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Florida Landlord Insurance

stephen.fox@upkeepmedia.com (Stephen Fox) — Mon, 27 May 2024 17:46:14 GMT

Owning a rental property in Florida can be a profitable venture, but it comes with its own set of challenges and risks. One of the most critical aspects of managing these risks is having the right insurance. Landlord insurance is specifically designed to protect rental property owners from potential losses due to damage, liability, and loss of rental income.

This guide aims to provide landlords with essential information about landlord insurance, especially tailored for the Florida market.

Rental Costs and Landlord Insurance Across the USA

The cost of renting out property and securing appropriate insurance varies significantly across the United States. In states with higher property values and more natural disasters, such as California and Florida, rental and insurance costs tend to be higher.

According to recent data, Florida landlords pay more for insurance compared to the national average due to the state's susceptibility to hurricanes, flooding, and other weather-related risks. Understanding these costs is crucial for landlords to set appropriate rental rates and budget for expenses.

Understanding Florida Landlord Insurance

Florida landlord insurance is designed to cover rental properties against a variety of risks specific to the state. This type of insurance is more comprehensive than standard homeowners insurance, offering protection tailored to the needs of landlords.

Given Florida's unique weather patterns and legal requirements, landlord insurance is essential for anyone renting out property in the state.

Landlord Insurance vs. Homeowners Insurance: Key Differences

Many property owners might wonder why they need landlord insurance if they already have homeowners insurance. The key difference lies in the scope of coverage.

Homeowners insurance is designed to protect owner-occupied residences, covering personal belongings and liability within that context. In contrast, landlord insurance covers properties rented to tenants, focusing on different types of risks and liabilities like the following:

Coverage for Rental Income Loss: Unlike homeowners insurance, landlord insurance often includes coverage for loss of rental income if the property becomes uninhabitable due to a covered event.
Extended Liability Coverage: Landlord insurance provides liability protection that includes tenant-related issues, such as injuries that occur on the rental property.
Property Damage Coverage: It specifically covers damage to the rental property, including the structure and any landlord-owned furnishings or appliances provided to tenants.

Coverage Provided by Florida Landlord Insurance

Landlord insurance policies typically include several key coverage areas to protect landlords from a wide range of risks.

Dwelling Protection

This covers the physical structure of the rental property. If the building is damaged by covered events like fire, wind, or hail, the insurance will pay for repairs or rebuilding costs.

It ensures that the main building, including walls, roof, and foundation, is protected. This coverage is essential for maintaining the property's value and ensuring it remains habitable for tenants.

Coverage for Other Structures

This includes coverage for detached structures on the property, such as garages, sheds, or fences. It ensures that these additional structures are protected from damage caused by covered events. Having this coverage can save landlords from significant out-of-pocket expenses for repairs or replacements.

Insurance for Landlord-Owned Property

This protects items owned by the landlord that are used to service the rental property, such as appliances or lawn equipment. It includes covering the expenses incurred in repairing or replacing these items in case they undergo damage or theft.

This ensures that essential maintenance and tenant services can continue without interruption. By safeguarding these assets, landlords can avoid unexpected expenses and maintain the property's operational efficiency.

Liability Coverage for Landlords

This provides protection if a tenant or visitor is injured on the property and the landlord is found liable. It covers legal fees and any resulting medical expenses or settlements.

Optional Coverage Options

Rent Guarantee Insurance: Covers lost rental income if a tenant stops paying rent. This ensures steady cash flow even during tenant disputes or financial hardships.

Vandalism and Theft Coverage: Protects against damage or loss due to tenant vandalism or theft. This coverage can help cover repair costs and replace stolen items, minimizing financial setbacks.
Emergency Repair Services: Provides immediate assistance for urgent repairs to prevent further damage. Quick response to emergencies can maintain tenant satisfaction and protect the property's condition.

Exclusions from Florida Landlord Insurance

While landlord insurance covers many risks, there are some exclusions landlords should be aware of.

Tenants' Personal Belongings: Landlord insurance does not cover tenants' personal property. Tenants should be proactive in obtaining renters insurance to safeguard their personal belongings.
Routine Appliance Maintenance: Regular maintenance and wear-and-tear repairs for appliances are not covered. Landlords are responsible for these costs.
Owner-Occupied Properties: If the landlord lives in part of the property, standard landlord insurance might not apply. Special coverage arrangements are needed for such situations.

Top Tips for Reducing Your Florida Landlord Insurance Costs

Prepare for Property Inspections in Advance: Ensuring your property is in good condition before an inspection can help reduce premiums by demonstrating lower risk.
Consider Raising Your Deductible: A higher deductible can lower your premium, but make sure you can afford to pay it if a claim arises.

Implement Measures to Mitigate Storm and Wind Damage: Installing storm shutters, reinforcing the roof, and taking other precautions can reduce the risk of damage and lower your insurance costs.
Explore Discounts Offered by Your Insurance Provider: Many insurers offer discounts for bundling policies, installing security systems, or having a history of no claims.
Take Actions to Minimize Tenant-Related Risks: Screening tenants carefully and addressing maintenance issues promptly can prevent problems and reduce the likelihood of claims.

Bottom Line

Landlord insurance is a critical tool for protecting your rental property investment in Florida. It offers comprehensive coverage for property damage, liability, and loss of rental income, addressing the unique risks faced by Florida landlords. By understanding what is covered and what is excluded, as well as how costs are determined, landlords can make informed decisions about their insurance needs.

Advantage Realty Services can assist landlords in navigating the complexities of obtaining the right insurance coverage. With expertise in Florida's real estate market, we can help you assess your property risks, compare insurance providers, and find policies that provide the best protection at competitive rates.

How To Conduct A Tenant Walk-Through Inspection

Thu, 02 May 2024 01:29:09 GMT

Conducting a tenant walk-through inspection is a crucial process for landlords to ensure their property remains in good condition and that any issues are addressed promptly.

Here’s a detailed guide that will walk you through the steps and best practices to effectively conduct these inspections, helping you protect your investment and maintain a positive relationship with your tenants.

Introduction to Walk-Through Inspections

A walk-through inspection, also known as a move-in/move-out inspection, is a comprehensive review of a rental property before a tenant moves in or after they move out. The primary goal is to document the condition of the property to ensure that any damage caused by the tenant can be accurately identified and addressed.

Benefits of Walk-Through Inspections with Tenants

Transparency and Trust: When you conduct the inspection together with the tenant, it fosters a sense of openness and mutual respect. This transparency can build trust, making tenants feel more comfortable and valued. Trust can lead to better care of the property and prompt reporting of any issues.
Clear Expectations: A joint inspection helps set clear expectations right from the start. Both parties can discuss and understand what is expected in terms of property maintenance and tenant responsibilities. This clarity can reduce misunderstandings and disputes during the tenancy.

Immediate Clarifications: During the inspection, tenants might have questions about the property or the terms of the lease. Addressing these questions immediately can prevent issues down the line. It also ensures that the tenant fully understands what is noted in the inspection report.
Documentation of Condition: A joint inspection allows both the landlord and the tenant to agree on the condition of the property at move-in. This documentation is crucial when assessing any changes or damages at the end of the lease term. It helps simplify the process of returning security deposits and handling charges for damages.
Educational Opportunity: For many tenants, especially those renting for the first time, a walkthrough can be an educational experience. Landlords have the opportunity to explain how various appliances work, what routine maintenance looks like, and how to handle emergencies. This guidance can lead to better care of the property and fewer urgent calls to the landlord.
Proactive Maintenance and Repairs: During the inspection, tenants can point out existing issues or concerns that might not be immediately apparent to the landlord. Addressing these issues early can prevent more significant problems and associated costs later. It also shows responsiveness and care about tenant quality of their life.

Enhanced Legal Protection: Thorough documentation and signed agreements during the walkthrough can provide legal protection if disputes over property conditions arise. This process ensures that there is a clear, agreed-upon record of the property’s condition at the time of the tenant's move-in, which can be invaluable in legal settings or disputes.

Preparing for the Inspection

Schedule the Inspection: It’s important to schedule the inspection at a time that is convenient for both you and the tenant. Ensure that the tenant has ample notice about the inspection date and time.
Review Your Lease Agreement: Before conducting the inspection , review your lease agreement to understand and clarify the conditions related to the property’s condition and the tenant’s responsibilities.
Prepare an Inspection Checklist: Create a detailed checklist that covers all areas of the property, including living areas, bedrooms, kitchen, bathrooms, and any outdoor spaces. This checklist will guide the inspection and ensure consistency.
Gather Necessary Tools: Bring a camera or smartphone for photos, a flashlight for checking dark or enclosed areas, and a notepad or digital device for notes.

Conducting the Inspection

Walk Through with the Tenant: Whenever possible, walk through the property with the tenant. This promotes transparency and allows for immediate discussion of any issues.

Document Everything: Use your checklist to systematically assess each part of the property. Take detailed notes and photographs of any damage or issues. This documentation will be crucial for comparing the property’s condition before and after the tenancy.
Check for Functionality: Beyond aesthetic conditions, check the functionality of all fixtures and appliances. Test smoke detectors, look for leaks under sinks, and ensure that all windows and doors open and close properly.
Discuss Findings with the Tenant: If you find issues, discuss them on the spot with the tenant. Clarify what will be rectified by the landlord before move-in and what the tenant is expected to maintain.
Focus on Safety Issues: Prioritize safety-related issues such as electrical problems, gas leaks, or security features. These are not only critical for the tenant's safety but also for the legal compliance of your rental property.

After the Inspection

Provide a Written Report: After the inspection, provide the tenant with a detailed report of your findings. Include photographs and notes from the walkthrough. This report serves as a formal record of the property condition at the time of the tenant's move-in.
Discuss Repair Responsibilities: Clearly communicate who is responsible for necessary repairs. This should align with what is stipulated in the lease agreement.

Get Signatures: It's crucial to have both parties sign off on the inspection report. This acknowledgment by the tenant confirms that they agree with the findings.
Keep Records: Retain copies of the inspection report and all communications about the inspection. These documents can be vital in case of disputes or legal issues.

Conclusion

Conducting thorough tenant walk-through inspections are essential for managing a rental property effectively. By preparing properly, documenting meticulously, and communicating clearly, you can maintain the value of your property and foster a trustworthy relationship with your tenants.

Regular inspections also help ensure that the property is well-maintained and safe, contributing to a more stable and profitable rental arrangement. Hiring a professional property manager can help with this task.

If you need help, call Advantage Realty Services , and one of our experts will be happy to guide you.

How To Write A Good Property Listing

Fri, 29 Mar 2024 02:20:47 GMT

Before you start drafting your property listing, take some time to understand the demographics and preferences of your potential tenants.

Are they young professionals, families, students, or retirees? Knowing your audience will help you tailor your listing to highlight the features and amenities that matter most to them.

1. Know Your Audience

A well-crafted property listing is the key to attracting potential tenants and maximizing your rental income . As a landlord, your listing serves as the initial point of contact between your property and prospective renters. So, it's important to create a listing that not only showcases your property's features but also resonates with your audience.

Let’s explore the art of writing a good property listing that captivates potential tenants and sets your rental apart from the competition:

2. Highlight Key Features

Begin your listing by highlighting the key features of your property. Start with the basics such as the number of bedrooms and bathrooms, square footage, and any unique selling points like a spacious backyard, modern kitchen appliances, or a desirable location.

Use descriptive language to paint a vivid picture of what life would be like for a tenant living in your property.

3. Showcase High-Quality Photos and Visuals

They say a picture is worth a thousand words, and this couldn't be truer when it comes to property listings. Invest in professional photography or use high-quality images that accurately represent your property.

Add pictures of the outside of the building, the rooms, and any features you may have like a garden, gym, or pool. Your ad will look more enticing and entice potential tenants to set up a showing if the photographs are clear and well-lit.

Also, consider including a virtual tour or video walkthrough to provide potential tenants with a comprehensive view of the property. This not only enhances the listing but also saves time by pre-qualifying interested tenants who have already seen the property virtually.

4. Write a Captivating Headline and Introduction

The headline and introduction are your first opportunity to grab potential tenants' attention. Keep the headline concise but compelling, highlighting the most attractive feature of the property. For example, instead of "2-Bedroom Apartment for Rent," try "Charming 2-Bedroom Apartment with Spectacular Views."

In the introduction, provide a brief overview of the property's key selling points. Highlight unique features, such as recent renovations, proximity to amenities, or stunning views. Use descriptive language to paint a vivid picture and evoke interest in potential tenants.

5. Write a Detailed Property Description

The property description is where you provide detailed information about the features, layout, and amenities of the property. Be thorough but concise, focusing on what sets your property apart from others in the area. Consider the following elements:

Layout and Features: Describe the layout of the property, including the number of bedrooms, bathrooms, and any additional rooms like a study or den. Highlight key features such as hardwood floors, stainless steel appliances, or a fireplace.

Amenities: Outline any amenities available to tenants, such as parking spaces, laundry facilities, storage units, or outdoor spaces like a patio or balcony.

Location: Emphasize the property's location and nearby attractions, including parks, public transportation, shopping centers, and restaurants. Highlight any desirable neighborhood characteristics, such as safety, walkability, or vibrant nightlife.

Pet Policy and Restrictions: Clearly state your pet policy , including any restrictions on screening , breed, size, or number of pets allowed. This helps avoid misunderstandings and ensures compatibility with potential tenants.

Utilities and Maintenance: Specify which utilities are included in the rent and any maintenance responsibilities for tenants. Transparency regarding these matters can help manage expectations and prevent disputes down the line.

6. Include Clear Rental Terms and Contact Information

Be open and honest about the rental conditions, including the length of the lease, the monthly rent, the security deposit, and any other costs or specifications. Indicate which way people like to be contacted—by phone, email, or online form—for questions or to schedule viewings.

Provide multiple contact options to accommodate different preferences and ensure timely responses to inquiries. Prompt communication fosters trust and demonstrates your professionalism as a landlord.

7. Tailor Your Listing for Online Platforms

In today's digital age, the majority of property searches begin online. To maximize your listing's visibility, leverage popular online platforms such as real estate websites, rental listing sites, and social media platforms. Optimize your listing for search engines by including relevant keywords and phrases that potential tenants are likely to use when searching for properties in your area.

Consider the formatting and layout of your listing to ensure readability across different devices, including smartphones and tablets. Use bullet points, headings, and paragraphs to organize information effectively and make it easy for potential tenants to skim through key details.

8. Perform Regular Updates and Maintenance

Once your listing is live, monitor its performance and make adjustments as needed. Pay attention to metrics such as views, inquiries, and conversion rates to gauge the effectiveness of your listing.

If you're not receiving the desired response, consider updating the photos, adjusting the rental price, or revising the description to better align with the preferences of your audience.

Keep your listing up-to-date with any changes to the property, such as renovations, upgrades, or new amenities. Regular maintenance and improvements not only enhance the property's appeal but also demonstrate your commitment to providing a quality living environment for tenants.

9. Work With a Professional Property Manager

Working with a professional property manager like those at Advantage Realty Services will help save you time and effort marketing your property . Property managers handle everything, including writing property listings and screening potential tenants.

Reliable property managers also ensure that your property and your tenants are well taken care of. You won’t need to worry about managing the day-to-day operations of the rental business, as well as taking care of repairs and maintenance and other issues that may need your attention.

Conclusion

Crafting a good property listing is critical to your success. Remember to stay proactive, responsive, and adaptable to ensure your listing remains competitive in the ever-evolving real estate market.

With these strategies in mind, you'll be well-equipped to write effective property listings that showcase your rental properties in the best possible light. When in doubt, hire a reputable property manager like the Advantage Realty Services . Contact us today to get started!

What Landlords Should Know About Move Out Letters?

Wed, 28 Feb 2024 02:38:29 GMT

Ever wondered about the crucial aspects of move-out letters as a landlord? When tenants decide to vacate , the process isn't merely about handing over keys; it involves meticulous documentation and communication. In the dynamic landscape of property management, understanding the nuances of move-out letters is paramount for landlords.

From detailing security deposit refunds to outlining expectations for property conditions, these letters serve as pivotal records in the landlord-tenant relationship. In this article, we delve into the essentials that landlords should know about move-out letters, providing insights to streamline the transition process and foster positive landlord-tenant interactions.

Navigating Move-out Purposes for Landlords

A move-out letter serves as a formal communication between landlords and tenants when a tenant decides to vacate the rental property. Its purpose is multi-faceted and crucial for all parties involved.

Understanding the Purpose : A move-out letter serves as formal communication between landlords and tenants, crucial for facilitating a smooth transition. It notifies landlords of tenants' intention to vacate and outlines key expectations and procedures.
Clarity and Documentation : The letter provides clarity on move-out expectations, including cleaning requirements , key return procedures, and inspection details. It serves as a documented record of agreements, reducing misunderstandings and fostering transparency.

Enhancing Landlord-Tenant Interactions: By streamlining the transition process, move-out letters contribute to positive landlord-tenant relationships. Clear communication and adherence to agreed-upon procedures promote professionalism and mutual respect.
Consider Professional Support: For investors seeking assistance in managing move-out procedures effectively, property management companies like Advantage Realty Services offer expertise and support, ensuring a seamless experience for all parties involved.

Perks of Sending Move-out Letters

Sending a move-out letter offers several key benefits for landlords and tenants alike. Here are some reasons:

Clarity and Documentation

Sending a move-out letter ensures clarity and documentation for both landlords and tenants. It outlines the specific details of the move-out process, including deadlines for vacating the property, expectations for cleaning and maintenance , and procedures for returning keys and security deposits.

By providing clear instructions in writing, landlords can minimize confusion and disputes regarding move-out procedures.

Legal Protection

A move-out letter provides legal protection for landlords by documenting the end of the tenancy and the condition of the rental property at the time of move-out. It allows landlords to specify any deductions from the security deposit for damages beyond normal wear and tear, as well as any outstanding rent or fees owed by the tenant.

In the event of disagreements or disputes, the move-out letter serves as evidence of the agreements and expectations agreed upon by both parties.

Maintaining Professionalism and Communication

Sending a move-out letter demonstrates professionalism and fosters positive communication between landlords and tenants. It shows that landlords are organized and proactive in managing the rental property, which can help maintain a good relationship with tenants even as they prepare to move out.

The move-out letter also provides tenants with a clear understanding of their responsibilities, helping to facilitate a smooth and amicabl e transition out of the rental property.

Quick Tips for Crafting Tenant Move-out Letters

Here are some quick tips on how to write a tenant move-out letter:

Be Clear and Concise : Keep the letter straightforward and to the point, outlining the essential details such as the move-out date, expectations for property condition, and procedures for returning keys and security deposits.
Include Relevant Dates: Clearly state the date the tenant intends to move out and any deadlines for completing move-out procedures, such as cleaning or inspection appointments.
Specify Cleaning Expectations: Outline any cleaning requirements or expectations for the condition in which the tenant should leave the rental property, including details on areas to be cleaned and any specific cleaning tasks to be completed.

Address Security Deposit Handling: Explain the process for handling the security deposit, including any deductions for damages beyond normal wear and tear and the timeline for returning the remaining deposit amount.
Provide Contact Information: Include contact information for the landlord or property management company in case the tenant has any questions or needs further clarification regarding the move-out process.
Encourage Communication: Encourage open communication and cooperation between landlords and tenants to ensure a smooth and successful move-out process.
Express Gratitude: Conclude the letter on a positive note by thanking the tenant for their tenancy and expressing best wishes for their future endeavors.

Deciding When to Send Your Move-out Letter

You should send a move-out letter to your tenant as soon as you receive notice of their intention to vacate the rental property. Ideally, this should occur shortly after the tenant provides formal notice of their intent to move out, typically in accordance with the terms of the lease agreement or local rental laws.

Sending the move-out letter promptly allows both parties to clarify expectations, outline responsibilities, and establish a timeline for the move-out process. This proactive approach helps minimize misunderstandings and ensures a smooth transition for both the landlord and the tenant, ultimately facilitating a positive end to the tenancy.

Deciphering Move-out Letters vs. Eviction Notices

The main difference between a move-out letter and an eviction notice lies in the circumstances and intent behind each document . A move-out letter is typically initiated by the tenant to inform the landlord of their voluntary decision to vacate the rental property, usually at the end of the lease term or upon providing proper notice as per the lease agreement.

On the other hand, an eviction notice is issued by the landlord to the tenant due to a breach of the lease agreement, such as non-payment of rent, violation of lease terms, or other lease violations. An eviction notice is a legal document that initiates the legal process of removing the tenant from the property and is typically a last resort when other attempts to resolve the issue have failed.

Essential Moving-Out Checklist

Here's a quick checklist for moving out:

Give Proper Notice
Review Lease Terms
Clean and Repair
Dispose of Trash
Return Keys
Cancel Utilities
Forward Mail
Complete Move-out Inspection
Settle Financial Obligations
Provide Contact Information

Bottom Line

Understanding the significance of move-out letters is paramount for landlords seeking to maintain positive landlord-tenant relationships and ensure a smooth transition at the end of a tenancy. These letters serve as crucial documentation, providing clarity on expectations and facilitating legal protection for both parties involved.

While managing move-out procedures independently can be daunting, hiring a property management company like Advantage Realty Services can offer invaluable expertise and support throughout the process. Contact us today to get started!

Smart Investments: How to Choose Profitable Rental Properties

Thu, 01 Feb 2024 02:09:17 GMT

As an investor, you must have heard about the various advantages that exist in investing in rental properties. It is one of the best ways to boost and diversify your portfolio. When done right, you can be assured of consistent rental income, good returns, appreciation of value, and various tax advantages.

However, the property business is not a straightforward venture with a one-fit-all solution. It is recommended that one does comprehensive research on the investment before following through.

To help you on your property journey, the team from Advantage Properties has put together this short article. It describes the industry considerations when choosing rental properties.

Create A Budget

A common oversight among real estate investors is miscalculating property acquisition expenses. Beyond the down payment, factor in property taxes, closing fees, insurance , and potential repairs.

Having a comprehensive budget is crucial to avoid financial shortfalls jeopardizing a deal. You should allocate funds for potential needs like insurance and maintenance for your rental property.

Consider setting aside savings for unforeseen emergencies, ensuring financial preparedness in the face of unexpected situations . A well-planned budget safeguards against potential setbacks and enhances overall investment stability.

Location

The location of your rental property significantly influences your investment's success. A property in a sought-after area not only attracts more tenants but also commands higher rental income.

To pinpoint the right location, explore online reviews for insights into residents' perspectives. Assess local rental listings to gauge potential earnings in the neighborhood.

Stay informed about ongoing developments such as parks and schools, as they indicate future value and increased popularity. This strategic approach ensures you make informed decisions that maximize your rental property's profitability and long-term success.

Crime

Put yourself in the shoes of your tenant. You wish to be located in an area where you know your family is safe. No need to leave for work with the thought that your house or car might be broken into. That peace of mind is something that you cannot take for granted.

You can get information on crime rates on both the municipal and state online websites. Local police websites can also provide that information. Another good reference point is the public library. We advise you to check on the rates of petty crimes, theft, arson, and vandalism.

As always, have a conversation with a local presence in the area. They will be able to reveal the true information about police presence in the neighborhood.

Consider Local Amenities

A rental property's value is often influenced by the amenities in its vicinity, making location a crucial factor. Before finalizing a purchase, explore the neighborhood. Identify parks, restaurants, theaters, public transport hubs, and dining choices.

For a comprehensive understanding, visit City Hall to request promotional materials, expanding your awareness of various public and social amenities across different neighborhoods. This thorough examination ensures you make an informed decision about the property's value and its appeal to potential tenants.

Evaluate the Property's Condition

While rundown properties may seem budget-friendly initially, they can lead to significant long-term expenses, especially if your aim is prompt rental availability. Prioritize the property's structural integrity over aesthetics during the purchase process.

Conduct a thorough inspection to identify issues like water damage, mold, or leaks. Opting for an aesthetically pleasing property alone may not guarantee long-term savings. We recommend enlisting a professional inspector or property manager's services to secure a sound investment and avoid unforeseen repair costs in the future.

Employment Market

The state of the economy matters to you as a prospective landlord because it affects the job prospects that may arise. If a tenant works steadily for a reputable company, they may find it easier to pay their rent.

Landlords should search for the presence of a major company in the neighborhood because the existence of a national or regional headquarters may indicate that there are more job options available to prospective tenants.

Taxes

Choosing to invest and lease a rental property means that you should be ready to deduct some amount per month or annum and remit to the tax authority. These taxes should be analyzed and computed during your financial feasibility analysis.

Where can I find this information? This is an important question. In most cases, you can make your way to the assessment office in the municipality. There you will find all the relevant tax information.

We also recommend that you join the community and talk to a homeowner or two for first-hand information. Talking to local property managers like the experts at Advantage Realty Services can also help guide you on the best approach.

Conclusion

Investing in rental properties offers numerous advantages, but the complexities demand strategic planning. Advantage Realty Services emerges as the ideal partner for seamless property management.

Their expertise extends from meticulous tenant screening to strategic marketing and proactive maintenance. With Advantage Realty Services, property owners can enjoy the benefits of consistent rental income and appreciation without the extra work.

To navigate the intricate landscape of real estate successfully, reach out to Advantage Realty Services – your expert guide to optimized property management and financial success.

Why Should You Invest in Real Estate Over the Stock Market?

Tue, 02 Jan 2024 17:16:26 GMT

Landlords know all too well the delicate balance of risk and reward. You've likely even grappled with the question, ‘do real estate investments outshine the stock market?'

In this article, we delve into the compelling reasons why, as a landlord, your key to enduring prosperity may be found within the real estate market rather than the unpredictable ebbs and flows of the stock market. Here are some of the reasons real estate offer better opportunities to investors:

Real Estate Investments Have High Potential for Steady Cash Flow

For landlords seeking a reliable income stream, real estate's capacity for consistent cash flow is a game-changer. Rental properties, in particular, offer landlords a regular influx of funds through monthly rent payments. This steady income can serve as a financial cushion, providing stability even during economic downturns. Unlike the unpredictable dividends of stocks, which can fluctuate based on market conditions, rental income from well-managed properties tends to remain relatively stable.

Management of a Real Estate Investment Can Be Outsourced

While property ownership comes with management responsibilities, landlords have the flexibility to outsource the day-to-day tasks associated with their investments. Hiring a professional property management company can relieve landlords of dealing with tenant interactions, maintenance requests, and other logistical challenges. This not only frees up valuable time for landlords to explore additional investment opportunities but also ensures that their real estate assets are managed efficiently by experts in the field, contributing to the overall success and profitability of the investment .

Stocks Can Be Extremely Volatile

One of the primary challenges landlords face when considering investments is the inherent volatility of the stock market. Unlike real estate, where values tend to appreciate steadily over time, stocks can experience price fluctuations . The stock market is influenced by several factors, including geopolitical events, economic indicators, and market sentiment. This volatility introduces a level of uncertainty that can be unsettling for investors.

Landlords, seeking stability and a reliable return on investment, often find the real estate market more appealing due to its historical resilience to short-term market turbulence. The controlled and less volatile nature of real estate values offers landlords a sense of security and a dependable foundation for long-term financial planning, distinguishing it from the often turbulent waters of the stock market.

Real Estate Values Usually Appreciate With Time

Real estate's historical tendency to appreciate in value over time is a key factor drawing landlords to this investment avenue. Unlike stocks, which can experience unpredictable highs and lows, real estate often demonstrates a more predictable upward trajectory.

Landlords also benefit from building equity as property values increase, contributing to long-term financial growth. This appreciation not only safeguards the initial investment but also positions landlords for potential profitable returns when they decide to sell or reinvest in the future.

Investing in Real Estate Can Make You Eligible for Tax Deductions

Investing in real estate goes beyond the potential for capital appreciation and steady cash flow—it also opens doors to significant tax advantages. Landlords can leverage various tax deductions to optimize their financial position . Mortgage interest, one of the largest expenses for property owners, is typically tax-deductible.

Additionally, property taxes and operating expenses, such as maintenance and repairs, can be deducted from rental income. Landlords may also benefit from depreciation deductions, allowing them to recover the cost of the property over its useful life. These tax incentives in real estate not only reduce the overall tax liability but also enhance the profitability of investments, making them a smart financial choice for landlords looking to maximize their returns.

You Can Defer Real Estate Capital Gains Tax

Real estate investors can employ a powerful tax strategy known as a 1031 exchange to defer capital gains taxes when selling a property. This mechanism allows landlords to reinvest the proceeds from a property sale into another similar investment property without triggering immediate capital gains taxes.

By deferring these taxes, landlords can optimize their investment portfolios, ensuring that more of their capital remains active and working for them. This flexibility and tax deferral option provide landlords with a valuable tool to strategically manage their real estate holdings and maximize returns over the long term.

Diversification of Assets

Real estate, as a tangible and distinct asset class, offers landlords a valuable avenue for diversification. Unlike stocks and bonds, real estate provides a physical presence in an investment portfolio, adding a layer of stability. By diversifying into real estate alongside traditional investments, landlords can create a more resilient portfolio that is less susceptible to the volatility of any single market or asset class.

Inflation Hedge

Real estate serves as a robust hedge against inflation. The value of real estate tends to rise with inflation, providing landlords with an effective means to preserve their purchasing power. As the cost of living increases, so does the potential for rental income and property values.

This intrinsic ability of real estate to outpace inflation makes it an attractive choice for landlords looking not only to protect but also to enhance the real value of their investments over time. The combination of rental income and appreciation can serve as a powerful strategy to counteract the erosive effects of inflation on financial wealth.

Bottom Line

The choice between investing in real estate and the stock market boils down to the priorities and preferences of landlords seeking enduring financial success. Real estate shines with its potential for steady cash flow, tax advantages, and resilience against market volatility. The tangible nature of property, coupled with the ability to defer capital gains tax and hedge against inflation, makes real estate a compelling choice.

For those keen on navigating the robust world of real estate investments, contact Advantage Realty Services ! Our expertise can further empower landlords to make informed decisions and unlock the full potential of their investment portfolios.

Dealing with Noise Complaints

Mon, 27 Nov 2023 21:09:19 GMT

When you're a landlord , noise complaints are part of the job. Whether it's dealing with late-night parties or arguing with neighbors, managing noise issues can be quite an effort. But don't despair; if approached in the right way, resolving tenant disputes related to noise levels can become fairly easy!

In this blog post, we'll cover everything a landlord needs to know about dealing with noise complaints. Let's get started!

Steps to Take When Faced with a Noise Complaint

Excessive noise within a rental property poses a significant threat to the overall enjoyment and well-being of tenants. Here are some steps to take when dealing with noise complaints:

Research thoroughly - When faced with a noise complaint, the significance of thorough research and evaluation cannot be overstated. It serves as the foundational step in determining the validity of the complaint and lays the groundwork for an informed and fair resolution.
Prompt Response - Time is of the essence when dealing with noise complaints. Acknowledge the complaint swiftly to demonstrate your commitment to tenant satisfaction.
Active Listening and Empathy - Engage with the complaining tenant empathetically. Actively listen to their concerns, validate their experiences, and assure them that their grievances are being taken seriously.
Overview of Tenant Options - Provide the tenant with a clear overview of their options for addressing the noise complaint. This transparency fosters trust and empowers tenants to be actively involved in the resolution process.

4. Escalating to Law Enforcement if necessary - In cases where the noise issue persists and becomes a matter of legal concern, be prepared to escalate the matter to law enforcement . Clearly communicate the escalation process to tenants, ensuring a transparent and efficient resolution.

Responding to and Evaluating a Noise Complaint

Number of Complaints Against the Tenant

The quantity of complaints against a tenant is a crucial factor in evaluating noise problems. If multiple tenants or neighbors are consistently raising concerns about the same individual, it adds weight to the validity of the complaints. A pattern of repeated complaints suggests a recurring issue that warrants thorough investigation and intervention by the landlord.

Personal Verification of Noise by the Landlord

Personal verification by the landlord involves firsthand assessment of the reported noise. This proactive approach allows the landlord to experience the situation , enabling a more accurate understanding of the disturbance. By personally verifying the n oise, landlords can respond appropriately, whether through direct communication with the tenant or implementing necessary measures to address the issue.

Frequency of Noise Complaints

The frequency of noise complaints provides insights into the persistence and severity of the problem. A sporadic complaint may indicate isolated incidents, while a high frequency suggests a chronic issue that requires comprehensive resolution.

Official Documentation and Involvement of Authorities

Official documentation, such as written complaints or reports filed with the authorities, adds a layer of credibility to noise complaints . Involvement of local authorities, if necessary, establishes a formal record of the issue and ensures that legal procedures are followed. This documentation serves as a valuable resource in cases where escalated actions, such as legal interventions, are required for a resolution.

Distinguish Normal Activities from Excessive Noise

Differentiating between normal activities and excessive noise is essential for a fair and balanced evaluation. Not all sounds can be classified as disruptive, and tenants have the right to engage in everyday activities without undue restrictions. Landlords should consider the nature of the reported noise, its impact on the living environment, and whether it exceeds reasonable expectations for communal living.

Actions to Take If the Noise Complaint Isn't Valid

Calming Concerned Residents

In instances where a noise complaint is deemed invalid, it's crucial to address the concerns of residents who reported the noise. Approach the situation with empathy, acknowledging their perspective and the impact the alleged noise may have had on their peace of mind. Reassure them that their concerns are taken seriously, emphasizing the importance of open communication in resolving such matters.

Reiterating Considerate Neighbor Habits

Take the opportunity to emphasize the significance of considerate neighborly habits. Encourage all tenants to be mindful of their activities and the potential effects on others in the community.

Reinforce the values of mutual respect and cooperation in shared living spaces, fostering a sense of community and harmony.

Explaining Investigation Results and Lack of Evidence

Transparent communication is key when explaining the results of the noise complaint investigation. If the evidence does not support the complaint, share this information with all parties involved. Clearly outline the steps taken to assess the situation, ensuring that everyone understands the thoroughness of the investigation. Provide reassurance that their concerns have been diligently addressed, even if the outcome suggests no valid basis for the complaint.

Establishing Quiet Hours

Quiet hours are defined as periods during which residents are expected to minimize noise to ensure a restful living environment. For instance, during the weekdays, quiet hours commence from 10 p.m. to 7 a.m., allowing for a serene nighttime environment. On weekends, the quiet hours extend until 9 a.m. to provide a slightly later start to mornings.

These timeframes are designed to cater to diverse schedules while upholding the need for tranquility. It's important to note that the establishment of quiet hours does not grant tenants the right to engage in excessive noise during non-quiet hours. While these scheduled periods are particularly sensitive to noise reduction, the expectation of respectful sound levels prevails throughout the day. Tenants are encouraged to adopt considerate behavior at all times to ensure a positive and cooperative community.

Final words

Resolving noise complaints necessitates a thorough understanding of the nuances involved, from evaluating the validity of claims to implementing effective solutions. Through research, prompt responses, inspecting the space , and transparent communication, you can create an environment where residents can enjoy the comforts of home without undue disruptions.

For personalized and effective property management solutions, reach out to Advantage Realty Services , where your property's well-being is our priority. Together, let's create spaces that resonate with the true essence of community living.

Rental Property Marketing Mistakes

Wed, 01 Nov 2023 20:49:23 GMT

Rental property marketing can be tricky. Mistakes such as writing a dull listing or not promoting your rental on social media can lead to high vacancy rates, longer turnaround times, and decreased profitability.

Our team of property managers at Advantage Realty Services has written this article to help you avoid this issue. Keep reading to learn about the biggest rental property mistakes landlords make and how to overcome them.

The Most Common Rental Property Marketing Mistakes Landlords Make

Learning how to successfully advertise a rental property takes a lot of trial and error. After all, there are a lot of moving pieces behind every successful marketing campaign. Luckily, you can learn a lot from your mistakes.

To help you save time, we’ve summarized the top 9 rental property marketing mistakes most landlords make and how you can avoid them altogether.

1. Not Building Your Online Presence

In today's digital age, the first place potential tenants look for rental properties is online. By posting your listing on some of the most popular real estate websites, you can attract more potential renters.

Moreover, it’s a good idea to also build an online presence, such as by creating social media profiles or even a website to announce your rental services. Growing your online presence can help you build a good reputation, which can go a long way in helping you attract and retain tenants for the long term.

2. Using Poor-Quality Property Photos

With the rising threat of rental scams, most renters tend to ignore listings without photos. However, adding poor-quality pictures to your listing will just not cut it.

Grainy images and photos with poor lighting can make your property look unattractive, which can dissuade potential tenants from renting it.

So, take the time to take good photos of your rental. Investing in a professional photographer is advisable. However, you can take great pictures with your phone. Just make sure you have good lighting and try different angles for each picture to get great results.

3. Inadequate Property Descriptions

One of the biggest mistakes landlords make is writing a bad description for their listing. A lengthy text can make you lose potential renter’s attention quickly. On the other hand, a short and incomplete description can scare tenants away.

That’s why you should take the time to write a compelling and informative property description for your listing. Make sure to add key information such as unique features, location, price of rent, and nearby amenities. But keep it short and sweet.

4. Failure to Respond Promptly

Delaying responses to inquiries and questions is a huge mistake. Prospective tenants expect a timely response and may move on to other options if they don’t hear back from you quickly enough.

That’s why it’s crucial that you respond to inquiries in a timely manner. Whether you prefer to communicate via email, phone, or text, prompt responses will show tenants that you’re an attentive landlord. This can significantly increase the chances of finding tenants quickly.

5. Neglecting Tenant Reviews

Online reviews can significantly influence potential tenants’ decisions to rent a property. Ignoring these reviews can be detrimental to your rental business.

While you might not be able to eliminate bad reviews, you can try to prevent them by fostering a good relationship with your tenants . Moreover, you can encourage satisfied tenants to leave positive reviews about their experience.

6. Overpricing Your Rental Property

Knowing how to price your rental property is crucial. Charging too little can leave you with a negative cash flow at the end of the month. Meanwhile, overpricing your rental can deter potential tenants, which can lead to longer vacancies.

So, before listing your home for rent, research the local market. Knowing the price of rent for similar rentals in your area can help you set a more competitive rental rate.

7. Skipping Staging and Maintenance

When renting your home, you want to ensure it’s looking its best. Neglecting the appearance of your property can turn away potential tenants. Investing in maintenance and even some renovations can increase the value of your property and make it stand out from the rest.

Additional things you can do to get your property ready to rent include deep cleaning the entire property, painting the walls, and boosting your rental’s curb appeal.

8. Lack of Consistency

The key to a successful rental marketing campaign is consistency. Constantly pausing your marketing efforts can reduce their effectiveness and even cause confusion for potential renters. Creating a marketing plan and sticking to it can help you ensure consistency all across the board.

