(480)-772-5024
 

Mesa Property Management Blog

Your Rental Property Foundation

System - Wednesday, May 17, 2017

  A proper foundation does more than just hold a house together. When built properly, a strong foundation strengthens the structure of your home and protects it from the outside elements. You cannot predict the storms and accidents that will strike your home, but you do have control over your foundation and depending on how well it is built, you will be able to withstand many unforeseen issues.


  The same goes with property management. When owning a rental property, there are many steps that need to be taken in order to have a solid foundation which will eliminate future issues. Understand that owning a rental is not the perfect investment, but with the right tools and proper preparation (building that foundation) it can be nearly perfect. With any investment, the #1 goal is to make money and with the right knowledge, you as a real estate investor can limit the stress and issues that may arise with tenants and your home.


  In 1853, the Mormon Pioneers broke ground on their grand temple in Salt Lake. For seven long years, the people of Salt Lake dug and prepared to lay the foundation, 8 feet deep, all made of sandstone. The workers who were investing their own time and money into the building suddenly discovered a major crack in the sandstone blocks of the foundation. They were faced with a dilemma, do the best they could to patch the cracks, which may cause issues in the near future when continuing to build, or rip out seven emotional years of hard work and replace the blocks with a more solid foundation to support their dream. The pioneers chose the second option, and now the beautiful Salt Lake temple sits in the core of the city. Overlooking one default in your rental property can cause major issues down the road to both you and your tenant. Addressing a default with your rental can also make you a lot more money in the long run as well. Even if it may seem impossible to repair, trust in your property manager to take care of both your investments; your home AND your tenant.


  When trusting a property management company to build your foundation, integrity is an important trait. MyHome Property Management takes pride in our client-first approach as well as the relationships we build with our tenants, which in return affects how your home is taken care of. Every action we take is backed by our promise to our clients: eliminate unnecessary costs, treat your home like our home, and treat your tenant fairly and professionally. After all your tenant will be our business partner for the next year or two.


  Contractors use a special tactic when building the foundation of your home. Pouring the concrete requires a patient technique to make sure it dries properly. Rushing the cure can cause cracks down the road and may eventually be the cause of your home collapsing. Understand that placing a proper tenant may take time, and when rushing the process, you may place a wrong tenant in your home. Unfortunately this happens way too much. Arm yourself with the proper management company that hold the tools to rent your home quickly to the RIGHT tenants. Properly screen your tenants while checking credit, income and rental history. If a tenant is unqualified and wants to rent quickly, take into consideration the issues that could arise down the road.

  Real Estate investing has established a reputation to be the smartest way to direct your investing attention for a reason. The returns are great, the possibilities are endless and you have the ability to control your risks. There are many tools for you as the investor to use, so take advantage of them. Have the peace of mind that your foundation is solid and can withstand any obstacles. MyHome Property Management is here to assist you in your rental needs. We offer proper tenant screening, the care a tenant deserves and the tools for all parties to succeed. Let us help you build your foundation for a peaceful rental property experience.

5 Tips for a Successful 2017 with your Rental Properties.

System - Monday, January 9, 2017

Welcome to 2017!


  It is a very exciting time to be in the real estate market, experts are predicting a strong 2017 without many risks involved. Many positive factors are in play that we didn't see last year, such as our post-election economy, more millennials purchasing their first homes, low interest rates with a healthy moderate rise and more people qualifying for purchasing after a hard recession. With a new year comes new opportunities to grow your investments and solidify returns in rental properties, so here are 5 quick tips going into 2017 that can help you with your self management or when considering how to strengthen your rental assets.


1. Limit Vacancy


  Many property management companies and owners don't understand that vacancy is the highest expense when owning an income property. Not only do you have to pay for your home to be “rent ready”, but you are missing out on the potential rent you could be collecting if you just resign your tenants. What if your tenants are unhappy with their rental? A good manager or landlord would negotiate with the tenants ways to get them to stay, such as keeping the rent the same and not raising it, fixing minor issues that could be bothering the tenant, giving them a $250 credit towards next month's rent, etc. As an owner, hearing these options might make you cringe, but think about it. If you are collecting $1400 a month in rent, what is $400 worth of requested repairs compared to a month of vacancy and no rent? Do what you can to keep your tenants there.


