Antelope Valley Insight>>>Classic Property Management

Antelope Valley Property Management and Rentals

Classic Property Management Jonathan Mitchell (Classic Property Management) — Sat, 03 May 2008 19:06:48 -0500

For those of you who frequent my blog, this blog is going to be a bit different. I usually write my blogs to cover a wide range of rental home owners in an effort to help them in their quest for a successful rental. For this particular blog however, I am going to focus primarily on the rental homes that are in the Antelope Valley in California.

The Antelope Valley consists of several cities which are located fairly close to each other. The two most well-known cities are Palmdale and Lancaster. Palmdale is about an hour or so north of the Los Angeles basin and Lancaster is about 15 minutes north of Palmdale. One distiction that the Antelope Valley is unfortunate enough to have is that of one of the worst hit areas of the state with the current foreclosure mess. As a result however, it has never been a better time to rent out or purchase investment homes!

Current trends in the local rental market show a steady increase in the amount of renters looking for a place to call home. Many of these renters are prior home owners who had to let their homes go back to the bank after their ballooning payments got out of hand. Others are people who would have qualified for a home purchase but are now unable to do so due to the recent restrictions in the lending industry. Still others are people who are currently renting in appartments and would like to trade up to a house. All of these groups are beginning to pile up and create a rental housing demand that we have not seen in years! Obviously, this benefits those who own rental homes, but it is also a great benefit to those that are thinking about PURCHASING a rental home.

The increase in renters has caused our available supply of rental homes to drop surprisingly. Of course, the laws of supply and demand come into play and rental rates begin to climb. It is now quite possible to purchase a home that will rent out for more money each month than you will have to pay in mortgage payments, property tax, etc. Most people listen to and base their decisions solely on what the media has to say about the market. The smart investors however, are those who are buying when others are not! That is when the great deals are found. Of course, we do recommend that you at least check with a local reputable property manager to see what a home will rent for BEFORE you buy it. We have gotten calls from several people recently who were told that they were getting a "great deal" only to find that the great deal was in favor of the selling party. Please take the time to talk to someone who knows.

Your Realtor may tell you that your 1,000 sq. ft. condo will rent for $10,000 per month, but just because they are involved in real estate, that doesn't mean that they are qualified to make judgements on the rental market. Dentists and brain surgeons are both medical professionals, but I wouldn't want my dentist attacking my brain with a water pick! Would you?

The Antelope Valley is going through a time of change, and all signs show that it will be a change for the better!!

For more information on how to become involved in real estate investing or for other solutions to today's rental market, please check out our website by clicking here!

Antelope Valley California golden poppies in bloom.

"The Real Estate Market" * A Fairy Tale - By Jonathan Mitchell

Classic Property Management Jonathan Mitchell (Classic Property Management) — Sun, 27 Apr 2008 23:15:40 -0500

In my last blog I mentioned the fact that here in the Antelope Valley, we have an abundance of massive homes hitting the foreclosure market. These homes are generally around the 2,500-3,500 sq. ft. range. Once the pride and joy of the valley, these homes are now silent reminders of the past age of the castle homes...

You see, once upon a time, there were wonderful wizards who spent their time granting wishes. For the sake of our story, we will call them"wizards" rather than "lenders." These wizards realized that they could make a lot of money by helping the local townsmen in their quest for vanity and fame. Up until this point, the townsmen had been content to live in modest dwellings--dwellings that were sized just right for their family's needs. No one quite knows what happened, but after a while, things began to change for the town's inhabitants. Suddenly, one by one the people began to come to the conclusion that a family of 3 could not live in anything less than a six bedroom castle. After all, how could they bear to live with themselves when the Jones's just bought a 4,000 sq. ft. castle for their family of 2? It was too horrible to be imagined.

In an attempt to restore their feelings of self confidence, our heroes paid a visit to the local wizard. The wizard's gilded tongue worked its magic on the family and without a thought in their minds, they signed the magic scroll and purchased their million dollar castle with no money down. Our heroes left the wizard's office with their hearts full of joy. Little did they know that the castle that they just purchased would eventually lead to their doom.

As the months advances, the family realized that their home was worth much more now than it was when they purchased it. This fact came to them none too late! For the Jones's had just refinanced their home with the wizard to purchase a beautiful new recreational carriage. Green with envy, our family visits the wizard once again. This time, the wizard tells them how easy it is to take their new found money, money that magically appeared in their new castle somehow, and use it to buy all of the toys that their little hearts desired. And so, without a thought in their heads again, they signed a new magic scroll and their toys were delivered the next day.

Unfortunately, the next day, things took a turn for the worse. You see, the village idiot began to sow tales of doom in the town. For the sake of our story, we will call him the "village idiot" rather than the "media." No one quite knows why the townsmen began to listen to the village idiot. He was not qualified to make predictions about the town's economy, but some say that if he failed to sensationalize every little thing and avoid sharing good news, then no one would ever listen to him again. And so, by the act of one village idiot, the entire kingdom would befall hard times. Sadly, history would show that whenever the town befell hard times, the townsmen would pay more and more attention to the village idiot.

Suddenly, no one wanted to buy castles anymore. In fact, those who purchased them during the times of plenty could hardly find someone who would take them for a fraction of their original cost! As the times grew worse, the town began to blame the wizards who made it so easy for them to compensate for their lack of confidence by buying castles. The wizard's magic was short lived, or so it would seem, for the magically low payments that the townsmen were paying to live in their castles soon tripled. Thus began the dark ages of real estate. These once prideful castle owners were now in the sad position of renting modest homes from those who resisted the urge to gratify their egos. And, although many would still say that the wizards were the ones to blame, most of the townsmen secretly knew that they should have read the magic scrolls before they signed them. So let this be a lesson to all of those who would commit to something that is unclear. Beware! Lest the same fate befall you too...

For more twisted fairy tales or solutions to today's rental market, please check out our website by clicking here!

Who Ever Said that "SIZE Doesn't Matter?"

Classic Property Management Jonathan Mitchell (Classic Property Management) — Fri, 25 Apr 2008 17:22:34 -0500

I am sure that most people have heard that phrase at on time or another. Shoot, maybe some of us have even USED that statement at some point during our lives! Most people probably have all sorts of negative images coming up in their minds when they imagine someone saying those dreaded words. Most people would probably be mortified at the thought of having to defend themselves with that statement!

I however, am in a position to tell people that very thing several times per week! I get a lot of calls from people who want to rent out their Antelope Valley homes. One thing to keep in mind is that the Antelope Valley has been severely overbuilt with 3,000+ square foot monstrosities. And why not? When the market was really hot, people were buying these massive homes like they were going out of style. Times were good! Equity on new homes was doubling every four months, builders were making money hand over fist, lenders were slinging home loans like dope on the corner, if you had a pulse you were qualified, and if you didn't have a pulse, we could still get you financing with a separate addendum.

