In today’s episode of The Art of Passive Income—Round Table edition, Mark is joined by:
- Cynthia Tripathi
- Erik Peterson
- Aaron Williams
- Tate Litchfield
- Scott Todd
This week we delve deep into potential problems that may arise in this business, though rare, they do happen and costs may transpire—specifically, trash cleanup.
Tate starts us off with the infamous squatter incident that was mentioned in an earlier Round Table last year. Thought he had resolved that issue? So did Tate, until last week…
And remember Aarons story where the buyers are living on the property in a trailer committing crimes, causing havoc and are habitually late on payments? He’s still dealing with them, only they are getting further behind to the point where they pay just hours before the default deadline. It’s leading him to believe that default is inevitable and wondering what to expect from there. Will he be sharing a squatter/trash cleanup story with us soon?
We debate whether it’s better to put restrictions the contract to get better buyers. In doing so you’re minimizing the headaches but shrinking the buying pool and losing out on potential revenue generated from late fees and defaults.
Or, do you take a gamble and set no restrictions then deal with any problems that may occur? Any unforeseen costs, even in the worst case scenario, pales in comparison to the costly problems of tenants, termites, and toilets! It’s a lot less expensive to clean up trash left on a property, than a house that someone has trashed.
And finally, Cynthia gives us a case of Deal or No Deal!
Listen in for the details and decide if you would take the deal or pass and find out what everyone else would do.
TIP OF THE WEEK
Aaron: Check out JotForm.com to create online forms and publish them. There is a free version and they’ve got integrations with IFTTT and Zapier.
Isn’t it time to create passive income so you can work where you want, when you want and with whomever you want?