Low rents. The fact of the matter is, the lower your rent is, the more affordable it is to sub-par renters, or trash. You will attract them in droves at a low price. But the flip side to that is you also attract more good renters. Good renters are always looking for a bargain; good renters that know their financial limits, good renters do not want to live paycheck to paycheck just paying rent. Good renters know what they want, and will not pay a penny more. Good renters may even want to negotiate a bit, just to make sure they are getting the best price. Continue reading “Low Rents Attract Trash”
Risk vs. Reward, How To Predict Profits
Predict profits for your rental property.
Let’s assume that your property is renting for $1000 per month. Let’s also assume you collect a $1000 security deposit. Continue reading “Risk vs. Reward, How To Predict Profits”
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Proper Preventative Maintenance
To maintain profitability in an investment property, you need to do proper preventative maintenance.
On a tenant turn, you need to check items so that they do not cause you issues later on, when a tenant is actually living in your unit. Maintenance is exponentially more difficult when you have to coordinate your schedule with your tenants. Continue reading “Proper Preventative Maintenance”
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When and How to Renew Leases
Most landlords do an annual lease to start, when it’s time to renew leases, they often have difficulty. Most annual leases turn to a 30-day lease at their expiration. The question is what thought process goes into the method of continuing the tenancy. Continue reading “When and How to Renew Leases”
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Tenants Credit Score and Income – What do they mean?
Remember, it takes both a decent credit score, and an income high enough to pay rent to approve a prospective tenant. Never accept less. You need to know both the tenants credit score and income level before you approve them.
A renters income will give you the renter’s ability to pay rent. Their credit score will give you the renters desire to pay rent. Both are required.
Continue reading “Tenants Credit Score and Income – What do they mean?”
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Property Managers, The Downside
Property Managers (PM) that do turn-key management have goals that are often opposite of an owner. This is especially true of inexperienced PMs. A PM makes money when they fill a unit. A PM makes money every month when rent is collected, sometimes even if it is not collected. A PM makes money when your place needs maintenance. A PM makes money on an eviction. A PM makes money when they turn the unit. A PM makes more money when they have to evict and turn a unit, than when they are renting it to a long term, good quality renter. A PM makes more on subpar renters, than solid ones. You make more money on a long term, good quality renter. Remember, great tenants manage themselves. It is cheaper to lower your rent, and get better tenants, than hire a PM. Continue reading “Property Managers, The Downside”
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Saving Money and Time in your Rentals
With 24 rentals, working full time, Property manager and President of the HOA, my own plowing and mowing business, and doing most all of the rental maintenance myself, I can give a few tips on saving money and time in your rentals… Continue reading “Saving Money and Time in your Rentals”
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Effective Online Rental Ads
In order to be an effective, efficient and profitable landlord or property manager in today’s rental market, you have to understand on-line marketing. You have to understand how to create effective online rental ads. Continue reading “Effective Online Rental Ads”
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How to Deal with Long Term Guests
Dealing with Long Term guests in your rental. When you rent three bedroom apartments, you will get extra tenants moving in periodically. Sometimes it is a new roommate to help pay the bills. Sometime it is a relative or friend who just got evicted, or a move-in boyfriend that cannot get accepted anywhere else, someone from out of town for a wedding or funeral. Continue reading “How to Deal with Long Term Guests”
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Why is my Renters Credit Score different?
The difference in a renters credit score, and the one you get is this. Many background check companies, such as mcccgrp.com, use a true FICO score, developed by Fair Isaac Corporation (FICO). If you are gong to be a successful landlord, you need to understand the relationship between tenant performance and credit score. Continue reading “Why is my Renters Credit Score different?”
