Post written for a Lawfirm

Your decision to file

Making the decision to file a lawsuit can be complex and taxing.  You should be able to answer 3 simple questions that must be considered from the very beginning.  If you answer "no" to any of these questions, you should consider walking away and forgetting about your losses.

• 1 – Do you have a valid claim?  Based on the facts and law, you need to know how likely a judge is to agree with you and award a judgment in your favor.
• 2- Do you have proof that your claim is legitimate?  It is vital, that you must collect all appropriate documents, check stubs, pictures, or media recordings to prove your claim.  
• 3– Will you be able to collect from the defendant(s)?  You might have the facts, but if the defendant is in a poor financial state, a lawsuit may be a waste of your resources.

A lawsuit will do you no good, if you don't end up with reimbursement when things are said and done.  A lawsuit is an expensive means to obtain your losses.  But if you are unsure what the outcome might be, I will not be worth your time.  Make sure the judgement you are pursuing, is worth the headache it costs to obtain it.

A legal eviction gives us another incentive to file against a tenant.

Almost all lawsuits are filed to reclaim monetary damages.  With an eviction, you are attempting to ALSO regain possession of the property.  Not just collect the outstanding rents.  A landlord is harmed by a non-paying tenant.  But the landlord of a dead-beat tenant cannot even consider placing a new tenant in the property until they regain possession of the premises.  In this situation, it very often makes sense for a landlord to pursue legal action with the understanding that they might not be able to collect.

Finally, while the landlord’s attorney is in the process of regaining possession of the property, it usually makes sense to also seek a monetary judgment.  If you have hired your attorney, you might as well be accurately reimbursed for your trouble.

Post written for a Real Estate Agent

What is cash for Keys and how is it used in Arizona

"Cash for Keys" is a term used to describe an exchange.  A Landlord, Lender, or Realtor offers cash to tenants to ensure 2 things.  First, that a tenant will move out in an short period of time.  Second, that the tenant will promise to leave the property in good condition, often also stated as "broom swept" condition.

Often a cash for keys offer is made, when a landlord is trying to encourage a tenant to move out prior to the end of a lease.  It can be offered in place of eviction, and can sometimes help avoid many complicated issues.  Cash for keys can be successful, because the extra cash affords the tenant a possibility of a deposit on a new rental.  The settlement can be used to help with moving expenses, and it is also designed to keep the renters from complaining.  And if the situation has become frustrating for both parties, it is often accepted.  A cash for keys offer is usually more than $1000.00, and the amount can decrease as the time passes.  

For example:  Your tenants contract doesn't expire for 8 months.  The Landlord needs his property back in 30 days.  He might contact the renter and let them know that if they can be out in 15 days, he will pay $1500.  If the tenant can't be out for 20 days, the amount reduces to $1000.  If the tenant is unable to move for 25 days, the landlord offers him $500.  

The amount of money you offer should match the urgency of your need.  When a situation is agreed upon, the tenant must sign the cash for keys agreement.  Your tenant must be made aware that they are voiding their rental agreement by signing this cash for keys agreement.  And that the money is their incentive to move quickly.

"Broom swept condition" is how we descried the cleanliness of the home after tenant has vacated.  All possessions are removed.  All trash is removed.  Any large messes are addressed.  The home will still require the attention of a professional cleaning crew, to wipe it down.  But, there is no need for a landlord to perform hours of service to the unit because the tenants left in a respectful manner.  The landlord will meet the tenant after they have vacated, and perform a quick walk through of the property.  If the tenant has upheld his end of the agreement, you will be handing him an envelope of cash, in return for your keys and garage door openers!

A tenant does not have to agree to a cash for keys proposition.  They have signed a lease and can abide by the terms of that lease.  But it is possible to discuss new terms with your tenant, and offering cash, will usually soften the blow.   

Without voluntary surrender of the keys to a home, the landlord faces the eviction process. While eviction notices are served and the eviction is finally enforced, the house is simply sitting there.  Eviction is often cheaper than a cash for keys aggreement, but it will take time to enforce.  By getting a so-called “broom clean” house in exchange for a small cash settlement, the landlord can quickly turn it around.

Post written for a Marketing Agency

Tired of mailbox mess?

Don’t you wish you could stop those annoying credit card offers?  Junk mail credit card offers will be a thing of the past once you opt out either electronically or in writing. No more overstuffed mail box or your personal information getting sold to the highest bidder.

