulation and use a foil insulation product to enclose the ceiling.

A: To put it bluntly, don't do it. Don't install poly-encapsulated R-19 insulation over the existing craft-paper-faced R-13 insulation. "Poly-encapsulated" is fancy term for fiberglass insulation encased in plastic. The plastic cover eliminates glass fibers flying around during installation.

Having suffered through our share of the fiberglass "itchies," we understand why you'd want to go the plastic route. But the comfort comes with an unintended consequence. By adding encapsulated insulation, you're stacking vapor retarders and creating a sandwich of 4-inch fiberglass between a plastic and a craft-paper vapor retarder. The result is that ambient air in the R-13 fiberglass may give up its moisture and breed mold. The same is true for running a foil-faced insulation over the R-13.

If you insist on installing the poly-encapsulated R-19 insulation, you must remove the existing R-13 insulation. The advantage is no itching during installation (although you might scratch after you remove the R-13). The disadvantage is less insulation. Another alternative is to build up the existing insulation with another layer of unfazed fiberglass insulation to the depth of the floor joist. This should give you somewhere in the neighborhood of 11 inches of insulation, without several vapor retarders. We'd opt for the latter. The plus in our method is greater insulation; the minus is installation that may be a bit uncomfortable.

Fiberglass dust is an irritant to mucous membranes and the skin. It's important to wear eye protection, a respirator or dust mask, long-sleeved clothing and gloves to protect yourself.

Installing the insulation is a simple matter, more easily accomplished with two people. The first step is to remove the metal strips that hold the existing insulation in place. With a utility knife, cut the new insulation to fit. With assistance from a helper, push the new insulation into place, making sure not to compress it. Finally, reinstall the metal strips as needed to hold the insulation in place. Every 2 to 3 feet should do the trick.

***

What's your opinion? Leave your comments below or send a letter to the editor. To contact the writer, click the byline at the top of the story.

Copyright 2008 Bill and Kevin Burnett

Why eviction may be too little too late

October 09, 2008

By Robert Griswold
Inman News

Q: My rental home has been for sale for more than a year. During this time, I have given my tenant a rent discount for allowing me to show the home and for the fact that he will have to move on a 30-day notice when it sells.

I have now sold the home and gave my tenant the required 30-day notice in writing. However, my tenant has informed me that he cannot move until one week after the escrow is due to close. My buyer insists that she will cancel the sale if the unit is not vacant, as she must immediately move in the day escrow closes, which is approximately two weeks. I know that I have legal remedies, but an eviction action will take at least 3-4 weeks and I will lose my sale. What can I do? If I lose the sale, do I have any recourse against my tenant?

A: Yes, you could have recourse against your tenant for the damages you would suffer if the sale were canceled due to his failure to vacate the rental home within the 30 days as required by your written notice. You offered the tenant a rental discount under the conditions that he would cooperate and allow you to show the home, and that he would be ready, willing and able to vacate upon 30 days' notice. You were actually quite reasonable with your tenant by offering a rent discount to accommodate the inconvenience of showing the house and having to move on a 30-day notice. Many tenants are put through this inconvenience with no such rent discount at all. He now wants to keep the financial benefits but renege on his promise to vacate within 30 days. You should let the tenant know in writing that he must vacate as agreed or the sale of your home will be jeopardized, and you will seek any monetary damages caused by the lost sale from him.

While it is not always easy to move from a rental home within 30 days, he should have been taking steps all along to find other places to live as well as beginning the tedious process of packing his belongings, as I am sure the sale of the home just didn't happen over the weekend. You even indicate the home has been for sale for more than a year and likely the tenant just assumed that it wouldn't sell anytime soon. So he enjoyed the rent discount for more than a year but now is unwilling to cooperate.

The bottom line here is the tenant may be inconvenienced, and may have to find temporary accommodations and put his possessions in storage. But this is a problem that he needs to solve quickly. Be sure to contact an attorney to make sure that your agreement is enforceable in the event the tenant does not vacate as promised and you have to proceed with an eviction. You don't want to find that your written agreement will not hold up in court.

Q: I am the resident manager for an active-living senior apartment community. While many of our residents are quite young at heart, we do occasionally have residents that pass away in their apartment. If they live with someone then we usually don't have a problem, but we have situations quite often where a resident hasn't been seen in several days. My property supervisor has told me I can't just enter the unit without a reason. What do I do when we become concerned about the health and well-being of a tenant who lives alone?

A: I understand your concern and would suggest that if you have reason to suspect the death of a tenant who lives alone, try calling the tenant or bang loudly on his or her front door. You should also check with the neighbors, call the tenant's friends and family, and the emergency contact number from the rental application. If you still aren't sure, exercise your right to inspect the rental unit in an emergency, or contact the police or fire department.

If the news is not positive, you have other important considerations. After officials have confirmed the death and removed the body, you must immediately take reasonable steps to safeguard the deceased tenant's property, including denying access to the unit except for obtaining limited personal effects for a funeral. Be sure to secure the unit and allow access only to legally authorized persons or law enforcement. If you have any doubts about the authority or actions of the tenant's relatives or friends, contact your attorney for further advice. At this time, you may also find yourself in the middle of a dispute as to who has access to the rental unit. Although you should be sympathetic to your tenant's grieving relatives, make sure you don't grant access to an unauthorized person, or you may be held liable if Aunt Margo's prized goldfish-shaped cookie cutter turns up missing.

