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My renter wants to build a deck in return he'll sign a 2 year lease...


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2011 Sep 23, 2:50am   9,931 views  29 comments

by burritos   ➕follow (0)   💰tip   ignore  

So my renter's lease is up. He said that he has a friend who builds wooden decks professionally. He asked if they could build a deck in the backyard. Labor will be free, but he's asking me to pay for the materials. Don't know how much it'll cost. I'm inclined to ok this depending the cost. I say, one month's rent sounds fair(1100k). Of course the friend has to show proof of having work comp insurance.

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3   KJ   2011 Sep 23, 3:24am  

In Ca. you need a permit. If work is not up to code it will affect the future sale of the property. Adding a deck will,also affect the local tax assessment.

4   PockyClipsNow   2011 Sep 23, 3:32am  

You could only agree to M to M lease.

THEN a few months after the deck is finished RAISE THE RENT.

This is just as crappy as the renter wanting to lock in his current rent for 2 years.

5   corntrollio   2011 Sep 23, 3:35am  

ptiemann says

Don't accept a 2 year lease, it's not in your interest.

The lease is only good for the tenant, never for the landlord.

Depends on if they're a good tenant or not. If they don't cause a lot of trouble, don't tear up the place very much, pay rent like clockwork, and want to improve the place, it may be better to try to keep them rather than look for the next guy who's an unknown. Most experienced landlords know the difference.

7   HeadSet   2011 Sep 23, 4:33am  

SF ace says

Building a deck is mostly lumber and in rainy Washington, it better be pressure treated lumber to avoid the eventual rot.

I have never seen a wood deck that was not built with pressure treated lumber. A deck built from common untreated lumber would be an example of incompetence, no matter what state one lives in. A better choice (although more expensive) would be to use modern composites (Trex, etc). That would take away the maintenance issues, such as having to pressure wash and re-stain every few years.

8   Katy Perry   2011 Sep 23, 4:54am  

I'd build the deck and not use the renter buddy to build. I'd build it myself.
good decks cost big bucks, redwood for deck and rails and pressure for base and all cross members.
with permits.

9   burritos   2011 Sep 23, 8:04am  

Katy Perry says

I'd build the deck and not use the renter buddy to build. I'd build it myself.

good decks cost big bucks, redwood for deck and rails and pressure for base and all cross members.

with permits.

I've never built a deck in my life and it's a thousand miles from me, so that's not an option for me.

10   terriDeaner   2011 Sep 23, 8:24am  

ptiemann says

If they want to break the lease, they will do it and you cannot do much about it. Unless there's a high vacancy rate in your rental's area, you will soon find a new tenant and at most you could recover the rent lost due to vacancy. Good luck with that in small claims court.

Supposedly there are a few honest renters out there who will fulfill the obligation of a signed lease but the truth is, if they lose a job something happens, then they cannot fulfill it. I had renters break a few leases on me and I felt sorry for them each time.

Sounds like you've run into many renters that are all too familiar with how to use the system to screw the greedy, scumbag landlords in your area. Not that you are one of them - it is just that many places in the BA are infamous for slumlording assholes who collect overpriced rent for illegal (and often unsafe) units to pay for mortgage debt they really can't afford.

11   terriDeaner   2011 Sep 23, 8:29am  

KJ says

In Ca. you need a permit. If work is not up to code it will affect the future sale of the property. Adding a deck will,also affect the local tax assessment.

Just curious, OP, do you plan to pull a permit for this one?

12   seaside   2011 Sep 23, 9:23am  

This is what I would think if I were a landlord.

It's my house and building new deck means an improvement that adds value to my property. So, it has to be done the way I want by the person I trust when I want at my descretion. I don't think it's mandatory fix or anything that landlord has to do for the tennant, and I don't see any point a renter has to do with it. I'd rather have another renter than a one who is trying to negotiate something over mine about what he wants involving his buddy.

13   elliemae   2011 Sep 23, 10:31am  

Burritos:
You've known this renter for awhile, right? He has a friend who builds decks professionally. How long was the original lease, and how do you feel about it?

If you're okay with it, tell him it's a "go" - but treat it like a professional job as you would with a contractor. Is he bonded, insured, etc? Write up a contract that you're happy with.

14   rdm   2011 Sep 23, 10:43am  

A lot for questions: tenant quality, current rent, increase built in for year two etc. which no one can answer but you.

Some one suggested redwood for decking, rails etc. Be aware that not all redwood is created equal. Make sure if you use redwood it is an all heart grade, meaning no white /sap wood. The sap wood has virtually no inherent rot resistant quality and is no better then untreated pine. There is good quality redwood available but it is expensive and I wouldnt use it in a rental.

On a side note I have seen many old decks in California that were built with untreated doug Fir (heart doug fir has some rot resistance) surprisingly they lasted quite a while. Apparently this was fairly common years ago. Today current deck building practice uses treated lumber, typically treated doug fir for all the structural components. Due to the way fir absorbs preservative it is required that every cut end be hand treated with preservative compound, something often neglected.

15   toothfairy   2011 Sep 23, 3:01pm  

if hes a good tenant who pays the rent on time and doesnt bother you I would probably do that in exchange for keeping him.

