Not to sound harsh but the best thing to do in NY with real estate currently is sell and be done with it.
No reason to hold onto a overtaxed chunk of commie territory

I say this as a former western NY native that broke free 6&1/2 years ago

WD- 2 suggestions:
a) Raise the rent to market value or sell that house and end your nightmare. I'm sure your mother didn't leave you a house to cause you debt.
b) If Moms friend cant afford it, help her move into something else in her price range. You owe her nothing and you already gave her too much.

The only place that rapes property owners more than NY, is its little next door neighbor NJ, the Garden State. Gov Murphy boasted "If property taxes are your concern, NJ isn't your State" This was used in campaign ads and He was Re-Elected!

after the new year we are looking at relocating to FL the housing prices in NJ are still way up (time to sell) and the area we're looking at they are trending in a downward mode from their previous highs.

Been there. Sold everything that was not nailed down. It all ended up for the better. But still occasionally am looking for a tool or whatnot, and realize it must have gone during The Great Purge.

It's a problem but it's not the end of the world and you can solve it. I know having problems do suck though especially if it's a big financial problem like a house.

Get out while you still can and escape to Free America. New York state is going to implode someday, it's just not sustainable.

My sister and her husband escaped from Connecticut because of a $15,000 A YEAR property tax bill and that was 10 years ago. It's probably $20,000 now for the poor suckers who live there.

Can't escape just yet, wife has 9 more years at a damn good job with the local utility company.

quote:

Originally posted by wreckdiver:

quote:

Originally posted by ensigmatic:

quote:

Originally posted by wreckdiver:
I owe nothing for the house, other than taxes. Rented it too cheaply to one of my mom's best friends, because I knew she would take care of it, which she has.

Which is a nice gesture towards her and good for you--as far as that goes, but are we to understand you rented it for less than taxes + homeowner's insurance? (Speaking of which: Does said insurance have coverage for renting the covered property out?)

What about the costs of upkeep repairs and normal maintenance?

quote:

Originally posted by wreckdiver:
Wife an I have decided to rent it more closely to what we should get for a house in the country with a garage.

Probably wise, but now the question is: Have you ever rented-out properties, been a landlord, before? If not: I have to tell you: From the horror stories I've heard from those I know who have, I wouldn't do it for love nor money.

When you get good renters it can be fine. Get bad renters and it can be a never-ending nightmare. Probably even more so in a blue state like NY.

We now have 4 rental properties, I could tell you horror stories. Here's one: Tenants were behind on rent, so we did the eviction thing. Went in after they left and saw the little buttons all over the ceilings. While cleaning it out, I found one in a storage area that had what the others were holding! You know those ribbon fly traps they used to have in barns? That what they were. This was a couple, recommended by a good customer (their daughter and her boyfriend) Daughter came from good stock, but didn't inherit like tendencies.

We hauled 36 bags (those big black ones from Home Depot) which filled my trailer to the max to the dump. It was the worst we have had in 34 years!! So you can see why am gun-shy on finding new tenants.

We plan to sell our house, and the duplex behind it in 5 years, moving into my parents house for retirement, so keeping it nice is of the utmost importance!!

I have a better one that happened just days ago. Realtor rents an efficiency in my 4 plex. Guy moved down from PA 3 years ago to take care of his mom, she passed away 3 months ago. No criminal or driving issues, works as a maintenance guy at a condo complex for 3 years.

Moves in, like 4 nights later I get a phone call from the neighboring tenants at 10:30pm. There is a river of water coming through our living room and bathroom walls. Race over there, shut water off, bang on new guys door for what seems to be forever. He finally answers it, and there's 2" of water on the floor of the entire unit. He goes back to bed. There's 8 3 liter wine bottles open, 6 are empty, 2 have 1/3 in them and there's one completely smashed on the floor where he gets out of bed. I'm shop vaccing the water up, he sits up and tries to drink out of a completely empty bottle of wine, half a dozen times. Then another half a dozen times he tries to stand up, barefooted on the broken glass and too drunk to even talk or stand.

In the bathroom was a broken glass bowl that was full of chili beans that he swept into the sink and just left it running and overflowing all over the floor. Next night the police show up because his sponsor was worried about him. The guy stayed so drunk he couldn't speak (morning, noon and, night) for about 6 days........until he finally sobered up. I had a come to Jesus moment with him this afternoon. I should've baker acted him as he was a danger to himself and others at that time.

I LOVE the guys on this forum, always ready to help!!! Thank You!!

I am out of the woods and grinning ear to ear because of the wonderful people here and my dear B-I-L. I thank everyone involved, advice and buying some stuff is greatly appreciated!!!

I've put measures in place to make sure this doesn't happen again----got to make it 9 years to escape, hopefully to Tennessee.

I will retire before my wife, so hopefully I can sell what is in my shop (same property) and sell it, before she retires.


Sincerest Thanks to all!!!

Mark

Good to hear.