Biloxi Rental - Posted by Lock

Posted by Lisa on November 28, 2004 at 13:36:36:

You could serve your pay or quit notice. If they don’t pay, try to get them to leave peacefully. I offer money for them to leave and leave the house in good condition. Otherwise, you’ll have to evict.

You could then sell the house “rent to own”. You sell the house for what it’s worth, not what you owe. To find out what it’s worth, you can have it appraised or have several Realtors in your area come out and do comps for you. You can then sell on your own, collect a 3-5% option fee (non-refundable) of the sales price upfront (before someone moves in). You can accept less, but only if you have a hard time finding someone. Then you charge rent monthly. I charge what the tenant/buyers payment will be when they buy. (This way you have at least 12 payments showing the bank they can handle the payment.) Ask a Realtor what a payment on your house would be if someone where to buy now (with below average credit). This always increases your ‘rent’ price. These folks have bruised credit and understand that they will pay more to show the bank they can do it.

They will act as homeowners - - no need for you to fix things. They are responsible for their own maintance. You would then have some cash up front, some left monthly, and cash on the back end when they cash you out (when they obtain a mortgage).

This will allow you to hang on to the property and have cash flow. A note: not everyone will buy. In that case, you treat them as tenants … evicting for non-payment).

This should fix your cash flow problems … and allow you to have some cash for right now. Rent to own properties go fast … days. Selling can take months.

Hope this helps you. Thanks for your service to this country. I appreciate you and your fellow military comrads!

Lisa

Biloxi Rental - Posted by Lock

Posted by Lock on November 28, 2004 at 12:54:21:

I own a home (3br, 2ba, 1850 sf) on the MS Gulf Coast that I’m renting for $895. My mortgage including P&I is ~$850. I have a property manager that collects 10% (I’m military serving overseas)…so I’m red each month by $45 (minus my tax break).

My renters won’t pay their rent on time and it appears I’ll be making my mortgage payment without the rent this month. I’ve come across unforseen expenses (non-real estate related) that have dwindled my savings to the point I’m nervous about having to pay another month’s mortgage without the rent. The market is not the best for finding new renters right now, but I’ve asked the property manager to give a 3-day notice on payment and eviction. I’m not sure what the estimated market price is for my house, but it’s probably not far off what I owe on it (~$104k).

FACT: I want to keep the house for long enough that I don’t lose any more $$ when I sell it. I don’t intend to keep it long term.

QUESTION: Can I manipulate this property to better benefit my situation? Specifically, is there anyway to build a small cash reserve from it?

Thanks for any advice. Lock

Re: Biloxi Rental - Posted by Richard

Posted by Richard on December 04, 2004 at 08:20:33:

How long have you been away from the coast? The reason I ask is I can’t imagine a house that size only being worth $104k? I’m on the MS Coast, too. If I can help you in any way, let me know.

Richard

Biloxi Rental - Posted by Bill H

Posted by Bill H on November 29, 2004 at 24:02:37:

Were you called up in the Guard or Reserves? Did you own the house before you were called up.

If so the Soldiers and Sailors Civil Relief Act of 1947 may be of benefit to you.

Contact your local Adjutant Generals Office and ask for assistance.

Good Luck,
Bill H