2. Do Not Be Cheap, Yet Limit Expenses


  This tip expands to many different avenues of owning a rental property. Leasing your home to the right individual makes all the difference in limiting expenses and wasted time on your house. When renting on the open market, make sure to charge your prospects for a background check. Check the essentials: Credit, Income, Background, Rental History. Evictions are a cancer to successful rentals, so do it right the first time. When you have a tenant in place, make sure the home is ready for your tenants to move in so your first week isn’t consumed with fixing the small issues.

  Understand that owning income properties will invite unexpected costs to your wallet such as broken appliances, normal wear and tear, etc. Remember, spending the extra penny now will save you down the road. I’ve seen too many owners go the cheap route and install a cheap laminate flooring just to have it cut out and replaced a year later because of water damage. If they would have spent 50% more in the beginning and purchase tile, they wouldn’t have to spend 150% a year later. Have a go-to handyman that you can trust and give all your business to. Most contractors will give you a better deal if you use them each time you have an emergency or repair. Fix items at once while your handyman is at the home instead of prolonging the repairs. Consider a property manager who has their contacts and are more knowledgeable regarding what you can and cannot charge tenants. The flat fee or 8%-10% may help you limit expenses during the lease and also help you get top dollar for rent.


3. Establish Expectations


  This tip is crucial to a steady, consistent return for your income property. When a new tenant moves into your home, establishing the lease terms and expectations in the beginning will save you many late nights and unwanted phone calls during vacations. Give your tenants an email to reach out to for issues or requests. Do not let them call or text you after 6pm for non emergencies. When rent is due on the 1st, that means it’s due on the 1st! Naturally, we want to be compassionate towards our tenants. If one comes to us with not enough to cover rent or asking for more time, we may feel bad and allow our feelings get into the way, but once you allow them to be late once, get ready for a spiral of reoccurring issue that takes more of your time each month. Enforce late fees and be quick to start any court actions if rent is not paid on time or if terms are being broken in the lease.


4. Business is Business


  A very common mistake is renting to friends, family or the general public without an official lease.  When things are not okay, they go bad quickly. The best way to prove an agreement in rentals is a signed lease. Some may purchase income properties for the sole purpose of renting to family which is completely ok! But if your intentions are to maximize your returns and limit costs, do not comply to a favor, smaller rent or unnecessary repairs. Investments are purchased to make money, so stick to that original idea. Remember that everything is going to be fine until it is NOT.


5. Treat Your Tenant Right


  You must find the right balance of strict enforcement while respecting each other. This doesn’t mean take your tenants to dinner and a movie, but you can create a professional relationship. Understand that if a tenant doesn't like their landlord, they are not as motivated to take care of their home. Your tenant is an investment as well, so treat them with respect just like you expect them to treat your home with respect. If they are planning on moving out, let them know that your goal is for them to get their full deposit back. This mentality will give you a greater chance of receiving the home in a rent ready condition which limits vacancy and repair costs. It makes all the difference.

  Some self managing landlords can do it all themselves. Many strike the goldmine with great tenants who respect their homes, pay rent on time and rarely have problems. Others experience issue after issue and are done with the self management aspect of rentals. These are the principles MyHome Property Management do business by. They do not guarantee perfection (we wish) but we continue to grow weekly because it sets all parties up for success. Owners appreciate how we do business with their tenants and the tools we provide them to succeed. Let 2017 be your year of success and growth in real estate.

Vacancy

System - Monday, November 21, 2016

  When homeowners decide to rent out their home or purchase a rental property, one common expense is overlooked during the process. This expense when not addressed properly can cost the owner hundreds, if not thousands of dollars. We overlook this expense regularly because it hides behind many other expenses such as cleaning your home, painting the walls, carpet cleaning, fixing repairs, etc. This is expense is VACANCY.

  How does vacancy affect your income when owning a property? Let me explain in simple numbers. Let’s say your home rents out for $1000 a month. For simple math purposes, divide 1000 by 4, which means each week you will be paid $250 when you have a tenant in. So when your home sits vacant for 2 weeks, you are missing out on $500, or if you home rents out for $1500, you are missing out on $750. Some investors are in different circumstances which allow a little more grace when it comes to collecting rent, but money is money, especially in an investment. Many of you might have a mortgage on your property which means when the home is not rented, you are paying out of pocket to cover the mortgage. Others own their rentals completely so they might not be as motivated to rent as quickly, but like I said, money is money and you own this investment to make it.