9. Doing It All Alone

Marketing your rental property requires a lot of time and effort. After creating your listing and ads, you must constantly monitor them. Plus, you also must maintain a constant online presence and answer inquiries promptly. Trying to do all of this by yourself can quickly lead to burnout .

That’s why hiring Advantage Realty Services is highly advisable. These property managers cannot only help you successfully advertise your rental but can also screen tenants and perform any needed maintenance for you. This way, you’ll be able to fill your vacancies with little to no effort!

Bottom Line

Marketing your rental property is the best way to fill your vacancies quickly. However, mistakes such as overpricing your rental, writing an inadequate listing, or targeting the wrong audience can make your marketing efforts futile.

Now that you know how to avoid the most common advertising mistakes landlords make, you are better prepared to attract a wider pool of potential tenants.

Do you need help marketing your Tampa rental? Contact Advantage Realty Services ! Our team will help you create the perfect marketing campaign for your property.

How to Know if Your Rental Meets Safety Standards

Fri, 29 Sep 2023 14:53:49 GMT

As a responsible landlord, your top priority is to provide your tenants with a safe and secure place to call home. Beyond the legal obligations that come with property ownership, ensuring the safety of your rental property is not only ethically important but also a fundamental aspect of your long-term success in the real estate business.

A well-maintained, safe, and compliant rental property attracts tenants and minimizes the risk of costly legal issues down the line. By the time you finish reading this guide, you will be well-versed in the essential safety standards, codes, and practices that can make or break your rental business.

Smoke Detectors and Carbon Monoxide Alarms

Smoke detectors and carbon monoxide alarms serve as the foundational pillars of fire safety in your rental property. Ensure that smoke detectors are positioned in every bedroom, outside sleeping areas, and on every level of your rental property. As for carbon monoxide alarms, adhere to manufacturer recommendations, typically placing them near sleeping areas and on each level.

Regular testing of these devices is imperative to verify their functionality; this can be easily accomplished by pressing the test button provided. If feasible, interconnect your smoke detectors and carbon monoxide alarms to create a network where the activation of one alarm triggers the others, ensuring that all occupants receive early warnings.The body content of your post goes here. To edit this text, click on it and delete this default text and start typing your own or paste your own from a different source.

Keep in mind that these devices have a limited lifespan, usually around 10 years, so replacing them as necessary is essential to maintain their effectiveness and safeguard your property and its occupants effectively.

Electrical Systems

Regular inspections of the property’s wiring should be conducted to identify potential hazards. Pay close attention to signs of damage, exposed wires, or overheating. Additionally, the installation of Ground Fault Circuit Interrupters (GFCIs) in areas prone to moisture, such as kitchens and bathrooms, is a critical safety measure.

GFCIs promptly cut off power in the event of an electrical fault, preventing electric shocks and potential fires. Furthermore, routine circuit breaker maintenance is essential. Periodically check your circuit breaker panel for signs of overheating, corrosion, or tripped breakers.

Ensure that circuits are properly labeled for easy identification during emergencies. Tenants should be educated on how to safely respond to power outages, electrical shocks, or other electrical issues. Immediate reporting of problems to a qualified electrician is essential to address issues promptly and avoid potential hazards.

Plumbing and Water Safety

Regular inspections for leaks and water damage are essential preventive measures. These inspections should include checking for dripping faucets, running toilets, and any signs of water damage to walls, ceilings, or floors. Properly functioning plumbing fixtures, including faucets, showerheads, and toilets, not only contribute to water efficiency but also reduce the risk of leaks and wastage.

Water heater safety is another crucial aspect, involving regular maintenance, checking for temperature and pressure relief valve functionality, and addressing any unusual noises or leaks. For older properties, it's imperative to address potential lead and asbestos concerns, especially in plumbing materials. Ensuring that plumbing components are free from these hazardous materials is vital for tenant health and safety, and local regulations may also require it.

Structural Integrity

Ensuring the structural integrity of your rental property is not just a matter of safety but also a safeguard for your investment. Begin by conducting thorough building inspections and assessments periodically, preferably with the assistance of a qualified professional. Moreover, pay particular attention to roof and foundation maintenance. Leaky roofs and cracked foundations can lead to extensive water damage and compromised structural integrity . Regular inspections and timely repairs are key here.

Home Security

Don't overlook the significance of window and door security, as these entry points are critical for both safety and protection against intruders. Robust locks and secure frames can provide tenants with peace of mind. You can also consider adding a home security systems and outdoor, motion sensor lighting to ensure tenants comfort and safety.

Pest Infestation Prevention

Pest infestations can be a major headache for landlords and a source of discomfort for tenants. Implementing effective pest prevention measures is crucial for maintaining a safe and habitable rental property.

This includes regular inspections and promptly addressing any infestations that may arise. Encouraging tenants to maintain cleanliness and report pest issues promptly can also play a significant role in prevention.

Paint Safety

Paint safety is a critical aspect of maintaining a safe rental property environment. Firstly, it's essential to be vigilant in identifying lead-based paint hazards, especially in older properties. Regular inspections can help detect potential risks associated with lead-based paint, which can be harmful, particularly to children and pregnant women.

Secondly, strict compliance with lead paint disclosure regulations is non-negotiable. Ensure that you follow all local and federal regulations when it comes to disclosing the presence of lead-based paint to tenants, providing them with the necessary information to make informed decisions.

Appliance Maintenance

Proper appliance maintenance in your rental property is essential for the safety and satisfaction of your tenants, as well as the longevity of your appliances. Regular inspections and upkeep can prevent unexpected breakdowns.

Incorporate a schedule for routine appliance maintenance into your property management plan. This may involve cleaning the properties filters, coils, and vents , as well as checking for any loose electrical connections or water leaks. Address any maintenance or repair needs promptly to prevent costly headaches down the line.

Bottom Line

Ensuring that your rental property meets safety standards is not just a legal obligation; it's a commitment to providing a secure and comfortable living environment for your tenants.

It's imperative to stay informed about the ever-evolving safety regulations and codes, schedule regular inspections, and proactively address safety concerns.

For expert guidance on property management and safety standards, consider reaching out to Advantage Realty Services. Contact us to learn more about how we can assist you in maintaining a secure and compliant rental property!

How To Finance Investment Property

Fri, 01 Sep 2023 15:42:29 GMT

Are you a landlord looking for that next great property to expand your portfolio but don’t know how to finance it? Real estate investing is an exciting but often challenging endeavour, especially when it comes to securing the funds needed for acquisition.

Whether you're a seasoned property owner or a first-time landlord , this guide will help you navigate the intricate world of investment property financing. From traditional mortgage loans to creative financing options, we'll lay out the routes you can take to turn that investment goals into a tangible assets generating monthly income.

List of Options to Finance Investment Property

Here is a list of options to help you finance your next property, each with their own set of advantages and considerations:

Conventional Bank Loans

The first option most investors consider is the conventional bank loan. Banks and mortgage lenders offer these loans, and they usually require a 20-25% down payment. The process of obtaining one involves credit checks, proof of income, and a review of your debt-to-income ratio.

The benefit of this option is you can often find lower interest rates, which means less money out of your pocket over the long haul. However, the process can be cumbersome and lengthy, sometimes taking up to 60 days to close. If you have a solid credit history and aren't in a rush, this is a reliable path to consider.

Hard Money Loans

What if you’re presented with a fantastic investment opportunity but need the cash right away? You can opt for hard money loans! These are short-term loans provided by private investors rather than traditional financial institutions.

The key advantage to this financing options is speed. You can get a hard money loan in a matter of days, sometimes even hours. But there's a catch—the interest rates are often between 10-20%, and the terms are much shorter that other loans, averaging 12 months. This option is excellent if you're looking at a fixer-upper that you intend to sell or refinance quickly. However, due to the high interest rates, you don't want to hold onto it for long.

Private Money Loans

Private money loans are somewhat similar to hard money loans, but instead of getting funds from professional lenders, you're borrowing from someone you know—like a friend, family member, or business associate.

This could be an easier sell than convincing a bank to loan you money. Interest rates and repayment terms are generally negotiable, offering you flexibility. The significant advantage is that you might sidestep some of the red tape you'd encounter with a conventional loan. But be careful; mixing money and personal relationships can be risky. Make sure to draft a formal agreement to keep things transparent and protect both parties.

Tapping Home Equity

If you already own property, particularly your primary residence, and it has appreciated in value, tapping into your home equity could be a smart move. You have two primary options: a Home Equity Line of Credit (HELOC) or a Home Equity Loan.

A HELOC works a bit like a credit card; you can borrow up to a certain amount during the 'draw period' and pay interest only on what you borrow. Home Equity Loans , on the other hand, provide a lump-sum amount, and you start paying interest on the full sum immediately. Both options typically offer lower interest rates than hard or private money loans because they're secured by your home. However, defaulting could put your home at risk so you must balance your finances accordingly.

What is Needed to Qualify For Financing an Investment Property?

The criteria can differ substantially depending on the type of lender and the loan in question. For instance, private lenders might primarily value a pre-existing relationship with the borrower. Hard money lenders, on the other hand, could be more concerned with the health of the real estate market and a favourable estimated after-repair value (ARV). When it comes to home equity loans, HELOCs, and traditional loans, expect these lenders to enforce the most stringent requirements, particularly in areas like income and credit score.

Other Factors To Consider

It’s important to keep the following factors in mind while planning to finance your next property investment:

Making a Sizeable Downpayment

One of the cornerstones of financing a real estate investment property is the downpayment, and the larger it is, the better. Unlike the downpayments for primary residences, which can sometimes be as low as 3-5%, investment properties often require heftier upfront payments—typically between 20-30%. Submitting a larger downpayment matters for several reasons:

Lower Interest Rates: A significant downpayment often unlocks lower interest rates, saving you money over the life of the loan.
Easier Approval: Lenders are more inclined to approve loans when the borrower has more to offer, reducing the lender’s risk.
Positive Cash Flow: A substantial downpayment usually results in lower monthly mortgage payments, which can be beneficial for improving positive cash flow from your rental income.

Being a Strong Borrower

The term "strong borrower" doesn't just refer to having a decent income; it encompasses a range of financial indicators that make you an attractive candidate for lenders. This provides you with the following benefits:

Competitive Rates: Strong borrowers can negotiate better terms and interest rates on their loans.
Higher Loan Amounts: Being a financially stable borrower could mean you're eligible for a more significant loan amount.
Easier Approval: A strong financial standing makes you a lower-risk candidate, increasing the likelihood of loan approval.

Bottom Line

Whether you're leaning toward a conventional bank loan or considering more creative avenues, the key is to understand your options and assess what works best for you. Once you've got that property, you need to consider its management. That's where Advantage Realty Services can step in. We take the hassle out of property management so you can focus on growing your real estate empire. Contact us today to learn about our services!

What to Do with Mail from Previous Tenants: A Guide for Landlords

Fri, 21 Jul 2023 15:11:02 GMT

The end of a tenancy can be a stressful time for landlords. Not only do you need to ensure your property is clean and in good condition, but also have to work on putting it back on the market . The last thing you’d want to deal with is mail left behind by your former renters.

Ideally, when a tenant vacates your property, they’ll make sure to inform you and the USPS of their address change. Unfortunately, this doesn’t always happen and it’s up to you, the landlord, to figure out what to do with their mail. To better help you better deal with these situations, the experts at Advantage Realty Services will go over the best strategies to deal with mail from former tenants, as well as tips on how to avoid this problem in the future.

What Not to Do with Mail from Previous Tenants

While it may seem like a simple solution, throwing away a former tenant’s mail is not recommended. And you shouldn’t try to open or destroy it either as this is illegal. This is considered an obstruction of correspondence and a person can be fined for this felony or even face up to five years in prison.

So, what happens if you accidentally opened mail from previous tenants thinking it was for you? In such a situation, you’re not likely to be liable. So, instead of worrying, you should re-seal the package or envelope, write “return it to the sender,” and leave it in the mailbox.

Additionally, it’s important that you know that you, as a landlord, don’t have the responsibility to hold a former tenant’s mail for any extended period. After all, storing letters and packages for long can become an inconvenience. Instead, it’s best to return the mail so it can be sent to the original sender or your tenant’s new address.

What to Do with Mail f rom Previous Tenants

Moving out can be stressful, so it’s normal for tenants to forget things like giving the USPS their new address. If you receive mail from a former renter, the best course of action would be to contact said tenant. After you inform them of the issue, you can work to find a solution and ask them to change their address to stop this from happening in the future.

If you’re not able to contact the former renter or have contacted them and the issue persists, don’t worry! Here are some things you can do to stop receiving mail from former tenants:

Send it to the Tenant’s New Address

If a landlord knows their pervious tenant’s new address, they can forward any mail that arrives to their property. The only thing a landlord will have to do is cross out the USPS barcode and the tenant’s old address, then they simply have to write in their new address, and put the mail or envelope back in the mailbox. The drawback is that it’s not a permanent solution as it’s not sustainable in the long run.

Return it to the Sender

If you don’t have your previous tenant’s new address, you can return their mail to the sender. To do this, write “Return to Sender” on the package and put it back in the mailbox. The post office will then try to forward the mail to your tenant’s new address. If they don’t have it, they’ll return it to the sender. In most cases, both the sender and the post office will update their records and stop sending mail to your property.

Put Up a Sign

If you don’t have time to return the mail, you can simply leave a sign in the mailbox that says, “[Previous tenant’s name] no longer lives at this address.” The mail carrier will take note of this and sort out any mail addressed to said tenant. The only drawback is that signs can be easily destroyed or misplaced. So, you’ll have to check it constantly to ensure it’s in its place.

Reach Out to Postal Services

If you want to ensure there are no misunderstandings, you can talk directly with the mail carrier or to the station manager at your local post office. Let them know that the former tenant no longer lives in the property and that you don’t want to keep receiving their mail. This way, they can sort out the mail from your previous tenant before it arrives at your home.

How to Stop Receiving Mail from Previous Tenants

The best thing you can do to avoid getting mail from a previous tenant is to ask them to change their shipping address by their move-out date. All they’d have to do is fill out a Change of Address form at your local post office. This simple act can you a lot of time and effort in the long run.

If your renter forgets to change their shipping address, you can easily contact them and make the request again. But you should never try to make this change for them. To fill out the Change of Address , you must be the receiver, guardian, or authorized agent. If you fill out said form without authorization, you could be fined or even go to prison.

Bottom Line

No one wants to deal with someone else’s mail. Unfortunately, this is a common issue for landlords. It’s best to return any packages sent to your address, forward them to their new address, or contact your local postal services to resolve this problem.

Do you need help managing your rental properties? Contact Advantage Realty Services ! With our property management services, we’ll ensure that your investments are properly taken care of!

Why Pet Screening is Always a Good Idea

Tue, 27 Jun 2023 18:47:51 GMT

The number of pet owners increases. This influx in pet ownership has even led to more businesses catering to pets nowadays. You can also observe that this trend extending to rental accommodations that welcome tenants with pets.

Landlords must, therefore, consider adjusting to this trend and be open to offering a pet-friendly rental unit. Having an open pet policy contributes to a higher income and gaining more prospective tenants. But landlords also need to perform a meticulous pet screening to protect their rentals from damage.

If you don’t have a pet screening system in place, you can end up dealing with noise complaints, injuries from aggressive pets, and property damage. Creating a pet screening procedure is vital when you plan to be a pet-friendly rental space.

What is a Pet Screening?

Before you allow a renter to reside in your rental property, you always assess if they have a good tenant history. This should, therefore, also applies to pets. You want to ensure that their pets are disciplined and that their health condition, behavior, and personality meets your standard. You can screen the pets or hire a professional to do it on your behalf. You can screen pets through in-person meetings, requesting a submission of application forms, and health screening documents.

What are the Pros of Accepting Pets in Your Rental?

Here are some of the benefits of renting to a tenant with a pet:

Renters Tend to Stay Long-term - Pet owners generally want to live in a rental that offers comfort and familiarity to their pets. What’s more, given the challenges of finding pet-friendly spaces in Florida , they’re not likely to risk moving.
Plenty of Potential Renters - Since you’re open to accepting pet owners, you expand your market reach and have more high-quality residents to select from. Not all rental properties allow tenants with pets so this can be a great advantage to you.
Draw in Responsible Tenants - Having a pet means being used to performing daily tasks. Owning aper can also be a major financial undertake. As such, it’s reasonable to expect pet owners to carry out their tenant duties consistently given their level of responsibility.

Pet Screening Application

You can start by crafting a questionnaire to learn the essential information about pets. Ask questions like:

What kind of pet and breed does the tenant have?
How much does the pet weigh?
How old is the pet?
How long did the tenant own the pet?
Can they submit proof of pet vaccines?
Did the pet undergo house training?
Are there any issues with pet behavior?

You want to learn the following information from the tenant who owns a dog:

Plans to spay or neuter
Attendance of dog training class or plans
Familiarity of the dog in wearing a leash
Pet cleanup guarantee from the tenant

You want to learn the following information from the tenant who owns a cat:

Plans to spay or neuter
Familiarity of cats in using a litter box
Cat registration and ID

Once the application is submitted by the potential renter, you can proceed with a face-to-face meeting

Meeting In-Person

Though the questionnaire reveals vital information, nothing can replace an in-person pet screening. For one thing, you need to verify if the information provided is accurate. Note that while conducting an in-person screening, you should manage your expectations. Pets may appear nervous when a stranger interacts with them. If you lack experience in screening pets, you can opt to engage a third-party service provider to complete the pet screening procedure.

What Pet Clauses Should Be Part of the Leasing Agreement?

Landlords should remember to include pet policies and clauses with the lease or rental agreement. Make sure it has the following information:

Type of screening applied
Types of pets allowed
Fees and deposits that must be paid per pet policy

What Kind of Pets Require Screening and How Often Should the Screening be Done?

Ensure that you screen all types of pets to avoid any discrimination issues. What’s more, changes can also occur throughout the year so requiring pet owners to submit updated documents when they renew the lease is a good practice. Screening pets when a renter renews is typically simpler in comparison to the initial pet screening. But monitoring the pet’s health is vital to avoid any issues later on.

What Are the Guidelines on Service and Emotional Support Animals?

Each state has its own laws when it comes to service animals and their rights. You can request potential tenants to get a letter from a health professional when they’re bringing in a service animal. Note that you can’t access the renter’s medical records or require a pet deposit. If damage happens outside wear and tear, you can, however, ask the tenant to pay for repairs.

How to Handle Pet Fees and Deposits?

Screening pets requires costs and collecting pet fees. However, service animals are exempted from them. Make sure to be aware of what the local laws are before stating any pet fees, pet rent, or pet deposit in your lease agreement .

In general , three types of pet fees can be charged:

A one-time fee is mostly non-refundable and can be paid at the start of the lease. The entire tenancy period can be covered but some states ban non-refundable fees. Check on your local and state laws before asking a renter to pay a one-time fee.
Monthly pet rent is an extra fee paid aside from the regular rent paid to the landlord.
A pet deposit is collected separately from the security deposit a landlord requires at the beginning of the lease. The deposit can be refunded to the renter if the rental continues to be in an outstanding condition.

Bottom Line

To combat the risks of accepting pets, develop a solid pet screening procedure. If you’re looking for a trusted property manager to handle your pet-friendly rental, contact Advantage Realty Services today!

How to Transition from Part-Time to Full-Time Landlord

Wed, 31 May 2023 12:57:16 GMT

If you've been a part-time landlord for a while, making it your full-time job may seem daunting. Taking on more responsibility and tackling new challenges can be intimidating, but becoming a full-time landlord offers many benefits like financial security, career stability, and personal satisfaction. If you already have some experience as a part-time landlord, transitioning to full-time is achievable! In this blog post, we at Advantage Realty Services will share what it takes to switch from part-time to full-time landlord!

Why Transitioning from Part-Time to Full-Time Landlord is a Good Idea

Transitioning from a part-time landlord to a full-time landlord is a good idea for the following reasons:

Increased Income Potential

Moving from part-time to full-time landlord can give you a significant boost in income. You can give your energy and most of your time to managing your rental properties, which means you can maximize profits.

Enhanced Control and Flexibility

Being a full-time landlord gives you greater control over the rental properties. Furthermore, you'll have the flexibility to make changes as you see fit to increase the value of your rental properties.

Improved Knowledge and Understanding

Becoming a full-time landlord will teach you more about the rental market. You'll be able to keep yourself up-to-date on the latest laws, regulations, and industry trends that can help you maximize profits.

Cut Cost

Being a full-time landlord also means that you'll be able to save on costs. You can benefit from tax deductions related to being a landlord, such as deductions for repairs and maintenance costs, utilities, and loan interest paid on your rental properties .

Tip for Transitioning from Part-Time to Full-Time Landlord

Here are some tips to help you success as a full-time landlord:

Develop A Business Plan

The most important step in transitioning from part-time to full-time landlord is to develop a business plan. A good business plan helps define the scope of your operations, budget accordingly, identify and address potential risks, and set realistic goals. The following are essential components you need to include in your business plan:

Your goals and objectives
Target markets
Financial projections
Strategies for acquiring new properties and managing existing ones
Research local markets to identify suitable areas for investment
Budgeting for each property (purchase or rent)
Risk assessment and mitigation strategies
Tracking system for monitoring progress and performance

By mapping out your action plan, you'll be better prepared to make sound decisions to help you achieve long-term success as a full-time landlord.

Build A Support Network

In addition to a business plan, you must build a support network. Start by connecting with experienced landlords who can provide valuable insights on rental property management and investing. You can also reach out to other real estate professionals in the industry who can offer advice on everything from finding tenants to navigating tenant disputes.

These experts will provide you with valuable information that can help streamline your transition into full-time landlord status. Use them as a resource to get advice and answers to your question and learn best practices.

Scale Up Your Property Portfolio

Once you've understood the rental market and the legal aspects of being a landlord, it's time to start looking for additional properties. There are numerous ways to expand your real estate portfolio . Whether investing in single-family homes, multi-unit apartments, vacation rentals, or commercial properties, your options for adding to your income stream are vast.

Whichever route you choose, keep an eye on potential investments and perform due diligence before purchasing. Consider the home's condition, local market trends, future development plans, and the neighborhood when evaluating a property. Additionally, be sure to factor in estimated repairs that may need to be completed before you can start renting out the property.

Save Up for Unexpected Expenses

Before relying solely on rental income, ensure you have enough savings and emergency funds to cover the mortgage payments on any rental properties you plan to invest in. Also, ensure you have a separate savings account for rental income to access it quickly.

Choose Your Tenant Wisely

Screenings are the best way to ensure you get reliable tenants. Do background checks, verify their references, and interview them. Before signing the rental agreement, you should also ask for a security deposit to cover damage or non-payment. Follow up with your tenants and enforce the rules outlined in the lease. Ensure they meet all their obligations, such as paying rent and maintaining the property.

Expand Your Knowledge

Take some time to research your local rental laws and familiarize yourself with tenants' rights. By having plenty of knowledge about being a landlord, you can make smart decisions and comply with all relevant laws. You should also look into ways to keep up with current trends in the industry. Knowing the rental market will help you set rent prices competitively , ensuring that quality tenants always occupy your property.

Hire Property Management Company

If you don't have the expertise to be a landlord or want to dedicate more of your energies elsewhere, it might make sense to hire a property management company . Landlords can benefit from a proficient property management company that can assist in managing various aspects of their rental properties, such as tenant selection, rent collection, and repairs.

Bottom Line

Transitioning from a part-time to a full-time landlord may be challenging, but it’s a worthwhile endeavour. Embrace the possibilities, seize the opportunities, and unlock the potential for financial and personal fulfillment as you embark on becoming a successful full-time landlord.

Contact Advantage Realty Services now and make your transition from part-time to full-time landlord a seamless and rewarding experience. Our experts are here to support you every step of the way!

Important Factors for Real Estate Investing

Fri, 28 Apr 2023 13:08:12 GMT

One of the best ways to earn generous returns is by investing in real estate. In fact, real estate investment is one of the most lucrative forms of investment that attracts investors from different walks of life.

However, investing in real estate is a complex process that requires proper knowledge of the market. If you want your rental to be profitable, you need to consider the following factors carefully:

1. Location

Location is the first thing that you need to consider when investing in real estate, as the area where you invest in can either make or break your ability to succeed. The location of the property can determine its value and potential return on investment. It’s important to invest in a property that is situated in a place with high demand for rental property or homes for sale. Properties located close to amenities like schools, hospitals, shopping centers, for instance, and public transportation tend to attract higher rental rates and appreciation in value.

2. Economic Indicators

Economic indicators such as GDP growth, employment rates, population growth, and job opportunities should be analyzed before investing in real estate. Areas with strong economic growth and high employment rates tend to attract more tenants and buyers, making property investment more lucrative.

3. Property Condition

Another important factor to consider before buying an investment property is the condition of the house. Investing in a property that is structurally sound and in good condition reduces the risk of incurring high repair and maintenance costs.

In contrast, if you buy a property that has major issues, you will end up spending more on repairs and not being able to rent or sell the property right away because the renovations may take longer.

4. Market Trends

Real estate investment should be guided by the current market trends. Investors should consider factors like the demand for rental properties and property prices in the market. Investing in a market with low demand for rental properties and a slowdown in price appreciation can lead to lower rental rates and poor returns on investment.

5. Investment Strategy

There are several ways for investing and earning money from real estate. You must, therefore, identify your preferred investment strategy before buying a property. Here are a few ways you can make money in real estate:

Buy and Sell

You can buy a home that’s ready for occupancy and sell it for a profit. This works in a market with a high buyer demand.

Buy, Fix, and Sell

Also known as fix-and-flip, you can find a fixer-upper and have it renovated. Then you can sell the house for a profit after it’s been repaired. Make sure not to buy a property with major repair issues, as this can lead to higher costs and longer renovation process.

Buy and Rent Long-term

A popular real estate investment strategy is to buy a property, have it fixed, and rent it out to tenants. This strategy is best in markets with high demands for rentals, especially those where renting a home is a more practical option than buying one.

Buy and Rent Short-term

Investing in short-term rentals means you rent out your property to guests for less than 30 days. Usually, short-term rental investors list their homes on platforms like Airbnb or VRBO. This strategy is ideal in markets frequented by visitors and those where tourism is strong.

Buy, Use, and Sell

If you are not in a hurry to realize a return on your investment, you may use the property yourself after buying it, and wait for the value to appreciate before deciding to sell it. This strategy is best in a location where the appreciation rates are high.

6. Financing Options

Before investing in real estate, it is important to consider the available financing options for you. As a real estate investor, you can use sources of funds like personal savings, mortgages, or partnerships to help you acquire a property. Before making a purchase, however, it is advisable to compare different financing options and choose the most favorable one based on interest rates, terms, and repayment schedules.

7. Cash Flow

Cash flow is the net income generated by the property, and it’s a vital factor to consider when investing in real estate. Cash flow can be calculated by subtracting expenses such as mortgage payments and maintenance costs from the property’s revenue generated through rent or resale. A positive cash flow indicates a profitable investment, while a negative cash flow suggests an investment loss.

Obviously, you need to find a property that generates a positive cash flow to be profitable. You need to do your research and compare similar properties in the area to know how much cash flow you could possibly generate from a particular investment property. This can help you make the right decision.

8. Legal Considerations

Investing in real estate requires compliance with legal requirements such as zoning regulations, property taxes , and insurance policies . It’s important to understand the legal considerations before investing in real estate to avoid costly penalties or legal disputes.

Note that different locations may have different legal requirements, so it’s a wise idea to visit the local government offices where you plan to invest in real estate to check if there are restrictions that you should be aware of. If you plan to rent out your property, make sure to research the landlord-tenant law and short-term rental regulations in the area of your choice and ensure that the law is favorable to you as a landlord.

Bottom Line

Investing in real estate can generate significant returns for investors. To be successful, you need to consider the factors mentioned above to ensure that you are making the right investment decisions that lead to profitable returns. If you would like help managing your investment properties, partner with a trusted property management firm like Advantage Realty Services. Contact us today to learn about our services!

Renewal Screening Checks

Tue, 28 Mar 2023 20:08:23 GMT

The easiest way to reduce tenant turnover is by retaining the tenants you already have. As such, it comes as a no-brainer when a tenant wants to renew their lease for another term.

That said, rushing to renew a lease without conducting a renewal screening check can lead to issues down the road. At worst, you may even be forced to evict the tenant from your rental property.

That’s why lease renewal screening is important. It will give you peace of mind knowing that your cash flow and investment are protected. You’ll also get to know how the tenant has fared since they started renting your property.

Were they consistent in paying rent? Did they take good care of the property by maintaining it and reporting issues? Did they abide by the terms of the lease agreement?

In this post, you’ll learn everything you need to learn about renewal screening checks.

Benefits of Renewal Screening Checks

Why shouldn’t you skip a renewal screening check? You’ll be able to save yourself some potential costs. Conducting a screening check will help you know about any issues your tenant is facing.

Identifying and fixing issues earlier on will ensure you’re able to minimize any potential tenant damages and avoid hefty repair costs. It may also save you from a potential lawsuit.

Conducting a screening check shows that you care for the well-being of your tenant and want to keep them happy . A renewal screening check can also guarantee you peace of mind. This is the ultimate goal of any tenant screening process.

What to Look for When Conducting a Renewal Screening Check

Renewal screenings are somewhat similar to initial tenant screenings, but easier to do. New resident screenings usually take a lot of time as they involve the collection of a ton of information. This isn’t the case with lease renewal checks.

Credit Report

A dream tenant is one with a good credit score . A good credit rating provides a complete overview of a tenant’s financial standing. With that in mind, credit scores may change between leases.

As such, it’s important to obtain another report at the time the tenant is renewing their lease to verify their creditworthiness. You may be able to obtain a credit report from any of the three major credit reference bureaus. That is, Experian, Equifax, and TransUnion.

Generally speaking, you should only consider tenants with a credit score of at least 620. Tenants with a lower credit score may indicate a high risk of default on rent payments.

Level of Income

It’s possible for a tenant to lose a job or change jobs between leases. That’s another reason to conduct a renewal screening check on a tenant.

Doing income verification is beneficial to a landlord in two ways. One, it verifies whether a tenant is truthful or not. And two, you’ll be able to know whether a tenant is earning enough to afford rent payments.

You may be able to verify a tenant’s level of income in a number of ways. You can ask for a W2 form. This will show the tenant’s income from the previous tax year. You can also make a call to their employer and make important inquiries.

Criminal Background Check

It’s important to check a tenant’s criminal background. Find out whether the tenant has engaged in any relevant criminal activity between leases.

Make sure, however, to first obtain written consent and approval from the tenant before running the check. Running it while the tenant is unaware is illegal.

Tips to Ensure the Renewal Screening Check Is Successful

Conduct a “Soft Check” on the Tenant

Once you have taken care of the formalities, don’t forget to do a “soft check” on the tenant. The following are some of the things you should ask yourself:

Has the tenant paid rent on time?
Has the tenant respected the implied covenant of quiet enjoyment ?
Have there been other issues with other residents when it comes to shared spaces and amenities?
Has the tenant observed the rules and policies in the lease agreement?
Has the tenant cared for their rental premises?

Be Aware of the Fair Housing Act

Failure to understand the Fair Housing Act can be a grave mistake for you as a landlord. Violations don’t come cheap! Penalties often range from a low of $16,000 to a high of $65,000.

The following are some tips to help you conduct an FHA-compliant lease-renewal screening process:

Be consistent. In other words, carry out the process in the same exact way. Going with your gut feeling can leave you open to potential discrimination claims.
Require the same information from all prospective tenants. It’d be discriminative, for instance, to require a credit report from a Hispanic renter and not a White renter.
Write proper rental ads. Avoid including discriminatory language in your rental ads.
Familiarize yourself with the state-protected classes. In Florida, the protected classes include race, color, religion, nationality, familial status, and pregnancy. Discriminating against a tenant based on these classes is illegal.

Make the Process Smooth for Tenants

Let the tenant know about the renewal terms, including renewal screening checks. This will ensure that the tenant isn’t blindsided when the time for lease renewal comes.

Conclusion

This is everything you need to know when it comes to doing renewal screening checks. If you have any questions, need help conducting a screening check, or need expert property management help, Advantage Realty Services can help!

We’re a reputable property management company that provides Tampa investment property owners with professional help. We can help you fill vacancies, screen tenants, collect rent, maintain your property, evict difficult tenants, and handle paperwork, among other things. Get in touch to learn more!

Rental Documents Landlords Need

Tue, 21 Feb 2023 20:51:58 GMT

Becoming a landlord has many benefits, like having an extra source of income. However, it also comes with many responsibilities, including property maintenance , accounting, and dealing with paperwork. A landlord needs to keep track several rental documents, like lease agreements and rental inspection reports. But keeping track of all documentation can be as time-consuming as a full-time job.

Not only do you want to ensure you keep all the necessary documents safe, you must also organize them for easy access. Many landlords keep online backups of important documents in the cloud to avoid misplacing important documents, but physical copies are still vital to running a smooth rental operation. Keep reading to learn which essential rental documents landlord’s need and how to best manage this paperwork.

Why Landlords Need to Do Paperwork

Owning a rental property means operating a business. Like any business endeavour, this includes handling paperwork. Landlords should keep records of lease agreements, payment notices, inspection reports, and other vital documents. Some of the main reasons why landlords and property managers keep track of this documentation include:

Accountability - Having a copy of documents such as rental agreements is a surefire way to hold both landlords and tenants accountable. For example, the lease agreement allows both parties to understand their rights and responsibilities.
Legal Protection - Copies of most rental documents can come in handy in case of a court hearing. For example, a copy of the signed lease agreement can serve as evidence in your favor during a rental dispute case.

Accounting - Keeping track of all the paperwork of your rental property will come in handy when handling the finances. Security deposits and rent receipts, for example, are great for keeping track of all the money you collect.
Efficiency - With a consistent tracking and storage system , it’ll be easier for you to keep track of the documents that need to be signed, reviewed, or backed up. Once you have your system up and running, you’ll have more free time to focus on other aspects of your investment.

What Rental Documents Landlords Should Keep on File

As a landlord, there are many documents related to current and active leases that you should always have on hand. It’s best to keep copies of these documents even after a lease has ended to ensure you have all the information you need in case an issue arises. Below are the four documents rental property owners should always keep on file:

1. Lease Agreements

The most important document that landlords need to have on hand and filed for safe keeping is the lease or rental agreement. This contract between the landlord and the tenant stipulates the basic rights, rules, and obligations of both parties during the rental process. A good lease agreement will help you avoid any issues that might arise.

You should keep a physical copy of the agreement during the entirety of the lease period and up to a year after the lease has ended. You should also keep a digital backup in case something happens to the original.

2. Lease Amendments

These documents reflect all the modifications done to the original lease agreement, whether it’s adding or removing clauses or updating existing ones. Lease amendments are as important as lease agreements, so you should always keep the hard copy on file and a digital backup.

3. Rental Inspection Reports

General, move-in, and move-out inspection reports allow you to document the condition of your property throughout the leasing period. These documents come in handy when you need to provide a reason for keeping the security deposit or if you want to plan out future repairs or upgrades to the property.

4. Notices

You should keep all notices on file, including those for nonpayment of rent and non-renewal notices. You should also keep track of when the notices were sent and received, as well as any follow-ups that may have been sent. All this information can be critical in case of a court hearing.

What Documents Landlords Need from Tenants

As a landlord, you need to ensure your tenants are reliable and trustworthy. Some of the documents you can ask for from prospective tenants include an application form, written permission to run a background check, and financial documents such as pay stubs or W-2s, as well as mailing addresses even if they're moving out.

You can also ask them to provide reference letters or proof of tenant insurance. Keeping these documents on file will allow you to assess the tenants qualifying criteria and help you in case any issues or complaints arise.

What Documents Landlords Need to Give Tenants

Landlords should always provide tenants with security deposit recipes and lead-paint disclosure notices. In addition to this, it’s important to provide tenants with a copy of the lease agreement. This way, they’ll understand the full extent of their rights and responsibilities. Note that landlord-tenant laws differ in every state. If you’re planning to rent out a property in Tampa remain up-to-date on Florida ’s laws so you don’t forget vital documentation.

How to Organize Your Rental Paperwork

Organizing your rental paperwork can be a hassle but it’s a crucial task. A simple way to keep all documentation in order is to have separate, organized file drawers or files on your computer. These files can be classified by year, tenants, or each property you own. This way, you’ll always know where to find the necessary information. Once you have a system in place, it’s important to document everything, like rental applications, pet screening records , invoices, receipts, and tenant requests. Putting these things on paper will come in handy when you’re tracking finances or editing lease agreements.

Bottom Line

Becoming a landlord has many benefits, but it also comes with responsibilities such as keeping track of paperwork. Organizing and storing all the documents you need can be as time-consuming as a full-time job. Luckily, the team at Advantage Realty Services is here to help you. We’ll handle all the paperwork and management of your properties on your behalf!

What Maintenance Issues Are Emergencies and What Can Wait For Regular Business Hours?

Mon, 30 Jan 2023 13:36:52 GMT

When owning and managing a rental property, one of the most significant responsibilities is knowing when to respond to maintenance issues. Not all problems need your immediate attention. But, while you can handle some issues during regular business hours, other scenarios require urgent and immediate attention.

Your tenants rely on you for quick responses to keep their homes safe and operational, so it’s essential to identify which maintenance issues are true emergencies versus those that can wait until regular business hours.

In this blog post, we at Advantage Realty Service will discuss how landlords can properly assess emergent vs. non-emergent maintenance requests and what steps must be taken if an issue becomes an emergency.

What Are Emergency Maintenance Issues?

Emergency maintenance issues are any repair or maintenance task that needs to be done immediately due to a potential threat to safety, security, or health of the residents and property. Emergency maintenance could include:

Water leaks
Broken windows or doors
Flooding
Fire or smoke damage
Loss of heat or air conditioning
Carbon monoxide detection
Electrical hazards or power outages
Intruder break-in
Structural damage or safety hazards
Gas leaks

It’s essential to respond quickly to any of these emergency maintenance issues. In some cases, emergency maintenance may even require the evacuation of a building or area. Emergency maintenance issues often require immediate action to prevent additional damage or injury. It’s essential to address emergency maintenance as soon as possible to minimize potential harm.

Tips to Address Emergency Maintenance Issues

Knowing how to identify, address, and document maintenance emergencies can help ensure your facility's and occupants' safety. Here are some tips on how to address emergency issues:

Create an Emergency Plan

Develop a plan of action to coordinate all aspects of the response when emergencies arise. This can include who will be responsible for each task and how resources will be allocated. You should also assign roles to determine who is in charge of handling emergency calls, monitoring repair progress, or managing supplies.

