Did you recently purchase a rental property but found that it’s turning into a 2nd or 3rd job? If so, instead of continuing to overwork yourself and staying frustrated with your rental property why not hire a property management company instead?
A Property Manager Will Save You Time and Money
Hiring a property management company will save you the time, money and hassle of managing your rental property yourself.
Our team of experts has skills in every major field including maintenance, rent collection, tenant placement and customer service to ensure that you and your tenants always receive the very best service on a monthly basis, for a great price!
When you hire us to be your Property Manager you can count on us to provide you with a full suite of property management services including:
Imagine no longer having to take calls from tenants at night, or on weekends! When you hire us to be your Kingwood Property Manager you can count on us to provide you with reliable service at excellent prices every time!
Get Back to Enjoying the ROI from Your Rental
As a top property manager in the Houston Texas area, our primary goal is to get you back to enjoying the Return on Investment (ROI) from your rental property once again so you can relax and have the time to grow your portfolio of rental properties.
To learn more about the services we can offer you contact us at (831) 498-0016 or click here to connect with us online.
Are you planing on buying your first rental in the Houston Texas area? If so, you’ve come to the right place!
In this article we will explain the importance of the “snowball affect” and how you can use it to grow your portfolio of rental properties
What Is The Snowball Affect?
Metaphorically, a snowball effect is a process that starts from an initial state of small significance and builds upon itself, becoming larger (graver, more serious), and also perhaps potentially dangerous or disastrous (a vicious circle), though it might be beneficial instead (a virtuous circle). This is a cliché in cartoons and modern theatrics and it is also used in psychology. – Wikipedia
Snowball Effect Explained
The “snowball” affect was coined by Berkshire Hathaway CEO Warren Buffett in his 2008 book called The Snowball which is about his life and investments which enabled him to build a network of well over $72 billion dollars.
Snowball basically refers to the principal of buying and holding onto your investment over time and then using your return on investment to invest more money to build your portfolio.
Snowball Effect in Real Estate Investing
Let’s say that you’re able to buy two Houston Texas Rental Properties and after expenses both properties will net you about $500 each per month, or an additional $12,000 of cash flow per year.
Now instead of spending that cash flow from your investments like most people will do you should consider saving the cash flow from your rental properties and within two years you will have enough money saved to put down on another Houston Texas Rental Property.
How the Snowball Effect Benefits You
One of the great things about the snowball effect is that if you follow this approach you would be able to buy a new rental property once a year, instead every two years, grow your portfolio, and have significant amount of cash flow coming in by the time you approach retirement.
Buy Houston Texas Rental Property
For more tips on buying Houston Texas Rental Property, or to speak with us about our property management services, contact Vestpro Residential Services, LLC today by clicking here or calling us at (832) 498-0016.
There’s no doubt that owning rental property is an excellent investment that can help you to build wealth while establishing long-term cash flow.
Sadly, owning rentals in the Houston area or elsewhere in the United States can become a burden when those properties are sitting vacant.
Thankfully, filling those vacancies is easier than you think especially if you follow these simple tips.
1. BE PROACTIVE WITH YOUR CURRENT TENANT
Ask your tenant 90 days ahead of the lease expiration whether they plan to stay another year. Consider offering them a small (or no) rent increase if they respond within 30 days of your notice. This gives you 60 days out from the end of the lease to search for a new tenant if your current tenant decides not to renew.
The benefits of this strategy are:
1) Gives your tenants an incentive to stay longer because of the lower rent increase (eliminating turnover costs altogether).
2) If your tenants decide to move out, you will have more advanced notice and be able to begin advertising your unit sooner. That way, you may even have a new tenant lined up as soon as your current tenant moves out, preventing you from losing rental income.
You’ll also want to routinely perform property inspections and stay on top of maintenance. This is all part of being a great landlord for your renter, which can pay dividends in the long run. By staying on top of maintenance and addressing issues quickly, you’ll spend less time on repairs while turning over the unit. This is especially true for cases like leaky faucets, which can escalate into much larger (and more expensive) water damage repairs. The last thing you want when trying to turn over property quickly is a major construction project or having to lower the rent because the property is in a state of disrepair.
2. OPTIMIZE YOUR ADVERTISING STRATEGY
You want to cast a wide net when advertising. This is because the greater the pool of prospective tenants, the better the chances you’ll have of finding a good tenant in a reasonable amount of time. Reach out to friends and family to let them know your property is coming up for rent and ask your existing tenants for recommendations. After all, good tenants are likely to know other good tenants. Publish your listing on multiple websites for maximum exposure.
