multi-family real estate

5 Critical Tips for Mastering Multi-Family Real Estate Management

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A surprisingly high percentage of people see owning their own business as a desirable goal. How high? For men and women, respectively, it’s around 70% and 60%.

Some view real estate investment and management as the right business opportunity. It lets you stay local and deal with a comparatively small customer base once you have tenants. 

If you’ve never done the work before, though, multi-family real estate management can prove challenging. Keep reading and we’ll give you some key tips for getting started. 

1. Do Your Homework

A real estate investment property isn’t just about how things look now, but how things will likely look in 5, 10, or 15 years. You must consider neighborhood trends. Is the area in decline, gentrifying, or stable.

How much will renovations cost? Can you charge enough in rent that you’ll recoup those losses in a practical timeframe? What will the market bear?

Is the property positioned near useful shopping opportunities or a major local employer?

You must balance all of this information and weigh whether you’ll ultimately gain from the investment or not.

2. Leverage Technology

Like most major industries, real estate benefits from a healthy ecosystem of software. Multi-tenant management software helps keep you organized as you advertise, screen, and sign leases with new tenants.

Try out demos of different software packages and find one that suits your work approach. Remember, features don’t mean much if you hate the software and can’t find anything in it. 

3. Tenant Selection

Tenant selection will play a huge role in the successful and enjoyability of your real estate experience. You will need some basic screening factors, such as minimum income and personal recommendations. 

There are some areas you must avoid asking about at all costs because they violate the Fair Housing Act. Some of the topics you can’t ask about include:

  • Race
  • Religion
  • Marital status
  • Sexual orientation
  • Disabilities
  • Kids

You can’t disqualify someone for any of these reasons or even criminal convictions in some states.

4. Use Checklists

Make copious use of checklists. They help you formalize processes and make sure things don’t get missed. A basic move-in inspection checklist and move-out inspection checklist ensures you don’t charge a tenant for problems they didn’t create.

5. Outsource

Unless you have a lot of free time or you’re a licensed contractor, you should develop good outsourcing relationships. At the least, you should have numbers for a reliable electrician, plumber, and contractor.

It’s also quite common for investment real estate owners to outsource lawn care/landscaping duties to a professional service.

Parting Thoughts on Multi-Family Real Estate Management

Multi-family real estate management is a lot of work. You can simplify the process with substantial research, leveraging software and checklists, and outsourcing.

Tenant selection matters a lot because good tenants prove profitable while bad tenants soak up time and resources. Just take care you don’t violate any provisions of the Fair Housing Act while screening potential tenants.

Outland Real Estate specializes in real estate along California’s Central Coast. For assistance locating or purchasing a multi-family property in that region, contact Outland Real Estate today.

residential property manager

Residential Property Manager vs. Real Estate Agent: What’s the Difference?

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The allure of making money from investment realty sounds great in reading. Once you get into the details you begin to realize it’s a whole lot of work! Add distance between you and the rental and now there’s a slew of challenges.

You worked with a real estate agent in getting the property. Now, the residential property manager steps in to make your life a lot easier.

What is the difference in tasks between these two roles? Keep reading, we get into the finer details of what each does. And, what a property manager and realty agent bring your foray with real estate income.

The Role of Your Real Estate Agent

The primary role of a realty agent is facilitating property sales. The individual tasks they take varies with expertise and commitment. 

A real estate agent may do one (or all) of these activities:

  • Researches the current market, trends, and strategies
  • Lists and supports property listings, showings, and promotions
  • Handles inbound and outbound efforts with leads

The real estate agent’s task is complete when the property sells. This means they’re a transactional investment, earning a commission on the sale. 

The Role of Your Residential Property Manager

A property manager undertakes the day-to-day operations of a rental. You remain the landlord but tenants report to the company, instead.

The tasks handled by a manager can include:

  • Finding new tenants or retaining them
  • Dealing with the troublesome tenants
  • Satisfying tenant needs such as fixing items
  • Handling transactions, paperwork, and taxes

There is overlap, too, in which managers may also act as realty agents. This means you can work with them during the home buying or selling. Plus, retain their services for the maintenance so you’re mainly hands-off.

