by Joe Pinto
We have all just come through a historic year; 2007 was the first year in over forty years that home prices and sales dropped down instead of going up. Where does that leave us homeowners?
Surprisingly, for the majority of us, it is not quite as chronic as it sounds, as the lower priced homes only dropped by an average of $3,000. 00 on the purchase price over the year. The more expensive homes pushed the yearly figures up as the 'jumbo' mortgages on these were more volatile than on the average house.
The National Association of Realtors have been out there doing their homework, and they are predicting an upward trend in housing for the first quarter of 2008. Is this over optimistic?
Well, in many areas, inventory is down. Many people have been making the decision not to sell their homes. The reason for this is that interest rates have been dropping, making the existing mortgages of some home owners more attractive if they re-financed.
This means that fewer properties have been coming onto the market, so the choice of homes to purchase is more limited. Also, rents overall have gone upwards in price by nearly 2% which encourages more first time buyers to get out there and buy.
The penalty on a mortgage is often worth paying if the rate drops low enough. The rule of thumb on most drops in mortgage rates is this: if you have more than eighteen months to pay, it is most likely worth paying the penalty.
If this is the case with you, ask your lender to calculate it for you and make the decision. If you do not want to bother your lender, there are mortgage rate tables on line that members of the public can access.
Of course, the low interest rate is not tempting everybody into house buying - yet. Many people are waiting to see how low the house prices will go. Ironically it is only evident that the bottom is reached as they start to rise again, so the 'bottom' has been missed anyway!
Most home owners of experience know that if it is possible, then it is best to ride out the storm. Part of the storm in this case, has been a false inflation of realty prices that is simply re-adjusting. People who have owned their homes for more three years are probably still showing an increase in the equity of their homes.
Property is considered to be a safe bet as far as investments go. The monetary value of a home has almost doubled in the last ten years. This is not the type of interest rate you can hope to find for your savings account! Even the stocks and shares market does not offer such a risk-free return.
For first time buyers wondering if they should enter the market, the best advice would be to buy a home that does not stretch your budget to its utmost. Look for a home that needs a little TLC; if the price of your first home is low enough, you may have enough confidence to try renovating.
Many local hardware stores run free courses or workshops that teach many do-it-yourself skills. You have a better chance of remembering the procedures if you both attend the course. It can actually be fun to make-over a room, especially if there are two of you doing it.
There is an indescribable feeling when you have finally finished renovating a room and you stand back to admire your own handiwork. It is your choice of color and design and you realize that you have done a great job; it doesn't even matter that it's not perfect!
Joe Pinto, one of the top-producing agents in the Chicago real estate industry. With over 10 years of experience, Joe brings professionalism and hard work to help you in the sale or purchase of Albany Park Condos. For more information, visit Joe at ChicagoHomeEstates.com.
Thursday, January 31, 2008
Wednesday, January 30, 2008
How To Choose A Moving Company
by Apartmentreviews.net
Choosing a right moving company is an important aspect of your home moving process. You have to ensure that you’re hiring a good mover to carry it out. It requires thorough exploration to find an accomplished moving company, which serves you better at a most favorable moving quote. You have to verify that they are legally insured and licensed to move your home. Take the recommendations of your friends and family members, which make your research easy. It would be more efficient to find your movers at least a month before, so that you can have enough time to organize for any sudden hindrances.
Things To Consider While Choosing A Moving Company
Here are some important views that you have to consider while choosing a moving company that delivers your possessions without any impairment at a feasible quote.
Get the estimation: Most of the full service moving companies provides the estimation of your move. This helps you to choose a good moving company at an affordable price quote. You should be familiar about your requirements and make a list of your possessions that you move.
Legal prerequisite: You have to make sure that the mover is licensed and approved by the DOT or any corresponding government body. You should also verify that they carry insurance for your possessions, if any unexpected obstacles rise in your move. The movers with these legal prerequisites can make your move stress-free as they provide adequate services.
Test the market: It is a good idea to examine the marketplace that provides a list of various moving companies. You have to contact as many movers as possible, so that you can know the variations in their prices and services. This makes you easy to find the suitable company that serves all your requirements.
Word of mouth: It would be supportive to inquire your friends, relatives and others about the moving companies that they already used. This will make you know their experience with those companies and suggests you to employ the movers or to reject them.
Documents: When you are moving your home, get the important documents from your moving company such as, “order for service”, “table of measurements” that makes your house moving easy and secured. Before your moving date, inspect all your moving belongings and carry all your documents along with you.
