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fix up my rental


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2011 May 5, 11:10pm   13,752 views  50 comments

by bg   ➕follow (1)   💰tip   ignore  

I live in the bay area. I am thinking of spending some money to fix up my rental. Let me explain. We pay 1350 per month for a 2/1 with about 1000 sqft. There are some nice perks for our place. Near the beach, nice storage, nice gym, below market rent for our area (-200 month). There are some significant downsides. The one that bothers me most is that almost no money is spent maintaining our place. Really, not much done to keep these places up. I HATE the carpet.

I am thinking of spending some money (~7,500) to repair a few things. Let me say the following.
-I have the landlord's permission to make repairs and improvements. I will get it in writing before I start.
-I have asked for a 3 year lease with no increase in rent and will have this signed before I do any work on the place.
-My planned improvements include: recessed lighting in the LR, replace ceiling fan in one room, add one in the master bedroom, replace carpets in LR and hall with laminate, replace carpet in bedrooms with carpet, add build in shelving in LR to maximize use of space.

I guess I would like feedback on my plan. Other information I could add is that I think I will be ready to purchase in 3 years. It could be sooner, but my pants aren't on fire. 3 years feels like a fine horizon. I am a saver. I typically save 25% of my income. The 7,500 will come from savings. I have perfect credit ~813 fico.

I did look for rentals that would be more comfortable/to my liking. I didn't see a huge improvement in those that are going for 1800 or so. I think I could get something I really like for about 2300 a month. My thinking is that would be ~1000 more a month, every month. That would add up quickly over a year. I am thinking that would be much more expensive over 3 years than just fixing this place. 36000 vs 7500. Even if I go over budget, to 10K.

Other things I will mention is that my neighbors have all been here for a long time. I live in a 4 plex. One guy has been here for 20 years. He is a great neighbor. The other two for 5 years each. I don't love one of the 5 year guys, but I can live with him. Worst case, I live here 6 months and then move someplace more expensive. I still hasn't been an enormous loss over what it would have cost for us to move to a nicer rental. Of course, I don't want that. I am just saying that I have thought it through.

The biggest liability I could see is if something goes wrong with one of the improvements I start. Like if there is a problem with the flooring. I am thinking that I will ask the landlord to sign off of each improvement as we go and for him to select or approve the service provider. For example, I am hoping to have home depot install the laminate. I want him to agree to the flooring and the installer.

Any thoughts or feedback appreciated.

bg

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12   Hysteresis   2011 May 8, 7:04am  

Vicente says

Last house where we were for 5 years. I really needed a washer/dryer, and adding that to the cottage meant both plumbing and electrical. We had a baby so washing became more frequent. I managed to get her to pay for the electrical work and I paid for the plumbing. About $500 so nothing on your scale and it still bothers me slightly to have had to spend it for an improvement on her property. The next renter got a better place and is probably being charged more.

why not just sell the washing machine after you left? if you paid for it, it's yours.

13   Vicente   2011 May 8, 8:20am  

You misunderstood, the money I spent was to get the washing machine plumbing hookups. There was a small room at the back through exterior door with the electrical panel, water heater, a gardening sink, and some gardening junk and sufficient space for a stacked washer/dryer set but no provisions for hookup. So I paid a plumber. He pulled off the drywall and incidentally found a small drippy leak in the pipes which had doubtless been bringing the termites which seemed to be a yearly problem there. For which the landlord said "thanks".

The toy gardening sink had usual small outflow pipe, insufficient for laundry. House on a concrete pad so no real option for running new sewage pipes. The only other option according to code is a laundry sink of decent size to catch the outflow fast enough. So he installed a cheap plastic laundry sink. And of course solder in new pipes and affix faucets to give the hot and cold supply and patch the drywall back up. The landlord paid the other part of the job which was getting separate breaker and outlets for washer and dryer.

I bought a set of "scratch & dent" GE Duet Sport front-loaders at the Sears Outlet, used them there for a couple of years and then sold them to the landlord for my cost when I moved out. So I did OK on that part. Landlord ended up with a more desirable cottage with addition of provided washer/dryer set, plus I had made some other small improvements like a patch panel in the closet and running Cat5e & cable to every room. I got a more livable house for the 5 years I was there, cost being a bit of labor on my part from time to time and that one case of money spent.

For needed repairs like fix the irrigation system when I was doing it myself, I'd get them to cover not only the materials but some sort of "hourly fee" for my handyman work.

For improvements that were not "repairs" I typically would expect to get all material costs covered.