As the Landlord: Which Offers More Value?

The answer to this question depends on your property goals:

  • Getting out or doing a flip
  • Holding for the long-term

The real estate agent is the obvious choice if you intend to sell. They have your best interest in prettying-up the property. And, getting it sold at a high price without it lingering on the market.

The property manager looks for ways to align with your long-term goals. Their success comes from your success. If buying & holding, consider property management companies with your best interests in mind.

Also, consider the value in scaling.

Each time you buy and sell a home you’re looking at realty agent commissions. You’ll have big wins with each sale but who knows the downtime in-between. Or, whether you can keep up with the drive as you age.

Working with a property manager lets you focus on one thing: obtaining more property. That’s the fun part of property investing, right?

Remove the Headaches from Home Ownership

You know that time is money as a property investor. The more time you have fiding, renting, and/or selling properties the better for your bottom line. So, consider working with a residential property manager.

Let us handle day-to-day operations while you sit back, relax, and collect the money. Be sure to learn about our services and how we can help your realty investing portfolio grow.

property management

How to Understand Property Management

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Estimates show that a property owner spends roughly 4 hours per month per rental property. That’s roughly 96 hours each year dealing with tenants, evictions, leasing, and inspections.

Some investors decide that their time is better spent elsewhere and hire a property management company to oversee their properties.

Read on for 6 tips to understand property management, what it entails, and what is included.

1. Leasing to New Tenants

One of the main duties of a property management company is to place a tenant in your property.

The amount a property management company will charge for this service can range from half a month’s rent up to a month’s rent.

A low leasing fee could mean that your property manager doesn’t advertise much or screen applicants in depth.

A great property manager will verify a potential tenant’s income, look at their credit report, run a criminal check, check references and look at their the rental history.

2. Management Fee

Understanding property management means understanding the various fees that the company will charge you.

One of the most common is a management fee. This fee could be between 8-10% of the total rent.

Make sure you understand exactly what is covered by this fee. It could include inspections and repairs. Or those could be separate services that are charged separately.

Will your property management company charge this fee only when the property is occupied? Or will they charge this fee even when the property is vacant? Find out before you sign.

3. Repairs

Repairs are a necessary part of owning a property that you rent out. And they can be handled in various ways.

A property management company may have a staff of handymen that can make repairs. These members of staff will go in before each new tenant moves in to do repairs such as touching up paint, fixing light fixtures and loose flooring, and so on.

But, other property managers outsource all repairs to a general contractor who can charge high rates for his or her services.

It is often more economical for you as the investor if the property management company has handymen on staff.

When you interview various property management companies, ask how they handle repairs.

4. Inspections

It’s important to understand property management in terms of day-to-day work. A property manager may manage 20 or more properties for various investors.

One of the main roles of a property manager is to inspect the properties. A property manager will assess the condition of the property and ensure that the tenants are abiding the rules.

Some property management companies include inspections as part of their management fee. Others charge per inspection.

It’s a good idea to have an inspection every couple of months. This prevents small issues from getting out of control and turning into expensive ones.

5. Renewal Fee

A renewal fee is a fee that most property managers add on to your bill whenever a tenant renews his or her contract.

The cost of turnover and vacancy is expensive. In fact, it can cost you $1,750 a month.

So it’s in your best interest as an investor to have tenants that renew their contracts.

6. Eviction Fee

Eviction is unpleasant for everyone involved. One of the main reasons investors hire property managers is to avoid dealing with evictions.

You can expect to pay a fee if your property manager needs to file for eviction and handle court proceedings.

Final Thoughts on Property Management

As you can see, property management comes with various services. Some of these can be included in your management fee or might be charged individually.

Either way, having a property manager for your investment property takes the stress and time commitment off your plate.