With this information you will be able to choose a good moving company that moves your possessions appropriately and makes you much less stressful.
Apartmentreviews.net helps you in finding apartments in various locations. Most likely other users have already rated apartments in your target area like San Diego apartment. If you are looking for Apartments in Philadelphia or apartments in Houston then apartment reviews will help you in choosing the one that best suits your needs.
Choosing a right moving company is an important aspect of your home moving process. You have to ensure that you’re hiring a good mover to carry it out. It requires thorough exploration to find an accomplished moving company, which serves you better at a most favorable moving quote. You have to verify that they are legally insured and licensed to move your home. Take the recommendations of your friends and family members, which make your research easy. It would be more efficient to find your movers at least a month before, so that you can have enough time to organize for any sudden hindrances.
Things To Consider While Choosing A Moving Company
Here are some important views that you have to consider while choosing a moving company that delivers your possessions without any impairment at a feasible quote.
Get the estimation: Most of the full service moving companies provides the estimation of your move. This helps you to choose a good moving company at an affordable price quote. You should be familiar about your requirements and make a list of your possessions that you move.
Legal prerequisite: You have to make sure that the mover is licensed and approved by the DOT or any corresponding government body. You should also verify that they carry insurance for your possessions, if any unexpected obstacles rise in your move. The movers with these legal prerequisites can make your move stress-free as they provide adequate services.
Test the market: It is a good idea to examine the marketplace that provides a list of various moving companies. You have to contact as many movers as possible, so that you can know the variations in their prices and services. This makes you easy to find the suitable company that serves all your requirements.
Word of mouth: It would be supportive to inquire your friends, relatives and others about the moving companies that they already used. This will make you know their experience with those companies and suggests you to employ the movers or to reject them.
Documents: When you are moving your home, get the important documents from your moving company such as, “order for service”, “table of measurements” that makes your house moving easy and secured. Before your moving date, inspect all your moving belongings and carry all your documents along with you.
With this information you will be able to choose a good moving company that moves your possessions appropriately and makes you much less stressful.
Apartmentreviews.net helps you in finding apartments in various locations. Most likely other users have already rated apartments in your target area like San Diego apartment. If you are looking for Apartments in Philadelphia or apartments in Houston then apartment reviews will help you in choosing the one that best suits your needs.
Tuesday, January 29, 2008
Cashing in on Repossession Property
by michael sterios
With the number of repossession properties on the rise there are a large number of companies and individuals who have begun invest in properties owned by people in financial distress.
In fact, the sheer volume of home owners looking to stop repossession of their properties due to financial problems has spawned a national trend. Home owners who are heavily in debt and have not been able to keep up with the monthly repayments due on their loans have increasingly been offering their properties up for sale at heavily discounted prices.
The catch is that the buyer must be in a position to take the property off the current owner’s hands in a short space of time. The overall objective is that the seller will receive enough funds from the buyer to clear their loan balances and arrears and stop the repossession process, even if that requires selling the property at a hefty discount.
Savvy property investors have latched on to the notion of being able to secure properties at bargain prices and currently there are more people than ever before offering financially troubled home owners the chance to clear their debts and avoid repossession and eviction.
For many investors, this seems like the perfect way to build up a healthy property portfolio, but what are the risks?
The first and probably biggest risk to consider is that properties offered up for sale by people who have no money are usually in a poor state of repair. This means that although the buyer may receive a large discount on their purchase, they may be required to fork out some money as soon as the purchase is completed to bring the property up to scratch.
It makes perfect sense that a home owner who cannot meet their monthly mortgage payment for at least several months can also not afford to keep their home in a good state of repair.
Another risk factor to consider is that many of the sellers wish to remain in their homes as rent paying tenants. Buyers will need to keep in mind the fact that their tenant may not have any savings at all, and possibly an irregular income, and therefore may not always pay rent on time or in full.
If the tenant does turn out to be less-than-perfect the landlord will be forced to evict them. It is probable that the tenant will not be pleased with this considering the property was once their own home and, despite the fact they may not be paying their rent on time, they may not go quietly.
A final risk factor to consider is that the cost of borrowing has increased in recent years and may continue to do so. Therefore, if the investor is going to finance their purchase with a mortgage, they will need to factor in potential future interest rate rises.
Sell Your Property Fast and Stop Repossession of your home through We Buy Property Fast. Contact us today and avoid repossession.
Published By: Indocquent.com- An online resource that allows businesses and individuals to promote their business, products and services in over 20,000 cities throughout 200 countries around the world.
