How Elk Grove Property Management Companies Keep Maintenance Costs in Check

One of the biggest costs to owning an investment property is maintenance. Unlike your mortgage payment each month, maintenance can be unexpected and can range in price. The unknown is what causes concern for new investment property owners. While the unknown in any aspect of life creates worry, the top Elk Grove property management company, RPM Select, has created the perfect recipe to put property owner’s minds at ease when it comes to expected and unexpected maintenance.

Set Aside a Maintenance Budget

Follow the Scout Motto: Be Prepared. Select advises its clients to set aside one to two month’s rent amount per year to account for maintenance. Another way to plan for maintenance costs is to save one percent of the value of home, per year, for maintenance costs. If your home is worth $400,000 in Elk Grove, property management companies recommend you should have a maintenance savings account of $4,000 to cover maintenance on the home. Keep in mind that older homes may require a larger maintenance budget than new homes, but the one percent rule is an accurate guideline to follow.

Plan for Annual Maintenance

Like the car you drive needs gas, oil changes, and tire rotations, a house needs regular and annual maintenance to keep it performing in tip top shape. This regular maintenance can be performed by a landlord, but is best if hired out to a professional who has liability insurance. As springtime approaches, homeowners and landlords of rental properties should follow this routine checklist:

  • Inspect and turn on sprinklers
  • Care for your landscaping—clean up dead shrubs and trees and prune overgrown branches
  • Consider fertilizing the lawn and call your landscaper to plant fresh flowers
  • Tune up the air conditioning unit and clean out the furnace
  • Inspect outside faucets
  • Check the safety of the concrete to make sure there are no major cracks or tripping hazards
  • Spruce up the woodwork on the deck or put on a fresh coat of stain to prevent splinters from cracked and unsealed wood
  • Inspect the basement and attic for any signs of leaks, mold, or mildew growth
  • Always inspect smoke and carbon monoxide detectors and change the batteries as needed

The Elk Grove property management team at Select also has an annual fall maintenance checklist to protect homeowners:

  • Clean gutters and downspouts—remove any debris that could cause the gutters to overflow, causing a leak into your roof
  • Inspect roof shingles for any repairs or areas that could allow water into the attic
  • Check that windows and doors close tightly and lock
  • Tune up your furnace and replace the air filter
  • Make sure that your water pipes are well insulated
  • Inspect the safety and security of handrails on staircases to make sure they are tightly fastened to the wall
  • Always inspect smoke and carbon monoxide detectors and change the batteries as needed

Property management teams in Elk Grove also budget for maintenance ahead of time by carefully thinking about the age of the appliances in the home and which ones might be in need of replacement during the coming calendar year. As a general rule of thumb, a refrigerator lasts about seven years, dishwashers and garbage disposals are good for about twelve years, microwaves last about eight years, stoves and cooking ranges for about sixteen, and washing machines and dryers should last for twelve to fourteen years. For a full list of appliances in your home and their expected lifespan, click here.

Care for Your Property

Just as you perform regular maintenance and your vehicle, perform routine maintenance on your house in Elk Grove. Property management experts know that when you care for and show respect for your property, your tenants are more likely to care for the property too. Respond quickly to maintenance requests. This shows that you not only care about keeping your property in good working order, but also that you care about and value your tenants. And remember, happy tenants stay. Keeping your tenants happy is not the only reason you should respond quickly to maintenance. A quick response time generally cuts down on the amount of damage done by the item that is broken. For example, if a tenant reports a bubble under the paint on the wall, that could be a sign of a leaking hot water pipe. Time is of the essence when it comes to a leaking pipe, especially a hot water one. Finding a solution and acting on that solution quickly will save property owners money and will prevent further damage.

How the Elk Grove Property Management Team at Select Can Save You Money

When investment property owners join the clientele of Select, they immediately get access to our preferred member pricing. We have tried and true maintenance technicians and companies that we hire on a regular basis that give our property owners discounts on service. They are licensed and insured for your protection. Our professional leasing teams have also been trained to follow routine property inspections to catch any signs of maintenance problems early. Finding a potential problem before it turns into a maintenance emergency has saved our clients thousands of dollars. Let the professionals at Elk Grove property management team, Select protect your investment property. Call us today.  