Unfortunately, all good things must come to an end (just ask the lately incarcerated Wesley Snipes). Now that the market has dropped, these over-sized behemoths of the housing world are vacant, foreclosed, and rotting like stuccoed whales out here in the desert. Some of these owners are lucky enough to hold onto these beasts through some kind of financial wizardry. Of those that are so fortunate, some of them will call us here at Classic Property Management to inquire about the possibility of renting out their homes. Of those few who call us, a fraction of those will have a realistic expectation of how much they can get in rent each month...

What most people don't realize is that the rent prices of homes are not directly tied to the home's square footage. It makes sense right? In fact, if we could have a standard price per square foot for rental homes, that would make our job incredibly easier! To give you an example, we just rented out a 50 year old home that is about 1200 square feet for $1500/month in rent. A couple of miles away, we manage a two year old 2800+ square foot home that we are having trouble renting for $1900/month in rent. Common sense would dictate that if you are getting more than twice the house, you should be paying more than twice in rent each month right? It seems reasonable, but it just does not work out that way.

There are several reasons for this phenomenon which I am planning to cover in future blogs, but for now, let it suffice to say that in the rental market, "size doesn't matter!"

For more reasons that size doesn't matter, or other solutions to today's rental market, please check out our website by clicking HERE!

Southern California Investment Homes are BACK!!

Classic Property Management Jonathan Mitchell (Classic Property Management) — Thu, 10 Apr 2008 23:28:37 -0500

As many of you who read my blog know, the odds of getting your mortgage payment back in rent are ridiculously small in most cases. In fact, for several years, it was almost laughable to hope for such a return...until now.

The Antelope Valley was one of the areas in southern California that was hit the hardest by foreclosures. As a result of this unhappy reality, prices of homes here dropped like a rock. Our market has become inundated with short sales, foreclosures, auctions, and every other type of Realtor's nightmare that you can conjure up. There are homes that sold for over $250,000 just a few years ago that are now on the market for around $89,000.

Sounds horrible right? Not for the investors.

The saying goes that every cloud has a silver lining. In this scenario, the silver lining on the foreclosure cloud is the rental market and investment opportunities. A side effect of the massive foreclosure rate is an increase in the number of renters. Just because someone went through a foreclosure, that does not mean that they will no longer need a place to live. All of these people who got their homes by utilizing some kind of sneaky loan program are now having to turn towards the rental market once again. As a result, the massive surplus of rental homes in the area is beginning to shrink. Rental home prices are going up, and vacancy rates are coming down!

Here in the Antelope Valley, the market drop has made a tremendous impact on how investors are looking at the area. For the first time in years, homes can be purchased and rented out for MORE than the owner will pay in insurance, property taxes, and mortgages combined! Due to the fact that I work for a property management company, I have the ability to track rent prices as they rise and fall. As a result, we as a company have been able to help several investors in their quest to find properties that are capable of producing a positive income each month.

Just because the market has taken a downturn, that doesn't mean that all hope is lost! Hope is always to be found if you look in the right places. For those investors out there, take a look at the southern California real estate market. You just might be surprised to find that there are amazing deals to be had and money to be made!

Classic Property Management...finding the silver lining in a cloudy market. For more silver linings, feel free to check out our website by clicking on the Classic logo to the right!

Property Managment Benefits Tenants Too!

Classic Property Management Jonathan Mitchell (Classic Property Management) — Mon, 31 Mar 2008 16:05:23 -0500

I have written several blogs about how home owners can benefit from the services of a property management company. There is no better way to screen and place a tenant than to have it done by someone who does it all the time. After all, these guys do get paid for something, right? We are in a whole new era now. You can not simply trust someone to rent your home based on the fact that they are an "honest looking guy."

For this blog however, I would like to focus on the other party to a lease agreement...the tenants. As far as the market goes, I live in an area with one of the highest foreclosure rates in California: The Antelope Valley. You can pretty much point to any place on a map of the valley and be assured that you are covering several bank owned homes with your finger. Homes that sold two years ago for $400,000 are now on the market for $220,00.

So what does this mean for tenants? Here come the "Rent Skimmers!" For those of you who don't know, "rent skimming" is a name for the act of collecting rent on a home that you are defaulting on. We have gotten several calls from people who are looking for a place to live due to the fact that the owners of the home have defaulted and gone into bankruptcy, foreclosed, etc.

I have spoken to many Antelope Valley renters recently who have told me that they were paying rent on a home for months without realizing that the owner of the home was not holding up their end of the deal. To make matters even worse, these owners are running away with the tenants security deposits too! I spoke with a woman the other day who paid a $2500 security deposit on a home only to be forced out when the bank came to take possession 6 weeks later. The owner had skipped town with her two months of rent and the entire $2500 deposit.

Just when all hope seemed lost, she found that there was a better way to rent. Most property management companies use the same system that we do here at Classic. We find that it is a much better idea to hold onto the security deposit in our company's trust account and remove temptation from the owners. That way, there is no danger of anyone being ripped off. A third party that is bound by laws and ethics is a great addition to any rental agreement.

The road to happiness in today's rental market is filled with land mines and pot holes. However, if you take the necessary steps, many of these dangers can be avoided!

For more information on dodging pot holes and land mines, or for other solutions to today's rental market, please check out our website by clicking on the Classic logo to the right!

Antelope Valley Rental Homes Are Disappearing!

Classic Property Management Jonathan Mitchell (Classic Property Management) — Wed, 19 Mar 2008 18:29:07 -0500

For the first time in the past few years, the massive supply of Antelope Valley rental homes seems to be shrinking! For quite some time, our daily average supply of rental homes was hovering in the neighborhood of 250 available units. Now however, the daily average appears to be holding steady at about 150 available homes for rent.

The most obvious reason for this decline in numbers is based on the Countrywide crash. When Countrywide tanked, it caused the lending industry to go through a major overhaul. The carefree lending, 100% financing, everything is wonderful days came to a crashing halt. So how does that influence the number of rentals available?

Now that it is so much harder to qualify for a home loan, we are seeing massive amounts of people turning to rentals to meet their housing needs. As an added bonus, many of these people have great jobs, awesome income, and perfect credit. The problem is that they don't have a large amount of money to throw in for a down payment. What that means, is that we are now seeing more highly qualified, low-risk renters than we have for a long time.

Of course you still have to be careful.

Just because there are more awesome renters out there today than there were yesterday, that doesn't mean that the bad ones have all gone. It doesn't matter if you live in the Antelope Valley or anywhere else in the country, you still need to take the time to make sure the job is done right. If you are considering renting out your home, you should at least talk to a property management company to learn about the way rentals work. You might feel confident enough to manage your rental yourself, but it doesn't hurt to go at it with as much knowledge and information as possible.

This may be the best time in years to rent out your home with peace of mind, but peace of mind does not warrant absence of mind!