With the number of repossession properties on the rise there are a large number of companies and individuals who have begun invest in properties owned by people in financial distress.
In fact, the sheer volume of home owners looking to stop repossession of their properties due to financial problems has spawned a national trend. Home owners who are heavily in debt and have not been able to keep up with the monthly repayments due on their loans have increasingly been offering their properties up for sale at heavily discounted prices.
The catch is that the buyer must be in a position to take the property off the current owner’s hands in a short space of time. The overall objective is that the seller will receive enough funds from the buyer to clear their loan balances and arrears and stop the repossession process, even if that requires selling the property at a hefty discount.
Savvy property investors have latched on to the notion of being able to secure properties at bargain prices and currently there are more people than ever before offering financially troubled home owners the chance to clear their debts and avoid repossession and eviction.
For many investors, this seems like the perfect way to build up a healthy property portfolio, but what are the risks?
The first and probably biggest risk to consider is that properties offered up for sale by people who have no money are usually in a poor state of repair. This means that although the buyer may receive a large discount on their purchase, they may be required to fork out some money as soon as the purchase is completed to bring the property up to scratch.
It makes perfect sense that a home owner who cannot meet their monthly mortgage payment for at least several months can also not afford to keep their home in a good state of repair.
Another risk factor to consider is that many of the sellers wish to remain in their homes as rent paying tenants. Buyers will need to keep in mind the fact that their tenant may not have any savings at all, and possibly an irregular income, and therefore may not always pay rent on time or in full.
If the tenant does turn out to be less-than-perfect the landlord will be forced to evict them. It is probable that the tenant will not be pleased with this considering the property was once their own home and, despite the fact they may not be paying their rent on time, they may not go quietly.
A final risk factor to consider is that the cost of borrowing has increased in recent years and may continue to do so. Therefore, if the investor is going to finance their purchase with a mortgage, they will need to factor in potential future interest rate rises.
Sell Your Property Fast and Stop Repossession of your home through We Buy Property Fast. Contact us today and avoid repossession.
Published By: Indocquent.com- An online resource that allows businesses and individuals to promote their business, products and services in over 20,000 cities throughout 200 countries around the world.
Monday, January 28, 2008
Advantages of living in a condo
by David Tang
Condominiums, alternatively known as condo units, are a great option for people who are interested in owning an economic but at the same time a convenient dwelling place that offers all the benefits of staying in a conventional home.
One of the prime differences between a condo and an ordinary home is that a condo unit does not include individual ownership of a piece of land. In other words, a condo is part of a larger complex, and a condo owner has complete ownership over their individual unit, while other areas of the complex as well as the land on which it is situated is owned in common by all homeowners. Additionally, facilities available within the condominium complex such as elevators, pools, hallways, club houses, and fitness facilities have shared ownership.
A condo owner is also required to follow the rules and regulations put forward by the condominium association.
Depending upon the tastes and budget of people, different types of condominium units are now available. Luxury condo complexes are a popular type of development in the area of Asheville, NC. Apart from comfortable as well as well-appointed individual units coupled with balconies or sun decks, luxury complexes mostly come with a complete array of facilities such as valet parking, round the clock security services, on-site pools, excellent spa and fitness facilities, meeting and banquet rooms, and conference centers.
Another popular type of condo complex is the low-rise condominium, which are akin to traditional edifices and contain only two to five floors. Al though built in traditional style this type of condominium is usually complete with all facilities that a modern condominium complex offers.
Different types of condo complexes also include townhouses, alternatively known as town homes, which is more or less like a single detached home and with features such as enclosed patios, fireplaces, and roof decks.
Other popular types of condominium complexes are loft condo units with large windows and high ceilings, and co-op, which is quite different from other types of condo units.
No matter the type, living in a condo provides a host of benefits. A prime benefit of a condo unit is that it is economically smart when compared to other typical housing options. Another key benefit of living in a condo is that owners need to only clean their individual units. Common areas like garden, lobby, and hallways are maintained by a management company.
Other obvious benefits of living in a condominium complex include low maintenance, safety and the opportunity to live within a unique community. For instance, there are condominium complexes that are especially designed to cater to the requirements of retirement communities.
Above all, buying a condo unit serves as an excellent long-term investment. It’s even better to invest in a new condo complex, as it will be built using the most sophisticated technologies, thereby ensuring durability and low maintenance.
The River Condos of Asheville are located on the French Broad River and represent the best in Asheville real estate. Their Asheville condos are built using green building concepts and recycled materials.