Attractive advertisements go a long way to increase your chances of attracting a larger pool of renters, and therefore, renting an apartment quickly. When your property is empty, spend the time to take professional photos that can be re-used every time there is tenant turnover. Professional photos are much more appealing for renters and being prepared ahead of time prevents you from having to enter the unit when tenants are living there. After all, the unit might not be in the best condition and the current tenant’s belongings can be distracting.
Know what features tenants want in a property and be sure to advertise those features in your ads. Make sure to point out both the positive and less desirable aspects to the apartment, so you don’t waste your time or that of prospective tenants by showing them a property that isn’t right for their needs because, say, the closets are too small.
Disclose all necessary information about the unit in the advertisement and set expectations upfront about your income and credit requirements. Be sure to include your pet policy, and list other relevant deal breakers if you have them. Make sure details of the property and your rental criteria are clearly outlined in the advertisement. This will prevent you from wasting time on showing the property to applicants who are looking for more bedrooms, storage space, etc., or who don’t fit your rental criteria.
3. UNDERSTAND THE MARKET
The rent prices of comparable properties will give you a good idea of how much you will be able to charge your own tenants. It’s important to set the right rent price, one that is in line with the going rate in the neighborhood. If you’re asking for rent that is too high, you’ll soon find you don’t have many applicants, leading to longer vacancies and more money out the door.
At Vestpro Residential Services we offer professional property management in Kingwood, Humble, Atascocita and the surrounding area. To learn more about our services please call us at (832) 971-1841 orclick here to connect with us online.
As the weather warms up in the Houston Texas area, spring is also a great time for HVAC maintenance because your tenants are going to be using their air conditioners heavily in the coming months so it’s best to make sure that they are functioning correctly by doing the following.
Step #1: Inspect
The first thing that you or your HVAC technician should do is to visually inspect your entire HVAC system, looking for things such as rust, corrosion from moisture, condensation, or leaking ductwork. This is a great example of an HVAC duct in disrepair–these leaky ducts can lower the efficiency of your air conditioner, making it eat up more power and do its job less effectively in the long run.
With an HVAC system, small problems can quickly become big ones that make your system less efficient or even cause it to fail entirely.
The units themselves will need to be inspected as well, particularly for damage and dirt build-up on the fins. Even a well-cared-for unit can be damaged inadvertently by a stray bird or stick tossed by a storm.
Step #2: Clean
It’s time to clean the equipment after the HVAC system has been thoroughly inspected. Your HVAC technician will clean the evaporator coil, the drains and lines, and the condensate pan to ensure that each part of the system is running at peak performance. A dirty evaporator coil can make it harder for your A/C to cool the house, and clogged water lines can cause floods inside your home.
Your technician will also inspect all of the connections to make sure that there are no potential leak points.
Step #3: Check
The next step in your spring HVAC inspection is something that will need to be done by your HVAC technician. They will need to inspect and test all the electrical components in the HVAC system.
Inspect wiring for frayed connections or damaged insulation. Tighten any loose connections, and replace any damaged wires before your unit goes into full service for the spring.
They will also test the circuit boards that run the system, and the capacitors to ensure that they’re doing their job.
Step #4: Test
The last step is to test your HVAC system as a whole. This will include checking the coolant levels during various cycles; making sure that the run controls function properly; and ensuring that the compressor is functioning at peak levels. Your technician will also test the safety switches to ensure that the system shuts off properly when there’s a power failure.
This might sound like a comprehensive inspection, but it can be completed in just a few hours by a well-trained technician.
Get Property Management Here
For professional property management in the Vestpro Residential Services at (832) 971-1841 or click here to connect with us online.
There’s no doubt that owning a Houston Texas Rental Property is a great investment, especially over the last four years as Houston has been one of the fastest growing cities for relocation in the United States.
If you own Houston Rentals, getting started as a landlord can be tough because there’s so much to learn. Thankfully, you can cut down on the learning curve by following these tips.
1. Screen Tenants
Don’t rent to anyone before checking credit history, references, and background. Haphazard screening and tenant selection too often results in problems — a tenant who pays the rent late or not at all, trashes your place, or lets undesirable friends move in. Use a written rental application to properly screen your tenants. For more information, seeHow to Screen and Select Tenants FAQ.
Establish a fair system of setting, collecting, holding, and returningsecurity deposits. Inspect and document the condition of the rental unit before the tenant moves in, to avoid disputes over security deposits when the tenant moves out. For more information, seeLeases and Rental Agreements FAQ.