This column on issues confronting tenants and landlords is written by property manager Robert Griswold, author of "Property Management for Dummies" and co-author of "Real Estate Investing for Dummies."

E-mail your questions to Rental Q&A at rgriswold.inman@retodayradio.com.

Questions should be brief and cannot be answered individually.

Can sellers be forced to fix code violation?

October 07, 2008

By Barry Stone
Inman News

DEAR BARRY: We purchased a condo last year and had it professionally inspected. The inspector could not see the gas line for the patio barbecue because it was under the concrete slab. But the seller assured us that it was installed to code. He volunteered this information while taking us on a tour of the home. Recently, we removed the patio to replace it with brick pavers. It turned out the gas line was on top of the soil, directly under the concrete. The paving company won't install the new patio until we have the gas pipe buried at the required depth of 18 inches. Are the sellers responsible for this plumbing work, or must we swallow the cost? --Denise

DEAR DENISE: Sellers often make statements about code compliance in utter ignorance of the building code. In fact, home inspectors laugh among themselves about sellers who say, "We built the addition without a permit, but everything was done to code." Unless sellers are architects or building contractors, they have no way of knowing whether code compliance has been met. If you combine the building code, the plumbing code, the mechanical code and the electrical code, you have a set of books about 5 inches thick and written in esoteric language that is essentially foreign techno-speak to the average person.

The "craftsman" who installed the gas line below your patio, without burying it 18 inches below grade, was obviously not a professional. This means that the seller installed a gas line (or had some other unqualified person install it) and did so without a required building permit. Since the seller represented the gas line as being "installed to code," it would be reasonable to request that he make that line comply with his own disclosure. If he does not agree, a small claims judge would be likely to rule in your favor.

Be sure to take photos of the gas line before having it replaced.

DEAR BARRY: I've made an offer to buy a 40-year-old condo with electric radiant heat in the ceilings. So far, I haven't been able to confirm that the heat is working. Our home inspector said he wasn't sure. So what should I do next, hire an electrician? If the heating doesn't work, is the seller obligated to fix it? --Kelly

DEAR KELLY: Home inspectors can verify the function of radiant ceiling heat in two easy steps: Step one is to turn on the thermostat in each room and then wait about 15 to 20 minutes while inspecting other aspects of the property. Step two is to carry a ladder from room to room and to place one's hands on the ceiling surfaces. If the ceiling feels warm, the radiant heating is functional.

You don't need to hire an electrician. Instead, call your home inspector and ask that the heating inspection be completed. If the system is not operative, you can request that the seller have it repaired. The seller may not be required to make these repairs, but you can argue that a home without a functional heating system is not a legal dwelling.

To write to Barry Stone, please visit him on the Web at www.housedetective.com.

If burden is too much, selling can rescue equity

October 03, 2008

By Ilyce Glink
Co-written by Samuel J. Tamkin
Inman News

Q: Several years ago my father deeded his home to me and two of my siblings. Our understanding was that he would pay the real estate taxes and the insurance premiums. The mortgage on the home has been paid off for some time, and my father still lives in the house.

continue reading...

"Anything but reassured, investors sent the Dow Jones industrials plunging another 348 points, suggesting Wall Street is expecting tougher economic times even if the measure is rushed into law. The Federal Reserve reported record emergency lending to banks and investment firms, fresh evidence of the credit troubles squeezing the country."

Read More

Tips on getting contractor bids

October 01, 2008

By Bill and Kevin Burnett
Inman News

Q: I had a termite inspection done on my home. Now I must find a reputable contractor to do the work. The work to be done is extensive, and I feel it will be costly. The termites have damaged the rim joist, mudsill and subfloor in the subarea. Termite evidence was also noted in the subarea that appears to extend into inaccessible areas and should be treated.

I would appreciate any help that you can give me, as I have no idea where to start.

A: Your question brings us back to the days before the recent housing hysteria. As we've mentioned before, Kevin worked as a real estate broker in the past and both of us have bought and sold a number of homes over the years. Virtually all of Kevin's transactions required a termite clearance to close. Each time we sold, the buyer and the lender required a termite report and a termite clearance in order for the loan to be made and the sale to be completed. Virtually all termite companies at that time not only did inspections and treated for pests, but contracted to repair damage and provided a "termite clearance."

A couple of years ago, in the overheated housing market, "as is" became the order of the day. But now the worm has turned, and termite clearances are once again becoming the norm.

You mention that you have a termite report. Hopefully, it was provided by a licensed and insured structural and pest control company. We suggest you start there to contract for the repairs. If the report included a proposal for work, you've already got one bid. If it didn't include a proposal, ask the company to give you one.

Next, we suggest you take that report and call two or three other companies and ask them to bid the job.

You should be aware of a couple of things. First, it's reasonable that the companies you ask to bid will want to do an inspection report. Ask the company that does the work to credit back the cost of the inspection as part of the contract for the job.

The second thing to beware of is the potential damage in inaccessible areas. We've done a good deal of termite work in our time and we strongly suspect that the inaccessible areas you mention are the wall framing resting above the subfloor. Usually a termite report will call for further inspection. It's optional because it involves defacing the property by drilling small access holes in the exterior walls to probe the framing. Once the inspection is completed the holes are repaired.

Allow the inspection to take place. The only way to get a handle on the scope of the job is to allow for that inspection. Using this method, an experienced termite person can determine the level of damage.

Once a thorough inspection has been completed, you should be able to receive a firm bid. Hopefully, it won't be too dear.