Sneaky Landlords Accused Of Using Contract For Deed, Other Lease-To-Own Methods To Skirt Maintenance Responsibilities When Renting Out Dilapidated, Run-Down Money Pits To Unsuspecting Tenants

In Crookston, Minnesota, the Crookston Times reports:

• As more and more comments were made at a public input session on the City’s proposed “Property Maintenance Code” held at Tuesday’s City Planning Commission meeting, it started to sound like there’s some sort of an under-the-radar, covert subculture in the community that involves rental property owners who are able to legally skirt the rules by frequently moving their dilapidated and otherwise run-down properties via contract for deed or other lease-to-own methods.
  
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  More than anything, though, what emerged Tuesday evening in the council chambers was a strong belief that too many rental property owners in Crookston are able to own vacant, dilapidated and run-down properties that aren’t subject to inspection because they use contract-for-deed and other lease-to-own methods to quickly get tenants in and out of their properties without the involvement of a third party like a bank or governmental unit, which would likely trigger some kind of inspection.
  
  And, added rental property owner Sheryl Adams, those property owners were not in attendance Tuesday.
  
  “Everyone that’s here, they already maintain and keep up their properties,” she said. “The people who aren’t here are the ones with vacant or terrible properties. They need to be here.”
  
  “People hide behind things like contract for deed, but is it really a contract for deed? Do they have to prove it?” wondered At Large City Council Member Wayne Melbye. “If you go legit when you’re moving a property, there are some real stopgaps out there. But when these people slip under the radar, they’re in it for the almighty buck and only the almighty buck.”
  
  Blake Royal, co-owner of JR Rentals, LLC with Justin Jerde, said it’s pretty easy for landlords to find loopholes in the system. “I’m not saying I would because I don’t, but I read this code and in five minutes I figure out how I can get around it,” Royal said. “I could find someone who doesn’t want all the hassle and just wants to get into a house because they can’t get in anywhere else.”
  
  “These investors that come in, they grab cheap places and turn right around and rent for cheap or contract for deed to felons or others who have a hard time renting a place,” added Dean Adams.
  

For the story, see City Planning Commission Public Input Session on property maintenance code attendees ask about dilapidated properties (Many at public input session say landlords skirt the rules all the time). land contract