Some stuff was in the grey area for me so I'd settle without the labor fee. Like replacing the disposal. Plumber would quote with cheap plastic Badger 5 replacement, I'd undercut that and still have money for the superior Insinkerator Evolution and skip the labor fee. Ditto with repairing the bathroom faucet. Just tossed the junky antique rather than repair it and replaced it with a better quality Moen. I usually enjoy learning to do those kinds of projects anyhow.

I really think the original poster is getting ripped off here. They get tax deductions for that and an improved property, they should bear at least some of the costs. Let's take the most obvious example, adding ceiling fans. I'd think there is some rebate available along with tax deductions for those kind of energy-saving improvements. Why should poster spend all the money and get none of the discounts?

14   rob rankles   2011 May 8, 2:56pm  

how old it the carpet? Landlords are required to change them after some period of time....I think maybe 10 years.

I think you are right to pay some money to fix up your place, especially if you are happy there, and the rent is cheap.

Really though you should cut a deal with your landlord to pay half of the improvements if not all. Have you directly asked him/her if they would be willing to pay?

15   Misstrial   2011 May 8, 3:00pm  

As a renter I wouldn't put that amount of money into someone else's property. Basically you are giving the LL a green light to go ahead and raise the rent because now you are invested in their property and they know it.

Each and every time we have heard about this sort of thing, the landlord raises the rent because they assume that you are attached to the property (not just emotionally, but financially) and make an educated bet that you won't move.

I agree with VanillaSky and waiting_for_the_fall. Don't do it or if you must, keep the improvements secret from the LL. Unless you need a permit from the city....

~Misstrial

16   ragingpinko   2011 May 8, 3:54pm  

Contrary to the view of most homeowners, almost all tenants put some money into their homes, unless they're just parking for a year and planning to move. Almost all tenants, for instance, take off the silicon stuff that landlords use around the sink and regrout the damn thing. (The silicon is for space between the wall and the backsplash, and will assuredly start deteriorating after you've used the sink for a month.) My husband was weird; when I asked him to regrout the sink, he regrouted all the counters.

That said, I gulped at your plans. Recognizing that you've costed this out and will save money over moving to a place that had all the amenities in place, I still gulped. But here's my take on it, admittedly from someone who's rented four homes in the last 30 years, and put in gardens in two of them. If you're not going to stay for at least five years, it's not worth it to do all this work. And you'd want a guarantee of no rent increase for the five years, plus an option at a fixed rate increase for the next five. That would give you at least five years for your $7500, a cost of $1500 a year. Over 10 years, it would be $750 a year, in addition to the rent increase in the second five years. But, as I said, if you're only going to be there for three years, it's not worth the hassle and expense to do it.

You could, though, replace the ceiling fan with another fixture, and re-install the (probably cheap Home Depot) ceiling fan when you leave. And much as I hate this, and would never do it in any place I lived, you could just cover the carpets with area rugs, which is a lot cheaper than new flooring and could go with you when you move. Skip the recessed lighting--too much expense for too little benefit--and the built-in shelving. You could have shelving made to order that you could take with you when you move.

17   Tony1971   2011 May 8, 4:16pm  

You desire to upgrade your quality of life in a reasonable way. $7500/36 months + $1100 = roughly $1310/month. If you wanted to upgrade your quality of life and move into a $1310 rental, that would be a rational decision. You sound like you can afford it and it is not extravagant. It sounds like it would be $500-$1000 cheaper than comparable rents. That actually makes it a frugal decision. The standard way for a renter to upgrade his quality of life is to move. Your way isn't standard, but is rational. Someone on here thinks it's a bad idea because the landlord could raise your rent. It sounds like you are going to have a 3 year lease, so I don't think that is a valid reason (unless 3 year leases are too long to be valid{?} or some other legal reason). If I were you, I'd do it. I'd try to get the landlord to reduce the rent by $100/month or so for the 3 years (especially if you could show him how your improvements will bring the value up to at least $1800/month for his future renters). Even without it, you're getting the rent freeze and you get to live in a place you feel comfortable in... all for $500-1000/month less than moving (plus not having the expense and hassle of finding a place and moving). You will though have the hassles of the repairs. It sounds like you are having the repairs done professionally. That should minimize the hassles and the likelihood that something will go wrong. I say go for it. But you don't need my or anyone's permission. You know what your quality of life is worth to you.