How Sacramento Property Management Companies Make You Big Bucks When You Invest in Rental Properties

If you are looking for a safe and stable investment, invest in property. Sure, the stock market might be easier to throw your money into and let some bigwigs on Wall Street manage your fund, but unlike the stock exchange, property is fairly stable, predictable, and can yield big returns on your investment. Yes, it takes a lot of work and education on your part if you plan to manage it on your own, but if you hire a property manager, you get to sit back and relax while they do the hard work and you reap the rewards. One of the best Sacramento property management companies, RPM Select, has seen these large returns on investment come into the hands of their faithful clients. Below are some of the reasons why we believe property investments are the best and easiest way to make your money grow.

There are More Renters than Homeowners

The American dream of homeownership is changing for residents around the country. According to US Census data, between the years of 2006 and 2016, twenty-two of the nation’s largest cities have more renter-occupied housing than owner-occupied. Sacramento has just over 50 percent of its residents living in renter-occupied housing. As a resident of Sacramento or the surrounding areas, you have every opportunity to seize the moment and make your money grow in Sacramento. Property management companies are seeing renters migrating from the Bay Area over to Sacramento in search for a safer neighborhood, larger home and yard, and affordability. Years ago, the stigma that surrounded the word “renter” meant they had less money than homeowners. However, this stigma has greatly changed over the past ten years. A new study released by Apartment List found that during the past decade, the number of high income renters has increased to forty-eight percent, nationally. They define high income renters as those who make $100K or more. This means investors are now leasing their properties to tenants who have stable incomes, are more likely to be able to pay their rent each month, and who are able to care for the home.

Tax Breaks for Renters

Renting is an attractive option for millenials who are constantly on-the-go and continually searching for better job opportunities, which may come at the cost of moving frequently. In addition, renters can receive tax breaks. If Senate Bill 248 was to become law, it would be the first time the tax credit for renters would be raised since 1979. This bill is aiming to help California renters who are struggling to pay rent as prices continue to rise. Sacramento property management companies expect single parent renters could see a tax credit ranging from $60-$434, while single people without dependants could see an increase of $160 in their tax returns. In the past year, rent prices in Sacramento have jumped nearly two percent, and that follows an eleven percent increase in the previous year. Investment property owners have never seen returns this great.

There is Safety in Property Investments

People are always going to need a place to live. That is the way it has always been and the way it will always be. The real estate market can fluctuate, but the demand will always be strong. Property owners can find peace of mind knowing that investing in real estate has worked for millions of people before and is still working for them today in Sacramento. Property management companies see a variety of investment properties ranging from single family homes, to condos, duplexus, single apartments, entire apartment buildings, or office buildings. No matter your budget, an investment property is attainable for those looking to make more money. There are multiple ways to make money off of a property investment. Perhaps the most obvious is cash flow through monthly rent, but the best and easiest way is through property appreciation. The real estate market can be your best friend when you are presented with opportunities to buy low and sell high. During the market crash in 2007, many investors who stayed informed were able to capitalize on expanding their property portfolio by purchasing properties for cents on the dollar. Today, these properties are worth two times the amount they paid in 2007 through 2009. As an investment property owner, you are also eligible for tax benefits and write offs.

You Can Hire it Out to Sacramento Property Management Companies  

Possibly the best reason of them all is that you do not have to be present to make money. Unlike a dentist, lawyer or doctor who only make money if they are present or are actively participating in “billable hours,” investment properties bring cash flow while the property owner is off living life to its fullest. This is not to say that property management takes zero time and energy, because it is quite the opposite. However, you can outsource your work to a management company. There are many Sacramento property management companies to choose from, but our highly recommended team at Select has with more than 35 years of experience and can handle all things property management for you. Our management fees are competitive and because of our faster than average leasing times, our fees practically pay for themselves. So if you don’t feel like going to work today or in the future, no problem. Select has your back. We keep the cash coming into your pocket whether you rise and shine in the morning or have a lazy day watching Netflix in bed. Call us today.

