Why You Should Buy Homes For Investment Properties
Investing in homes as investment properties is one of the best ways to build a dependable portfolio. However, take your time when selecting an appropriate property. Before becoming a landlord, it’s important to assess if your personality matches. Some investors may find dealing with tenants, maintenance and contractors tedious; on the other hand, others might savor this experience. Location of Investment Properties Investment properties differ from homes purchased for family members in that they generate cash flow by renting out space. While this can be a lucrative business model, thorough research is necessary to maximize your returns on your investment. One of the primary advantages to investing in a house for investment purposes is the chance to build equity, which can be used for paying down debt and expanding your portfolio over time. You may even qualify to deduct interest expenses from taxes. The ideal investment property is a well-located, affordable house that increases in value over time. Investing in an area on the rise is also beneficial, but you need to do your due diligence before making a purchase. For best results, consult with professionals for guidance on location, numbers and potential pitfalls. A reliable real estate broker, accountant and financial adviser are essential for making the most of your money. Rental Income from Investment Properties Investing in residential properties to rent out is an excellent way to generate passive income. In addition to rental income, you’ll also enjoy tax benefits and appreciation of your property value. However, you should make sure you purchase a quality property with positive cash flow. That means making sure the home has enough rental income monthly to cover expenses and your mortgage payments at today’s rates. Calculating your cash flow can be done by estimating annual expenses. These should include taxes, insurance, maintenance and repair costs for property management and HOA fees as well as any other recurring fees you may face. Subtract rent from these costs to determine your net operating income. Appreciation of Rental Homes Appreciation is a term commonly used in real estate investment to describe how your property’s value increases over time. This could be due to factors like interest rates, inflation, schools, local job openings and home improvements. Your local market conditions can also influence appreciation levels; from a seller’s market to a buyer’s market. As a result, values may differ significantly between communities. As a general rule, the higher your appreciation rate, the better off you’ll be in the long run. However, there are some caveats to this calculation. First, you’ll need to determine the average appreciation rate for a property. You can do this by reviewing sales data from past years. Taxes Real estate can be a rewarding investment, but it also carries significant tax liabilities. Therefore, it is essential for new investors to understand the primary ways their portfolios are taxed. Before anything else, it’s essential to understand that capital gains taxes apply when you sell an investment property for more than you paid for it. The type of taxation due depends on how long you own the asset. If you own the property for one year or less, your capital gains will be taxed at short-term rates. On the other hand, if you hold it longer than that, they are taxed at a lower long-term rate. Depreciation is a tax deduction that allows investors to recoup the cost of buying and improving investment properties over time. It differs from other deductions in that depreciation is expensed throughout a property’s “useful life,” rather than taken at purchase. This can be especially advantageous for investors in low cap rate markets where depreciation could help offset some losses they will accrue. Always consultant a tax professional and expert for your situation vs taking any advice from anyone online. If you are in the Phoenix, AZ metro area and want help with buying homes as investment properties contact Mark Brower Properties, LLC
How to Choose Property Management Company
Selecting the ideal property management company can make or break your investment. Fortunately, there are steps you can take to narrow your search and discover the ideal match for yourself and rental property. Start by seeking referrals from friends and colleagues in the business. Additionally, check online reviews and social media pages for insight. Also when searching Google and finding local property management companies in your area check the Google reviews. For example you will find Mark Brower Properties with high reviews on Google with happy customers. 1. Reputation Reputation is a critical element when selecting a property management company. It can make all the difference in whether or not you get quality tenants and how well your property will be maintained. Reputation also plays a role in determining the reputations of building staff and engineers, which can impact how much you pay for routine maintenance. Furthermore, select a property management company with strong vendor connections in your area so they can offer materials at competitive prices. According to The Oxford Dictionary, reputation is “the opinion of others about someone or something.” It plays an essential role in brand and business development – particularly online. Reputation is a dynamic phenomenon that ripples from individual cognition to social propagation and back again. It has been studied in management, sociology, and psychology. 