4. Make repairs.
Stay on top of maintenance and repair needs and make repairs when requested. If the property is not kept in good repair, you’ll alienate good tenants, and tenants may gain theright to withhold rent, repair the problem and deduct the cost from the rent, sue for injuries caused by defective conditions, and/or move out without needing to give notice. For more information, seeRepairs, Maintenance, and Entry to Rented Premises.
5. Provide secure premises.
Don’t let your tenants and property be easy marks for a criminal. Assess your property’s security and take reasonable steps to protect it. Often the best measures, such as proper lights and trimmed landscaping, are not that expensive. For more information, seeCriminal Acts and Activities: Landlord Liability FAQ.
There’s no doubt that owning Houston rentals can be an exciting thing to do because, you’re generating monthly cash flow while building long term wealth.
Sadly, owning rental properties can get complicated, especially as you add more properties to your properties to your portfolio.
Thankfully, owning rentals only gets easier when you hire Vestpro Residential Services to manage them.
If you’re “on the fence” about calling us to learn more about our property management services, here are 7 reasons to choose Vestpro to manage your rentals.
Why Hire Vestpro Residential To Management Your Houston Rentals?
#1 – Set the Right Correct Rates for Your Rentals
One of the biggest problems many property owners face is setting the incorrect rates for their Houston Income Properties.
We are your biggest asset in this area thanks to our market research, which will guarantee that we rent your properties for the right rates, insuring you have the right balance between stable monthly income and super low vacancy rate.
#2 – Collect Your Rent on Time
Another area where we will be an asset to your Houston Income Property portfolio is rent collection.
Over the years we’ve developed the right internal systems which will insure that your rent is collected on time every single month and deposited into your account or mailed to you.
#3 – Effective Property Marketing
As you grow your portfolio of properties you will find that one of the most time consuming duties is marketing a home, plex or property when you have a vacancy.
Vestpro has solved this problem for you. Effective property marketing is another of our biggest assets which will save you the time and hassle of property marketing yourself.
#4 – Choose the Right Tenants for Your Properties
Last of all, but most important, at Vestpro we will choose the right tenants for your properties by performing the following tasks including: credit check, income verification and reference checks so you don’t have to.
#5 – Property Management Maintenance
It doesn’t matter if you don’t mind cutting the grass or fixing toilets at your rentals yourself. Those things take time out of your day and are stopping you from growing your portfolio of rental properties. Thankfully, with Vestpro you won’t have to worry about doing maintenance again because our team of professional property managers will do it for you.
#6 – Customer Service
Another benefit that comes from choosing Vestpro is that we will also be your first line of defense when it comes to customer service. You will never have to worry about taking calls from your tenants again because they will call us for their property management issues.
#7 – We Will Increase Your Return On Investment (ROI) From Your Rental
Last of all, but most important, another great reason to choose Vestpro to manage your rentals is we will help you to increase your return on investment from your rental property. How? Our team of experts will look out for your best interests and make recommendations (when needed) that will help to increase the ROI from your rental.
Contact Vestpro Residential Services
To get started with professional property management for your Houston Texas Rental contact us today by calling (832) 971-1841 or click here to connect with us today.
Are you thinking about buying rentals to add to your portfolio and are wondering if it can be a bad thing to own too many? The answer to this question is both yes and no.
Yes, it can be a bad thing to own too many rental properties unless you hire a professional property management company to manage those rentals for you.
If you’ve been “on the fence” debating if you should hire a property management company or not to professionally manage your rental properties, this article will provide you with reasons to hire a property manager.
One of the biggest problems most property owners who own homes or multi-family properties have is collecting rent from their tenants each month especially when their tenants fall behind on paying.
Thankfully when you hire Vestpro Residential Services to manage your Houston Texas Rental Properties you can have confidence that your rentals will be professionally managed and rent will be collected from your tenants on time each month eliminating the need for you to contact tenants or start collections against them if they don’t pay.
Another big problem for some owners has been the issue of maintenance because, it’s not always easy to handle maintenance issues if you own multiple properties.
With Vestpro on your side you will have peace of mind in knowing that your tenants will call us when they have maintenance issues and this will also help you keep tenants as well because, your tenants will know that the can depend on the property management company to solve problems when they occur instead of hearing making empty promises.
Last of all, but most important is customer service.
Many property owners offer customer service and poor support so that whenever there is an issue at one or more of their properties it will go unresolved for weeks or months.
