What is a property manager anyway?

managementWe call ourselves property managers, and we are.  We know what we do, but do you?  And even more important, why do you need one?

Property management

There are many things a property manager may do.   What they do is dependent on their agreement with the property owner. However, here are three things that a good property manager will do for you.

First, rent

He or she should set, collect, and adjust the rent of the property.  They need to know what the specific property should rent for.  This is based on it’s location, condition, age, and what the market will bear.  The proper cost for rents is not just what you want to receive every month.  In addition, what you need to clear each month is not the right basis, either.  The right person will know what to charge.  In addition, he or she will be in charge of collecting the rent, and handling any and all problems with the tenants with regard to rent payment.  If and when market conditions change, the manager must know when and how much to adjust rents to keep your property competitive in the market.

Second, tenants

Your property manager will make sure that your investment property is rented.  The right one will know where to place ads, and know how to screen applicants and make the best choice for you.  He will need to know how to initiate eviction proceedings. They must know how to determine the best length for the lease. The right manager will  know how to protect Your rights and your interests within the lease.

Third, complaints and evictions

The property manager will handle any complaints from the tenants. Therefore, in the event of an eviction, your manager must know who to call and how to proceed.  As the property owner, you  should not need to be involved in the day-to-day operations of their income property.

In conclusion, the right property manager can keep the tenants happy, the building maintained, and you making money.

 

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Renting Vs. Buying: A Real Estate Guide

renting vs. buyingRenting vs. buying is often a question we get asked as one of Coeur d’Alene’s leading property managers. Millennial  have shown a big move towards renting instead of owning homes, putting a lot more stress on our rental market. On the other hand, home prices continue to rise in our area because of low inventory. It almost seems like your trapped between a rock and a hard place! This week we wanted break down some of the differences between renting vs. owning.

We have tons of renters. Renting a home comes with a big slew of benefits. You never have to worry about home maintenance! Just call us, and whatever problem you are faced with is taken care of at someone else’s expense. You can also control the amount you spend on your home within a yearly basis since your not tied to a mortgage. If you are not in a “steady” career, haven’t settled down yet, or just like moving around, renting is going to be a great solution for you!

renting vs. buying

Buying a home requires a lot of careful consideration. A 30 year commitment shouldn’t be taken lightly! You also want to ensure you have the proper down payment and budget to sustain your home purchase. If you can get your ducks in a row, there is a special pride that comes with owning your own home! While home ownership carries with it a lot of additional responsibilities, the benefits often outweigh the additional costs. Living in your own space is amazing! Having a driveway is even a luxury in this day and age. Choosing the colors of the walls, interior fixtures, and mowing your own lawn all help provide some serious pride of ownership. Its not all roses. When your furnace breaks, its your responsibility to fix it! Home repairs can be incredibly expensive and time consuming. You also have to content with HOA rules and the occasional annoying neighbors pet. Altogether renting vs. buying comes down to personal preference. If you like an independent life style and tend to be a free sprit, stick to renting. It will be easier in the short term. If you’re ready to “settle down” and prepare for the future, consider starting a home purchase. You will be glad you did!

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Buying Rental Property Part 1.

buying rental propertyThinking about buying rental property? I’ve found that most people look to real estate investing as something to do “in the future, when we aren’t poor” or “a nice dream but not really practical.”

In actually, mortgage rates have been low enough in recent years that almost anyone could start looking towards real estate investing. Lower mortgage rates, and higher rental rates typically signal a good time to buy! I have found a couple helpful tips when you are considering buying rental property.

  1. Find a trusted agent. Not all real estate agents are created equal! Just like in any other field, Realtors often focus on different fields of real estate. You want to make sure and work with an experienced Investment Realtor. Starting off with an expert will help you learn more about buying rental property and you can avoid common mistakes that will cost you more money. An investment Realtor can also connect you with a reputed property manager and help you find quality renters. Trust me, don’t skip this step! Feel free to ask me any questions as well, I have done tons of investment deals and come highly recommended. You can email me here.Buying rental property
  2. Expect the unexpected. When looking into buying rental property, you can’t be prepared enough for the unexpected. Repairs, problems, and emergencies never happen on weekdays! Most issues that come up will be resolved by your property manager (as long as you hire one) but if your self managing, be prepared for a few inconvenient problems!
  3. Finding good tenants is the secret to property management success. It can’t be stated enough! If you have a high quality family in your home, your real estate investment will be a dream! Your Realtor, and the local property managers will be able to help you find a great tenant. Just avoid any potential problem tenants, they are more trouble then their worth!
  4. Being a Landlord is not for the faint of heart. I’m going to be really honest here. Real Estate investment and property management are not for people scared of bad hours or risk. It takes a lot of gumption to manage your rental home, however the profit potential and property value increases make it worth it! I personally have yet to lose money on a property deal, and this rings true for my clients as well.

In following weeks we will add to this series, since knowledge is power. While your thinking of investing continue to do your research, and when you’re ready to take the next step give me a call!

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“How-to’s” of Property Management

Property management is not well known to be the most “savory” of industries.CDA Real Estate investment and Property Management Oftentimes tenants and managers get in heated debates about the state of the apartment before or after rental. All Property managers are not created equal! The property manager you choose could make or break your home rental experience! Most of the general problems associated with property management can be avoided by using a highly reputed manager! Here are a few helpful tips to avoid any property management issues!

  1. Read the fine print. Property management contracts are not big long legalese filled documents! When you sign the lease ensure you know your requirements as a tenant. If you have any questions about your lease document you can feel free to give me a call (208) 640-1365.
  2. Take the move-in photos! There is no way to confirm the original property’s status without photos! As a tenant you want to make sure you don’t get billed for damage so we need those photos to get you off the hook!
  3. Don’t even consider an unlicensed property manager. If they don’t have a license and there is a problem the state won’t protect you. When your signing a lease, make sure they are licensed!
  4. Ask around. Property management is one of those industries where its not hard to hear stories! Check with your friends before hiring someone without the proper reputation.
  5. Make sure you “groove.” Getting along with your property management company affirms your long term relationship stays healthy. While a bit more subjective, if you get along and like their personality, it makes for less long term problems!

Property managers do get a bad rap but speaking for ourselves we are most interested in getting you into the proper home! When you are looking for a place to live come see us! We’ll show you first hand “how-to” enjoy living in Coeur d’Alene!

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