Is the Scottsdale, AZ market a good fit for your investment strategy? Learn more about this unique market,why to hire a property manager, and how to determine your rent for this area.
Scottsdale is known for hosting baseball spring training for the San Francisco Giants, Colorado Rockies, and Arizona Diamondbacks. With more than 200 golf courses in the area, it is also a popular destination for golfers.
Often referred to as a suburb of Phoenix, the average prices of a rental home in the area is about $400,000. However, this does vary depending on the area you are looking in. As an investor, you would expect to benefit from appreciation in value but not so much as far as cash flow goes. The higher purchase price in the area is what is going to limit your cash flow, so this will probably only appeal to the investors interested in appreciation of the property.
When shopping for an investment property, you want to use the knowledge of Scottsdale property manager who knows the area, knows the rental market, and knows where to buy based on your goals. At Mynd, we have proprietary data that will help determine if this area is right for you. If it aligns with your goals, your property manager knows what areas rent faster and can help you find a good investment.
One of the most important jobs of a Scottsdale property management company is to make sure your property is protected while also ensuring the tenant is taken care of. At the end of the day, you are in the customer service business, and your property management company can be that helpful,friendly face when dealing you’re your tenant(s). This includes things like
Your Scottsdale property manager knows the local laws and how to handle situations when they arise with your property or tenant. They are well educated when it comes to know the laws and are better equipped to help you make smart, legal decisions about issues.
Just because you have been charging the same amount for years doesn’t mean it will rent for that amount today. Your rent must match the market. This could mean an increase or decrease from what you have charged in the past. Your property manager can provide you with a rental analysis to show you comparison numbers for your market and give you a better understanding of what you can expect to get in today’s market. Mynd offers a free rental analysis of your home. Setting the price right will help it rent faster. An overpriced rental runs the risk of sitting vacant month after month which costs you money in the long run.
When you are managing a home on your own, you need to make sure any contractors are licensed and insured, and are they charging you a fair price. Your property management company has established relationships with quality vendors. Often, they can get a better price on work because of this long-term relationship they have with their vendors.
You can be free of the late-night emergency maintenance calls and other interruption involved with owning rental property because your property manager will be taking care of this for you. If you are a serious investor with multiple properties, these headaches are multiplied. As you grow your portfolio, you will eventually be short on both time and knowledge. Hiring a professional property management company is going to give you your time back. Now you are free to do what you want while they handle any issues that come up. No more 1:00 am emergency calls! They are better equipped with their vendor resources and knowledge of the laws to protect both your property and your tenants.
Not knowing the law doesn’t excuse you when it comes to tenant laws. If you do choose to manage the property yourself, take the time to educate yourself.
After purchasing your Scottsdale, AZ rental property, how do you determine what rent to charge?
If you were hoping for a 30-60 days on market turnaround,keep in mind the 120 days is going to effect your cash flow. You will want to factor that in your planning.
Getting market analysis numbers is important, and your property manager can help get you the numbers you need to make an informed decision on things like purchasing or setting rent.
56% of the homes in Scottsdale are owner occupied. That means 46% of homes are rentals, and that is good news for you as an investor. If your property is in rent ready condition and priced right, it has a great chance of renting.
Scottsdale has been experiencing about 8% a year while Phoenix is about 10%. That is good news for investors looking to purchase investment property for appreciation in value.
Don’t focus on 1 set of numbers but instead look at them all to create a bigger picture. The average house price in Scottsdale is $934,000 (about $326 /sq ft) . The national average is $330 per sq ft. That tells you that Scottsdale prices are on the high side. Expect to have little cash flow, but the advantage is going to be in the appreciation due to the consistent growth in the area.
If you want a free rental analysis of your property, contact us at Mynd. Not only do we offer property management services in Scottsdale, AZ, we have offices in 19 of the most rent able markets in the US, so we can help you increase your portfolio and net worth in multiple markets.
We can help you purchase and manage an investment property outside your current market. When you expand outside of your area, you will have a wider selection to choose from to find the properties that best fit your goals and strategies as an investor. The advantage is you can expect the same level of services across all our offices, and you only have to deal with one company for all your investment needs. Contact Mynd today.
Thinking about owning a rental property in Temecula, CA? Already own a property in the greater San Diego area? We are here to help ensure your investment is operating efficiently and you are managing the unit effectively. Learn more about how to quickly fill vacancies in your rental properties as well as the local laws and regulations applicable to homes in the Temecula, CA area.
Having a vacant property can be a stressful time for any rental property owner. Learn our top tips for getting your Temecula rental property leased quickly to the right tenant.
Your experienced Temecula property manager can provide some guidance to efficiently get the property ready to rent.