Provide 24/7 Answering Service

Providing 24/7 emergency service is essential to ensure that tenants can reach someone quickly, regardless of the time of day. This includes providing a phone number or email address that is staffed by someone who can respond to emergency requests or redirect calls to the appropriate person.

Keep Communication Open

Maintain communication once the problem is reported. Provide regular updates to tenants and employees about the status and improvement of the rally. You can do this through email, text message, or other communication channels, such as a building website or mobile app. Note that it’s best to have these updates in writing.

Understand the Issue

When responding to an emergency maintenance request, always understand the issue. This will help ensure that the right resources are allocated and that efficient steps are taken to address the it.

Document Everything

Documenting all aspects of an emergency is key for proper reporting, tracking progress, and prevention in the future. Keeping detailed records of each incident with photos, the date and the time it was reported, descriptions of the problem, and any actions taken to resolve it, can help inform future decisions.

Make Yourself Available to Answer Questions

Regardless of the maintenance issue, it’s important to make yourself available to answer any questions tenants or employees may have. This means being willing to respond promptly and providing clear communication , instructions and directions on what needs to be done to address the situation safely.

Establish Positive Relationships with Vendors

Having an excellent relationship with vendors can be a significant asset. Having a good rapport means that they will be more likely to come to you in an emergency, and they may even have access to resources that can help speed up the process of resolving the issue.

Establishing trust and communication with your vendors can also ensure that all parties involved are on the same page regarding the issue's nature and potential solutions. Additionally, it’s essential to be open and honest with your vendors about any problems you may be experiencing as this will allow them to understand your needs better and provide more meaningful support.

What Maintenance Issues Can Wait for Regular Business Hours?

It's essential to call for maintenance services when necessary, but some minor problems can wait until regular business hours. Common ones include:

Minor plumbing issues
Malfunctioning thermostats
Jammed windows
Leaking faucets
Nonfunctional lights or ceiling fans
Issues with outdoor lighting and landscaping
Minor HVAC issues
Minor cosmetic repairs

How to Address Non-Emergency Maintenance Issues

The followings are tips to address non-emergent issues:

Provide Answering Service

The landlord can only attend to some maintenance issues as soon as they arise. To ensure that tenants receive timely help, a landlord must set up an answering service. The service will provide tenants with the necessary information on handling the issue and when they can expect it to be resolved.

This can help tenants avoid unnecessary delays in resolving the issue and provide tenants with a sense of security that the problem is being addressed quickly. Note that just because it isn’t emergent, doesn’t mean you should take prompt action during regular business hours.

Hire A Property Management Company

For landlords who want to avoid handling the maintenance issues themselves, it’s essential to consider hiring a property management company. They will be able to provide tenants with all the necessary information about how to handle maintenance issues with all the required resources.

Bottom Line

Awareness of the maintenance issues that should be addressed during regular business hours and those that require immediate attention is essential. While minor issues can usually wait until normal operating hours, it’s essential to recognize and address potential safety hazards as soon as possible.

If you would like help managing your rental properties , contact the experts at Advantage Realty Services today!

Holdover Tenant

Thu, 29 Dec 2022 15:33:57 GMT

Although landlords encourage the residents to sign ongoing leases, it does happen occasionally that a renter will continue to occupy a home after the formal tenancy has ended. The real estate term these people are referred to as is "holdover tenants."

At Advantage Realty Services , we are aware that this circumstance could result in both good and bad consequences. So, it is crucial that you understand what a holdover tenant is and how they can impact your rental business.

Defining a Holdover Tenant

A holdover tenant is an occupant who continues to live in your property after their lease has expired. Holdover renters are a typical part of the real estate industry, but different states manage them in different ways.

Leases and Holdover Tenants

Any time a lease ends without the tenants signing a new term, holdover tenants are the outcome. According to state regulations, the terms of the outgoing lease may convert to a month-to-month arrangement. But this does not afford you with the same rights and benefits for the property that a long-term lease would.

Most tenants appreciate the holding period because it allows them to remain on the property without entering into a long-term agreement. But landlords will usually prefer that tenants agree to a new lease when it is practical.

Tenants could easily turn into liabilities or cause issues if there isn't a continuous agreement that spells out the conditions of the renting. These problems include admitting pets without approval or paying rent erroneously may be challenging to overcome when you have a renter with communication issues .

Holdover Tenant Duration

Many states usually regard a holdover renter to be a tenant for the remainder of the monthly payment term if the landlord still receives rent despite them not entering into a new contract.

For instance, a tenant is considered to have a month-to-month tenancy if the landlord begins accepting rent, which is typically on the first day of each month.

In this case, the lease may be formally terminated by either party by issuing the other one a formal notice.

For example, if it is a month-month lease, the landlord must inform the tenant that they must vacate the property at least a month before the date they are expected to. Most states mandate a written notification to be provided at least one year ahead if rent is payable in one annual "lump payment."

Potential Holdover Tenant Complications

If a tenant stays in the rental home after the contract has finished, a number of issues could occur, such as:

For obstinate tenants, different rules regarding eviction proceedings and other methods employed in landlord-tenant disputes apply. Ensure you adhere to the laws of your unique jurisdiction by carefully reviewing your state's laws.
If you have vacancy enquiries , you won't have a choice because it may be more difficult to evict a holdover tenant if they keep paying rent. While the renter continues to occupy the apartment without a lease, they may put off maintaining the property as they should.
Regulations on holdout tenants may prevent you from raising the rental price for the term of the tenant's occupancy, and possibly even beyond.

What Can I Do About A Holdover Tenant?

As a landlord, you have several options:

Permit the Tenant to Continue

This situation can be regarded as a month-to-month rental agreement as the underlying contract lacks a clear termination clause, according to the terms of your first lease and local legislation.

If these conditions were absent from your prior lease, it could be advisable for you to negotiate a new one rather than leave your channels open.

If a lingering renter pays rent, you may not evict them for violating the conditions of their lease. If you aren't sure that you're okay with a renter renting for a long time, don't collect rent from the tenant.

Apply for a Holdover Tenant Eviction

In this form of eviction, the former renter is considered a trespasser as the eviction procedure is being carried out.

If rent is received from tenants, it may be more difficult to enforce an eviction. Decline the rent offer instead of accepting it, and then send a notice to leave for exceeding the lease's allowable occupancy period.

Dissolve the Lease Agreement

While it might be tempting to continue receiving rent from the tenant, you are putting yourself in a difficult position. One of the best solutions, should the tenant not be clear on whether they are renewing the lease or not, is to dissolve the agreement.

Local provisions, in particular State Landlord-Tenant Law, should guide you on the time period that the renter will be allowed to exit the premises. Should the renter refuse to leave after the termination of the agreement, you would need to file for an eviction.

Bottom Line

The biggest issue for most landlords when a holdover first happens is that they are unaware of what to do. Especially when the duties that come with investment property ownership in Tampa Bay or the surrounding area might make it seem like a full-time job.

Consider hiring the property managers at Advantage Realty Services. We are one of Tampa's oldest property management companies , having been in business for over 31 years. In all we do, our team of committed property managers brings a solid foundation of knowledge. Contact us today!

End of Tenancy Cleaning

Wed, 30 Nov 2022 13:16:18 GMT

A landlord and tenant might have built a good relationship during the term of the lease. But during the end of the tenancy period it’s common for problems to arise. One issue that is very contentious is the end of tenancy cleaning. Often, a landlord may deem that a property is not up to par with regard to the cleaning and thus seeks to deduct a portion of the security deposit.

To prevent such a scenario and maintain the good landlord-tenant relationship you’ve have built, the team from Advantage has put together the following tips on end-of-tenancy cleanings:

What is an End of Tenancy Cleaning?

This is a process that involves the thorough cleaning of the unit or house before the expiry of the lease and the moving out of the renter. As implied above, every element of the property receives a comprehensive cleaning, from the furniture and walls, to the appliances and fixtures.

While it might be considered a courteous move, the implementation of an end-of-tenancy cleaning process is actually included in law. It’s expected that a tenant should maintain the property in a reasonable condition minus the effects of normal wear and tear.

Should the cleaning and repairs not meet the set standards, the landlord will have a claim on the security deposit. The tenant has the right to dispute the claim if they find it unreasonable or untrue.

The Subjectivity of the Matter

A number of the disputes that arise on this matter can be summarized in one statement, “What is your definition of clean?” The differences in the definition vary from individual to individual.

To clear up the issue, a landlord can only expect a renter to keep the space as clean as they found it when they moved in. Therefore, if they found the rental unit dusty with dirt built up and they incurred a cost to make it clean, it wouldn’t be fair to expect a cleaner property at the end of the lease agreement.

To prevent disputes over people definition of clean, document the state of cleanliness during the move-in inspection. Have a checklist that confirms the condition of each space, fitting, and appliance at the beginning of the lease. The inventory checklist is a concrete document that both parties can refer to, guiding the end of tenancy cleaning process.

As an attachment, the inventory checklist should have photographs of each room at the start of the lease agreement. These can then be compared to the state of the unit following the end of tenancy cleaning.

Taking into Account Wear and Tear

Normal wear and tear refers to the slow wearing out of an item or asset due to normal use and the passage of time. Good examples of “normal wear and tear” include a worn-out carpet in areas of high traffic, faded paint on the walls, or scuffed wooden floors.

As a landlord, you cannot expect your tenant to cover the costs that come associated with “normal wear and tear”. This is because this kind of damage occurred through the normal use of the property. According to Florida Landlord-Tenants law, a landlord is only allowed to cover for the costs associated abuse or negligence to the property on the part of the tenant.

What Should the End-of-tenancy Cleaning Include?

There are general cleaning tasks that one can expect to do when carrying out an end-of-tenancy cleaning. This includes:

Vacuuming the rugs and carpets
Mopping the floors
Wiping down all appliances in the rental unit
Cleaning surfaces such as countertops and kitchen cabinets
Disinfection of the toilet
Clearing the garbage bins
Tidying up the external areas of the house

Can You Do it Yourself?

Please be aware that the above list is not a comprehensive one. The deep cleaning process can be quite an arduous task involving wiping down, scrubbing, and cleaning every floor, appliance, and room from top to bottom. However, if you have the motivation, product, and right equipment, you should be able to do it yourself.

On the other hand, why not consider hiring a professional company to undertake the task? Property owners often lack the skill, equipment and time, and often do a rushed job as a result. An outsourced professional is guaranteed to offer quality services and will use the right product and equipment to ensure that every surface is shining.

Returning the Security Deposit

If the cleaning of the rental unit up to par, the you have no excuse to make any deductions in the security deposit. You should be aware that you are expected to have sent the deposit to the tenant within a set number of days. Refer to the State’s Landlord-Tenant rules and have a thorough understanding of what is expected of you as a Florida landlord.

Bottom Line

From the information provided, you can now guide your tenant through the cleaning process once they decide to leave at the expiry of the lease. You can also appreciate the amount of time and effort that goes into the management of a rental unit.

To avoid the headaches and strain that come with property management, you should seek an experienced and reputable service provider who can offer you a comprehensive management solution for your Florida rental property.

If you are a landlord seeking property management services in Tampa and surrounding areas, rely on the expert team at Advantage Realty. We have experience managing a wide range of properties, from single-family residences to townhouses and condominiums. Get in touch with us today to learn more about our property management services!

How to Advertise Your Tampa Rental Property Successfully

Tue, 01 Nov 2022 17:58:54 GMT

All successful landlords share one thing in common – they have great marketing skills. Knowing how to market your Tampa rental property successfully will help you reduce vacancy rates . And guess what? High occupancy rates will mean more money and stronger returns of your investment!

An effective marketing campaign attracts a large pool of prospective tenants. Attracting many prospects will in turn maximize your chances of landing the right tenant. A highly qualified tenant will help minimize your financial losses by caring for your property and paying rent on time, among other things.

The following is a guide on how to advertise your Tampa rental property successfully.

Take Great Photos

A picture is worth a thousand words. In fact, listings with pictures will naturally attract more viewership than those without. That said, you need to ensure that the photo’s are top quality. Taking a few quick photos with your phone won’t cut it, at least not to the desired results. There are a few things that go into taking great-quality photos. The following are some tips to get you started in this regard:

Stage the Rental

This is the first step to taking great photos. That said, it’s a step that is often overlooked. Staging a rental helps renters visualize themselves living there. Remember, tenants are looking for a home, not just an empty space.

So, how do you exactly go about staging your Tampa rental property? The following are a couple of things to do:

Thoroughly clean the space
Add extra storage spaces
Remove any personalized items
Draw attention the home’s character with decor.
Address the curb appeal
Keep a neutral theme
Maximize natural light

Consider the Lighting

One marketing mistake many landlords make is not getting the lighting right. Take photos during the day to take advantage of natural light. If the weather turns out not to be so great during that day, then make use of the lights in the property. The goal here is to ensure the photos are clear and crisp so make sure there aren’t any harsh shadows in frame.

Use the Widest Vantage Point

When taking photos, you’ll want to take them from the widest vantage point. Try capturing no more than two walls when snapping the photo. The problem with including more walls is it closes up a room in a photo making it appear smaller. Another thing you’ll want to pay attention to is your posture. Stand in a position that allows you to capture a natural and appealing shot. Standing up too high or squatting can skew the dimensions of the photo or warp the appearance of the space.

Create a Shot-list

Make note of all the rooms and features that you want to include in your listing. This will help you stay organized. At the very minimum, your shot list should include every bathroom, bedroom, dining area, kitchen and appliances, and outdoor space.

Use a Great Camera

While it doesn’t have to cost thousands of dollars, a high-resolution camera is a must for the best results. Luckily, all you need is a good smartphone that has a minimum of 72 pixels.

Compose a Great Ad Copy

Once you’ve captured great photos , the next thing is to start composing an accurate and engaging ad copy. Writing a great ad copy will help tie the whole story together. It may also help with search engine results. The copy breaks into two different sections. That is, the headline and the summary description:

The Headline

The headline is undoubtedly one of the most important aspects of a rental ad. It’s what a prospective tenant will come across first when they see your ad. And for this reason, it can either make or break your efforts of trying to attract applicants. A great headline includes important elements like the rental price, location, number of bedrooms and bathrooms, type of property, and one great selling point. This is relevant information that will help prospects decide if the property meets their baseline criteria.

Summary Section

This section allows a landlord to finish telling their story. It also helps tie-in the headline to photos.

First, let a prospect know what sets your property apart from others. What amenities, for instance, does your Tampa property come with? And while at it, make sure to use proper buzz-words like elegant, modern, new, vintage, granite, and energy-efficient.

Also, mention important policies, such as a pet, subletting or smoking policy. This will help save time for both you and the prospective tenant as they’ll know upfront if they can comply with these policies.

Distribute the Ad

Having a stunning listing in itself won’t land you a tenant. It will only become effective when you have been able to distribute it extensively. A vast distribution strategy will ensure that many prospective tenants get to see it, maximizing your chances of landing a great tenant. Will tenants be searching online, offline, or a combination of both? For the online group, try sites like HotPads, Trulia, Zillow , and Zumper. For the offline group, try posters and flyers, community bulletin boards, and local classifieds. Just try to keep everyone in mind when advertising your Tampa rental property.

Hire a Property Management Company

Hiring a good property management company is the best way to reduce stress and maximize your income. A good property manager will have the skills and experience to run an elaborate and effective advertising campaign. What’s more, they can help you meet all other management obligations that come with being a landlord like screening tenants, collecting rent, and maintaining the unit.

Bottom Line

There you have it, some helpful tips on how to advertise your Tampa rental property successfully. The recipe is quite simple, take great photos, write a great ad copy, then advertise the ad extensively.

For professional help, look to the experts at Advantage Realty Services. We’re a professional property management company in Tampa with decades of experience. Get in touch to learn more!

8 Tips for Getting Your Property Ready to Rent

Mon, 26 Sep 2022 20:05:27 GMT

A tenant will eventually need to move out. Perhaps their lease has come to an end and they want to move closer to work rather than renew their agreement. No matter the reason for a tenant moving, as a landlord, it’s your responsibility to re-rent the unit as quickly as possible to minimize financial losses. Re-renting a vacant unit , however, can be a lengthy process. Among other things, you need to ensure that your property is ready and habitable for a new tenant.

The following is a guide to help landlords get their properties ready to rent so that they can start the marketing process and land qualified tenants more quickly.

1. Replace Dated Items

With an occupied property, you’ll be limited in the frequency with which you can carry out inspections. But when it’s vacant, you’ll have all the time to do a comprehensive assessment. Go round the property and examine everything that may need to be replaced. Check the following:

Furnishings and appliances - Do they look dated and need an upgrade?
Light bulbs - Do you notice any flickering or are there any that won’t light up when switched on?
Doors and doorknobs, and windows - Are they all working as they should?
Flooring, curtains, and window blinds - Are they worn out or damaged?

If you notice issues, seek professional help whenever necessary. Some projects, like changing lightbulbs or batteries in appliances can be done yourself. However, for larger-scale projects turn to a trusted vendor.

2. Check for Damage that Exceeds Normal Wear and Tear

This is where a walk-through inspection comes in. This will help you document the property’s condition relative to when the tenant first moved in. Note any excessive property damage and natural wear and teat. And by doing so, you’ll be able to know what deductions to make from the security deposit. If the tenant caused excessive damage, you can use part of the deposit to cover your financial losses. You must then notify the tenant of your intentions to do so within 30 days. Your Florida tenant will then have 15 days to lodge a dispute.

If you’ll not be making any deductions, then you must return the tenant’s deposit within 15 days after they move out.

3. Give the Home a Thorough Cleaning

If the house looks reasonably clean, you may choose to perform the cleaning on your own. However, if the property needs a lot of work, then a professional cleaning service may be necessary. You may also be able to charge the tenant for the cost of cleaning it.

A professional cleaning service will have the skills, experience, and proper equipment to get the job done right. Having a clean space will not only entice new renters, but it will also establish how clean they’re expected to keep rentals as well.

4. Upgrade the Rental Unit

You’ll occasionally need to upgrade your rental property to remain competitive in the rental market. The right upgrades can also help you attract a tenant quickly and retain them for longer. The following are some of the upgrades that you can consider doing to your rental property:

Repaint the walls - Most experts say that you’ll need to repaint your property every 5 to 10 years. Luckily, this is a relatively inexpensive upgrade.
Spruce up the curb appeal - Pressure washes the pavements and paint the front door . You can also upgrade the outdoor lighting and install window boxes.
Add extra storage areas - This is going to be an attractive feature especially if your target market is families.
Replace the roof - Check for signs of damage or aging like saggy or droopy spots, or leaks in the house. If you notice anything, seek professional advice before jumping to any conclusions.

5. Ensure the Doors are Secure Against Unauthorized Entry

As a landlord, it’s your responsibility to ensure your home is secure. The Florida warranty of habitability requires it. This means you must ensure that no stranger has access to the property.

Always rekey your property once a tenant has left. This is a reasonable step to protect the new tenant and the property.

6. Check for Any Pest Infestation

As a landlord, you have a responsibility to conform to the state’s warranty of habitability. This, among other things, requires that you provide tenants with a safe rental unit that complies with all health and safety codes. Pest infestations are very unsanitary and could pose a risk to the tenant's safety. The following are some signs of a pest-infested the property:

Complaints from current or former tenants
Visible holes or sagging walls
Grease marks and tracks
Holes and gnaw marks
Odd smells, sounds, or droppings
Evidence of nesting

If you notice any of these signs, hire an exterminator right away. You may even want to schedule their services on a monthly or quarterly basis as a preventative measure.

7. Check the Functionality of the HVAC System

Florida is one of the hottest states in America therefore you’re bound by the law as a landlord to provide your tenant with a functioning HVAC facility .

You must schedule detailed inspections to ensure the system is working optimally. The inspection should involve doing the following:

Replacing air filters
Inspecting for signs of leakage
Checking the water pressure
Assessing if clogging has occurred
Replacing broken pipes

8. Get Rid of Mold

Growing mold is a sure turn-off for prospective tenants. Mold is a health risk, which can cause several health issues such as cough, eye irritation, nasal stuffiness, throat irritation, and wheezing.

Signs of mold typically appear where there is moisture. Therefore, make sure to check bathrooms, kitchens, and laundry rooms.

Bottom Line

These 8 tips for getting your property ready to rent should help you re-rent your property quickly. For expert help or advice, Advantage Realty Services can help. We’re an established property management company that provides investment property owners in Tampa with exceptional services. Get in touch to learn more!

Risks of Having a Vacant Rental Property

Fri, 26 Aug 2022 13:34:43 GMT

Do you have a vacant rental property? Every landlord dreads having an empty rental, especially if they live far away from it. It presents a number of issues, such as a reduction in rental revenue, a rise in utility expenditures, and an elevated risk of hazards and property damage.

The issue of vacant rental properties can be quite serious and damaging to an investor's bottom line. Landlords will thus need to take proactive measures to secure their buildings. The team at Advantage Realty Services has created this piece to inform Tampa landlords about the risks of vacant units and how to protect them.

Potential Risks for Vacant Rentals

Burglary and Theft

The property in your rental space is vulnerable to vandals and thieves because there isn't a tenant at the property to deter them. Generally, single-family homes are more likely to experience this problem than multi-rental properties.

Thieves frequently look for occupied locations because they are more likely to find items like artwork, furniture, and electronic gadgets. Vacant properties may also be targeted for their air conditioners, copper wiring, aluminum pipes in the walls, and appliances. You should also keep an extra close eye on your property if it comes fully or semi-furnished.

While vandals generally aren't intent on stealing, the damage they cause could be very costly. They might for instance spray paint graffiti on the walls or break windows. Installing cameras, and motion sensor lights and visiting the property regularly can help keep it safe.

Mold and Water Damage

Leaks, frozen pipes, and broken pipes can all cause water damage . Hot water heaters could also potentially leak or burst, which could result in flooding within the home. When it rains, moisture can occasionally enter the home and promote the growth of mold. This could render your rental property uninhabitable and a danger to future occupants' health.

This frequently occurs in vacant homes because the damage might not be obvious unless you’re living there and using the plumbing. Therefore, to avoid water damage inspect the property regularly and check your water bill.

No Income

The majority of investors purchase properties to generate passive income. But no matter how beautiful your house is, there will inevitably be a vacancy at some time in your career as a landlord.

Rental vacancies can occur for a number of reasons. It could occur during a time of year when there is a decline in rental demand. If you’re experiencing longer periods of vacancy, compare your rental’s price, amenities, and overall condition to your competitors to see if there are changes you can make to improve the appeal of the unit.

You should also employ diligent marketing strategies to ensure that the availability of your units is known to a wide pool of prospective tenants.

Fires

An unoccupied property is more at risk for fires due to the fact that none of the property's systems are in operation or constantly being maintained. Poorly maintained heating systems may collect dust and the motor system may become overheated as a result. Additionally, squatters or vandals could leave burning candles or other combustibles behind, which could lead to property damage.

Make sure you routinely inspect the property to ensure all systems are functioning as they should.

Squatters

Squatters may be drawn to your property if it’s obvious that it’s vacant. Squatters can reside in your rental property without paying rent and use all the furnishings and appliances. Squatters need to be dealt with carefully because, after a while, they acquire rights to property. This makes it more difficult to get rid of them. In some circumstances, you might need to go to court and file a case to reclaim your rented property.

To prevent this from happening, make sure to install a security camera and visit the property regularly. You can also ask a neighbor to keep an eye on the property and inform you of odd activity should it occur.

How to Take Care of Vacant Properties

As the property owner, there are several steps you can take to protect your property from the risks stated above.

Consider the follows:

Regularly inspect the property for signs of squatters, theft, fire hazards, and water damage.
Install security systems and cameras.
Maintain the curb appeal to show passers-by that the house is being cared for.
Install lights on timers to create the appearance that people are staying in the unit.
Have a solid marketing plan in place to help you find a tenant as quickly as possible.
Hire a property management firm to help you inspect, maintain and market your unit. They’ll also be able to manage the day-to-day operation once landing you a tenant.

Bottom Line

A vacant property can be very stressful and time-consuming for landlords. You might need to regularly check in with your neighbors or use the security system to keep an eye out for potential vandals and thieves. Without industry knowledge or time, you may find it difficult to care for your vacant rentals, so consider hiring a professional property management company.

The team at Advantage Realty Services offers straightforward and effective property management solutions. We can help you market your vacant rentals and screen tenants to ensure that you land a qualified renter quickly.

Our trusted team of property managers puts in a lot of effort to offer you and your tenants first-rate property management services . You can count on us to properly inspect and maintain your property, quickly respond to tenant concerns, complete rent collection, and so much more. Contact us today to learn more about our services!

Why Successful Real Estate Investors Partner with Property Management Companies

Tue, 26 Jul 2022 16:53:14 GMT

Partnerships are typically classed as either active, where everyone shares equal responsibility for day-to-day management, or passive, which is used for investors that don’t want to have an active role in management but would like the financial benefits of their investment. The benefits of working with a property management company are numerous, as they can provide full-service management solutions tailored to a property owners investment goals. Experienced managers are essential in the real estate industry.

Property managers will carry out the obligations and duties of a landlord on behalf of the property owner. This will allow owners to use the time they would have spent self-managing their properties to invest it back into other projects. The following are a few of the most significant advantages that landlords who use property management businesses enjoy.

Use Effective Rent Collection Systems

One of the most crucial aspects of property management is managing the collection of rent and late fees. Rent must be paid on time each month in order to maintain a continuous and stable cash flow. By employing a professional property manager, the landlord is given the opportunity to have the manager play the role of the bad cop and deal with things like collecting rent and handling evictions when necessary.

If you are too lenient, tenants may begin to make late or inconsistent rental payments. This could hurt your bottom line. It should, therefore, be made clear how crucial each lease provision is and what happens if it’s broken.

In the event of missed payments, another crucial matter that a property manager will handle is the eviction procedure . A competent professional understands the law and will ensure that your rental operation is compliant. These laws are subject to change, part of a property management company’s job is ensure that they remained informed to protect their clients interests.

Secure Trustworthy and Excellent Tenants

Having quality tenants is essential to running a successful rental property business. But do you know how to perform proper screenings that also abide by the Fair Housing Laws? Do you know how to identify qualified tenant based on their screenings and applications?

You won't have to worry about this when working with a management business. They have the resources, expertise, and personnel required to quickly conduct background checks on candidates and conduct proper tenant screenings. Since they will be the ones dealing with tenants and tenant-related concerns, a manager will undoubtedly be more motivated to find great tenants. As a result, not only will your home attract respectable tenants, but any openings will be filled quickly.

Aid in Reducing Legal Issues Associated with Your Rental

Legal issues are often time consuming and costly. You have to ensure that you’re complying with federal, state and local regulations, all of which are subject to change and updates. Everything, from tenant screening to evictions, must be done in accordance with these regulations. It makes sense that knowing the law governing rental properties could seem complex.

However, if you have a property manager on staff, you are not required to keep track of each detail. All of these are laws known to property managers who ensure that everything in your home is done according to all applicable local, federal, and state housing laws and regulations .

Reduce the Price of Repairs and Maintenance

Consistent property maintenance and repairs keep renters happy and preserve the value of your investment. When you engage the services of a management company, you have access to both their in-house maintenance team and their network of verified, licensed, bonded, and insured contractors.

Unlike looking through the yellow pages and hiring a handyman, using a management company’s network can result in significant savings. In addition to negotiating savings, the company is also familiar with the contractors and knowledgeable about maintenance skills, thus ensure a better standard of repair work.

Understand Local Market Prices

Self-managing landlords don’t always have a strong grasp on the local market and therefore, have a hard time setting appropriate rent prices. If you set the rent too low you won’t be able to maximize your earnings. Setting the rent too high on the other hand will result in more tenant turnover and longer periods of vacancy .

A seasoned property management business will be aware of the value of your apartment or home in the current market. They will be able to conduct market analyses to ensure that your rental rates are in line with other comparable properties on the market. The objective is always to price a property competitively and fairly, and an experienced management company will have data and statistics to support their recommendations.

Skilled in Marketing and Advertising

Knowing where to advertise and sell your home is crucial in the current digital world. Many of the numerous listing sites that are available are fantastic, but some will reach your target tenant demographic better than others. Knowing where and how to list your vacant rental home requires some industry knowledge.

A skilled property management firm will be able to craft an engaging property listing and market it on top sites, social media platforms and will also make use of the local network to ensure that your vacant listing are seen by as many prospects as possible. This will allow you to start collecting rental income more quickly.

Bottom Line

Always seek for the best available property manager. Be sure to conduct adequate research to determine their capacity to maintain your rental property and assist you in increasing your investment. Once you locate the ideal candidate, you can relax knowing that your property is in good hands.

Choose to engage the services of a company like Advantage Realty Services . We continuously provide compassionate, accommodating services and spend time getting to know each client's particular investment and management needs. Contact us today to learn more about our property management services!

How to Be a Long-Distance Landlord

Wed, 29 Jun 2022 16:00:19 GMT

Investors occasionally wonder if purchasing a rental property in a city or state other than their own makes sense. Perhaps they want to take advantage of a fruitful rental market in another area, or maybe they’re moving and are turning their current property into a rental.

Compared to landlords who live close to their rental homes, long-distance landlords have particular difficulties when it comes to managing the day-to-day operation. You must develop good management skills to reach your financial objectives if you own properties far away. Thanks to modern technologies and services, investors can buy real estate everywhere to maximize their portfolios. Follow along as we go through some things to think about before embarking into the world of long-distance property management.

Know the Competition

Knowing what's happening in your region is beneficial if you own a rental business. Living far away can be a disadvantage because you have fewer connections to your local community. Updates to governmental regulations and other significant adjustments to local bylaws could impact the rental market. Without being present, it can be too late to assess the competition or recent developments that will impact the outcome of your real estate investment. For instance, if you don't know that your neighborhood has suddenly become a popular spot, you might not change your rent costs to reflect the new situation.

You could also find yourself maintaining a high rental rate even when the economy is struggling, which would lead to tenant turnover and longer periods of vacancy. One of your obligations as a long-distance homeowner is to stay up-to-date with local news so you can be aware of any changes that may impact your rental property.

Address Maintenance Tasks

Being halfway across the country, it’s going to be hard to meet your obligation to maintain the property in good condition. It’s recommended that you hire a trusted caretaker. When a tenant requests emergency repair services, they can be on call to respond immediately.

It’s also wise to have someone on the ground to keep an eye on units that are vacant. They might offer more common services like mail pickup, acting as a point of contact for renters in the area, checking on the rental, and cleaning out the belongings of tenants who break their agreement or are evicted.

Have a Reliable Team

Working with individuals you can trust is essential, and this is particularly important if you are an off-site owner who requires assistance managing rental property. You must employ individuals who can access your property regularly because you won't be able to. Spend some time talking to those who own the nearby businesses or neighbors. If something seems odd in relation to your property, they can get in touch with you.

Maintain a list of suppliers who can take care of maintenance problems when they occur. Have the phone numbers for a painter, an electrician, a plumber, and, a cleaning crew, among others. In case any legal concerns arise with your property, it's also a good idea to have the contact information of a local attorney.

Maintain Clear Lines of Communication

long-distance owners must create a clear and dependable communication system with tenants. You need your tenants to be your dependable eyes and ears on the ground because you won't be on-site very often.

It's advantageous to learn about these problems as soon as possible so you can take the appropriate action, whether it's a water leak, broken shingles, or something worse. In contrast, if you wait to visit your house and only collect rent checks, you can be in for a shock.

Ensure tenants get your contact details and other current contact information. Urge your tenants to get in touch with you as soon as a problem arises. You can also think about giving your tenants a call to check in once a month.

Work with a Property Manager

It takes a lot of patience and excellent time management to handle a rental property while juggling other areas of your life, such as work, family, and friends. Although maintaining your property can help you save money, the process takes time. If you are not interested in managing the rental personally, or just do not have the time to care for a property yourself, hiring a property management business to oversee your rental may relieve the pressure.

Verify the Accuracy of Your Lease

Your rental leasing agreement is one of the most crucial components in positioning you to succeed as a long-distance landlord. Have a local attorney evaluate your lease to ensure it’s solid.

Ensure that it expressly states who is accountable for what, as well as the payment deadlines and late fee policies, damage assessment , policies regarding pets and associated fees , and other conditions. In the event of any problems, this will aid in protecting you and your property.

Create Automated Payment Systems

It can be difficult to collect rent from tenants who live in another city or state. You don't want to deal with getting checks or cash in the mail if you're a long-distance landlord. Set up automated payments instead. You're less likely to deal with late payments, making collecting rent easier. Other possibilities include email or wire transfer payment if automated payment is not an option.

Bottom Line

When working as a long-distance landlord, it’s important that you follow property procedures, have a local team that you trust, and keep in contact with your tenants. That said, it can be daunting to manage units from a distance regardless of whether or not you’re first-time landlord , so it may be in your best interest to hire a local property management company.

Every client at Advantage Realty Service s receives first-rate property management services. We continuously provide compassionate, accommodating services and spend time getting to know each potential property owner's particular needs. We can provide all the services required for a successful investment. We keep tabs on market trends and vacancy rates, research similar rent prices, advertise your rentals both online and in print and so much more. Contact us today to learn more!

How to Avoid Water Damage in Your Rental Property

Wed, 01 Jun 2022 20:21:34 GMT

According to the Environmental Protection Agency (EPA), 10% of homes have leaks that account for about 90 gallons of water wasted every day.

As you probably know, water leaks can result in thousands of dollars in property damage. Therefore, it’s important to take proactive steps to prevent water damage from occurring in your rental property. Below is a guide on how you can do just that.

What Causes Water Damage?

Water damage can be caused by many things, some of which include the following:

Faulty appliances.
Leaking water pipes.
Exposed water supply lines.
Clogged drains or gutters.
Septic tank overflow.
Natural disasters.
Buildup in areas prone to collecting water, such as attics and crawl spaces.
Overgrown tree roots.
Improper insulation of pipes.

What Are Some Telltale Signs of Water Damage?

Not all signs are going to be apparent right away. Therefore you should make sure to act immediately if you suspect water leakage. Usually, you’ll need to hire professionals to help you find and diagnose the issue .

The following are common signs of water damage in a home.

Damaged flooring.
Sagging walls and ceilings.
Damaged paint and wallpaper.
Odors.
Visible mold growth.
Standing water.
Water stains.
Sounds of dripping water.
Humidity and dampness.
Increase in utility bills.

How Can You Avoid Water Damage in Your Rental Property?

You can reduce the risk of property damage in various ways, including the following.

Tip #1: Check the gutters.

When doing an inspection of the interior, keep gutters in mind. At the very minimum, you should inspect them at least once every year.

A buildup of debris in the gutters over time can cause blockages and overflow issues. This leaves standing water to collect and eventually overflow. The overflowing water can then damage the walls and the foundation.

Tip #2: Check the downspouts.

Just like in gutters, debris will also collect in the downspouts over time. This usually tends to occur during the spring and fall seasons. The collected debris can then cause clogs on your property’s downspouts.

A clogged downspout can cause water to run back under your roofline. Consequently, damage can occur to the plywood that’s under the roof and soffit.

Generally speaking, you should make a point of cleaning your downspouts at least twice a year. The exact frequency of cleaning should depend on the sort of foliage you have near your home.

Tip #3: Check the grading of the yard.

A properly graded yard is important for preventing water damage. Stagnant water is not only an eyesore, but it can also cause structural issues and become a health hazard to your tenants.

There are two types of yard grading: negative and positive. A yard is said to have negative grading if it sits at the lowest point of your plot. It’ll cause water to pool near your home’s foundation, causing a myriad of issues.

A positive yard grading is preferred. When it rains, water will flow away from your home and foundation.

Tip #4: Inspect your roof’s condition.

The inspection of a roof is often overlooked. After all, out of sight out of mind, right? However, this can turn out to be potentially costly for you.

The following are some telltale signs that your roof is failing.

Your heating and cooling bills have spiked.
Your roof is 20 years old.
There are areas where the flashing is either damaged or missing.
There are signs of water damage inside your attic.
You have granules in your gutters.
Certain areas of your roof are dark or dirty.
The roof is sagging.
Your roof shingles are cracking, curling, dry, or blistering.
There are several shingles that are loose or missing.

If you have noticed any of these signs, get your roof repaired as quickly as possible. If you don’t, the resulting water damage can be extensive and expensive to repair.

Tip #5: Inspect the property’s foundation.

Water is the number one cause of foundation problems in structures. And the problem is especially common in areas that have poor soil conditions, as we have here in Florida.

The following are some signs that your home’s foundation integrity has been compromised.

Doors and windows sticking or not latching.
Cracks in the drywall.
A damp crawl space.
Soft and spongy floorboards.
Sinking ground around the house.
Cracks on the exterior wall.

If you notice any of these signs, seek professional help from a home foundation inspection company.

Tip #6: Install a water leak detection device.

Leak detection systems work by monitoring the pattern of the water floor. They operate on a principle known as acoustics or the principles of sounds.

In the event of a leak, the detection devices will shut off the water supply, essentially preventing potential water damage.

According to pcmag.com, smart water sensors covering an entire house can cost anywhere between $500 and $2,500.

Bottom Line

A s a landlord , you have a responsibility of ensuring your rental property abides by Florida’s health, safety, and building codes, whi ch includes keeping it free of water damage.

If you still have questions in this regard, Advantage Realty Services can help. We’re a trusted property management company in Tampa, FL, with over 31 years of experience in managing rentals. If you're worried about water damage or other concerns with property maintenance, let us manage your property. Our other services include collecting rent and screening tenants.

Tax Season Tips for Landlords

Fri, 29 Apr 2022 18:10:20 GMT

Residential landlords are obligated by the Internal Revenue Servic e to be tax compliant, so any income from a rental property would need to be declared to the IRS. So understanding tax, like the many other terms in real estate, is important.

But the process of filing taxes can feel like overwhelming. This is especially true for first-time landlords, but even seasoned landlords may also find the process intimidating.

For this reason, hiring a professional may be in your best interest. Not only can an expert help you file your tax returns accurately, but they can also help you maximize any tax refunds you may be eligible for.

Which is why we at Advantage Realty has provided the answers to commonly asked questions regarding tax for landlords.

How does the IRS define rental income?

As a landlord, the IRS requires you to report all rental income you have received for that year on your tax return. The rental income includes more than just the monthly rent payments. The filing must also include late rent fee charges, and any lease cancellation charges.

How must a landlord report tax on rental income?

To report all your rental income, you’ll need to use the ‘Form 1040’. This is the tax form that you’ll need to fill out every year when doing your federal income taxes. Next, you’ll need to attach Schedule E: Supplemental Income and Loss .

On this form, you’ll be required to list the total sum of each property’s income, expenses and depreciation. The next form you’ll need is ‘Form 4562’. Here, you’ll need to correctly fill in the depreciation amount on the section “depreciation expense or depletion.”

