ITT: Landlord Chads Only

[Anonymous No.51060448]

Greetings fellow big cocked landlord chads. I recently became one of you after a relative passed, leaving me with a 3 unit rental property in Los Angeles.

Looking for advice here… I can sell the place ($1.8m appraisal) and pay half to capital gains or keep the place and management the tenants for some steady income.

The problem: 1 unit is vacant (yay) while the other 2 are occupied by people who have been paying $500/mo for 15 years (my relative hated money apparently). Needless to say I cannot evict them, raise the rent, or get them to leave voluntarily.

Am I better off selling the place or are their other options I haven’t discovered?

Notes: I don’t need the money, I’d like to keep this as a long term investment, that said, I don’t mind losing half to Uncle Sam as again, I don’t NEED the money.

Let me know your thoughts,

[Anonymous No.51060479]

>>51060448
i just emailed a photoshopped deed to your tenants. good luck.

[Anonymous No.51060528]

>>51060448
Sell them to black rock and have them deal with $500/mo rent.

[Anonymous No.51060549]

>landlord
>chad
Pick one and only one.

[Anonymous No.51060568]

Sell that shit asap you fucking retard.
You’re holding an asset thats literally at the top of a bubble.

[Anonymous No.51060576]

>>51060448
I'm assuming you're saying you can't evict them because you live in California
You can in fact always lie to them and say you're going to sell the place at the end of their lease so they have to move out, and then not sell it but rent it for higher
My parents rent a duplex and the guy on one side pays $600 a month in Ohio and that's already pushing it, should be more like $900, similar situation my grandpa just never raised the rent
I can't imagine what rent should be in LA

[Anonymous No.51060577]

>>51060448

Just evict them.

Also shouldn't your basis be stepped up so capital gains should be minimal?

[Anonymous No.51060633]

Do a 1031 and buy something you can charge better rent on

[Anonymous No.51060636]

>>51060448
>Landlords are chads
>Landlords have huge veiny cocks
I hate that this meme is so true, but I ruin so many pairs of pants with my throbbing member.

[Anonymous No.51060747]

>>51060568
>bubble
Kek sorry bro you got priced out. This isn't a bubble the prices aren't going down. Buy now or be a rentcuck for life.

[Anonymous No.51060780]

>>51060448
Release a new management notice and offer to renovate the apartment with newish appliances. Put up a non negotiable notice that their rent will reflect the current housing rates of the area and give them this lease with the new rates in fine print, stating the renovation will cause a rent hike equal to 85% of the new value added monthly.
Offer the appliances first and in bold as "no upfront upgrade cost" and be sure you waive the first two months of the rent hike detailed out in the contract as a promo period. Do this for all units too.
Use the extra cash generated by your tenants to pay a contractor to refinish the vacant apartment completely and splurge on amenities, and optionally furnish it. List for 4800$/mo as a premium experience and list the attractive public transit nearby options.

[Anonymous No.51060818]

>>51060780
>t. megakike

[Anonymous No.51060879]

>>51060818
I'm improving the apartment and they pay their share, landchads always win.

[Anonymous No.51060907]

>>51060577
> just evict them
Kek good one dummy

[Anonymous No.51060961]

>>51060448
>property in Los Angeles
Yeah you should have sold it yesterday

[Anonymous No.51060963]

>>51060576
They’re smart enough to know SOMEONE will have to pay them off to leave, whether it’s me or a new owner. They won’t voluntarily leave, their cheap rent is too good.

[Anonymous No.51060977]

>>51060633
This is probably the most logical option but feels like a ton of work.

[Anonymous No.51061011]

>>51060448
>pay half to capital gains
What

[Anonymous No.51061020]

Offer em a bribe

[Anonymous No.51061037]

>>51060568
retard

[Anonymous No.51061058]

>>51060448
give it away to the tentants

[Anonymous No.51061082]

>>51061020
Illegal, but I’m listening… what could I bribe them with that is substantially better than a cash pay out?

[Anonymous No.51061129]

>>51060448
Call Ben Mallah, best 50$ you can spend.

[Anonymous No.51061141]

>>51060448
>Chad
>Needless to say I cannot evict them, raise the rent, or get them to leave voluntarily.
You are a cuck. If anyone puts one ball hair on my property without my permission I can shoot them immediately.

[Anonymous No.51061149]

>>51061082
Two months rent of a pace, their choice

Back out when they move out lol

[Anonymous No.51061156]

>>51060448
If they are good tenants, it may be worth just accepting the lower rent for now. A bad tenant will ruin your life, regardless of their monthly rent.