Learn more about why you should choose a property manager for your rental home.

property management company

Why Choose A Property Management Company to Rent Your House

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Owning a rental property is a smart way to create a passive income on top of your normal day job earnings. 

But handling a rental property and your normal responsibilities can be a challenge. That’s why you should consider hiring a property management company. 

We’ll take a closer look at why you should choose to work with a management company below. 

So let’s dive in! 

What Is a Property Management Company?

A property management company handles all the work that comes with renting out a house. 

They’ll market your rental property, find tenants, take care of necessary repairs, make sure the home stays in good condition, collect rent, and communicate with the tenants on your behalf. If something goes wrong with a tenant, a property management company will even take care of the eviction process. 

You’ll get all the benefits of renting out your home without doing any of the work yourself. 

This can be helpful if you’ve never rented out a house before. The property management company will use its experience to help your rental become a success. 

It’s also a good option if you don’t have enough time to handle the duties of a landlord yourself. 

But don’t worry, you aren’t switching out one hassle for another. Property management companies are independent contractors. That means you won’t have to act as an employer (which just means more work). 

Instead, you can relax and let the management company handle all the details for you. 

Why You Should Hire a Property Management Company to Rent Your House

A property management company might sound nice, but is it the right fit for you?

For many people, that answer will most likely be yes. 

Why?

Because property management companies take care of the entire rental process for you. This frees up your time to focus on your business, your family, or anything else that’s important to you. 

Here’s a closer look at some of the main benefits of working with a management company. 

They’ll Find Good Tenants 

Finding a tenant isn’t necessarily hard, but finding a good tenant can be a tricky process. If you don’t do a thorough screen of your tenant before they move in, you can be stuck with a terrible tenant that can leave your property with a lot of damage. 

Property management companies know how to find tenants that are a good fit for your home, so you won’t have to worry about difficult renters. 

They’ll Handle the Paperwork 

Being a landlord involves a lot of paperwork. If you don’t want to spend your weekends trying to find the right forms and (hopefully) fill them out properly, you’ll want to work with a management company instead. 

Again, they already know what they need. So they’ll ensure your rental property meets all the legal requirements. 

They’ll Take Care of Any Issues 

Did the stove stop working? Are your tenants complaining? Are they refusing to pay rent?

The property management company will take care of these things. You don’t have to worry about them. You can just sit back and collect the rent money. 

It’s Time to Hire a Property Management Company 

A property management company makes it a lot easier for you to rent out your home, especially if you have never done it before. 

Are you ready to hire a property management company?

Make sure you click here to take a look at how we can help you! 

Property Manager

5 Characteristics of a Great Property Manager

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So, you’ve invested in property … now what?

While you could lease out the property and manage it on your own, managing property takes time and quite a bit of work.

A property manager can help you better take care of your new investment—something that’s especially important in an increasingly competitive market.

Keep reading for a closer look at a few characteristics every good property manager should have.

A Good Property Manager Has Experience

It goes without saying that any property manager worth your time should have plenty of experience.

Before hiring someone to manage your property, be sure to ask them how many properties they’ve managed in the past and how long they’ve been working in this field.

A worthwhile manager will have a good understanding of the local market and any applicable laws and regulations. They’ll also know how to get things done in your area.

More Than a Little Patience

Managing property can be both difficult and stressful.

Tenants are not always easy to deal with and repairs and maintenance can add unforeseen costs. A good property manager will have the patience to deal with these situations without losing their cool.

Make sure your prospective property manager has dealt with difficult situations before and will know how to keep a level head when something goes wrong with a maintenance technician or an unruly tenant.

Strong Organization Skills

Managing property involves keeping track of and monitoring a lot of different tasks and processes.

There are rents to collect, leases to begin and end, repairs to manage, and much more.

A good property manager will need strong organizational skills so that nothing goes undone.

Superb Communication Abilities

Another area where a property manager really needs to shine is communication.

Since property managers act on an owners behalf, communicating with owners, tenants, and maintenance or construction workers, they need to be able to clearly communicate instructions and details. Communication skills should be strong both verbally and when writing.