Please note that a single Schedule E form will only allow you to report your rental income on a maximum of three properties. If you have more, you’ll need to do so on additional forms.

What records do you need when filing taxes?

To ensure that you provide the right information to the IRS, you must keep accurate records - which is a mistake some self-managing landlords make. Examples of such records include financial statements, rent checks, deductible expenses, and receipts.

Are there any COVID resources for landlords to take advantage of?

Yes! There are still several resources that landlords can take advantage of to minimize their tax obligations. One of these resources is Benefits.gov. This site provides helpful resources like editorials, webinars, forms, and relevant news sources.

What Tax Deductions Can I Make as A Landlord?

You don’t need to pay more taxes on your rental income than is necessary! There are a variety of deductions that the Internal Revenue Service allows landlords to claim and below are the most common:

Repairs

Damage to a rental property can be unavoidable. Fortunately, under the IRS Code, landlords may be able to deduct the cost of these repairs in the same year.

Not all kinds of repairs qualify, though. The Code requires that they be not only ordinary and necessary, but that the costs be of reasonable amount. Examples of repairs that would qualify include repairing gutters, replacing broken windows, and repainting faded walls.

Insurance

You can also deduct any insurance premiums you’ve purchased for your rental property. Examples of insurance policies you are allowed to deduct include flood insurance and landlord liability insurance.

Rental Property Depreciation

You may also be able to recoup some of your real estate investment costs through depreciation. The IRS Code allows landlords to deduct a portion of their investment costs over a number of years.

Travel Expenses

If you have to commute to perform a rental activity, you may be able to recoup back some of those costs. An example of how you can incur such an expense is when you have to drive to the local hardware station to purchase a repair part.

Personal Property

Did you provide tenants with your personal property like any appliances or furniture?

If you did, then any such personal property may be tax deductible. There is a limit, though, to the price of personal property that can qualify for tax deduction. The IRS caps it at $2,000.

Tips for Filing Taxes

As already mentioned, filing taxes isn’t exactly an easy process. So here are a couple of tips to help ensure the process is as easy as possible:

Use the help of a tax management software . There are many software available to help landlords file their taxes.
Hire either a qualified financial advisor or a competent property management company.

Bottom Line

Tax matters can be complicated! That’s why savvy landlords always seek professional help. Advantage Realty Services can help you file your taxes accurately and ensure you maximize on all qualifying deductions.

How to Boost Your Rental Property’s Curb Appeal

Wed, 30 Mar 2022 19:52:46 GMT

Part of attracting prospects for your rental is improving the curb appeal. No matter how cleverly designed and aesthetic your home interiors may be, the exteriors still matter a lot. A lot of judgments can be formed simply by how the experiencer of the rental looks.

Create the best first impression by presenting charming curb appeal. It need not cost an arm and leg to capture the attention of potential tenants. Tiny adjustments can inspire new renters to move in and sign a leasing agreement with you.

Below are some fine recommendations to implement to have outstanding curb appeal:

Go for a Bold Shade

Bright colors can catch the eye. It’s also a quick and inexpensive way of enhancing your curb appeal. If your neighborhood is filled with similar looking rentals painted in the same neutral shades, differentiate your home with a bright color to stand out from the others.

You also don’t need to repair the entire home a bright color. You can just emphasize certain areas with a bold hue. For instance you can paint the front door and mail box the color. You can also achieve brighten up the outside by planting colourful flowers. They’ll naturally draw the eye more to your rental unit.

Set Up Green Spaces

More greenery makes your property attractive. It can create a relaxing environment and provide a little shade, and privacy. Therefore, you should look to either improve your property’s landscape, or if you already have plants, maintain them well. Get rid of weeds and mow the lawn regularly.

When adding foliage , make sure that they’re easy to maintain. Some tenants don’t have the time to care for and maintain a garden or yard. If you add too much greenery, you’ll risk the plants or even yard a as a whole getting neglected which will reduce the attractiveness of your rental’s curb appeal.

Choose Nice Lighting

Don’t limit yourself to the appearance of your property during the daytime only. Imagine how it looks at nighttime, too. You want to focus on using attractive lighting to direct attention to your rental.

At night, your focus should be providing security as well. Therefore, go for bright lighting that helps illuminate the entrance ways. This is reassuring to renters when they arrive late at night. Seeing the pathway can also improve their safety.

Consider Landscape Maintenance

Hiring a gardener or landscaper from time to time can increase the your rental property’s curb appeal. No matter how charming your home exterior looks, it still needs to be maintained regularly.

Unkempt properties are often broken into or suffer from the presence of unwanted squatters. With this in mind, presenting a pristine yard can not only impress prospects, it can also informed potential intruders that the place is occupied. Thus, you will avoid dealing with trespassers.

Repaint the Rental to Elevate its Appeal

Landlords who take the time to perform repainting sessions will find marketing their rental unit easier. Over time, the paint can look dull given the expected normal wear and tear and weather conditions. You can counter this by applying new paint to your property.

Go for quality paint and hire a professional to spearhead the project. Repairing the property is an investment that will be rewarding given that it can attract new renters and enhance your properties value.

Evaluate the Appearance of Your Front Door

The front door must appear inviting otherwise, it can ruin the exterior look of your rental space. Therefore, if the door is old, you can upgrade it. If it’s looking dull, you can repaint it. If locks need replacement then get right to it.

Front doors must also be functional and made from solid material. As the entrance point of the home, it should provide security. Safety is a priority so when looking for a new door, select somethings that attractive and secure.

Work out a Fixed Cleaning Schedule

Pencil a regular cleaning time to further attract new renters to your rental home. Even if you use the best furnishings outside and invested in excellent lighting, cleaning should be consistent.

When conducting property showings, prospects can inspect the details. It’s best not to have cobwebs clinging on your outdoor furniture or dust covering your windows. Clean properties garner more interest.

Inspect the Roof of Your Rental

Invest in good roofing. Offer your new renters convenience through a reliable roof that doesn’t need any repairs. Though costly, a good roof protects your home and keeps your exterior attractive. Roofs need to be replaced every 15 to 30 years so set aside a fund since durable roof materials are pricey.

If you’ve spotted ceiling stains or missing pieces shingles, it’s time to contact a contractor. You can also have it inspected for leaks and mold to ensure that the residents will be living in a secure and healthy rental space.

While this can be pricy in the short-term, a quality roof can improve your homes value, protect tenants and increase your curb appeal. All which can ultimately help you achieve in your investment goals.

Bottom Line

An attractive curb appeal is a must if you want to keep your tenants happy and renting for the long-term. If your rental is vacant then this is all the more vital to create a great impression to the future renters.

Paying attention to the details around your rentals exterior that could require improvements. If you lack the time or want professional support to boost your rental’s curb appeal, call Advantage Realty Services today!

Dealing with property maintenance is one of the many property management services we offer. We can also help you perform marketing, tenant screening, rent collection and more! Contact us today to learn more about a professional property management services .

Becoming a DIY Landlord? 6 Mistakes to Avoid

Wed, 02 Mar 2022 14:35:34 GMT

Being a self-managing landlord can be common, with many beginners typically being overcome with excitement upon purchasing an investment property. They often go the DIY route. They may also convert a former home into a rental space to earn passive income.

Though self-managing landlords have good intentions, they can also be exposed to more risks from lack of experience. They can even make mistakes that result in significant financial losses.

Here are some of the most common mistakes made by DYI landlords and how to avoid them:

1. Not Creating a Solid Leasing or Rental Agreement

New landlords can neglect to craft a lease especially when renting out to their friends and relatives. This can become a headache should future conflicts occur. Avoid this situation by preparing a leasing contract. You protect yourself further if you have a written agreement signed by all parties involved in the leasing process.

It’s much easier to have a written document that guides the tenants’ on the agreed upon terms and conditions. Enforcement also becomes easier when a leasing or rental agreement is present. What’s more, the document is legal proof to present to court should litigation occur or you need to deal with a holdover tenant. You can show the lease to a lawyer before presenting it to a tenant or hire a property management company to handle this particular service.

2. Lack of Detailed Property Inspection

As the property owner, you have the responsibility of maintaining the rental unit in peak form. Though renters are also understood to perform the basics such as maintaining a hygienic environment by throwing the trash in the proper receptacles for instance, landlords must continue to be vigilant in their duties by not skipping property inspections .

One way to reduce tenant complaints is to perform regular inspections. You can save on repair costs by being able to spot signs of minor damages before they become bigger issues. As the property owner, you’re also generally responsible for keeping up with the safety standards and adhering to the health and safety rules.

So ensure that you maintain a safe and habitable dwelling and remain up-to-date on local and state ordinances related to these matters.

3. Lack of Market Awareness

Some self-managing landlords aren’t sure how to analyze whether or not they’ve set the right price for their unit. This can however be easily accomplished by evaluating active listings. Prior to advertising, it’s best to assign an accurate rental rate by looking at your competition in the neighborhood.

Another way that DIY landlords short-changed themselves is failing to raise the rental fee every year. Given that property maintenance expenses and additional amenities and upgrades are made, it’s only practical to adjust the rent. Taxes are also known to raise so it’s best to consider this before sending a renewal letter.

Note that before you make changes to the rent price or the lease you should check state laws to ensure that you make these adjustments in accordance with all rental regulations.

4. Covering Information on Lead Paint Presence in Your Property

Under the landlord-tenant laws, property owners are required to disclose information on lead-based paint . It’s the duty of the owner to inform the renters especially when the rental was constructed before 1978. This disclosure must be provided to all renters, even the renewing ones.

Should landlords fail to disclose the presence of lead paint in the rental unit, they can be subjected to a hefty $10,000 penalty. With multiple tasks and responsibilities, it’s easy for DIY landlords to forget this detail. However, the cost of failing to follow this disclosure rule can result in a financial loss. It’s therefore very important for self-managing landlords to always read and update themselves on property laws.

5. Dismissing the Learning Curve

Operating a rental unit requires patience, good communication skills, tax knowledge and being well-versed with landlord-tenant laws. It’s not a skill you can master in 6 months or so. There are so many details you need stay on top of as a landlord, that it can become very easy to forget something. Even when you’re conducting tenant screening, for instance, you might unknowingly break the Fair Housing Act which protects a group of classes from being discriminated against.

It’s therefore advisable to seek assistance early on if you’re a new landlord. Engage the services of experienced property management companies. They have the professional skills, wide resources and efficient systems to help you achieve great returns from your property investment while ensuring full legal compliance with rental laws.

6. Failing to Deal with Property Vacancies

Your rental property may not be occupied all the time. When this happens, it’s important to be prepared. Vacant units mean spending more on maintenance expenses , sending items for repair and hiring professional cleaners. Your goal is to present an attractive rental to land a high quality renter that will stay for the long term.

Property owners can avoid the financial stress of vacant units by always setting aside funds for this eventuality. Saving for 3 months of expenses is a good contingency plan before you find yourself in this situation.

Bottom Line

DIY landlords should weigh the costs of making mistakes caused by inexperience. It’s best to find professional support by hiring a property management company with a superb reputation. Paying for a reasonable management fee is better in the long run rather than losing the confidence of your renters.

Property management companies can handle diverse tasks from rent collection and marketing to property maintenance and financial reporting. They also offer a professional management approach gaining the respect of your renters.

Contact the team at Advantage Realty Services today for help managing your rental properties!

Pricing Your Tampa Home to Rent

Mon, 31 Jan 2022 18:14:33 GMT

Deciding on how much to rent your house for is a critical decision to make. Pricing your rent too high can make your unit undesirable, and that would mean long vacancy periods. Pricing your rent too low can mean that you aren’t making enough income to cover the property costs.

So, how do you decide how much rent to charge your tenants in Tampa, Florida ?

That’s what we’ll learn in this article!

How is the Rental Market in Tampa?

Investors are purchasing homes in Tampa at an all-time high. Between July and September 2021, one out of every four homes sold was purchased by a real estate investor. According to the Tampa Bay Times, Tampa Bay is the seventh most popular metro area for investors in the country.

The rising cost of housing in Tampa and throughout the state is driving more and more people to rent property, rather than buy property. As a result, rents in Florida have increased by 30%, the most significant increase in the country.

Tampa is also a great place to work and live. There are many job opportunities, there’s a diverse economy and Tampa has a growing population.

How Do you Calculate an Average Market Rent?

Setting the right rent price can help you attract good tenants, allowing you to quickly rent your property. As a result, determining the market rent in your area is well worth your time.

When determining the rental rate for your Tampa home, consider the following factors:

Location: If your rental is in a desirable neighborhood, you can charge a higher rent than in a less desirable neighborhood.
Amenities: Upgrades, open floor plans, and outdoor spaces can all distinguish your property from others in the same neighborhood, allowing you to charge a higher rent. Another amenity to check out for is parking security.
Space: Having more square footage than other properties in the neighborhood can result in a higher rent price.
Bedrooms and Bathrooms: The more bedrooms and bathrooms your property has compared to others in the area, the more likely you can charge a higher rent.

Setting the appropriate rental price is only one aspect of running a successful rental business. In addition, you should use a tenant screening service to avoid long-term vacancy, late rent payments, and unnecessary property damage.

The Importance of Comparables

When looking for a rental unit in Tampa , you need to compare prices with different properties. To know how other rentals are priced, you can look online, ask someone or hire a property management company.

Here are some more details:

1. Advertisements on the Internet

Sites like Zillow, Trulia, and Hotpads make it simple to find rental properties in Tampa. Keep track of the apartments that are quickly rented, those that reduce their prices, and those that have been on the market for weeks.

2. Person to Person or Referrals

You might want to visit some of the apartments in person and compare them to yours. Inquire with the landlord about the level of interest in the property.

3. Obtain the Opinion of a Property Management Company

Even if you do not intend to list your rental with a property management company, you can have a realtor come out and look at it to get a price opinion. They may have a good idea of what is quickly renting in the area and how your rental will stack up to the competition.

Property Management Company Services

Advantage Realty Services is an established property management company, offering reputable services for property owners throughout Tampa, Florida. Property owners located in Odessa, Tampa Palms, New Tampa, Monroe, and Wesley Chapel can attest to the quality of our services. If you are on the lookout for quality property management services, there is no company better to call upon.

If you have made a decision to rent out your home rather than sell it, you can't charge rent based solely on the size of your mortgage payments. There are several factors to take into consideration. If you lack the experience or expertise, this can be difficult to determine.

So, call upon the experts at Advantage Realty Services.

Conclusion

In the last few years, Tampa has seen many renters. The city is a great place to live. There’s a steady job growth, growing economy, and increase in population. As a result, there is a rapidly increasing demand for housing in Tampa and Hillsborough County, where the city is located.

When you purchase your investment property, finding the right rent price is crucial - but don’t struggle to do so. Rely on the services of the premium service provider, Advantage Realty Services.

In addition to setting the rent of your Tampa property, we can handle your rent collection, property maintenance, property advertising and marketing , and screening of potential tenants.

Contact Advantage Realty Services today and get a free property management consultation.

Do I Need Homeowners Insurance For A Rental Property

Thu, 13 Jan 2022 21:50:02 GMT

Insurance is necessary to protect you from all of the risks you face as a landlord . There are different options available for homeowners when choosing the right insurance policy, and the decision to purchase requires careful thought. For example, homeowners insurance differs from Landlords Insurance.

We want to share how to choose the appropriate insurance for your property and the benefits. Our team truly desires that our clients enjoy a lifetime of successful property ownership, and property insurance is one detail you should not overlook.

Best Rental Property Insurance

The best rental property insurance is one that matches your property’s specific use to the risks you face as a landlord. Choose a reputable company that offers the coverage you require at the very best market rate. The cost of your rental property insurance will be related to things such as; the geographic area, the coverage amount you select, and the length of time you rent the property throughout the year.

Other things that will affect the cost of property insurance include the roof type, age of home, and distance to the coast. Landlord Insurance is the best rental property insurance if you leave your home rented out for six months out of the year or longer. There are many reasons that this is the case. Keep in mind that the best coverage for you is not always the cheapest. Because of the increased protection that landlord’s insurance offers, the cost may be on average ten to twenty percent more than a standard homeowners insurance policy.

Benefits of Landlord Insurance

Landlords Insurance is beneficial to property owners because they can choose from different options for keeping their rental property covered appropriately. Landlords may decide how much personal property coverage is right for them. A common misconception among people is how a landlord insurance policy covers personal items.

Personal items are covered differently from the standard homeowner’s insurance policy. Landlord insurance likely will not cover gadgets you leave at your rental property unless they serve the property. However, it may help cover items such as a snowblower or lawnmower that you store on the site to help maintain the property.

Landlord Insurance Coverages

Landlord insurance has many of the same coverages as a standard homeowner’s insurance policy; Dwelling coverage is the amount used as the limit to repair or replace your property after a covered loss. Other structures include buildings such as a garage or shed separate from the dwelling.

Liability coverage for a full-time rental is different because it typically only provides liability coverage relating to the rented premises. That means any accident or injury you are held legally responsible for is covered if it happens to someone at the property you are renting out. As an example, let’s say a broken floor tile causes your tenant or one of your tenant’s guests to fall.

You may be found negligent for leaving the property in disrepair and forced to pay for the injured person’s medical bills and lost wages. Liability insurance will help protect you from the financial loss associated with this accident, including legal defense and a portion of your lost wages when attending trials and hearings.

Fair Rental Coverage

You can only purchase fair rental coverage with a landlord policy. It is a beneficial coverage that protects the income you generate by keeping your property rented out. When a covered accident causes the property to become uninhabitable , your insurance policy will pay you extra to compensate for your losses.

Look at your policy closely, and ask your insurance agent to tell you the exact limits. Limits are typically for a maximum of 12 months until you fix the property and up to a certain amount shown on your policy.

Renters Insurance for Rental properties

Many landlords require tenants to have coverage for their items such as furniture, clothing, and appliances before they move in. That is because your landlord’s insurance policy does not cover any of those things. Remember, landlords insurance only covers personal items you leave at the property to maintain it.

Renters who live at your property can purchase a renters insurance policy that offers $25,000 worth of coverage for only a few hundred dollars a year in most cases. Renters insurance also provides liability and medical payments coverages.

We hope that you now have a better understanding of how insurance can help you as a landlord and the benefits of owning a good policy. Please contact us with any questions. We look forward to serving you.

How to Get More Rent for Your Tampa Home

stephen.fox@upkeepmedia.com (Stephen Fox) — Thu, 30 Dec 2021 21:08:46 GMT

You have spend a lot of time and money on your investment property. So it only makes sense that as a landlord, you want to charge as much rent as you can for your property. However, the amount of rent you charge must be fair. This means that your property should charge the same amount of rent as comparable properties.

Lucky for you, Florida does not limit the amount of rent you charge. You can raise the rent as much as you want. So how do you get more rent for your property? We’ll show you!

Compare Your Property to Others when Determining Rent

If you want to get as much rent as you can for your rental unit, you are going to need to do some research. Begin by evaluating your property carefully and honestly. Consider things such as:

How is the curb appeal?
How many bathrooms does your property have?
Have the bathrooms and kitchens been upgraded recently?
Are the windows new?
What kind of flooring does the unit have?
Does your property feature amenities such as a dishwasher, washer and dryer, parking, and an outdoor living space ?
Is the location of the property desirable?

The next step will be to do your research in the neighborhood and see what comparable properties are renting for. You can check the local MLS listings to find this information. Likely, similar properties are renting for a similar price.

With this in mind, to get more rent for your property, you will need to make some upgrades. Continue looking at the local MLS and see what features and amenities properties have that are fetching higher rent. Once you do this, you will know what upgrades need to be made to your property in order to get more rent.

At Advantage Realty Service, we have years of experience managing properties in the Tampa area. Reach out and we would be happy to give you a free rental analysis and also make recommendations for upgrades that can be made to get more rent for your property!

In our experience, these are some upgrades you can make that will increase the desirability of your property. And with desirability comes the ability to increase the rent!

Update Your Kitchen

Renters will be looking for a kitchen that is spacious, bright, and modern. Take a look at your appliances. Consider things such as their age and appearance. If your appliances are old and don’t match, you should replace them. Prospective renters love to see a kitchen with new appliances that look great.

Does your unit have a dishwasher? Typically, a property with a dishwasher will have higher rent than a property without. A dishwasher is a feature that prospective tenants will love to see, and will be willing to pay more rent for a unit that has one.

Revamp Your Bathroom

Just like the kitchen, renters will be looking for a property where the bathroom is bright and modern. Consider upgrading the hardware on the faucets, or even installing a new vanity. If the floor is vinyl, you might consider upgrading to tile, and even tiling the walls.

Does your bathroom have adequate storage space? Shelves and cabinets are easy features to add, and prospective renters will love to see a bathroom that has extra storage space.

Make Sure You have Great Amenities

Amenities are what really make a difference. Think about it. A property with a pool will easily get more rent than a property without. If you really want to raise the bar and therefore raise the rent, consider adding amenities to your property such as the following.

Fenced yard - Many renters have pets and therefore a fenced yard is desirable. If a prospective renter has a four-legged friend that is a dog, then they will be drooling over a property with a fenced yard.
Washer and dryer - Having these appliances really makes a property feel like home. Nobody wants to lug their laundry to and from the laundromat. Prospective renters will be washed away by a property that features a washer and dryer !
Dishwashe r - As previously mentioned, a dishwasher is an appliance that tenants will be looking for. Add one to your property, and you will fetch more rent than a property without.

These are just a few of our favorite things. Reach out, and we would love to discuss what other amenities are not only popular but affordable to add to your property.

Bottom Line

There you have it! Raising the rent isn’t as simple as changing the amount. If you raise the amount of rent you are asking for, but comparable properties are renting for less, then your unit is likely to stay vacant.

If you do your research and make upgrades to your property, then you’ll be increasing the rent in no time. What’s more, if you make these updates to your property, tenants will be happy and be more like to stay long-term!

For help managing your rental properties reach out to the experts at Advantage Realty Services today !

Deep Cleaning Tips to Attract Potential Buyers/Tenants

Fri, 17 Dec 2021 18:53:05 GMT

So, you've decided to sell or rent out your property ? In either case, getting the best potential buyer or a tenant is going to take some work on your end as well. It's all about the presentation. You cannot expect to get a good value if what you're showing them is messy, dirty, and downright ugly. That's where deep cleaning comes into play.

Deep cleaning entails cleaning every nook and cranny, going behind every cupboard and under every appliance. It's the type of cleaning that will leave you exhausted. While this is all for naught, if your property is already in good condition, you should still include it even if it isn't.

Deep cleaning is best done by professionals, says Yorleny Cleaning . However, if you are determined to give it a go yourself, here are a few valuable tips from professionals to make deep cleaning easier.

Declutter The Space First

Before you start cleaning, you need to make sure there's no clutter to get in the way. That means removing all the furniture, appliances, and large items from the place. If it's already in good condition, you can move these things to another part of the house while you're cleaning up.

Start From The Top And Work Your Way Down

This is the oldest cleaning tip in the book. First, handle high, difficult-to-reach surfaces like cupboards, ceilings, and light fixtures. So, you're starting from the top and working your way down.

As for doors and windows, make sure they're all locked and shut tight at this point. If necessary, use a ladder (if any) to reach high shelves and cupboards. For ceilings, use a stepladder to avoid bending or squatting down.

Deep Clean Your Windows

Cleaning the windows is a simple task, but one that brings immense value when selling or renting out your home. Do this by first opening your windows to let in the fresh air. Then, wipe down the outside of these surfaces with a damp cloth before tackling the glass on the inside. Take out any screens and clean them separately before putting them back in their original position.

If you have curtains or blinds in your windows, make sure to dust them off as well. It may seem like a simple task, but it can get pretty hard if not done carefully and correctly. To do a thorough job on both sides of the window, invest in a professional glass cleaning product .

Remove Surface Dust

Dusting is one of those tasks that no matter how thorough you are, there will always be work in a few days. You have to accept that you need regular dusting to keep the property's appearance up.

It's best to start dusting from the top and work your way down. That means taking out furniture like mattresses, wardrobes, cabinets, and dressers before you move on to other surfaces.

Thoroughly Clean The Floors

Next on the list are the floors. Sweep off any dust and debris that may have fallen over time and in the meantime while you were cleaning higher surfaces. For wooden floors, it's best if you start with a dry mop before moving on to the wet one. Doing this prevents water damage that could indicate poor maintenance.

Once done sweeping up, move on to mopping your entire floor using a mixture of warm water and mild disinfectant cleaning solution to make sure this part is clean at all times.

Always Vacuum Clean After You Sweep

If you have been cleaning up daily or weekly, dust accumulates around corners and edges of tables, doors, cupboards, etc. But if you rarely clean your property (a common occurrence for most), it is time to give things a thorough sweep.

Once you are done sweeping, make sure to vacuum every surface of the house. Since sweeping does not always capture small dust particles that settle between crevices and floors, vacuuming is the only way to remove these.

Cleaning Inside Your Appliances

Appliances are a tricky business. It is nearly impossible to clean them using just a cloth and some water. That is why you need unique cleaning products that will do the job for you.

Most of these appliances should be unplugged or disconnected during this process, so take your time. Follow the instructions on the cleaning product closely after spraying it onto your gadgets. Allow sufficient drying time between steps before you put everything back together again.

With these few tricks, you should see an improvement in the look and feel of your home. It may seem like hard work at first, but you'll find that it can immensely increase the value of the property you are selling or renting.

What to do if the Security Deposit Doesn’t Cover Unpaid Rent

Tue, 30 Nov 2021 21:47:49 GMT

Besides rent, a common move-in cost for tenants is a security deposit. Collecting a security deposit helps protect landlords against financial liabilities that may arise due to a tenant’s negligence or carelessness.

Normally, security deposits are refundable at the end of the lease term so long as the tenant abides by the terms of the agreement. But, what do you do if your tenant fails to uphold their end of the bargain? Suppose, they move in with their partner, move to another town to be closer to work, or simply want to downsize.

In such cases, the security deposit may not be sufficient to cover unpaid rent. The following are tips on what to do in this event:

Notify Your Tenant

This is the first course of action you should take before withholding your tenant’s security deposit. In Florida, the law requires that landlords inform their tenants within 30 days after the tenant moves out. If you fail to do this, you may forfeit your right to make any deductions to your tenant’s deposit.

In your notice to the tenant, you must state two important things. You must list your reasons for wanting to withhold the tenant’s deposit, and inform them that they have 15 days from receiving your notice to contest your claim. Furthermore, you must send the written notice to the tenant by certified mail. It’s your tenant’s responsibility to provide you with their forwarding address.

If the tenant chooses not to object to the claim, you’ll have 30 days to return the remainder of the deposit. However, if the tenant does object to the claim, either party can move to court . The party that receives a favorable ruling will then be awarded the court-ordered sum, in addition to receiving reimbursements for court costs and attorney fees from the losing party.

Send Your Tenant a Demand Letter

This is another option you may pursue if your tenant’s security deposit doesn’t cover unpaid rent. For the demand letter to be effective, there are a couple of things that you must do.

For starters, be polite. While it’s natural to be upset by missed payments as rent is necessary to see returns on your rental investment, you must avoid any personal attacks on the tenant. Furthermore, as the landlord, you must always be direct. If the tenant owes you $2,000, ask them for that amount. You can also let your tenant know that you may pursue legal action against them if they fail to meet your demands.

Consider Moving to Court

If your tenant chooses to respond to your demand letter and pays the overdue rent, then you don’t need to take further action. However, if they choose to ignore your notice, a small claims court may be your only solution.

Of course, the court will allow each party to present their case before making a final decision. If the judgment is in your favor, your tenant will be ordered to pay the rent owed plus the costs associated with the suit.

Proceeding to court has its downsides, however. The following are some reasons why you may want to consider other options:

The court process can be time-consuming - Preparing for the case, organizing evidence, conducting the research, and attending the hearing can be a lengthy process that can take you away from your other tasks .
There is a risk of losing money - You’ll need to pay a fee when filing the case with a small claims court.
Collecting the money owed may not be easy - Even after winning a case, you may not be paid immediately. If your tenant doesn’t have the funds on hand, you’ll need to continue with the case or wait until they have money available.
You may have insufficient evidence - To win your case, you’ll need to have proper and comprehensive evidence against the tenant.
Your tenant may take legal action against you - Before taking your claim to court, make sure that you have acted per the law. If you haven’t your tenant may retaliate by countersuing you.

Tips to Prevent Your Florida Rental Property from Getting Damaged

There are a few things you can do to keep your rental property safe from negligent tenants.

Only Rent to Tenants that have Undergone the Screening Process

Don’t take chances with your tenants. The best way to prevent renting to a problem tenant is by implementing a thorough tenant screening process.

An effective tenant screening process examines a tenant based on their:

Criminal background
Eviction history
Monthly income
Employment history
Creditworthiness

Document the Property’s Condition Before the Tenant Moves Out

This process is also known as a walk-through inspection. While Florida tenants don’t have a legal right to request one before moving out, it’s beneficial for landlords to conduct walk-through inspections. This enables landlords to document the property’s condition relative to the move-in state.

Inspect Your Property Regularly

However good your tenant may be, no one else will care for your property like you would. So, make sure you monitor your property regularly. Ideally, you should conduct the inspections at least four times a year.

Additionally, your lease should mention the specific times you’ll inspect the unit. Before making any entry, make sure to notify your tenant . Florida law requires landlords to provide their tenants a notice of at least 12 hours before entry.

Summary

Renting out a property carries a certain level of risk, including nonpayment of rent. The best way to mitigate these risks is by hiring an experienced property management company . Advantage Realty Services has decades of real estate experience in Tampa, Florida. Get in touch with us today to learn more about our services!

Florida Security Deposit Limits and Deadlines

Fri, 29 Oct 2021 20:36:50 GMT

Property ownership and lease management can be complex, in particular when landlords require certain fees before a tenant can move in. One such fee is the tenants security deposit. Under normal conditions, the security deposit is refundable to the tenant once the lease ends.

Florida, just like other states, has a security deposit law in place. The law stipulates how landlords must handle their tenants’ security deposits. If you are a landlord in Florida, the following is everything you need to know about handling a tenants security deposit.

Why Landlords Collect Security Deposits

There are multiple reasons for why landlords collect security deposits. By collecting a tenant's security deposit, Florida landlords can safeguard themselves against financial liabilities emanating from:

Failure by the tenant to pay rent.
Excessive property damage caused by a tenant’s negligent actions.
Unjustified lease termination. For example, breaking the lease to move closer to the new place of work.
Failure by the tenant to clear their utility bills when moving out.
Property abandonment by the tenant.

If the tenant does any of the above, you have a right to make deductions from their security deposit. However, Florida security deposit laws do state that the security deposit cannot cover normal wear and tear.

Are There Limits to How Much Landlords Can Charge as a Security Deposit?

No. Florida security deposit law states that Florida landlords aren’t limited to how much security deposit they can charge their tenants. But even in the absence of such a limit, landlords in Florida generally don’t charge a deposit exceeding that of two month's rent.

This security deposit practise works because landlords understand how counterproductive overcharging their tenants can be. It may make filling vacancies harder and increase tenant turnover rates if tenants struggle with the advance rent payment.

How Must Landlords in Florida Store Security Deposits?

Florida landlords must store their tenants’ security deposits in either of the following three ways:

The first option you have is storing your tenant’s security deposit in a normal account. The non-interest-bearing account must be located within Florid a . Also, you must not commingle the tenants security deposit with any other funds.

The second option you have is storing the tenant’s security deposit in a separate interest bearing account. You must adhere to some rules in this regard. That is, not mixing the money with your personal funds, and paying the interest directly to the tenant. Should the tenant break their lease, no interest will be due to you.

The third and last option you have is posting a surety bond. The surety bond must be in the amount of the security deposit, or $50,000, whichever is less.

Do Tenants have a Right to be Notified After Receipt of Their Deposit?

Yes. As a landlord, you must send an initial written notice no more than than 30 days after receiving their security deposit. This must be a written notice and must state the following:

Where and with which financial institution you are holding the tenant’s security deposit.
How you are storing the tenant’s Florida security deposit, be it in a non interest bearing account or otherwise.

If storing the tenant’s security deposit in a seperate interest bearing bank account, the amount of interest the funds are accruing. You must deliver the notice either in person or by certified mail. What’s more, if for whatever reason you move the security deposit, you must let your tenant know of it within 30 days.

Can Landlords Withhold Part or All of a Deposit?

Yes. Landlord's claim or withold security deposits for certain reasons. The reasons are as follows:

To cover unpaid rent .
To cover damage exceeding normal wear and tear.
Cover unpaid utilities.
To cover the cost of cleaning if the tenant leaves the unit in a messy condition.
Cover any other violations of the written lease agreement

Do Tenants in Florida have a Right to a Walk-through Inspection?

No. Florida tenants don’t have a right to a walk-through inspection before moving out of their rental premises. A walk-through inspection helps document a property’s condition relative to its move-in condition.

Can a Florida Landlord Ask for a Pet Deposit?

Yes. You may be able to ask for an additional pet deposit from your tenant. Typically, the deposit ranges from $200 to $500. In most cases, this fee isn’t refundable after the tenant moves out.

Please note, however, that you cannot ask for a pet deposit or fee for a service animal. Tenants who are either physically or mentally disabled have special rental provisions in Florida. One such provision is being able to rent without facing any form of discrimination due to their disability. So, it would be unlawful for you to ask a disabled tenant who has a service animal to pay a pet deposit.

How Long do Landlords in Florida have to Return Their Tenants Deposits?

You have 15 days once your tenant leaves to return their security deposit (or whatever remains of it). You must also send any interest that has been generated on the deposit over the period the tenants stay.

If you’re looking to make any deductions, you’ll have 30 days to notify the tenant. In the notice, you must let the tenant know of the following:

State the intention to keep part of the security deposit and list the reasons for doing so.
If the tenant objects, they have 15 days to contest any deductions once they receive them.

You must send the notice by certified mail to the tenant’s last known forwarding address. It’s the responsibility of the tenant to provide you with any forwarding addresses. If they don’t, you’ll have no obligation to provide the tenant with written notice of the security deposit.

What Happens If the Landlord Sells the Property?

When this happens, Florida landlord tenant law states that you must transfer the security deposit , plus any generated interest, to the new owner. You must also provide a receipt showing the amount transferred. Once you do this, you’ll be relieved of any responsibility for holding the tenant’s deposit.

What if You Fail to Return the Security Deposit on Time?

A tenant may be able to sue you for wrongful withholding in a small claims court in Florida. If successful, they may become entitled to the costs of the suit plus reasonable attorney’s fees.

Summary

Property ownership involves adhering to these security deposit rules, which is incredibly important if you are a Florida landlord. You must not only understand the legal rules surrounding security deposits, but the unofficial rules too, like not charging more than two month's rent for a security deposit. If the conditions seem overwhelming for you, hiring a professional property management company can be the best solution.

Advantage Realty Services understands all Florida landlord-tenant laws and can help you in all legal and property management matters.

Disclaimer: This blog isn’t a substitute for professional legal advice. Get in touch with a qualified attorney or an experienced property management company for further assistance.

Is a Month-to-Month Lease Better for Landlords?

Thu, 23 Sep 2021 20:56:10 GMT

Landlords are often faced with the option to offer a month-to-month lease or a fixed yearly lease to renters. There are benefits and drawbacks to offering a month-to-month lease agreement.

This post will explain what a month-to-month lease is and details the pros and cons of using it. If you want to learn more, keep reading!

Defining a Month-to-Month Lease

A month-to-month lease is a legal contract between a landlord and tenant that renews automatically every month. This will only end when one party sends provides the other with a 30-day notice. There are two variants when it comes to month-to-month leases. It can be an extension of a prior leasing agreement or it could be a signed month-to-month binding lease from the start.

Here are some benefits and drawbacks to contemplate before deciding on a month-to-month lease arrangement:

Benefits of a Month-to-Month Lease

Generally speaking, month-to-month lease agreements allow landlords and tenants a lot more flexibility. Some of the advantages include:

Flexible End of Lease Dates

Typically, when you have a long-term lease, you can’t ask the tenant to leave your Florida rental property in as little as 30 days. As a legal agreement, you need to finish the stated rental term period. In contrast, month-to-month leases would only require one party to notify the other of non-renewal of the agreement within a space of 30 days.

New landlords can also take advantage of this as they become more familiar with the ins and outs of managing properties. For instance, a landlord can hone in on their tenant screening skills.

If you miss something in the screening process but you have a long-term lease agreement you can be stuck with a renter that’s not high quality and have little control over increasing the rent or changing the rental rules. With a month-to-month lease, you have the ability to make a correction to the agreement or serve the tenant with a 30-day notice.

Rent Price Adjustments

A month-to-month lease permits a landlord to adjust the rent rate quickly. If they anticipate a peak season, they can notify the current tenant and proceed to increase the rate due to a higher demand for rentals. Instead of waiting an entire year for the end of the tenancy, no time is wasted thereby providing optimal earnings.

No Penalties for Breaking Agreement

Since a month-to-month lease is short-term in nature, ending the lease is bound to happen. There’s little legal consequence for breaking the lease as long as the proper notice has been sent. Therefore, landlords have plenty of wiggle room when it comes to suspending the contract.

Policy Changes are Easier

Just like rent price adjustment, you can also adopt new rules as soon as the month-to-month lease terminates. With a longer-term lease, you have to wait for a while or include addendums to the original signed agreement. If you wish to create new rules, it’s far easier to do so in a month-to-month lease.

Drawbacks of a Month-to-Month Lease

Even if the upsides are plentiful, there are also disadvantages to implementing a month-to-month lease. The temporary nature of a month-to-month lease lends a conditional environment. Sometimes, the demand for Florida rentals is high and at times, you might find yourself short of renters.

Disadvantages of a month-to-month lease agreement include:

Uncertainty

While flexibility can be positive, this also means a tenant can leave anytime provided they give you proper notice. Finding quality renters can also be short-lived. Normally, you’d want them to stay longer to earn a consistent income and reduce your stress.

Short Notice

It can be challenging to find new tenants within a month. Filling a vacancy right away can induce stress. It also requires an investment of time and money to market your units. What’s more, this short timeframe can lead to making unwise decisions due to the time pressure. Your tenant screening might be inadequate due to a lack of time.

Unpredictable Income

On a peak season, your flow of renters may be continuous. However, when turnovers occur and you’re unable to find a suitable replacement, your income suffers. Thus, a month-to-month lease can mean accepting unstable earnings.

Signing a Month-to-Month Lease

To protect your interest in case there’d be legal confrontations, later on, it’s best to have a written lease even when it’s a month-to-month one. You don’t need to sign a new lease after each month ends provided you have a Holding Over clause in your contract.