If your home has a musty, closed-in smell, you want to take some steps to make the home smell fresh. A new coat of paint and clean carpets can make the home more inviting.
Quick updates you can do to improve curb appeal:
Don’t assume that the rent you charged in the past is still accurate. Markets change and rent rates fluctuate. To be competitive in Temecula, CA, your rent rate needs to match what is available in your area today. Pay attention to your market to know how much you can rent your home for. Your property manager will be able to give you a rental analysis that shows a rent range you can expect to receive.
You might have potential tenants coming from out of state that aren’t familiar with the Temecula, CA area, so highlight the benefits of your location and point out the convenience of your property.
When you own a rental property in Temecula, CA, how do you know all the laws and regulations that govern you as a landlord and protect the tenants? Where can you find these laws and regulations?
Are you aware of changes to the laws and regulations that apply to landlords specifically in the Temecula, CA area? You need to be.
For example, AB 1482 was a law that was introduced earlier this year that created state-wide rent control along with several other little laws that they didn’t talk about, yet they are all being enforced. The rent control law has gone through multiple changes, and it is up to you to go discover them, keep up with any changes, and most importantly know how they affect you and your resident.
No one wants to discover they have broken a law by receiving a notice that you have violated the federal Fair Housing law. You must stay up to date on the changes in the law to avoid such a situation.
There are a lot of laws to comply with, and you want to make sure you are following them all. Are you qualified to even figure out these regulations by reading these yourself?
If you aren’t interested in spending your spare time reading through websites for law changes, you may want to consider hiring a staff member to do this research for you or hire an experienced property management company in Temecula.
Making sure you have the proper business model and are operating within the confines of the law (local, state, and federal) is key to your success as a real estate investor. As a rental property owner, you should be doing everything you can to make sure your asset is protected, your tenants are safe, and you are complying with the laws.
At Mynd property management, our professional Temecula property management services can take this headache away from you. We can give you a comprehensive review of your property, and if you want to add more properties to your portfolio, we can give you advice based on your strategy and goals. We are here to help you develop a strategy for success and make sure your property is operating correctly within the confines of the law. Contact us today for more information.
Owning a rental property in Carlsbad, CA can be extremely lucrative, if operated properly and efficiently. When your property is vacant, you are leaving money on the table. We will cover how to prepare your home for leasing season in Carlsbad, CA as well as some general tips and tricks to owning a home in the greater San Diego area. In general, the area is high in rental demand and experiences yearly job market growth. Learn more about how to manage your Carlsbad rental property below!
Before listing your rental property, make sure you have the background processes ready to make finding a tenant a smoother process.
Having the right structure from the beginning will reduce your vacancy time, so your first step is to have policies and procedures in place. Set the screening criteria in a way that increases your chances of finding a quality tenant while also giving you a solid defense in a discrimination claim.
The last thing you want to do is violate a Federal Fair Housing law or find yourself involved in a discrimination lawsuit. It is important to have written criteria that meets all the laws. All the back end policies and procedures should be set before you start advertising your property.
Is the grass cut? Are there colorful flowers in the yard? Are the trees and shrubs trimmed? Is there trash in the yard or mail hanging out of the mailbox? Not only is this first impression important for attracting interest, it also sets the bar on how you want them to treat the property. It is worth taking the time to make that impression a great one. You want your property to be the one they remember for the good qualities you present.
Think about the difference between seeing a front door with peeling paint vs one with a fresh coat of paint. The front door gives the tenant some insight into how the owner takes care of their property. They are looking for someone that is going offer them a safe, well-maintained place to live.
You want to be the property they remember because it smelled good, not the one that smelled old and musty.
A bad smelling home can be an instant turn off. Fresh paint or new carpet can make a big difference in making the home appear newer and cleaner.
If you have walls or carpets with holes or spots, take care of it. You are not going to want the tenant that would accept the home in this condition. Take the extra steps to attract a quality tenant and set the bar for the condition you expect it to be returned in.
When you show an empty home, the prospective tenant can envision how it will look with their belongings inside. Don’t show a property with an old, smelly, dingy sofa in it that was left behind from the previous tenant. Get rid of it prior to showing the property. Saying “We will take care of that before you move in” isn’t good enough. Getting your property rent ready before listing it on the market will produce the best results.
Don’t feel like prepping the home? Leverage your time by hiring a Carlsbad property management company that has the vendors and resources to help you get your property rent ready quickly.
Carlsbad is a quiet little beach town located just North of San Diego that has a few specific types of renters due to its location.
Renters in the area are a mix:
Due to the demand for housing in the area, the price per square foot is going to be high, but the values in this market are very stable.