2. Experience Experience is an important factor to take into account when selecting a property management company. It provides invaluable knowledge that cannot be replicated. For instance, a property management firm with experience in your area will be more knowledgeable about what amenities local residents desire, how much units they are willing to rent for and which upgrades will give you the greatest return on your investment. Additionally, this demonstrates that the firm has the necessary personnel in place. They must be qualified and knowledgeable about local laws and regulations. Management firms with impressive clients and vendors may be a wise option, but one without proper credentials could make costly errors on your behalf. Check reviews on Yelp and Google as well as referrals with the Better Business Bureau to get an accurate picture of a company before you commit. 3. Fees When considering hiring a property management company, it’s essential to know what fees can be expected. This will enable you to decide if or not a property manager meets both your needs and budget. Percentage-based fees are becoming more and more popular, with some managers opting for a hybrid fee structure. Instead of charging you an upfront flat fee, they may instead charge you a percentage of the monthly rent amount. Fees for property management services can range anywhere from 8% to 10% of the monthly rent collected. Be sure to pay close attention to how the contract outlines this baseline cost and how the manager calculates their fees. Property managers often charge lease renewal fees when it’s time for tenants to renew their leases. While these costs can be costly, these fees help ensure tenants remain on track with payments. Mark Brower Properties is very transparent with our property management cost and fees in the Phoenix, Mesa, Chandler, Scottsdale and surrounding areas of the East and West Valley right here. 4. Portfolio If you own a real estate investment, it is essential to hire the correct property management company in order to safeguard your asset and maximize profits. Your investment property manager should be an experienced, licensed professional who exhibits responsiveness and transparency when providing their services. When selecting a management company, the size of their portfolio should be taken into account. If you own multiple properties, larger firms often benefit from economies of scale which make it simpler to meet all your demands. When selecting a property management company, it’s wise to inquire how many properties they manage in your area and if they have an impressive vacancy rate between tenants. This can give you valuable insight into their marketing and leasing efficiency. If you need a Phoenix AZ property management company contact Mark Brower Properties we provide property management in Chandler, Mesa, Gilbert, Scottsdale and the surrounding areas.
The Importance of Property Management
Real estate owners can benefit from a property manager. They provide assistance with marketing your property, finding and screening tenants, as well as monitoring rent payments. They can assist with maintenance and repairs as these tasks often require a great deal of time, as well as being quite costly. Maintenance and Repairs Property managers have the responsibility of keeping their managed properties in excellent condition. This could involve anything from routine cleaning to safety inspections. It’s essential that the building stays in top condition so it doesn’t collapse and put its occupants at risk. Preventive maintenance is the ideal way to keep a building in optimal condition, but sometimes repairs or replacements will be necessary. This could range from minor issues like broken locks to more serious problems such as electrical or plumbing problems. A Computerized Maintenance Management Software (CMMS) can facilitate both preventive and corrective maintenance tasks. It’s useful for tracking work orders, storing asset details such as how old certain items are and whether they require repair or replacement, plus much more. When repairs or replacements are necessary, the property manager will contact the appropriate vendor and request they come out. It’s also their duty to guarantee that the work is done correctly and in accordance with local laws or codes. This is an example of the value add that a property management company like Mark Brower Properties can provide and why its important. Many property managers have their own maintenance staff, though not all do. Some may be able to perform some repairs themselves or contract with outside vendors for more specialized services. In this instance, it’s essential to comprehend how the company vets its contractors, their relationship with them and any costs that will be incurred. Doing this can help you decide whether or not investing is worth your while. Property maintenance can be a complex and expensive endeavor, yet it’s an essential element in keeping a home or business running smoothly. Proper upkeep not only keeps tenants safe in their space, but it also increases its resale value. Residential communities such as retirement homes and assisted living facilities need regular maintenance to guarantee that residents’ lives aren’t adversely affected by broken equipment or other malfunctions. Hotels can also benefit from an effective maintenance program. If you require preventive maintenance or emergency repairs, finding a property management company that can meet your requirements is essential. They’ll assist in keeping your property secure and efficient while keeping tenants contented. Rent Collection Collecting rent payments from tenants requires finding