Tina Lopez's (tinalopez) Blog

Should You Rent or Sell Your Orlando Home? Landlord Advice

Tina Lopez (Legends Realty) — Fri, 23 Sep 2016 00:00:03 -0700

We talk to a lot of property owners who are not sure whether they should sell their Orlando property or hold onto it and rent it out. This is a personal decision that depends on your particular situation. However, if you need help deciding what to do with your house, we have a few things that you should consider. Being a LandlordThe first question you’ll need to ask yourself is whether you’re ready to be a landlord. This is a full time job, and there’s a lot more involved than just collecting rent every month. If you don’t have the time or the knowledge to keep up with laws, find and screen tenants and respond to maintenance requests, you’ll need to hire a property manager. This usually works out better for people who decide not to sell their properties; professional managers can help them maximize the rental value of their home and the long term return on their property. Financial ConsiderationsThe sales market is improving, and home values are on the rise. However, if you don’t have a lot of equity in your home already, it’s probably not the best time to sell. On the other hand if you really need the cash that a sale can provide, you might want to list it on the sales market and see what kind of offers come in. If you don’t need the money right now, holding onto the home and renting it out will probably give you a larger return in the long run. Property values will continue to rise and your home will be worth more in the future. Tax BenefitsThere are a number of tax benefits that come with owning a property and renting it out. All of the expenses related to your property are tax deductible, even the management fees you pay a property manager. You can also continue to deduct the interest you pay on your mortgage. Talk to a CPA or a tax specialist before you make your decision, because there are a number of pros and cons to being a landlord under the current tax code.We would be more than happy to discuss the options you have. Please contact us at Legends Realty for more information.

Set the Best Rental Price on Your Orlando Home like a Professional Property Manager

Tina Lopez (Legends Realty) — Wed, 21 Sep 2016 01:00:03 -0700

Today, we are talking about how to set the best price on your rental home. A lot of landlords think that they can list their home at whatever price they desire, based on their mortgage payment or what kind of rental income they want to achieve. However, it’s not the property owner or the professional property manager that dictates the price of a home. It’s the rental market. You have to price your home according to the market; otherwise no one will be willing to rent it. Comparable PropertiesThe best way to get a feel for the market is by doing a little research. Check out what similar properties are renting for in the same area. Make sure you’re comparing your home to homes that are similar. You want to look at properties that have the same square footage, the same number of bedrooms and bathrooms and the same amenities. You also want to compare houses that are in the same condition. Take a look at those rental prices, and you’ll be able to see what kind of range you’re working with.Pricing it Too HighA great indicator that you’ve priced the property too high is a lack of interest. If you have the home listed on the market and you’re advertising in all the right places, but no one is calling or emailing to see the house, they are probably turned off by the price. Adjust it accordingly, and you will probably start to get requests. People will want to see a house that’s priced competitively, but they’ll ignore one that’s priced too high.Other ConcernsIf you’re getting plenty of interest in the house, and people are coming to showings and asking for more information, but no one is filling out an application or taking the next step, you know you have other problems. The price is okay if they are showing up, but if they’re not interested in renting, it might have something to do with the condition of the home, the location or a lack of curb appeal. Ask for feedback from potential tenants who come to see the property and make adjustments. Maybe the door needs a fresh coat of paint and the patio needs some flowers. Or, you might need to fix some things that are not working inside. Pricing your property correctly is the first step in marketing it well and attracting a high quality tenant. If you have any questions, or you need help settling on a price for your rental home, please contact us at Legends Realty, and we’d be glad to help you.