  So how can a property management company harm your investment? Many companies in the industry, if not all charge some sort of leasing fee to fill your home with a tenant. This may be full months rent, half months rent, a flat fee or a percentage of the gross lease, which means there is a monetary interest when leasing your home. If a company has your best interest in mind, wouldn't you think their #1 goal would be to fill your home with a tenant and sign them to a long term lease? That’s what you would hope for, but many times that is not the case. If they fill your home with a short term tenant, then a year later they will be able to fill your home again and make another commission from you. Not all companies do this, but many do which is unfortunate. Many companies also have in house maintenance companies and make their money off of the repairs of the home. This can be dangerous not only because they sky rocket their prices, but because they may neglect routine inspections or offering tips to the tenant and make sure they are taking care of your home properly. They know when the tenant is out of there, they can go in and make an extra hundred dollars from repairs.

  The MyHome Property Management structure was built by asking this one simple question, “What can we do to eliminate all unnecessary costs that owners are charged, and what can we do to make sure they receive the highest return on investment?” We took each industry necessity and evaluated it, starting with the monthly service fee all the way to how we treat your tenant. This is how we do it, starting with the leasing process. We have set up all the tools to make sure we rent your home out as soon as possible, such as proper lead collection, making sure your home is marketed on the right websites and offering marketing reports for full transparency. We show all your homes personally, so you won’t have to worry about any strangers coming through your doors. Also this gives us the opportunity to meet with them in person and go over expectations and leasing guidelines to make sure they take care of your home. At move in, we will never charge additional admin fees or monthly charges on your tenants. That is our promise to you.

  MyHome Property Management is here to help you with your investment. We take care of everything for you and we offer a more personable service to you and your tenant, guaranteed. We are confident you won't find a more convenient, relaxing service out there. Experience the difference yourself.

Are you sure you are "Investing" right?

System - Tuesday, September 13, 2016

 Imagine if some random person you have never met wants to borrow your car, what would you do? You would first check to see if they have a driver’s license, then check to see if he's insured, maybe check his driving record? You would make sure this stranger is qualified and able to take care of your possession. If it was me, I would ask how he plans on paying for not just using my car, but any potential accidents. I would want to check every possible angle for losing money. The same is with filling your investment home with a tenant.


 There is a mutual fear I see when owning a rental property, “Will the right tenant be placed in my home?” It is a valid concern that is not addressed enough in the property management industry. Smart real estate investors know that many factors are considered when purchasing the right property. This includes timing, repairs, low maintenance, choosing a hot market, etc. When investing your hard earned money into a business, you expect to be presented with all information including a business plan, budget, costs, expected time of your ROI, etc. Investing requires your due diligence, and when you place your money in the right area, the returns can be substantial.


 So why am I bringing up investing? The second most important investment next to the structure of your property is... the TENANT! The tenant almost always is not treated like an “investment”. It wouldn't make sense for you to spend all this money on property when you are just going to fill it with someone who won’t take care of it. This is when “If I rent out my home, how will I know it will be taken care of…” comes into play. The majority of property owners hire a property management company when they need them most, filling their place with a tenant, which makes choosing the company very important. If your tenant is an investment, then you cannot just rely on hiring a company to manage your property, but also make sure they have your best interest in mind when filling it with a tenant.


 MyHome Property Management specializes in finding the right tenant, the first time. This doesn’t mean finding a tenant that will just pay rent, but one that will treat your house like their home. We have an extensive tool kit to make sure the tenant is chosen properly, while helping them understand it is a privilege to rent your unit. This starts with our screening process. We have teamed up with RentPerfect (ISC) to make sure we catch any current and past judgements or evictions before it’s too late. We check rental history, (You wouldn’t want to lend your car to someone who has been in 5 accidents in the last 2 years, right?) and make sure their past leases have been positive experiences for their previous landlords. In addition, we provide tools for the tenant to make sure they are set up for success while leasing and when they move out. Our formula is simple, happy tenant + professional property manager = successful property owner. We know we are professional, and we know we want you to be successful, so we focus more on the tenant than any other company out there, and that is a guarantee. We do not charge unnecessary admin fees at move in our spike up the monthly tax, this only frustrates the tenant more and your home hurts the most from this greedy action.