Classic Property Management, putting your mind at ease for 15 years. For more information, check out our website by clicking on the logo to the right!

It's Not Personal, It's Business...

Classic Property Management Jonathan Mitchell (Classic Property Management) — Sat, 23 Feb 2008 15:24:52 -0600

I am not sure about the rest of the country, but here in the Antelope Valley, we seem to have a surplus of rental homes on the market. In our local newspaper, there is a daily average of about 210-240 single family homes for rent. That's just from one source!! Pretty shocking for an area the size of this valley.

So, in a situation like this, how do you go about setting your home apart from the competition? When we sign on a new home for property management, we usually take a walk through it with the owner of the home. We use this time to ask questions about the place and get to know the owner a little better. What may not be so obvious however, is that we are also scanning for common rental issues. Rental issues are things that may cause potential renters to run the other way when they see the home. The list of possible rental issues could fill an entire hard drive, but for most renters, there are a few deal breakers that stand out above the rest.

And so, without further ado, here are five quick tips you can rent to get your rental rented!

1). The Cruddy Home. No one wants to walk into a house and feel as though they should have gone in for a booster shot for flesh eating diseases. Before you advertise your rental, take the time to do a walk through and a thorough cleaning. That means, wash the bathroom mirrors, behind and IN the toilet, the showers, exterior windows, stove tops or cooking surfaces, counter tops, floors, etc. We also recommend that owners get their carpets cleaned. We don't care if they do it themselves or hire a haz-mat crew. Renters can't relax if they are constantly wondering what caused that weird stain on the bedroom floor.

2). The Mural Home. I am sure that most of us can appreciate a fine painting that spans an entire wall...who wouldn't? However, if your walls utilize grease, fingerprints, dirt, chips, and cracks to paint a picture of the horror that your home has survived, it may not be the kind of image you want to advertise. PLEASE, at the very least, take the time to wash your walls. If they are not clean after a good scrubbing, then take the time to give them a fresh shot of paint! You wouldn't go to an important event wearing the same makeup that you applied fifteen years ago right? Either should your house.

3). The Wasteland Home. Ahhh...here in the Antelope Valley we are blessed with temperature extremes. I am not saying that we live in the hottest or coldest place in the country, but rather we live in an area that can be both hot and cold. In the summer, no one bats an eye if the thermometer tops out at 118 degrees. In the winter, no one notices if we hit lows in the 1-20 degree range. That's just the way it is. As a result, our lawns and gardens tend to suffer. When you are trying to rent your home, I don't expect it to look the Presidential Rose Garden. But it would be nice if the lawn and planters were free of weeds and other debris. Cut the grass, pull the weeds, edge the lawn, and even consider planting some inexpensive flowers! A little bit of color can work wonders for your home's appeal.

4). The Foul Home. I have read about other people encountering this same problem many times. As we live in a certain area for an extended amount of time, that place tends to absorb our odors. Do you like fried food? Do you have pets? Do you have a home gym? Any of these things can cause a smell that you may not pick up on anymore. Why? Our brains tend to phase out the smells that we emit. Good news right? Not exactly. Just because we can no longer smell our own odors, that does not mean that others can't either. I may have shocked and offended some of those out there who have just been told that they have a distinctive odor. However, it's not personal...it's business. I am in the business of renting homes. If I can detect an unusual aroma in your house, I may recommend buying an air freshener.

Now, having said this, please don't overkill it on the scents. Although renters don't want to rent homes that smell as though something has been dead for awhile, they don't want to feel as though they just signed a lease at the Glade manufacturing plant either! Keep it simple and light.

5). The "What the Heck Are They Thinking?" Home. Any of the afore mentioned problems can cause a renter to run for the hills. However, the number one cause of extended vacancy in the Antelope Valley is an owner who refuses to price his home right. If someone calls Classic Property Management and asks for an idea as to what they can expect to get for their property, I give it to them straight. There are management companies out there that will tell an owner whatever they want to hear just to get the listing. We hold ourselves to a higher ethical standard. If your house will rent for $1800/month, we will list it for $1800/month. In times like these, the supply is outweighing the demand. As a result, homeowners need to be prepared to negotiate more and be aggressive with their pricing.

If you can follow these few tips, you may very well be ahead of the competition. Good luck to all of those who may be trying to rent their Antelope Valley homes. It is a difficult job, but somebody's got to do it! If in doubt, hire a professional property management company.

For more tips on renting your home and other solutions for today's rental market, please check out our website by clicking to the Classic logo to the right!

You Get What You Pay For!

Classic Property Management Jonathan Mitchell (Classic Property Management) — Thu, 21 Feb 2008 16:48:39 -0600

How many times have you heard that before? I would hazard a guess and say that pretty much everyone who reads this blog has heard that phrase at some point in their lives. Do you believe it? For me, it depends on the situation.

For example, several years ago there was a craze over little bean bags shaped like animals. Does anyone remember that? That's right, the Beanie Baby craze. At the height of this madness, people were willing to pay literally thousands of dollars for these little bean bags that cost their manufacturer mere cents to make. Today, those people must be living in self loathing that I can not even begin to fathom. These same Beanies can now be purchased by the box full at garage sales for less than one dollar.

So let me ask you. Did these people get what they paid for? I wouldn't say so. Those little critters are still the same bags of beans that they were before, but suddenly, they are now worth a tiny fraction of what they once were. We have all heard of someone being upside down on a home, a car, or other investments, but a bean bag?? Come on.

Now let's take a peak at another situation. Let's say that I can either buy a home made car from my cousin, or I can buy a BMW. Obviously, there would be no comparison. The additional cost that I would incur to acquire the BMW would be money well spent. My cousin has no idea how to build a car. BMW has been doing it successfully for many years. It is that kind of knowledge and success that causes people to spend their money at BMW instead of my cousins house! I could bring all the parts of a BMW to my cousin and ask him to put it together for me. Would that be money well spent? NO! The monstrosity that would result from that little experiment would be lucky to function, much less emulate the BMW that it could have been.

So how does this apply to Real Estate? Basically, whether you are a property management company or a Realtor, you should be the BMW. People should be coming to you because the money that they spend on you and your services is money well spent. Here in the Antelope Valley, there are a lot of people who do business like my cousin builds cars. They have the same materials to work with, but they have no idea what they are doing. As a result, their homes don't sell and their rentals stay vacant.

We recently took over management for an owner who had a home here in Palmdale. They were using a different company that placed a tenant without doing their homework. The company eventually went out of business, leaving the owner to deal with the mess they left behind. The tenant ended up living in the home for about four months without paying any rent before we took over (a total loss of over $5,000 for the owner). Did they get what they paid for? No.

For those of you who may be reading this blog, please take the time to find out about the person or company that you are relying on for your home's well being. You should not make your decision based solely on the initial cost to you. In the end, the wrong Realtor or property management guy could cost you infinitely more than you can imagine.

