month to month charge (by Pamela Doyne [AR]) Feb 13, 2019 11:07 AM|
month to month charge (by David [MI]) Feb 13, 2019 11:13 AM
month to month charge (by Busy [WI]) Feb 13, 2019 12:05 PM
month to month charge (by LindaJ [NY]) Feb 13, 2019 12:34 PM
month to month charge (by BRAD 20,000 [IN]) Feb 13, 2019 1:27 PM
month to month charge (by Pamela Doyne [AR]) Posted on: Feb 13, 2019 11:07 AM
State Specific Question About: ARKANSAS (AR)
To renew your lease on a month to month basis how much is a reasonable charge ? --174.53.xx.xx
month to month charge (by David [MI]) Posted on: Feb 13, 2019 11:13 AM
A reasonable charge takes into account the difference in rent between high rental season and low rental season. Around here, that is easily $100-$200. So I would need to recoup $1200-$2400 over 1.5 years.
For that reason, I simply do not allow m2m and rather do ELT of two months rent. I recoup my costs right away. --199.247.xx.xx
month to month charge (by Busy [WI]) Posted on: Feb 13, 2019 12:05 PM
Iím going to suggest you take your local landlord association, or apartment associationís bootcamp. Might be the best place for you to get this information. It really will depend upon how the judges in your county/ city interpret your stateís laws. You also want to know what the move-out Notice is for MTM in your state. Some have very short move-out notice length.
I only do MTM. My thinking is, unless you are in a college town, or a summer tourist area, there might not be that much seasonal variation to housing units needed. So, vacancies should be fillable most times of year. Also, keep in mind, things like rehab length of time factor in. If the properties are all in very good condition, then turnovers can go quickly, and an efficient landlord might have a vacancy. My properties were all dumps when I bought them as foreclosures, and though much has been improved, there are still projects to do during turn-over, so , for me, a move-out with 30 days notice just gives me my next project.
In my city, tenants seem to fear Ď missing outí so, when they have those one -year leases coming up, they get serious about finding another place. With MTM, they say they need a bigger place, but when they look, the other houses arenít well-cared for like mine, so they stay. One tenant has given up on renting a bigger place, told her kids they are staying with me till they can buy their own place.
My city isnít real keen on landlords making their money from upcharges, or so it seems. All of my tenants so far have wanted to be long term tenants, and Iíve wanted them all to be long term tenants, except for Ďstupid house.í As in, I was stupid to rent to them in the first place. (Ahh, the price of education, when one is an experiential learner.)
Just some thoughts on the subject... --70.92.xxx.xxx
month to month charge (by LindaJ [NY]) Posted on: Feb 13, 2019 12:34 PM
I totally agree with Busy.
I will add, M2M also gives me the opportunity to raise rent enough to make it worth my while to put up with a PITA tenant, and the opportunity to give a month's notice to get rid of a tenant I don't want to deal with at all at any price. My not waiting until the lease is up to not renew is priceless.
I only think there is premium to M2M if I know as the tenant moves in they are planning on staying for a short time, not once they have been there a while. --108.4.xxx.xx
month to month charge (by BRAD 20,000 [IN]) Posted on: Feb 13, 2019 1:27 PM
I only do annual leases with an Early Release Fee equal to 2 months of rent.
It gives residents the freedom to leave at any time, not much different than charging them more each month for a short term lease.
If I were to do MTM I would set the price a 1.5 times the normal rent.
Call your local large apt complexes and compare their terms.