Article Directory: Article Dashboard
Condominiums, alternatively known as condo units, are a great option for people who are interested in owning an economic but at the same time a convenient dwelling place that offers all the benefits of staying in a conventional home.
One of the prime differences between a condo and an ordinary home is that a condo unit does not include individual ownership of a piece of land. In other words, a condo is part of a larger complex, and a condo owner has complete ownership over their individual unit, while other areas of the complex as well as the land on which it is situated is owned in common by all homeowners. Additionally, facilities available within the condominium complex such as elevators, pools, hallways, club houses, and fitness facilities have shared ownership.
A condo owner is also required to follow the rules and regulations put forward by the condominium association.
Depending upon the tastes and budget of people, different types of condominium units are now available. Luxury condo complexes are a popular type of development in the area of Asheville, NC. Apart from comfortable as well as well-appointed individual units coupled with balconies or sun decks, luxury complexes mostly come with a complete array of facilities such as valet parking, round the clock security services, on-site pools, excellent spa and fitness facilities, meeting and banquet rooms, and conference centers.
Another popular type of condo complex is the low-rise condominium, which are akin to traditional edifices and contain only two to five floors. Al though built in traditional style this type of condominium is usually complete with all facilities that a modern condominium complex offers.
Different types of condo complexes also include townhouses, alternatively known as town homes, which is more or less like a single detached home and with features such as enclosed patios, fireplaces, and roof decks.
Other popular types of condominium complexes are loft condo units with large windows and high ceilings, and co-op, which is quite different from other types of condo units.
No matter the type, living in a condo provides a host of benefits. A prime benefit of a condo unit is that it is economically smart when compared to other typical housing options. Another key benefit of living in a condo is that owners need to only clean their individual units. Common areas like garden, lobby, and hallways are maintained by a management company.
Other obvious benefits of living in a condominium complex include low maintenance, safety and the opportunity to live within a unique community. For instance, there are condominium complexes that are especially designed to cater to the requirements of retirement communities.
Above all, buying a condo unit serves as an excellent long-term investment. It’s even better to invest in a new condo complex, as it will be built using the most sophisticated technologies, thereby ensuring durability and low maintenance.
The River Condos of Asheville are located on the French Broad River and represent the best in Asheville real estate. Their Asheville condos are built using green building concepts and recycled materials.
Article Directory: Article Dashboard
Friday, January 25, 2008
How to Properly Evict a Tenant
Subscribe in a readerThere is nothing more frustrating as a landlord, at least to me anyway, when the first of the month rolls around and the rent doesn't show up. You wait a few days and it still doesn't arrive. You put a phone call into your tenant, and you get excuses ranging from, "I am a little behind this month, I will have it out as soon as possible" to "I sent, didn't you get it?". As if had you did receive it, you have nothing else better to do then call your tenant for money they don't owe you.
It is very frustrating, but the sad reality is, no matter how great the homework you do and initial screening of your tenant, you just can't predict what they will do with the money they make. Nor will anyone ever understand why they case of beer of carton of cigarettes they go through everyweek is more important than keeping a roof over their head.
So the time has come for you to begin the eviction proceedings. It is not that difficult of a process when done correctly. The key words there are "done correctly". When done by the way by which your state has defined the laws for the process, it will be smooth. You do it incorrectly and you may have a tenant living there for a long time with no obligation to pay their rent.
Below I am going to give my steps I take to evict a tenant. If you feel uncomfortable doing this, I recommend hiring an attorney in your area that specializes in this. The cost will be higher than if you did it yourself, but if piece of mind is more important than standing in front of a judge, then hire an attorney.
The first thing you want to do is make sure your lease clearly outlines the date by which you must receive the rent, and you must stick to that date. There is no give here. If the lease says it must be in your hand by the first of the month, then it needs to be in your hand by the first of the month. The second day is considered late and late fees will apply.
I normally wait 3 days from the due date to send out my eviction notice letter. This is a letter that states in the utmost professional language, that I have not received their rent payment, and that if I do not receive it by the 15th of the month, the eviction process will begin. All of this is also outlined in the lease, but I put it in writing again as it will carry more weight in court when you show the judge you gave them a chance to make due what they owe.
You will need to check the laws in your area to see what the proper statutes are for the eviction process. In my location you can file immediately, however I know in other areas you have to wait 45 days. Check with your local county courthouse or housing department.
If the tenant does not respond by the 15th with what they owe, and anything less than what is due in full is not acceptable, go down to the courthouse in the town where your property is located and fill out the paperwork to begin the legal process. They will help you through it in making sure it is filled out properly, or at least they should. The cost to file is usually around $25, but it may be more or less depending upon where you live.