For more ways to get what you pay for, or for more solutions to today's rental market, please check out our website by clicking on the Classic logo to the right!

Choosing a Property Management Company? Avoid the Vultures. Part 2!

Classic Property Management Jonathan Mitchell (Classic Property Management) — Sun, 17 Feb 2008 19:21:44 -0600

In my previous article I wrote about the change that has been taking place in the Antelope Valley. Basically, I went over how some unscrupulous characters (vultures) have begun to pop up. These folks are taking advantage of homeowners who are looking for a good property management company. I won't rehash the details here, but feel free to read about it on my blog by clicking here.

Anyway, as promised, I am going to start writing about a few of the characteristics that you should be on the lookout for when choosing your property management company.

#1. Ask the management company if they are paid based on "Rent Due" or "Rent Collected".

What I mean is this. Property management companies are generally paid a certain percentage of the rent that the tenant pays each month. Now for the sneaky part. The vultures out there (bad property managers) will tell you that they earn their percentage based on "rent due". Essentially, that means that these guys expect to be paid their percentage each month whether the tenant is paying or not!

On the other hand, the good companies out there will expect to be paid their percentage based on "rent collected". In other words, if the tenant decides to stop paying, we don't get paid either. I say "we" there because this is the method that Classic Property Management uses. Obviously, this means that we make it a priority to get the rent from the tenants each month. Otherwise, our paycheck takes a hit (and nobody likes that)!

What does that mean for you? You get paid too! Most rental home owners here in the Antelope Valley do not own their homes free and clear. There are mortgages to be paid, taxes due, homeowner's insurance policies, etc. Obviously if you are counting on your rent check each month to make or supplement any of these payments, then it needs to be a priority for your management company as well. Beware!!! If you can't count on your management company to collect your rent money, then the next carcass we see a vulture feeding on...could be you!

For more information on how to save yourself from the vultures, or for other solutions to today's rental market, please check out our website by clicking on the logo to the left! Classic is here to help.

Choosing a Property Management Company? Avoid the Vultures.

Classic Property Management Jonathan Mitchell (Classic Property Management) — Fri, 15 Feb 2008 20:38:51 -0600

Here in the Antelope Valley a change is taking place. Just a few short years ago, property values were climbing at an astronomical (or comical) rate. You could literally buy a property that would be worth $50,000 more by the time that you made your first six payments. Ahhh... the good old days right? Of course, with homes flying off the market as fast as they were put on, several vultures spotted an opportunity to make a kill. "Realtors" began popping up left and right who had no real interest in the profession other than to make a quick buck by utilizing their substandard work and ethics to prey on those who trusted them.

Market crash - cue dramatic music: Alas! The market was as fickle as those vultures who capitalized on its good fortune. The tide changed and suddenly homes were no longer selling as well as they should. The "quick-buck" Realtors were gone, stampeding on to greener pastures, while leaving their poor clients to trudge through their manure!

In the chaos that followed, lenders began to go out of business, standards were tightened, and it was no longer easy to buy a house without a substantial down payment. It was at this point that a new breed of vulture spotted an opportunity. Due to the fact that lending standards were revised and tightened, more and more people began to look towards renting to meet their housing needs. These new vultures swooped in and began to offer themselves as property managers. Several new companies were hastily formed here in the Antelope Valley...several of which have already gone under. Their clients are now stuck with bad tenants, and no one to clean up the mess left behind (which is, ironically, a vulture's job).

Some people might say that these guys won't be around for long and pose no real threat. However, the truth is that they can pose a very serious threat to those who end up trusting them with their money and homes. I spoke with an owner a couple of months ago who told me that he had trusted a guy that said he would manage his newly purchased property and take care of any repairs that needed to be made. Unfortunately, the vulture ended up skipping the country. He flew to the Philippines without letting the owners know he was leaving and took all of their repair money with him. The problems went on from there. While "managing" their property, he moved several people into the 12 units and neglected to run any kind of background checks, save applications, or even get a lease signed.

Now, obviously this scenario was pretty horrible. However, the fact remains that there are people out there who may not skip the country, but may not have the experience and knowledge to manage a home either. A few weeks ago, I attended one of the weekly MLS breakfasts for the Realtors of the Antelope Valley. During the announcement portion of the breakfast, a local (Big Shot) Realtor made the following statement.

"...and just to let you all know, I have recently begun managing properties. I know...I know. The things we'll do for money when the market sucks, right?"

Hmmmmm... Based on a statement like that, would you want to hire this guy to manage your home??? He obviously takes no pride in that line of work. It comes across fairly clearly that he thinks property management is somehow beneath him. It is that kind of guy that home owners really need to watch out for. This is the type of guy who will sound like he knows what he is doing because he knows the lingo. Unfortunately, knowing the lingo does not necessarily mean that he actually knows how it works.

In the next few blogs, I will go over the characteristics that you should be on the lookout for when choosing your property management company. The rules that apply here in the Antelope Valley are universal. Stay tuned!

For more information on how on how to avoid the vultures, or for other solutions for today's Antelope Valley rental market, please check out our website by clicking on the logo to the right!

Do You Know the Secret Code?

Classic Property Management Jonathan Mitchell (Classic Property Management) — Mon, 21 Jan 2008 23:00:03 -0600

Here in the Antelope Valley, as with any other community, we have several different laws to abide by. Obviously, we are not supposed to kill people, steal, speed, or run naked through the streets. Pretty much basic common sense stuff right? There are however, a few laws that some folks may not be aware of. For example, in the city of Lancaster, you can only hold a total of four garage sales per year. Trash cans must be stored out of sight from the street. Lawns must be kept green...etc.

To neglect any one of these codes will result in a citation and stiff fine! I would not be surprised if the majority of homeowners in the area have no idea that these laws were on the books. Working for a property management company allows me to find out some very interesting things about the cities I cover. I have gotten several calls from our friendly neighborhood code enforcement guy. Every time he calls he has a new and exciting (read "bizarre" and "obscure") code violation for me to take care of. I am pretty sure that he is bored to tears and is forced to make up odd laws to stay awake.

There is one law that takes the cake however. I was shocked when I found out about this one.! Did you know that if you own a rental home in Lancaster you must also hold a valid business license? It doesn't matter if your home is managed by a licensed Antelope Valley property management company; you still have to have your own license in addition to ours. Weird huh? I am pretty sure that particular law is geared primarily for squeezing funds out of the good people of Lancaster...I can't think of any other reason for it. Oh well! Such is the world that we live in!

If you are considering renting out your house, I would encourage you to find out as much as possible about the laws pertaining to rental properties in your area. If you are not sure, contact your local city government and ask them for all of rules pertaining to rental properties. A five minute phone call may save your wallet from a city-led plundering!