Because the city’s populations consist of mostly retirees, vacationers, and military families, there aren’t a lot of places to work in the area as far as businesses go.
Would it be better suited for the retiree, vacationer, or a military family?
Because the value of the property is high, your cash flow is probably going to be a little lower than if you had property in another city. What you will get is a lot of appreciation. Don’t expect to put a minimum amount of money down on an investment property in Carlsbad and get a maximum amount of cash flow. However, you can expect the property to consistently go up in value year after year. Before investing in Carlsbad, consider these points and determine if that aligns with your investment strategy.
Carlsbad is perfect for someone that is looking for a property that is going to go up in value in a stabilized, smaller area.
If you are interested in investing in the Carlsbad, CA area or need management services, contact us today about Mynd’s full-service, results-oriented property management in Carlsbad.
Real estate investors have to watch every dollar that’s spent on their rental properties, so it’s understandable that you’d be wondering if professional property management in Tampa is really worth your money. This is a fixed expense that you’ll have to pay every month; is it really worth your money?The simple answer is – yes.Today, we’re talking about what property managers do for you and why the management fee is well worth paying.
A good property management company will take care of everything for you from A to Z. The ultimate goal is to ensure your investment property is cash flowing consistently and earning you the money you expect it to.This includes the basic day to day tasks such as rent collection and lease enforcement. Collecting rent on time is an important function of property managers, and a good rent collection policy needs to be documented and enforced. If rent isn’t collected on time, your property will send notices and put pressure on your to show them you’re serious about on-time payments.Enforcing the lease agreement is also a critical part of what we do. To protect your property effectively, we need to make sure there aren’t any unauthorized pets or in the property. There isn’t any kind of emotional attachment between property managers and tenants or property managers and rental homes. We can make business decisions that are best for your bottom line.
The value of what you pay a property manager starts with the leasing process.Before you even place a resident and start collecting rent, you can count on your property management company to prepare your home for the rental market, make the necessary repairs and upgrades, and clean it thoroughly from top to bottom. All of your landscaping will be attended to so there’s great curb appeal to attract the best .Screening in accordance with fair housing laws is another major reason to pay for a professional property manager. You won’t have to worry about drafting the lease and including all the necessary disclosures. All of the required processes are in place and things are handled expertly. You pay your property manager to collect the security deposit and the first month’s rent as well as any extra pet fees and deposits.
You will also have the benefit of expertise and relationships when it comes to maintenance. Your property manager will take care of all routine, emergency, and preventative maintenance, and we’ll be able to ensure the work is done professionally and cost-effectively because we work with the best vendors and contractors in Tampa.Communication is a critical part of what you get from professional management. Your property manager will share information and discuss strategy. You’ll have someone who deals with your and handles any conflicts or concerns. When a resident is moving out, your property manager will handle the inspection and the security deposit and preparing your property for the next tenant.There are a lot of moving parts, and your property manager handles all of them.
With a professional Tampa property manager, you can leave the running of your business in capable and experienced hands. You’re working with someone who has established policies, procedures, and structured systems. Your property manager is keeping your clients () and ensuring the revenue of your business is strong.There’s also a lot of protection available when you work with a management company. You can expect your property manager to keep you safe from claims and lawsuits. One out of three landlords are involved in a lawsuit every year. These lawsuits may concern fair housing violations, mistakes with the Fair Credit Reporting Act, evictions, and discrimination. If you’re not operating your property like a business, you’re putting yourself at risk.There is a lot of value available to investors who use property managers. We could spend all day talking about what property managers do for their money.Most importantly, your property manager is a part of your team. You receive a lot of leverage when it comes to managing your business if you have a good property manager working with you. We are here to do the things that you don’t need or want to be doing yourself.As an investor, you probably buy real estate as an end goal. You’re not investing to have a second or third job. You use a property manager for the same reason you use a CPA or an attorney or a car mechanic. The expertise is worth even more than the actual tasks that are handled for you.Sophisticated investors want a property manager who will take care of every aspect involved in the leasing and management of an investment property. Property owners should be able to trust you but also have the ability to verify the work that’s being done. You can go and live your life while your property manager takes care of your asset.If you want to talk more about the value of a Tampa property management company, please contact us at Mynd Property Management. Whether we’re managing your property or not, we love educating investors and talking about how to have a better rental experience.We also have other opportunities to connect with us and learn more about investing in Tampa. You can also visit our Facebook group of investors, which is called Master Mynd. It’s a real estate investors’ club, where you can exchange ideas with other owners. Check out our weekly podcast as well, called The Myndful Investor. We invite leaders in real estate and property management to talk about their success and, more importantly, their failures. There’s a lot to learn from this relatable content.