the method that works best for your property. Furthermore, being able to keep track of all records is beneficial. Landlords typically accept cash, personal checks, credit cards or debit cards as payment for rent. Furthermore, many landlords provide online bill payment or pay-in-person facilities to make it easier for tenants to pay their rent promptly. And with today’s technology and financial platforms like Zelle, Venmo and Paypal sometimes these might be used as well. Although taking payments in person may seem like a hassle, this is an effective way to connect with your tenants and guarantee they receive their rent on time. Furthermore, if you live out of state or are too busy running your business to be present at each rental, collecting the money in person is an efficient way to handle collection processes. Another option is sending your tenants a letter in the mail with an agreed-upon due date for payment. This can help guarantee timely receipt of rent, but may lead to delays if only partial payments are made or other bills must be settled simultaneously. In certain states, landlords have the power to charge late fees to delinquent tenants. These fees serve two purposes: collecting money from late fees and encouraging future rent payments on time. Landlords may report unpaid rent to the credit bureaus if their tenants are delinquent, and these reports can have an impact on their future ability to obtain loans or rent properties. These debts will be reported to all three major credit reporting agencies and remain on the tenant’s credit file until they are rectified or paid in full. Finally, many rent collection services exist that landlords can utilize to report delinquent tenants for a flat fee. Some of these services will take part of the debt if it is not paid and also remove negative marks from the tenant’s credit report if they are successful in collecting it. Tenant Relationships As a property manager, it’s essential to foster relationships with your tenants. Not only is this beneficial for the tenant but it also ensures your property remains in excellent condition. One way to foster a strong relationship with your tenants is by ensuring they comprehend their responsibilities. A comprehensive set of rules is an effective means of communication, and this will give them the assurance to ask questions or request help when required. Additionally, having a positive relationship with your tenants increases their likelihood of adhering to commitments and paying rent on time. This is an integral component of having an effective landlord-tenant relationship, and it can be especially helpful if you want to avoid late fees. Establish a strong tenant relationship by being available when they require you. This is especially helpful if they have an urgent maintenance request or query about something in the property. It is never a wise idea to let tenants wait too long to report maintenance issues, and even worse to ignore them. Doing so could cause bigger problems in the future and cost you more money than necessary to rectify things. Your tenant’s trust in you will make them less reluctant to report maintenance issues and more willing to collaborate with you on resolution. Doing this can save time and money in the long run, so it’s beneficial to prioritize this aspect. Building a successful tenant-property manager relationship can be challenging. Both parties must commit to the relationship and take active measures to enhance it. This is another important aspect to
Buying Homes For Rental Properties
Investing in residential real estate for investment and rental income can be a lucrative way to make money. But before you dive headlong into the rental property market, there are some essential elements you should take into account. Location can influence the rent prices you’ll pay. Furthermore, make sure to have enough money saved up for unexpected expenses like maintenance or repairs. Location When purchasing homes for rental properties, location is one of the most crucial elements to take into account. Not only does it influence potential tenants but also your home’s value and appreciation potential. A great location is essential for any real estate investment, particularly for first-time investors. It can draw in tenants that will stay in your property for years, resulting in increased rental income over time. When selecting a location, there are several things to take into account such as proximity to amenities and transportation. Having easy access to parks, schools, grocery stores and other commercial districts can be an important factor in determining how desirable your home may be. In addition to these factors, you should take into account the neighborhood’s supply and demand ratio. If there is an oversupply of homes in the area, finding tenants may prove more challenging; on the other hand, if there is an undersupply, finding tenants will be simpler. When selecting a location, public transportation should also be taken into account. Being close to buses, trains and other modes of transport is an advantage for any real estate investor. Renters often prioritize homes that provide easy access to parks, schools, shopping centers and other commercial districts. This is especially pertinent for first-time homebuyers with families who require proximity to these amenities. It is essential to keep in mind that your property’s location can change in the future. Even if a neighborhood isn’t considered “good” right now, it could become one within five years. That is why it is essential to monitor for potential changes in your chosen area so that you can benefit from