As I mentioned, I unloaded my properties earlier this year because of government meddling. One of them, an 11-unit building, is a block from me. The new owners sent me an e-mail inviting me to tour the place and see what they have done. The updates are very impressive, to say the least.

They are in the process of kicking out all the tenants, and rents will rise from an average of $1100 to $1500-$1600 for the new ones. They have had to deal with months of construction noise and dust. In a year they plan on selling.

To me, this is a textbook example of the unintended results of tenants voting for dems. Lefty lawmakers have passed several anti-landlord laws over the past few years, and let's not get started on the eviction moratoriums. If I still owned the building, they would still be there. They won't make the connection as to why that isn't happening.

I am not the only landlord here who has decided to get out of the business because of this nonsense. And they wonder why rents keep climbing.

"In a year they plan on selling"

"Ok wait they are filling it with new tenants and then flipping it? Wouldn't be better to sell vacant? "

Not for an 11-unit. If they have done construction to upgrade things, and gotten new tenants in at higher rents based on the updates, they are MUCH better off selling it full of tenants.

" I thought maybe the new owners would want to screen and choose tenants themselves. But clearly it doesnt work that way in this type of situation."

I agree that the resulting actions of government having a negative effect on tenants. One example: I purchased run down apartment properties starting back in 1997 for around $30,000 per unit. Then with money and sweet equity I'd put around $10,000 in each unit and have a Low Cost Affordable Apartment that I could rent out for $695 per month and still have a profit.

During the same time period, Government would purchase an apartment property and knock the building down. Then they would build a new apartment for $150,000 per unit, NOT including the cost of the land and knocking down the old building. Their real cost would be over $200,000 per unit. So the asking price for rent would be $2,100 a month in rent. THAT'S THREE TIMES HIGHER IN RENT.

Jeff,

In the past I would have had people lined up for an upcoming vacancy before the place was vacant and would have had the place filled after about 7-10 days.

The demand for SFH has been so great locally, that when a place comes open, I can consider playing the game of guess what the govt plans on doing to today or exchange it into a different class of asset that has less demand. So as a result, I have been doing my part to have less units available for rent.

I guess I have blinders on. I picked the right state and second interest (first was planes and engines). We have some regs-- but what business doesn't. We are not seriously over regulated.

My part is increasing the rent regularly and letting the tenants know why. TAXES and stupid regulations and EXPENSES. I explain until we have a change in who's in power things will keep escalating.

"IT ain't me-- IT ain't me" -- AS SUNG BY CCR.

MYOB, I had great tenants there. No complaints at all.

Some the new anti-landlord laws:

If a landlord files for an eviction due to nonpayment but a tenant comes up with the full amount owed before a court signs off on the eviction, the landlord must accept the money and the eviction is cancelled. Previously, there’s been a 10-day “cure” period for tenants to resolve outstanding debts, but now there is no particular deadline.

Tenants are able to use a health-and-safety defense in court regardless of settling any rental debts. Previously, if a tenant facing eviction over nonpayment complained to the court about the state of their home for health or safety concerns, like a landlord neglecting mold or not fixing a broken heating system, the tenant would have to pay most of their due balance to stay in their unit.

Colorado will no longer allow eviction hearings on the same day a landlord files an eviction. Renters are guaranteed at least one week between filing and hearing.

Late fees are capped at $50 or 5% of a tenant’s outstanding rent balance, whichever is higher. Landlords can assess these fees only once per late payment; previously they’ve been allowed to charge unlimited fees for every day of missed payment. Landlords must now wait seven calendar days after rent is due to charge a late fee.

Landlords can no longer initiate eviction proceedings against a tenant solely due to a tenant not paying late fees.

Jeff kind of normal business here in GA.

I'm in the LL business-- not set out. I've had people pay up as we place the stuff in the yard as the sheriff watch's. He laughs and says-- "you know you'll be back" -- yea I know! NO I don't put it back in the house. Every action by tenant has an expense-- automatic 850.00 added for eviction crew-- that's whether they pick up anything or not. Our law says-- LL must accept 1 time in a 12 month period delinquent rent-- we do more-- but there's fees and charges to do it more than once.

Here you file for eviction: they have 7 days from date of service to answer-- then we file for writ of possession with Sheriff-- he takes about 10 days to get around to us.

Judge states at beginning of trial-- there is no legal reason in GA not to pay rent-- lack of repairs is not a reason. Done and Done.

Well you learn something new everyday. Today I learned I have no idea how a sale of an apartment building is done.

myob is correct. In yesterdays dispossessory hearing my request was granted but the judge commented her "departure" time was only 7 days (they tell everyone to be out in 7 days). Because 7 days would bring this up to Thanksgiving day she asked if I could please allow the tenant to vacate by the end of the month.

Fine with me. Our Marshall's Service is currently running about 3 weeks behind. And with the Christmas holidays coming up it wouldn't surprise me if the actual eviction wasn't scheduled until sometime in January.

The current economy has allowed me to raise rents and greatly increase my income.

Partly because I found ways to deal with the govt changes.