Once that is filed, you should receive in the mail a notice as to when your court date is so the judge will hear both sides. Your tenant will receive this same notification, and going by what I have seen in my area, the court doesn't care if the tenant or the landlord receives the letter. Your date is set and both parties are to be there. Should you not show (in my area anyway), the judge dismisses the case. If the tenant does not show, an judgment for the landlord is given and you can begin the next step in removing the tenant.
Once the court appearance has finished and you receive a judgment in your favor to legally remove the tenant, you will be instructed as to what the next step will be. Usually it is filing the paperwork with at the county courthouse to have your local sheriff's department remove the tenant. When the paperwork is filed, the sheriff will post an orange or some bright sign on the door letting the tenant know of the exact date they must move out.
If the tenant still resides in the property after that date, you will then go to the property with the Sheriff's department and they will be removed by them. Do not touch, harm or threaten the tenant. Doing this may cause you to start this process all over again. The sheriff is there for a reason. Let them do their jobs. They are really good at it.
Now that the tenant has been legally removed, the property is yours once again. Read my other article if they leave items in the house. You can not just simply throw them away. There is a legal process for that as well.
An eviction can and will go smoothly if you follow all of necessary steps and do it properly. Once you go through the process once, it becomes much easier. Hopefully you won't have to do it too often, or if luck is on your side, at all.
By: Michael C. Podlesny
About the Author
Michael C. Podlesny is the owner of Rental Property Repair, LLC. A rental and investment property repair and renovation company that services Mercer & Burlington Counties in New Jersey and Bucks County, Pennsylvania.
To inquire about their services you can visit them online at http://www.RentalPropertyRepairLLC.com.
Friday, January 18, 2008
How A Landlord Should Properly Allow Pets
I, myself, love pets. I have owned dogs my entire life. No one can argue the fact that a good dog is truly man’s best friend.I currently have a chocolate lab mix that my wife and I adopted from a local shelter. Although sometimes he may act a big crazy, I would not trade him for the world. That is what a good pet can do for someone.
So being a pet, specifically a dog owner, and as a landlord, I always have conflicting thoughts when it comes to allowing pets to occupy one of my properties with a tenant.
A lot of times the decision is made for me to not allow pets. This is done because most, if not all insurance companies in the State of New Jersey will not insure a property with certain breeds of dogs living there. These would include your large and aggressive breeds such as Rotty’s, Doberman’s, German Sheppards, Pit Bulls and so on. The reason is these breeds of dogs are more likely to, and are strong enough to either do damage to the property or God forbid, to another human.
If you are not a pet type of person then your decision is easy, you just do not allow them, but for me, it would hypocritical for me to say no, while I own one myself.
If you are like me, then let me tell you what I do. To start, when I show the property, my rental application includes on it a statement that the applicant initials understanding that we do not allow certain breeds of dogs. For the reasons I mentioned above, this is not negotiable.
If the tenant does own a dog and it is not one of the breeds above, I will make an appointment to actually meet the dog. I want to gauge the dog’s behavior and friendliness.
If I find a good tenant with a dog that I approve of, the rent immediately goes up $10 per month and I charge an additional security deposit fee. Also with that, in the lease it states that I will with hold $50 above and beyond the normal carpet cleaning charge.
Using these three techniques to insure that I don’t get plagued with a lawsuit or a destroyed property from a pet, has helped me tremendously and I believe if you do this, it will help you.
Even though you may hear many horror stories about rentals and pets, most occur because either the landlord does not do their due diligence in regards to the pet, or even worse they choose the wrong tenant.
Do your homework before you make that choice and the percentages of obtaining a successful tenant pet owner increases great.
By: Michael C. Podlesny
About the Author
Michael C. Podlesny is the owner of Rental Property Repair, LLC. A rental and investment property repair and renovation company that services Mercer & Burlington Counties in New Jersey and Bucks County, Pennsylvania.
To inquire about their services you can visit them online at http://www.RentalPropertyRepairLLC.com.
Wednesday, January 16, 2008
As A Landlord, Be Strict With What You Fix
As a landlord for over 10 years I am always asked by those who have never been a landlord, "Isn't it a pain in the butt when you get calls in the middle of the night to fix something?" My answer is always no. Because that is the truth, it is never a pain, and in this article I will tell you why.
One of the hardest parts about being a landlord is making sure the property is in good condition. In livable condition. In a condition that a local inspector will obviously pass.