[Anonymous No.51061285]

>>51060448
Sell the units and buy more in an area with better cap ratio
Tax free if you reinvest capital gain back into real estate

[Anonymous No.51061286]

>>51060977
Fellow Landchad with 22 rental units in Los Angeles county.
Anon, your options are very limited. Almost nothing can be done.
You can initiate up to 5% rent increase and that’s about all.
Sorry man.
All these anons have no idea how much rights the state of Cali gives to renter. It’s fucking disgusting.
And get the empty unit occupied ASAP.
Squatters will take possession and your fucked for another 6-12 months easy.
Best bet is to sell.

[Anonymous No.51061347]

>>51060818
Cope rentoid

[Anonymous No.51061353]

>>51061285
>tax free
What Opportunity zones are worth investing in?
They are all BS

[Anonymous No.51061370]

>>51060448
Evict them under the notion that you have family that needs to occupy the units and then once the parasites are out just charge market rent and lease them out

[Anonymous No.51061397]

>>51060448
>call himself chad
>unironically consider paying taxes
listen kid if you love goberment that much you better sell everything to blackrock and pay capital taxes to israe... I mean uncle sam
I'm not saying that I would do that but you clearly don't have the landlord mentality yet
tell me you are reporting the rent to irs aswell HAHAHAHAHA THAT WOULD BE A GOOD ONE * COF COF *

[Anonymous No.51061572]

>>51061397
> goberment
ok 35 yo edge lord, relax and go help your mommy fold your laundry.

[Anonymous No.51062028]

>>51060577
This guy is right. When you inherit property, you recieve it at the stepped up basis for taxes. You will only pay Cap gains on the amount of the proceeds (sale - closing costs like commissions) that is above the value of your appraisal.

So, sell now and pocket the cash.

[Anonymous No.51062743]

>>51061370
Lol this. Move in there for a year and the value goes up hundreds of thousands.

[Anonymous No.51064093]

>>51061353
you don't need opportunity zones
https://www.forbes.com/sites/jeffsteele/2018/06/28/dos-and-donts-when-reinvesting-real-estate-returns/?sh=49c7c15118a0

"Trump-era tax laws

The new tax laws passed under the Trump administration usher in two new and very favorable developments for real estate investors. The first is an IRC Section 1031 exchange. The sale of a business or an investment property normally requires the seller to pay tax on the gain at the time of sale. But the IRC Section 1031 provides an exception. The seller can postpone paying taxes on the gain if the proceeds are reinvested in a similar property as part of a qualifying like-kind exchange."

aka selling your real estate in commiefornia and reinvesting elsewhere is not a taxable event (on the federal level).

[Anonymous No.51064657]

>>51060448
your stepped up basis is 1.8 if you inherited it outright. you will pay 0 capital gains if you sell it and this isnt a larp

[Anonymous No.51064738]

>>51060448
Just say you found asbestos and need to remove the tenants to completely overhaul the units and that it will take years because you can't afford it.
When they are gone wait a while, do some maintenance and then relist the units for rent at the appropriate rate.

[Anonymous No.51064823]

>>51061286
>Yes OP sell, sell the land. Someone will buy it
>>51060448
Raise raise raise and use the money to improve the house
If they are white a small raise if they are gays or n.... sell the house or make a big raise

[Anonymous No.51066798]

>>51060577
>Just evict them.
LoL this isn't 1990s America.
When voting is fake do you think property rights are real?

Op sell that hot potato yesterday.

[Anonymous No.51066918]

>>51060448
so someone falls and now you think you're chad? kys dont you try licking you gf's kum filled kunt you beta pheggot

[Anonymous No.51066941]

>>51060448
You sound like a jew.

[Anonymous No.51066976]

>>51060780
>Put the rent hike in fine print
Lmao do burgerkeks really get away with this shit? In the civilised world a stunt like that would get trashed in court.

[Anonymous No.51066983]

get em out by any means necessary. that’s a lifelong cash cow.

[Anonymous No.51067000]

>>51060448
i have 30k in cash and an 816 credit score is this enough to become a landchad?

[Anonymous No.51067037]

>>51060568
This IS a bubble. This whole fucking economy is a bubble, even your fucking job is probably the by-product of this bubble.
We're not even making houses because nobody wants to do the fucking hard ass labor and the materials are the same deal.
Rent is going to rape you for the next several years, until the literal empire collapses.

[Anonymous No.51067131]

>>51060448
>I can sell the place ($1.8m appraisal) and pay half to capital gains
Where the fuck do you live that the capital gains tax alone would be 50% of your property value?

