Rental Management Tips for Finding Tenants

Whether or not you have a single complex or hundreds of rental properties, it’s crucial that every unit is rented by tenants to keep up with your profit. Every tenant is found by several various ways. It could be putting up a “for rent” sign, using the newspaper and yellow pages, referrals and several other more means of finding possible tenants. But what could be the best rental management method in finding tenants?

The answer to find potential tenants with a “for rent sign” is traffic. The more people see your “for rent” sign, the bigger your chances of renting your property. In enhancing traffic, you can use a “for rent” arrow set on a major road to direct people to your property. If necessary, you can use multiple arrow signs at intersections in the area to guide them to my property. You can even put up a sign to your neighbors or to buildings or shops alongside your property if they allow it. Arrow signs work wonderfully in finding tenants.

If you want to be contacted immediately, you can record a message to your answering machine. As potential tenants call you and you’re not available, the recorded message can provide them all the details necessary. So, your message should contain all the essential details such as the rent amount, the deposit amount and the number of rooms available. This recorded message set aside several callers searching for lower rent, more bed rooms and many more. Doing this will save you a lot of time. As a rental property owner, you should make call backs to the person that leaves a message so you can schedule the time wherein you can show the property. It’s best to show the property as soon as possible so you can schedule more appointments. You can even invite all of the renters to view the property at the same day, doing so will save you a lot of time and less work for you. Moreover, prospects see the competition that adds up to the sense of urgency and pressure to their decision. It’s better to communicate with them and acquire a commitment for a meeting and meet that day before they find a new property.

When it comes to choosing tenants, you require to measure several inconsistencies such as how viable is the tenant to pay, how well they can take care of your property or how may prospects you’re planning to have. Often, your decisions depend on the property itself and the background checks that you’ll have to do to your potential tenants.

An Introduction To Real Estate Property Management Software

The real estate market is a booming industry. The success of the industry is a result of competition and the intervention of modern technology. Most people in the business prefer to use real estate property management software to stay ahead in the race. This software has been designed to cater to commercial and residential property, office buildings and apartments.

Real estate property management software is an effective and easy-to-use tool. This software helps people understand the real estate business. It is a quick response application that can store each detail of every transaction. This helps study non-payments and full-payments of rent, and maintains a detailed report of rent receipts and invoices.

Property owners are able to key inputs as and when required. The secured system is intelligent and allows changes from authorized personnel. Real estate property management software can evaluate an unlimited number of properties and units simultaneously. The software stores detailed data related to rent payments for all individual properties. This systematic approach eliminates any problems due to taxation.

Real estate property management software generates automated reports in cases of wrong payments and non-payments. The software does away with the practice of owners waiting for rent payments. All maintenance expenses or any extra revenue statements are regularly updated. The software also stores tenant information.

Residential property managers must select property management software that is most suited for their work. These applications are available with one-month money-back guarantees.

The residential property management system is considered to be time- and cost-effective for a manager and resident. The application can create a personalized website for an individual company in a relatively short time. This allows prospective and existing customers to visit the web site. This is a convenient method to view pictures of property, pay rent and submit maintenance requests.

6 Important Details You Must Look For In A Property Management Contract

Property Management refers to the operation, control, and oversight of real estate, and also includes the management of personal property, equipment, tooling and physical capital assets. A contract with such a provider should include all the details regarding the agreement between the two parties. Here are 6 things you must double check in the contract before signing:

1. Services Promised

Before you sign the contract, the first thing you must check is whether the services mentioned in the contract are the same as the ones promised by the service provider. Often, they make tall claims during the negotiation process, and don’t follow through with those claims. If you find any service missing in the contract, immediately contact your provider.

2. Service Charge Information

Sensing that you are new at managing your property, the service provider might try, and charge you extra money for the services. You can prevent this, by conducting an extensive market research about the prices of various services that are being offered in the property market. If you find any discrepancies in the price quoted in the contract, point that out, before signing the contract.