18   joe154   2011 May 8, 10:45pm  

I am trying to find the follow up to this scene (the one where they do the home improvements).

http://www.youtube.com/watch?v=P1IOB7vGu9E

19   bg   2011 May 8, 10:56pm  

Thanks everyone for the feedback. I think there are few places I could clarify information.

Three year length of stay: I picked three years as a minimum time frame. I think we could easily stay 5-7. I used 3 as a sort of worst case scenario estimate. I think the housing market will be at a better point for us to buy at that point. I could have tried a 5 year lease, but that feels like it would be too restrictive on our future.

Landlord: We have a longer standing relationship with him. My husband has worked with him for a while on some other small business projects where he has been ethical and not greedy. I don't think he will try to screw us by raising the rent due to the improvements we made. He is benignly neglectful at worst. I am getting the 3 year lease just because I don't want to be an idiot. Also, what if he gets struck by lightning or some such tragedy. His wife offers to babysit for us for free just to be nice.

Splitting cost: I talked to him about it. He said he would pay, but would need to increase the rent. I think the rent increase would cost more than the improvements.

Rebates: I will get the rebates for appliances. Not the landlord. I looked into that.

Carpets: I did some reading on the duty of landlords regarding carpets. What I could find is that they only have to replace if it is a health hazard. These are a hazard to my eyes, but probably not my health. I tried an area rug in the living room. I don't like it. It bugs me.

Tax deductions: This is a great idea. I hadn't thought about it. I will sit down to discuss this with him. I will look into a rent reduction. I think there is more room for conversation around tax deductions and him paying for some of this than I had thought about. I am improving his property. I will go back around to that conversation with him. I wonder if I can get a small rent reduction or some of it paid for without him going up on the rent.

Based on input, I am adjusting my budget a little.

Recessed lighting in the LR - may scrap this as is pricey,
Replace ceiling fan in one room - landlord had mentioned doing this for us before. Will see about it.
Add ceiling fan in master the master bedroom - there is no fixture in bedroom. Going to keep this on list. expect budget of about $500.
Replace carpets in LR and hall with laminate, replace carpet in bedrooms with carpet - I think this will be about 3500. Going to get the estimate later today.
Add built in shelving in LR to maximize use of space - I am looking at Besta from Ikea. I could take this with me when I go. Probably going to get a handyman to help install as I want these to hold a lot of books and be secure. Estimate cost to be about 2000K total.
Painting - going to do this with a friend. Budget 400 dollars for paint, tools, massage gift card for friend.

I really appreciate everyone's thoughts.

20   readytofarm   2011 May 8, 11:33pm  

Re previous comment: "... get rid of you!" In this market? You'd have to be one stupid landlord. You should be so lucky as to have a tenant like that. He's not bugging the landlord, he's offering to improve the property! As an aside, I recently read a biography on the writer Henry James. He rented a house in England. Length of lease? Twenty years! He also did massive improvements on the property. He did eventually buy the property, but not until he'd lived there for a very long time. I wonder if going forward we're going to see more and more of these sorts of very long leases.

21   Solutions101   2011 May 9, 12:59am  

here is generally a great idea. Naturally, check with a tax person. Ready? Since the economy is down-and for a long time- every one needs work-to survive. You need to reduce costs & get benefits. Yes. Well, a source of workers can be found at a church.
You contact the "minister" and have him pick the workers that "HE PAYS" from YOUR REPAIR CONTIBUTIONS" to the minister(the church).

You get tax deduction ; create work; church gets tithing’s from the workers; Win-Win.!

A great idea for other Patrick readers!!

22   DaveM_Renter   2011 May 9, 1:07am  

$7500 for your place seems like a huge amount, but I think you should go for it as your rent plus $200/month still seems like a great deal. I also don't mind spending up to 1 month's rent (plus my personal time) on improvements whenever I move into a new rental. It's worth it to me. 2-3 years is a very long time, I'd hate to live in a place I don't like.

Just because you're not buying doesn't mean you should live in a dump. The majority of rentals in SoCal are pretty crappy to maximize profits. But combined with a little investment from the renter they can still beat a home purchase for many reasons...

23   gimmesomecoffee   2011 May 9, 2:19am  

I suggest making that 3 year lease a one-way lease, that allows you to move out at any time, but prevents the landlord from raising your rent for 3 years.

