After 2.5 years of self managing I finally hired a property manager for my quadruplex and here are the questions I used to help find my property manager.
Do you want to make $250,000 and keep all of it tax free? If you are married that number goes all the way up to $500,000. You can keep all that money and pay NO taxes! That isn't a typo. Obviously this will take some work but here is how you can do it!
The BRRRR method has been used in real estate to make people A LOT of money for a long time but the fancy acronym came around recently. BRRRR stands for Buy, Rehab, Rent, Refinance and Repeat. The general jist is you buy a run down house, fix it up, place a tenant, pull out all the money you put in and do it again.
The goal is to pull out all the money you put in but the dream is to take out more money and basically be paid to buy a house!
Sounds too good to be true? I'll explain it all..
I recently had a tenant that broke their lease and left in the middle of the month. These were tenants that I inherited so when I purchased deal 1 the deposit transferred with them. I had increased their rent by 72% but never got more for a deposit but never got more as a deposit. Lesson learned.
They left in a weird way in that they broke the lease but one of the tenants still met me to return keys and do a final walk through. The unit wasn't trashed but there were damages that their deposit didn't cover. It was about $600 and a cleaning fee.
So how do I get the money that is owed to me? Well these are my options!
When a tenant leaves your unit in the middle of a lease, as the landlord, what are your options?
This just happened to me. I had a tenant that I inherited when I bought deal 1 that had stayed for two years through $550 of rental increases, rats, mold and a 2 month kitchen rehab/restoration. They weren't the best tenants, paid late on occasion, used a lot of water somehow but could have been worse.
Their lease expired at the end of October 2019 and then transferred to month to month. I had debated asking them to leave but didn't want to deal with a turn over. I was going back and forth. Then out of nowhere I get a call from one of the tenants saying they had broke up and she had already moved out and he was going to later that week.
What could I do at this point? I started to research what my options were and created this step by step guide.
When I bought my quadruplex it was fully rented and I moved into the unit with the first expiring lease. It also happened to be the worst of all the units. It was the stuff you hear about - piles of dust, trash, and covered in yellow cigarette smoke residue. Lucky me..
My plan was to fix it up as I lived in it. Naturally, I was taking my time when a tenant let me know she was moving out and I now had to rent out the unit. So, how do you do that?
HELLO AND WELCOME!
I'm Jake, a dude interested in personal finance and travel creating the life I choose.
In 5 years I went from living in a basement with Craigslist roommates to paying off 90k of debt, backpacking 3 continents, getting a house for myself and 5 rental units.
Read my story in the about me section.
All photos on the blog are from my travels
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