For more stupid laws or for solutions for today's rental market, please visit our website buy clicking on the logo to the left!

Creatively Save Yourself from Foreclosure

Classic Property Management Jonathan Mitchell (Classic Property Management) — Thu, 10 Jan 2008 13:50:32 -0600

Here in the Antelope Valley, we are experiencing what the majority of the country is going through. People who got into their homes through "trick" loans are now on the verge of losing them to the banks. Often times, their payments have doubled from the time they purchased. Unfortunately, very few of those individuals consider talking to a property management company. That of course, means that they are resigning themselves to foreclosure when they have not yet exhausted all of their options.

Foreclosure rates here are higher than many of us have ever seen. When someone calls us and says that they may be facing foreclosure, there are a few options we can look at. First and most obviously, we need to know what their payments are looking like. Lets say that they purchased their home for $1,800 per month and have now seen their payments jump up to $3,000-$4,000. Why not rent something smaller and rent out your larger house to someone who can afford it?

The odds of getting as much in rent as they are putting out in mortgage payments is very slim. In fact, it is basically impossible. However, if they can rent somewhere cheaper and rent out their home for as close to the mortgage as possible, it just may create a buffer zone that will allow them to hang onto their home until the market improves. Obviously, this is not a "cure all" solution. Often times, the owner will be so far out of the park with their new adjusted rate that saving the home is impossible. But with the catastrophic impact that a foreclosure will have on your credit, family, and finances, it seems to me that ANY possible solution would be worth the time it takes to see if it will work.

If you know someone who is on the verge of losing their home, why not help them out and recommend a reputable property management company in the area? Shoot, many of them even give referral fees and promise to send the owner back when the market improves enough to sell. It makes sense for everyone. give it a shot!

Rental Market "No-Nos" #1 Burning Eyeballs!

Classic Property Management Jonathan Mitchell (Classic Property Management) — Thu, 20 Dec 2007 22:00:19 -0600

I could smell my eyeballs burning...my tear ducts were sizzling like bacon on a skillet. My retinas were trying desperately to claw their way out of my pupils to find some shade. I felt as though I were basking on the surface of the sun...and jumping eyeball first into every solar flare that erupted from its surface.

The day started out innocently enough. I got a call from someone who was interested in renting out their Antelope Valley home and was looking for a property management company to come take a look. What I didn't realize was that his house would be the last thing I could ever look at again. As I drove up to the house, I noticed that something seemed to be a bit different about its appearance, but I couldn't put a finger on what it was. I knocked on the door and flashed a smile as it began to open. It was then that I saw the most horrible paint that I had ever seen in my life. To say that it was bright yellow would be like saying the sun is an incandescent bulb. It was so bright that I cancelled my dentist appointment thanks to the complimentary bleaching that I received from this guy's paint. Seriously...it was REALLY bright yellow.

I was still trying to recover from the shock of losing my vision when I heard something that that almost put me into hysterics. The owner said, "I just repainted the house so it would look nice." I couldn't believe it!

And this leads me to today's rental market "No-No". I know that everyone has his own particular taste and preference when it comes to paint. I don't have any problem with that! If you have a goth kid that paints skulls and black everywhere, that's cool! If you have a daughter that loves pink and paints her room to look like someone's stomach after Pepto-Bismol, that is fine! However, the rest of the world may not agree with your taste, especially if they are hoping to live there! Statistically, the homes that are painted in neutral colors rent faster than those with more specific color palettes. The odds against someone coming along who will appreciate your hand-painted mural of the entire history of Star-Trek are enormous.

It is much more advisable to go with something more universal like a light earth tone. Shoot, even the standard white or "Swiss Coffee" paint that the builders use is preferred to some of the more adventurous choices that I have seen. It took me a long time to get that house rented. The people that did rent it did so only after getting permission to repaint that beast. Even now, if I go to that house, I have to battle the urge to don my radiation suit. Although the danger is now past, the fear of a nuclear blast in my optical nerve is an ever present one. Paint wisely...rent quickly.

For more rental market "No-Nos", decorating tips, or solutions for today's rental market, please check out our website by clicking on the logo to the left!

The Difference Between Winners and Losers

Classic Property Management Jonathan Mitchell (Classic Property Management) — Thu, 13 Dec 2007 21:45:20 -0600

Not long ago I read the book "Rich Dad, Poor Dad" which is an awesome book. It had an interesting quote that read, "Sometimes you win, sometimes you learn." It occurred to me that this quote basically sums up the reason that some people fail where others succeed. The point of the quote is not to imply that some people never lose but rather to show that there is another way to look at defeat. I have always viewed defeat as more as a setback than a total failure. I guess that is because I am unbelievably stubborn!

There are people that you come into contact with every day that will try to bring you down. Sometimes they are unaware that they are doing so and sometimes they are intentionally striving to break your spirit. I had a bit of both growing up. I have always wanted to own my own business. Fortunately, I am working for a company now that will make that dream a reality. Growing up however, all I heard was how hard is was to run a company. I heard about how much work I would have to put into it and how little I would gain in return. I heard about failed businesses, failed marriages, and failed dreams.

So why do I still dream? I still dream because I refuse to let someone else tell me what I can and can not accomplish. If I stumble and "fail" it is just one more reason to get up and try again. Do I know how much work it will take? Of course...that's all I have heard about for my whole life. But there is one truth that sets me apart from those naysayers. My hopes and dreams are more powerful than any obstacle that can land in my path.

Just before I began working for Classic, I had a secure job with awesome benefits through the Sheriff's Department. It was a job that many people would love to have. I worked at that job for about five years before I realized that I was not the kind of person to be content with "secure" jobs. I began to become discontent. Things grew progressively worse and worse until one day when one of my Sergeants said something that pushed me past the boiling point. Up until then, I had been debating whether or not I should take the plunge. After that conversation, my mind was made up. I put in my two weeks notice just before my pre-scheduled two week vacation. I left the jail for the last time mere days after my confrontation...I took off to Cancun for that two weeks and came back without a job.

Not long after that, I met my current boss John Evarts. John showed me that I was not alone in my dreams. He inspired me to believe in myself and my dreams. Even though I took a huge pay cut and lost the benefits, I have never been happier than I am today. Now I can see my goal. I am on the path that leads to it. It is a rough path full of twists and turns, highs and lows...but at the end is my dream.

Besides, I have the best traveling partner that anyone could ever ask for. My wife Joy. Joy has been my guiding light ever since we met. At various points along the path, things have gotten rocky. It is at those times that I draw strength from my wife. She constantly gives me her unconditional support and love. It is hard to be a dreamer in this world unless you can share the journey with another dreamer. When one of us falls, the other is there to pick them up. Without Joy I may become a success, but I would still be nothing. Together, we are unstoppable.

I will not relent until this logo becomes the most widely recognized symbol of excellence in property management here in the Antelope Valley. Once that goal is met, I will set one even higher...