6 Most Effective Ways to Get Your Home Rented Fast - Orlando Property Management Advice

Tina Lopez (Legends Realty) — Sun, 18 Sep 2016 23:00:04 -0700

Vacancies cost landlords money. Every day that your rental property is vacant is a day that you aren’t earning rental income. Therefore, it’s important to keep good tenants in your property, and it’s also important to get that home rented quickly when a tenant moves out. Here are the six most effective ways to make that happen. Good PricingWhen you have the right rental price, you’ll get a lot of interest from well-qualified tenants. An overpriced home will stay vacant on the market, or you’ll get applicants who are desperate for housing because they’re about to be evicted or they have terrible credit and cannot get approved anywhere else. Price the home competitively.Curb AppealFirst impressions count, and when tenants see a house that looks appealing and well-cared for, they are going to be interested in living there. Potential tenants will simply keep driving if they pull up to a house for rent that looks dirty, overgrown or neglected.Property ConditionYour property will rent quickly when everything is functional and well-maintained. You don’t need granite countertops and stainless steel appliances, but you do need things that work and are easy to care for. Fix everything up before you start showing the property.CleanlinessTenants want to rent a property that is clean and free of pet odors or other offensive smells. To rent the property quickly, you need to be sure it looks and smells good when you show it to potential tenants. MarketingThe purpose of your marketing strategy should be to get your property listing in front of as many potential tenants as possible. Make sure it’s listed on the MLS and get it on all the websites that people are using to find rental homes. If you want to rent it quickly, you’ll need more than a basic yard sign.ScreeningThorough tenant screening is critical. It might seem time-consuming when you have to check landlord references and compare address on their application to the addresses you get from a driver’s license search, but it’s worth the effort. You want to rent your home quickly to the right tenants. Remember that one of the best ways to find great tenants and rent your home quickly is to use a professional property manager. If you’d like to talk more about that option and the benefits it can provide, please contact us at Legends Realty.

What’s Better for my Orlando Property: Short or Long Term Leases? Property Management Advice

Tina Lopez (Legends Realty) — Fri, 16 Sep 2016 01:00:04 -0700

Today at Legends Realty, we will be talking about short and long term leases. Rental properties fall into two categories – long term rentals and short term rentals. When you rent your home out for the long term, you know you’ll have the same tenants in place for an extended period of time; usually at least a year. Both the landlord and the tenants sign a lease, or a rental contract that stipulates the length of time for that long term tenancy. With a short term rental, you’ll also have a contract in place with the renter, but it will be for a shorter period of time. It might be several months or as few as two or three nights. Many investment property owners aren’t sure whether they should rent their property out to long term or short term tenants. There are benefits to both types of leases. Short Term BenefitsRenting your property for the short term makes sense if it’s located in an area that has a heavy tourism business. If you’ve got a condo that’s close to the beach or a property in Orlando that’s a short drive to the theme parks, you have a good chance of keeping that property occupied on a regular basis. Short term rentals will only work well in markets where there is demand. You can charge a lot more for short term stays and you’re able to raise the rent more frequently, so if you do live in such a market and you have a property that’s close to what vacationers are looking for, it’s a good idea to stick to short term leases. You can also market your property to people who travel to the area frequently for business or to families who might be relocating and need a place to stay while they find a permanent home. Long Term Benefits The best reason to maintain a long term lease is that you have consistent and dependable rental income throughout the entire year. You won’t have to worry about keeping your property occupied during slow tourist months. There’s a lower vacancy rate and you can do better long term planning and budgeting when you know you have the same renters in place for a year or longer. There are also less expensive advertising costs because you won’t have a lot of tenant turnover. Your long term tenants are also more likely to take good care of your property since they’ll be making it a home instead of a temporary place to stay. As you can see, there are a number of benefits to long term and short term rentals. The best choice for you really depends on your property’s location and what you hope to achieve from your investment. If you have any questions or you need help making this decision, please contact us at Legends Realty.

How to Prevent Tenants from Damaging Your Rental Property - Orlando Property Management Advice