them before they happen. If you want to buy homes for rental properties in the Phoenix, AZ area, our team at Mark Brower Properties a top reviewed property management company in Phoenix AZ can help. Financing Investment properties require more financing than primary residences, since the risk is higher with investment properties. Lenders tend to charge higher interest rates and require larger down payments in order to cover expenses. Financing can take many forms, such as traditional mortgages and loans from banks, credit unions and other finance companies. Typically, rental property loans have terms of five, ten, fifteen, 25 or 30 years with down payments ranging from 15% to 25% depending on a borrower’s credit history and personal finances. These loans can be beneficial to investors who have a successful track record of managing their existing rental properties profitably and want to purchase multiple properties simultaneously, provided they meet the necessary qualifications. Unfortunately, due to increased risk, these loans tend to be more expensive and have higher debt-to-income ratios which may make them unattractive to some borrowers. Other financing options include home equity lines of credit and hard money loans. Unfortunately, these are usually only available to those with equity in their primary residences or who want to purchase a rental property with less than 20% down payment. The primary advantage to this type of financing is that there is no credit check required, making it easier for those with less-than-perfect credit scores to qualify for a loan. Furthermore, because these loans aren’t usually guaranteed by traditional financial institutions like banks, their requirements tend to be more lax than those provided by conventional lenders. Additionally, this option is suitable for those purchasing larger or multi-unit properties and looking to take advantage of tax benefits. These loans are insured by the Federal Housing Administration and tailored for owners-occupied homes with up to four units. To get the best rates and terms, it’s wise to shop around and compare lenders. Your specific needs such as how many units you plan to buy or how much income each unit generates will help determine which financing option is suitable for both your goals and budget. Inspections When purchasing homes for investment or rental purposes, there are various inspections that must be performed to guarantee the property remains in excellent condition. The initial step should be a walkthrough or move-in inspection conducted prior to moving a new tenant in. This can be done using a checklist which you ask them to fill out and sign. Furthermore, taking photos can document any damage that needs fixing. Another type of inspection is a move-out inspection, which can be conducted by you or your property manager. It’s essential to conduct this check prior to tenants leaving so you can identify any damages caused while they were living there. Keep records of any damage you find during an inspection to help you claim money from the security deposit if needed. This is particularly essential if it appears that the tenant has caused extensive destruction to your home, since you may not be able to claim everything from the deposit unless you can prove it. A home inspector can also detect any hidden damage that might not be noticeable to the naked eye. For instance, mold can grow on walls and ceilings without leaving behind visible evidence. Once a home has been inspected, it should be repaired before being listed as a rental property. Doing this can minimize the potential for future issues and boost the value of your investment. A home that’s in poor condition can be costly to repair, so a property inspection checklist is invaluable. It focuses on the most critical issues in each area of the house and helps you save money by not spending unnecessary money on repairs that could have been avoided with some extra diligence. Regular inspections during the lease period are essential to remind tenants of their responsibility to maintain your rental in good condition and
Mark Brower Selected as Top Property Manager for Interview in Top Agent Magazine
Mark Brower of Mark Brower Properties was featured in the Property Manager Edition of Top Agent Magazine in the February 2020 edition. You can read Mark’s interview about the high level of service he always seeks to provide and why it’s important not only to his clients but the property management industry as a whole, the importance of not just managing properties but being a trusted advisor to clients, and his passion for running. Top Agent Magazine is the premier real estate magazine featuring the foremost real estate agents, mortgage professionals, and affiliates in the USA, Europe, Canada, Australia, and New Zealand. Top Agent Magazine features the top producing and most accomplished professionals in the real estate industry, offering an in-depth look at their careers and providing a blueprint for their success. To be considered for a feature in Top Agent Magazine all professionals must go through a nomination and interview process. All Candidates are then evaluated based upon production, professionalism, as well as industry and community involvement. It is considered a privilege to be nominated as it speaks to a certain success level all real estate agents strive for. Top Agent has set itself apart as a trusted source of real estate information and inspiration. We are honored that Mark Brower was selected to be included as a stellar example of the kind of prominent leaders of real estate that Top Agent Magazine are proud to feature.