24   MsAnnaNOLA   2011 May 9, 2:53am  

Solutions 101...beware using uninsured "help". They get hurt and can sue you. Licensed and insured professionals are best.

bg...I like your re-evaluation of the budget and items. You can probably spend half your original budget and be much happier with the place overall. Your example Ikea shelves vs built-ins. $7,500 seemed like a lot to spend. A few thousand...not as bad or painful. I think eliminating recessed lighting is a good idea. Pricy but also don't underestimate the damage sheetrock dust can do to your things and your health. You don't want to be living there when people are cutting sheetrock it is just untenable. Paint is easy and you can do room by room. Rent a pod for your things temporarily if you have to. Get low VOC paint for your family's health. I am not a big fan of laminates because of out-gassing. Look for options with less formaldahyde etc. You can get pre-finished wood that is not so expensive too. New finishes can give headaches for years! New remodeled offices after Katrina....five + years ago still give me a headache.

$7,500... takes a while to save that much IMHO. Use a couple grand to improve your sorroundings. Keep the rest toward improvements in your home you eventually buy or a nice vacation for you and your sig other.

25   Eddo   2011 May 9, 3:34am  

I like the idea of you making improvements to your place but hiring Home Depot is a bad idea. When you hiring Home Depot, they hire a contractor. Home Depot acts like a middle man. It will be wise for you to ask Home Depot for an estimate. Then go out on your own and look for a private contractor and ask them if they can beat the price Home Depot is asking for. The only concern you might have is how can I trust a private contractor?

26   nony mouse   2011 May 9, 6:18am  

you sound like you've thought it out enough that you have thoroughly convinced yourself. my take, after being a lifelong renter and sometime- 'live in' apartment manager, don't bother. do the purely superficial things that will make a marked improvement to daily life now--buy totally movable bookshelves that you are sure you can take with you and will work wherever you end up moving. paint the walls. put up your own ceiling fan (and put his yucky one back before you leave), etc. but do NOT do anything that will permanently improve his property or could even be construed (oddly enough) as 'damaging' it.

for one, even if you get all of these conditions specified in writing and so on, the man would be a fool not to try to either get higher rent from you or from someone else out on the open market. for two, you plan on eventually purchasing--save all of your own money for your own house where you will probably end up doing most or all of these things for your own benefit anyway. the more you save now, the quicker that home purchase and all of those renovations can begin.

you just don't sound like you'll be there for the next 5-10 years, so as much as it pains you to look at the carpet (and you might think about having it cleaned professionaly. some carpets do look totally different afterwards) it's a much better and more cost-effective plan, in my eyes, to save that money for a project that will benefit you in a long-term way. everyone else has already made the relevant financial points.

for all you know, the landlord relies upon the 'somewhat grungy but steal of a price' to not only avoid spending money, but because having that 'great place by the beach' keeps his units from experiencing high or even normal turnover, and he probably has NO trouble renting them out when they do. no matter how nice the things you want to put in are, i would be wary of them if i owned or managed the place. you'll probably have to run everything by him well in advance and receive his seal of approval, as this stuff is sticking around long after you go and then he'll either have to pay to maintain or replace it if it isn't marketable enough. on the other hand, he might just be going "great! more money I don't have to spend on upkeep." it rather rewards him for being lax on maintenance---with YOUR money!

27   drew_eckhardt   2011 May 9, 6:42am  

My wife and I did this.

We couldn't find the combination of reasonable rent, reasonable location, garage, and one cat allowed so we rented a dump for $200-$300 less a month than nice places which got one or more things wrong would have run and spent $2000 on improvements in the form of removing the carpet and refinishing the underlying hardwood, putting new linoleum in the kitchen, new blinds to keep light out, and new light fixtures bright enough to see with.

We broke even on the deal before the end of the first year.

My wife also planted and maintains gardens. The enjoyment we get from that is more than worth what we're spending to beautify the property.

OTOH, I wouldn't spend more than I could afford to loose or would need to amortize over a longer rental with common walls.

Only your landlord can control who lives in the attached units and he/she is not allowed to exclude small children whose parents are then free to allow them to run amok, scream, bounce balls on the floor, etc. at all hours of the day and night with the official police opinion being that you can't do anything about it legally (like if you had neighbors who merely liked to play their stereo loud) and that you pretty much need to move.

28   kelmag   2011 May 9, 6:49am  

When you "own" a home you don't actually own anything until the mortgage is paid as Patrick says your rent the money or you rent the house. That being considered anyone sinking an"investment" into a house they own is also taking the risk of not getting that money back when they sell. Who says the price of "your" house will go up commensurate with your "pergo floors". How many people refinanced to do a total renovation on their home only now to be underwater or in foreclosure. I think your smart for renting and have clearly thought out all of the possibilities. It is you life and this is where you live where you wake up everyday make it your own and enjoy the freedom of being a renter because when and if you buy in the future you will realize the thrill of being a "homeowner" is quickly diminished with the first time YOU have to call the plumber.

