An important part of residential property management is having an understanding of the market in which the properties are located. Factors such as the average market rent price, vacancy rates, the percent of income renters are spending on housing and the percentage of rental properties in the overall market. Here is a brief overview of these factors in the Bellingham, WA market as of 2015. Statistics and information are taken from this data source which drew its figures from the U.S. Census.
Whether running a small, single apartment building or multiple complexes throughout several states; there are residential property management laws that must be followed. While laws do vary a little from state to state, there are many basic similarities. Property management companies may reduce their chances of legal trouble when they avoid these basic issues. Read more
In today’s technology-driven era, there is software available that can make residential property management so much simpler. However, the person in charge of using the software needs to understand the basic accounting concepts used in the software.
Chart of accounts for residential property management
Residential property management offers several key cost savings to property owners. While the property owner gives up direct control of day to day management, in exchange, he or she can benefit from time savings, reduced repair, security and landscaping costs. Additionally, property owners will benefit from increased or maintained property values as the property is kept in good repair and appearance.
Cost savings of residential property management
Residential property management involves many aspects. Aside from the standard tasks of property upkeep and financial matters such as collecting rent; property managers have tenants to consider as well. A bad tenant can cause several issues for residential property management, while a good tenant can be a great asset. A bad tenant may cause problems such as damages to property, not paying rent on the contracted due date, and/or upsetting other tenants. In fact, the worst tenants can lead to legal proceedings over evictions and property damage which costs both time and money. Part of proper residential property management is screening tenants before a contract is signed so that issues are minimized.
Top five tips residential property management can use to assure they find the right tenants for their clients’ properties:
Out of all the investment vehicles that can be held for a significant period of time, real estate is one of the most promising – as long as fundamentally sound practices are implemented to minimize risk, maximize profits, and ensure that the tenants are pleased with the living arrangements.