If you’ve decided to hire a professional property management company in Portland, Oregon, you’ve made a smart choice. Good investors know that their success depends on the team they surround themselves with, and they don’t waste time trying to manage their own rental homes.You want to make sure you’re hiring the best possible fit for your investment goals and your portfolio of properties. So we’re talking today about what kinds of things you should look for when you endeavor to hire the best property management company in Portland.There are a lot of choices. How do you know which property management company to pick?You have to ask some questions, and we have some suggestions.
We have spent more than 30 years in the property management industry, and one of the things we have learned is that sophistication can work in your favor and make you more money.When you begin looking for property management services, you’ll find many well-meaning but very small mom-and-pop businesses. The effort is there, and they clearly love what they do. But, the sophistication level is lower than it should be, and their follow through is rarely where it needs to be.So, you end up having a property management firm that tends to be very reactive rather than proactive. It’s not that their intentions are bad, it’s more like they don’t have the capacity to meet your needs. Some of the smaller management firms are running around playing whack-a-mole, just putting out fires. They can’t be strategic and they can’t deliver the sophisticated services you need.You want a property management company that is proactive. Look for an innovative company that’s modern and on the cutting edge of everything that’s happening in property management and real estate investments. You need a company that’s willing to invest in technology so that they can proactively take care of the things you need.Here’s an example of how a proactive property management company operates. They might suggest to you that the furnaces in your rental properties get tuned up in the off-season because it’s less expensive to have a heating specialist out in the middle of summer. Having those furnaces inspected and serviced will save you money in December because you won’t have a more expensive repair and your residents won’t be calling because the heat doesn’t work.That is being proactive. This type of sophistication and forward-thinking saves you money and in some cases, it can save you a lot of money.
You also want to make sure you are using a property management firm that only uses licensed, insured, and bonded maintenance companies. Sometimes you might feel like you’re paying more for these professionals, but these are companies that will warranty their work. They have a good, strong reputation in the marketplace and value your business. They will take care of you and your residents and treat you like valued customers.When it comes to maintenance, cheaper is not necessarily cheaper, and it’s definitely not better. You’ll end up spending more than you think you are saving. We have learned this first-hand. There is a cost of doing business and there is a cost of getting things fixed and doing it right.In Steve’s early days as an investor, he thought he was saving money, but when maintenance provider had to go out to a property three times, he actually ended up spending more to get the work done right. And, he found himself with frustrated residents. It’s hard to deal with an issue like that and to continue spending money on the same problem. If he had hired a licensed and insured professional to fix the problem the first time, it would have not only saved money but stress as well. Get the right person in there. Get the job done and do it right and move on.
And when we talk about the level of sophistication a property management company needs, you need to be sure to ask the right questions.You want to know how quickly they respond to tenants. And you will want to know how quickly maintenance issues are resolved. Ask a potential property manager if they have any preventative maintenance programs. At Mynd, we strive to respond to everyone within 24 hours and to have all maintenance requests closed within seven days. A lot of times we actually do better than that. If you can run a business like that, your residents are going to be very happy. It will increase retention and allow for healthier rent increases.
When you are looking for a management company, make sure they are in alignment with your goals and your strategy. Make sure they can help you get there. You don’t want to choose a company just because they’re the cheapest company on the block. They could very easily lead you in the wrong direction. There could be mental frustrations and lawsuits that come with that.Make sure that whatever company you choose, they are in line with what you want for your investment property.We would be happy to answer any questions you have about how to find a Portland property management company or what we can offer you that other managers can’t. Contact us at Mynd Property Management for more information.You can also visit our Facebook group of investors, which is called Master Mynd. It’s a real estate investors’ club, where you can exchange ideas with other owners. Check out our weekly podcast as well, called The Myndful Investor. We invite leaders in real estate and property management to talk about their success and, more importantly, their failures. There’s a lot to learn from this relatable content.
Try as you may, but Millennials can no longer be overlooked. They’re the nation’s fastest-growing demographic, and a demographic already 71 million people strong. It’s become increasingly evident that in order to be successful, owners and property managers need to understand and respond to the needs of this generation.
