dionwisn 0 Report post Posted April 30, 2009 I like BEV!'s responce about not giving up something for nothing. So if you give a deposit equaling one months rent, what can you negotiate? Maybe the seller paying $250. marketing cost upfront? Just an idea. In that case, I figure the seller would drop wanting a rent deposit.I allways tell'em when they ask .So, how do you get paid? Well my fee is usually minimal ranging around 1-3 months rent dependig on the size of the home. It usually suffices. Share this post Link to post Share on other sites
MichaelC 160 Report post Posted April 30, 2009 . . .However, when you get a somewhat rental-savvy homeownerasking about the deposit and 1st months rent upfront, you can'thelp but discuss it. What are others doing?Do you not give them at least the 1st month's rent upfront,seeing you pay rent in advance?Worst case scenario is a 50/50 split of the option money I collect. But only if I want the deal, and only if I'm not showing the property. But I stress a deal like that is the exception, not the norm. When doing CA's that option money is your payday. Don't be too fast in sharing it. Share this post Link to post Share on other sites
Jason (AL) 1 Report post Posted April 30, 2009 Yeah, not so much interested in sharing it...even @ 50/50.I'm just curious about the 1st month's rent.Do you ever give them at least the 1st month's rent outof the OC? ...given that the rent is prepaid.How are you covering this issue? Share this post Link to post Share on other sites
MichaelC 160 Report post Posted April 30, 2009 I'm not sure what you're getting at, Jason. The t/b, prior to moving in, must pay the option money to me and the first month's rent to the homeowner. So why would you be paying it? I must be missing something here. Share this post Link to post Share on other sites
Jason (AL) 1 Report post Posted April 30, 2009 That's what I was asking, MC.It wasn't that you or I were paying the owners the 1st month's rent, justif it was paid from the OC. I realize the OC is our profit...wasn't sure whatothers were doing.So you're NOT paying the 1st month's rent to the owner out ofthe OC? For example, you have a house for sale @ $205kOC is say, $5k.Monthly rent is $1,500. Are your T/Bs having to come to closing with $6,500? ($5k to you plus the 1st month's rent) Share this post Link to post Share on other sites
MichaelC 160 Report post Posted April 30, 2009 That's correct. Only it isn't the "closing". When they meet me to sign the Assignment Agreement I expect them to show with the option money as they have been instructed to do so. Between then and prior to moving in, they will need to pay the homeowner the first month's rent. And that's how the deal typically goes down. Share this post Link to post Share on other sites
BEV! 0 Report post Posted April 30, 2009 Do you not give them at least the 1st month's rent upfront,seeing you pay rent in advance? Absolutely NOT! The OC and 1st month's rent and deposit (if applies) comes from the T/B always, not from my pocket, ever.For some reason, it doesn't make sense to me to pay for my t/b's 1st month's rent and / or deposit. My T/B's have always come up with the entire amount to move in since I've been doing CA's which is been for ever (OC, 1st month's + Deposit and in some cases few month's prepaid in advanced to get a discount on their monthly rent) But that's just me. BEV! Share this post Link to post Share on other sites
Jason (AL) 1 Report post Posted April 30, 2009 Absolutely NOT! The OC and 1st month's rent and deposit (if applies) comes from the T/B always, not from my pocket, ever.For some reason, it doesn't make sense to me to pay for my t/b's 1st month's rent and / or deposit. It appears that I'm not making myself clear. I'm not saying that I pay the 1st month's rent from MYpocket FOR them. All I am asking is... Are you including the 1st month's rent with the Option Considerationthat they put down...and paying them from that. or Are you getting say, your OC/profit and having them pay the 1st month's rent separately. Michael,You answered this in your last post.Thanks. Share this post Link to post Share on other sites
randian 0 Report post Posted April 30, 2009 BEV!: David, I don't do this for free but YOU do NOT pay me a dime and I don't feel I owe anyone an explanation on how I get paid for my services I don't know if it's a man/woman thing or not, but I find that when I aggressively refuse to answer questions it instantly turns off the seller. Share this post Link to post Share on other sites
MichaelC 160 Report post Posted April 30, 2009 BEV!: David, I don't do this for free but YOU do NOT pay me a dime and I don't feel I owe anyone an explanation on how I get paid for my services I don't know if it's a man/woman thing or not, but I find that when I aggressively refuse to answer questions it instantly turns off the seller.My experience as well. If I replied to any homeowner down here like that, I have no doubt I would first be cursed out and then hung up on. Share this post Link to post Share on other sites
TAT 0 Report post Posted May 1, 2009 BEV!: David, I don't do this for free but YOU do NOT pay me a dime and I don't feel I owe anyone an explanation on how I get paid for my services I don't know if it's a man/woman thing or not, but I find that when I aggressively refuse to answer questions it instantly turns off the seller.My experience as well. If I replied to any homeowner down here like that, I have no doubt I would first be cursed out and then hung up on. Michael, Not to hijack the thread, but on the topic of wording...what do you say to the TB as to not being the owner? TAT Share this post Link to post Share on other sites
BEV! 0 Report post Posted May 1, 2009 BEV!: David, I don't do this for free but YOU do NOT pay me a dime and I don't feel I owe anyone an explanation on how I get paid for my services I don't know if it's a man/woman thing or not, but I find that when I aggressively refuse to answer questions it instantly turns off the seller.My experience as well. If I replied to any homeowner down here like that, I have no doubt I would first be cursed out and then hung up on.Awwwwwe Relax peeps, one thing I learned many years ago, is to not mix my personal feelings with business. As long as I say it respectfully / professionally "and" am dealing with a mature / smart homeowner, then is all good. I remember my grand parents always telling me when I was in college, they said to me...... "Bev, business is not for the weak hearted, (afraid of hurting other people's feelings in a business deal, etc), if you want to succeed in any business, you need to have a strong heart or you will always fail at it." They meant that in a good way of course and now I understand it completely BEV! Share this post Link to post Share on other sites
MichaelC 160 Report post Posted May 1, 2009 . . .Michael, Not to hijack the thread, but on the topic of wording...what do you say to the TB as to not being the owner? TATIf they ask, and they likely will, I tell them "I own a property management company", and we just move on from there. Share this post Link to post Share on other sites