Make sure any property managers you interview has experience with communicating well in all forms. If you’re unsure about their abilities, watch how they communicate with you or give them a test—asking how they might deal with a tenant who had violated a lease.

The Ability to Think Like an Investor

If you really want to get the most out of your investment, it pays to have a trusted partner. And managing incoming producing property should truly be a partnership between the owner and property manager.

Whether you’re looking at a property manager with many years of experience or an individual who is just getting into the industry, one of the most important qualities to look for is an investor’s mindset.

Any property manager worth your time will understand that part of their role is to maximize the return on your investment. They should also have a firm grasp of the market, knowing that rents may rise in the near future and other important details.

Putting It All Together

Picking the right property manager can be tough. Trusting someone to manage your investment is no easy task.

Check out our recent post on what property managers do for more on how property management works.

best way to find a house for rent

The Best Way to Find a House for Rent: 5 Tips to Ease the Process

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best way to find a house for rent

Whether you’re moving out on your own for the first time or the fifth time, the process of looking for a new place to rent can be daunting. It’s hard to know at first which places have good management and which places don’t.

And if you live in a competitive housing market, you know better than to put your hopes and dreams into a home that could be snatched out from underneath you at the last minute.

That’s why we’ve compiled these tips for the best way to find a house for rent.

1. Start Early in the Month

The last thing you want to do is wait for the middle of the month to find a place to live. The earlier in the month you are, the better the pricing, location, and amenities are going to be.

It’s a good idea, in general, to always start as early as possible. 60 days before you want to move, start making a list of potential places and put in applications.

The busiest parts of the month tend to be the last two weeks. This is the time where there will be more competition for you to work against, so make sure you get out there as early as possible to snag the best rental.

2. Check Online…

It’s a great idea to look into online rental sites. Always check Craigslist and Apartments.com for a general listing of what’s available.

If you live in a big city, you’re going to have better luck searching online than you would if you lived in a small town.

Even if you don’t find what you like online, it gives you a good idea of what sort of pricing you can expect.

3. …But Don’t Rely On It

While going online is a good idea for those who live in more urban areas, those in a rural community will probably have more luck doing things the old-fashioned way.

Check your local paper, drive around looking for rental signs, and ask around for word-of-mouth recommendations. It might seem old-fashioned, but it gets the job done!

4 .Talk to Other Tenants

Once you’ve found a few places that you like, think about talking to some of the tenants in the area. Even if you love the way a place looks, your home life won’t be all that great if you get stuck with a landlord you can’t stand.

If you’re gunning for an apartment complex, knock on a few doors and see what sort of information you can come up with. Ask about how the owners handle maintenance and whether or not other tenants are happy with their choice to live there.

If you’re renting a home, ask the owner if they have any other rental properties and see if you can get a number to call to check up on the other tenants that way.

5. Check Your Credit

You might think a credit check is just for people hoping to buy a house, but more and more rental property owners are turning to credit checks to determine who they are or aren’t going to rent to.

It’s best to be prepared. Take a look at your credit report and see if there are any blemishes you need to clear up before you continue.

The Best Way to Find a House for Rent

The best way to find a house for rent is to just get out there and look. Even if you live in a place with a lot of competition and you feel intimidated to try, it’s better to get out early. It’s better to try and fail before it gets down to the wire and your current lease is up!

If you’re looking for a rental home, read more about how property managers can help you move in faster in this article!

move in checklist

Move In Checklist: 4 Ways Property Manager Helps New Tenants Move In Faster

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Do you own a rental property and feel like you’re always busy trying to find suitable tenants?

If so, it can be difficult to keep up with the move in checklist for new tenants while still managing all the other duties of maintaining that rental property.

When you’re preparing for a new tenant to move in, a property manager can be a tremendous help with this whole process.

Your Move In Checklist is Essential

Moving is stressful – for both you and your new tenant. And there’s a lot to think about.