The Holding Over clause ensures the continuity of the agreement on a month-to-month term once the tenancy date ends every month. This clause makes it easier to hold up the agreement without signing a lease every month. It also protects your interest should a tenant refuse to leave when the rent period is over.

Defining the 30 Days’ Notice for a Month-to-Month Lease

Thirty days is the minimum period required to send a notification to the landlord or tenant indicating that the month-to-month lease will expire. But this can also be given ahead of the 30-day period.

Other than the tenancy’s end, the 30-day notice can also apply to policy changes and rent price increases. So long as the renter is given the clear directive within thirty days then changes can be made. It’s also worth mentioning that rent increase notices should be put in writing.

When making changes to the lease agreement ensure that you are always following Florida’s landlord-tenant laws .

Bottom Line

Now that you have an idea of the benefits and drawbacks of using a month-to-month lease, you can make a more informed decision about whether or not it’s the right kind of agreement for you. You need to weigh whether flexibility or stable earnings are your priority.

If you want to avoid frequent marketing of a vacant rental then maybe a fixed-term lease is more fitting. On the other hand, a month-to-month lease can offer you more room for adjustments in terms of price and policy changes. This can be helpful to a new landlord .

For help managing your rental properties contact the real estate experts at Advantage Realty Services today!

21 Terms All Real Estate Investors Should Know

Wed, 25 Aug 2021 17:21:45 GMT

As a property investor , you need to keep up with the real estate lingo. This speeds up the transactions when you’re selling or buying properties. Being up-to-date with the current terminology improves your understanding of the basic concepts . Brushing up on the meanings from time to time also helps you familiarize yourself with the ideas again.

Here are some of the common terms you’re likely to encounter as a real estate investor:

1. Rental Property

This is the property where rental income is generated. Tenants pay a fixed amount to stay in the property. The rental property can be designated as residential or commercial real estate.

2. Short-Term Rental

This type of rental is rent-ready and it’s typically furnished for a shorter stay. It usually houses tourists. This rental can be a condo unit or apartment and is commonly found in Airbnb advertisements. Short-term rentals are often holiday rentals or vacation homes.

3. Long-Term Rental

This type of rental fits long-term tenants and can be left unfurnished. Investors often opt for long-term rentals to accumulate profit over a longer duration. Long-term rentals are usually rented out for a year or more. These are regarded as traditional rental units.

4. Appreciation

Appreciation refers to the increased value of the real estate property that you own. Factors that affect appreciation are heavy demand, inflation, and less availability of properties.

5. Off-Market Property

Sometimes, some properties are unlisted but being sold or had been sold absent of public knowledge. These properties are labeled as off-market properties since their sale is not advertised.

6. Internal Rate of Return

The internal rate of return is used to measure the profitability of an investment. This informs investors of the average returns they can expect every year from a real estate investment. This is computed as a percentage.

7. Real Estate Agent

Real estate agents are professionals that can represent buyers or sellers during real estate transactions. This is the usual entry point for a career in real estate. Most real estate agents are hired by real estate brokers.

8. Realtor

Realtors perform the work of agents and are licensed to represent the buyers or sellers in the transactions. They’re also members of the National Association of Realtors. Realtors are expected to adhere to the code of ethics and standards of NAR.

9. Real Estate Broker

Real estate brokers can function independently and open a brokerage. As licensed professionals, they can act in the interest of the property buyer or seller. They can engage the services of several real estate agents to work under them. Having finished higher tier training and fulfilled the licensing requirements, they can easily grasp and manage the technical side of real estate transactions.

10. Rental Property Calculator

A tool online, rental property calculators are useful to property investors. It makes it easy to find the rental property’s cash flow, investment return, and cap rate. Simply entering in the property’s purchase price, property expenses and financial costs can reveal its profitability.

11. Net Operating Income

A net operating income is the amount that the investor gains once all the property expenses are deducted from the annual income. An investment property owner has regular expenses such as property tax, utilities, and property management charges.

12. Pre-Approval Letter

Banks or lenders issue pre-approval letters for a potential mortgage. It will inform the receiver of their qualifying amount for the housing loan. This assures the property sellers that a buyer has a legitimate source of funding. Pre-approval letters are still subject to final approval and will depend on the current circumstances surrounding the borrower.

13. Seller’s Market

In a seller’s market, the pricing power shifts to the sellers. There are fewer available properties so the demand for them is higher. Sellers can enjoy the increase in sales price in this market condition.

14. Buyer’s Market

In a buyer’s market, the pricing power shifts to the buyers. The supply of properties is greater than the demand. This pushes the prices down so buyers get to enjoy the reduced prices in this market condition.

15. Cash Flow

Cash flow can be either positive or negative. It’s the leftover amount that an investor can claim once all the operating costs and mortgage loans are paid. If the expenses are lower than the earnings then this is termed as positive cash flow. If the expenses are higher than the earnings, this is called negative cash flow.

16. Rental Income

The tenant pays the landlord regularly for staying in the rental. This money is known as a rental income.

17. Credit Score

A credit score helps evaluate if a person is creditworthy. A high credit score is rated as positive. It means that the person can be trusted to be financially responsible and pay off liabilities. A low credit score is risky for lenders and landlords.

18. Single Family Home

A single-family home is a stand-alone property that has its own kitchen and does not share any part of its structure with another dwelling.

19. Multi Family Home

A multi-family home is a building where several families can live separately. This structure can either be an apartment, duplex, or townhome.

20. Closing

Closing is the last step in the home purchasing or selling transaction. Upon closing, the property ownership is legally transferred from the seller to the buyer. All payments are made and cleared. The new owner can now begin moving in or upgrading the property.

21. Fixed-Rate Mortgage

A fixed-rate mortgage entitles the borrower to pay the same interest rate over the duration of the loan. This assures the buyer of stability in the payment charges. Most borrowers opt for this type of loan since it's predictable.

Bottom Line

These real estate investing terms will become more familiar to you as you entrench yourself deeper in the real estate industry. As a new property investor or an out of state, long-distance landlord , you’ll communicate better knowing the meaning behind these common terms.

If you would like help managing your rental properties reach out to the experts at Advantage Realty Services today!

When Does a Guest Become a Tenant?

Wed, 21 Jul 2021 19:47:48 GMT

Sometimes a tenant's guests can overstay their welcome. While this might not seem like a big deal, it can actually become costly for the property owners. As a landlord, you want to discourage guests who stay too long because they have the benefits of a tenant without the responsibilities.

If you want to know the difference between a guest and a tenant and would like to know how to address the issue of guests overstaying their welcome, keep reading!

What is a Tenant?

The tenants are the people who signed the leasing agreement with you. Their identities are verified. You have access to all their important information such as their contact numbers. They’re obligated to pay the rent every due date and are held responsible for maintaining the rental unit to keep it damage-free.

What is a Guest?

Guests are people that the tenants know. They can stay for a reasonable time in the rental unit. They’re not obliged to pay the rent or deal with property damages or repairs in the same way a tenant is. They can pose a risk if they start acting like tenants and turn into long-term guests.

Importance of Lease Signing

All occupants living in your unit should be accounted for. Getting a tenant to sign a lease agreement means they’ll be protected under the law. They also become legally accountable for things such as their duty to pay the rent by a certain date each month.

Additionally, they’re tasked to comply with the tenant responsibilities under the lease agreement and landlord-tenant laws.

Signs a Guest has Turned into a Tenant

There are several ways to gauge whether a guest has become a tenant or not. Check to see if the guest is:

Spending every night at the rental unit
Directing and receiving mails at the rental unit
Transferring their furniture into the unit
Reaching out to request maintenance services

These clearly show that the guest is establishing residency in your investment property . To avoid any confusion, your leasing agreement should include the acceptable period for guests to stay. You can outline a 10-day to 2 weeks period as an acceptable arrangement for guests to stay every 6 months.

Examples of Tenants vs. Guests

Elderly parents are labeled as tenants when they’re dependent on their children and have moved into the premises. However, they’re considered guests if they only visit for a few weeks.

Significant others or friends are categorized as tenants if they’re spending a maximum number of days and nights at the rental for several weeks and months already. On the other hand, they’re deemed as guests when they only visit during the daytime no matter how frequent.

Nannies or hired helpers are treated as tenants when they start living on the rental property. They’re considered as guests only when they’re keeping normal business hours or only spend the night on occasion.

Including the Guest to the Lease

It’s important to have a record of all people living in your rental unit . This is for legal protection so you know the identities of everyone staying on your property. Asking your tenants to add the overstaying guest or new roommate to the lease is essential.

Even if it’s awkward, it’s in your best interest to open that line of communication. It’s good to determine if the new occupant wants to be welcomed as a rightful tenant. What’s more, discussing the rental cost and expectations of living as a tenant will extend protection to all the parties in your rental.

Otherwise, you can notify the signed tenants that they’ve committed a violation of the lease. This can mean canceling the agreement, but before it comes to that, it’s better to reach a mutually satisfying agreement on dealing with the new occupant. Either the guest can continue on as a tenant by being included in the lease, or they can move out of the rental space.

Taking a Proactive Approach

Managing this scenario is far easier when you have an honest talk with your tenant on rules about guests. In fact, to make matters clearer, a provision for guests should be written clearly on the lease to prevent confusion. It will also make the tenant understand the repercussions of breaking the policies stated in the lease.

You can state in your lease that only a tenant’s immediate family and friends are allowed to stay as guests. The lease can also state that beyond the 2 weeks allowed stay every 6 months, guests will be considered a tenant and be added to the rental agreement. The landlord then has an option to raise the rent when the guest is now considered as a tenant under the lease.

Important Reminder When Accepting Rent Payment

Never take any rent money from a person that has not signed a leasing contract with you. You might find that it’s not as easy to remove them from the rental once the payment has been accepted. Ask a lawyer for legal advice to ensure you remain compliant with the laws in your State.

Bottom Line

Being a landlord, you’re in charge of monitoring the tenants in your rental space for safety reasons. It’s your legal duty to know what’s occurring in your rental. If you want help managing your properties and your tenants consider hiring the services of a reliable property management company like Advantage Realty Services !

How To Keep Renters Happy

Wed, 30 Jun 2021 16:37:30 GMT

One of the driving forces behind successful rental management is keeping your renters happy.

Several factors contribute to tenants’ happiness and your job as a landlord is to tap into them. You also have to make sure that you’re consisted when providing care to your tenants.

Check out some areas you things you can do to promote more happiness in your renters.

Craft a Comprehensive Lease

Make your leasing agreement specific and detailed. You must have clear cut policies so tenants know their rights and responsibilities. For example, who is in charge of keeping the grass trimmed if you have a rental that has a front yard? Addressing this issue directly will prevent a confrontation over who’s in charge of the maintenance and this can drastically reduce problems in the future.

Leasing agreements are guides where the renters can review certain procedures. Well-designed leases also saves the landlord’s time as there’s fewer back-and-forth communication. Both the renters and landlord will know what to do thus leading to a peaceful relationship.

Answer Your Tenants Promptly

The landlords are looked upon as the one in charge of operating the rental unit. Renters see them as the go-to person when problems arise. No matter how busy your schedule is, the tenants expect you to pay attention and be responsive to their requests.

If you want to cultivate a better landlord-tenant relationship, you must return calls and fix property damages in a timely manner. Avoid leaving tenants hanging or not keeping your word.

Be available to offer information, update and resolve situations. A responsive landlord earns a lot of points in terms of keeping renters loyal. Prioritize your tenants to show them that you appreciate them and their business.

Develop a Sense of Professionalism

Even if you are the owner of the investment property , tenants deserve respect and privacy while they stay in the unit. You can’t barge in anytime you feel like it without an invitation or notice. People value courtesy everywhere and if you practice being respectful to your tenants , they’re bound to stay longer.

It’s also nice if when your tenants approach you about problems, adopt a reasonable tone and attitude. If you get defensive, this can make a tenant feel intimidated to speak with you.

Respect Your Tenants Privacy

Each tenant has a right to privacy and the laws stipulate this under the “implied covenant of quiet enjoyment.” As a landlord, it’s your prime duty to ensure your tenant’s privacy is protected at all times. Give sufficient notice before entering the Tampa rental property out of genuine respect.

Renters stick around for lease renewal when they feel their privacy is being respected and protected. When privacy and boundaries are observed, you’ll build a harmonious environment. No matter if a tenant extends an invitation to drop in anytime, it still pays to provide notice before the visit.

Perform Regular Property Improvements

It feels good to live in a rental unit where the landlord prioritizes your comfort. When the rental has great amenities and is in top condition , it makes more sense for the renter to stay longer and renew their leases.

Improvements don’t have to spell high expenses. Simply repainting and doing professional cleanings can freshen up the space. You can also opt to update the curb appeal . By paying attention, you can delight your renters and make them want to stay longer.

Provide Tenants with Incentives

You can reward your tenants when they bring in new renters. If you have a limited network, it can be helpful to ask tenants if they can refer people they know. This can mean more savings since there’s less marketing efforts required.

Resolve All Problems

Conflicts are inevitable just like damages coming from natural wear and tear. The best thing to do is is to meet problems head-on to eliminate headaches later on. Less conflicts means a more peaceful environment.

Strive to be on top of things. Listen to the complaints and address them. Tenants tend to stay longer in rentals in a harmonious environment where landlords are responsive and problems are fewer or non-existent.

Survey What the Renters Prioritize

Depending on the type of renters you have, be sensitive to the amenities they need and prioritize them. If your demographics are families, it’s best to equip your rental home with features that families will appreciate like more storage, in-unit washer/dryer or outdoor play areas.

On the other hand, if you have a rental vacation home, you can provide a coffee maker, strong wi-fi connection and kitchen utensils to keep customers coming back again. Satisfied renters tend to book in the same place and refer your vacation rental to their network.

Most importantly be open to feedback from renters . Their insights can help you narrow down what aspects need improving and what is working well.

Bottom Line

Being alert to the needs of your renters can result in them being happy and wanting to stay longer. Regardless of whether your a part-time or full-time landlord , these tasks can be daunting. Thankfully, you can always hire a property management company like Advantage Realty Services to assist you!

Best Areas to Invest in Tampa

Thu, 03 Jun 2021 17:34:36 GMT

Are you considering investing in Tampa , FL real estate? If so, then you’re on the right track. Tampa has a lot going for it right now, including a hot real estate market!

But what exactly makes Tampa real estate stand out from the rest in Florida and beyond? Firstly, the city offers amazing tourist attractions. Tampa is famous for its beaches, restaurants, museums, and parks making short-term rentals a big business.

Secondly, Tampa thrives as a metropolis of economic wealth and industry. The city is home to many of the Fortune 500 companies, like WellCare Health Plans Inc.

Thirdly, there is a high demand for housing. Generally, this is fueled by population increase from tourism and retirees.

In this article, we here at Advantage Realty Services will go over the top areas in Tampa that you could consider for your next property investment.

Best Tampa Neighborhoods to Buy Real Estate

Location, location, location – it’s every real estate agent’s mantra, and for good reason.

The right location can offer incredible returns on your investment, but the wrong one can result in significant losses. That’s because location can have an impact on anything from appreciation values to vacancy rates and everything in between.

The following are qualities that make a real estate location ideal:

Expected appreciation in the future
High rental income
Relatively low running costs
Reasonable real estate prices
Access to shopping and entertainment options
Proximity to amenities and public services

With that in mind, here are some of the best locations in Tampa, FL.New Paragraph

University Square

University Square is a small neighborhood in the city of Tampa. Its residents enjoy a low cost of living, which makes it particularly popular with families and young professionals.

This cozy community offers great nightlife, plenty of diversity is had a high renter population. The area is also home to many good public schools making it great for family and young professionals alike.

The median home value is currently estimated at just over $91,000 with the median monthly rent price being estimated at just over $1000. University Square has gained popularity from new home buyers because buying a home here essentially allows you to get more space for less money.

Highland Pines

Highland Pines is located on the eastern side of Tampa. It’s estimated that 45% of the population in Highland Pines rents with the median monthly rent rates being estimated at just over $1000. Best of all, home prices have remained affordable.

The area offers outdoor spaces, restaurants and many other fun attractions and amenities for residents to enjoy.

The community is seeing new investors take interest in the neighborhood. They have increased people's interest in buying and renting homes in the area by buying, renovating, and selling properties. This, in turn, raises property values and has revamped the areas.

Tampa Heights

Tampa Heights is located slightly north of downtown and south of University Square. The entrance of new businesses and focus on revitalization efforts have allowed Tampa Heights to generate a lot of new attention. The area is also to many wonderful schools and offers great nightlife.

Tampa Heights has seen a rise in population, with the median home prices still remain relatively affordable at an estimated price of $217,307. This is a good bargain, especially considering how close they are to the downtown area. Best of all, about 67% of the population in this area are renters, meaning investors will have a wide tenant pool to market to.

Don’t wait to invest in this growing area, holding off could compromise your ability to see good returns on investment.

East Ybor

Ybor City is a unique community in northeast Tampa.

Home values have been on the rise recently and this can be attributed to real estate investors who have begun renovating the dated homes. Around 48% of the population in the area rent their homes with the median monthly rent priced at $1,030.

Ybor is home to great bars, fun nightlife, and delicious Cuban food. It continues to attract all sorts of people, including prospective renters who’d like to call it home.

Developers are also bringing in more business. As a result, more buyers are moving to the area, especially since median home prices remain relatively affordable.

In a Nutshell: Best Real Estate Market in Tampa

Tampa has consistently ranked among the top 20 locations to invest in real estate. This has resulted in high rental demand with homes still remain affordable. What’s more, the area is a top tourist destination.

If you are looking to buy Tampa real estate, consider the areas listed above. If you’re a first-time investor or looking to expand your portfolio, Advantage Realty Services can help! Contact us to learn more about our property management services and the investment opportunities in Tampa, FL.

Everything You Need to Know About the 1031 Exchange in Tampa

Fri, 30 Apr 2021 15:35:34 GMT

Are you planning to sell your investment property in Tampa ?

If you have done your research right, you must have considered the various Florida state and federal capital gains taxes. Combined, those taxes could rack up to 15% to 30% depending on the nature of your Florida property.

There is a method of temporarily and legally avoiding capital gains taxes on your investment property in Florida. Instituted by Section 1031 of the Internal Revenue Code , a 1031 exchange allows you to sell off your Florida investment property and purchase another of a similar class. Section 1031 has a number of conditions and pre-requisites that must be followed for you to benefit from a tax deferral.

When used correctly, a 1031 exchange has the promise of offering real estate investors a breather when it comes to taxes. As stated earlier, there are quite a number of provisions stated in Section 1031. It is recommended that you rely on an experienced real estate provider who can advise you accordingly.

If your property is located in the Tampa area, the property company to approach is Advantage Realty. We at this company have over 30 years in the industry, helping Tampa, Florida investors maximize the returns and benefits of real estate. In the following post, we will guide you through the exchange and also recommend like-kind properties.

Eligible Properties

Not all properties qualify to be transferred via a 1031 exchange. Only properties held for trade, investment or business purposes meet the threshold.

A primary residence and personal property therefore doesn’t qualify. Another class of property that is prohibited is a fix and flip property. Vacation or second homes, however, might qualify to be sold through the 1031 exchange.

We recommend that you consult a tax expert. Section 280A of the Tax Code offers a usage test that concerns such properties, especially if the vacation or second home is leased out.

An Exchange, Not a Sale

The term sale in a 1031 exchange must be used very lightly. After all, its principal purpose is to facilitate an exchange. For the transaction to be valid, both properties must be held for investment purposes.

Section 1031 of the Internal Revenue Code has been operative since 1921. The provisions of the statute back then gave real estate owners a lot of leeway. Tax Reforms in 1984 brought forth some amendments in interpretation and in the inclusion of a time frame.

In the current disposition, the meaning of ‘like-kind’ properties has been broadened. Tampa real estate investors can now swap a shopping center for vacant land, a farm for an office, and an industrial building for an apartment building or raw land. This allows for some unique exchanges to be made.

A Qualified Intermediary & Time Frames

Prior to 1984, the exchange of business or investment properties was to be done simultaneously. The relinquished property was transferred, and the replacement purchased. This was to avoid any clever dealings by the seller, but it was not foolproof. You can imagine the difficulties, especially when it came to the transfer of funds and titles.

The current 1031 exchange setup allows for a delayed exchange and the inclusion of a third party known as a Qualified Intermediary (QI) . The seller will market the property as usual. Once a buyer is identified and the purchase goes through, the QI steps in. The qualified intermediary will receive the money due from the sale of the property.

Here is where the first deadline begins. The seller must identify in writing or narrow down on a potential property (or up to three properties) within 45 calendar days of the closing of the relinquished one. This timeline is non-negotiable. Failure to submit a proposal within the time limit means that the Florida 1031 exchange will be disqualified.

Another element to consider is the value of the replacement property. You must ensure that its fair market value does not surmount 200% of the relinquished property’s value from the transaction date.

The other important time frame comes after selection of the three potential replacement properties. A 180-day period is allowed for the transfer of the replacement property to the investor. However, if the tax return for that year precedes, this will be the new deadline.

Purchasing of the Replacement Property

The Qualified Intermediary (QI) is the one who holds the proceeds of the sale of the property in Florida. The QI will also be instrumental in the purchase since the law stipulates that the buyer should not have any dealings with the proceeds.

Once one has identified potential replacement properties in Florida, the QI will acquire it from the seller and later on, transfer the property to the investor. The transaction will then be complete.

The Boot

“Boot” is one of the technical terms in a 1031 exchange. It refers to non-like kind property that is received by the investor during the 1031 exchange. This could be in the form of cash, reduction in mortgage owed or use of sale proceeds for invalid closing costs. Any boot that is received by investors is taxable and would defeat the purposes of the 1031 exchange. Investors are therefore advised to consider the following:

Always trade across or up. Without exception, trading down will result in receiving a boot in either cash or mortgage reduction.
During the close, always carry cash to cover certain transaction costs.
Limit the amount of money needed to close on the replacement property.

For All Your Property Needs

A typical 1031 exchange requires extensive research in the market. You will need to complete thorough due-diligence in the selection of property that can match up your relinquished Florida property. There are also a number of conditions that must be met. Otherwise, the 1031 exchange could be nullified.

To ensure the Florida 1031 exchange of your Tampa property remains tax-free, you can call us at Advantage Realty . Our experience and expertise can make the difference between a 15% tax payment and a tax-free exchange.

How to Film a Great Video Tour of Your Rental

Tue, 23 Mar 2021 16:52:01 GMT

Rental video tours are a different marketing tool you can use besides property images. It doesn’t mean that video tours will replace property photos, but it will benefit you more to create a rental video tour as an additional feature. Some people prefer looking at videos than at static images, so your pool of prospects will widen.

If you’re trying to capture more leads for marketing your rental property, there’s benefits to expanding into video, such as being able to reach a new audience. Currently, social distancing has increased people’s decision to stay at home, so they may prefer to watch a video tour first before arranging a property showing. If you catch their interest, then they’ll be contacting you to book a showing.

Are you interested in finding out what makes a video fare well with an audience? Here are some tips to help you maximize the value of marketing your rental through a video tour:

1. Planning

Before shooting a video, you must already know the major selling points of your rental. Doing a haphazard video wastes your time since you’ll be filming for longer. You should already rehearse your route before making the video. Your stride will be confident, and you’ll know the areas of the property to highlight or focus on for longer.

If you’re planning to talk in the video, have a script prepared. The important thing is to maintain a good flow and transition smoothly from one room to the next.

2. A Compact and Compelling Story

A good video holds a viewer’s attention when there’s a good story behind it. Be creative and organized. When providing a voice over, sound enthusiastic. Viewers are more engaged when the video is well made and well thought out.

It’s also important to know where you wish to bring focus. What parts of the property are you highlighting? Does the property sit on a historical land?

Maybe you could create a story around that. Is the architect famous? Build on the information and proceed to talk about the features.

3. Good Background Music

Music sets the mood you wish to convey. So, it’s also an important aspect to include in a video tour. Choose it with great care. Avoid using loud music that can turn off people and make it generic to avoid getting negative reactions.

Most importantly, make sure you get royalty-free sounds. You wouldn’t want to get banned after putting in so much effort into creating a video.

4. Title, Intro and Captions

Creating good video titles is essential to inform people on what the video will be focusing on. Avoid click-bait ones and opt to be more specific.

For example, write “2-bedroom townhouse in xxx neighborhood .” This reveals to the viewer clearly if it will match what they’re looking for. If they’re scouting for a rental in a specific neighborhood, this video will be helpful. If they want a 2-bedroom unit then it will also fit their expectations.

For video introductions, go straight to the point. Don’t leave the best parts for the end. To engage the viewer, start with the features that will be enticing to the target market. Furthermore, don’t forget to add captions since some people need them or like to read captions when they didn’t catch a specific line.

5. Lighting

One of your best allies when creating a video is good lighting . If you want to skip the lighting equipment or avoid color grading your video, plan the time of your video shoot. Good lighting is hard to mimic without professional skills. So, make time to wake up early, around sunrise or shoot in the late afternoon.

Your property looks the best either in the late or early hours of the day. The light is softer, and the shadows are also lighter. You want your video to be bathed in golden light that enhances the images more naturally.

6. Framing

Compose your video well and make sure the viewpoint is aligned. If you’re holding the camera, ensure your hands are steady. If not, consider shooting with a tripod. A shaky video looks unprofessional and you want to engage the attention of the viewers.

Take panoramic shots of the property so the viewer will have a sense of the size. If you’re only zooming in on parts of the house, it’s difficult to gauge the landscape of the property. It’s helpful to have a distant shot that will include the entire property and its space.

7. Length of Video

Some people think a longer video is better. They can include more details or explain more. However, it’s actually advisable to have a quick video tour of your rental. There’s a high risk viewers will skip ahead if your video gets too long.

Three-minutes-and-under videos are preferable and recommended. Try to include everything within this time frame as you want repeat views. Know the essential features that your target viewer is looking for. This prevents you from making a video that’s too long.

Avoid over-explaining features and state the basics instead of an in-depth description. You want to avoid boring the viewer.

8. Landscape Shooting

Make your video more cinematic by shooting in widescreen . This is vital in a property shot since you want the viewers to have a sense of the layout.

Landscape formats are also not new to viewers since TVs, theaters and YouTube uses a landscape format. Sticking to the traditional horizontal format makes the viewer comfortable with watching since it’s familiar.

Bottom Line

A great video tour requires a planned approach. So, take your time to film a good one and focus on keeping it simple and effective. Opt to cut rather than to add more sequences. Make the scenes compact and aim for the best features that create an impact with your target viewer.

If you're looking for more help regarding the listing and advertising of your rental property, contact Advantage Realty Services today. We work our hardest to ensure your rental attracts quality potential tenants and stays occupied for longer.

Reasons to Invest in Tampa FL

Fri, 26 Feb 2021 16:00:04 GMT

Are you planning to buy a Tampa real estate investment?

Tampa real estate property investments have the potential to offer a steady, passive income and long-term wealth.

Investment properties don’t differ from other investments in terms of conducting due diligence. Y ou need to understand what you're investing in, and the associated risks. Without having a clear answer and plan, you may be making risky bets. That’s why it pays to research your property investment destination and understand the rental market in Tampa FL.

When it comes to Tampa real estate investments, you won’t have to worry about a weak market. Consider the tourism potential, advanced infrastructure, and strong economy. Oh, and did we mention the climate yet?

In the following paragraphs, we here at Advantage Realty will outline the major reasons for putting your hard-earned investing dollars into Tampa real estate. You’ll get an in-depth look into the potential of this corner of the Sunshine State.

A Look at the Tampa Rental Market

#1. Affordable Opportunity for New Investors

Not all active investors have accumulated a vast portfolio. Everyone has to start from somewhere. Starting your investment journey in Tampa makes sense as the property investments are relatively affordable.

The early 2020s show that the Tampa property market is one of the hottest in the nation. That’s because the properties are considerably more affordable for first-time buyers than in many other big cities across the States.

Whenever you are investing, it’s smart to aim for properties that get you the most value for every single dollar you put in. Another way to see things is this: you can purchase a cheaper comparable property than elsewhere and put the leftover cash towards future investments.

#2. Dynamic Lifestyle with Endless Activities

You can try out a variety of lifestyles if you live in Tampa. The city together with its surroundings offers a plethora of entertainment options, foodie hot-spots , and opportunities for outdoor recreation.

The Florida Aquarium is a family-friendly attraction that offers interactive programs, including swimming with the fish. This aquarium host over 14,000 animals from the state and all across the world.

Adventure Island can be found just across the street from Busch Gardens Tampa. This is a tropical-styled water park that could fill a whole day with serious fun for the entire family. Thrill slides, chill areas, and private cabanas await!

If you are looking to shop until you drop, Tampa covers all of your retail therapy needs. One of the top highlights of the local shopping scene is Hyde Park Village. You’ll find a variety of local and national retailers in this outdoor center.

#3: Tampa Properties Show Great Appreciation

Tampa real estate is favored among investors thanks to the properties’ great appreciation rates. The past ten years have shown an appreciation of over 30%. Harsh economic conditions fail to diminish this outstanding trend.

When you look at the various projections for the early and mid-2020s, it’s clear that the city is unlikely to experience depreciation. As a property investor, you should keep this is in mind when making your moves.

#4: Everyday Living Expenses Aren’t That High

There’s no doubt that Tampa is a big city. But when you put its daily living costs side by side with comparable cities in the U.S., the averages are definitely more on the lower side.

The lower expenses boost the rental market as people move in to get their financials under control. Tampa investment properties show the greatest return under solid rental market conditions, making it another investing factor to focus on.

#5: Enjoy the Local Tax Benefits of Tampa

Taxes and investing go hand in hand. Since Tampa is located in Florida, you can reap the benefits of the state’s zero individual income tax. Compared to numerous states, Florida is more tax-friendly even if you account for the potential state franchise tax.

#6: Invest in a Diverse Area

Both Tampa itself and Florida as a state are considered diverse places. Since you have people from a variety of backgrounds living and working side by side, the resulting environment boosts creativity, mutual understanding, and respect.

Where to Make your Tampa Real Estate Investment

The city of Tampa covers a wide spectrum of neighborhoods and communities. As an investor, you have a lot of choices in front of you in terms of local amenities, history, educational opportunities, and tourism factors.

Here are some of the top areas with investor appeal in Tampa:

Beach Park

Beach Park belongs to some of the more affluent communities in the city. Most of its area is covered in residential buildings. The streets are quiet. You get convenient access from Beach Park to the city of St. Petersburg across the Old Tampa Bay.

Riverside Heights

The neighborhood of Riverside Heights isn’t that big. But it does provide superb comfort, great amenities, and charming settings to anyone living there. It’s a great place for families as the Water Works Park is located just south of this community.

Ybor City

Ybor City has undergone huge developments in the past decades. The neighborhood offers convenient access to other Tampa areas while having an abundance of things to do in its own quarters as well. Plus, it’s a very diverse Tampa community.

Downtown Tampa

Are you looking to invest in properties that come with the best amenities in Tampa? Then Downtown investments may just be what you are looking for. The area is full of dining and entertainment options. However, the property prices are definitely higher than average.

In a Nutshell: Reasons to Invest in Tampa Real Estate

Tampa is a great pick for property investors. The strong local economy, favorable climate, appreciating homes, and diverse population create outstanding value for purchasing investment properties.

Since the city is big, you have many neighborhoods to choose from. Some of the communities that get investors interested include Ybor City, Riverside Heights, Downtown Tampa, and Beach Park.

How to Make Your Rental Property More Attractive to Tenants

Thu, 28 Jan 2021 14:14:47 GMT

Surely, it is obvious that hundreds of people are moving to Florida every day. Some will want to rent a home, which means it’s a good time to look at your rental property as if you intend to rent it. In other words, take-off your landlord hat and view your property as a potential renter might view it.

1. Look at the curb appeal

We recommend this for sellers of residential properties, and it is also a good idea for rental property owners. It is a popular opinion that renters make up their minds, whether or not to give further consideration, within seconds of seeing the property. The curb appeal is hugely important .

A few things to consider:

Does the landscaping look sad and neglected?
Are the fences, steps, or driveway shabby looking and in need of some TLC?
Is the lawn overgrown and full of weeds? Are bushes and plants in bad shape?
Does the outside lighting provide a sense of security?
If there are porches or outside entertaining areas, are they functional and well lit?

If you have landscape maintenance skills, then go ahead and make improvements. If not, hire someone adept at updating and sprucing up the outside of your rental property. When prospective tenants see that TLC is given to the outside, they will assume that the inside is in perfect shape.

2. Consider professional photography

Be sure to invest in professional photography and videography when listing your rental. Professional photos will accent spaces in ways that your phone can’t. Many renters are looking for videos and are renting sight unseen. Give your property every chance to receive viewing from all the places you’re listing your rental online.

3. Do not neglect security

On your walkthrough, pay attention to doors and locks. Safety and security are a concern to most tenants. If doorknobs are loose or don’t latch correctly, fix them. It’s those little things that mean a lot to renters. And they speak volumes on your care of your property as a landlord.

4. Work on your kitchen

Take a serious and in-depth look at the kitchen. If the appliances are old and in a state of disrepair, consider replacing them because the kitchen is an important part of most homes. Older appliances can use up electricity and drive up the monthly bill. If you pay for the utilities, then you will want to invest in Energy-Star certified appliances . If your tenants pay their own bill, they will be grateful for the upgraded appliances. It will also save you the headache of calls when the appliances are failing continuously.

Cabinets that show lots of wear and tear are not attractive. It isn’t necessary to replace cabinets. Robin Knapp, the owner of Custom Closets and Cabinets in Tampa, suggests that doors and hardware replacements on the cabinets make them look new again. This process is referred to as kitchen cabinet refacing and is more cost-efficient than replacement. Countertops don’t have to be the latest trend in materials and colors. Take advantage of places that sell discounted countertops. Many specialize in offering inexpensive solutions for rental properties.

Paint and lighting will give an old kitchen a wonderful makeover. If you have carpeting in the kitchen and/or bathrooms, get rid of it. Select some “easy to maintain” flooring products instead. The upkeep of carpets and their tendency to look outdated and dirty is a good reason not to have them in the kitchen and bathrooms.

5. Remodel your bathrooms

Bathrooms deserve good scrutiny. If you were going to rent your rental, what turns you off in the bathroom? Are the faucets dripping? Is the cabinet hardware ancient? Is there any storage? Is it dated because of the flooring? Is the lighting inadequate or outdated? What can you do to make the space more functional and brighter?

Sometimes a coat of paint can work wonders. And having the windows washed, inside and out, can brighten up a living space with only a few hours of work and minimal investment.

The goal is to showcase your rental property in the best possible way. Making the repairs and upgrades that your budget allows can go a long way toward making a good presentation to potential renters. When a property shows that the landlord cares about it, there is usually more incentive for renters to be more attentive and considerate.

Some renovations may increase the value of your property and allow for a rent increase . However, this is not your home, so resist the temptation to put the same time, effort, and money into the rental that you would invest in your own home.

There are real estate agents who specialize in rentals. It might be a good idea to connect with one. They’d give you some advice on how to add value to your rental and make it more attractive to potential renters.

Should you offer a deal to find new tenants for your Tampa Rental Property?

Wed, 27 Jan 2021 13:14:21 GMT

Are you struggling to find reliable, responsible tenants? If so, you should seriously consider ways of making the deal sweeter, such as incentivizing your tenants.

You see, your Tampa rental property may seem attractive. However, that doesn’t make you immune to landing problem tenants every once in a while. Also, there is always the risk of high competition, as well as environmental annoyances such as construction projects, that may drive tenants away.

So, what are you to do when the cards seem to be stacked against you? Well, there is still some hope left. You could, for instance, consider offering a discount to alleviate the nightmare of having a vacant rental unit. After all, filling a vacancy may be well worth the extra expense.

The following are 7 tips to help you land good tenants during hard times.

Tip #1: Lower your fees.

Do you charge excessive, additional costs? If so, lowering them could make all the difference. So, go over your lease agreement and check whether you’re charging raised costs that may be driving tenants away.

For example, waiving your fees for parking or laundry can seem negligible, but would be well worth it. Another fee you could consider waiving is the application fee for credit and background checks .

R emember, tenants won’t rent with you if they feel like they can get a better deal elsewhere. The lost income would be minimal relative to having no rental income every month. But before going this route, make sure that the potential tenant is qualified. Of course, you can do this by screening them.

Tip #2: Discount the rates.

This can be an attractive proposition to tenants. But first, make sure you evaluate your expenses. Check the competition and the rates they are offering. Next, calculate the costs of offering discounted rates against those of an extended vacancy, ensuring your property still remains profitable.

Alternatively, consider offering discounts in exchange for convenience. If a tenant can pay rent consistently every month, consider offering them a reduction for making your life as a landlord life a bit easier.

Tip #3: Consider sacrificing an entire month’s rent.

This may seem ridiculous, at first glance. After all, which landlord would give up an entire month’s rent? But if you consider the money you are losing with a vacant unit, the lost income could be worthwhile.

Because, with a vacant unit, there will be certain costs you’ll still be responsible for paying even with no tenant currently residing there. Such costs include insurance, utilities, taxes, and mortgage – if you don’t own your property outright.

Tip #4: Offer new tenants a warm welcome.

Do you have any tenants that have recently signed a lease with you? If so, consider welcoming them into your building with a gift basket . Doing so can be a great start to building a solid relationship with the tenant.

I f a tenant feels closer to you, chances are that they are likely to renew their lease once it ends. And best of all, putting together a gift doesn’t have to cost you an arm and a leg. Possible options include gift cards to the movie theatre or local restaurants.

Tip #5: Consider upgrading your rental.

This can also be a powerful incentive to prospective tenants. Upgrading your property not only makes your rental more attractive to wannabe tenants, but it also creates more value to you. Just be careful not to go crazy with the upgrades. Choose those that offer the best return for investment.

The following are some upgrades to consider:

Update the bathroom. You can add new light fixtures, and upgrade the vanity.
Give your walls a fresh coat of paint. Something as simple as repainting tired walls can go a long way in revitalizing the look of your home. Remember, though, when choosing a color of your rental property, simple is best.
Convert underutilized space into additional space. Check the home office, family room, or bedroom? Does it have underutilized space? If so, convert it unto bonus square footage.
Upgrade your kitchen. Does your kitchen look like it has seen better days? If so, consider upgrading it. Swap dated appliances for new ones. Add some new hardware to the cabinetry. Also, consider upgrading the countertop.