Tina Lopez (Legends Realty) — Tue, 13 Sep 2016 22:00:03 -0700

One of the biggest concerns for landlords is that a tenant will damage the property. This is understandable, and you don’t want to be cleaning up messes and making large repairs between tenants. There are a few things you can do to prevent costly tenant damage. Screening A thorough screening process is necessary to find a renter who will take good care of your property. Make sure you talk to previous landlords and find out how the property was left when the tenant was living there. Ask about whether the tenant had pets and if they were clean. You’ll also want to know if the tenant complied with the lease and got their full security deposit back. When the tenant shows up to view the property, take a look at the car. If it looks dirty and messy inside and out, there’s a good chance the tenant will treat the home the same way. Inspections Before a tenant moves in, make sure you have a clear and indisputable record of how the property looks. Take pictures and use video to document the condition of the home. You’ll compare this inspection report to your inspection when the tenant moves out. This will help you prove any damage and withhold the repair costs from the security deposit. Be sure that all the necessary repairs have been made to the property. Handing over a home that’s in good condition will show your tenants that you take it seriously. Ongoing inspections are also critical. Schedule a time to visit the property every six months during a tenancy. Repairs and Maintenance The lease should state which responsibilities are yours and which are the tenant’s in terms of maintenance and cleaning. When your tenant reports a maintenance issue, respond to the problem immediately. Use that opportunity to take a look around and ensure nothing is being damaged at the house. Security Deposit The security deposit is a bit of insurance you have against tenant damage. You should require the tenants to pay the full security deposit before they move in, and make sure you collect it with enough time to allow those funds to clear. Tenant damage is always a risk, but when you screen properly, inspect regularly and collect a healthy security deposit, the chances that you’ll lose money are greatly reduced. If you have any questions, contact us at Legends Realty.

Emergency Preparedness on Your Orlando Rental Property

Tina Lopez (Legends Realty) — Mon, 29 Aug 2016 22:00:01 -0700

In Central Florida, weather emergencies are always a possibility. Rain and wind storms are frequent and even though we aren’t on the coast, hurricanes and tropical storms can often cause flooding and a lot of other damage in and around Orlando. It’s important to prepare your rental property for potential emergencies. Communication Plans Make sure you know all the agencies that you might need to contact, and how to get in touch with them. Emergency numbers you should have include FEMA, the Red Cross, local utility companies as well as law enforcement agencies. You’ll also need to have your tenant’s contact information, as well as their emergency contact numbers. Your tenants should know how to get in touch with you during emergencies. It’s also critical to have relationships in place with vendors. After a weather event, roofers, electricians and restoration companies will have their hands full. You want to be a priority customer. Disaster Plans Preparation can help minimize the risk to your property and your tenants. Plan ahead so you know how you will protect the structure of your home, particularly the windows and doors. You might see people on the news taping their windows, but that does not actually help and then you have a lot of tape to scrape off after the storm. Check any vacant units you have and turn off the power and water before the storm hits. Talk to residents about what will happen if they need to evacuate. You’ll need to track displaced tenants. Charge your phones and electronics and have disposable cameras available in case you need to document damage without electricity. Collect bottled water and fill all your gas tanks. Insurance Coverage Study your insurance policies so you know what your coverage includes. Prepare to document all the damage that occurs and report a claim immediately. Each insurance company has a different process for claims, so make sure you know whether you are expected to call or go online to get your claim started. Remember to take photos or videos and make detailed notes when you’re inspecting the property after the storm. Most of the weather emergencies that occur in Florida are those we can plan for. Take advantage of the lead time by putting a disaster plan in place and making sure you have all the contact information you’ll need to communicate with your tenants as well as emergency agencies and repair people. If you have any questions, contact us at Legends Realty and we’ll be happy to tell you more.

Household Mold Remediation in Orlando – Professional Property Management Advice

Tina Lopez (Legends Realty) — Sun, 11 Sep 2016 22:00:01 -0700

Mold can be very dangerous to your investment property as well as any tenants you have living in it. It’s a problem that develops when moisture builds up inside the house. This is often the result of windows that aren’t insulated well. These four tips will help you take care of any mold issues you might have at your rental property. Act Quickly It’s important to be proactive, especially if your tenants come to you with concerns that there might be mold in the home. You don’t want to assume that the problem is in fact mold, and you never want to say that word when you’re talking to your tenants. You want to avoid as much potential liability as possible, so take care of the problem quickly and assure your tenants that whatever it is, it will be cleaned up and prevented in the future. Coverage Find out what kind of coverage your landlord or dwelling policy might provide for mold detection and clean up. The policies vary in Florida. With the humidity as high as it is and frequent rainfall, many people see mold as nearly impossible to avoid, and your policy may have limits in place. However, find out what’s covered and get your claims filed quickly. Mold Removal and Testing Removing the mold from your property is not something you should do yourself. Scrubbing the walls and windows with bleach is not going to solve the problem. Conduct a quality air test first, which will detect the presence of mold spores in your home. Talk to reliable and reputable vendors who have the experience and judgment to treat your mold problem with discretion and speed. Documentation You’ll want to document that the problem was taken care of and all the mold has been cleaned up and removed from your property. Take pictures and videos that demonstrate the mold conditions before and after you had the work done. You will need this for your insurance claim and it will also help you prove that you solved the problem if the tenants try to complain later. Mold can present serious health risks for some people, so act quickly and take the problem seriously. Reduce any risk or liability by moving the tenants out of the property while the mold is being cleaned up. This is better for them and it’s better for you. A few days in a hotel will be a lot less expensive than legal claims down the road. If you have any questions, contact us at Legends Realty.