If Jeff does not want to deal with them God bless him as he lives his life the way he wants.

Hopefully he sold high in that CO market.

And the new owners invested a lot more money on the reno.

Gail in GA. This is the worst time for court in GA. Those 7 days your got is pretty standard and what it means-- they won't issue the writ of possession for 7 days. Then you can call to "SCHEDULE" YOUR SET OUT. Sheriff does nothing in December for evictions-- so your January estimate is correct.

I've been waiting since Oct 23rd for the judge to sign a consent order we argeed to-- tenant and us.

Can't move without that signature. Have called the court called the clerk and no one is answering.

So court is open--- but no one is working!!!!!!!!

Brad, well said. Glad to hear you're raking in good rents.

I sold at a high, for sure, but I bet if I had waited I'd have made more. But I am glad to be out.

Jeff,

I sold out of the SoCal market place in 2006. Could I have waited another year or two - you bet. I could have made even more money.

Ahhhhhhhhhh long pause.

But 2007 and 2008 can also come along. Many Landlords that were heavily leverage in market places that strictly appreciate and don't cash flow well, they got wiped out.

You are a smart cookie. I can foresee a time in the future when you hope back in. Maybe a bit more measured for the re-entry - but just the same. You have seen the writing on the wall that the current trends are not sustainable. Real Estate is so diverse of a tool that you can dabble in so many different levels in so many different fields (figurately and literally).

myob...yes; things sloooow down this time of year. I do a dispossessory on the average about once every year or two. Last time it was around the holidays; began the process at the beginning of December and the set out was finally scheduled for the end of January.

At the hearing I was hoping the tenant would state she had found another rental and her new lease was to start December 1. Her reason for not paying rent was, of course, because she had to save up money for a new deposit and first months rent. She should have enough since she works full time in a very stable job, she gets a disability check for her daughter and she's not paid rent for October or November.

I've got a feeling she'll be staying at least part of December. I'll still file for the dispossessory warrant; the price for filing has increased in the past two years but is still reasonable.

I have slowly been selling off my rentals. This one will be the next one to go.

In California we passed prop 19 which will raise property taxes when the current owners (we landlords) die. Our kids were going to hold onto our paid off rentals but with the property tax increasing $1000.00 a month our tenants will need to find other rentals which is difficult.

I'm still holding onto all my rentals, and wish I had more. I screen super carefully and have awesome tenants. So far, government regulation hasn't impacted me negatively. We're definitely keeping our eyes open for other options just in case.

Ray-N-Pa, hey thanks. You certainly have a good handle on things. Market timing is tough. I think you were smart to sell when you did. A year or so difference? Who knew?

I've always considered NC to be a LL-friendly, or at least a neutral, state. And we have almost all of these "new" laws that Jeff talks about, and always have.

"If a landlord files for an eviction due to nonpayment but a tenant comes up with the full amount owed before a court signs off on the eviction, the landlord must accept the money and the eviction is cancelled." Which is why I never filed for non-payment, but for breach of lease for failure to pay. Subtle but real legal difference.

We don't have the health & safety one: Judge will tell tenant to pay what they owe and move if they don't like the condition of the unit.

"Colorado will no longer allow eviction hearings on the same day a landlord files an eviction. Renters are guaranteed at least one week between filing and hearing." We've ALWAYS had this.

"Late fees are capped at $50 ($15 for NC) or 5% of a tenant’s outstanding rent balance, whichever is higher. Landlords can assess these fees only once per late payment." Always had this. Must wait 5 days.

"Colorado will no longer allow eviction hearings on the same day a landlord files an eviction. Renters are guaranteed at least one week between filing and hearing."

I was always confused by this one. I have NEVER heard of that happening. When a landlord files for an eviction, it has to be filed, the tenant has to be served, and a court date set. That can take months. It never happens the same day.

"one week between filing and hearing.." On what planet ever? And "same day"????? Who was on drugs when they proposed that ever occurred. USPS service on even costly registered "signed by recipient" notices are completely unreliable and NOBODY would get notice in same day or even a week!. I JUST yesterday (11/20) got back the registered mail receipt from one of my tenants from the "Notice To Quit" I mailed on September 16. -- that was 64 days it was lost in transit after being mailed from 2 miles away from the destination and in the same zip code. Three others NTQ's that I mailed to the same address the same day came back in 3 days, 12 days and 21 days respectively and only one was actually executed with the right signature and dates of delivery recorded. Local mail carrier told me they have been using temp carriers on that route for two years and most are clueless and inept. I will NOT use US Mail to transmit legal documents any more. Trump and DeJoy totally and intentionally trashed the USPS.

Back on topic, I filed "notice" on 9/16 then for "Eviction" 10 days later, per protocol here. First hearing was for 10/22 then postponed til 11/9 for no stated reason (though probably because the county extended the covid moratorium to 10/31 -- though 10 day possession order would have been past the deadline). Then my scamming tenants bought themselves another 10 days in the place by calling the magistrate court 15 hours before the hearing to claim they had "covid like symptoms' (I live 3 blocks from them and know they went to work).