 Does this mean MyHome will eliminate all risk of repairs, evictions and unnecessary costs for you as an owner? Unfortunately no, but we are confident your risk is greatly slimmer when under our management. We treat all tenants as people, which entices them to stay longer and take care of your home. This makes you happy and proves to you we have your best interest in mind. There is no other service more personable than ours. Get the tools you need to succeed, www.myhomepm.com

The MyHomePM Way

System - Monday, August 22, 2016

  Some of you may know, I have decided to launch MyHome Property Management! Owning an investment property can be very difficult, so why should choosing a company to manage be just as hard? MyHome Property Management is changing the game by focusing on PROPER tenant screening and a more personable service to you AND the tenant. I promise you the big companies can't offer that. My purpose for this post is to share what sets MyHome Property Management apart while revealing what is hurting the industry and how I avoid it.


  So why did I launch MyHome Property Management? Well, I have been in the industry long enough and have been in different positions to know that there is a lot of good and bad in property management. Luckily for home owners, there is a lot more good, and the bad can be eliminated as long as the company is in the right position to do so. A lot of companies are stuck and not able to make the changes, which gives MyHome the advantage. My vision was to create the best system in the industry, taking what companies are doing wrong and kicking it to the curb, while specializing in those services that are making companies prosper. Many companies out there offer a great service, but I haven't found one yet that offers the "entire package".


  What makes a good property management company you ask? All companies will agree that the #1 priority is, of course, their clients (the owner). If that is not #1, a property management company would never thrive. Very few companies will not have their owners as top priority, and they will fail quickly. So then, what is #2? This is where companies differ from one another. Some may say home maintenance, leasing, proper management or technology. The MyHome Property Management #2? The TENANT! Why the tenant? Well I believe the tenant is your #2 investment next to your home structure, so why should that not be ours? The truth is, if you invest in your tenant, you will eliminate the high cost of a turnover and have a higher ROI. If you do not invest in your tenant, well then the opposite occurs. Nasty turns, constant maintenance calls, late rent payments, etc. This means finding the right tenant the first time is highly important, almost just as important as finding the right home to purchase as an investment! That is why we offer a 12 month tenant guarantee. We are that confident our system is the best in the business. Your investment is OUR investment.


  Lets talk about our leasing system. Most companies use an instant check that cannot detect current lawsuits or evictions. For all you know the person you just approved just got kicked out of their past rental and put their buddy as their last landlord for a good reference. MyHome Property Management has teamed up with RentPerfect, previously known as ISC (Investigative Screening & Consulting), and use their private investigation skills to dive into the local courts and detect these red flags at no extra cost to you. Of course this cannot eliminate your risk completely, but it does cut out a huge chunk of it. The big guys in the industry don't have time to check this, they have too many leads coming in and don't have enough employees to fill their homes! So what do they do? They choose the cheap way, disregarding your rental and what is best for you. They know that if they fill your home with a bad tenant the worst that can happen is they will get evicted or break their lease early. This ends up costing you more while they make more on a new turn. And to top it all off, what you don't know is they are charging monthly administrative fees on top of the municipal tax, some even taking a percentage of their deposit at the end. This only aggravates your #2 investment more which then hurts your #1 investment because they trash it.


  Do you know the highest expense for your investment? A turn! We specialize in finding that long term tenant PROPERLY.  I cannot tell you how many companies out there prosper on your turn. They are not just making another commission on your lease, but most companies have a kick back or an interest in the maintenance company they are pushing you to use so they can profit even more. It's smart for the companies and it's not illegal, but can they honestly say they have your best interest when they are hiding these facts from you when you sign up? That's not the MyHome way.


  Your home is our home, and together we make it the tenant's home. Our vision is to make all parties involved in your rental successful. This can be done without having to lower customer service standards and treating tenants poorly. We believe in treating the tenants like people too, while being aggressive with rent collection and setting them up to succeed at the end of their lease and move out. We have created the tools that are needed to set all up for success, while making it a privilege to lease out your home. I am confident you will not find a more personable service, I guarantee it. Those involved on the MyHome Team are excited for the future and to assist in your rental.

Connect With Us

Affiliations

Contact Us

One Way Homes
5524 E Baseline Rd
Mesa Arizona 85206

Designated Broker: Tanner Lee
Phone: (480) 772-5024

Copyright ©

One Way Homes. All Rights Reserved.
Property Management Website powered by Free Rental Site | Sitemap