9 Things to Consider When Hiring A Property Manager
You are the owner of a home in search of the right property manager to hire. Maybe you don’t yet know what makes up the ideal property manager, but you do know your end goal: (1) optimal financial performance of your property and (2) peace of mind. As you continue your search, here are 9 things to consider in potential property managers to ensure that you achieve these goals. This list goes beyond the basics, because as important as monthly management fees and rapidly finding tenants are, they become less meaningful if they are not coupled with practices that align with your interests as the owner. Fee Structure – How do property managers make money? The obvious answer to this question is the monthly management fee, but it’s important to think beyond that. There are any number of additional sources of revenue that you may encounter as you interact with your property manager (several will be pointed out individually below). Before jumping at the lowest monthly fee, investigate all ancillary fees in order to figure out the true cost of property management. Parallel Incentives – Does the property manager’s fee structure align with your interests? Often times fees themselves are only half the story. Equally critical is the behaviors they motivate. A fee structure that has appealingly low costs may encourage suboptimal management in order to increase profits (a few specific examples are included in this list). When considering a property manager, examine every fee and avoid those that present a conflict of interest with the responsible management of your property. Maintenance – How are maintenance costs handled? Be aware of situations where property managers are marking up maintenance costs or using in-house maintenance. In cases such as these, where maintenance becomes a source of revenue, it can have the adverse effect of incentivizing unnecessary maintenance and targeting less than ideal tenants that may allow the property to fall into disrepair. Late Fees – Are late fees exclusively pocketed by the property manager? Invariably some portion of late fees will be absorbed by the property manager in order to recoup costs. The issue arises in situations where property managers retain 100% of late fees, as it can motivate them to target non-ideal tenants who are more likely to incur these late fees, thus boosting revenue. Ideally a property manager will, to some degree or another, split late fees with the owner. Leasing Fee – Does the leasing fee seem steep? Property managers will typically charge a leasing fee that covers costs and perhaps generates a very modest profit. Be weary of higher leasing fees, as they can encourage managers to favor short term tenants in order to collect leasing fees at every turnover. Tenants – What focus is placed on finding high quality tenants? Finding a tenant quickly is often a priority among owners, and there is no disputing that low vacancy is a desirable goal. However, this goal must be balanced with the desire for an ideal tenant. A little extra screening in this phase can lower costs for owners and property managers alike, ensuring fewer evictions, lower maintenance costs, and longer term tenants. Routine Inspections – How are they handled and what do they cost? Regular inspections of your property are in the interest of both you as the owner and the property manager. They encourage responsibility and accountability in tenants, help lower long term maintenance costs, and foster a positive relationship between all involved parties. These inspections should not be optional, nor be an added cost to the owner. Important Metrics – What do the numbers say? There are several telling measures that can give a good idea as to how a property manager operates. Ask for data on the number of past evictions, percentage of tenants that pay late, percentage of tenants that renew their lease, etc. They might not always have the information to give or be willing to share it even if they do, but it will spark a discussion about related practices that can be insightful. Long Term Focus – Is your property’s value being preserved and increased? A property manager worth your trust is operating with a long-term focus. They manage your property in ways that will not only generate consistent, sustainable revenue today, but will also lower your long term costs and ensure the highest value of your property in the future. This incorporates everything discussed above; a fee structure that aligns with your own goals, a system that finds the highest quality tenants, and practices that ensure that you, the owner, are getting the most out of your property without unnecessary worry about your rental investments.