You need to know how to separate the items that absolutely have to get fixed immediately and those that can wait because they are detrimental to the tenant or the property. Being able to master this will go a long way to insuring your own piece of mind in this business.
To start, your lease should outline exactly what you will be responsible for fixing. Such items include, if the hot water heater goes, a roof leak, the heater itself, and other items which the tenant has no control over. Now if you can show that the tenant deliberately and/or maliciously ruined an item above, then you can take other action.
Now that you have outlined in your lease which items you will fix, you then need to outline the response time. In most cities and states, there are statutes in place in which landlords must adhere to. In other words if the hot water heater goes, there may be a law in place, in your area, that tells you how long you have to respond before you "get in trouble" so to speak.
Outline the response time and plan of action in the lease as to how you will handle the necessary items. This way the tenant knows exactly what is expected, when it will be completed, and who will be coming over to fix it.
Once you have the necessary repairs outlined you need to handle nuisance repairs. What I mean by that, are, the items that do not have to be addressed immediately. As crazy as it sounds, changing a light bulb is one. I can't tell you how many calls I received for that. Of course I put in the lease that the tenant is responsible to change their own light bulbs, yet it never stops them from calling.
Other items would be a loose doorknob, carpeting issues and so on. In my lease I have placed in there that any damage caused by the tenant will be paid in full by the tenant. So if I go to the house and determine that the tenant caused it, I fix it and then they get billed for my time and supplies in the next invoice. You must be stern with this. If you give any leniency, trust me they will run with it. Also on a side note, if your invoice is lets say, $1000 and $750 is rent and $250 is for the repairs, yet they only send you $750, you will apply the first $250 to the repairs and the remaining $500 to the rent, leaving them $250 in default of their rent. You will then send them a notice that they are behind on their rent, and that if not paid by a said date, you will begin eviction proceedings.
You need to check your area for the legalities of how the above example must be handled as all areas and laws are different. Since most of my rentals are in New Jersey, I give you examples of what I am able to handle here.
Now lets say the tenant calls about something that needs to be repaired, it truly wasn't there fault, yet is not an absolute necessity. Simply put into your lease a provision by which the tenant is responsible for the first "x" amount of dollars to all non essential service calls. My lease calls for $75. This means the tenant will pay the first $75 of the service call and I will cover the rest. This helps cut down on those late night, the faucet is dripping calls.
As you can see a lot of the hassle can be handled by outlining it in your lease. Once it is in there it is up to you, as the landlord, to uphold it so the tenant understands what they are responsible for.
By: Michael C. Podlesny
About the Author
Michael C. Podlesny is the owner of Rental Property Repair, LLC. A rental and investment property repair and renovation company that services Mercer & Burlington Counties in New Jersey and Bucks County, Pennsylvania.
To inquire about their services you can visit them online at http://www.rentalpropertyrepairllc.com/.
Tuesday, January 15, 2008
Landlords Protect Yourself The Right Way From Property Overcrowding
Whether you are new to being a landlord or have some seasoning under your belt, you are undoubtedly going to run across some things that, if you are not prepared for, will drive you crazy.
One of those things, and it is more common than you might think, is when your lease calls for the maximum occupancy to be six people and you find out there are about ten people living at your house.
Think it can’t happen? Think again. In my ten plus years of experience in being a landlord, it happens, and quite often. However it is not something to lose sleep over as you can protect yourself from this.
The first place to start is to specifically define this in the lease agreement you make your tenants sign. In the lease agreement that I use, it specifically lets the person know exactly the number of people that can live on the premises. Most leases do include that, but mine does not stop there.
I further customized mine to detail the specifics if the tenant breaches the contract. For instance, the lease tells the tenant that no one can stay longer than two days (you will have to check in your area of what is allowed and what is not), and if they do so, they are responsible for paying an additional $10 per day per person fee on top of their rent.
The first thing that pops into your head, I am sure, is “yeah right, how do you enforce them paying that, and how do you prove it.” It is not in there to have you make more money. It is another provision in the lease that gives you additional ammo, so to speak, when the time comes for an eviction.
I can not speak for all states, but in New Jersey, specifically in Trenton, the judge upholds the lease a tenant signs to the letter, so as long as the landlord shows no negligence in anyway. In other words you have done all of your due diligence to rectify a situation before it gets to court, and during that process you have not broken any laws.
Sounds pretty straight forward right? It is and should be. Now that you have that in place, you should have an additional line that reads, Landlord has the right to begin the eviction process if the tenant exceeds the maximum amount of people residing on the premises as noted in section x paragraph y of this lease agreement. Obviously the section and the paragraph are where you put the maximum number of people allowed.
