# Thinking of buying a rental? Watch this first!



## Chris L (Nov 16, 2011)

This is "normal." It's also old...and after 10 years I parted ways with my student rental. As time progressed students felt entitled and rationalized leaving messes like this. In a decade, times sure have changed. After parents started helping their kids come up with excuses, it was time to throw in the towel.

http://www.youtube.com/watch?v=lOdT0vnmqBk


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## Just a Guy (Mar 27, 2012)

Well, to be fair, I see a good day's cleaning and a bit of paint (I've had worse than this as a landlord). If it were my place I'd say the costs were probably close to the $1,200 damage deposit I'd wind up keeping. While frustrating, it is a sad reality. Then again, anyone who tells you land lording isn't work is lying to you. What one tends to forget, especially at times like this, is the cash flow that came in for the 12 months prior which required no work.

To be fair, when I look back over the decades of time I've had tenants (and since I have multiple places I count each unit as individual time), I figured out once that about 10% of my tenants have been bad, but they account for 95% of my memories and stories. That means 90% of the time I collected profits for very little work...but that 10% made land lording into work.


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## OhGreatGuru (May 24, 2009)

Anyone who thinks they wouldn't have to do a thorough cleanup/cleaning after a student rental is either naive or hopelessly optimistic. Only way around it would be to include monthly cleaning in the contract, and charge them accordingly. But that could be counterproductive, because it might encourage the tenants to think they never need to do any cleaning themselves. Yeah, the video shows some cosmetic damage, but seems tame compared to some horror stories you read about.


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## Chris L (Nov 16, 2011)

Yup, never implied that this was as bad as it could get. Obviously it gets worse. But this is considered normal for a trash-out. I've done my share of bad trash-outs too. This is just a heads up so people know what to expect in terms of tenant turn-over year in year out for students. The cashflows on the properties have been steadily diminishing as more landlords show up. To compete rents go down, finding tenants become a lucks game and to stay ahead you have to polish the unit with upgrades and bonuses.


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## Just a Guy (Mar 27, 2012)

Well, I don't know where you are renting, but my rents have increased over the years, my loan has decreased, meaning my profits grow. People trying to get in in this current overpriced market can't find good properties that can cash flow let alone compete.

I'd suggest you look for different clientele, say support staff, grad students, profs, etc. and better screening.

Either that, or try a different type of investing maybe something less volatile and safer like day trading P-).

Personally I invest a lot of different ways and can't think of a better conservative investment than real estate, but you have to treat it like a job, and keep the emotions out of it. When I talk to people who work for a paycheque, they tend to grumble about the crap at work a whole lot more than I do with lots of tenants.

Besides, you get PAID to clean it up...that's why you have a damage deposit.

You may also want to insist they have a tenant insurance policy that covers their damage...though I see nothing on the video that looks all that bad. Most of the stuff is even in garbage bags already.


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## OhGreatGuru (May 24, 2009)

Except damage deposits are illegal in Ontario.


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## jamesbe (May 8, 2010)

That's a lot of trash but not bad at all IMO.


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## Chris L (Nov 16, 2011)

The trash wasn't sorted properly so the city wont pick it up even if brought to the curb - we have strict sorting rules and it was full of rotting meat and food. Yup in Ontario, you can't charge a damage deposit or cleaning deposit, otherwise I wouldn't care! I really think Ontario needs to change this. This would give a huge relief to landlords. My camera kicked out at the kitchen as the memory was full. It was pretty gross, fridge, stove, etc. It obviously hadn't been cleaned at all since they moved in. All fresh paint, steam cleaned carpets, new toilet, etc. It's pretty bad when we think this is normal, it's gross! I feel bad for landlords who clean up after this crap all the time! I do have a rental unit who hold couples, and a bachelor. It's a world of difference! I left a vacuum cleaner as they said they didn't have one to do it, so I dropped one off and they refused to do it afterall.


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## drip99 (Aug 27, 2009)

The problem here is there no damage deposit so the students have no incentive to clean up. In BC, I collect a damage deposit before they move in. I also live in the same house. This helps a lot. I can monitor everything. You easily have a thousand dollars in damage. Take the video, students and cleaning bill to small claims court.


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## MrMatt (Dec 21, 2011)

Chris L said:


> Yup in Ontario, you can't charge a damage deposit or cleaning deposit, otherwise I wouldn't care! I really think Ontario needs to change this. This would give a huge relief to landlords.


That's why I won't do renting in Ontario. The laws are so pro tenant it makes renting property too risky as an investment for me.


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