Can I Sell my Rental Home While Tenants are Living in It? Gilbert, AZ Property Management
Today we’re talking about whether you can sell your property while it’s being rented. You can absolutely do this, and it’s actually possible to maximize the proceeds from the sale when you have tenants in your house. Here’s why: a traditional sale occurs when the house is vacant. It might be vacant for two to four months while it’s on the market and being prepared for sale. Then there’s an additional wait while the buyers are getting their financing in order and the appraisal complete. You don’t actually make any money until the sale closes. Most people have a mortgage on the property they’re selling and they lose that cash every month it sits on the market. Many sellers also feel pressured to drop the price in order to move it quickly. With a quality renter in place who is willing to be helpful with showings and the sales process, rent is still coming in. At Mark Brower Properties, we give our good tenants an incentive to allow potential buyers to access the home. We also incentivize them to end their lease early in the event we need to accommodate a buyer who wants to buy the home and move in. There are two types of buyers – the investor, who would love to buy a rental property with a tenant already living there, and buyers who want to move in themselves. You can successfully manage this process by using your negotiation and communication skills. Talk to your tenant about your plans for selling the home and be respectful of their time and schedules. You can keep your tenant in place and paying rent while still showing home and getting it under contract. Then, you can work together to get the tenant out early if necessary so the sale can close. This type of situation is a benefit to you as a landlord and an investor. If you have any questions about this, please don’t hesitate to contact us at Mark Brower Properties, and we’d be happy to help you.
How to Pick a Vendor Like a Professional Property Manager: Gilbert, Arizona Landlord Advice
Today we are talking about how to choose a vendor the way professional property managers do. As a landlord, if you only have two or three rental homes, it’s not every day you’re going to be changing out a water heater or having an air conditioning unit replaced. In many cases, you don’t have relationships in place with vendors you need to do the work. You can research online what something should cost, but you need to work with the right vendor who will treat you fairly. You might not be a repeat customer for 5 or 10 years. Referral Relationships One thing that has always worked well for us is to find the vendor through a referral source that’s important to that vendor. For example, if you need an appliance repaired, call the appliance company and ask for the names of two or three repair companies they recommend. Then, when you call the repair company, you can say that the appliance company referred you to them as one of their trusted repair vendors. This allows you to establish accountability through the referral source. They will treat you a little differently than they treat other customers because they don’t want you to call the appliance company back with a report of bad service. You’ll have the leverage a professional property manager has with repeat business based on this referral relationship. Online Reviews You should always read reviews online. This can be tricky because a lot of businesses hire marketing companies to write bogus reviews, or they have their friends and family members write glowing online reviews for them. Take a look at the reviewers and see what other reviews they have left. If they have reviewed only this one company, you should probably discount what they’ve said. Look for reviewers who have also reviewed 10 or 20 other companies on Yelp and Google, and who don’t always give five star ratings. Online Research Finally, it’s important to do some research online. You want to know your repair costs and have an idea of what materials and labor will cost. It’s normal to have a little markup on materials when you’re dealing with a repair company, but don’t accept anything higher than around 20 percent. A markup that’s 300 percent is not appropriate. Hopefully these tips will help you ensure you’re being treated fairly and getting quality work for a good price. If you have any questions about finding vendors, or you need any help, please contact us at Mark Brower Properties.