If you opt out in writing it is permanent , but electronically it is supposed to last for 5 years. when you “opt out” of upcoming credit card offers, your score will actually improve!

Stopping Credit Card Offers Benefits Your Credit Score

I have heard varying results betwen 3 to 15 points and with everyone’s credit profile differing results will certainly vary. Cross your fingers for a higher result though! While the junk mail won’t stop instantly, it will taper off and then stop in a few months.  The creditors sending the offers don’t pull a new list every time they mail, but once they do update it you won’t be on there. Go to this link to opt out: https://www.optoutprescreen.com/?rf=t But if you’re worried about putting your information on a site you’re not sure of, check out what the Federal Trade Commission had to say about it: http://www.consumer.ftc.gov/articles/0148-prescreened-credit-and-insurance-offers

Improve Your Credit Score Further

If your credit score needs more help than that, a secured credit card might be the way to go. It costs very little (about $25 a year) but goes a long way to adding positive info to your credit profile.  If you have tons of credit card debt already, obtaining a new credit card may not be the answer for you. You need to have different types of credit on your report and having only credit cards is not the answer. We all want to be debt free but life often gets in the way. Plus it’s difficult to rent a car or hotel room without a credit card. If you’re unsure about what to do  there is one thing to be certain about- Avoid consumer credit counseling!  If you’d like more info on why that is or who I recommend for secured credit cards, give me a call.

Post written for a Real Estate Agent:

Why hire a property manager?

As an owner of an investment property, you are probably all about saving money.  But lessons learned in business teach us that there is a time for pinching pennies, and a time when we should not

A professional property manager is worth their weight in gold, for a number of reasons:

•      Property managers can be objective, when it comes to screening possible tenants.  It is rare that your manager will fall for a hard luck situation.   Property managers assess the income, debt, and other issues that your tenant has.  They will make an educated assumption, NOT BASED on emotions!  They will help you find tenants that have a greater likelihood of paying rent!
•       Your property manager can coach you with regard to price, and has sometimes a greater ability to find tenants for you.  He likely manages multiple properties, and has a system of advertising already set up.
•       Professional property managers play by the rules.  Because it is their vocation, they are often available to act when needed.  And know the current standards and laws required of them.
•       Property managers have special accounts set up for holding escrow, and accounting for interest which under certain circumstances must be paid to the tenant.
•       A good property manager has a very comprehensive lease agreement.  And will keep you from worrying wether or not you have included all necessary details on your lease.  That offers you far more protection as a landlord than using pre-printed forms online.
•       Thorough inspections, both before move in and upon move out, are essential to a smooth transition.  Having an experienced, objective 3^rd party to conduct these inspections and insure that the appropriate follow up paperwork is completed is a must.
•       And finally, property managers have a wide variety of loyal service men and women, with whom they have good relationships.  They know what contractor, or carpet guy to call, when you are in desperate need of repairs.  They have invested time in finding quality craftsman, who will do the work they are paid for.  And if you have ever dealt with a poor quality contractor, you will appreciate leaving the hassle on your property managers shoulders.

Your property manager will probably charge you 10 to 15% of your monthly rental income.  If you value your free time, night times, and bottom line, a property manager might be worth your investment.

Post written for a Residential Evictions Lawyer:

NOT sure if your tenant is staying in your rental?

You have a new tenant interested in your property, and the current tenant is nearing the end of their lease.  You need to plan well, so you dont experience a lapse in your income.  What is the best course of action?

Our TIP:  Contact your existing tenant about 60 days before the end of the lease and find out their intentions. 

Having a signed agreement to vacate, will help you as a property manager.  If the tenant does not vacate, you have further proof of their stated intentions if you end up in a dispute.  If the landlord does not like the existing tenant and wants to end the tenancy at the lease term, the landlord may have to take legal steps to re-gain possession.  It is good  to know well in advance, so you can plan your strategy.  

On the other hand, if the landlord likes the existing tenant, it may be beneficial to negotiate a new full-term lease or renewal.  Then you are not left to guess when the tenant may decide to give notice and move out.

Another option to consider is having your legal adviser review your standard lease agreement. If necessary, you can add in any available options for hold-overs.  There may be many provisions you forgot to include on the original lease.  For example: A provision that allows a landlord to increase the rent once the tenancy goes month-to-month? Or an option to have the lease renewed for a new term, for instance one year, rather than go month-to-month?

If you pursue information in advance, and keep on top of your leases, it will benefit your income.