3. Obligation Of The Property Owner

This is an important sub-section of such a contract as it talks about the responsibilities and liabilities of the property owner. Make sure that the service provider doesn’t add binding clauses to the contract, such as preventing the owner from placing a tenant, or asking the owner to procure consent from the property manager before entering their own property.

4. Duration Of The Contract

The time span of the agreement between the two parties is also an important point that you must check in the contract. You must ensure that the duration of the agreement emulates what you discussed with the service provider.

5. Property Manager’s Liability

This part of the contract is something you cannot miss at any cost. The property manager’s liability defines the instances when the manager will not be held responsible for errors or misconduct. You should discuss this with the property manager, and make sure that the liabilities are reasonable.

6. Termination Clause

Termination clause is the condition under which the contract will come to an end. This is something you should really take notice of and understand. Sometimes the property manager might add contrary clauses in this section, so you should be alert.

To safeguard your interest, you should carefully go through all the clauses, and make sure that your service provider is not taking you for a ride.

Property Management For Northern Virginia Real Estate – 10 Tips

Below are ten critical tips garnered from a property management company with over 15 years of experience in the Northern Virginia apartment leasing market. Of course, entire books have been written on the subject of property management, so think of the below as the start of your education as a property manager.

1) Research comparable rent prices. It is very important to do your due diligence when it comes to what price you’re going to advertise your property for. Price it too low and you’re going to lose out on extra rental income, too high and you might never schedule a showing of the property. Rent price is dependent on a number of factors including, the economy, whether people are buying versus renting, if local companies are hiring and moving people to the area, what current comparable listings you are competing with, and what prices have been obtained recently. For a list of comparable rent prices and average days on market it’s best to consult a local Realtor. In Northern Virginia be sure to research comps from NVAR’s metropolitan regional information system.

2) Clean and prep your rental property. First impressions can mean everything. If your rental property does not show well this can be devastating. You can be in the best area, across from a metro station, and with tons of companies hiring just around the corner, but if the walls are marked with crayon and you can’t pinpoint that certain smell (the not good one) then you’re likely not going to find a tenant. A reliable cleaning company in Northern Virginia is Maid Perfect.

3) List the property on the local MLS. The Multiple Listing Service (MLS) in many areas is going to be a solid source of leads for potential tenants. Real estate agents can list your property on the MLS and then the property is exposed to thousands of other agents who can show the property and find tenants for your unit. In Northern Virginia make sure your property is listed on MRIS.

4) Post your property on free listing websites. 70% or more potential tenants start their search for a rental on the internet. That being said, you want your listing to be posted on as many sites as possible. There are too many to list in this article, but a few Google searches will lead you to a ton of websites willing to host your listing and contact information free of charge. Use these sites to actively market your rental property. In Northern Virginia one of the key sites to be listed on is the Washington DC section of Craigslist.

5) Market your rental unit to local companies. One of the main reasons that people move is for a new job. Companies that are actively hiring are typically the largest source of new tenants in a given metropolitan area. Make best efforts to get in touch with the relocation departments of local companies so that they can actively source new hires to you. These new hires NEED to find a place to live and will be the best source for tenants that are ready to make a decision. In Northern VA, you can find a list of the largest businesses in your area by visiting Fairfax County’s government website.

6) Shoot a short video of the rental property. Pictures are nice, but video is better, especially when dealing with potential tenants that are relocating and can not see the property in person. You can use the video to qualify potential tenants for showings. Simply host the video on your favorite free video sharing site (YouTube, alo video, etc… ) and then point the potential tenant to the video to make sure they are interested in your unit. If they have further interest after the video showing, it might be worth setting up a showing in person. The average tenant looks at over 6 properties before they make a decision, so shooting this video can save you quite a bit of time when dealing with potential tenants that just want to take a look, but are not ready to make a decision. In Northern Virginia you will want to post your video to Fairfax TV.