Baby Boomers may be the largest demographic today, but they’re losing pace with Millennials. In 2019, for the first time, there will be more Millennials than Boomers.Millennials () are entering the stage in life where, as young adults, they begin to form independent households. The share of Millennials in their 20s living on their own will rise from one in seven to one in two. There are roughly 45 million Millennials in their 20s today, which has proven a large driver of rental demand. Older Millennials, those who are now entering their 30s, were initially slow to form new households. They came of age during the recession and, as a result, often lived with parents or grandparents. Those Millennials have since aged and have begun to live independently. Millennials aged 30 and above have formed 10 million new renter households over the past decade alone. “The overhang of the recession, high student debt levels, limited new construction of starter homes, and the ongoing rise in home prices present constraints for young would-be buyers,” notes a recent study by the Joint Center for Housing Studies at Harvard University. The report projects continued growth in renter households over the next 20 years, driven primarily by Millennials in their 20s and 30s. And Millennials aren’t just renting – they’re spending a lot of money on rent.Recent studies show that Millennials are spending more on rent than generations past. Millennials now spend $93,000 in rent, on average, by the time they turn 30. Gen X paid just over $82,000 and Baby Boomers spent just $71,000 when adjusted for inflation.These numbers are expected to climb. Already, younger Millennials are spending over $97,000 on rent by the time they turn 30, and Gen Z is expected to spend more than $102,000 by the time they reach 30.And it should come as no surprise that Millennials who are dropping that kind of cash on rent will want a premium rental experience. So, how do landlords and property managers respond? It starts with understanding what Millennials want out of their renting experience. Only then can you effectively respond to capture the Millennial market demand.
Millennials are the first generation to grow up with technology at their fingertips. They grew up with computers in their homes, and were the first generation to own cell phones en masse. Their affinity for technology does, and will continue to, influence how Millennials do business – as renters, property owners and employees.Property management companies are still trying to understand what this means. Right now, the average property manager is 47 years old. They often don’t see eye-to-eye with Millennials, or understand their mindset. It’s becoming abundantly clear that the property management industry will need to attract new talent and better integrate new technology if it’s going to respond to Millennial demands.We’re starting to see this play out, albeit slowly. Most property management companies are hesitant to adopt new technology. Typically, the status quo prevails.But it doesn’t need to be that way. Change is good. And as the renter demographic changes, the property management industry needs to grow and adapt as well. Like it or not, technology will be the locus of these changes.
Millennials are an incredibly diverse demographic. After all, there’s a reason why Millennials have been dubbed the “snowflake” generation – no two are exactly alike.That said, in my experience, first as CEO of Starwood Waypoint Homes and now as co-founder of Mynd, a tech-enabled property management company, there are several parallels among Millennials that property managers can respond to. Let’s look at a few.
A platform that facilitates omni-channel communication is also beneficial for property owners. These platforms can track management response times, resolution times, and customer satisfaction. It’s similar to the technology that’s being deployed in the SAAS industry, but that has been slow to take root in the property management industry to date.
And there are several ways they can.At both Waypoint and Mynd, we’ve created an easier leasing experience through the use of technology like smart locks and 3D tours. This allows us to host self-showings, where prospective tenants can actually get in and tour a unit on their own time. We’ve built out a mobile app that then facilitates lease applications, lease executions, and lease renewals. We’ve turned the leasing process on its head, primarily in response to Millennials’ demand for a more convenient leasing experience.
But that doesn’t mean property managers can’t facilitate experiences for tenants in smaller properties.We’re starting to see forward-thinking property managers arrange group deals with local businesses in order to provide residents with discounts on things like pizza, dry cleaning and theatre tickets. As property management companies scale, they can create bundled discounts on things like furniture, cable and internet. Sure, it may not be the same as having a monthly wine and cheese night at the roof deck pool, but these are amenities that add value for renters who increasingly pay an exorbitant share of their monthly income on rent.Responding to Millennial wants and needs isn’t just important for tenant attraction. It’s also important for finding highly-qualified tenants. We’ve deployed this approach at Mynd and we’ve had zero delinquencies and zero evictions to date with the residents that we placed with our proprietary tenant screening methodology.We’ve learned that this approach isn’t just good for owners – it’s good for residents, too. Residents love tech-enabled property management platforms.The Millennial population is about to explode. Owners who leverage an assortment of new technology will be well-positioned to capture this demographic, and capturing this demographic will be crucial. Owners who fail to get ahead of this wave will most certainly be left behind.
The housing market is more competitive than at any time since the end of the Great Recession. As a result, rental property owners are searching for ways to maximize their return on investment (). While there are several ways to increase rent, there isn’t always a one-to-one return for renovations. However, rent isn't the only factor that helps owners maximize net operating income (). Boosting the return on an investment means limiting vacancy and maintenance costs, while achieving the highest rents possible. By utilizing all angles, an investor can maximize at their property.This article highlights five easy upgrades you can make right now to maximize by limiting vacancy and reducing maintenance costs at your rental. They are:1) Add fresh paint after every turnover2) Install the proper flooring for your unit type3) Maintain professional landscaping4) Install a good security system5) Upgrade to modern amenities
Vacancy can be a significant cost to investors, particularly leveraged owners that continue to make loan payments without bringing income from the property. Beyond having a qualified property management company, there are some capital expenditures that reduce the time it takes to rent a vacant property, including some relatively inexpensive updates between renters.