Don’t Sell. Rent Out Your House with Sacramento Rental Property Management

If you are a homeowner in the Bay Area or a surrounding community like Sacramento, you are sitting on a gold mine. This should not come as news to you. If you have even poked your head out of the window for five minutes in the last ten years, it would be impossible not to notice how sky-high home and rental prices have become. But because home prices are at a near all-time high and mortgage rates are climbing, the affordability to potential homeowners has become obsolete. This is why America is seeing more renters than homeowners. Did you know that a UC Berkeley study discovered that between the years of 2006 and 2016, more than 3.8 million additional households became renters of single family homes instead of homeowners? No matter your circumstances, if you are looking to get out of your home, Sacramento rental property management company, RPM Select, is certain it can help you turn your house into a cash flowing rental property.

The Mass Exodus from the Bay Area

The Bay Area is seeing an exponential increase in the number of people seeking to move away from the highly congested region. A new study by Redfin found that approximately 24 percent of home searches conducted online by residents living in the Bay Area are looking elsewhere for housing. That is up from 19 percent the previous year. Some of the communities that Redfin reports residents are looking to move to include Sacramento, Portland, Seattle, and even Austin, Texas. Sacramento rental property management companies are able to confirm these findings, as they have seen a classic supply and demand shortage, causing rental rates to rise. A report released by Hotpads found that rent prices in Sacramento rose faster within the last 12 months than in any other major city in the United States. An annual study that was recently released by Joint Venture Silicon Valley backs up the above mentioned findings. It reports that Silicon Valley gained roughly 20,500 foreign immigrant last year, while 22,300 residents relocated away from the area to other regions and states.

How the Mass Exodus Benefits Sacramento Homeowners

Sacramento rental property management teams see this outward migration as a big opportunity for homeowners. While Sacramento is less expensive than the Bay Area, working professionals are willing to drive the distance. Employees are able to keep their current high paying jobs in the sought-after tech industry while sacrificing the quick commute so they can have a more affordable living space for themselves and their families. Sacramento real estate agent, Devone Tarabetz, states she has collected clients from San Jose, San Francisco, Oakland, Milpitas, and Petaluma within the past year. She states “affordability” as the number one reason for the relocation. The median home price in Sacramento in $360,000 versus $775,000 in San Francisco, although not all relocating individuals are buying. This is where things get exciting for Sacramento residents who are already homeowners: if you are looking to move, you can bet your bottom dollar that you can find a highly qualified renter to occupy your house, turning it into a cash flowing property.

High Income Renters in Sacramento

At Select, we are one of the highest ranked Sacramento rental property management teams in the region, and we pride ourselves on finding quality tenants for our clients. Not only do we have a rigorous screening process, but an Apartment List study shows that the number of high-income renters has grown more than 48 percent nationally in the past decade. In Sacramento, it’s even higher with a 61 percent increase in high-income renters. The study identifies high-income renter households as those that earn at least $100,000 per year.

So why are the wealthy renting instead of buying? It goes back to 2008 when loose lending guidelines lead to a mortgage crisis, forcing homeowners to foreclose on their homes they could not afford. Sacramento rental property management teams have seeing the aftermath of the mortgage crisis which has lead to tightened lending regulations and multiple barriers of homeownership. Another factor that comes into play giving Sacramento high income renters is that the Bureau of Labor Statistics found that annual wage growth was up just under two percent, while home prices are up more than five percent.

Why You Need the Best Sacramento Rental Property Management Team on Your Side

If you find yourself looking to make extra money by renting out your house in Sacramento, you need Select on your side. With more than 35 years of experience in the industry, we know property management. Future homeowners have been forced to wait longer before buying their first house due to the economy, and you, as a Sacramento homeowner can benefit from it. Clients can depend on Select to handle all things property management – from marketing the home, to getting it rent ready, finding you the reliable and clean tenant that you expect, taking care of all maintenance scheduling and contracting on the home, and much more. Let us make you rich. Call us today.

