Real estate has always proven an attractive market, ways to increase wealth according to the value of a property. While this market has always proven highly volatile, one of its more stable components is managing rental properties. With the recent downturn in home prices and the turn away from buying to renting, it perhaps has never been better to jump into the rental management business. But before you make the plunge, here are a few considerations to keep in mind.
Rental properties-especially foreclosures that you might pick up on the cheap-are prone to requiring constant repairs and maintenance. This is compounded if you let your apartment to renters who are particularly careless about the home’s upkeep. Not only do you need to carefully screen for quality renters, knowing how to-and having the time to-personally deal with household repairs can mean enormous savings over the long run. If you constantly have to contract a plumber, electrician, and a handyman, your bills can quickly overcome any income generated by the property. (more…)
The most important task for a property management company is collecting rent. So make sure to do anything in your power to have your clients put their monthly rent as their number one financial obligation. That means when they move in, it should be understood where the rent payments are to be sent, what date the rent is due by, and that late payments will not be acceptable. To impress this on them, call them, or send a correspondence a week before the first month’s payment is due as to how much is to be paid, where to make the payment, and the last day they can make the payment without incurring a late fee.
Make rent payment as easy as possible for the tenant. Besides a mailing address, they should also have a place where they can drop of payment. Many times clients might want to pay with cash, and being that it’s a bit of a hassle to get a money order, stamp etc, they miss the payment deadline. Then, they spend the cash on something else, and to whole problem gets started. Some landlords even have websites to accept credit card payments. It could run 2.9% or so in credit card fees, but they might wind up better off because they have less tenants falling behind, and less legal fees in the case of eviction. Another overlooked simple tip. Self addressed envelopes that are already stamped. Even if you saved only one or two tenants from falling behind, it’s a worthwhile investment.
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San Jose is the third-largest city in California and the tenth-largest in the United States. With its fast growing population, San Jose is now one of the fastest growing cities and most populated city in Northern California, third most populated city in the whole state and tenth most populated city in United States. It has a very diverse population as to race and religion.
San Jose is located at the southern end of the San Francisco Bay Area commonly referred to as Silicon Valley where local technology industry is booming. San Jose is also known as the Capital of Silicon Valley.
Being one of the primary cities of the San Francisco Bay Area, and the largest in terms of population, land area, industrial development and the pressure of economic crisis, meeting the demands of managing your own property can be very stressful. Property management in San Jose needs expertise. When you feel you are unable to meet the demands of managing a property that includes preserving its resale value and attracting greater income and profits, you must start looking for property managers.
There are many San Jose property management companies but choosing the right property manager requires a lot of thinking. Here’s a checklist that might help you in choosing the right person:
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