29   common_sense   2011 May 9, 6:51am  

I would fix it up, but only low cost cosmetic work you can do yourself. I'm in the same situation - am renting a cute little house in a very high end neighborhood of Seattle. But the owner has not done any maintenance on the house and it looked awful inside. I did only cosmetic, low cost upgrades (painted the entire inside, replaced a few light fixtures, curtain rails and curtains, kitchen cabinet doorknobs, and kept the originals to re-install when I leave). The carpet is nasty so I bought some nice large rugs to put over the carpet, that I can also take with me when I move.
That's good that you plan to get a 3 yr lease with no rental increase.

30   JG1   2011 May 9, 7:43am  

rob rankles says

how old it the carpet? Landlords are required to change them after some period of time….I think maybe 10 years.
I think you are right to pay some money to fix up your place, especially if you are happy there, and the rent is cheap.
Really though you should cut a deal with your landlord to pay half of the improvements if not all. Have you directly asked him/her if they would be willing to pay?

They are? Where do you get that from?

BTW, many landlords really can't get any tax deductions because of the passive loss limitations rules, which kick in at an AGI of only $100K.

For the OP, I'd consider these upgrades a luxury and wonder if the money wouldn't be better spent on upgrade projects in your own house when you buy one in three years.

31   California Attorney   2011 May 9, 7:56am  

HORRIBLE IDEA.

I don't mean to be rude, but I can't think of any reason why you would want to do this.

To start off, I think it is a horrible idea to use your money to improve someone elses place, unless you have a long term lease in place or you will be getting rent concessions, etc. for the labor and cost of materials. It doesn't sound like you have either of these.

3 years is a long time in the landlord/tenant world and a lot can change over that time period. What if your landlord gets foreclosed on? What if he sells the unit to a person who is not as easy going? What if an obnoxious person moves in next door and you want to split?

Be careful of liability and indemnity issues if/when you do the improvements. Eventually you will move out and you won't be taking the improvements with you. What if your work causes damages to other parts of the condo, e.g. water leaks, mold, etc.

Are you a licensed contractor? Do you have insurance?

GET EVERYTHING IN WRITING! OR ELSE BE PREPARED TO LOSE YOUR ENTIRE SECURITY DEPOSIT AND MAYBE EVEN GET SUED FOR DAMAGES.

32   closed   2011 May 9, 8:06am  

California Attorney says

Be careful of liability and indemnity issues if/when you do the improvements. Eventually you will move out and you won’t be taking the improvements with you. What if your work causes damages to other parts of the condo, e.g. water leaks, mold, etc.

Are you a licensed contractor? Do you have insurance?

GET EVERYTHING IN WRITING! OR ELSE BE PREPARED TO LOSE YOUR ENTIRE SECURITY DEPOSIT AND MAYBE EVEN GET SUED FOR DAMAGES.

And then lawyers will yell at you!

33   commonsense   2011 May 9, 8:06am  

I have to agree 100% with @California Attorney on this one. I wouldn't do a damn thing to another's place for all reasons well-reasoned out by CA.

34   JG1   2011 May 9, 8:32am  

commonsense says

I have to agree 100% with @California Attorney on this one. I wouldn’t do a damn thing to another’s place for all reasons well-reasoned out by CA.

And for the LL's POV, I wouldn't let the tenant do the work, or pay him as a handyman - what if the tenant/handyman injures himself or burns down the house while doing these improvements? There may be some minor improvements, adding a screen door, for example, the tenant can perform without much risk, but eletrical wiring, plumbing, and the like (much of which probably can't legally be done by a handyman and requires permits) probably wouldn't be on the list in most cases.

35   Katy Perry   2011 May 9, 8:40am  

I think your plan is so great.
I lived in Berkeley for 5 years and fixed up my rental on the cheap.

after year two I painted the whole place. replaced the plastic floor in the bathroom. had to take the toilet and sink out and also replace floor trim. rechalked the tub too and painted

I put free tile down in the kitchen.

never said a thing to the managment company.
lived there for three more years. loved that place!
when I left I got all my deposit back in two weeks.

Your landlord will love the small upgrades.
take photo dated pics of before and after just in case.

It's such a win win for everybody if done right IMO.