How to Get Your Full Security Deposit Back: Tips from an Orlando Property Manager

Tina Lopez (Legends Realty) — Thu, 08 Sep 2016 22:00:01 -0700

Security deposit disputes are the most common source of contention between landlords and tenants at the end of a lease term. It’s important that tenants understand everything that is expected of them before they move out in order to get the full amount of their security deposit back. Cleaning and Property Removal Remove all your personal property from the rental home before your move out date. You will receive instructions on what to do with your keys, remotes, garage door openers, key cards and other security features. Make sure the property is clean and in the same condition that it was given to you. You’ll need to have the carpets professionally cleaned and left in good shape. The lawn should look clean and neat, with the grass cut and the shrubs trimmed. If there is any debris, make sure it’s removed from the outdoor space. Treat the carpets and the property for fleas and pests if you had pets living in the home. Damage and Wear and Tear The security deposit will be changed for any damage that is left behind, above regular wear and tear. Dirt and waste must be cleaned up and removed and any minor repairs should be taken care of so your security deposit isn’t charged. Inspect the Property Check the appliances and the systems and make sure they are clean and functional. The fridge should be defrosted, light bulbs should be working and the air filters should be changed. Open up the closets and the cupboards and clean out any insects, dust and debris that may have gathered on top of the fridge or under the sinks. Checking Out Once the full term of the lease has expired and everything you are responsible for has been taken care of, it’s time to check out with your management company or landlord. Hand in the keys, pay any outstanding balances and make sure you leave a forwarding address so they will know where to send your security deposit. If you have been a responsible tenant who has paid rent on time and maintained the property well, there’s a good chance you’ll get your full security deposit back. If you have any questions, please contact us at Legends Realty.

Ready to Buy a House in Orlando? 3 Things You Need to Know

Tina Lopez (Legends Realty) — Tue, 06 Sep 2016 22:00:02 -0700

Buying a home in Orlando is a valuable investment, and the market is in an ideal position to make the dream of homeownership a real possibility for many people. Before you sign on the dotted line, there are some considerations you’ll need to remember when you’re transitioning from a tenant who has rented in Orlando to a homeowner who is completely responsible for the property and its condition. Mortgages and Financing The first step in buying a property is to figure out how you’re going to pay for it. Unless you have a large amount of cash in the bank, you’ll need a mortgage. While the interest rates are still reasonably low for homebuyers, the lending standards have also tightened up in the last few years, and you’ll need to be prepared to demonstrate that you’re a reliable credit risk. Talk to a reputable mortgage broker who can help you decide what type of home loan is best for you and how much you can afford. Remember to factor in the costs of insurance, property taxes and maintenance. Once you have a budget, get pre-approved for financing and you can begin your house hunting. Home Requirements: Needs and Wants You’ll need to decide what you’re looking for in a home. We recommend that you make a list of three categories. In Category A, list all of the requirements that you must meet. This will include the location you want to live in, the number of bedrooms you need, the square footage that will make you comfortable and other must-have items, such as a fenced yard if you have small children or pets. In Category B, you should list all the things you’d like to have. That might include an updated kitchen, hardwood floors or space for an office. In the final category, Category C, you’ll list all of your dream items. Perhaps that’s a walk-in closet or a garden tub in the master bathroom. Once you’ve organized your priorities, you can really focus on the best homes to consider. Work with a Realtor Find an Orlando Realtor who can work with you on finding a good home. You need a qualified buyer’s agent to assist you with your search and negotiate details such as purchase price, closing date and other requirements. A good real estate agent will take the time to understand exactly what you’re looking for and help you find the best home to buy. Transitioning from renting to owning can be an exciting process, but it’s also filled with challenges. Contact us at Legends Realty, where we can help you feel comfortable about making the largest purchase of your life.