This is just another piece of your lease that, again, gives you some firepower when it comes to enforcing the fact that the tenant can not have too many people living there. This lets them know that they risk eviction if they go above that number, and it lets them know in writing, that they agreed to it, by signing the lease agreement.
Many states already have maximum occupancy laws in place, and you should find out if your area already has them. However, do not leave it open for debate if you need to evict a tenant. Get it in your lease, in writing where the tenant agrees to it and signs the lease.
By: Michael C. Podlesny
About the Author
Michael C. Podlesny is the owner of Rental Property Repair, LLC. A rental and investment property repair and renovation company that services Mercer & Burlington Counties in New Jersey and Bucks County, Pennsylvania.
To inquire about their services you can visit them online at http://www.RentalPropertyRepairLLC.com.
Monday, January 14, 2008
How To Dispose Of Tenant`s Belongings The Right Way
We all dislike clutter. It gives a sense of an area being a mess, disorganized and dirty. As a landlord for more than 10 years, nothing drives me crazier then after a tenant moves out, whether on their own or by eviction, then when they leave a mess behind.
What might look like garbage and worthless stuff to you, are the tenant’s belongings. For that reason you must protect yourself and follow the law when it comes to getting rid of what is left behind.
You need only sit in on one television session of Judge Judy and see how amazing it is that the same items a tenant left behind are worth thousands of dollars when they come back to get it and find out you threw it away.
For that reason, and the sake of avoiding the headache of going to court, protect yourself. There are laws set up in most states for both landlords and tenants. These laws are put into place to avoid situations such as the one I described above.
Although I personally have owned rentals in 4 different states, I am more experienced in New Jersey, so I can speak from that vantage point. In the state of New Jersey, the last time I checked, the tenant has 30 days to retrieve any items they left behind. However with that said, it is not 30 days from the day they move out, it is 30 days from the date you file the paperwork that the tenant moved out.
In Trenton, NJ where I have owned a number of rentals, you need to fill out a form that shows the date the tenant moved out, and list any items they may have left behind. It is in your best interest as a landlord to file this paperwork. Also, it is a good time to take pictures of the items, although that is for your benefit and does not have to be filed with the paperwork.
Failure to file this paper leaves you open for a tenant to come back and make outlandish claims as to what they left behind. You’d be surprised as to how many tenants leave behind plasma TVs and Rolex watches. Do not leave yourself open to a headache that can be avoided with a little more than a half an hour of your time.
In Trenton, once the 30 days has lapsed, you can basically do whatever you want with it. I normally donate it to charity, and that is the God’s honest truth. If I kept all the stuff left behind by tenants, I would have no room in my own house. I know some landlords sell things on eBay, etc, but I just don’t have the time for that. You’ll have to check to see what your area allows and then decide what is right for you.
If you haven’t experienced a tenant leaving things behind yet as a landlord, eventually you will. When it happens you want to make sure you do things the right way to avoid any headaches that might arise. The best place to start is to contact your local housing director, city housing authority or city housing inspection department and get an exact law as to how your area handles it. If those departments do not have the answer, contact the court office that handles evictions in your area, they are sure to have the answer as well.
Most importantly, do it the right way, with the right paperwork, and you are to avoid any problems. The fewer headaches you have as a landlord, the more success you will have.
By: Michael C. Podlesny
About the Author
Michael C. Podlesny is the owner of Rental Property Repair, LLC. A rental and investment property repair and renovation company that services Mercer & Burlington Counties in New Jersey and Bucks County, Pennsylvania.
To inquire about their services you can visit them online at http://www.RentalPropertyRepairLLC.com.
Friday, January 11, 2008
As A Landlord Is This Type Of Lease Best For You?
If you are a novice landlord or even have some seasoning under your belt, I am sure at some point you either have or will ponder the question as to whether or not to use a month to month lease.
As a landlord with over 10 years experience, I can tell you what I think is best in the areas where I have owned property. The ultimate decision will come down to what you feel comfortable with and more importantly the area in which you own rentals.
Keep in mind 99% of the rental properties that I have own are in the central New Jersey area, so laws may be different where you live. You should always confer with an attorney who is an expert on this matter before you make any decisions.
A month to month lease is basically what it sounds like. The tenant signs your agreement based on the knowledge that as each month passes by, they will need to resign a new lease, or adhere to an agreement already signed that says their tenancy is only valid for a month at a time.