36   JG1   2011 May 9, 8:43am  

Katy Perry says

I think your plan is so great.

I lived in Berkeley for 5 years and fixed up my rental on the cheap.
after year two I painted the whole place. replaced the plastic floor in the bathroom. had to take the toilet and sink out and also replace floor trim. rechalked the tub too and painted
I put free tile down in the kitchen.
never said a thing to the managment company.

lived there for three more years. loved that place!

when I left I got all my deposit back in two weeks.
Your landlord will love the small upgrades.

take photo dated pics of before and after just in case.
It’s such a win win for everybody if done right IMO.

Your LL may or may not love (or notice) such improvements. These are a violation of most leases if done without prior permission, however. I can't imagine the taste and priorities of all tenants are the same as all of their landlords.

37   Katy Perry   2011 May 9, 8:48am  

California Attorney says

I don’t mean to be rude, but I can’t think of any reason why you would want to do this.

um because you want a nicer place. NOW.

Some/ Most Landlords don't do the work otherwise.

you don't want people in your place.

you want the work done , and not just talked about.

you don't live afraid all the time.

you take action when and where you want.

you know the realitys of a real tenant /landloard relationship.

You're a really good tenant. one of the best.

38   Katy Perry   2011 May 9, 8:52am  

if you mess this up somehow. then I guess you lose your deposit,.....or get sued in CA,.... or fix the issue and all issues that where found during the Exit walk through inspection.

Come on folks this isn't that hard.

The only time I've lost a deposit is when they landlord just keeps it for what ever reason the make up at the time.

39   Katy Perry   2011 May 9, 9:50am  

With the rental I'm in now I have with permission hung two bedroom doors trim and all. with out permission I have. fixed holes in stucco and wall board, maintained irrigation system turned a den into a bedroom by hanging a door and putting up a wall using soundboard and 2x4, and changed all locks. I've also installed an RO water system under the kitchen sink. I will remove water system, den wall and door and change locks back when I leave. we also put walking carpet over all high traffic carpet areas. fixed holes in walls that where there before we moved in.,..and repaired toilets issues. I photo doc all work and have a 2 million general liability policy that I'm sure won't cover me anyways. so sue me Ha Ha Ha!

The only time I've ever heard from our landlady in three years is when she called to ask if she could raise the rent a year ago. I never called her back. have not heard from her since.

40   JG1   2011 May 9, 10:24am  

Katy Perry says

With the rental I’m in now I have with permission hung two bedroom doors trim and all. with out permission I have. fixed holes in stucco and wall board, maintained irrigation system turned a den into a bedroom by hanging a door and putting up a wall using soundboard and 2×4, and changed all locks. I’ve also installed an RO water system under the kitchen sink. I will remove water system, den wall and door and change locks back when I leave. we also put walking carpet over all high traffic carpet areas. fixed holes in walls that where there before we moved in.,..and repaired toilets issues. I photo doc all work and have a 2 million general liability policy that I’m sure won’t cover me anyways. so sue me Ha Ha Ha!
The only time I’ve ever heard from our landlady in three years is when she called to ask if she could raise the rent a year ago. I never called her back. have not heard from her since.

Another lease violation - unless you provided LL with a copy of the new keys. Some LLs may view you as one of the best, but if one of the best is a repeat lease violator, then pity the LLs. Considering most LLs don't call to ask to raise the rent, perhaps your situation is a little different from the avg renters. Many LLs would have said yes, sure, to all you have done, or much of it, so not sure why you don't ask. The photos may document you have improved things, but they may also document lease violations, depending on your lease. The textbook answer for what you want to do is get permission from landlord, move to a better place that is better maintained and upgraded, or buy a house.

41   perspective   2011 May 9, 1:18pm  

I am in a similar situation. Plan to do many minor improvements in my spare time. Landlord willing to pay for materials.
I would ask the landlord for free rent at back end, 2 or 3 months. Give him all receipts now for his taxes, keeping a copy for yourself. Repairs are a write off in the same year, Improvements are depreciated. This way the money he gives you in free rent at the end is what you already saved him in taxes. Then he can increase the rent for the next tennant all his profit of your investment. You will spend a little less, it will cost him nothing.
You both win..

42   Eileen   2011 May 9, 1:35pm  

I've done this and would recommend it if you have a good relationship with your landlord and are in a long term rental situation.