Real Estate Investing: 5 Things to Consider As an Investor in Orlando Properties

Tina Lopez (Legends Realty) — Mon, 05 Sep 2016 01:00:02 -0700

Investing in the Orlando rental market can provide an immediate cash flow as well as outstanding long term returns. When you decide to purchase investment property, there are five specific things that will help you be more successful. Investment Goals Establish your investment goals. You’ll need to decide if you’re purchasing the home to renovate and sell quickly or if you want to buy and hold the property for a while. Flipping the house requires a different strategy than purchasing the home and renting it out to a well qualified tenant for a longer term. If you’re going to keep the investment property, talk to an Orlando Realtor who has experience in property management. You’ll want to purchase a property based on what tenants are looking for and how much rent you’ll be able to earn. Property Location Location is always an important consideration in the purchase of property, but when you’re buying an investment that you’ll place on the rental market, it’s even more critical. You need to buy a property that’s in a good area, where you can attract high quality tenants. Take a look at school systems, access to transportation and highways and the amenities available to the community. These things will allow your property to appreciate at a healthy rate. Price Negotiations The market in Orlando is improving, and there are still great deals on investment homes to be found. Negotiate a good, fair price for the home you want to purchase, and remember that investors make money at the time they purchase their investment, not when they sell it. What to Buy In the Central Florida market, you can find a good tenant pool for single family homes, townhomes and condos. There’s a demand for all three housing types. When you’re deciding what to buy, think ahead towards your resale goals. Single family homes typically sell the fastest, followed by townhomes and then condos. Portfolio Size Decide how many houses or units you want to buy. If you have $500,000 to invest, you can purchase one home for that amount or two homes for $250,000, or even five homes for $100,000 each. You get the idea. Just remember that each property you purchase comes with its own maintenance requirements. With the $500,000 home you’ll have one air conditioning unit to worry about rather than five. Balance your maintenance costs with your investment strategy. We work with a number of investors who need help deciding where and what to buy. If you have any questions about investing in Orlando, please contact us at Legends Realty.

How to Get the Best Tenants – Orlando Property Management Advice

Tina Lopez (Legends Realty) — Fri, 02 Sep 2016 01:00:03 -0700

Attracting good tenants for your rental property is not as complicated as you may think. As long as you follow a few basic tips, you will successfully find and place responsible tenants who pay rent on time and take good care of your property. Property Condition First impressions are critical, so make sure you leave your prospective tenants with a great first impression. It can be the difference between securing the ideal tenant and suffering through a long vacancy without any rental income. Make sure the home is professionally cleaned and has good curb appeal. Take a look at it from the street and determine whether it’s the type of home that you would want to learn more about, or if you’d just keep driving by. Making Smart Improvements If your property is safe and habitable, there’s no need for a complete renovation. However, making a few smart upgrades and improvements will help you find the best tenants on the market. It will also increase the potential rent that you can charge. Budget for major issues that may need attention such as replacing the hot water heater, installing new appliances and providing a fresh coat of paint to the interior and exterior of the property. Take a look at the floor coverings and the window treatments and replace those if they look worn, broken or dated. Remember that these improvements can be tax deductible, so making your property attractive to prospective tenants is also a tax benefit. Setting High Standards When you put your property on the market in the best condition it can possibly be, you’re going to get a lot more interest from potential renters. You’re also setting a standard for how you expect the property to be maintained during the course of a lease. If you hand over a home that has scratched flooring, broken appliances and chipped paint, your tenants will get the idea that you don’t care very much about the home. They won’t care either. Attracting excellent long term tenants is good for your property and your rental income. You’ll reduce your vacancy time and expenses and you’ll have the peace of mind that a responsible person is taking care of your investment. If you have any questions about improving your property to attract great tenants, please contact us at Legends Realty.