Maintaining a rental property can consume up to 50% of collected rent if the property is of an older vintage. It can also require significant upgrades. In submarkets with limited turnover, durable materials can prolong the time between replacement. Additionally, quality construction can improve the living experience for your tenants. Hiring a property manager dedicated to maximizing through efficient, high-quality repairs is another key to maximizing . MYND, for example, saves property owners 20% on repairs and maintenance on average per unit.Renters that spend time without a hot-water heater or refrigerator may reconsider their living situation at the end of a lease, whereas renters that have few inconveniences are more likely to extend their stay. Reducing turnover is one of the most effective ways to improve income. A professional property management company can leverage technology by empowering their residents with apps and other online tools. They can utilize these apps to report problems when they arise. For owners, this technology reduces the hassles associated with maintenance.
Maximizing during occupied months is the most obvious way to improve rental returns. First and foremost, property owners need to understand what the market rents are when the unit is available. To do this, management companies typically use software that analyzes the market and compares rental comps from nearby available properties. Amenities can also ensure property owners are competing for the best tenants and achieving the highest rents.
These five upgrades are critical to maximize at your rental property, and realize its investment potential. The include the following:1) Add a fresh coat of paint. A new coat of paint should be applied after nearly every tenant turnover. This is one of the least-expensive ways for property owners to show their units in the best light. A light, neutral color gives the impression of a larger space, particularly when combined with bright light bulbs. Additionally, a fresh coat of paint provides the same mental reaction among tenants as a “new-car smell.”
2) Install the proper flooring. Depending on the property, flooring can go one of two ways. In large apartment complexes where economies of scale come into play, less-expensive carpet that is easily replaceable can provide the best . Single-family homes, meanwhile, may do better with higher-quality carpeting or durable manufactured flooring. Tenants in single-family homes are more likely to live in properties longer. Therefore, changing the floor during the duration of a tenant’s stay is cost prohibitive.3) Maintain professional landscaping. Curb appeal is the first impression a potential renter will have when considering a property. Regardless of the internal aesthetics of a unit, the renter might already be looking for a reason to move onto the next available property before walking in the front door. Saving money by letting tenants manage landscaping should never be a consideration. Most renters prefer a hassle-free living experience, and are not equipped or trained to properly maintain landscaping.
4) Install a good security system. Oftentimes, rental properties are in densely populated areas with a lot of people around. Renters want to feel safe when they enter their property or unit. Having an available security system may provide an additional edge over the competition. This need is exacerbated as more renters today are living alone. In single-family rentals, property owners should also consider security doors to increase the attractiveness of their assets.5) Upgrade to modern amenities. Apartment developers have been active over the past several years, and nearly all of the new stock coming online in major metro areas are Class A units. Property owners that compete for renters with newer properties should consider installing modern appliances and smart home features. Kitchens are the most noticeable areas when it comes to modern amenities, and should be considered the highest priority when renovating. Dishwashers, stoves, refrigerators, garbage disposals and other appliances – particularly smart appliances that are digital – appeal to residents. Smart home devices such as smart locks, Nest thermostats and automated lighting dimmers also appeal to renters.
To learn more about how you can maximize at your property, contact MYND.
Are you leaving money on the table by not filling vacancies fast enough at your rental property? If you’re leasing your own rental units, you could be missing out on valuable monthly income. In fact, you could be losing substantial rental revenue depending on where your rental property is located.
To stop pouring money down the drain, minimize the time between your current tenant moving out, and a new one moving in. Reducing vacancies requires more than just advertising on Craigslist. It requires a strategy designed to maximize rental income.This article will cover five strategies to reduce vacancies at your property. They include:
1. Set Accurate Market-Rate Rents
2. Get Your Unit Rent-Ready, with Great Photos
3. Use a Multi-Site Marketing Platform
4. Enable Self-Showings with Smart Locks
5. Identify High-Quality Renters with Technology
Here are more in-depth details on the five strategies to reduce vacancies at your rental property.