Having a checklist will alleviate some of this stress. Plus, you’ll be able to assess the condition of your property before the tenants occupy it so that there are no disputes later.

But if your life is already full, then this is where a property manager can help. He or she can:

1. Ensure Plumbing, Gas and Electric Are Working

It is crucial that all utilities are in operation before your new tenant moves in. And this is the case regardless of whether you will be paying for them, or the tenant will.

Have your property manager check to be sure there are no clogs or leaks in the plumbing, all the electrical outlets are operating and that heat reaches every room. Utilities are not luxuries – they are necessities.

2. Provide the New Tenant with Important Contact Information

Your new tenant needs to have all of the important contact information BEFORE they move into your property. A property manager can be clear with your tenants about whom they should contact with questions about the property or any maintenance issues (i.e. which utilities to contact, etc).

There’s some basic psychology here. You’re letting them know they are accountable for reaching out for help if there is a question or problem.

Your property manager can email this information to the new tenants, as well as print it out for them to post somewhere in the unit.

3. Cover Specific Tenant Requests or Conditions

If there are specific situations where a tenant may have a request or special requirement, you’ll need to know this BEFORE move-in day.

Get your new tenant to set up any of these requests in writing with the property manager so you everyone is in agreement.  Particularly in situations where there are special needs that must be accommodated – such as a support animal for a blind person, for example.

4. Provide Everything Needed for Access to Property

In all the hustle and bustle of moving one tenant out and bring a new one it, it can be easy to forget the little things.

Of course, you’re pretty unlikely to forget the key. But what about an access code to the laundry room or front gate? How about a garage opener?

Your property manager can take care of providing all the keys, codes and openers so you don’t have to think about it.

You Are Ready to Rent!

Owning a rental property can be a great investment. But it can also be a lot of work.

As you transition from one tenant to the next, keep things running smoothly by having a property manager help out with the move in checklist. You’ll see a huge return on investment.

If you’re looking for property management experts, feel free to contact us. We’ll help you simplify.

how-to-start-a-property-management-business

Why Plat Realty for your Property Management needs?

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Are you looking for a property sales and management firm to help you out? Do you want to put your lot out for sale and see how much you can earn? Do you need help with all of that? Or maybe you are just not in town and you need someone to look out after things for you.

The thing is there is one such firm that can help you with all of that and give you an excellent service while you are at it. Plant Reality is a North Dallas based company that has over twenty years of experience in the business of real estate management and sales. The owner found the firm with the intent to make you have to take just one step to get all you need for your property management. That means that they offer both sales and rental options as well as regular property management. Why don’t we take a closer look at what they have to offer?

Purchases and Sales

Property management is a wide term and it can entail many different things. The firms that specialize in property management tend to be different than regular real-estate sales companies. They do however offer opportunities for you to sell your property and they will make all the necessary armaments for you to rent out your lot, plant Reality has all of that on offer for you.

Property Management

This is one of the most important aspects of this company and they are excellent at what they have to do. The services they offer have never disappointed anyone. The many satisfied customers are here to vouch for that.

They will maintain your property functional and representable while ate the same time connecting you with potential tenants that are financially reliable. The combination of all of those factors will make you forget you own a lot at all, you just have to collect the money at the end of it all.

The Properties

Since they care about the properties they are taking on the people at Plat Realty take great care to examine all the necessary parts of the said lot and to make sure that everything is functional and in good order. That also implies that the properties they offer to you all look splendid and you do not have to worry about going into an apartment that has none of the features it is supposed to have. They will not allow this to happen.

The Team

The last and most important part of this incredible company is the group of people who make everything running smoothly. They are like a family and they are in the business of finding people a home so they take great care to make sure that you have a homie feeling while you are going through the process.

They will greet you with a smiling face and lead you through the entire process with ease making sure you are comfortable with everything that is happening. They are truly a positive model in the real- estate business.

 

Services-provide

What do Property Management Services Provide?

