Property Management Tips

AVOIDING EVICTIONS

The eviction process can be greatly avoided if the proper steps are taken in the application process.  The following steps must be taken; verify income and employment.  This is done by obtaining copies of bank statements (at least 3 months) and a copy of a current pay stub.  We also find out how long the potential tenant has been employed.  The goal is at least 2 years within the same profession and ideally at the same location.  The suggested income minimum is 2.5 times the monthly rent amount.  The next step is to verify criminal background along with an eviction check.   We go back 10 years on evictions.  Then we verify the potential tenants rental history.  The current landlord is not necessarily the best source of a referral.

The previous landlord will often give a more accurate description of how the tenant conducted themselves during their time with the landlord.  The current land lord could give inaccurate information if they want to get rid of the tenant.  Credit scores also have an influence on qualifiing and I suggest a minimum of a 550 score.

 

·Key items to focus on in your inspection (upon purchasing a property) A/C, well equipment, septic system and appliances.  Secondary items are plumbing and electric

 

·Back ground checks-be thorough, avoid tenants trying to move quickly, if you have a bad feeling on a borderline tenant, don’t do it!!!

 

·Priced over market i.e. $850×12 months is $10,200 and $900×10 months is $9,000.  Price within the market.

Higher turnover with increased rental rates and being over priced

Inspect your homes 3 months after tenants move in

Prorate the second month