My husband and I moved into a below market rental that needed some work eleven years ago. We weren't the first to see it, or apply, but I knew it was a deal and it was in the exact area where we would buy if we could. I offered a full year of rent up front to get the place over the 20 or so people who handed in applications ahead of us.

Over the years, Landlord has done everything we've asked: new carpet, central heating, fixed the hot tub, new dryer, re-tiled bathroom, new fridge, exhaust fan in the kitchen, new stove, new windows in the whole place, and is planning to paint the outside this summer. We've done other work to make the place nicer -- completely removed a large overgrown garden and replanted, built an 8 x 10 shed/office with electrical, put in a large bluestone patio, painted most of the interior rooms. We've also done all the legwork for the things that they paid for. For example, when we told them we needed a new stove, they told us to shop around for something reasonable and just send them the bill.

They are great landlords and we are great tenants.

I will say that most of the work (other than the shed and patio) that we have done involved more sweat than money. We were considering moving to a place where we could have an office -- and I got the shed in a barter deal, so it was the reason we stayed. The patio and shed can go with us if we ever move. After 11 years we are still way below market.

I wouldn't consider paying for ANY improvements if I didn't really like my place, my landlord, and my current rent.

Good Luck.

43   bg1   2011 May 9, 3:27pm  

California Attorney says

Be careful of liability and indemnity issues if/when you do the improvements. Eventually you will move out and you won’t be taking the improvements with you. What if your work causes damages to other parts of the condo, e.g. water leaks, mold, etc.
Are you a licensed contractor? Do you have insurance?
GET EVERYTHING IN WRITING! OR ELSE BE PREPARED TO LOSE YOUR ENTIRE SECURITY DEPOSIT AND MAYBE EVEN GET SUED FOR DAMAGES.

I don't think you are rude at all. I will get it in writing. Everything by licensed, bonded professionals. Only planning to paint myself. I appreciate your feedback.

44   bg   2011 May 9, 11:13pm  

Eddo says

I like the idea of you making improvements to your place but hiring Home Depot is a bad idea. When you hiring Home Depot, they hire a contractor. Home Depot acts like a middle man. It will be wise for you to ask Home Depot for an estimate. Then go out on your own and look for a private contractor and ask them if they can beat the price Home Depot is asking for. The only concern you might have is how can I trust a private contractor?

I am waiting on the second estimate from Home Depot at this point. I had gotten one about 6 months ago that expired. I told them at the time I wanted to wait until summer to actually do the work. For whatever reason, they wanted to measure again. Of course, I am not paying a fee for that.

My thought about HD is that I don't want to deal with finding, evaluating and monitoring a contractor. I figure that HD wouldn't keep a contractor that totally messed up jobs. It would just have to be too inconvenient. I did get an estimate from Empire. It was much higher than HD with cheaper quality materials. I do have one other estimate to come in from a smaller company. I will see how the prices add up and if they would match HD.

At some point, I want to hire someone to just take care of this for me. I think folks are assuming that because I want to fix up my rental or that I am renting, I am broke. I have a good job and make a pretty good amount of money. The issue is that it will take about 200K for a down payment in Norcal. AND, I want to wait until the prices are falling less than they are now in this market. I am a serious saver. I save about 25% of my income. 15% goes to retirement, I just finished saving ~6 months of emergency savings. 5% goes to a college fund. I can afford this or I wouldn't do it. At the same time, I don't want to be stupid about the liability or frivolous about what I spend.

I really appreciate people taking the time to comment on my plan.

45   longslim1   2011 May 10, 5:05am  

I really think quality of life isn't a dollars and cent measure. If you feel some small improvement are worth it to you go ahead. Now the can lighting and some of the other cosmetic changes are debatable expensive. But I hate dirty carpets also, maybe a good deep cleaning is my choice. To even consider new flooring, then it's got to be really awful carpet.

46   Katy Perry   2011 May 11, 3:43am  

JG1 says

Another lease violation - unless you provided LL with a copy of the new keys. Some LLs may view you as one of the best, but if one of the best is a repeat lease violator, then pity the LLs. Considering most LLs don’t call to ask to raise the rent, perhaps your situation is a little different from the avg renters. Many LLs would have said yes, sure, to all you have done, or much of it, so not sure why you don’t ask. The photos may document you have improved things, but they may also document lease violations, depending on your lease. The textbook answer for what you want to do is get permission from landlord, move to a better place that is better maintained and upgraded, or buy a house.

I think what I forgot to say was I'm from the school of it's easier to ask for forgiveness than permission. Plus in So Cal LL's just try and keep your deposit as a rule. so what do you have to lose? really Sue me Hahahaha! get in line,.. hahaha!