I personally do not like month to month leases. They are time consuming, and in the areas where I rent, are a big turn off to good tenants. Someone who is stable, with a good job, family, etc., and that is looking for a nice place to settle down, does not want the stress of a month to month lease, giving the landlord the “power” to move them out at the end of any month or constantly increase their rent.
On the other hand, if you are in an area where good tenants are as common as hitting the lottery, then a month to month can be your best friend. It adds a bit of pressure to the tenant living there. The tenant knows that the lease expires at the end of each month and if the landlord chooses to, does not have to allow you to remain. It is a good way of, without directly saying it to the tenant, ‘you better be on your best behavior and more importantly pay the rent on time.’ Ok maybe not that stringent, but you get the point.
The reason I do not like month to month leases is that the eviction process in my area is still the same as if I had the tenant signed to lets say a one year lease. Also, because of rent control, having a month to month lease does not necessarily allow me to raise the rent more than a certain percentage from what the original amount was.
If the rental market is competitive in your area where you have an abundance of tenants and tenants understand that a month to month lease could mean more rent each month, then I say go for it.
However, on the opposite side of that, if the tenant has a lot of choices and you only sign them to a month to month agreement, they could jump ship at the end of the month to another place, and you still have to give them their security deposit back etc. Now, because the tenant jumped ship, you have to go through the entire process of finding a tenant, all over again.
The area in which you own and rent out will basically dictate whether a month to month lease is a good choice. Best place to start is your local real estate investment club, or local property managers. They have a lot of knowledge on your area and what you can and should do.
By: Michael C. Podlesny
About the Author
Michael C. Podlesny is the owner of Rental Property Repair, LLC. A rental and investment property repair and renovation company that services Mercer & Burlington Counties in New Jersey and Bucks County, Pennsylvania.
To inquire about their services you can visit them online at http://www.RentalPropertyRepairLLC.com.
Use These Techniques To Find Good Tenants For Your Rental Properties
As a landlord for over the last 10 years I can tell you I had my share of good tenants and share of some bad tenants, as do all landlords.
Today I want to share with you some ideas and techniques that I use to at least limit the possibility of a bad tenant. In my experience I have encountered on a few occasions where no matter how much time and effort you put in, you just can`t predict the future, and because you can`t you won`t be able to for-see your tenant lose their job resulting in you not getting your rent. Will get to more on that in a moment.
As landlords we use a variety of documents and information obtained from the potential renters application, which brings us to step one, a complete application.
A red light of caution should immediately go off in your head if you get back an incomplete application. What is considered incomplete? The person`s job history should go back at least 5 years. Some say 2, but I require 5. I want to see what they have been up to. Do they jump around from job to job? Or are they stable? Is the industry they are working in stable? In other words, are they busy today only to get laid off tomorrow. Get up to 5 years work history. Obviously if you are looking at a section 8 tenant you might not get that, but we`ll talk about section 8 tenants later.
Look for personal and professional references. Three of each is what should be the minimum, although the application that I use (which I customized), has space for 5 each. it is rare that I get 5, but 90% of the time I will get 3 or 4.
Make sure your application calls for what there current bills are. Do they have a car payment? Alimony or child support (although some states do not allow you to ask this)? As you can see you have to deduct these costs from their income to see whether or not they can afford the property.
Find out why they are leaving their current place. Obtain the contact information for the landlord where they live.
Now that you have all that information, start placing some phone calls. Call the jobs, the references and the previous landlord. Find out what kind of person they are. Keep in mind many states do not allow you to ask personal questions, nor can references tell you that someone is a bad tenant, employee or person. What you are trying to find out is are they reliable. Did they show up to work on time? Is it a person that a personal reference can count on? Is the previous landlord sad to see them move out? That type of information.
Notice I did not mention anything about the credit report. If you, like me, rent in an area, where you have a better chance of hitting the lottery then seeing someone with a halfway decent credit report, then you know the credit report is basically worthless. I would only use a credit report if my choices come down to more than one person or family. Then I would take the best of the bunch.
Armed with all the information above, you should have no problem finding quality tenants and keeping them for a very long time. Remember, the more time and effort you put in prior to moving someone in, the less headaches (and court appearances) you will have later.
By: Michael C. Podlesny
About the Author
Michael C. Podlesny is the owner of Rental Property Repair, LLC. A rental and investment property repair and renovation company that services Mercer & Burlington Counties in New Jersey and Bucks County, Pennsylvania.
To inquire about their services you can visit them online at http://www.RentalPropertyRepairLLC.com.
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