Comments on: Small Scale Landlords

By: Year-End Financial Goals Results | Finance Blog

Year-End Financial Goals Results | Finance Blog — Wed, 06 Jan 2010 13:02:15 +0000

[...] end of the year Status: Fail – As I stated in my mid-year update, I’ve since decided being a small-time landlord probably isn’t for me. Real estate investing can be a great way to build wealth, but it [...]

By: Beginning Investment Strategies to Avoid

Beginning Investment Strategies to Avoid — Tue, 05 Jan 2010 14:23:03 +0000

[...] We’ve posted on real estate investing extensively, and I certainly think it’s an interesting investment vehicle. HOWEVER, I disagree with those who feel that it’s easy or simple. Beginners can be eaten alive by “professional tenants” (deadbeats who work rental laws to avoid paying rent) or unintentionally running afoul of local rental laws. [...]

By: Dan McIntyre

Dan McIntyre — Sun, 03 Jan 2010 14:39:48 +0000

If there is not enough heat tenants need to withhold the rent!

By: Nathalie

Nathalie — Sat, 02 Jan 2010 21:58:07 +0000

Kinda sounds like you’re a slumlord to me if your tenants are all bums.. Tenants have rights. They can even get free representation and the law is on their side even if they are late if you kick them out. My tenants are not bums, we have a nurse, a paramedic, a secretary, you have to SCREEN your tenants so you don’t end up with the bad ones

By: werner retired

werner retired — Sat, 02 Jan 2010 19:06:11 +0000

For non payment on the due date , the tennant is in breach of an agreenment. And the landlord must have the right to kick him out ,without notice . Everthing else , like giving a 30 day notice, is garbadge. Kick him out, whatever it takes and then let him sue you, if he wants to absorb the cost of litigation. Most tennants are bumms ,and don’t you vorget it

By: Year-End Financial Goals Results - Amateur Asset Allocator

Year-End Financial Goals Results - Amateur Asset Allocator — Thu, 31 Dec 2009 20:25:14 +0000

By: Mr. Cheap

Mr. Cheap — Wed, 30 Sep 2009 17:43:11 +0000

Nathalie: Great info, thanks!

By: Nathalie

Nathalie — Wed, 30 Sep 2009 16:01:04 +0000

I wouldn’t install two more furnaces, I would put two of the units on baseboard electric heat which is WAY cheaper (you can get that for less then $500 per apartment) and gives the tenants only one (hydro) bill. You’d have to get a few estimates for splitting up hydro from a few electricians (ask if the estimate is free when setting up the appointment, and you can do this before you purchase), they would also know the cost of adding an extra meter.

As for doing this work while the tenants are in the apartments, you would have to get them to agree to pay for their own utilities, but you’d have to lower the rent to compensate, and it’s their own choice. It’s better to do this work between tenants. But it definitely is worth it from a cash flow perspective.

If you didn’t buy the triplex yet, try to make some of these changes part of your offer, (depending on how desperate someone is to sell, they might split the hydro up for you). Personally we made it a priority to purchase a property where there were separate hydro meters. The hydro company in our town only has the tenants name on the bill and if they default they go after the tenant, not me. I like that.

I also get the electric company to call me if the tenant is late, then you can fasttrack the eviction as the heat is electric and if there is a threat of no heat and pipes bursting, that could cause damage to your unit, then you can get them out in 7 days instead of 2 months if you have a nightmare tenant (and inherited tenants CAN be a nightmare).

By: Mr. Cheap

Mr. Cheap — Wed, 30 Sep 2009 15:55:54 +0000

NEW LORD: It’s certainly possible to add another meter (contact a licensed electrician for a quote). Be aware, it’s apparently not cheap.

Is the furnace gas or electric (if it’s gas it won’t have anything to do with the hydro)? What happens with it currently with the two meters?

You might find this article from the Toronto Star interesting: http://www.thestar.com/News/GTA/article/607832

By: NEW LORD

NEW LORD — Wed, 30 Sep 2009 14:39:15 +0000

I am currency purchasing my first triplex in ONT. I have the same concerns regarding the ‘utilities’. My building has 1 furnace, and 2 hydro meters. 1 tenant pays own hydro. The other 2 share a hydro meter. I was hoping to add a 3rd meter to monitor the electricity and somehow meter the heat. Is this even possible? If so, does anyone have an idea of the cost behind it? Do I actually have to put 2 more furnaces in the building?