When you are a property manager or landlord it can be a very challenging thing to know when to raise peoples rents and by how much. You want it to be beneficially for you but at the same time not have it to high forcing tenant to move out causing you to have a large amount of vacancies.
The first thing I would recommend is to do your research. There are plenty of websites now a days that can assist you in determining what fair market value would be to rent in your area for e.g.. www.zillow.com and www.rentometer.com. These sites will giving you a good determination what you should be charging.
The next thing I would say is don’t raise everyones rent at one time. Chances are that not everyone’s lease will finish at the same time but if they happen to be around the same time frame I would recommended you stretch them out as much as possible, again you don’t want to risk having to may people move out at once.
A tip that might help and I find to be a very effective method is to try your best to time it and raise rents around tax time. It will benefit both you and the tenant in the sense people have extra money around this time of year and if they are not happy and don’t want to move forward with he new rent amount they aren’t stuck with no extra money to move and find a more suitable place. This will also benefit you because people are always looking to move at this time because they have extra money so you will stay vacant for a less amount of time. Second best time would be around when kids start school. People alway want to move and get settled before the new school year starts so its best to raise rents around these times because chances are you can rent the unit out much quicker if the tenant decides to leave.
Written by Scott Esmail
When owning a property one of the things that come along with it is having to obtain insurance for your home(s), whether it be your rental properties or primary residence. While everyone hopes you never actually have to use the insurance there may come a time when damage can occur whether it be a natural disaster or accidental that you will have to file a claim.
If you are an investor chances are you have a commercial policy as group insurance for all your properties, this is often different from a regular residential home policy where you have a flat rate deductible of around $500-$1000, generally the lower the policy amount the higher your deductible will be. Commercial policies are often a higher deductible it usually will equivalent to on average 2% of the value of the home so for example if your home was valued at $137,000 your deductible would be around $2700. This is something you would want to pay attention to especially depending on the severity of the claim it may end up costing you less to just get the work done without filing a claim. In both cases when it is a natural disaster it wouldn’t effect your rate, however if it is accidental you could expect an increase upon renewal.
The process for commercial claims can be a bit different. Generally the insurance company will send out an adjuster within 48hrs to access the damage. Once they do so they will offer a settlement payment for damage which will not necessarily cover the damage. They would then offer you this payment amount to hire a contractor to get the work done yourself. You can then hire a contractor to give a quote for what the work is going to actually cost and appeal the settlement amount, at which point they will re-visit the amount with the contractor. For residential they will often hire contractors they are affiliated with complete the work. I often find either way the pay outs do not cover the complete cost of repairs which is always something to consider when filing a claim.
Written by Scott Esmail
Many of you have been wondering with the events of hurricane Irma tearing its way through parts of the Caribbean and headed towards the US State of Florida “How do I prepare my home for the hurricane to avoid as much damage as I can”? In such a circumstance as this one it may be impossible to avoid having any damage but here are some things you can do to best prepare your home and yourself for this and other devastating events
For a complete supply list of items for you should have prepared for you and your family please click the link below that The Red Cross has provide to ensure safety for all https://www.redcross.org/images/MEDIA_CustomProductCatalog/m4340160_Hurricane.pdffor This list includes all important items to have on hand including water, non-perishable foods, and safety items that can protect you and your family
The most important thing to always remember when encountering such a traumatic situation is your home and belonging can alway be replaced but your life cannot be. Always put yours and your families safety as the number one priority and be sure to stay inside during these storms do not attempt to leave any safe area and always listen to your government officials if they recommend you to evacuate prior than that is what you should be doing you lives are not worth the risk.
Stay Safe everyone
Written by Scott Esmail