I would do a 1 yr lease though.

16   terriDeaner   2011 Sep 23, 3:31pm  

robertoaribas says

I'm shocked by the paranoia on here... Sounds like an excellent tenant, some tenants don't even take care of home, here we have one that actually wants to improve it? remarkable!

Welcome to the rental market in coastal California. Most landlords are not only greedy douche-bags, but remarkably ignorant about how to manage their own rentals. They've been favored by circumstance with 30+ years of explosive population growth in the recent past, and they've grown used to their standards of treating anyone who is not themselves like dirty serfs with no consequences. They don't give a shit about tenants, and think that folks will forever line up to rent their dead mommy's tacky shit-shack rancher for top dollar.

APOCALYPSEFUCK is Tony Manero says

Let asshole's friend build the deck.

If it's OK, triple the rent.

If it sucks, punch the tenant in the face and tell the police that he attacked you and file charges for assault.

Right on AF!

17   KILLERJANE   2011 Sep 23, 4:26pm  

It could be awkward and cloud your landlord/tenant relationship. If you decide no then blame it on assessment or permit. If you decide yes, then be prepared for the worst. Hope for the best.

18   KILLERJANE   2011 Sep 23, 4:27pm  

What if tbe job doesn't get completed?

19   burritos   2011 Sep 23, 4:53pm  

I don't know the tenant personally. My property manager says he is a good tenant. Hasn't been late for rent for 3 years. The HOA recently sent me a letter of commendation for their keeping the landscaping in such good condition. I'm not trying to make a killing just trying to build equity over time and cash flow in time for my kids to go to college. If the materials are $500-1000, I'm inclined to do it. Anymore, I'd have to think twice.

20   terriDeaner   2011 Sep 23, 4:57pm  

burritos says

The HOA recently sent me a letter of commendation for their keeping the landscaping in such good condition.

And the HOA is cool with a new deck?

21   Katy Perry   2011 Sep 23, 5:06pm  

OK if the guy can build a deck, then build the deck.

22   burritos   2011 Sep 23, 11:56pm  

terriDeaner says

burritos says

The HOA recently sent me a letter of commendation for their keeping the landscaping in such good condition.

And the HOA is cool with a new deck?

Gosh I never thought of that. I'll have to check on that.

23   mdovell   2011 Sep 24, 1:59am  

The web site looks ok but I'd check Angies List for any contractor. It is very easy these days to get photos and put them on the internet.

I'm not claiming that this one faked it but it's better to be safe than sorry.

24   elliemae   2011 Sep 24, 6:48am  

robertoaribas says

I'm shocked by the paranoia on here... Sounds like an excellent tenant, some tenants don't even take care of home, here we have one that actually wants to improve it? remarkable!

I'm totally with Roberto here. Do your homework, let 'em know what you can afford for materials and let 'er rip. They're not gonna build a pos they can't use, that doesn't make sense.

25   corntrollio   2011 Sep 27, 3:52am  

elliemae says

If you're okay with it, tell him it's a "go" - but treat it like a professional job as you would with a contractor. Is he bonded, insured, etc? Write up a contract that you're happy with.

Yeah, if this is a good tenant, as I said above, then this doesn't sound horrible. A good tenant that wants to improve your place is hard to find. I think many inexperienced landlords wouldn't understand this, and even some "experienced" (but incompetent) landlords don't understand this. It's better to have a good tenant who pays like clockwork who doesn't tear up your house, and who wants to improve your house, even if that person pays $100/mo less. I've met people who've rented their places for 20+ years who don't really understand this concept.

I do recommend you treat it like any other contractor -- you probably would want to approve the design, materials, and size, get all the permits, make sure the HOA is okay, etc.

26   elliemae   2011 Sep 29, 12:35am  

So......................

what happened? Enquiring minds want to know.

27   burritos   2011 Sep 29, 3:09am  

Resident sent me an estimate. Using a Lowe's estimate generator for a basic rectangular 210 sq ft, the supplies are going to be $1700. The builder/neighbor said that he could do it for under $1200. $6 a square foot? Seems reasonable to me but I know squat about this kind of stuff. Monthly rent is $1100 so it's more than 1 months rent but not that much more. I called the HOA and they say they need to approve it, so I forwarded the application to my property manager to give to the resident. So the ball is in their court for now.

28   elliemae   2011 Oct 1, 4:36am  

Sounds like a win/win to me, fwiw.

29   burritos   2011 Oct 3, 1:25am  

elliemae says

Sounds like a win/win to me, fwiw.

Eschew Obfuscation

robertoaribas says

this is sounding kind of good to me... Partner, I currently manage six of my own rentals, about to be seven when I move in November and rent my current home. I would do a freaking back flip right now if I new my next tenant in my house would A. stay 3 years, B. pay all the rent on time, and C. have an interest in improving the place!!! are you freaking kidding me? vacancy is the number one terror for a landlord, followed swiftly by poor care of the property...Phoenix vacancy rates are only now barely below 10%, rents aren't dropping anymore, at least right now, but the business here is still very tough.

Yes, but the improvement is on my dime, though it is at a discount. My initial inclination was to do it to merely to appease the tenant, but now I feel better with the "having a renter who wants to improve the property" take.

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