Classic Property Management. Helping people reach their dreams.

Costly Secrets of Renting your Home

Classic Property Management Jonathan Mitchell (Classic Property Management) — Mon, 10 Dec 2007 17:34:20 -0600

Here in the Antelope Valley, we have a surplus of homes on the rental market. As of today, we had about 220 homes listed in ONE source of advertising. That is quite a bit for an area this size. The majority of the houses listed for rent these days are rented out by homeowners who have chosen to manage the properties themselves. As a property management company, we try to educate people on what is required to rent a home. Unfortunately, many of them have no idea what the laws concerning rentals are!

For example, if you are a homeowner in Lancaster, CA, you are required to obtain a business license to rent out your home. If you are found to be renting out your home without a business license, you are in for stiff financial penalties and other headaches. No doubt there are several people getting away with it, but do you want to be the guy who doesn't?

Both Palmdale and Lancaster have rental inspection programs that must be enforced as well. An inspector is required to come out to your home and inspect it for anything that may cause a problem. The inspector will then determine if your home needs to be reinspected after a certain amount of time (1-5 years) from the original inspection date.

Another issue I have found is that several people are in violation of anti-discriminatory practices. It surprises me every time that someone will ask me not to rent to certain people for stupid reasons. For example, I got a call from someone who was interested in renting out her home. The problem was that she didn't want to rent to anyone who had kids. She also said that if the tenants moved in and wanted to have a kid, she would have to be notified first.

Besides the obvious reasons that we couldn't take this listing, there are a host of other reasons descrimination can be detrimental to your rental. For example, by stating that you will not rent to anyone with kids, you are eliminating the vast majority of renters out there! Not a wise move.

These laws are no different than any other law on the books in one important respect...the "I didn't know" argument isn't going to get you anywhere! It doesn't matter if you knew about the laws or not! The fact that you violated them is all that society cares about. It is the same as if you were driving through an unfamiliar town and got pulled over for speeding. It doesn't matter that you didn't know the speed limit. You still have to pay the fine!

The best course of action is obviously to do it right the first time and avoid any unexpected financial pitfalls. If you intend to manage your property on your own, take the time to do your homework get the law on your side. A great way to do this is to contact your city council and ask them what they require from owners of rental properties. Don't get burned!

To avoid other pitfalls or for solutions to today's rental market, check out our website by clicking on the logo to the left!

Based on a Handshake...How to DOOM your Rental Property

Classic Property Management Jonathan Mitchell (Classic Property Management) — Wed, 05 Dec 2007 15:52:53 -0600

Working for a property management company here in the Antelope Valley, I get several calls from people who have doomed their rental property by making the same tragic mistake. Generally, they will call me asking about our fees and services. After answering several questions about how we screen tenants and how much we can rent their home for, they drop the bomb...

"If I sign up with you, can you evict my tenant who is not paying the rent?"

AAAaahhhhh!!! It is an unfortunate fact that human beings are often taken advantage of. One reason being that we generally WANT to trust our fellow man. Equally unfortunate is the fact that there are so many people out there who would LOVE to exploit that trust! Almost every time, the desperate caller on the other end of the phone has committed the carnal sin of the rental market. The one tragic mistake that causes more heartache and trouble than any other mistake possibly could.

They let someone rent their home based solely on a handshake. Often times, they will say something like, "the guy seemed really nice, but now he hasn't paid his rent in three months." Someone can seem like the most awesome guy in the world. They can be charming, articulate, charismatic...and a liar! While you are shaking one hand, the other hand is prepping the dagger! Unfortunately, many people who choose to manage their homes themselves fall victim to this type of trap. In fact, several people have come to us with a non paying tenant who never even signed a lease of any kind! People are out there actively trying to find oblivious owners to prey on. That is why it is so critical to find out everything you can about someone BEFORE you turn over possession of your home. As a company, we have found that screening applicants intensely can pay off in huge dividends!

If someone tells me that they make $200,000 per year, I tell them, "That's awesome! So you should have no problem when we verify employment, pull your credit, and check your rental history!" Honestly, I don't care how much money you make. You could be making $200,000 per year and STILL not pay your bills! Not long ago, I ran the credit of someone who made a NICE living. Unfortunately, his credit report showed that he liked the cool toys but he suffered from an aversion to PAYING for those toys. That is why it is important to verify everything that an applicant says.

Don't take their word at face value. Behind that face could lurk a mind with no values.

For professional help screening tenants and other solutions to today's rental market, please check out our website by clicking on the logo to the right!

Top Three Ways to Torpedo Your Rental

Classic Property Management Jonathan Mitchell (Classic Property Management) — Sun, 25 Nov 2007 13:43:35 -0600

Here is Southern California the rental market is gaining momentum. As a property management company here in the Antelope Valley, That is great news! As I have said in other blogs, there are several factors that have led to the condition that the market is currently in. I am not going to dive into that topic again, but I am going to talk about the problems that keep so many people from maximizing the potential of their rental homes. In a market like this, you almost have to TRY to keep your home from renting. Here are a few ways that you can be sure to LOSE as much money as possible...drum roll please...

(1) At the top of our list is the most obvious reason for the failure of a rental. The overpriced home! What owners need to realize is that it doesn't matter how much they love every nook and cranny of their home. Odds are, your special nooks and crannies are not going to appeal to potential renters enough to cause them to rent your home for $200 per month more than the neighbor's home with the same floor plan. For a more detailed explanation of the worst mistake in reasoning check out this blog..."Murder by Numbers"

(2) Counting on upgrades to justify a higher than market rent. Don't get me wrong, I love to walk into a home and admire the granite counter tops and marble/hardwood floors. I love it when a home has nice bronze light fixtures instead of the classic 80's brass. Unfortunately, I am not looking for a rental. When it comes to renters, the upgrades in your home should not be a cause for listing higher than your neighbor. Rather, they should be the reason that the renter chooses YOUR home above the neighbor's home of the same price! When people are looking for a home to rent, the most important thing to them is going to be the price. If they can't afford the rent, then all the hand chiseled Italian marble toilet seats in the world aren't going to make the slightest difference.

(3) Third on the list of tragic mistakes is saying "NO" to renters with pets. I know from experience that the quickest way to scare an owner is to tell them that an applicant has dogs. But the reality of the situation is that MOST RENTERS DO. If you say no to pets, you are effectively removing your listing from a HUGE portion of the rental market. Now, would I rent a home to say...Michael Vick? Probably not. Would I rent a home to Michael Jackson and his Neverland petting zoo? Probably not. Would I rent my home to someone with a couple of Boxers, Labs, Cockers, Golden Retrievers, Greyhounds, or other family pets? Absolutely. What I usually recommend to owners who are on the fence about pets is that they advertise as "pets considered" instead of a definite no. That way, we can decide on a case by case basis when applicants do own pets.