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Some people have a lot of real estates that they have to manage, others, on the other hand, might have some arrangements that will take them out of town and they want someone to look out after their house. Whatever the reason property management firms are here to help you with such troubles.

Maybe you are wondering what exactly do those people do with your house? That’s why this article is here, to help you understand what a good property management agent should do with your estate after you have entrusted it to their care.

Examine the Property Health

Before taking on your estate as their own responsibility property managers should make a general inspection of your estate so they can determine what is its physical state. They can also help you get some things straightened out so the situation does not worsen while you are away. The other responsibility they have is to make regular checkups of the estate and to make sure that everything is in order, especially if they rented the lot to someone. The maintaining of the estate as a whole and keeping it functional is one of their main responsibilities.

Finding a Reliable Tennent

The other important aspect of the property managers job is to find the right type of tenant for your estate. This means that they have to check the person and make sure that they are reliable and financially capable of keeping up with the requirements you have placed. They also need to keep in touch with the people who are renting your house because they are here to help if any emergency situations should emerge.

Regulating the Legal Aspect

One part of the property management agents’ job that is often overlooked but has significant importance for the entire process is the contract. That is, they have the responsibility to draw the necessary legal contracts between you and the tenant you are renting the apartment to and to get your signatures on them. That also means that you do not have to have any physical contact with the people you are renting your property to because the managers will do everything for you.

Collection of Rent

The last part of this break down of the necessary requirements that make up a good property manager is, of course, the rent. They are entitled to take care of all of the financial issues that you might have wit your tenant but mostly they just collect the rent and deliver it to you.

Conclusion

One of the main benefits of property managers is the convenience that they can give us in the handling of our place. They are here to make everything easy and to keep an eye on our house as if we were there to do it ourselves. Having such a helping hand is an important bust to our free time and they are absolutely reliable, they are the perfect hosts and estate owner replacement. Besides all of this they will not charge a king’s ransom for their services, so you can rest assure that your property is safety managed while you are free to do what you need to as far from it as you have to be.

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7 Responsibilities of a Property Manager

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Are you in looking for a someone to manage your property and do all that is necessary to keep everything floating smoothly in that respect? Are you wondering what exactly you can do about that? What options you have?

This time we will go over the basic responsibilities of a residential property manager. We will take a look at what they have to do and what exactly can you expect from them. That way you can know if the firm you are interested in hiring has all the necessary services for you to have the ultimate benefits of working with a property management company.

1. Rent

First of all, the main responsibility of a property manager is to ensure that the rent gets paid properly. This means that they will manage all the financial aspects of your rental and make sure that everything is done on time and paid to the full. That way you just have to collect the rent money and make sure that you pay your manager.

2. The Tenants

They also have to make sure that the potential buyers or renters have the necessary financial power to take on your property. They will check their financial background and also make sure that they make all the payments on time. Besides this, they will do all the necessary communication with them so you do not have to have direct contact.

3. Maintenance

The other important responsibility of a property manager is to make sure that your property is in top condition and that everything is running smoothly. Having a grip on things so to say, they will be your eyes and ears when you are not able to check everything by yourself. They will also do all the repairs and regular maintenance jobs.

4. Knowledge of the Law

They have to be informed about all the laws and regulations in the country where you want to rent or sell your property. Besides informing you about your responsibilities to the local and state law system, they will also do all the necessary legal preparations for you. That is, they will make the contracts for you and your client to sign and make sure that both of you keep your end of the deal.

5. Supervising

If there are any construction or maintenance jobs that have to be done on your property they will be present during all of those activities. Controlling all the jobs and making sure everything is done on time.

6. The Budget

They will also keep an eye on your spending and make sure that the end

balance is good and that no money is being lost. They will also deduct the money they need from the rent to pay the bills and all the other costs of maintaining and managing your property.

7. Taxes

The last responsibility they have is to look out for your taxes and inform you of the necessary payments you have to make. This is also a very important job and if it is poorly managed the costs can be great. Make sure that your managers know everything about the tax system you have to abide by.

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