Opinion Please

[b]I welcome advice on a complex problem.
I rented to a young lady and her former spouse for a year. They parted ways and she stayed on to continue renting from me. She became involved with one of my business investors and the partner and my spouse purchase another property which she wanted to rent instead of the one she had been in. No problem, I found another renter for the first property, let her rent the second and then she decided to end the relationship with my business partner but stay in our investment. The problem now is she is involved with a new beau and the business partner is not pleased in any way for her to continue to live at the mutual investment property, which she pay her rent on time. I know if it were a divorce situation, papers would read, you do your thing, she does her thing and no meddling. Who’s right here?

If she has a lease - then she gets to stay till the end of it.

The saying goes - never do business with friends and lovers. Applies here. Good lesson I guess.

OR - find your business partner a new girl friend!

Good luck.

Thanks for your advice. Maybe since she is such a wonderful tenant, I should buy my partner out. The only problem is we just purchased in April and with the market the way it is…

Business is business. I rented to my ex and she would call me out for repairs or to collect rent while her lovers were there and all but having sex. I played this game with her for a few years untill she moved. A good business partner should realize this and move on and do business. IMHO that is

first, as stated followed the lease.

second, if she is truly a good tenant, then kicking her out is going to YOU money (1/2 the cost of turnover expense, possible get a crappy tenant, etc) becuase your business partner has a hang-up. It would make me question how many more deals I would want to do with that person. As a business person, I would stated your partner, its going to cost $xxx to turn the place over…you need to bear that cost if you really want to get a new tenant (when a new tenant is not really needed).

I really appreciate all this input!
My tenent is a golden renter. Pays right on the button.
I was considering a refi to buy him out. He won’t have to pay any of the associated fee’s tax’s upon selling in the future, I hope he takes that into consideration.

And speaking of costs, to buy out the partner, I either have to refinance or get a HELO and that’s going to cost. :-X

you should be able to do a HELOC at no cost; even for non-owner occupied. I’ve used BofA, but also understand Wells, WaMu or other majors are doing 80% LTV up to a $100k pretty readily for well qualifed investors.

That sounds good.
I’ll look into that.

Tell your partner to suck it up and STFU. :wink: Seriously, is it that big of a deal if she is living there…tell him to grow up. :wink:

Lord I wish I could, he’s use to getting his own way, is a VP of a company and has a bank roll. This is all something about his
charcter that I have just realized and I am totally live and let live.
I took out the mortgage, he’s just on the deed, so if I have to sell less than a year, I have a larger amount of Capital Gains, plus the Real Estate person’s fee’s.

Now here is the question of the day…do you NEED a partner? Can you eventually part ways with this guy? Why give him 50% if you can do it solo?

After that behavior, I don’t care to that’s for sure. I looked into different programs The cost will be hard as the mortgage is only 900 now, with a balance of 120,000, if I refi or HELO, it will go up when I buy him out to the tune of 50,000 and he has real estate fee’s or capital gains. Gee.