At Vestpro we take pride in offering great customer service so that if your tenants call in with an issue they will be served by true customer service professionals every time.
Get Professional Houston Texas Property Management
Have you put a lot of time, money and energy into your rental property only to find that it’s still not renting and you can’t figure out why?
Your Curb Appeal Is Scary
Take a look at the curb appeal for your Rental and think like a potential renter.
Are there overgrown trees or bushes?
Does the grass look like it hasn’t been mowed since last year?
If you answered yes to either of these questions it’s time to do a property clean up and do your part to improve the curb appeal of your rental property.
The Inside of Your Rental Property Is Scary
When was the last time that you spent 10 minutes inside your rental?
Does it have plenty of light inside? If not, lack of light can be sending potential renters away since light always helps to make the inside of a rental look brighter and cheery.
Consider improving the lighting in each room and also painting the rooms of your rental bright colors like yellow or green since bright colors will bring light to any room regardless if the room gets a lot of natural light or not.
Get Property Management Here
For professional property management contact Vestpro Residential Services at (832) 971-1841 or CLICK HERE to connect with us online.
Fall 2017 is officially here and with it comes a change in weather! If your rental property isn’t ready for the change in weather it could be left unprotected. Thankfully, you can get ready for fall weather simply by following the tips in this article.
Do end-of-season yard maintenance.This doesn’t just include raking the leaves (although that’s important, too!). It also means trimming the hedges, fertilizing the grass, trimming unwieldy branches, and removing any weeds or roots that may impact siding, patios, and walkways.
Pack up and store outdoor items.It may seem a little premature to do now–but if the recent spate of hurricanes is any indication of what the rest of this season will look like, it’s a good idea to start now. Clean, pack up, and store outdoor furniture, grills, and other items that could be damaged by late fall or winter weather. If your property is located in a hurricane-prone area, be sure to tie down any large items that could wash or blow away.
Drain water lines.If your property is located in a cold-weather climate, now is a good time to turn off the water leading to outdoor spigots. Turn off sprinkler systems and drain outdoor hoses to prevent water from freezing and bursting the lines.
Clear debris from gutters.One of the best things about fall is watching leaves transform into beautiful shades of red, orange, and yellow. But it only lasts for so long–and then those leaves fall, clogging gutters in the process. Be sure to clear all debris from rain gutters to prevent water from pooling–or worse, causing roof damage. If you find that your roof has suffered from any form of damage, due to the weather, be sure to get in touch with your residential roofing company, who will be able to attend to your needs and get your roof sorted.
Inspect the roof.Climbing up a ladder and getting onto the roof is not for the faint of heart, but it’s a worthwhile exercise to ensure that the roof is in good condition when you’re heading into the winter months. Loose or missing shingles are easier to replace during the fall. Otherwise, you could face costly roof repairs caused by hail, sleet, and snow.
Seal windows and install storm doors.Aging seams and weather stripping around windows and doors often lets cold air in and warm air out. This drives up heating costs, which can add up for landlords and HOAs that pay for heat as part of their fees. Seal drafty windows and doors with caulk, install new windows if necessary, and swap out screens with storm doors and windows.
Planning on investing in rental properties? If so, before investing in your first rental there are a variety of things you should consider which include the following:
First, on the tax front, not only are all your cash expenses – including broker fees and management fees – deductible for your federal taxes, so is the depreciation of your property. Calculated over 27.5 years on a straight-line basis, depreciation protects the first 3.6% of your annual return from taxes. With returns around 5 or 6 percent right now (2017), that’s a big deal. Calculation below.
Second, leverage. If you can borrow money at a lower interest rate than the return you otherwise get from the property, the return on the portion you provide is higher. Calculation below.
Third, what about rents? Do they swing like home prices? How much can you raise them? And what’s the right rent to be charging in the first place? Each property is different and so is each location, so it depends. You should go online and see what other landlords are asking for a similar property in the area. You can ask local brokers, but take their answer with a grain of salt – they’d rather get the commission at any rent rather than have you hold out for a higher one.
You can and should raise your rent every year. Inflation eats into your real revenue if you don’t keep pace. Rents don’t swing like home prices can; they rarely go down and usually rise a bit faster than inflation. If the neighborhood around your property changes, you can see rents rise even faster – and sometimes fall. This is one of the opportunities you have and one of the risks you take.
Get Professional Property Management Here
For professional property management contact Vestpro Residential Services by calling us at (832) 498-0016 or click here to connect with us online.