FREE Rental Analysis - Orlando Property Management Advice

Tina Lopez (Legends Realty) — Wed, 31 Aug 2016 01:00:00 -0700

-Requesting a Free Rental Analysis- A Free Rental Analysis is a good first step in understanding the rental market. Although for planning purposes it may give you some indication of what your property may rent for if it were to go on the market today, there are many additional factors that determine a home's rental value, such as its condition, floor plan, special features, community amenities and so on. When you decide to put your home on the rental market, a Legends Realty’s team member would be happy to meet with you to view your home personally. Additionally, please note that Legends Realty is highly experienced in all aspects of property management, including how to effectively market and show it to potential tenants so you'll rent it for top dollar. We can typically get most properties rented within 2 to 5 weeks. In the meantime, if you have any questions or comments about the rental process, or if you'd like any additional information, please don't hesitate to call or email 407-333-1010 ext 2. The approximate rental amount you can expect to get for your property is based upon other successfully rented properties in your area and should be accessed upon a visual inspection. When a Free Rental Analysis has been requested, one of our Business Developers will contact you to schedule a walk thru of your property. If by chance we miss you, please call or email us with the date and time that is convenient for you. Do keep in mind the rental analysis is based on other comparable rentals in the area of your property. In your email from Legends Realty you will find attached a Reference List, Management Agreement, Property Information Sheet and other Management information for your review. Call us today and let us turn your property into a profitable investment for you. WE OFFER TWO CHOICES FOR MANAGEMENT 1. Full Service Management Agreement: (Highly recommended.) Management fees are charged on a percentage basis as the rent is collected. The amount charged per calendar month will depend upon the actual amount of rent collected. Management fees are for our services in connection with: Attending to daily telephone, email and fax inquires. Timely rent collection. A manager on call 24 hours a day, 7 days a week, 365 days a year. Organizing keys for showings, review and repair vendors. Collection of late rent through various legal means. Lease enforcement with tenants. Attending to correspondence. Organizing maintenance repairs and quotes. Administering rent through the trust account. Scanning/Archiving of invoices Preparing calendar monthly statement for property owners and collating supporting information for the owner’s statement. Liaison with home owner or condo associations if applicable. Conducting annual rent reviews. Regular follow up with maintenance contractors. Periodic visual review of the property to ensure lease compliance. Process notices to vacate Liaison with insurance companies, when authorized. Lodging security deposit claims, (when necessary) in accordance with the Florida Landlord Tenant Laws, F.S. 83. Maintaining a staff of highly skilled and trained professional property managers who answer the phones to conduct business during normal business hours. Maintaining a professional office with the latest in technology and property management tools in our industry. Constant ongoing training and cutting edge knowledge of our industry. The officers and directors of Legends Realty are licensed as Florida Real Estate Brokers. *** We offer a 20% discount to our Management Fees listed in our Agreement to Owners/Investors once we list four or more properties under one Tax ID or Social Security number using our Full Service Management Agreement. Additional Professional Services such as Eviction Protection, detailed Bi-Annual Property Review Reports, direct deposit, initial lease preparation and so much more are included with Full Management Only 2. Lease Only Agreement: For local owner’s interested in managing their property, but need assistance in marketing and securing a well qualified tenant. The leasing fees are for our services in connection with: Writing, arranging, placement, recording and administering advertising photos, information, and signage Arranging and conducting showing appointments with prospective tenants. Keeping property owner informed of the showings and rental activity. Administering lease applications and processing applications for tenancy. Tenant screening via credit reports, eviction searches, criminal background check, sex offender checks, verification of former landlord references, and employment verification of applicant. Negotiating the terms of the lease with prospective renters. Organizing the new lease agreement and conducting items necessary for the new residency. Attending to the lease closing with tenants, processing of lease including general information and rules and regulations for the new tenants. Conduct video/photo and written move-in review Register and activate the tenant’s rental payment system. 3. Additional Professional Services include: Hand deliveries to tenants as necessary. Filing evictions “if” necessary. Attending court evictions “if” necessary Preparing annual year end income/ expense statements and IRS 1099 Forms. Eviction Protection Bi-Annual Property review report (which includes digital pictures, a written review of the property and recommendations to preserve value) Conduct video/photo and written move-out review Direct deposit Initial attorney lease preparation Fully computerized system Online statements Emailed follow up on repairs Emailed follow up while property is available for new tenant Collections. There is a one-time fee due once we secure a tenant for this service. The fee comes from the first collected rent. Please call my direct line at 407-333-1010 ext 2 E-mail tinalopez@legendsre.com Website: www.CentralFLRentals.com Tina Lopez Legends Realty