Obviously, there are several other ways to cripple your chances of success in this market, but these are the top three that I have had to battle with over the past year or so. If anyone out there has another good example of a way to sink the rental ship, feel free to chime in!

When You Rain...It Pours

Classic Property Management Jonathan Mitchell (Classic Property Management) — Sat, 24 Nov 2007 20:52:13 -0600

Not too long ago, I wrote a blog entitled "All Hail the Turkey! Destroyer of the Market!" It basically talks about the fact that the rental market here in the Antelope Valley tends to slow down during the holiday season. This year however, a different trend seams to be emerging. For the past few weeks I have been getting several calls from people who are in a hurry to rent out their homes. I have also been flooded with calls from people who need to rent a home quickly! Now, I suspect that there are a few reasons for this phenomenon.

I think that a major contributing factor is the fall of Countrywide. It is now harder for people to qualify for a home purchase, which in turn, causes the rental market to heat up considerably. People will always need a place to live. If they can't buy a home, they might as well rent one!

Another reason for our increase in business is this very website! I have gotten calls from several home owners this past week who were desperately searching for a high quality property management company. If it were not for AR they may never have found one! Every single lead that came through the wires came from someone who stumbled across my blog. Thank heavens that I finally got started on this website! It just goes to show that a few minutes invested in writing an occasional blog can have a vast influence on your lead volume. For anyone out there who reads this blog, remember, the best kind of advertising is free advertising!

For solutions for today's rental market, please check out our website by clicking on the logo to the left!

Sell Your Soul to Your Clients...

Classic Property Management Jonathan Mitchell (Classic Property Management) — Sun, 11 Nov 2007 21:26:41 -0600

There have been several times during the course of my life when someone unloaded on me about every reason that they hated where they were living! I always think two things. First, if it is sooooo bad, then why are you still here? Secondly, I love where I live. It seems to me that for the vast majority of people in the world, they are living where they are because they either like it, or are unwilling to move.

It is during times like these that I realize the importance of selling your soul to your clients. Of course, I don't mean that you should literally sign over your eternal soul to the whim of someone you just met, but think about it. Why is it that you live where you live? What is it about your town that makes you want to stay there? Are you afraid of, or unwilling to effect change? Or is there something more?

I live in an area collectively known as the Antelope Valley. It consists of several cities grouped together in a large valley in the high desert of California. A lot of the people that I knew in High School said they couldn't wait to move. They hated the fact that there were no major club scenes. They hated the fact that there is currently only one mall in the area. They hated the fact that they hated the facts! But there were those of us who were different.

Others, like myself, could see the beauty of the sunsets on the horizon and be grateful that they weren't choked out by the smog of Los Angeles. We rode bikes in the warm summer nights and didn't have to worry about gangs performing drive by shootings! We appreciated the fact that on any given day, you can see the mountains across 30 miles of windswept desert that would have been impossible if the view were obstructed by skyscrapers and other concrete megaliths. Even today, I am blown away every time I ride my mountain bike to the top of the hill behind my house and behold the entire valley spread out in front of me.

Do you see what I am getting at? When you are showing someone a property, whether for rent or sale, don't be afraid to tell them what you love about the area. I put my heart and soul into every description that I offer to people who are looking at the Antelope Valley. Why? Because I love it. Ultimately, people will respond better to you if they can see that you are human. Rather than being some kind of heartless, bottom-line, commission seeking automaton, put some feeling into it folks!

Destroying Your Killer Instinct

Classic Property Management Jonathan Mitchell (Classic Property Management) — Mon, 05 Nov 2007 15:07:28 -0600

When most people hear someone mention a "killer instinct" they conjure up images of assassins and blood thirsty serial killers engaging in grisly carnage. In most instances, this would be a fairly accurate portrayal of the phrase. Traditionally, it means destroying anything weaker than yourself to advance your own agenda. However, there is a far more sinister instinct that leads to more deaths and health complications per year than you could ever imagine.

Let me set the stage for the killer. As many of you may be aware, the housing market is suffering through some pretty grisly times right now. As a result, many of those who depend on the market for their income are feeling the strain of the noose so to speak. The funds are running out, and the holidays are coming. Ordinarily a time for joy and happiness, they are now a source of dread. There are presents to buy, feasts to prepare, malls to conquer, and no buyers for your inventory!

It is during these times that our killer makes his move. Striking at our sleep patterns, nervous systems, and hearts. Of course, I am talking about stress. Countless studies have shown that excessive stress can have a devastating effect on our lives in countless ways! Unfortunately, this is when a new type of killer instinct comes into play. Our usual response to stress is not to get rid of it, but rather to add to it and compound the problem! Many times, people won't even realize how stressed they are until they suffer a massive heart attack or begin going bald. Our instinct is to simply keep trudging along even though we are becoming more and more of a basket case.

Happily, I can give all of you an advanced weapon to combat this deadly assassin. No, I'm not going to supplement your income or buy presents for your Uncle Mort, but I can help nonetheless. I have long employed a tactic that has saved me from many a headache. Whether I am "feeling" stressed or not, I take daily breaks to clear my mind and get a fresh perspective. For example, I will take a morning break and hit the home gym for 30 minutes. Or I may take out the mountain bike for some suicidal adrenaline rushes. That way, I can trim the fat and clear my head at the same time!

You don't have to do any of these things! For you, a stroll through the parking lot, or a simple ten minute break for some solitaire may be enough to clear your head. I personally prefer something strenuous to vent the aggression, but everyone has their own favorites!

The point is to make sure that you are taking time out of every day to do something totally non work related whether you feel the stress or not. It is there, its just waiting to catch you at your weakest so it can turn you into a genuine postal worker! So ship your stress into oblivion by beating it back BEFORE it builds up! Your family, your heart, and your sleep will thank you.

For more ways to beat stress and avoid going postal, or for solutions for today's rental market, check out our website by clicking on the logo to the left!

Master of Your Domain

Classic Property Management Jonathan Mitchell (Classic Property Management) — Sat, 03 Nov 2007 14:35:30 -0500

For all of you Seinfeld fans out there, I am afraid that you are going to be disappointed by this post! For those of you who have no idea what that means, you may find this post more interesting...

When it comes to real estate and the rental market, what does it mean to be the Master of your domain? I am sure that every one of us has a different definition. For some it may mean that your face appears on more billboards and toilet stalls than any other Realtor in the area. Others may say that to be master of your domain means that your company name is fixed firmly at the top of page one on Google...one click away from another picture of your face. Some may also think that it means you have a fleet of goons that are adept at breaking your opponents legs, thus eliminating the competition...and freeing up more billboards for your face.

I however will cast my vote in another direction. I think that to be master of your domain, you have to be the kind of guy that people turn to AFTER a bad experience. Not the kind of guy who CAUSES that experience.

