Top Investment Property Expenses to Expect for Your Las Vegas Rental
Every investor should ultimately expect to spend money, especially if they plan to make any. And while many expenses may seem obvious, some expenses are dictated by the location of the property, itself. Today we are speaking with Celeste Robertson, Portfolio Manager for Mynd Property Management in Las Vegas, about the top expenses almost every investor should consider when renting a property in Las Vegas.
Steve Rozenberg: Hey, everyone. This is Steve Rozenberg with Mynd Property Management and I'm joined today by Celeste Robertson with Mynd Property Management. She’s the Portfolio Manager in Las Vegas. Celeste, thanks for joining me today.
Celeste Robertson: Hi, thanks for having me.
Steve Rozenberg: So, what I want to talk about today is, if I am looking at buying a rental property in Las Vegas and I kind of want to know some expenses and some maintenance costs, what would you say are some of the top things that, normally, I can expect for them to wear out and damage and break in a rental property in Las Vegas?
Deserts Can Be Cold, Too
Celeste Robertson: Well, we are the desert so you’re going to want to—and being in the desert doesn't necessarily just mean we’re hot because, for as hot as we are, we get as cold, as well.So, you want to do your HVAC, which is your heater and the the AC. And, most importantly, you want to keep them maintained. You don't want to just wait until we're in our triple digits for you have a habitability issue and then it's broken down.
So, we like to tell our investors, “prior to, make sure.” And our AC vendor does give us really good deals where they do a maintenance check to make sure everything's up and running in good shape prior to our severe colds and severe heat.
Change the Air Filters
Steve Rozenberg: Now, this may be a dumb question, since I don’t live in the desert, but do the filters need to be changed more often because you're in the desert or is that not a factor?
Celeste Robertson: No, it's a big factor. And the fact that we have a lot of wind here. So, even if you're not running your AC or not running your heat, the winds and the desert dust is constantly running around, which is blowing it into the filters. So, our leases are built to where the resident is responsible to change out those filters every 30 days.
Steve Rozenberg: Wow, okay. And so, the AC or HVAC—it's either blowing hot or blowing cold everyday, essentially, in Las Vegas.
Celeste Robertson: Yeah.
Plumbing is Key
Steve Rozenberg: What are some other things? Because it's so dry, are there foundation issues because of the sediment that it's on, or is that not normally a challenge?
Celeste Robertson: No, I haven't had many foundation issues. You want to make sure—water mains, the plumbing. We here in Las Vegas, and I know that, in a lot of other places, maybe like in California where they don't have refrigerators, but it's important because the people here in Las Vegas are expecting their units to have refrigerator, washer and dryers.
Steve Rozenberg: Okay, so those are high-useful load appliances. So I'm guessing those probably would tend to break obviously more than something that's not used as much.
Prevent the Pipes from Cracking
Steve Rozenberg: And then what about now there’s no—well, I shouldn’t say there’s no—but there's not a lot of grass in the houses and so use a lot of gravel, is that right?
Celeste Robertson: Gravel and desert landscape where we have drippers. So, that's another thing. We want to make sure that those are kept underground. Because of the heat and the cold, they do begin to crack. So, you want to make sure that the drippers are kept well-maintained, as well, too.
Steve Rozenberg: I think it's, again, everyone equates Las Vegas with being super hot, but it does get cold and in the winter time, are cracked pipes, is that a challenge with anything or does it not get that cold where they would do that?
Celeste Robertson: It does, we have to also tell the residents that they need to wrap—and it's important for the owners to do it, as well, and investors. And again, it's always, they want to protect their investment. So, make sure that those hose bibs and things on the outside are actually wrapped so that they don't freeze up and crack.
Steve Rozenberg: So basically, the main thing is the plumbing, obviously, the air conditioning and heating, the drip lines. Those are the main things that sounds like that are the, as far as the desert goes, and obviously, I'm guessing, maybe a broom to clean out the dust that goes on, floating around in the backyard and stuff. But other than that, not too much. That sounds like they build them pretty much desert-ready to do the remedies of what happens, is that right?
Celeste Robertson: Correct. And, you know, with their investment, they want to just make sure that they keep their appliances and everything maintained rather than waiting for an issue to happen.
Steve Rozenberg: And what about the windows? Is there anything with the windows? Because, I mean, you're getting heat, you're getting cold. You're getting a lot of wind blowing on them. Is there a certain double-pane or a certain type of windows that people should have out there?
Celeste Robertson: Generally, almost every house that we come across are all double-pane windows. The one thing that they will probably invest in maybe once or twice a year, or even depending on where the house is located in the direction of the sun, is the blinds. The blinds do get beat up here with the heat.
Steve Rozenberg: Alright. Well, great. Well, if somebody wants to talk to you more about managing a property and taking care of it or just some questions, how would they get ahold of you?
Celeste Robertson: They reach out at 833-MYND. That's M-Y-N-D.
Steve Rozenberg: And if you want to find us online, you can go to mynd.co. So it's M-Y-N-D.co. And you can look us up on the internet. You can go to Facebook. We have a great Facebook group. It's called the MasterMynd Real Estate Investor Club.
We also have a podcast show, The Myndful Investor podcast show. It's on iTunes, Spotify, Google, YouTube. And again, it's just here to help fellow investors learn how to be better at what they're doing and learn and educate.So, I'm Steve Rozenberg. This is Celeste Robertson and we want to thank you guys for watching. Bye-bye.
Every property has its own distinct set of challenges that every investor should consider when looking to buy. This is especially true when buying property in a desert city such as Las Vegas. While many people know of the extreme heat residents of Las Vegas endure, it can also be tremendously cold, especially in the winter.
Such extremes can wreak havoc on a property. So, too, does dust and sand, which can slowly creep into a property, over time. Being mindful of the climate of Las Vegas and how a desert location can affect a home or property is necessary when looking to invest in the city. And while these challenges may not seem obvious, ignoring them or letting them go for too long will certainly, in time, wind up costing a lot of money.
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