7 Tips to Avoid the Most Common Landlord Mistakes – Orlando Property Management Education

Tina Lopez (Legends Realty) — Mon, 29 Aug 2016 04:10:02 -0700

As professional property managers, we see a lot of the same mistakes being made by landlords over and over again. Today, we’re offering seven tips that will help you avoid these costly and frustrating errors. Bad Tenants Poor tenant selection can be a major mistake. Signing a lease with a bad tenant can lead to a series of problems that may be time consuming and expensive. Screen all your applicants carefully. Professional property managers have the resources and knowledge available to do a thorough tenant screening, so if you don’t feel prepared to do careful and rigorous background checks, get some help. Remember to check every detail on the application, verify income and talk to prior landlords. Late Rent Lots of landlords fear that tenants will damage their property, but tenants who don’t pay the rent on time can be more problematic. If a tenant is late paying rent, take action immediately. This is important for two reasons: First, it ensures that the outstanding rent is collected as soon as possible; Second, it communicates to the tenant that if they are late in paying, there will be immediate consequences. Set a good precedent for rent collection so tenants know what is expected. Insurance Issues You need a landlord insurance policy that eliminates unnecessary risk and potentially expensive payouts. Landlord insurance provides a safety net and peace of mind. You’ll be covered against malicious and accidental damage to your property if the tenants do something to it. You can also get coverage for loss of rental income if there is damage or a catastrophe that leaves you unable to rent it to your tenants. Maintenance Response Respond to maintenance and repair requests as soon as possible. It’s your responsibility to act on any maintenance issues that are reported. If you don’t fix things, you will take on a lot of legal liability. If a tenant gets hurt because you were too slow in repairing something, you can be sued. Be proactive with your maintenance and conduct regular routine inspections of the property so you know what needs work before it becomes a large expensive problem. Put together a maintenance schedule so everything is getting serviced on a regular basis. Tenant Relationships Always maintain a respectful, professional relationship with your tenant. If you become friends or get too close, you can find yourself in an awkward situation later on, especially if a dispute arises. Using a professional property manager is a great way to keep a distance between you and your tenants. Lack of Inspections It’s a huge mistake not to inspect your property regularly. This is your opportunity to document the condition of your home and catch problems before they become too complicated. If you don’t inspect regularly, tenant damage will go unnoticed and be more expensive to correct later. You’ll also put your tenant and your property in danger if you aren’t taking care of maintenance issues because you don’t know they’re there. Self-Managing If you don’t have the time, knowledge, and interest in property management, you need to hire a professional to help you. It’s a full time job and you need to be available to respond to maintenance requests, emergencies and tenant concerns. You need to know the laws and conduct regular property reviews. It might seem like you’re saving money by self-managing, but it can actually cost you a lot more in the long term. If you’d like to talk about professional management services, or you’d like more information on avoiding these mistakes, please contact us at Legends Realty.

Should I allow pets in my Orlando Rental Property? Advice

Tina Lopez (Legends Realty) — Tue, 09 Aug 2016 06:09:37 -0700

Deciding whether or not to allow pets can be a difficult decision for rental property owners. Many people love animals and a large part of the tenant population has at least one pet. However, landlords and investors are often hesitant because they fear the potential pet damage and mess that can occur. Pets and Marketing If you decide that you do not want to allow pets in your property, you need to make that part of your advertising and marketing strategy. You don’t want to confuse potential tenants who might have pets. Be clear that you won’t allow animals of any kind when you’re marketing your property. It will save you time. Pet Guidelines If you decide that pets will be accepted, you need to implement some guidelines and requirements before the tenant moves in. Make sure your lease agreement includes all the details that cover the pet, including what kind of breed is permitted, what you’ll require the tenant to do to protect your property from pet damage and any additional deposits or rents that will be required for tenants who move in with pets. You can require the tenant to fumigate the property or treat it for pests such as fleas before move out. You can also require a professional carpet cleaning. This will ensure that your consent is in writing, your property is protected and the tenant understands your expectations. Pet Screening When a tenant is moving in with a pet, be sure to screen the animal just like you screen the tenant. When talking to landlord references, ask if the pet created any problems or caused any damage during the tenancy. You’ll also need information on how many pets are moving in, what kinds of pets they are and how big they are. You are free to place any restrictions that you want on size, age and breed. Insurance and Liability Talk to your insurance company and make sure pets in your rental property will be covered. Many companies will not allow dangerous dog breeds and they may have other requirements such as weight restrictions and vaccine records. Allowing pets is a great way to increase the pool of prospective tenants who will be interested in renting your property. As long as you have specific guidelines in place, you will be able to rent your home to responsible pet owners and tenants. If you have any questions about pets or pet policies, please contact us at Legends Realty, and we’d be happy to tell you more.