A data-driven property manager analyzes rental rates down to the neighborhood or property level. It’s not advisable to rely on free websites like Craigslist or Zillow since they may publish outdated or inaccurate information. Zillow rents are simply estimates based on publicly available data and information about similar properties listed for rent in the area. On the other hand, Mynd uses actual achieved rents to provide a much better idea of how much your property can command per month. Using incorrect data to set rents puts you at risk of prolonging vacancies.After providing you with a proforma of your investment’s performance, a property manager should work to lease your unit. Mynd uses AI and predictive analytics to review each owner’s rent rolls to ensure their property is commanding market rates, which includes analyzing comps from a variety of different sources. As a result, Mynd fills vacancies quickly () and achieves higher rents for their property owners.
Next, move fast to “turn” your property, or get it ready to rent. The longer you wait, the more monthly cash flow you put at risk. In most states, your current resident is required to give a 30-day notice of their move-out. As soon as you receive notice from your current tenant, start searching for a new one immediately. This is an ideal situation for most owners because it means they are operating an occupied, cash-flowing unit for an entire month while they begin their marketing efforts to find a new tenant. One critical part of getting your unit ready to rent is taking great photos and shoot a virtual, 3D tour of the interiors.
Take clear photos of each room. Ensure that the rooms are well-lit and that you use the auto-focus setting on your camera. Higher-resolution photos will display well on any platform: mobile, laptop or tablet. If you operate a multifamily property with aesthetically appealing common spaces, professional landscaping or other attractive features, take photos of them as well. Alternatively, you could hire a professional photographer. As for a 3D tour, you can hire a third-party company to shoot one, which is ideal if you operate several multifamily buildings with lots of units or have a large portfolio of single-family rentals.
With rents set, start marketing your unit to prospective tenants. One of the best ways to market your rental is by exposing it to as many eyes possible. Arguably, Craigslist has become the most popular way to advertise rentals. But is Craigslist reaching enough people?A tech-forward property management company like Mynd leverages automation that scours the Internet for the best places to advertise your vacant units, meaning that more than 40 different syndicates and websites display your property. It would take an owner incredible amounts of time, money and effort to complete this task. By putting your listing on all these sites, Mynd maximizes the number of prospects who view the unit, thus minimizing vacancy time and lost rental income.
Make sure to abide by state laws when showing your property to prospective tenants. California and Washington State landlords are required to deliver a 24- or 48-hour written notice, respectively, to the current tenant before showing their unit. If you’re not well-versed in state laws, consult with a property management firm with deep local expertise to show your unit for you. One secret to increasing your prospect pool and reducing vacancies is self-showings, which are enabled by smart locks. Self-showings are much more convenient for the prospect. Mynd has found that tech-savvy millennials and younger renters react more favorably to self-showings because they can be booked completely online, without interacting with what they view as a salesperson. They can also fit easily into their schedule and view the property with ease and without any pressure.
A tech-forward property manager makes self-showing appointments easy. At Mynd, the prospect simply signs up, goes through a security check and provides a copy of their ID and credit card, and then selects when they’d like to view the unit. Before the showing, the prospect receives a unique access code to tour the property during a specific window of time. The code remains valid only during the allotted time frame. Prospects don’t have to worry about a property manager showing up late to the appointment or hovering over their shoulder while they tour the unit.If there are any follow-up questions, a prospective tenant can call the property manager or send an SMS. When a prospective tenant has the ability to instantly communicate with the team showing the unit, that rental tends to get leased faster. Smart locks help enable self-showings since they give access to prospects and track the exact time the prospect tours the property. Ultimately, self-showings and smart locks give residents more control, translating into a better user experience and resulting in more signed leases.
After completing the first four steps, continue to move your prospects along swiftly. A tech-centric property manager makes it easy to fill out a leasing application and pay a deposit online. Mynd, for instance, kickstarts the process by making digital applications available.Mynd uses a state-of-the-art lead management system to ensure that high-quality tenants lease your properties. As a matter of fact, according to credit bureau TransUnion, the Mynd ResidentScore, which measures the likelihood of a resident to be evicted based on their income level, outperform the geographical average in the Bay Area and San Diego. Here’s a snapshot of the average ResidentScore in each of Mynd’s markets vs. the industry average score, also known as the average VantageScore:
Technology provides owners with full visibility into the leasing process–from tracking who they are, how many prospects expressed interest in their unit, to how many prospects actually visited their property, when they visited, how many applications were filled out, and more.If you’re a busy professional who doesn’t have time to formulate a comprehensive leasing strategy to reduce vacancies, you’re in luck: Mynd can help. Contact us today if you own rental properties in California or Washington State with vacancy issues, so we can assist in reducing them.