How to Market Your Gilbert, Arizona Home Like a Professional Property Manager
Today we are sharing a few tips on how to attract a quality tenant for your rental property. This is the single most important thing you can do as a landlord and if you choose the right tenant properly, it will help you avoid lots of issues down the road. Tenant selection starts with quality marketing. This includes high quality photos, a high quality write-up and the broad syndication of your ad. If you have those things and your ad is all over the Internet, you’ll know based on your call volume and showing volume if you’ve priced the home properly. Without quality marketing, you won’t know. Pictures You need a good camera. Get a digital camera with a broad lens to take pictures. We currently use the Samsung Galaxy II digital camera and it’s working really well. Stand in corner of a room with the light source to your back or side. Take a lot of photos – at least 50. Once we have a good collection of photos, we pull them into Picasa or use the Mac Book Pro to enhance them. This allows us to improve the exposure, remove any shadows and enhance colors. The result is about 15 to 20 photos that really showcase the property. Description Write the best property description you can. It doesn’t have to be very long. The primary goal with your description is to make sure the property lands on someone’s list of homes to see. Renters are searching online through sources like Trulia, Zillow and Homes.com. They will make a list based on photos, price and description. You want to be on that list, so write a description that is short, to the point and full of good adjectives. Syndication Syndicate your ad to the broadest possible base of websites you can. Without being an agent, you won’t be able to get it on Realtor.com or the Multiple Listing Service (MLS), so maximize your other options. Post on Zillow, Trulia and a couple of times a week on Craigslist. Respond to incoming calls quickly and make the property available on all days and at all times. Track your feedback. You want to see between three and six, maybe even seven or eight showings a week. That’s how you’ll know it’s priced correctly. The goal is to get a tenant in your property within 30 days. Any longer than that, you’re wasting money with a prolonged vacancy. These are just a few tips on how to market your property like a professional. There is a lot more to talk about on this subject, so contact us at Mark Brower Properties if we can help you with your marketing plans in any way.
Tenant Eviction: What to Do When My Tenant Stops Paying Rent in Arizona
https://www.youtube.com/watch?v=7flLLjRBfwE In today’s blog, we are answering questions about the eviction process. Many new landlords want to know how eviction works and what happens if their tenant doesn’t pay rent. They perceive this as a worst case scenario, but it’s actually not as bad as you might think. Payment Policy The first thing you need to do is to have a good payment collection policy in place. You want to start the eviction process as early as possible in the month, so your payment policy has to reflect that intention. When you sign the lease with a tenant, explain that rent is due on the first of every month by 5pm. That’s what it says in the lease and there’s no grace period. Rent is considered late on the second of the month. Let your tenants know you will file a 5 Day Notice by certified mail to start the eviction process if rent is not received before the second day of the month. That might seem harsh if you haven’t been a renter for a while but it’s the best way to do business. We always explain to our tenants that we want to have a respectful relationship but we need to run a business and treat everyone the same. They usually don’t take that personally. 5 Day Notice Sending the 5 Day Notice on the second day of the month by certified mail is necessary because the court system requires a five day receipt period. They don’t see it as received by the tenants for five days after it’s sent out. Then, you have to wait the five days in the notice. So you’re actually planning on 10 days. Get the letter out on the second day because it means the soonest you can file for eviction is on the 12th of the month. In most cases, if you don’t have the rent by the 12th, you’ll want to evict for sure. Control the timing. Use an Attorney Attorneys know the eviction process well and they also have valuable relationships within the court system. Usually, evictions are open and shut cases. When you have unpaid rent, the judge will give you a Forceable Detainer, and you’ll also get a judgment. Attorneys do this in volume and they really understand the process. They’re also not as expensive as you might think. As a property management company we get billed at flat pricing rates that usually range from $250 – $500 depending on how far things go in court and with the constable. In most cases, we can have your non-paying tenant evicted in 30 days. There are lots of scenarios that are worse than evictions. Dealing with bankruptcies or tenant damage from people who neglect or misuse your home are much bigger threats. If you have any questions, or you’d like some help with a problem you’re having, please contact us at Mark Brower Properties.