7) Run a thorough credit check on the tenant. If we lived in a perfect world, everyone would pay their rent on time and there would be no evictions. The problem is we don’t live in a utopia. Have you tenant fill out a rental application which gives you permission to run a credit check on them. Make sure that you follow the latest FCRA (Fair Credit Reporting Act) rules and regulations and get a FICO score for the potential tenant. This score will give you a good idea of whether the tenant is going to pay the rent on time, late, or not at all. A bad score usually means a tenant that will give you problems. It’s better to leave the place vacant than take the risk. In Northern Virginia the you should provide the tenant with the FCRA rules and regulations after running their credit. Legalities are often state specific. Please consult your state’s landlord tenant act before running credit or other background checks on potential tenants.

8) Obtain a rock solid lease agreement. The lease dictates the relationship between the landlord and tenant. You want to obtain a fair lease agreement that protects you as the landlord. If things go well with the tenant, then you will probably never look at the lease again, however, at the first sign of trouble, this piece of paper is all you have to get you out of a bad situation. It may be worth having a leasing specialist or Realtor draft the lease for you, a lawyer might be too expensive, unless you have multiple properties and can reuse the same agreement. In Northern Virginia you’ll want to contact NVAR to obtain a rock solid lease.

9) Find a good contractor. When the plumbing goes out, or the HVAC does not work, who are you going to call? If you’re an expert in these areas then you have nothing to worry about… most of us aren’t. It’s a good idea to get to know an honest, reliable and timely plumber, electrician and general contractor. Timeliness is of supreme importance. Make sure to develop a good enough relationship with your contractor such that they take care of your tenants in a timely and professional manner. If the contractor isn’t contentious, it will hurt the relationship with your tenant. In Northern VA you can obtain a good list of contractors by going to the Washington DC section of ServiceMagic.

10) Consider using a Realtor, property manager or leasing specialist. Hiring the right help can make your life a lot easier. These folks will do all of the above and more for you. However, be sure to do your research. Not all property managers are created equal. Use someone local who has expertise in your community.

How Does Online Property Management Software Work?

Traditionally landlord hires property management firms to look after their rental properties. Landlords have to pay high costs for management. And also firms often charge additional fees in the form of maintenance charges and service charges. Now, landlords can manager their rental properties on their own without needing help from companies. It is possible only by using online property management software tools which are easily available in the market.

With the evolution in technology online property management software tools are developed to assist landlords in property management. Tenant software allows manager to perform all the actions quickly, accurately and effectively. Software also stores the voluminous data in the centralized database which can be accessed at any time from any location. In order to use the online landlord software users have to log in into the website.

Property managers can use the software to perform all the calculations automatically avoiding any errors. Managers can retrieve the information from the database and can generate customized reports to use the information in a more meaningful way.

Customized reports can be used to find the status of tenants and their history as tenants. It lets you find which tenants are good for your properties and which have dubious character. Finding the tenants who have dubious character you can get rid of them as soon as possible without creating many problems for you and other tenants. And those with good tenancy record will be given a chance to extend the contract.

For finding bad tenants you can choose certain criterion such as. How many times the tenant is issued legal notifications? How he replies to the notification? How much time he takes to respond? How many times he has been issued eviction notices? And many more which are suitable to find the bad tenants out.

Another advantage of using the landlord software is to find the average rental income from a property unit. You can compare the average rental income of the current year for a property unit with the past year income and with other similar property units in the area. You will be able to decide whether hikes in rental payments are due or not. If hikes are due then you can communicate the information to the tenants instantly using the online property management software. They can give discount to the good tenants and can charge the new tenants with the new rental rates.

Average annual income of property unit will help to find whether the property unit is gaining profit or recurring loss by comparing with the amount of money spent on it. If the property unit is recurring loss that property managers can take a better decision to make it profitable.

The landlord can take immediate action to start the maintenance. You will be able to keep tract of all the maintenance and repair work expenditures. Hence you will be in better position to control the flow of money in the business.