Mynd Property Management, a modern property management company powered by on-the-ground experts and technology, has appointed Alex Osenenko to the position of Chief Growth Officer. Osenenko is charged with growing all aspects of Mynd’s business, including all aspects of marketing and sales.Osenenko brings nearly a decade of experience in growing property management companies to his position at Mynd. Throughout his career, Osenenko has worked with thousands of property management companies, founders and entrepreneurs. Most recently, he was President and CEO of Fourandhalf.com, a property management-focused marketing agency he founded in 2012. “We are pleased to welcome Alex to Mynd as we continue to expand our property management capabilities nationwide,” explains Doug Brien, CEO and Co-Founder of Mynd Property Management. “Alex brings a wealth of knowledge in growing property management companies through his content-driven approach to thought leadership, sales and marketing. Alex is another example of the industry’s best talent joining Mynd to help us re-invent property management.” Osenenko served on the board of directors for the California State Chapter of the Association of Residential Property Managers () for five years. In addition, he founded “The Property Management Show Podcast,” a bi-weekly podcast that he previously hosted. “I am joining Mynd because the company has pioneered a new frontier in the property management and real estate investment sectors, which has disrupted proptech in a meaningful new way,” says Osenenko. “I am passionate about this industry because we play a critical role in society in that we are a housing provider and have a duty to take care of both our residents and property owners.”
Property investment can come with a diverse set of challenges and responsibilities—especially in a competitive market like Sacramento. Today, we will be speaking with Scott Raymond—founder of Raymond Property Management, now part of Mynd—about different services that property management companies provide and how to choose the right one to meet your needs.Alex: Boys and girls, Alex here with Mynd Property Management talking all about investing in Sacramento and being successful at doing so. My guest today is Scott Raymond. Scott, how are you?Scott Raymond: Doing great Alex. Thanks for having me.Alex: Scott is the most experienced person I know in terms of investing in Sacramento. He's got a decade of experience being very successful. He's a founder of a company called Raymond Property Management, which is now part of Mynd. Very exciting. So today we get to poke Scott's brain and see if we can get some wisdom nuggets falling out. And we've done a number of episodes already. You would see those at Mynd.co. Search for Sacramento Investing. But today—right now—today's topic is: what do property management companies do? Specifically, in Sacramento—what's the scope of services? What do they do?Scott Raymond: That's a good question. You would think it would be an easy answer, but there's really a variety of different ways property management companies approach services. The entire property management service continuum, as I like to call it, includes everything from getting the vacant units ready to rent, marketing the vacant units, screening and choosing tenant applicants, collecting rents, obviously, paying bills, preparing audit reports and bookkeeping, handling maintenance issues and emergencies, interfacing with tenants and whatever they need, and then being responsive owners' needs, and then also managing the group of vendors that are required to work on these properties.Some companies will only do leasing, for example, or only offer a portion of these services. For example, doing leasing only. Some will collect rents but not pay bills. Or they'll charge you extra to pay bills, but they don't handle maintenance, for example, or preparing units for rent. Other companies offer the entirety of services. They're called full-service companies, and they—soup to nuts, from beginning to end, from getting the unit ready, to leasing it, to collecting the rents, to paying the bills, to sending the reports, and everything in between. It's really a variety of services, from lease up only to full service, Alex.Alex: As an investor yourself, how would you go about choosing one, and why would somebody just do a lease-only, and does their incentive align with the investor more or less than a full-service property management company? Give us a little bit more color on going and choosing one for yourself.Scott Raymond: No, I don't think there's a misalignment in services. I mean, a company that only does lease-only is going to have the same energy and incentive to lease up that property as a company that does full-service, which includes leasing the property. So those interests are aligned with the management company's standpoint. But, why would an owner hire somebody for leasing only? Well, maybe the property's next door to the one they live in or right down the street, and so it's easy for them to look after it. It's easy for them to collect their rents. It's easy for them to fix a broken appliance or something. But they realize that they don't have the technological prowess that a property management company would to do solid online marketing and showing and screening and all the fair housing compliance that goes with it.So it does make sense for some investors to hire a company that just does lease only because they'll do a better job, a quicker job, and get higher rents than somebody who’s self-managing. But they don't need all the other bells and whistles of a full-service property management for a variety of reasons.Alex: Got you. Very good. Thank you for giving us some color on the subject. Boys and girls, thank you for watching. As I said, go to Mynd.co and see if you're interested in Sacramento as an opportunity to invest in or if you want to potentially look into a property management service in Sacramento. Check us out, Mynd.co. Scott, thank you for your time.Scott Raymond: Thanks, Alex.Alex: Thanks for watching.The types of services property managers provide are as diverse as the needs of investors. From preparing and marketing a property to screening potential tenants, the expertise and infrastructure they provide can turn a vacant property into a profitable rental. And from bookkeeping to maintenance services, a good property management company can easily meet the challenges, responsibilities and specific needs of any real estate investor.