I mean do ya just put in a cat door or do you give the LL $800 bucks after asking to put in a Cat door. this really happened to a girlfriend of mine back in 2004 in Oakland.

LL's aren't all cool IMO.

47   bg1   2011 Jun 11, 1:13am  

Update: We are on our way into fixing things up. I just couldn't take the looks of the place.

Packing and painting: We did this in a weekend. It looks awesome. I ended up paying the lady who helps me clean to help me pack and paint. The whole thing cost about 600.

Floors: I had an estimate from HomeDepot of 2600 to put laminate in the front half of the house. I consulted a contractor who works in our community. He gave me a better price on both materials and labor to put hardwood in the entire house. No carpet anywhere. We are about half done with that. It looks awesome. 3600 gets all of it - the kitchen and2 bedrooms, hall, front room and dining area with engineered hardwoods. If I had it to do again, I would go to lumber liquidators. I could have shaved some off by buying from them.They have some hardwoods as low as 1 dollar a square foot. THe stuff I got from the contractor is nicer than that. I am happy with it.

Blinds - just did these in the front room. It was a pain to install them. 200 dollars. Totally worth it. Light when I want it. Privacy when I want it. No filthy 1970s broken mess in my windows.

What is left?
Shelving - I am installing some IKEA shelving to make better use of the space. It is stuff that I could take with me if we leave. I think the cost will be lower than what I originally put in the budget. I got the layout and materials list last week. 900 for materials, 400 for installation. Maybe some extras with lighting and inserts 100-200. I think we will end up around 1500.

Lights and fan. I am going to see what everything looks like after the installations are done. I was going to do the fan as a father's day present for my husband. THat man really loves to sleep with the fan on. That may still come to pass.

Landlord likes the work. Isn't complaining about a lease violation. Isn't going up on the rent.

48   FuckTheMainstreamMedia   2011 Jun 11, 4:48am  

Katy Perry says

I think what I forgot to say was I’m from the school of it’s easier to ask for forgiveness than permission. Plus in So Cal LL’s just try and keep your deposit as a rule. so what do you have to lose? really Sue me Hahahaha! get in line,.. hahaha!
I mean do ya just put in a cat door or do you give the LL $800 bucks after asking to put in a Cat door. this really happened to a girlfriend of mine back in 2004 in Oakland.
LL’s aren’t all cool IMO.

Depends who your LL is IMO.

FWIW, in the own vs rent thingy....I just had two recent experiences in my place that would have cost quite a bit as owner. But my LL took care of the problems same day. Both were newish items FWIW(building gutted and rebuilt in 2006-2007). First was the electric thermostat went out. Not a reset...completely failed. Replaced same day. I have no idea of cost, but I'm guessing its pricey. Second was a cabinet hinge failed. The cabinet door is REALLY heavy, and the whole door came crashing down after the weight tore it off the bottom hinge(ie, the door is now unusable). Replaced same day.

Nice to have so many not my problems.

49   FortWayne   2011 Jun 11, 5:04am  

Landlord is required to maintain the place, that is the law in CA. Otherwise you can take him to court. Simply ask him to do proper maintenance. If he doesnt maintain it, court might and often does force landlord to fix it and allow you not to pay rent until he does depending on severity of the situation.

CA law is on your side as a renter, not on a side of an ahole slumlord.

50   Waitingtobuy   2011 Jun 11, 7:48am  

BG1, we faced the same decision renting. I wanted to replace our carpeting with new berber, spending $5-$6K (we rent a big place). The property manager is a real pain and she insisted on a particular type of carpeting. I said no way, Im paying and left the carpeting as is. It wasnt that bad.

We thought we would be here only two years. Four years have passed. Am I glad I didnt make the purchase?...Im split. I still hate the carpeting, but I saved $5-$6k to put into the place we are buying next week. My LL is nice, but a cheap a$$. He didnt replaced the original oven which is twenty plus years old, and Ive been shelling out $3,800/month for 4 years which means he made $145K in rent. Still needs to put in about $20-$25K to make the place worth the price in money, but because it is big and in a good neighborhood, all he is doing for the new tenant is putting in..a new oven.

I would try to get a concession from the landlord. Ask for a three year lease, with the option from you alone to terminate the lease annually (not him), in case you want to leave or buy. It costs money for the landlord to lease your place, and you are giving him a double gift by remodeling the place, for which he should be grateful.

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