Maintain Stable Cash Flow Through Better Rent Collection

Rent collection is not rocket science, but it does take a lot of research and practice. Unfortunately, some people learn rent collection through trial and error. That hard way. Rancho Cordova property management experts at RPM Select want to make sure you are not one of those people who struggle monthly with collecting rent. With more than 35 years of experience in property management, we know the ins and outs of how to maintain stable cash flow through a better rent collection process. If you want your monthly rent collection to get easier, keep reading for our professional advice.

Rigorous Tenant Screening Process

You know the song, “let’s start at the very beginning, a very good place to start.” Keep this famous song from The Sound of Music in your head when thinking about maintaining stable rent collection in Rancho Cordova. Property management teams know that having a rigorous tenant screening process can protect you from evictions in the future. Evictions that happen because tenants fail to pay rent. We know that evictions can happen for different reasons, but failure to pay rent is the number one reason for evictions. Carefully screening tenants means you call previous landlords to check for good references, run credit checks to make sure they have a good history of paying bills on time, and verify income proof to see if they have a stable job so that they can afford the rental price each month. Do not lower your standards for anyone. Not only will you regret lowering your standards if faced with an eviction, but you could also land yourself in a lawsuit for discrimination and not treating all applicants equally.

Rancho Cordova Property Management Experts Communicate Clear Expectations

“I didn’t know,” is an easy crutch for tenants to fall on when they fail to pay rent on time. Do not let this be an excuse used by your tenants in Rancho Cordova. Property management leasing agents should always communicate the lease agreement clearly and concisely. Within the first few paragraphs of a lease agreement, landlords should state the monthly rent amount, the penalty that follows if rent is not paid on time, and how and who they can pay rent to each month. Many tenants do not read word-for-word when signing a lease agreement, even though we require them do so. As the leasing agent or landlord, please clarify rent expectations at the time of move in, so that there is no room for confusion. If they don’t pay, they don’t stay.

Understanding Obstacles

Even the most perfect tenants run into uncertainties that can make their rent payment late or obsolete. Due dates fly by without notice, jobs can be lost, checks get lost in the mail, or the death of a family member can happen, all of which can interrupt your rent cash flow. Rancho Cordova property managers do not need to be robots without feelings, but even with sympathy, they can enforce rent collection rules. Once again, do not make exceptions to the rule for one tenant without doing it for the other. This is where the gray area starts which can lead to a lawsuit.

Simplify and Automate

In an ever changing technologically advanced world, there is plenty of software and websites out there that allows landlords to automate their rent collection process. The rent checks flow in each month and if the rent check is not delivered, some programs issue alerts to automatically issue a Three Day Notice to Pay or Quit. These automated rent collection websites and softwares simplify the process by depositing the money straight into your bank account. No more deposit slips and calculator tape. Rancho Cordova property management companies are seizing the day and letting technology do the work for them.  

Reward On Time Payments

At Select, we know how much you appreciate on time rent payments. We do too. So why not let your tenants know. When Select tenants pay rent on time, they receive discounts and coupons to local stores. These include grocery stores, clothing stores, restaurants and more. Nobody likes paying rent, so we are turning the tables and making paying rent something they look forward to each month.

Maintain Steady Cash Flow Through Select

The professional staff at Select follows all of the advice given above. We have a strict tenant screening process that guarantees our clients get only the best and most qualified people living in their homes. We communicate clearly and effectively with our tenants, not just at the time of lease signing, but throughout their entire stay at our property. The experts at our Rancho Cordova property management office are humans who have real feelings, sympathize with people, but still understand that this is a business and rent collection matters even when obstacles arise. We have an automated rent collection process that allows our clients to receive deposits into their bank accounts, so they get paid faster than ever. Everyone benefits from our rent collection process, tenants and clients. Call us today.

How Property Management Rocklin Companies Get Homes Rent Ready

You have just collected the mail and find your tenant has turned in an official 30 Day Notice to Vacate. If they are good tenants, you find yourself disappointed and maybe even stressed about the turnover process and if you will find tenants as good as the last ones. Having turnover in a home is a normal part of property management. Rocklin based company, RPM Select, knows that having a vacancy in a rental property can leave landlords worried about making the mortgage payments on their own. The unknown of how quickly they will find a quality tenant and how to get the home rent ready can feel like a heavy burden. That is why Select has a proven process that expedites the turnover process while getting the home rent ready, as well as aggressive marketing techniques.