Unfortunately, there are some fairly shady companies out here in the Antelope Valley. As a property management company, we have had several clients come to us after being burned by the other guys. Sometimes by very "well known" other guys. I am sure that there are sneaky companies in every field of every business in every state in the country. I am equally certain that all of you could give me an example of a situation where you helped someone who was burned by the "other guy".

However, rather than triggering a 56,000 member trash talkin' smack down, I think I will just suggest that in order to be the master of your domain, you need to run your business and handle each client with the highest level of integrity and professionalism possible. Frankly, it doesn't matter what page of Google you appear on. You can be at the top of Google page one and still be a horrible company! All that means is that your horrible company will have the chance to burn and lose many more clients than the awesome page 2-100 companies.

Any true leader will tell you that if you want to build an empire, you have to have the respect and trust of your people. Don't focus on slapping your face on every flat surface large enough to support your huge head and massive ego. Focus on being the beacon of integrity in a sleazy world!

Classic Property Management, shining through the sleaze since 1993!

All Hail the Turkey! Destroyer of the Market!

Classic Property Management Jonathan Mitchell (Classic Property Management) — Mon, 29 Oct 2007 14:53:49 -0500

Ahhh...the holidays. Is there anything more enjoyable and satisfying about the holiday season than porking out on a bunch of turkey, stuffing, and pie? I think not. Ladies and Gentlemen, let me introduce you to a good friend of mine: Tryptophan.

I am sure that the vast majority of you are aware of this friend even if you have never been formally introduced. You see, tryptophan is an amino acid found in turkey that is responsible for a rise in the level of serotonin, the chemical that causes relaxation and sleep. In the past few years there has been some debate about how much tryptophan you actually have to consume to create a noticeable change, but the fact remains that if I pig out on the bird, I get drowsy! After downing ten to fifteen pounds of heavy greasy food, I can sleep for hours...

In my mind, nothing says thanksgiving like a good old-fashioned tryptophan induced coma. Of course, family and friends are an awesome byproduct of the season as well. :)

Lets talk about the negative side of the holidays though. Unfortunately, humans seem to be affected by tryptophan in more ways than one. As Thanksgiving rolls around, we begin to see some preemptive lethargy settling over the rental market! Of course, the obvious reason for this is that not many people want to go through the ordeal of moving during the holiday season. Honestly, I can't blame them!

Lets face it, the only heavy box I want to lift during the holidays is the box containing a large frozen bird! Other than that, I would say forget it. Traditionally, the months of November and December are very sluggish for those of us who labor in the rental market. I can only assume that the real estate sales market suffers from the same type of problem. Anyone out there who can answer that please feel free!

For more information on chemical induced comas or solutions for today's rental market, please check out our website by clicking on the logo to the right!

The Rental Market is on Fire!

Classic Property Management Jonathan Mitchell (Classic Property Management) — Wed, 24 Oct 2007 16:44:58 -0500

Ever since the Countrywide crash, the rental market in Southern California has taken off. I suspect that there are many reasons for this, but I would hazard a guess to say that the main reason is this: It is harder than ever to qualify for a home loan, that good quality people are turning to the rental market instead!

Before the crash, applicants in my area were coming to us with an average credit score of about 550. Since the crash, our applicants average scores have risen impressively. This leads me to the conclusion that people who could have been approved for loans not long ago are now unable to do so.

It is not all gumdrops and roses however, the crash also created quite a bit of chaos. When Countrywide tanked, the media caused widespread panic. This led hundreds of home owners to dump their homes onto the rental market with no clue as to how they should be priced. This means that you can find the same house priced for $2,800/month as the neighbors house that is priced for $1,500/month.

Obviously, this makes finding comps nearly impossible. Fortunately, things seem to be averaging out again. The lower priced homes are being snapped up quickly, and the more expensive ones are falling off the radar. Hopefully they are lowering their prices rather than foreclosing.

If you have ever considered renting out your home, this may be the best time to do so! Qualified renters are coming out in droves! Don't miss out.

To get started finding YOUR qualified renter, please check out our website by clicking on the logo to the left!

A Convenient Truth

Classic Property Management Jonathan Mitchell (Classic Property Management) — Mon, 22 Oct 2007 15:56:43 -0500

An interesting phenomenon has come to my attention lately. With foreclosures on the rise and people struggling to make their mortgage payments, it seems as though people would be anxious for a way out. Surprisingly however, very few of them will even consider renting out their properties. I have had a hard time trying to understand what could possibly keep someone from considering that route as an option. For example, I spoke with someone not long ago who had their home on the market hoping for a sale. They had it listed at about $60,000 higher than the competition, and decided to explore the rental avenue.

They gave me a call and I told them that they could realistically expect about $1,900 in rent each month on their property. Unfortunately, he didn't realize how the rental market works. He called me fully expecting to achieve the same amount in rent that he had to pay out for his mortgage...he thought he could break even. He hung up with me abruptly and I haven't heard from him since. This guy was going to lose his house if he didn't do something fast, and he wouldn't even give me the opportunity to help him out!

Despite the fact that he was hemorrhaging money faster than Al Gore at a global warming gift shop, he refused to accept his own Inconvenient Truth...the fact that this may be his best shot at keeping his home!

Hopefully, more people will realize that selling their home isn't the only alternative to losing it! If any of you know someone who is having a hard time with their home, find a reputable property manager to look into the matter. There may be a way to help them out of a bind.

A High Desert Six Pack

Classic Property Management Jonathan Mitchell (Classic Property Management) — Sun, 21 Oct 2007 20:50:46 -0500

I have noticed that several of my favorite bloggers have been doing a "six pack" blog to reminisce about their most popular writings. In light of that discovery, I figured, what the heck? I may as well slap up my six just for giggles! Ladies and gentlemen, a drum roll please...

Topping my charts was a blog that I wrote about personal maintenance...

1). Good Looking People Succeed More Often

That blog got pretty good reviews, so I followed it up with a sequel:

2.) Good Looking People Succeed More Often...Part Deux!

I then wrote a blog about my life motto and philosophy...

3). Grab Life By the Horns! Jumping Without a Safety Net

Fourth from the top, I wrote a blog about my cousin Jim who served in Iraq and will be going back shortly.

4). Real American Heroes

Next was a blog that I didn't think would get much attention, but due to all of the concerned people here in the rain, this blog grabbed my number five slot:

5). I Cut My Finger Off Last Night...Warning, Graphic!!!

Finally, I feel that I must share the first blog that wrote in my entire life. I feel that this poor thing missed all of the action due to the fact that I was brand new when I wrote it, but nevertheless, it is some of my best work ever...

6). True Tales of the Deadly Fog...Aggressively Laid Back

If you get the chance, I would suggest skimming over my number six blog first...it is jealous of the other blogs...LOL!

Thanks for reading, and stay tuned for more terrible writing from the high desert!