Go with energy-efficient appliances. “Kitchens sell homes” – this is a phrase that you may have heard before, but in this case, they also rent them. Mismatched and old-fashioned appliances are attention-grabbing, but not in a good way. To save tenants from the eyesore, consider investing in matching and energy-efficient appliances .
Boost the curb appeal. How the exterior of your home looks can make or break your re-renting efforts. So, make sure it looks attractive to prospective tenants. Mow the lawn, power wash the patio, trim hedges, and fix driveway cracks.

Tip #6: Consider creating more flexible terms.

Renting out your investment property can be a huge commitment, and having strict policies can become scary to potential tenants. Relaxing the terms of the agreement can help you make your tenants feel secure in deciding to sign with you.

Some of the flexible terms you can consider having include:

Allow pets in your rental property. In the U.S., the majority of tenants are pet owners. Allowing pets can prove enticing to animal lovers searching for a home that allows their furry friends.
Allow tenants to decorate the apartment. This is sure to lure over some tenants.
Add an early lease termination clause to the lease agreement. This can give tenants a degree of freedom that your competitors might not be offering.

Tip #7: Opt for short-term leases.

This is something that can allow your tenant a bit of flexibility. This may be particularly suitable if you are trying to find a tenant during an off-season.

A vacant rental unit is every Tampa landlord’s worst nightmare. Luckily, with these 7 tips, vacancies will be a thing of the past. It’s all just a matter of analyzing your costs versus the benefits.

If you have any inquiries regarding the content of this post or other areas of property management, contact Advantage Realty Services today.

What is "implied covenant of quiet enjoyment"?

Wed, 23 Dec 2020 16:28:30 GMT

If you’re a new landlord, you might not be acquainted with the term “implied covenant of quiet enjoyment.” This is understandable since it’s a right that tends to be left out of the leasing agreement. However, it’s already fully granted to a renter .

It’s important to have knowledge of the “implied covenant of quiet enjoyment” to ensure that you have the best interests of your tenants at heart. Being able to fulfill this will encourage tenant loyalty and earn you consistent income.

What is an “implied covenant”?

By itself, something that is implied means something that is already in existence, even if it’s not openly discussed or stated. It’s automatically given without conditions. It does not have to be exhaustively explained and discussed in the lease for it to be observed and practiced. An “implied covenant” is granted without bias or discrimination.

What is quiet enjoyment?

Individuals define quiet enjoyment in various ways. More often, it’s also understood as living in a rental space where the appliances are all functioning. It means that the toilet isn’t broken, and the heater works well in the cold season.

Aside from this, quiet enjoyment is understood as living in a place where there are negligible disturbances and noises. It also means that a tenant’s privacy is respected. Entry to the rental unit is only done upon reasonable notice and permission.

What is a breach of the covenant of quiet enjoyment?

Although different renters have differing latitudes when it comes to breaching their quiet enjoyment, situations exist that provide signs of a breach.

H ere are instances where the covenant of quiet enjoyment is not fulfilled:

1. Not providing a tenant with basic utilities and amenities

If a renter has been paying his utility bills religiously, but the landlord has delayed the payments. This can result in a shutdown of supply from the power or water company.

Inevitably, it becomes a ground for a breach in quiet enjoyment. It can be tough living in a place where one doesn’t have access to clean water or electricity. Restricting a tenant from accessing common areas and amenities also constitutes a breach.

2. Invading the privacy of a tenant

Finding out that a landlord has been entering the rental unit without notice to the renter is also a breach. Tenants can’t have quiet enjoyment if they’re always being intruded on. As a renter, one has the right to limit entry to particular people during a scheduled time and proper business hours.

3. Unnecessary restrictions

It is a breach of quiet enjoyment if a tenant is subjected to senseless restrictions. For example, not being permitted to entertain visitors. Having the freedom to organize a party from time to time is part of social enjoyment.

As long as other tenants’ rights to quiet enjoyment are observed, this shouldn’t hamper a renter’s enjoyment of the rental space. If a tenant has not violated leasing conditions, then extreme restrictions are needless.

What is the landlord’s liability?

If a renter complains to a landlord about construction noise emanating from a neighbor’s area, is the landlord liable? No, as the source of the noise is outside of the landlord’s control. Thus, an accusation of violating a tenant’s quiet enjoyment will fall short.

If the noise originated from a tenant’s loud parties in the same building, then the landlord is liable. If a complaint is made and no actions are taken to stop the disturbance, then a breach in quiet enjoyment has occurred. One needs to know the distinct difference between a petty annoyance and a severe disturbance.

Examples of petty annoyances:

Occasional dog bark from a tenant’s pet in the same building
Parties that end before 11 PM
Repair noise that lasts a day or two

Examples of major disturbances:

Regular, loud parties that last beyond midnight
Construction noise, lasting for weeks or months
Howling and nightly barking noise of a pet

What actions should a tenant take when the covenant of quiet enjoyment is breached?

Renters have various alternatives to address the issue of the breach of quiet enjoyment. Before filing a case in court, renters can:

1. Write a letter to the landlord explaining the disturbance in detail.

Making landl ords aware o f the situation allows them to see from the tenant’s perspective. Landlords have the power to directly resolve the problem, so this is a proactive move. This also provides solid evidence that a landlord has been given notice of the disturbing situation.

For the landlord’s part, it’s helpful to respond to the letter sent by the renter. It’s good to have a space to outline how you’re dealing with the issue. This will reassure tenants that you’re working on resolving the problem.

2. Tenants can choose to withhold the rent payment.

This move indicates that the renter is serious about the complaint. It can also incentivize the landlord to hasten the resolution. However, this can also be risky if the state and local laws forbid non-payment of rent.

Check the legal statutes first or consult with an attorney . You wouldn’t want to bear the negative consequences of an illegal action.

3. Tenants can resort to constructive eviction.

A tenant may find that there’s no other solution but to evict themselves. If repetitive complaints fall into the landlord’s hands, but problems aren't getting resolved, it can be frustrating. This may be a drastic move.

However, if a tenant’s health suffered because of the breach in the covenant of quiet enjoyment, moving is easier. The renters can face several consequences, though. They can be subjected to fines, risk not being refunded their security deposit and even be brought to court.

Bottom Line

The implied covenant of quiet enjoyment is a right that must be respected by both the landlord and tenant. The former must create guidelines to ensure that a renter is living in a peaceful environment. The latter must also be aware that other tenants in the same rental property are entitled to the same right to quiet enjoyment.

If you have any inquiries regarding the content of this post or other areas of property management, contact Advantage Realty Services today.

Landlords Can Help New Tenants with their Move

Thu, 10 Dec 2020 16:57:41 GMT

Discover how Landlord and Advantage Realty Can Help New Tenants with their Move in Tampa, FL & Surrounding Areas

When moving into a new apartment or rental home, it is essential to get to know your landlord or property manager. Even better, inquire to see how they can help with your move, because each place of rent might have different requirements about what is or isn’t allowed in your home. There might be guidelines on how the movers enter the building, and more.

On top of those rules, it’s a great way to get to know and establish a relationship with your landlord or property manager, because that will help with future communication.

In this blog written by Florida Moving Systems in Melbourne, FL , we will give you some tips on how to plan a move and coordinate it with the help of your landlord or property manager. They are there to help new tenants and may have some guidelines for you and your hired professional movers to follow.

1. Relationship

Moving into a new place can be daunting and exciting all at the same time. When you are moving into a new apartment building or a rental home, it is essential to get to know your new landlord or property manager. The owner needs to be involved with the move.

You can take advantage of this opportunity to get to know your landlord and who you will be in contact with from there on about rental payments or any repairs that you might need in your new place. It’s nice to put a face who you will be contacting!

2. Planning

Constant and clear communication with your building owner is a must when planning your move-in. When moving into a rental property or apartment, both parties must meet to discuss the provisions of the lease agreement, agenda of the move-in, house rules, and more. Documents according to these topics will need to be agreed upon and signed such as: the Lease Agreement , House Rules, and any notices such as pet policies, lead and asbestos disclosures, pest control notice, and more.

These items, including the receiving of and understanding of a resident or tenant handbook, will help to streamline your moving and storage process. Ask the landlord if the tenant handbook has the information you will need such as: emergencies protocol for fires, earthquakes, and even rules on community areas like lounges, laundry, work out rooms, study areas, and more.

3. The Move

Depending on what kind of complex you are moving into , it is vital to plan and discuss with the building owner if your moving company will need any keys, access codes, and permissions to enter and exit the building freely during the move.

If you live on an upper floor, you may need to reserve the elevator’s use for your movers during the move-in day to make sure the move is not interrupted and is not in the way of the other tenants as well. When planning for the move-in, ask your landlord what the recommended process and procedures for a move-in are to follow their guidelines.

4. Inspections

Upon every new move into a rental property or apartment, the owner of the building should complete an inspection when the move-in is complete. This inspection with the tenant can include inspecting the work done by the moving company to see: move-in damages, missing boxes or any prohibited item after the move-in. An inspection will also involve reviewing the property with the owner. You will need to be shown appliance connections, the water shut-off valve, electrical panel, and more. Once the inspection is complete, both the tenant and owner will sign the move-in inspection form.

There are many steps and topics to discuss when planning for a move. Clear and continuous communication is key between not only the tenant and the owner, but with the moving company as well. With these pieces of advice, you will know how to approach and handle your upcoming move to a new rental home or office.

These moves involve many parties. For this reason, you should keep clear and open communication between all and work together to ensure that the move is efficient and successful.

The Difference Between Pet Deposits, Pet Fees and Pet Rent

Wed, 25 Nov 2020 21:31:49 GMT

One of the ways to make tenants happier is by allowing them to own pets in your rental property. It can be beneficial to you as a landlord since pet owners are likely to stay longer. Pet owners are often faced with the challenge of finding a receptive landlord with regards to pet ownership. Thus, serving this market can be an opportunity for landlords to earn steady returns.

Benefits of a Pet-Friendly Rental

More Prospective Tenants

As stated earlier, only a few rentals are welcoming when it comes to pet owners. Therefore, if you decide to become a pet-friendly rental unit, you’ll have plenty of prospects to choose from. Having a wider prospect pool will lead you to more high-quality tenants.

Responsible Tenants

Tenants who own pets are often more responsible when it comes to performing their duties. Pet ownership requires discipline and the ability to follow rules and regulations. Thus, most pet owners will obey pet policies.

Higher Rent

Renters who own pets already accept that they’ll have to pay an additional pet charge when renting. Naming a higher rental rate won’t come as a surprise for pet owners. As a landlord, you can earn more from a renter who brings along a pet to live in the rental property.

Generate More Income

Aside from a higher rent deposit, a resourceful landlord can also integrate useful services for pet-owning tenants. Pet sitting and pet grooming are lucrative avenues that can earn you an additional income.

Community Support

Landlords that welcome pets in their rental property encourage the community to foster a pet . In your position, you can help reduce the presence of animals in shelters. This support for a cause allows the animals to be given a safe home with new owners.

The 3 Pet Charges

Landlords typically ask pet owners to pay an additional cost in 1 of 3 different ways. It can be in the form of a pet deposit, pet fee or pet rent. Some states don’t allow some types of payments though. To understand each item better, let’s define the types of pet charges.

Pet Deposits

Pet deposits act as a security deposit for a renter. They’re fixed amounts and serve as a buffer against losses or payment for damages caused by the pet. If there are no pet-related damages after a tenancy ends, the pet deposit will be given back to the renter.

Pet Fees

Pet fees act like a ticket, allowing a renter to own a pet. This is a one-time charge and non-refundable. If there are pet-related damages at the end of the tenancy. the renter is liable to pay for the repair or replacement of an item.

Pet Rents

Pet rents act like the tenant’s monthly rental. This is usually a monthly, fixed charge to be paid since the pet is also renting his keep, in a way. The pet rent amount can differ depending on what type of pet a renter has.

Recommended Pet Charge

Pet rent is highly recommended, compared to pet fees and pet deposits. Pet fees can be extra costly. Moreover, pet deposits can be hard to separate from a tenant’s security deposit.

Monitoring both deposits can require more time and effort. In contrast, the simplicity of a pet rent as a fixed additional fee is easier to collect.

Pet Addendum

Normally, landlords attach a pet addendum to the leasing agreement. This will enumerate the acceptable conditions that act as a guide for the tenant . You can usually find the following topics for tenant's agreement tackled in the pet addendum:

Monitor and control the pets at all times
Adhere to local regulations regarding pet ownership
Attend to proper health and hygienic practices on the pet’s waste removal
Reduce the noise disturbance caused by the pets
Attend to the pet’s healthcare and vaccinations
Pay for any damages caused by the pets
Adhere to the acceptable type, size and breed of pet allowed by the landlord
Attach an identification card to the pet.
Provide the owner with a photo of the pet

The pet addendum can also list what type of breaches must be avoided and the consequences of not honoring the conditions. This let tenants know about the repercussions and will prevent violations.

Recommended Insurance

Landlord Insurance

When converting your property into a pet-friendly one, it’s best to expand the coverage of your landlord insurance. Pets can cause injuries and accidents to other tenants living in the area.

As a landlord, you want to protect yourself from great liability. So, if unfortunate events happen, you won’t be dealing with heavy expenses.

Tenant Insurance

For tenants who own a pet, renter’s insurance will shield them from exorbitant costs. If their pet happens to cause injuries to other tenants, they can seek additional aid from their insurance company. The damages will be covered by the policy.

Bottom Line

As a landlord, you need to first take a look at the state laws regarding pet deposits, fees and rents. You can’t ask a renter for a charge that’s strictly prohibited by the law. Afterward, you can decide which type of pet charge to implement.

Before accepting tenants that own pets, it’s best to review your pet addendum. This will be the manual to follow, so make sure it’s clear and covers various situations. The rights and responsibilities of a pet owner must be detailed enough to prevent any conflicts.

If you need an established and reputable property manager in Tampa, Florida, call Advantage Realty Services at (813) 908-8300. Alternately, you can email your inquiries at Karen@advantagerealtytampa.co m. We are experienced professionals that offer a wide range of property management services and prioritize excellent customer service.

Things To Do in Tampa, Florida

Tue, 20 Oct 2020 13:24:40 GMT

Are you looking for fun activities in Tampa, Florida?

There are many reasons to live in Tampa , and its wonderful activities and many “things to do” is just one of them!

Tampa is the third biggest city in Florida, making it a true hotspot in the Sunshine State. As an established Tampa property management company, we know all about the first-rate experiences in the area.

Tampa is full of unforgettable entertainment, endless variety of outdoor activities, and top-class dining opportunities.

In the following paragraphs, we’ll list the most amazing activities in Tampa, Florida . We’ll provide a solid overview of the major highlights.

#1: Walk Along the Bayshore Boulevard

Do you enjoy outdoor activities? The Bayshore Boulevard is a 4.5-mile stretch that allows you to walk, skate, cycle, or jog around some of the top views of the Hillsborough Bay. The historic houses oozing elegance along the boulevard add further appeal.

#2: Eat Your Way Through the Tampa Food Halls

Hall on Franklin is a specialty food hall inspired by European taste in both style and food. It’s one of the local favorites. When you visit Hall on Franklin, you’ll have many dining spots to choose from, such as Fork & Hen and Poke Rose.

However, the crown jewel of Tampa food hall scene is Armature Works. This place covers a whopping 22,000 sq ft and is full of food vendors. The communal seating allows you to enjoy beautiful views of the Downtown and Hillsborough River.

#3: Visit the Florida Aquarium

Get up close and personal with underwater creatures who call the Florida Aquarium home. This is a wonderful activity if you have young children. The exhibition space is big enough for hours’ worth of exploration.

It wouldn’t be Florida Aquarium if it weren’t for its namesake exhibitions on the state’s famous wetland habitats. The legendary attraction of this aquarium is the shark dive. You can really get close to these majestic and frightening sea dwellers.

#4: Enjoy a Day Out at the Hillsborough River State Park

Did you know that a State Park is only a minutes’ drive from Downtown Tampa?

This park is full of fun and exciting activities. If you enjoy exploring on foot, you can explore 7 miles of nature trails. You can also go kayaking or canoeing on the Hillsborough River, which has Class II rapids, a rare sight in the state. Plus, you can do camping, horseback riding, wildlife viewing, and mountain biking! There’s some for everyone.

#5: Stroll along the Tampa Riverwalk

Undoubtedly one of the liveliest spots in the entire city is the Tampa Riverwalk. The incredible promenade zips through Downtown Tampa and offers a nice public space for spending time outdoors without leaving the city.

The southern side has a hip line-up of food trucks that serve tasty snacks and excellent street food. As you make your way up to the northern part, you’ll find play pools and fountains in the Water Works park. It’s definitely a family-friendly spot!

#6: Get Your Adrenaline Fix at Busch Gardens Tampa Bay

One of the most legendary theme parks in the U.S. opened in 1959. Up to this day, Busch Gardens is a local mainstay that covers 335 acres in North Tampa. The park offers a unique blend of adrenaline-spiking rollercoasters and amazing animal encounters.

The first dual tailspin waterslide in the U.S. is located at Busch Gardens. After visiting the large zoo and trying out Florida’s tallest launch coaster, you can enjoy some of the live shows performed by entertainers from across the States.

#7: Explore the Ybor City

To learn some of Tampa’s history, you can visit Ybor City, a historic part of the Downtown dating back to the 1880s when the district was founded by cigar manufacturers.

This fascinating chapter of Tampa’s history is showcased in the Cigar Museum located in the district’s heart. After you’ve visited the museum, you can do microbrewery and bar hopping in buildings that used to be cigar mills.

#8: Shop ‘til You Drop at Hyde Park Village

One of the premier shopping destinations in Tampa is in Hyde Park Village . This is a perfect choice for those who want to skip malls and go through some retail therapy in a commercial district setting.

While the Hyde Park retail space isn’t huge, the close quarters are home to many top brand outlets such as Lululemon, Salt Pines, Brooks Brothers, and Anthropologie.

#9: Spend a Day Visiting ZooTampa at Lowry Park

When it comes to family-friendly attractions in Tampa, the ZooTampa at Lowry Park is one of the top picks. The zoo complex has been open to visitors since the 1950s, but the last decades have seen significant developments regarding attractions and animals.

A major highlight of this zoo is the Primate World. You can see the intriguing great apes such as orangutans and chimpanzees. The Asian Gardens have stunning Komodo dragons and rare, majestic white tigers.

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Guide to the Rent Increase Laws in Tampa, Florida

Mon, 28 Sep 2020 18:02:26 GMT

Are you thinking about raising rent?

As a landlord in Tampa, Florida there are times when you may feel compelled to raise the price of rent. For example, you may need to boost your cashflow, accommodate tax increments, improve the property, or simply match the current market rates.

Whatever the reason for wanting to raise the rent, a landlord must make sure they do so legally. If they increase rent for the wrong reasons, the landlord may end up losing a tenant or find themselves battling a lawsuit.

If you are looking to raise the rent of your Tampa rental, be sure you understand the Florida rental laws and how they impact your ability to change the amount of rent. Keep reading for the answers to some of the commonly asked questions regarding these laws.

Is there a limit to how much a Florida landlord can raise rent by?

Fortunately for you, the Florida laws don’t limit how much you can raise the rent by. This means that you can raise the rent by whatever amount you want. You’ll only need to notify your tenant beforehand with advance notice.

However, it’s good to keep in mind that overcharging your occupants can be counterintuitive. Instead of boosting your cash flow, you may end up losing it entirely if your tenant decides to move out. Finding new renters requires more time and money.

That being said, undercharging your tenant is also something you’ll want to avoid. You will damage your cash flow by leaving money on the table. Prospective tenants also may become wary of renting a property that is renting at an amount lower than the market average. Click here to learn how to determine the correct amount of rent to charge.

Can Florida landlords raise rent during a pandemic like COVID-19?

During the COVID-19 pandemic, many states have passed laws that cushion occupants from being evicted. However, there are still no restrictions (temporary or otherwise) on increasing the cost of rent as a landlord in Tampa, Florida.

That being said, with the uncertainty that exists in the current rental market, you may prefer keeping your original rates as opposed to potentially finding a new tenant.

How much notice do Florida landlords need to give tenants when raising rent?

How much notice a landlord needs to give depends on whether the tenant has signed a month-to-month rental agreement or a fixed-term one. With a month-to-month rental agreement, a the landlord, you need to give your tenant at least a 15-days notice before increasing rent.

With a fixed-term lease, Florida doesn’t have laws that directly address how much notice a landlord should serve their occupants prior to upping their rent. Without a statewide law giving direction, you should look at your lease agreements. Do they mention anything in regards to how much notice should be given in the case of rent raises? If not, then by default, you can only change the terms of the lease after the existing term ends.

Therefore, a landlord can safely assume that the notice period for increasing rent is the same as the one for ending a lease. If your lease agreement also doesn’t mention the notice period for lease termination, then the agreement will fall into the category of month-to-month agreements.

What exactly is a “notice” as per Florida state law?

As per Florida tenancy laws, a “notice” is a physical letter that a landlord delivers to a tenant, either by mail or in person. Click here for an example template of this kind of notice.

What information should the notice relay to the Florida tenant?

When raising rent, the notice a landlord gives their tenant should convey certain important information. In its most basic form, it should state two important things.

The amount the rent increases by.
When this rent increase will go into effect.

This notice must be written and delivered to the tenant, either by mail or in person.

Can landlords in Florida increase rent for any reason?

To increase the rent, a landlord must have a legitimate, legal reason to do so. For example, landlords cannot raise rent for retaliatory or discriminatory reasons.

Under the Florida landlord-tenant law, occupants of the unit have certain rights . These include the right to:

Form a tenant’s union to advocate for the rights of renters.
Join a tenant’s union.
Live in a habitable property.

If Florida landlords raise rent shortly after the tenant exercises one of these rights, a court will probably consider this a retaliatory act. As a Florida landlord, you cannot discriminate against any renters, which means you cannot raise the rent for discriminatory reasons.

The Federal Fair Housing Act prohibits discrimination against the 7 protected classes. These classes are race, religion, familial status, national origin, disability, sex, and color. Florida also protects additional classes, such as ancestry, sexual orientation, and unfavorable military discharge.

Does increasing the rent impact the amount of the security deposit?

Much like rent, Florida doesn’t limit how much landlords can charge as security deposits. Generally, increasing the cost of rent means increasing the security deposit as well. That’s because it's usually a multiple of the monthly rent.

For instance, suppose you initially charged a renter $1,000 a month for rent and $2,000 as a deposit. In such a case, it means that it's 2X the monthly rent. So, if you decide to charge $1,200 as rent, it, therefore, means that you could raise the deposit to $2,400. Make sure to check the Florida security deposit laws and your local laws to make sure you don't take any illegal actions.

Can your occupants object to the increase?

Yes. Your Florida tenant doesn’t have to agree with the increase. In that case, they would continue paying the existing rate until the end of the lease and then move out.

Conclusion

Do you need help with determining how much rent to charge your Miami, Florida tenants? If so, Advantage Realty Services can help. We serve the areas of Monroe, Tampa, New Tampa, Tampa Palms, Lutz, Odessa, Land O Lakes, and Wesley Chapel in Pasco and Hillsborough Counties. Contact us for more information!

Essential Tips for First-Time Landlords

Tue, 18 Aug 2020 21:21:57 GMT

Being a landlord is a great way to enhance your portfolio and bring in additional cash flow. In fact, real estate has produced many of the world’s wealthiest people. Think Leonard Stern, Sam Zell, Stephen Ross and Donald Bren.

That said, to be a landlord is not all sunshine and roses. With the extra income comes a set of challenges – from maintenance costs to problem tenants. It goes without saying that the challenges are more rampant with first-time landlords .

First-time landlords often lack the experience and knowledge on how to go about managing their property. You may not know how to best market your vacant rental, screen prospective tenants or go about enforcing the lease terms.

Luckily for you, this guide will help you become the best landlord you can be.

Tip #1: Market your vacant rental effectively.

A vacant rental unit is bad for your bottom line. Not only does it mean zero income at the end of the month, but it also means you may need to look for funds elsewhere to meet your other obligations like paying taxes and servicing your mortgage.

While yard signs and newspaper ads used to work wonders back in the day, they don’t anymore. To stay light years ahead of your competitors, you’ll need to make use of effective strategies that are geared towards modern-day renters. That may include doing things like listing on top rental listing sites and running social media campaigns to a targeted audience.

Tip #2: Screen tenants properly.

Failure to screen tenants properly is among the top reasons why first-time landlords usually fail. Renting to problem tenants will only yield ‘problems.’ Problem tenants won’t care for your property or pay rent on time, will give all sorts of excuses and won’t renew their leases.

When screening prospective tenants, make sure to have a checklist to help during the qualifying process. Check things like:

How much income they make: If you charge, say, $1,500 a month as rent, then consider requiring prospective tenants to make at least $3,000 a month. This way, you’ll have peace of mind knowing that you have rented to someone that can pay their rent without difficulties.
Their credit rating: The credit rating gives a much clearer picture of the financial wellbeing of a person. As a general rule of thumb, only rent to tenants that have a credit rating of at least 700.
Their rental past: Get in touch with their previous landlords and ask them a few questions. For instance, did the tenant pay rent on time? Did the tenant violate any term of the lease? Do they know that the tenant is looking to move out? Asking such questions will help you learn a thing or two about what kind of a tenant they will be.

Besides making the screening process thorough, it's also important that you ensure the process is fair and equal to all. Asking different questions to different tenants can land you a discrimination lawsuit.

Tip #3: Understand the Fair Housing Laws.

When just starting out, it’s easy to get on the wrong side of the law . You could, for example, ask certain screening questions that may inadvertently land you in legal trouble. Such questions may include:

Do you need directions to the nearest church? That’s because the applicant could assume you only rent to Christians and not atheists, Muslims and Hindus, for example.
How many children do you have? An applicant could interpret this to be discriminatory against their familial status.

Is this a service animal? An applicant could interpret this question to mean that you don’t rent to disabled people.
In which country were you born? The applicant could interpret this as a racist question.

As a general rule of thumb, when screening tenants, avoid questions that touch on the 7 federally protected classes. These include disability, national origin, familial status, sex, race, religion and color. Additionally, you should also check whether your state has added protected classes.

Tip #4: Collect rent online.

Rent is the bread and butter of any investment property. In this day and age, collecting rent via mail is not only time-consuming, but it can also cause endless issues.

Collecting rent online is convenient and easier. It's also faster and more secure. Recurring payments increase the probability that you’ll receive payments on time.

Tip #5: Invest in the right renovations.

Landlording is a competitive business. It’s a constant battle to keep your property looking attractive to both existing and prospective tenants.

However, unlike renovating your own home, with a rental property, you have to weigh the costs against the expected ROI. As such, you need to invest in renovations that will not only attract good tenants but those that will also increase your property’s value.

The following are some rental property renovations that can help you in that regard.

Improve the curb appeal.
Add architectural moldings.
Update hardware and lighting.
Install a glass shower door.
Install a dishwasher.
Create a private laundry space.
Give your walls a fresh coat of paint.
Update the bathroom and kitchen.

Tip #6: Prepare a detailed lease agreement.

A solid lease agreement is also key to ensuring you succeed as a first-time landlord. You'll want to draw up a lease that protects both your property and interests .

If you're just starting, then enlisting the help of a professional attorney or property management company is key. A detailed lease agreement includes important details, such as:

Names of all legal tenants.
The term of the tenancy.
Responsibility for maintenance and repairs.
Important rules about rent.
Rules on landlord entry.

If you find managing a rental on your own daunting, consider hiring expert help. Advantage Realty Services has more than 31 years of property management experience in the Tampa area. Get in touch with us today.

Should I Allow Tenants to Paint my Rental Property?

Tue, 18 Aug 2020 15:50:32 GMT

Are your tenants asking for permission to paint your rental?

Your tenants may feel that your rental property's color scheme affects them negatively. Some colors may affect your renters' mood, and other colors may just not be their favorites.

Most rental property owners paint their property with colors that are deemed neutral, including white and gray. While these colors are likely not to offend anyone, there is still the chance that some people find these homes lack color and character.

When your tenants propose to paint your rental, you have some options on the table. In the following paragraphs, we here at Advantage Realty will go over the main points of what you can do in this type of situation.

What can you do when a tenant wants to paint your rental?

The most likely scenario is that your tenant will propose to paint the rental instead of asking you to do it. The request may come with an offer to pay for all the tools and paint out of their own pocket.

As a landlord, you will have a few paths that you can take when facing such a scenario. Here's what you can do:

Say Yes

The easiest approach is just saying yes. But that positive response carries quite a few risks. For starters, you'll never know how the result will look. If your tenant doesn't have much experience in interior painting, the results may be a bit messy .

Even though there are risks involved, sometimes just agreeing to their proposal makes sense for you as a landlord. For example, if tenant has strong potential for stable, long-term tenancy.

In a similar vein, you may have fought hard to find that tenant. If the market is dry, you may want to keep your renter around so that you don’t risk a vacant unit.

It's still recommended that you go over the details with your tenant. Try to understand what they are exactly aiming to achieve and what kind of color scheme they are going for. Doing this could give you peace of mind.

Say Yes & State Your Terms

Another option is to allow your tenant to paint the rental but attaching some conditions that they need to keep in mind. This will keep things under control while still letting them do what they want.

There are many conditions you can state. You could clearly establish what areas and rooms of the rental aren't suitable for painting. For instance, it makes a lot of sense to prohibit the painting of woodwork and natural stone.

Similarly, if it's legal in your town, you could charge a repainting fee. This fee would cover any of the associated expenses of removing their paint and applying a fresh coat after their lease ends.

One of the most common demands agreement on the particular colors that are going to be used in your rental. You don't want colors clashing in a way that lowers the aesthetic appeal of your property.

Say No

Finally, you have every right to disagree with their proposal and say no. There are many ways you can do this, and the more polite approaches yield much better results. This is one of the situations where you can develop your landlord-tenant communication skills.

Some tenants may respond by proposing to install something called a renter's wallpaper. This is a removable wallpaper that shouldn't leave any marks after it's stripped from the walls.

However, allowing a renter's wallpaper could cost you significantly in the long run. The marketing of this product is great, but depending on its quality and manufacturer, it might still leave some unsightly stains.

What if your tenants ask you to repaint the rooms?

There are many scenarios that you could face as a self-managing rental owner. For example, your tenant may ask you to repaint their living spaces a different color.

This is something that you don't have to do. However, keep in mind that your locality could have some requirements regarding the repainting of your rental's walls. In some local areas in the U.S., it's required that you repaint the walls after a fixed time period.

Things are not easy with properties that have lead-containing paint in them. In these cases, your tenants could legally ask you to remove the old lead-based paint and apply a coat of new and safe paint.

But when the entire discussion is based on aesthetics, your renters are likely not going to win the dispute. If they don't like your color scheme, they can just back out of the lease agreement in the first place.

If your tenants have painted the rental without your knowledge, you have the right to deduct the repainting fees from their security deposit . This is exactly the reason why your lease agreement should be comprehensive and cover such violations in a concise way.

The Bottom Line on Tenants Asking to Paint Your Rental Property

This is something that happens to landlords every now and then. In most cases, renters want to buy the products and paint the rental by themselves.

You have a few options:

· You can agree with their proposal or set a few extra conditions. Blindly agreeing can be risky, as you never know what the final result is going to look like. Even their security deposit may not be enough to cover major paint spills that ruin multiple fabrics or areas with expensive woodwork.

· You can politely disagree with the idea. In this case, it's better to be open and communicative, calmly explaining your reasoning behind this decision. You could even offer alternative ways to customize your rental property.

How to Convert your Home into a Rental Property

Tue, 04 Aug 2020 20:29:41 GMT

Nowadays, there are many ways of generating passive income. One way that is becoming more common is converting your home into a rental property.

Although this is an exciting way to earn more income, converting your home into a rental property is not so simple. There are many technical details that you need to consider. However, it is possible to gain the proper knowledge and make it successful.

Once you iron out all the kinks, you can definitely enjoy the rewards of having continuous income from your rental property.

Here are some processes you need to take on to start your rental property business:

Search for Tenants

To be successful at the rental property industry, you must be able to find quality tenants who will stay for the long-term. To do so, you have to conduct proper tenant screening . You should review credit reports, employment information, criminal background reports and ask for landlord references.

When assessing a prospective tenant, you also need to have a good grasp of the Fair Housing Law to avoid being reported and penalized.

T he Fair Housing Law protects certain classes against discrimination. You must adhere to the regulations and avoid asking for information that can constitute as discrimination. Different states have their own version of the Fair Housing Law and you need to be properly guided.

Conduct Property Repairs and Upgrades

Walk through the home you intend to use as a rental property.

Evaluate the following areas:

Curb appeal
Landscaping
Repainting
Roofing
Insulation
Heater
Air conditioning unit

Here are some questions you can also consider:

Is there too much clutter?
Can add more cupboards and closets for additional storage space?
Does the house need renovation in the kitchen and bathroom area?
Do you need to hire a pest control company to get rid of insects?
Is there mold presence you need to address?
Does it need to be upgraded?
How old are the furnishing?
Do you need to buy new appliances that are more energy efficient?
Do you need the unit to be professionally cleaned?

Obtain the Right Insurance and Rental Property Permits

Before operating a rental property, there’s paperwork to get through such as permits and insurance. Landlord insurance is useful as it protects property and reduces liability.

There are accidents that might occur in or outside your property that you have no control over. In order to prevent being sued by these situations, you can the right insurance will shield you. For instance, if a natural disaster occurs, your worries will be greatly lessened if you have insurance. Property damages resulting from fortuitous events will be covered and you can file a claim as a safeguard against tremendous financial losses.

Before welcoming your first tenant in your rental unit, the local government will be conducting necessary inspections. This is where permits must be acquired to start operating legally. Some of the inspections that may be performed include building safety codes and hazard prevention. They need to ensure that renters are protected. Sanitation will also be inspected and adequate garbage disposal system will be part of the assessment. Only when you’re cleared, you start your rental business operation and accept renters.

Set your Rental Price

Before anything else, you need to evaluate the value of your rental unit. Find out the rent prices of the homes around your area that are similar to yours. It should be competitive. If your rental price is too high, chances are, few will be interested. The ones who are interested will likely be unreliable when it comes to rental payment.

If you price your rent too low, there will be plenty of prospects, but you’ll also miss out on lucrative income. Remember that property maintenance expenses can be costly and you need to deduct this from your income. That’s why being able to set the right rental price is vital as a property owner.

Hire a Property Manager

One of the best ways to seamlessly convert your home into a rental property is to get the services of a reputable property management firm. They can take care of everything as they have the expertise and experience needed. They are also efficient and work in a professional manner. Their range of property management services is excellent giving you plenty of options that will match your unique needs as a landlord.

Do you need assistance in marketing a vacant unit? Are you more interested in tenant screening services or having an efficient rental collection? Maybe you need more help on maintaining your property or handling records. This is where property managers can offer their topnotch services. If your rental property is located farther from your new home, then hiring a property manager is a viable solution. If you prefer not to tackle the day-to-day tasks of managing a rental unit, then it’s also best to leave the management in the hands of professional property managers.

Legally, knowledgeable property managers who are well versed in landlord-tenant laws can protect you. You are assured of steering away from probable lawsuits and hefty fines especially when you’re a first time landlord. Property managers also have built in systems paired with advanced technology that makes the rental business operation far efficient than managing it on your own.

Hire Advantage Realty Services for all your property management needs.

Bottom Line

Converting your home into a rental property requires assessment and thorough planning. You need to study and develop new landlord skills if you’re determined to do it on your own. You have to also be financially prepared as well.

Whether your new rental property is in Carrollwood , New Tampa or elsewhere, Advantage Realty Services can help you!

Tips to Prevent Tenant Damages

Tue, 26 May 2020 15:54:10 GMT

As a property owner, you are bound to experience wear and tear in your rental units over time. That’s normal. However, normal wear and tear is different from tenant damages. Tenant damages don’t naturally occur. They are typically a result of tenant neglect.

I’m sure it’s your desire to protect your property as best as you can. After all, it’s an investment and you wish to generate more income as the years go by. Ideally, you want to aim for market appreciation in case you wish to sell it in the future.

That’s why it’s important to prevent tenant damages. While it’s not possible to completely avoid these damages, there are some ways that you can help prevent them. This is especially important to note for first-time landlords , who don't have this knowledge just yet.

In this article, we, Advantage Realty Services, Inc . , will provide you with our top tips for reducing and preventing severe tenant damages in your rental unit.

1. Start with Tenant Screening

Before accepting a tenant in your property, you should conduct a thorough tenant screening. You can avoid potential tenant damages by reviewing the tenants rental history. If you ask the right questions and contact the right people, you’ll have a greater chance of finding the best renters.

Contact previous landlords and ask them the following questions:

• How did the tenant treat the property?

• Was the tenant accountable enough when it came to property damage, or did he feign innocent and lie?

• Did the tenant contact you when something broke in the unit?

This is a good idea because if a tenant was irresponsible then, he will likely be irresponsible now. Also, damages translate to financial costs and more time and effort on your part. So, you want to make sure that you are finding quality tenants from the beginning.

2. Have a Solid Lease Agreement

Outline the tenant’s duties and responsibilities in the leasing agreement. This will ensure that the tenant is clear on what is expected. You should include policies regarding the expected behavior, and include things to avoid so the property remains in topnotch condition.

A tenant must also be aware of possible damages that can occur by burning candles, smoking in the premises or growing houseplants. Also, state in the lease agreement that the tenant shouldn’t neglect minor damages. Incremental unreported damages will lead to major disasters if not addressed early on.

When a tenant moves in, you must also explain the importance of generally upkeeping the property. Inform the renter on the proper way to operate the appliances and other gadgets around the property. This will prevent damages.

3. Consistently Perform Inspections

A great way to diminish property damage is by conducting walkthroughs . Doing this will help you assess probable damage and potential source of extensive damage.

For instance, you can go around and check water sources since water leaks are among the major cause of extreme damage to a property. Reserve time to look at faucets, toilets, downspouts and gutters where water problems can expectedly occur.

4. Secure a Long-Term Maintenance Plan

The best way to preserve the value of your home is to always take care of it. No tenant will ever care for the unit as much as you. This means that it’s up to you to create and implement your maintenance program.

Plan a maintenance schedule and stick to it. If a tenant has been staying in your rental unit for a long time, regular maintenance still needs to be implemented.

5. Be Mindful of the Plants in your Rental Property

Although plants can add a beautiful aesthetic to your property, you must be cautious of the type of plants you allow in your premises. For starters, plants attract pests. Also, during a rainy season, plants can create a water pool that will contribute to foundation issues in your rental unit. In addition, if you have a giant tree or a cluster of trees on your property, you have to be more consistent when it comes to regular cleanup of your roof, gutters and downspouts.