Acknowledgement of Notice to Vacate

As soon as you receive the 30 Day Notice to Vacate, give your current tenants a receipt or letter to acknowledge that you have received their notice. We refer to this as the Acknowledgement of Notice. Be specific in your letter of the exact move out date, cleaning guidelines, how the disbursement of the security deposit will be allocated, and how they can turn in keys to their Rocklin property management team. In this letter, give your tenants the option to schedule a Preliminary Move Out Inspection. A Preliminary Move Out Inspection gives the landlord permission to enter the house and make notes of any repairs or replacements that will need to be done after the tenant vacates. If they choose to move forward with the Preliminary Move Out Inspection, you will have a headstart on the turnover process once vacant because you will be able to schedule the proper vendors and technicians to enter the home immediately, eliminating any down time for the property. If your tenant opts out of the Preliminary Move Out Inspection, you cannot enter the house until your resident has returned keys on the last day of occupancy.

Move Out Inspections

Rocklin property management is a competitive business. One that has too high of a price if you move slowly. If you have conducted a Preliminary Move Out Inspection, start calling and scheduling vendors for the first day of vacancy. If you did not complete a Preliminary Move Out Inspection, enter the house as soon as you receive keys. Change door locks, inspect all appliances and test them to make sure they are in working order. Check the condition of the flooring, walls, window coverings, bathroom vanities, kitchen cabinet and counters, glazing on the bathtubs and showers, and look for any signs of water damage. Inspecting one room at a time, and doing so thoroughly, will help ensure your house gets back to looking brand new for your next tenant.

Checklist Tips

  • First things first, re-key the property. This includes door locks, garage codes, and mailbox keys. Property management Rocklin companies never know who may be holding on to an extra set of keys. Re-keying the property adds security. You will not be able to change locks to HOA gates, but double check that your tenant has returned all HOA keys that you issued them at the time of move in.
  • If painting needs to happen, paint the entire wall instead of doing a touch-up. Too often touch-up paints do not match, making the walls appear patchy. It is worth your time or money to make certain the walls look clean and uniform.
  • Hire a professional truck-mounted carpet cleaning system if carpets do not need replacing. If carpets are holding an unpleasant odor, consider replacing the padding under the carpet.
  • Check the property for pests. If pest control is needed, schedule that vendor first. Getting rid of pests can sometimes take weeks or months, even with aggressive and proper treatment options.
  • Test all smoke and carbon monoxide detectors to make sure they are functioning properly. Change batteries as needed.
  • Spruce up the yard by trimming overgrown shrubs, replacing dead flowers or plants, mowing the lawn, and fertilizing. Property management Rocklin professionals know that curb appeal is very important when showing a rental property.
  • Hire professional cleaners. It is worth the price to hire professional cleaners, rather than doing it yourself. Cleaning every nook and cranny takes a lot of time and hard work. It is usually well worth the cost, so landlord and managers can work on marketing the property, instead of scrubbing it clean.

Market Comparisons

Doing your homework to make sure you are asking the correct rental price is paramount to having success when trying to fill a vacancy. Asking for a rental price that is too high can prolong your vacancy time and leave prospective tenants disappointed after walking through your house. Pricing your home too low can result is immediate occupancy, but also a lower caliber of applicants who might be less qualified financially. The best Rocklin property management teams take the time to put together market analysis reports which compare rental listings within a close proximity. These comparisons include number of bedrooms and bathrooms, square footage, amenities, proximity to transportation and commercial access, age of the home, updates on the home, and much more. If you are just starting out with market comparisons, try looking at RentOMeter to get a general idea of the average price people are asking for similar homes in your area.

Filling Your Vacancy with Property Management in Rocklin

It is no surprise that investment property owners seek out Select when looking to hire a professional management company. Select has a reputation for filling homes will highly qualified tenants, faster than its competitors. At Select, we take care of all the hassles of getting your home rent ready for you. Whether you just bought the property and are looking for your first tenants, or if you have owned the property for years and just received a Notice to Vacate from your renter. You’ll know you are in good hands when you choose Select. Call us today.