[Anonymous No.51067672]

>>51060448
>landlord chad
>not allowed to raise the rent

The only saving grace here is if they've lived there for 15 years, they're probably decent tenants who pay on time and don't wreck the place. You wouldn't want niggers or a family with small children.

[Anonymous No.51067738]

>>51060448
> Landlord
> In California
> Tenants that pay WAY below market rate.
You're gonna get cucked by California. Really soon the next ((current thing)) will come along and they will freeze evictions and freeze all rents for the next few years.
Biden is about to forgive 10k of student loans. don't think for a second they wont freeze evictions and rents at the drop of a hat.

[Anonymous No.51067868]

>>51067738
LA county evictions are still frozen until June 2023, and they will extend it for new variant.

[Anonymous No.51069746]

>>51060568
>anything i can't afford is a bubble

[Anonymous No.51069795]

sell it and use the money to build an entire block of beachfront condos in Da Nang.

too much thinking for the average burger i guess

[Anonymous No.51070477]

In NZ you can end a rental if you need to renovate it. Give them 90 days notice then do up all 3 units - start on the empty one first. Then charge market rents.
You could also move into the empty unit and rent out your house.

[Anonymous No.51070506]

>>51060963
Wait, why can't you raise rent? Are they on a 100yr lease or some shit

[Anonymous No.51070562]

>>51070506
All the imported immigrants have to be able to pay rent or they will destroy the country before (((they’re))) ready to jump ship

[Anonymous No.51070658]

>>51060448
landlord here. must first thoughts is sell it as fast as you can. thats what Im doing right now. when the government decided that we couldnt evict tenants, even for not paying their rent, is when i decided to get out of the business of ladnlording. for the first time in 1000 years of english common law tradition the government decided that there was a type of civil contract they were not going to enforce, well guess what happens to a contract that is unenforceable, people stop entering into it!

the whole landlording business is fraught with problems as well. it costs money to screen tenants, moeny which you cant charge them. and once the ink is dry, you just know they are gonna start complaining about shit that they expect you to fix, even thoguh it was like that when they rented. and if you even hint at a "fuck you"type attitude, they will knowlingly damageyour property.and you can no longer really recover those damages, because rentoids dont have money.

back in the day when guys like Kiyosaki where writing thier books, renting properties was a great way to build wealth, but so was going to college and getting a degree. thats all changed, and its going to get worse. if your not a big landlord with a huge building, you cant endure the losses. and the losses will inevitably come. I only own one house for rent and a condo i rent.I stopped renting out either when covid started, and i havent rented since. The condo is up for sale. The house, because it sits on acreage, I think Ill wait til the market recovers, then sell.

there are simply better businesses to get into nowadays.

[Anonymous No.51070659]

>>51060448
I co owned 3 homes with my brother, 2 with mortgages, but sold one in 2014 to buy crypto with my gains.
We need up with 3 because we bought a home with mortgage, mom died and got her place, which was paid off shortly after. 3rd place we got with mortgage as investment.
I'm in Arizona though and my skin crawls at left wing tenant laws. I have always rented below market value and been very flexible. Bad tenants are a nightmare scenario. The 3rd home lost or broke even most years. I eventually got a manager that takes 10% so I don't have to deal with bullshit. But manager + hoa fee+ taxes + mortgage and insurance I was making about 150 to 200$ a month. But shortly after buying the AC got pillaged by a hobo and insurance didn't cover the part, was 5,000$ in the negative. We sold the place 45,000$ above what we bought but taxes, fees and repairs ate like half of it.

In this market I would look specifically at your area, sell if it's got a mortgage and it's an extra over sold market. Then take the money and buy a better market closet to landing.

[Anonymous No.51070723]

>>51060448
No itt has mentioned you can't raise renta in California more than 3% a year, so you'd be a decade out from even getting rents to $700. Sell it for more though desu.

[Anonymous No.51071430]

>be me
>have 5 grand in the bank
>making 3 grand a month
>start renting as a base hoping to buy a houes in 1 year
>get depressed renting on my own
>start regressing inwards
>continue renting after 1 year
>start taking out loans to try get back on track while still renting
>get 20 grand in debt
>dont pay rent for 6 month
>get evicted
>now 25 grand in debt
>back living with parents

Im NGMI.

[Anonymous No.51071817]

>>51060448
they are subleasing the properties 100%

[Anonymous No.51073158]

>>51060448
California is one of the worst states to be a landlord. In California, you’re a landcuck, not a landlord.
Do as other Anons have suggested. Sell it to another cuck, take the money Man’s move to a better state.