6. Collect a High Security Deposit

If you require a high security deposit, your tenants will be less negligent. Most think that the objective of collecting a security deposit is to make sure you’re covered for any losses and damages caused by the tenant. However, it can also serve as a preventive measure. Tenants want to regain the full refund of their security deposit so they make it a priority to take care of the property and report any minor damages.

If you collect a small security deposit, your renters will likely dismiss it as there is less of a financial incentive to get it back.

7. Check-In with your Tenants

To strengthen your professional landlord-tenant relationship , it’s a good idea to frequently communicate with them. Encourage an open communication style so they can report any property issues rather than ignoring the problem or keeping it hidden away.

They are your partners in keeping your rental property in top condition.

Bottom Line

In sum, in order to prevent tenant damage in your unit, you need to start by finding quality tenants and setting up a clear lease agreement. Then, have a plan to consistently maintain the property. Finally, always remember to build a good professional relationship with your renters.

We hope these tips will prove useful for your Lutz , New Tampa or other Florida property!

How to Handle Maintenance during COVID-19

Tue, 21 Apr 2020 20:06:49 GMT

The COVID-19 pandemic has altered everyone’s normal routines. As a property owner, you may be wondering how to address maintenance requests during these challenging times. It’s important that now, more than ever, that you show your renters that you're dependable and responsible.

Here’s an informative outline detailing how you can continue attending to your tenants’ needs without sacrificing anyone’s health or safety.

Communicate with Your Tenants

Although you must socially distance yourself from others and self-isolate, that doesn’t mean you should stop all communication with your tenants .

Here are some important things you should speak to your tenants about:

Emphasize that you will continue to conduct essential maintenance services. Offer them comfort by reassuring them that you’re here to address their property needs.
Tell them that you are taking all safety precautions. Everyone is experiencing some level of anxiety, so expressing that you are doing everything you can to ensure their safety will help them feel calmer.
Share helpful, factual and accurate information with them. They will value that you’re taking the time to provide them with credible resources. A good source is the Centers for Disease Control and Prevention .
Reassure them that you will promptly address any emergencies. Tell them that you’re just a phone call or an email away. And, be sure that you are quickly responding to these messages and calls.

Implement Preventative Precautions

Upon entering a tenant’s property, you must implement safety measures.

Here are some of the ways that you can do so:

Regularly wash your hands . You should do so with warm water and soap for at least 20 seconds. You may even consider carrying soap in your tool box. Note that hand sanitizer or hygienic wipes are not a replacement for handwashing.
Wear fresh gloves every time you enter a new unit. Be responsible and disregard used gloves. You may want to put on the new gloves in front of the tenants so that they are reassured.
Wear masks, PPE or shoe covers, if applicable.
If you’re sick, don’t perform the maintenance job. You have a responsibility to stay home and help stop the spread of the virus.
Disinfect and clean all your working areas.

Have Supplies on Hand

Due to the current situation, everyone is using masks, sanitizers and gloves. This means that you should place an order for these essential supplies in advance, even if you already have some.

It’s always good to have an extra box of supplies on hand. You don’t want to conduct necessary maintenance tasks without the essentials. Also, if, for whatever reason, there’s no water and soap nearby, you should have ample hand sanitizer with you. Just ensure the sanitizer contains at least 60% alcohol!

That said, don’t exaggerate and stock up on countless supplies. Many people are in need, so you want to make sure you are leaving these goods for others, too.

Frequently Asked Questions - Responding to Service Requests during COVID-19

Here are questions you may have concerning maintenance during the pandemic.

1. Instead of going to the rental property, can a phone call be sufficient?

If a maintenance procedure is relatively quick and easy, you can guide the tenant through it via phone call. This will help protect you and your tenant from potentially getting infected.

2. What is considered an essential request, and what is non-essential? How will less urgent repairs be dealt with?

This is for you to decide. That said, we believe that essential maintenance is anything that can be classified as an emergency. If it is dangerous for the tenant or the property, it should be essential. If it will not cause a catastrophic incident, then it can be postponed.

3. How can the work be done with children in the vicinity?

Knowing that children are around means that you must take extra precautions. While performing maintenance work, some children may be curious and approach you. You want to be sure that you keep your tools out of reach to prevent accidents.

4. What happens if the tenant is working from home?

Due to the pandemic, most people are working from home. That means you have to be more mindful when working in their property. You must make minimal noise and get your work done quickly.

Bottom Line

As a property owner, it’s evident that that your job is naturally stressful. However, during a crisis like COVID-19, you may feel your stress increasing. With new laws to follow and new safety measures, conducting maintenance is challenging.

If you’re feeling overwhelmed, you may want to consider hiring a property management company. Property managers have resources and skills to keep tenants safe during this time.

At Advantage Realty Services , Inc., we will minimize your stress, maximize your time and ensure you stay safe and health. We will take care of several of your property responsibilities.

What to do With a Former Tenant's Possessions

Fri, 20 Mar 2020 15:11:28 GMT

After a tenant leaves your property, you may be tempted to dispose his belongings. However, you can’t act so quickly. Whether you’re a property owner in New Tampa , Carrollwood , or elsewhere, you must abide by the correct procedures for this type of situation.

There are several things to consider. Here are a few:

Determine the reason that the tenant left the property
Provide a retrieval period
Ensure that you store, or dispose a tenant’s possessions properly
Make sure you are protecting yourself

Knowledge and awareness is key for avoiding financial loss. Advantage Realty Services, Inc. is here to provide you with everything you need to know.

Reason for Leaving

To begin, you should determine the reason that the tenant left the property. Was it an eviction , or was it another reason? Depending on the reason, your responsibilities will differ.

Here are your responsibilities as a property owner in Florida:

If a tenant leaves because of an eviction, then you are responsible for contacting him to retrieve his belongings once a Writ has been given
If the move-out is not due to an eviction, then you must send a notice to the tenant

The Florida State Law dictates the following:

A tenant has 10 days to retrieve his possessions if the notice was given to him in person
If the notice was mailed, a tenant has 15 days to collect his belongings

We will discuss notifying tenants in more detail further in this article.

Before sending a notice, though, you should sort through the items that were left behind in the property. Decide what can be disregarded and what should be kept. You can store these items in your property, or you can rent a storage space.

Then, prepare a list of all the leftover belongings. This is important because when you send a notice, you will need to provide a detailed and descriptive list of all the items. You can even take photos of each possession as documentation. Account for everything, but don’t open any locked items. And, always make sure that you are handling the leftover possessions carefully as you can be liable for negligence.

Tenant Notice

Once the tenant’s possessions are sorted, you should continue by sending a notice to the tenant.

The notice should include the following information:

The specific items that were left behind
The cost of storage
How long the tenant has to retrieve his items
Where the items are being stored/where they can be retrieved
The fact that any unclaimed items will be disposed

To ensure that the notice reaches the tenant, you can also send a copy of it to his emergency contact. Provide evidence that you’ve exhausted all means to inform him about retrieving his possessions. This will help you protect yourself against potential lawsuits.

Disposing a Tenant’s Possessions

Sometimes, a tenant may not retrieve his belongings. In this circumstance, you have two options: you can either sell the tenant's items, or dispose them.

That said, there are some rules. For instance, if an item costs less $500.00, you can decide what to do with it. However, if the abandoned item exceeds $500.00, you are required to sell it through a public sale.

This sale must be advertised in the local newspaper at least once a week for 2 weeks. Alternatively, 10 days before the sale day, you can put posters around the neighborhood in visible areas. The cost of advertising should be covered by the former tenant.

Protect Yourself

Finding yourself in this situation can be quite stressful. It’s best to protect yourself by including a clause in your leasing agreement .

You can include:

A disposal fee for any abandoned property
Specific condition on how long you will be keeping the possessions
Arrangements if a tenant can’t collect all the belonging’s at once

Doing so shields you from any lawsuits that the tenant can file.

Bottom Line

It’s important to understand the Florida State Laws and act accordingly. Also, always be sure to handle the former tenant’s belongings with care. Although an item may not seem valuable to you, the tenant still has the right to claim his possessions.

Here are some important reminders:

Know the minimum holding period for storing a tenant’s leftover possessions
Learn how to write a detailed notice of the tenant’s abandoned belongings
In your lease, include how to handle leftover possessions to avoid further financial expenses

After reading this article, you should be aware that you bear responsibility for a tenant’s leftover items. You should also have a better understanding of how to deal with this type of situation.

Ways to Keep Your Home Safe in Tampa

Mon, 17 Feb 2020 23:14:03 GMT

As a renter, it is safe to assume that your landlord has put safety measures in place at the rental property. Feeling safe is a paramount factor to consider before moving to a new place.

As a landlord in Tampa, it is your responsibility to assure your tenant that you have implemented safety measures. This is also to encourage them to rent long-term.

In this article, we'll provide to you some effective ways to provide security to your tenants renting in your Tampa rental property .

1. Use deadbolts and install solid doors.

Securing your doors with a deadbolt provides more safety to the main exit and entrance of your Tampa home.

Ordinary locks can be flimsy and easily picked by intruders. You can also include chain locks and peepholes. In addition, install solid doors made of wood or metal.

2. Secure windows with locks.

Most thieves enter a home via its windows. Make sure that the windows in your home can be securely locked from the inside. Better yet, install window bars for a more secure deterrent against robbery.

3. Install more external lights.

Consider adding more lights, especially in the front and back of your Tampa home.

Make sure to focus on the entrances and think about solar-powered lights to save on your utility bills. Additional indoor lights are also encouraged. Dark corners, hallways, and stairway areas should be well lit at all times.

4. Consider installing a security system.

Having a working security system can set a tenant’s mind at ease. Ensure to inform your tenants about how the system works. Some tenants will even pay a premium on top of their rent for your Tampa home just to have this additional security.

5. Advertise the security system.

Once you have your security system set up, post signs. This informs anyone who is considering to trespass that it might not be such a good idea.

Do not include specific details (such as the model of the security system) in order to keep criminals from researching how to disable your security system.

6. Avoid placing plants/large objects near doors/windows.

Limit a burglar’s choice of hiding places in your Tampa home. Do not place shrubs or objects in the vicinity of your entrance/exit. In the case of a burglary, a burglar might use your decorative objects/plants as cover.

7. List and mark all your furnishings.

Consider marking your appliances and anything else of value in your Tampa home to easily identify/trace stolen furnishings. This makes it easier to replace and make an insurance claim if an item is stolen.

8. Hire a property manager.

Having a property manager ensures that someone is frequently keeping a watchful eye on your Tampa rental property.

This will deter robbery attempts at your home compared to rental units without property managers. This is particularly useful when you are going on a long vacation, as most burglary attempts happen when a tenant/resident is away for a long period of time.

Another advantage of hiring a property manager is that the tenant screening will be strict. Property managers can thoroughly examine a prospective tenant’s past and check for background references. This is also beneficial in securing the safety of your other tenants.

9. Discuss with your tenants ways to increase security in your Tampa home.

Taking a proactive security approach is always better than dealing with the aftermath of a burglary. Exchange security tips with your tenants to safeguard the property from robbery attempts. Some tips include:

• Keeping valuables in a locked safe.

• Refraining from posting on social media that you are going away on vacation.

• Keeping interior lights on at night.

• Informing a close relative of your travel plans and asking them to check up on the house from time to time.

• Making sure the security system is always activated upon leaving your Tampa home.

• Having the daily newspaper/magazine subscription delivery put on hold when you go on a trip.

10. Study the vulnerable points of your property.

To prevent a robbery at your Tampa rental property, examine your unit from all angles and determine the best ways to access it. Once you find its weak spots, find practical solutions: you can replace glass with hard wood or metal, opt for shatterproof glass for the main windows, and incorporate fences with more secure features to keep the intruders away.

11. Consider getting an insurance policy.

The best way to ensure protection of your tenant’s possessions is to apply for a home insurance policy . Consider a home and contents insurance bundle for your Tampa home. This will also protect you from large expenses, as the damages on your property from the break-in will be covered as well.

The Bottom Line

A secure property raises its marketability and encourages tenant loyalty. Using 1 or more of the aforementioned tips will help make your Tampa, Florida home more safe.

If you have any further questions, contact Advantage Realty Services !

The Pros and Cons of Renting to Tenants with Pets

Fri, 14 Feb 2020 21:44:10 GMT

Did you know that most tenants with pets find it difficult to find rentals? According to a survey conducted by Petfinder , roughly 82% of pet owners reported having trouble finding a property to rent.

As a property owner in Tampa , Lutz or elsewhere, there are pros and cons to accepting pets into your property . By recognizing these advantages and disadvantages, you’ll be able to make a more educated decision.

Pros of Renting to Tenants with Pets

The following are some of the reasons renting to tenants with pets is a good idea:

1. You will receive a larger pool of prospective tenants

According a survey conducted by Firepaw Inc, almost 50% of property renters own a pet. This means that by allowing pets into your property, you will have a larger pool of prospective tenants .

2. Tenants with pets are willing to pay more rent

When you rent to pet owners, you can charge higher rent. Since few rental properties are pet-friendly, pet owners are limited in their options. Therefore, you can charge slightly higher rent, and they will be willing to pay for it.

Also, on average, pet owners make more money. According to Edward. N. Kelly’s book “Practical Apartment Management,” over 65% of pet owners earn more than $50,000 a year. This means that pet owners will likely be able to afford the increase in rent.

3. Tenants tend to stay in the property for longer

The longer tenancy is another positive aspect of renting your property to a pet owner. Since finding a pet-friendly rental property is more difficult, pet owners will be more likely to stay in their current pet-friendly property.

4. Pet owners tend to be more responsible

Pet owners show responsibility when caring for their pets. Therefore, pet owners are typically also responsible when it comes to keeping a property in good condition, treating it well and handling it with care.

Cons of Renting to Tenants with Pets

The following are some of the most common reasons property owners are hesitant to allow pets into their property:

1. Pets can cause serious damage to the property

Poorly trained pets can cause several damages to property. This tends to be property owners’ number one concern when it comes to renting to tenants with pets.

Property damages can include:

Scratching floors
Chewing carpets
Destroying furniture
Chewing wires

2. Pets can disturb neighbors

Pets can become a disturbance to those in their area by making noise. For instance, dogs can bark, birds can squawk and animals in general can make noise as they run around the property. Sometimes, this can create arguments between property owners and nearby neighbors.

Also, pets can be a disturbance to neighbors who are allergic to them. For instance, allergies to cats and dogs are very common. When the allergens travel through the air conditioning ducts and in the air, it can reach the neighbors and cause many uncomfortable symptoms.

3. Pets can bite other tenants or neighbors

According to the Center for Disease Control and Prevention , roughly 4.7 million people get bitten by animals every year. Of these 4.7 million individuals, about 800,000 require serious medical treatments. Not to mention, the report also states that most animal bites occur in closed apartments. Inevitably, animal bites pose a risk.

4. Pets have odors and waste

Poorly trained pets, specifically dogs, may eliminate waste anywhere inside the building. This can cause a serious inconvenience for other tenants.

As a property owner, taking note of these disadvantages is important. You may consider adding animal liability insurance to your property policy. This can cover any potential property damages or injuries caused by the animal. Also, be sure to inquire about which animals are covered by the insurance.

Screening Tenants with Pets

If you choose to accept tenants with pets, screening them will be important.

Here are some questions you can ask:

How long have you owned your pet?
Is your pet well-trained?
What is the size, breed and age of your pet?
Has your pet caused previous damage to other properties?
Has your pet received all of its necessary vaccines?
Has the pet shown violent behaviors recently, or in the past?

Conclusion

As previously listed, accepting tenants with pets into your property has its advantages and disadvantages. Weighing them out will help you decide what’s best for you and your property long term.

It is equally important to get informed about the Fair Housing laws and regulations concerning service dogs and emotional support animals. Some tenants may need a pet. In this case, you may request for a note from their physician to verify this need.

Finally, it is important that you include a pet policy in the lease when accepting a new tenant with a pet. The tenant should sign the pet addendum before you accept them. This will ensure that the tenant knows your rules and is aware of any penalties for a breach of the contract.

For further question, feel free to contact Advantage Realty Services .

Overview of Squatter Rights in Florida

Mon, 23 Dec 2019 18:49:00 GMT

After purchasing an investment property in Florida , you must complete routine inspections. This is not only to ensure that it does not require maintenance but also to make sure that there are no squatters living in your property.

Finding out that your property has become the home of a squatter is not something an owner wants. It is a violation of both your rights and your privacy. Over time, squatters will develop rights to the land that they are living in. This will make it more difficult to remove them.

You must take action immediately to remove squatters and to protect your property.

In Florida, squatters do not have property ownership rights right away. They can assume these ownership rights if they file for an adverse possession claim.

Trespassing vs. Squatting

While trespassing and squatting are different by definition, they often occur simultaneously. Trespassing is intentionally entering someone’s property without permission. It often indicates only a temporary entrance.

Squatting is occupying an abandoned or unoccupied area of land or building. The squatter does not own, rent, or otherwise have lawful permission to use this land or building. Squatting typically begins through the act of trespassing.

Both squatting and trespassing are illegal. There is one main distinction between the two. While trespassers keep their illegal entrance secret, squatters make their occupation public. Open possession is crucial for squatters to assume ownership of the property.

Florida Adverse Possession Law

Adverse possession is otherwise known as “squatter’s rights.” It is a principle that allows a squatter to assume legal ownership of the property they are living in. This occurs without the original owner’s permission. Assuming ownership can take place in a variety of different ways. For example, if the squatter makes improvements to the property.

There are several conditions squatters must meet to assume ownership of your property.

The first is through hostile possession. This signifies that the owner has not given their agreement for the squatter to live in their property.

The second condition is that the squatter must be open about their squatting. The local community and legal owner must be well aware that it is taking place.

Thirdly, the squatter’s possession of the land must be continuous for at least seven years. They must also have paid property taxes during this time.

The final condition is exclusivity. This means that only one squatter per property has the right to claim adverse possession. If several families live in the property, it is not exclusive.

Once they fulfill these qualifications, squatters can file an adverse possession claim. This is why it is crucial to take legal action to remove the squatter as soon as possible.

Neighbor Encroachment

Encroachment occurs when someone builds or extends into their neighbor’s property. This is a violation of their neighbor’s property rights.

Encroachment is especially a problem along lines of contested land. In this case, the boundary violation may be deliberate.

For example, a farm owner may have a large piece of unused land. It may have outlying unused areas, especially if it is unpatrolled. A neighbor may start farming on the outlying unused areas without realizing it. This creates a situation for adverse possession.

Structural encroachment occurs when a structure is built or extended into public land. Again, the owner of the land and the neighbor encroaching have not agreed on this taking place.

Claiming Property: Color of Title

Only after living on the property for seven years can a squatter file a claim for adverse possession. There are two types of adverse possession claims they can file for. One is “Color of Title” and the other is “Without Color of Title”.

“Color of Title” means the squatter came into possession of an apparent title. This is an alternative to having a legal title. This also signifies the squatter must satisfy the adverse possession requirements. These requirements include seven years of open possession. They also include improving or cultivating the property.

“Without Color of Title” is the alternate claim of adverse possession. Squatters can file for it when they have paid all the taxes within one year of occupying the property. They must still have lived on the property for at least seven years and been open (publicly) about their occupation.

Assuming Legal Ownership

Once all conditions for adverse possession are met, the squatter can file their claim. In court, a judge will determine who gets the right to legal ownership of the property.

The Bottom Line: Squatters in Florida

In summary, Florida’s adverse possession laws mean a squatter can assume property ownership. To file for a valid claim, the squatter’s possession must meet four conditions:

Real estate laws are often complicated, especially those involving adverse possession. If you want to know your landowner’s rights and responsibilities, you should hire a real estate attorney.

You can avoid running into issues with squatters by completing routine property inspections. You can also hire Advantage Realty Services, Inc. to save you time by doing these inspections for you. Give us a call at (813) 908-8300 for more information.

Why Live in Tampa?

Sun, 01 Dec 2019 03:59:00 GMT

Are you considering living in Tampa, Florida?

It is one of the most popular areas in the Sunshine State . The city experienced difficult times during the Great Recession, but the 2010s brought a strong comeback for Tampa.

The competitive city has revamped its urban core and waterfront. Lack of income tax together with the sunny weather makes Tampa a highly desirable city to live in.

In this article, you will learn about the top 10 reasons why living in Tampa, Florida is a great idea.

#1: Living Costs in Tampa

Consider the fact that Florida has no taxes on estate, income, and inheritance. Retirees are also exempt from paying tax on the following:

When you factor in the reasonable prices of services and products in Tampa, you will see why the cost of living is quite affordable. Moreover, Florida is an especially attractive place for people looking to retire.

#2: Weather in Tampa

The temperature consistently stays above 70 degrees. Florida is closer to the equator, which is why you will experience brighter and stronger sunlight. Even during the cooler months, the temperature stays warmer compared to most states.

Snowfall is extremely rare in Tampa. You can forget about shoveling the snow or setting the heating at maximum settings. The warm climate also makes outdoor sports a year-round thing.

#3: Travel to Florida

Do you love to travel?

Tampa is a convenient departure point for both domestic and international trips, and the Tampa International Airport is just a fifteen-minute drive from downtown.

The top domestic routes from the airport are to Atlanta, GE; Charlotte, NC; and Chicago, IL. You will find many international flights as well. The major destinations include Toronto, London, and Frankfurt, which all serve as further connection points to the whole world.

#4: Food & Drinks

Tampa is becoming an increasingly popular place for delicious food experiences. TripAdvisor named it one of the up-and-coming dining destinations. Just consider the following opportunities for enjoying the culinary creations:

#5: Education in Tampa

Are you planning to move to Tampa with your kids?

There are plenty of options for getting a great education in Tampa . High schools such as Gaither High School and Freedom High School rank high on multiple lists.

Tampa has great higher education opportunities as well. These include the University of Tampa, the University of South Florida, and Hillsborough Community College.

Here is a breakdown of these institutions:

#6: Culture and Entertainment in Tampa

The city is buzzing with cultural activities and great entertainment throughout the year. The area boasts a selection of fun festivals, such as:

#7: Sports

Tampa is known as one of the most active cities in the States. The warm weather makes it easy to go outside and partake in some fun sports activities.

Whether you prefer jogging, golf, or indoor fitness clubs, you will find many activities in the area.

#8: Beaches in Tampa

Tampa is a perfect beach destination . You can pick between a variety of beautiful white-sand beaches.

Some of them are fully serviced, complete with entertainment and cabanas. Others are more peaceful, relying on a more natural setting.

All of these beaches are within a thirty-minute drive from downtown Tampa.

#9: Economy in Tampa

Tampa is the third biggest city in Florida by population. It is the economic focal point of the west-central part of the state. The economic base rests on diverse industries, including:

#10: Golf Courses in Tampa, Fl

Tampa has a great set of world-class golf courses. The warm weather throughout the year makes this region a perfect place to enjoy golf. One of the most special golf courses is the Westchase Golf Club , which is set in an extensive cypress tree forest. Enjoy the sights of local wildlife as you make your way through the 18 holes.

If it is raining or windy outside, you can check out Topgolf, which is a top-quality indoor golf complex where you can order food and drinks to enjoy with your game.

The Bottom Line: Reasons to Live in Tampa, Florida

Tampa, Florida is a great place to live in 2020. The diverse economy provides plenty of job opportunities. For families with kids, there are many great options for education in the city or just close by.

The warm weather is ideal for outdoor activities, making it easy to stay active and fit. The living costs are moderate because of the state’s favorable tax climate and reasonable prices.

There is also a booming food and drink scene in Tampa, where you will find timeless classics and exciting new culinary restaurants.

Visit Advantage Realty Services website today to find an available property for you!

Buying an Investment Property Before Your First Home

Thu, 24 Oct 2019 14:59:00 GMT

This is the usual train of thought most people have before buying their first property:

“One of my goals is to one day own where I live. That way, I won’t have to keep paying the monthly cost of the rent. Instead, I can be making my own mortgage payments. However, relocation for work then does become an administrative nightmare, so maybe buying my own home isn’t the most practical.”

Sound familiar?

There are great reasons to buy an investment property to rent out. Compared to buying your own home first, investment property has the benefit of creating an income stream.

Below are other good reasons why buying an investment property in Tampa, Florida before your first home is more reasonable in the long run.

1. Property values keep rising.

Recently, the values of properties keep rising each year. This is as good a time to buy as any. People will naturally opt to rent than to buy a property for homeownership. There are a lot of contributing factors that have raised the value of properties. Some of the main reasons include a healthy labor market, a booming economy, and a large millennial group as demographics.

2. Low-interest rates.

When looking to finance an investment property you have many options available. Interest rates in Tampa, Florida , tagged as below 5%. These rely on a lot of factors like one’s credit score, debt to income ratio, and the down payment amount. If your down payment is 20%, naturally the interest rates are manageable.

Credit scores are important to qualify as a strong borrower when you apply for a mortgage loan. Maintain a credit score of above 740 so you’ll find lenders much more open to approving your loan application. It’s also important to have bank reserves so lenders will trust your capability to pay. They always check the borrower’s debt to income ratio.

3. It’s expensive where you want to live.

If you have an ideal neighborhood you prefer to live in but find that the property is more costly, buy a property elsewhere. Then turn this property investment into an asset by renting it out.

When you have saved enough from the rental profit, you can proceed to buy the property where you want to reside. You can have the option of selling your initial property or further letting it appreciate in value over time.

4. Lifestyle flexibility.

If you’re young and single, you have a higher chance of having more disposable income.

Why not invest in a real estate property?

You’ll look back one day and congratulate yourself on making a wise decision. Owning a home may not be your priority right now in terms of your mobile lifestyle. Constant traveling or job changes might prevent you from being tied down to a single location. However, investing in a rental property at a young age will yield fruitfully in the future. Properties will appreciate in value and if you’re young, you’ve got time and cash to spare. You’re also not tied down with financial responsibilities that will burden you from paying monthly mortgage payments.

5. Tax benefits of buying an investment property.

One of the biggest benefits of buying an investment property is the tax break. There are large tax deductions accorded to landlords . They can save on interest on mortgage loans and business loans applied for property renovations. In terms of rental property depreciation, declaring the property’s depreciation amount is tax-deductible in the first year of ownership. Afterward, the depreciation can be subtracted in smaller amounts over a longer period.

Landlords can also take advantage of claiming property expenses. There are several property expenses that are tax-deductible each year. The cost of repairs like repainting can be deducted from taxes. Another would be the use of your personal property. For example, the furnishings used in your rental. Don’t forget to declare your insurance premiums as well. Fire, flood, theft, and landlord liability insurance are treated as tax-deductible. Other claims for tax reductions are travel expenses, legal services, and home office deductions.

It’s vital to speak to a professional accountant who has expertise in tax reductions so they can help you save money. This way, the return on your investment is quicker and your income is maximized.

6. Invest to gain a steady monthly income.

An investment property that you use as a rental can be a lucrative income stream. Instead of buying a home where you’ll be shouldering mortgage payments , an investment property will pay off for itself.

For example, if the mortgage payment for an investment property is 1,000 dollars per month but you earn 2000 dollars from your tenant’s rent then you earn extra. The other 1,000 dollars could pay off a debt, your monthly rent, bills, or become your savings. If you’ve saved enough of your extra income, you can invest in another property. This way, you can earn even more additional income.

7. Income generated from an investment property will be used to buy the desired property.

When you buy your investment property, you might be limited to an affordable choice. However, once your investment property creates equity then you can use it to leverage buying your new home. You can now have the option to buy a property in a neighborhood you desire by gaining more opportunities from your initial investment. You have the option to sell it off or hold on to it as a steady income-generating investment.

In the end, when you find another good investment opportunity, lenders are more open to letting you borrow a large amount. Qualifying for a loan will be relatively easier as well. Even better, you can drop a bigger down payment letting you enjoy a far lower interest rate.

Advice on Investment Property Search

Look for foreclosed homes and properties from banks. The prices are generally low, and they have huge potential for equity. With little property improvement required, you can open it to the market for rental or resale.

First-time investors can make the most out of a low mortgage rate and inexpensive financing. These properties are considered to be a bargain and can be a great introduction to the world of real estate investment.

Bottom Line

It’s important to explore your options in regard to owning your home. Exercising patience in the face of the competitive real estate market will be rewarding. Investing in a property for business purposes is a great way to create more opportunities for your homeownership down the line.

If you have any further questions, don’t hesitate to contact us at Advantage Realty Services today!

Should I Rent My Florida House Furnished?

Fri, 27 Sep 2019 15:55:00 GMT

As a landlord, you may be asking yourself – Would I most benefit from renting my property furnished or unfurnished?

Although there are expenses associated with renting out a furnished property, there are also benefits.

We’ve gathered a list of tips to consider when deciding whether you should lease your unit furnished or unfurnished. By the end of this post, you’ll know exactly how to weigh your options to determine what best fits your Tampa rental property .

What Is a Furnished Unit?

A furnished unit is a property that comes with all the fittings that make for comfortable living. Semi-furnished properties are those that have only the basics like a sofa, a bed, a table, and some chairs, with fewer appliances or smaller pieces of furniture.

To paint a clearer picture, a furnished rental should have all the essentials. The bedroom should have a bed, dresser, and nightstand or additional storage space. The kitchen should contain the usual appliances and utensils needed for cooking and eating such as pots, pans, dishes, utensils, and glasses. It should have a functional dining and living room that includes tables and seating.

Who Usually Chooses a Furnished Unit?

Renters who often are looking for a furnished property are students and young folks. They usually don’t stay for the long-term, so this set-up is great if you prefer short-term rentals .

These types of properties are more likely to attract first-time renters; those who have just left home, as well as young professionals who are looking for a place for a short period of time. Moving into a furnished unit is more appealing to these tenants since they can move in immediately with minimal fuss.

Mature tenants and those with families usually have most of the main furniture and appliances already.

Benefits of Renting Out a Furnished Unit

Benefits of Renting Out an Unfurnished Unit

The Bottom Line

The upside to renting long-term is that you don’t need to look for another tenant every few months, but these types also involve lower rental fees. You can be safeguarded knowing there is stability as tenants will stay in your property for a long period of time.

The most time-intensive and often costly part of being a landlord is screening applicants. You may be doing this multiple times a year. It can be tempting for a landlord in such circumstances to lower the selection standards, creating the risk of leasing to a problematic tenant.

There are various pros and cons of renting a furnished apartment and it is all dependent on the needs of the area. The taller cost of furnishing a property and more time spent caring for it may pay off in the long run with higher rentals and deposits. Depending on the location, unfurnished properties can take longer to occupy.

Choosing whether to lease your property furnished or unfurnished will depend on your preference – if you can absorb the costs of furnishing the apartment. A furnished rental may be attractive to some, yet conversely, it may not be the best set-up for others. In addition to these considerations, it is worth exploring the demand for furnished and unfurnished properties in your area. Do your research and learn the target market to help you decide.

There are no hard and fast rules about whether you should furnish your property. There are benefits and drawbacks associated with both options. The circumstances of your tenants will differ. This means what works for one might not work for another. As a landlord in Tampa, there is a wide range of factors to deliberate when deciding which option is suitable. Hopefully, this post has helped you in this regard.

If you have any further questions, don’t hesitate to contact us at (813) 908 – 8300.

7 Ideas on How to Attract and Keep Long-term Tenants in Tampa, Florida

Fri, 23 Aug 2019 16:03:00 GMT

As a landlord in Tampa, it’s better to have long-term than short-term tenants. You get to have a source of steady income and you don’t have to spend time and money filling vacancies.

With our experience in property management , we were able to come up with tips on how to attract and keep long-term tenants in your Tampa, Florida property.

1. Straighten up the property

Nothing is less attractive than a messy and non-maintained property. Ensure your tenant has a clean and habitable place to live in. Here are a few ways you can straighten up your property:

Tenants are more likely to rent long-term if they feel “at home”. Try having flexible terms on how tenants can make minor changes to the property.

2. Give a warm welcome

Often times, when tenants move in, going out of your way to make them feel comfortable will go a long way. This will help both of you start off on the right foot.

You can provide a simple welcome basket and include a list of recommendations for shopping and restaurants. Not only will your tenant feel appreciated and welcome, but you’re also cementing a better landlord-tenant relationship.

A welcome package is a very kind gesture that shows you care about them. Here are some items you might want to include in them:

Doing this opens a line of communication early on and will encourage your tenant to be honest.

3. Make use of technology

With how advanced technology is today, installing security measures in your property has never been easier.

There’s a large selection of modern technology to choose from, which include among other things, cameras and locks.

Smart homes offer benefits to both landlords and tenants. Aside from improving the number of features the home has, by making sure that your tenants are safe and secure contributes to their decision to renew their lease.

4. Build a positive landlord-tenant relationship

As a landlord, it would be recommended to try to get along well with your tenants. Remember, you can be friendly but keep it as a business transaction. Keep a healthy boundary while being professional and friendly .

Some tips on how you can achieve this balance include:

It goes without saying that balancing your role as a landlord with your tenants’ needs and expectations can be tricky. Your tenants may have numerous demands and they can sometimes be difficult to keep track of. However, the more boundaries and rules you establish from the start, the more pleasant your relationship can be.

5. Stay on top of maintenance and repair issues

It has always been the landlord’s responsibility to keep the rental property in good shape.

This involves making the necessary repairs and ensuring all heating, water, and electrical systems work properly.

When tenants raise concerns about their heating or plumbing or other things in the unit, it’s important to act swiftly and get them fixed as soon as possible.

It also pays to be proactive and not only act when a problem gets reported by the tenant. When making your routine inspections , note the areas that may need repairs. If you fix things in a quick manner, tenants tend to stay longer and treat your property with better care.

When tenants are happy and satisfied that their needs are being addressed, it shows that you care about their well-being. This increases the likelihood of them calling your place “home”. This is one of the reasons that many tenants stay long-term.

Staying on top of repairs and maintenance is the best thing for you, your property, and your tenants.

6. Consider compromises

In order for tenants to feel comfortable at your property, they often want to personalize it as best they can.

Take some time to listen to some of their requests and figure out a compromise. Whether it’s changing the paint color or allowing pets, it can greatly increase your chances of having long-term tenants.

7. Constant communication

It’s important to be clear with your tenants about lines of communication. No tenant wants an unresponsive landlord.

Be reachable and let them know how they can get in touch with you whether through mobile or email and be clear about your response times.

Additionally, be available to tenants who want to view your property. It will only take one missed call or message to lose a prospective tenant to another landlord.

As a landlord in Tampa, it’s in your best interest to find a tenant that will rent your property long-term. This list of 7 ideas can help you in accomplishing just that. It’s important to remember to find ways to better your tenant’s experience while staying professional and not getting too friendly. This way, you can enforce strict rules and better your landlord-tenant relationship .

What Exactly is “Normal Wear and Tear”?

Fri, 26 Jul 2019 18:12:00 GMT

“Normal wear and tear” can create a lot of confusion. Tenants and landlords often have disagreements when deciding what to consider as wear and tear. That’s why it’s important to include the term in your Tampa lease agreement .

In this article, we’ll cover the basics of recognizing normal wear and tear. Do note that you should look into Florida laws for extra assurance.

How can you define “normal wear and tear”?

Some of the definitions reflect laws, others stem from general guidelines. Most see normal wear and tear as an expected decline. It results from aging and normal everyday use.

Damage, on the other hand, is from being careless or negligent.

The landlord should conduct adequate maintenance to combat the wear and tear. Damage is every tenant’s personal responsibility.

Is it normal wear and tear?

Take a look at the following list of practical examples. This provides some understanding of the line between normal wear and tear and damage.

YES: Enamel scratches and wear in sinks, bathtubs, and toilets. Loose or dull bathroom tiles. Aging pipes causing clogged drains. Rust on the shower rod. Dark spots on the bathroom mirror.

NO: Broken enamel in bathtubs, toilets, and sinks. Bathroom tiles completely missing. Cracked tiles. Clogged drains resulting from negligent use. Shower rod missing. Bent shower rod. Bathroom mirror has stains from makeup or harsh personal hygiene products.

YES: Fading. Worn thin or little worn patches.

NO: Big holes and stained areas. Ripped carpeting. Urine from pets and other “accidents”. Cigarette or other burns in the carpet.

YES: Sticky doors from moisture exposure.

NO: Doors that are off the hinges. Broken doors.

YES: Fading from sunlight exposure. Lost finish due to aging.

NO: Deep scratches. Bits of the hardwood missing. Water stains.

YES: Faded or filthy lampshades.

NO: Torn, burnt, and stained lamp shades. Completely missing shades.

YES: Fade due to sunlight exposure. Light scrapes from normal daily life.

NO: Unauthorized colors. Scribbles and writings on the paint.

YES: Dirt accumulation in the grouts.

NO: Chipped, broken, or completely missing tiles.

YES: Faded wallpaper. Mildly torn.

NO: Drawings on the wallpaper. Unapproved wallpaper.

YES: Glass has light scratches. Looks a bit worn.

NO: Broken glass, ripped screens, and deep scratches.

How about light bulbs?

When a new tenant moves in, the rental property should have working light bulbs. The same should be said before the tenant moves out. The renter is responsible for changing them, not the landlord.

What about generally bad living conditions?

Cleaning after a tenant moves out and before a new one moves in is your responsibility as a landlord.

You’ll pay for the cleaning services unless the tenants failed to regularly clean the place during their lease. The cleaning services will charge a higher fee for worse conditions, which the tenant will have to pay.

How can I properly document damage or wear and tear?

The most important step is to conduct move-in and move-out inspections . Use a checklist when a new tenant moves in. Then you can compare both inspections to determine if there are any differences. If there are, then you decide whether it’s normal wear and tear or damage. If there’s damage, you deduct the sum from the tenant’s security deposit.

Don’t focus only on the move-in and move-out inspections. Regular inspections along with maintenance keep the property in good condition.

Would photo and video materials work?

Some landlords opt for taking before-and-after photos and videos. This will help in providing a clear demonstration to tenants why you are keeping the security deposit.

The bottom line: what is normal wear and tear?

Normal wear and tear is aging and deterioration resulting from regular use. Damage means negligence, carelessness, and destruction of personal property.

Though distinguishing one from the other can be difficult, now you can refer to this article whenever you’re unsure. And we at Advantage Realty Services are always here to help! Don’t hesitate to contact us with any questions about the management of your Tampa property.

Hiring a Property Manager vs. Self-Managing: What’s Better?

Fri, 21 Jun 2019 20:18:00 GMT

Congratulations on owning a rental property in Tampa, Florida. Your hard work, persistence, and patience have paid off. You have now set the groundwork for earning passive income for many years to come.

That said, buying the rental property was only half the equation. The remaining half is arguably the hardest part because it revolves around property management. The way you manage your property can make or break your rental business.

That’s why many Tampa landlords usually ask themselves – should I or should I not hire a property manager.