Should I Furnish My Orlando Rental Property? Landlord Advice

Tina Lopez (Legends Realty) — Mon, 25 Jul 2016 04:23:09 -0700

Landlords often ask if they should furnish their rental property in order to increase the rent they can charge and make their homes more appealing to potential tenants. In traditional long term rental properties, this isn’t a good idea. You should only furnish your property if you are renting it out as a vacation rental, an executive rental or student accommodations. Caring for the Furniture One reason that furnished rentals don’t work well for long term tenants is that people are never going to take care of your possessions the way that you would. Scratches, dents and stains aren’t going to matter to the tenants when the furniture doesn’t belong to them. It’s just human nature, and you don’t want to be disappointed or upset when you get your furniture back in worn condition. Compensation for Damages You will have a hard time getting a full replacement value or a fair compensation cost if you try to charge the tenants for damage to your furniture and the matter goes to court. If you get any money awarded to you, it will never be enough to repair or replace your furniture. Placing furniture in your rental home is risky for this reason. Tenant Restrictions Most long term tenants don’t want a furnished home. They have their own furniture and they want to be able to move it into the rental home they choose. If you’re advertising your home as furnished, you’re going to reach a greatly diminished number of prospective tenants. The pool of renters just isn’t as large for furnished homes. Theft Risk Tenants who are looking for a home with furniture already in it could be more transient and you don’t know if they’re going to help themselves to your sofa or your dining room set. If they vacate without notice, you run the risk of losing the furniture you had in place. It’s always our recommendation that you provide a rental home that is free of furniture. If you have any personal furnishings or possessions in the house, move them out when you put the home on the rental market. It’s safer for you to store them, put them somewhere else or sell them. This will eliminate any additional stress from your experience as a landlord. If you have any questions about this or anything pertaining to property management, please contact us at Legends Realty, and we’d be happy to tell you more.

Orlando Real Estate Investing Basics: Detach Yourself from Your Property

Tina Lopez (Legends Realty) — Fri, 22 Jul 2016 05:09:51 -0700

In the past, landlords were able to successfully manage their own properties by knocking on doors to collect rent in cash and handling repairs on their own. However, the industry has changed dramatically. In order to invest in rental property and protect your asset, you need to treat it as a business. Property investments can effectively help you build your wealth and income security, but you must detach yourself emotionally from the property. Keep Your Tenant Relationships Distant and Professional Communicating with your tenants is important, and you want to be respectful of the people renting your home, but it’s not appropriate to be friends with them. Do not form the kind of relationship where you talk to one another on a regular basis about things other than the property. This is where a property manager can have a huge impact. Leave the tenant relations to your manager. You never want the tenants to be in a position where they can use their relationship with you against your property manager. Maintain Consistent Policies with Your Tenants Keeping your relationship strictly professional and allowing your property manager to enforce your lease will help you be a more successful landlord. If rent begins to come in late or not at all, you don’t want to let your tenant get away with it. Even if you are emotionally moved by the tenant’s situation, you need to think about your property as an income producing business. Have Reasonable Expectations for the Property If you once lived in the home that you’re renting out, it might be hard to stop thinking about it as your own residence. This is an investment for you now, not a home. The tenants will probably never look after the property the same way that you would. As long as they are keeping it clean and well maintained, you’ll have to be satisfied with that. Source: Work with a professional property manager so you can increase your success as an investor. When you leave the hard work and the day to day operations to your property manager, you’ll be able to detach from the property emotionally, and you’ll be able to enjoy the income you earn as an investor. If you have any questions about how to turn your investment property over to a professional manager, please contact us at Legends Realty.