For beginner landlords, the answer is pretty straightforward: self-management is the right way to go because many of them believe that property management is all about collecting rent at the end of the month. This is usually a grave mistake!

Landlording is more than just collecting rent from tenants at the end of the month. For this reason, many successful landlords in Tampa hire a professional to manage their properties.

Alternatively, there are some investors that have been successful in managing their properties themselves.

The big question is whether you should you hire a property manager or self-manage your Tampa, FL rental property.

Let’s find out!

Why You Should Self-Manage Your Rental Property

Nobody else will care for your investment like you. After all, it’s your property. You are the one who risked it all to acquire it and the extra care may make all the difference.

It may make the difference between a money-making machine and a money pit.

Experience is key to running a successful rental business. By managing your rental property, you’ll be able to learn a thing or two about how the rental business runs. The experience you acquire may help you evaluate how others manage your rental property should there come a time when you won’t be able to self-manage your property.

With some experience, you would, for example, be better placed to advice on which rental advertising method works best for your property.

Fraud is commonplace in many industries and the property management industry isn’t an exception. There are some property managers that may not run their operations ethically.

You may find such managers engaging in unsavory activities, such as receiving kickbacks from contractors or pocket rent from “vacant units.”

If you have acquired some experience managing rentals before, you’ll be better placed to spot and stop fraud in its tracks.

Managing your own rental properties give you increased control. This results in an easier decision-making process, as you don’t have to consult with anyone.

This is, without a doubt, the number one reason why many investors choose to self-manage their rental properties. Broadly speaking, management firms typically levy a charge of about 10% of the gross monthly income.

For example, you charge $1,000 as rent for your property. With a property management fee of 10%, it means that you’ll have to part away with $100 every month.

Why You Should Use a Property Manager

A property management company has all the resources needed to manage a property. They have an office, policies, and staff. Moreover, they will usually have documents such as rental application forms, entry notices, and leases .

They often have a list of good vendors and contractors to use whenever the need arises.

The property management business is one that is governed by many laws, from habitability laws to fair housing laws.

If you don’t have a good understanding of these laws, you may find yourself in a mess. Many judges in Florida don’t take ignorance of the landlord-tenant laws lightly.

A good property manager will be able to help you evict a tenant should the need arise. Most states, including Florida, have procedures that every landlord must follow for an eviction process to be successful.

This is one of the top reasons why many property owners in Tampa hire property management companies. Landlording requires time. You need to stay up to date with all the happenings in your property at all times.

You have to ask yourself whether your time could be spent better elsewhere. If it can, then it’d be best to leave the management of your property to someone else who is qualified.

Property management is full of stressful situations. Dealing with angry tenants and severe maintenance issues requires one to have a thick skin.

Sure, a significant proportion of tenants are awesome people. That said, finding this caliber of tenants isn’t an easy walk in the park. You have to have the experience, skills, and industry knowledge.

Conversely, problematic tenants are easy to come by. You don’t have to have any experience, skills or industry knowledge to acquire them. A simple rental advertisement will usually suffice. This is often the case if you don’t have an effective screening process .

Hiring a Property Management Company

If you decide to hire a property management company, then it may pay to do your due diligence because not all property managers are created equal. You want to ask them questions such as:

When all is said and done, what is best – should you hire or should you not hire a property manager? There is no direct answer. The decision is purely a personal one. Whatever your choice, remember to take a diligently executed plan.

8 Key Clauses to Include in Your Tampa Lease Agreement

Thu, 30 May 2019 18:16:00 GMT

A detailed lease agreement is important for both landlords and renters in Tampa. When it contains the right terms, it can help minimize headaches down the road. The more thorough it is, the better.

Remember, you cannot penalize your tenant for something that they don’t know about. For example, without outlawing subleasing, your tenant may do it when you aren’t looking.

In today’s article, we are going to take a look at some of the key items every landlord in Tampa should include in their lease or rental agreement.

1. Lease Term

This is the period of time the lease or rental agreement will be legally enforceable. It’s usually expressed in terms of months or years, depending on the type of agreement it is.

Speaking of type of agreements, there are generally two types of agreements: a rental and a lease agreement. A rental agreement usually runs month-to-month, whereas a lease agreement is for a longer period of time, generally, it runs anywhere from six months to a year.

Once the specified period ends, the tenant must either move out or renew the agreement for another term.

2. Names of Tenants

You should also remember to include all the names of all adult tenants, married or unmarried, in your lease agreement.

This will help make them all legally responsible for all lease terms, including paying rent. You will also be able to evict them should any of them seriously violate the terms of the lease agreement.

3. Occupancy Limits

This is yet another clause that you shouldn’t forget to include in your Tampa rental agreement. If you allow subletting of your rental property, ensure that your tenants know of any rules you may have.

For example, state that it’ll be illegal for anyone to live in your property without your permission.

With this clause, it signifies that you’ll now have the right to evict anyone living in your property without your permission.

4. Pet Rules

Do you allow pets in your Tampa rental property? If so, then make sure that your tenant knows about any restrictions that you may have. For example, you can let your tenant know that certain breeds and types of pets are not allowed.

You can also let your tenant know about any extra fees or deposits that they may be required to pay for their pet.

If you don’t allow pets, then ensure to let your tenant know as well. Not allowing pets into your property can, however, limit your ability to find tenants. This is because a huge portion of U.S. renters own a pet .

5. Liability

Do you have multiple tenants on the same lease? If so, then you need to have a ‘joint and several’ liability clause. This would mean that each party is jointly and individually responsible for abiding by the terms of the lease.

This would consequently hold other tenants accountable for abiding by the terms of the lease.

Suppose you have 3 roommates on the lease, and you charge $3,000 as rent per month. Likewise to the case with roommates, it would mean that each tenant pays $1,000 after splitting the rent.

Now, suppose that one of the tenants, for whatever reason, defaults on paying rent. Who would become liable for the $1,000? With the ‘joint and several’ liability clause, it would mean that the other two would be held liable.

This means that they would each have to pay $1,500 in order to prevent the group from violating the lease.

6. Use of Premises

This may sound obvious, but it’s not to be forgotten . Without stating the use of the premises, some tenants can take it for granted and use it for other purposes. You might, for instance, want to say that the property can only be used for residential purposes.

By saying so, you’ll be preventing someone from using it to run a business out of your property.

By the same token, you can include a clause that says whether or not a tenant can list it on home-sharing platforms like VRBO, HomeAway, and Airbnb.

7. Rent Rules

Don’t just state what the rent amount is. You also want to take the time to mention some important details about the rent rules. Such details include:

You may also want to include a clause regarding your ability to increase the rent. Click here to learn about the Florida rental laws regarding raising the rent.

8. Security Deposit

If you have been a landlord for a while, then you know that security deposits can be a source of conflict between a tenant and a landlord.

A tenant may think that they have returned the property in good condition, but you may disagree. A conflict may then ensue.

The only way to avoid potential conflicts and misunderstandings is by being clear on things like:

These are 8 key clauses every landlord in Tampa should include in their lease agreement. With that said, this content is only meant for educational purposes. For more help, please consider hiring professional assistance.

5 Mistakes Real Estate Investors Make When Budgeting Their Property

Wed, 01 May 2019 01:24:00 GMT

The greatest advantage of investing in real estate is the ability to predict what your ROI will be.

That said, your return on your Tampa, Florida investment is only as good as the numbers you begin with. So, avoiding mistakes early on in your investment journey is key to your rental business’ success.

In today’s post, you’re going to learn 5 of the most common mistakes beginner rental property investors make when budgeting their property – and how you can avoid them.

So, read on to find out how to start a successful rental property business!

Mistake #1: Being over-optimistic on the vacancy rate.

This is a mistake that many beginner real estate investors make . They become overly optimistic about the vacancy rate.

When managing a rental property, vacancies will be a common thing. Your tenant may want to relocate for many reasons. Some of the top reasons renters move include:

While many are beyond your control, there are some that you can do something about, like staying on top of maintenance issues.

Since vacancies are an inevitable reality, the key is taking them into account when running the numbers on your rental. Generally speaking, budget a minimum of 8% of the rent as your property’s vacancy rate.

The only real exception to this rule is if you know your property is located in a popular rental market. If so, you can decrease the vacancy rate percent you include when calculating your initial budget.

Mistake #2: Underestimating regular maintenance.

Not including maintenance in your budget is a big mistake. Mostly because maintenance correlates with a rental property’s value. A properly maintained property has better value and vice versa.

Now, maintenance has more to do with how your Tampa tenants use the property. Common rental property maintenance tasks include refinishing, re-carpeting, or repainting. Thankfully, you only have to do them once your tenant moves out.

That said, they can be quite costly, not to mention the time you’d need to spare to handle them.

So, just how much should you budget for your property’s maintenance needs? Well, there isn’t a quick answer. But the following four formulas can help you get a general overview of what to expect. Take your pick, or use them all!

Mistake #3: Failing to budget for property management.

Many new rental property owners in Tampa, Florida make the mistake of thinking that being a landlord is easy to work. It’s definitely not! Being a landlord means more than just collecting rents.

Here are a few questions to ask yourself to determine your suitability.

If you answered ‘no’ to most of these questions, then it may be in your best interest to just hire an expert. A professional property manager has the skills, knowledge, and resources to handle your rental property.

Now, you’ll need a budget for this. Typically, this will be about 5% to 10% of your rental income.

Mistake #4: Inaccurately calculating your equity.

Far too often you’ll hear a property owner brag how much equity they have on their property . They think that because the worth of their Tampa property is $300,000, and they owe $210,000, their equity is $90,000!”

Well, that’s true on paper. However, it’s nowhere near the $90,000 when it comes to reality.

What people tend to forget to include is the cashing out and liquidating costs. In most cases, these costs usually ramp up to about 10%. That means that for a property worth $300,000, you can expect to pay $30,000 for exit costs.

What’s left (in our case $90,000-$30,000=$60,000) is what you could realistically expect to walk away with.

Mistake #5: Ignoring administrative and miscellaneous expenses.

They may seem trivial, but these can quickly add up. As a real estate investor, you’ll often find yourself spending time and money visiting your properties or looking at potential new real estate investments.

Little by little, that mileage ads up, both in fuel and on your car’s wear and tear.

There are also other things to consider besides travels. What about bookkeeping? Would you handle it yourself or do you hire a professional? Again, it is a labor expense whichever way you look at it.

Is your Tampa, Florida rental property classified as a legal entity? If so, you’ll need money to file and maintain.

What about your tax returns? As your real estate business expands, the more complicated and time-consuming filing taxes will become. If you choose to do it yourself, then expect to forgo your weekends to fill in the forms. Although, if you choose not to, then expect to pay for professional help.

Generally speaking, you want to keep aside about 3% to meet these often-overlooked costs.

These are the 5 main mistakes to avoid when budgeting your Tampa, FL property. If you still need more help, please seek professional help.

Common Mistakes Beginner Real Estate Investors Make

Wed, 27 Mar 2019 19:55:00 GMT

Do you dream of becoming a rental property owner?

Maybe owning a few income properties from which to make a passive income?

Understandably, owning a rental property can be financially rewarding. In fact, real estate has produced many of the world’s wealthiest people.

According to data from the National Council of Real Estate Investment Fiduciaries Index, over the past two decades, real estate has produced an average annual return of 10.8%.

Clearly, property investments can be an extremely lucrative business.

Be that as it may, property investment isn’t quite as simple as people would like to believe. As a matter of fact, it can be an incredible hassle. What you initially thought would be a money-making machine could turn out to be a money pit.

That’s why in today’s article we look at 6 problems to look out for when buying real estate properties.

1. Buying a fixer upper

Buying a fixer-upper can be a double-edged sword. You could either find yourself sitting on top of a gold mine or neck-deep in bills.

Before buying a rental property that needs fixing, ask yourself:

If you answered ‘no’ to most of these questions, then it’s a clear sign you need to stay away from fixer-uppers. While a turn-key property may cost more , it’s usually ready for occupation the moment you buy it.

This means that you can start looking for tenants right away.

2. Buying a property that doesn’t abide by the 1% rule

What’s your goal when it comes to your property’s ROI? If you are like most property investors, then it’s rental income.

If it’s rental income, then make sure your returns abide by the 1% rule.

So, what’s the 1% rule?

The 1% rule states that the gross monthly rent should be at least one percent of the property’s final price. The idea is to have the rent greater or equal to the mortgage payment so that you are able to break even on the property at worst.

Suppose you buy a house for $100,000. Then, according to the 1% rule, this means that your property should be able to bring in at least $1,000 every month. The calculation is quite straightforward. ($1,000 monthly rent /$100,000 property price =1%).

Some exceptions to this rule exist, however. For instance, if you are buying property in a neighborhood that is rapidly changing and improving.

3. Not considering property taxes

This is also another problem area that many beginner rental property investors forget to consider. When it comes to making profits in real estate , maximizing rental income and minimizing expenses is key.

Property taxes are an expense. The higher they are, the fewer profits remain for you. As such, always do your homework on property taxes prior to buying a rental property.

Generally, metropolitan areas have higher property taxes while rural areas have lower taxes.

Some locations also charge different taxes depending on whether a property is owner-occupied or a rental. To be safe, hire a professional. A local tax assessor should be able to help you determine an area’s property tax.

4. Choosing the wrong location

It’s the real estate agent’s mantra: location, location, location. Essentially, when it comes to real estate, location is key. Understandably, when moving to a new home, you will want assurances that the home is great in all aspects.

So, as a property investor, you need to choose your investment neighborhood wisely. A place where your tenants will be happy to call home.

It’s important to consider safety. The fewer the crime rates there are, the better, and the more likely tenants will want to live there.

You also want to consider curb appeal. High-quality tenants expect high-quality living. They are more eager, for example, to live on a street with nicely painted homes and well-manicured lawns.

Another important factor is the nearby amenities. Look at things like the local schools (more so if you are hoping to rent to families), public transit, grocery shops and more.

5. Thinking real estate investing is a one-man show

To successfully manage your real estate investment, you need to have the right team of professionals. The aim of working with these professionals is to build and grow your rental business.

A successful team of real estate professionals includes people who:

These are especially necessary when you have multiple properties.

6. Not hiring a professional to manage your rental property

Landlording isn’t easy. It can sometimes be a headache, more so if you lack the industry experience. Asking yourself a few questions can help you determine whether or not you make the cut:

If you are not well-versed in these laws, then you should consider finding help. Hiring a qualified property manager might be in your best interest.

Yes, real estate can be a rewarding investment. But, just like any other investment, due diligence is key. By avoiding these 6 common mistakes, you’ll be on your path to financial freedom in no time.

5 Tax Benefits of Investing in Real Estate

Tue, 26 Feb 2019 00:41:00 GMT

Paying taxes may be mandatory, but it doesn’t have to be expensive.

Did you know that there are a number of tax benefits for real estate investors?

And that using these benefits can reduce your tax expenses by thousands of dollars ?

If you didn’t, then this post is for you!

Keep on reading to know five awesome tax incentives that you can use to minimize your rental property taxes today!

5 Popular Tax Benefits for Rental Property Owners

You are probably thinking about what your options are in terms of tax benefits.

Another question you should be asking is “How can I use them to my advantage?”

Here are five great tax benefits of investing in real estate:

1. Tax Deductions

First thing’s first, what is a tax deduction?

A tax deduction is an amount that a property owner can write off from their gross taxable rental income.

In most cases, these deductions are from the expenses you’ll incur while managing, maintaining , and preserving your investment property.

Tax deductions can offer you great benefits. Especially if you spend a lot to keep your property in good shape.

What is included in these expenses?

Generally, any expense that doesn’t add to the value of your property can be counted as a deductible.

Here is a short list of a few legal tax deductibles for property owners:

2. Depreciation Tax Benefits

According to the IRS, investment properties have a shelf life of 27.5 years.

That means that after this period, your property will have outlived its usefulness.

You might still be wondering: how does depreciation work?

Using the fair market value of your property, you can calculate your property’s depreciation expense.

Basically, this expense covers your property’s exhaustion or wear and tear over time.

Now, to calculate depreciation, three factors come into play:

To calculate your annual depreciation expense, use this formula:

Depreciation expense = value of the property / the depreciation period

If you own a rental property worth $100,000, its depreciation expense will be:

Depreciation expense = $100,000 / 27.5 = $3,636

Every year, the government will allow you to deduct $3, 636 from your total taxable rental income as a depreciation expense.

To better understand this tax incentive, let’s use an example.

Let’s pretend that your property:

Here’s how your tax obligation would be without depreciation :

Total taxable income = $10,000 – $4,000 = $6000

Annual tax owed = $6,000 X 25% (Federal income tax) = $1,500

However, if you factor in depreciation , here’s how your rental tax obligation will be:

Total taxable income = $10,000 – $4,000 – $3,636 = $2,364

Annual tax owed = $2,364 X 25% (Federal income tax) = $591

Amazing, right?

According to this example, you get to save $909 each year due to depreciation.

And if you have more than one property, your tax savings grow an even bigger amount.

3. Long-Term Capital Gains Tax Incentives

When it comes to investing in real estate, there are a few things you should know about capital gains.

For starters, capital gains are profits made from the sale of a property or investment.

There are two types of capital gains: long-term and short-term gains.

Short-term gains are profits arising from the sale of a property you’ve had for less than a year.

Unfortunately, in terms of tax incentives, short-term gains don’t have any. That means you’ll have to pay taxes for the sale at the normal rate.

However, long-term gains offer you great tax benefits.

How?

Long-term gains occur once the sale of a property is held for more than a year. These types of sales often have a lower tax rate .

Basically, the longer you own the property, the lower your tax rate will be when you decide to sell it.

4. 1031 Exchange Tax Benefits

According to Section 1031 of the Internal Revenue Code, you can swap your rental property for another without paying taxes.

The best part about this tax benefit is that it allows you to pass your property’s capital gains to another with little or no tax obligations.

But there is a catch.

These swaps have to meet a few conditions:

5. FICA Tax Benefits

The FICA or Federal Insurance Contributions Act is a 15.3% tax on employment income.

But this tax obligation varies according to the type of employment.

For example:

If you are employed, you won’t have to pay the full (15.3%) amount on your own.

That’s because the tax burden is split in two between you and your employer. Leaving each of you to pay 7.65% FICA tax.

However, if you are self-employed, then you’ll have to pay 15.3% in FICA tax.

Now, you may be wondering how this is beneficial.

Well, FICA taxes don’t apply to rental income.

But, if you are employed, it simply means that your overall tax burden will be lighter, as a result of your employer sharing your FICA tax obligation.

In summary, it’s quite clear that taxes can eat up a large chunk of your annual gross income.

But, using these tax benefits, you can cut down your tax burden by thousands of dollars.

What are Your Mortgage Options When Buying an Investment Property?

Mon, 28 Jan 2019 00:43:00 GMT

If you are venturing into Tampa’s thriving real estate market, make sure you’re prepared.

Why so? Well, it’s quite simple.

Investing in real estate can be a profitable venture, but only if it’s done the right way.

Owing to factors like the low cost of living, job opportunities, population increase, and tourism, Tampa’s property market is growing strong. Which is great news for property investors.

Moreover, since property prices are still favorably low in Tampa, it’s understandable why buying an investment property might be a wise move.

Now, for most investors – especially new ones – who want to buy rental properties, financing is one of the biggest hurdles.

And if you are one of them, you’re probably wondering; where can I get funds to buy an investment property?

If so, have you considered applying for a mortgage?

This post covers all the best mortgage options for people looking to buy a rental property in Tampa, Florida.

Best Mortgage Options for Tampa, FL Investment Property Buyers

There are many types of mortgage loans available for rental properties. Read on to find which is right for you.

1. VA (Veterans’ Authority) Mortgages

In terms of requirements, down payment, and interest rates, VA mortgages are the best. But, the catch is that these types of real estate investment loans are for military personnel – both retired and currently serving – only.

According to the National Association of Realtors , at least 74% of military personnel currently serving and 54% of veterans have bought property using a VA mortgage.

Generally, the veterans’ authority issues a maximum of $424,100 per loan. And applicants can apply for more than one loan. They can apply up until they reach what is known as the entitlement limit .

So, what requirements must be met to qualify for this type of mortgage?

VA mortgage conditions and requirements:

Pros:

Cons:

2. Federal Housing Administration (FHA) Insured Mortgages

If you are new to the industry , an FHA-insured mortgage would be your best option. But, why do people refer to it as FHA-insured?

That’s because the FHA doesn’t issue mortgages, the FHA-approved lenders do. Instead, the FHA insures real estate lenders against losses.

Meaning, that banks can comfortably issue investment loans to high-risk applicants without having to worry about them defaulting.

Moreover, these mortgages come with very low interest rates and low down payment requirements. Let’s take a look at the features and benefits for this type of loan.

FHA mortgage requirements and conditions:

Pros:

Con:

3. Conventional Mortgages

Now, if you don’t qualify for a VA mortgage or your FHA loan application fails to pull through, you can opt for a conventional mortgage.

Basically, these are housing loans from private lenders like banks and mortgage companies.

On average, a conventional loan is cost more than a VA or FHA mortgage; while at the same time cheaper than hard money and investment property mortgages.

Here’s what you need to apply for this kind of mortgage.

loan requirements and conditions:

Pros:

Con:

4. Investment Property Mortgages

When it comes to investment property mortgages, the requirements often get a bit strict and pricy.

Moreover, getting this kind of loan is never easy. Applicants must meet a number of requirements in order to get approved.

Due to their strict nature, failure to meet these requirements may lead to the loan application being denied.

Investment property loan requirements and conditions:

Pros:

Cons:

5. Hard Money Mortgages

If you are looking for a fast loan, a hard money mortgage would be your best option. These mortgages are ideal for investors dealing with time-sensitive purchases.

That’s because most applications are processed and approved within a very short period of time.

In terms of requirements, these loans are very lenient. In fact, anyone can apply for such a loan regardless of their credit score, the number of mortgages, or debt-to-income ratio.

Pros:

Cons:

In conclusion, try and get to know all you can about these different types of mortgage options. It is the safest way to find one that suits you best. All it takes is a little bit of research to find a good mortgage option to finance your Tampa investment property.

How to File a Complaint Against a Property Management Company

Sat, 29 Dec 2018 19:42:00 GMT

Is your property manager giving you a hard time? Do you feel like your tenancy application was unfairly declined? Or would you like to know how to file a complaint against a property management company?

If so, you are in the right place.

Generally, property managers are often responsible for all matters related to the safety, health, suitability, and usability of rental units.

Therefore, whenever they fail to provide one or more of these essentials, tenants can file complaints against them.

Luckily, every state in the country has a number of ways in which renters can voice their complaints against property managers.

If you are a renter with issues about your rental unit, here are two things you can do to get the issues resolved.

1. Directly Contact the Property Management Company

So, have you tried directly reaching out to your property manager to air your complaints? If not, start with that. Try visiting their offices for a face-to-face meeting. Admittedly, most conflicts often arise from miscommunication.

Sometimes, sending an email or making a call to your management company doesn’t guarantee swift action.

Why?

In most cases, these companies often deal with a lot of tenants. Therefore, they can have a huge backlog of situations to tend to.

Understandably, if your complaint is new, it may be placed at the bottom of the queue. Therefore, not all delays translate to ignorance on the management company’s part. And that’s why paying them a visit can help you to understand what’s really going on and why they are taking so long.

If the delay is due to negligence or ignorance, then you should consider reporting the property management company.

2. File a Complaint Against the Property Management Company

If a face-to-face meeting doesn’t allow you to resolve your issues, the next step would be to file a formal complaint.

Formal complaints help to motivate landlords or property managers to resolve your problem or can be used to legally compel them to do so or face dire consequences.

All you need to do is to contact the relevant authorities with enough evidence to prove your case.

Now, different authorities often handle different issues. Therefore, you have to know where to file your complaint. Like most states, Florida offers renters a number of ways to file a complaint including:

So, what’s the best way to go about this?

First, collect every bit of proof you have to present a solid case.

Thereafter, submit the complaint to the relevant authorities and wait for a response or direction on how to proceed.

3. File a Complaint with the HUD

If you are a homeowner or have been renting a house for a while, you’ve probably heard about HUD. This is the department that oversees everything and anything concerning housing and property rental activities.

Therefore, they are probably your best bet at getting your issues resolved when your property manager seems reluctant to respond to your complaints.

Once you file a report with them, the department will investigate your issue.

And if it is serious, HUD will fine or even bar the property management company from doing business again; it’s that serious!

HUD handles complaints ranging from:

Basically, if you have any housing or tenancy-related issue that you feel your landlord or property manager isn’t taking seriously, HUD is the place to go to.

However, from all the issues mentioned above, discrimination is treated in a serious manner.

According to the Fair Housing Act, current or potential renters should not be discriminated against; based on their race, color, disability, religion, gender, sexual orientation, nationality, or familial status.

Therefore, if you feel like you were unfairly dismissed by a property management company (violating the fair housing law), report the matter to HUD.

You’ll be assigned a specialist to go over your problem. If it is within their jurisdiction, they’ll help you out. If not, they’ll refer you to someone who can (in most cases, your local housing department).

However, to know more about your local HUD field office, check out their website to find contact information and even FAQs related to your problem.

Moreover, the website also shows where their offices are in Tampa, Florida or any other part of the state.

4. File a Lawsuit Against the Property Management Company

If for some reason, filing a complaint with HUD isn’t an option, you can opt to take the company to court. Before you do that, you have to find a reputable tenant-landlord attorney to walk you through your options.

Due to their in-depth knowledge of local/state tenant-landlord and housing laws, an attorney can be very valuable to you.

They’ll help you understand what you can and cannot sue your property manager for. And once they do, you’ll know whether or not filing a lawsuit is a good idea.

5. File a Complaint with the Better Business Bureau (BBB)

Like all businesses, a property management company values its BBB ratings and reviews.

Obviously, lower ratings make it hard for them to earn the trust and confidence of potential clients. And this is never good for any business.

That’s why businesses often go to great lengths to ensure that their BBB rating is high and impressive.

Therefore, filing your complaint with the Better Business Bureau can put a lot of pressure on your property management company to respond and resolve your problems.

6. File a complaint with the City’s Department Related to Your Issue/s

The city of Tampa, FL has many departments, each covering and executing a specific mandate.

Some of these departments are, in one way or another, tied to housing and tenancy. They include:

Now, reporting your issues to any one of these departments can be helpful. That’s because they can compel your property management company to deal with your problems.

Property managers know that failure to comply with such directives put them at risk of losing their licenses and certifications. Therefore, they’ll work fast to resolve your issues.

Evidently, there are so many channels you can use to resolve issues with your property manager. All you have to do is to ensure that your complaint is valid and that you’ve given them enough opportunities to fix the issue.

How to Rent Your Former Home

Mon, 26 Nov 2018 04:27:00 GMT

Renting a home can provide far greater returns than selling a home. Aside from the tax benefits, you can also accumulate long-term wealth by investing in a rental property.

However, when renting your former home, one thing could get in the way of your success – your emotions!

Our homes are filled with memories. They serve as the backdrop of the families we’ve built, parties we’ve thrown, and the friendsgivings we’ve hosted. It is where we retreat to when we’re worn out, when it storms, and when we’re sick. All these add to an emotional connection to our homes.

But, if you decide to become a rental property owner and be successful at it, you’ll need to detach from all these emotions. What used to be your home is now an investment. And there is a big difference between the two.

Here is how to turn your former home into an investment property that brings in income.

Make your rental property desirable to tenants.

An attractive property is always easier to rent. You’ll not only have an easier time finding tenants, but you may also have a low tenant turnover.

The following are tips to help you get started.

Basically, sell what your property has. Don’t focus on what it may be lacking. Is the property in close proximity to public transportation? Sell that. Have a balcony or backyard patio for summer? Sell that.

The first way to attack either of these rooms is to clean them! Not remodel or renovation. Scrub cabinets inside and out, polish all appliances, mop the floors, and clean the toilets, tub, and all the hardware.

A fresh coat of paint can do wonders in revitalizing practically any interior living space. It can brighten dim hallways, revive tired walls and highlight architectural features like high ceilings and built-in bookcases.

First impressions are lasting impressions. If the property’s exterior isn’t up to par, tenants may not even want to look inside. As such, remove any chipped paint, torn window screens, or broken banisters. Make sure the lawn and shrubbery are well-manicured.

Neutralize the house.

You probably have personal touches around the home. You may have framed family photos hanging on the walls or painted the dining room bright red. But now that you’re renting the place, you need to depersonalize it .

Here are some steps on how to depersonalize your home:

Advertise the property for rent.

Once you depersonalize the home and the house is show-ready, advertise it. Your goal should be to get it in front as many prospective tenants as possible.

Rental property listings work great in this regard. Good examples include Zillow.com, Realtor.com, Craigslist.com, and Apartment.com.

To list your home in any of these platforms, you’ll require photos. So, try to take high-quality photos that display your property in the best way possible prior to posting them.

Aside from rental listing sites , you can also use social media sites like Facebook and Instagram. You can create highly targeted advertisements, or simply ask your friends to share your rental property on their personal profiles.

Screen your tenants well.

When prospective tenants call to view your rental, prepare a set of rental questions to ask them. This will not only save time but will also help weed out bad tenants right away.

These are some questions you should ask prospective tenants:

Look for legitimate answers like “I’m moving closer to my new job” or “I’m moving because I need more space.” If the renter says, “I’m moving because my landlord terminated my lease” or “My landlord and I just don’t get along”, then you should definitely reference the landlord to find out why.

If they agree, go ahead and schedule a showing. If not, continue and pass on the prospective tenant and keep looking.

If you don’t allow pets and the prospective tenant has one, do both yourselves a favor and stop the interview. However, if you allow pets, then explain your pet policies. For example, the number of pets, size of pets and pet fee/deposit.

If they can, continue with the interview. But if they can’t, aren’t sure or say, “Not right now”, then politely move along the next applicant.

These are questions you shouldn’t ask prospective tenants:

There is a big difference between being arrested and being convicted of a crime.

Respect your tenant’s privacy rights.

Essentially, leave your tenants live in peace . Don’t barge in whenever you wish. Once you have accepted rent and deposits from a renter, you no longer have the enter the house as you please.

According to landlord-tenant laws, tenants have a right to “ quiet enjoyment ” of the premises. You may only enter the premise once you’ve notified your tenant in writing. And, the reason for the entry must be reasonable. For instance, to:

In addition, the entry times must be reasonable. For example, from 8:00 a.m. to 5:00 p.m. during weekdays and from 9:00 a.m. to 3:00 p.m. during weekends.

In the end, being a landlord has its ups and downs. Get it right and it can be a source of income and great fulfillment. On the flipside, if you are struggling with managing your rental property, you can look into getting help from a local property management company.

Using the Cap Rate to Make Your Investment Property Decisions

Wed, 24 Oct 2018 18:08:00 GMT

Real estate investing is undoubtedly one of the best and safest ways to make money compared to shares and stocks. In fact, 90% of the world’s millionaires are involved with this particular activity.

Of course, not everyone who invests in real estate will see amazing results or even results at all. The key to successful real estate investing is knowing how to properly find and evaluate a property.

Now, there are four main ways to calculate the profitability of a real estate investment. These include cash on cash, net operating income, the rate of return, and cap rate. In this article, we’ll focus entirely on the cap rate .

What is a “Cap Rate?”

Often just called the cap rate , the capitalization rate is the ratio of Net Operating Income (NOI) to property asset value. It’s the most commonly used baseline for comparing investment properties .

The higher the rate, the better the investment’s return on investment (ROI). Let’s take an example of how a cap rate is commonly used.

Suppose a property has a price tag of $100,000 and can earn an annual income of $12,000 (or $1,000 per month). Ongoing costs like property management fees, homeowners association (HOA) fees, property taxes and other fees sum to $350 per month.

Now, your net operating income (NOI) per month becomes $650. Multiply this by 12, and you have an annual net operating income of $7,800.

Next, divide the NOI by the property’s value. ($7,800/$100,000). This gets you 7.8%, which is the property’s cap rate.

Why Capitalization Rates Matter in Investment Property Decisions

The cap rate offers an accurate estimation of a property’s profitability. This is a vital metric for real estate investors. It helps investors compare potential investments and understand their investment’s return prior to deploying their capital.

Below are some reasons why savvy real estate investors like to use cap rates.

· Helps in choosing between investment options

Sometimes, investors find themselves in situations where they have to choose between two or more viable investment opportunities.

It may seem overwhelming at first glance. What type of property should you invest in? Understanding the cap rate can prove helpful in this regard. It’ll help you know which investment option has the best ROI potential.

· Gives you the chance to get a detailed understanding of all the operating costs

When it comes to operating an investment property, management and overhead costs can easily get out of control.

Understanding your NOI early on, may enable you to make changes that would help increase your profitability. For example, you may realize that a property has excessive energy costs because of certain inefficiencies.

Deciding Whether a Property Is a Good Investment

Doing the math is the only way to determine if a property is a good investment. As mentioned before, the higher the rate, the higher the property’s ROI. Many experts agree that anything closer to 10% means the investment is a good one.

When prospecting for an investment property, avoid making decisions based on emotions. Rather, base your decisions on critical analysis.

To better illustrate this, suppose landlord ‘A’ is prospecting for an investment property in Tampa, Florida. They have narrowed it down to three options:

· The first property is valued at $700,000

The annual rent and average annual expenses are projected to be $72,000 and $20,000 respectively. Therefore, the cap rate for that property becomes 7.43%. ($72,000 – $20,000/$700,000).

· The second property is valued at $415,000

The annual rent and average annual expenses are projected to be $54,000 and $23,000 respectively. Therefore, the cap rate for that property becomes 7.47%. ($54,000 – $23,000/$415,000).

· The last option is valued at $500,000

The annual rent and average annual expenses are projected to be $48,000 and $30,000 respectively. Therefore, the cap rate for that property becomes 3.6%. ($48,000 – $30,000/$500,000).

Landlord ‘A’ can clearly see that the last investment option isn’t worth it. The first two, on the other hand, have similar capitalization rates. So, which option should they choose? Well, this is the simple part.

To make the right decision, they’ll need to consider other factors. For example, future value predictions, upgrading needs, and location.

Using Cap Rate to Know when to Sell an Investment Property

Savvy property investors can also use this rate to know when to sell an investment property. According to Financial Samurai , if your cap rate is below a risk-free 10-year Treasury bond rate, consider selling.

As of January this year (2018), that rate was 2.55%.

Presently, San Francisco seems to have the worst average cap rate at 2.8%. For investors there, selling their property now would be the worst decision. That said, it’s still possible to reach a cap rate of 2.55% or lower depending on your property’s loan interest rates, taxes, and maintenance needs.

Aside from cap rate, there are a number of other factors to consider when answering the “should I sell” question.

Whether you are just starting out or are a seasoned investor, understanding how to use cap rate during your decision to purchase an investment property is essential. Hopefully, this article has been helpful in this regard.

If you would like assistance, don’t hesitate to reach out to us at Advantage Real Estate Services. We would be happy to answer any questions you may have!

Raising the Rent on Your Tampa Rental Property

Tue, 18 Sep 2018 22:03:00 GMT

Telling your Tampa tenants that you are raising rent is undoubtedly among the most stressful moments of the rental property journey.

Be that as it may, even if the price of rent does go up, not all of the rent changes have to be dreadful. You just need to have a good plan!

In this article, we’ll cover everything you need to know about raising the rent on your Tampa rental property. From the reasons why an increase in rent may be necessary to how to handle backlash and everything in between.

Important Reasons for Raising the Rent

A landlord can raise rent for a variety of reasons. The most common ones include:

When you make improvements, raising the price of rent to reflect this added value becomes a no-brainer. Whether you are putting in a new heating, ventilation, and air conditioning (HVAC) unit, landscaping the exterior, or replacing the tiles or carpets, re-doing the bathroom or kitchen, changes that add to the property’s appeal cost money.

If the local economy is rising, raising the rent to keep up with increasing housing prices makes financial sense.

When a large company moves into an area, it usually creates jobs and leads to increased incomes. These and other factors help raise housing prices and, accordingly, rental rates.

As neighborhoods improve and change, your rent should follow suit. Features to consider include:

– Upgrades in public transportation or new parks, green spaces, running paths, and new bike trails.

– New services, such as post offices and libraries.

– New businesses, such as coffee shops, eateries, and grocery stores.

If rents around you are all rising, the market is trying to tell you to follow suit as well.

If your regular monthly expenses have gone up, you definitely need to raise the rent. Examples of such expenses include property management fees , homeowner’s association (HOA) dues, insurance, property taxes, or even the mortgage payment (if you have variable interest rate).

Considering these, how much should you raise the rent by?

Determining the New Rent Amount

It’s a good idea to become familiar with Florida’s rental laws before the rent increase. Firstly, as a Tampa landlord, you have a legal right to ask whatever price you want for your rental property.

Ideally, you should aim for the highest possible return on investment (ROI). But, you should also be wary not to limit the number of potential renters. Some factors to consider include:

1. Your costs and expected return

While you should do this even before you purchase the property, it’s worthwhile going over it once in a while. By doing this, you’ll be able to determine whether or not your investment is worth it. If you notice you aren’t getting the return you want, consider raising the rent on your Tampa, FL real estate.

2. Comparable rents

Let the free market be your guide. Get a rent estimate from Cozy.com or search online marketplaces like Trulia and Zillow to find similar properties for rent.

3. Leave room for negotiation

When you understand your finances and know your comparable rents, put a number out there and see how the market responds to it. Start high so that you have enough room for negotiation.

Rent Increase Notices

Most states require landlords to provide official notices of rent increases to their renters. Florida has relatively flexible rent increase laws compared to other states. Landlords can raise rent with minimal notice since no city in Florida has rent control policies.

Generally speaking, you can raise the rent on your Tampa rental property on a lease of one year or more until the lease is up. That said, some tenancy agreements contain provisions that allow rent increases during the rental period.

When communicating the increase, make sure it’s professional and concise. This will go a long way towards reducing conflict with your tenants over a rent increase. When providing the notice, ensure you:

This ensures there is no room for argument.

Don’t leave room for confusion over the increase.

Unlawful Rent Increase Practices

Following Florida’s landlord-tenant laws , you cannot raise the rent for reasons that are discriminatory or retaliatory . That is, reasons based on:

Handling Backlash

Raising rents can oftentimes bring about negative feedback from your rentes. That’s why it pays to have a legitimate justification prior to raising the rent. Consider the following questions:

If you aren’t doing any of those, it’s likely that you’ll face a backlash from your renters. But, if they feel they will be getting more value, then they will likely be more responsive to the increase.

At worst case, they may not renew the lease. If this were to happen you would need to calculate your costs for marketing the property and the loss of rent while the property is vacant. Determine if the increased rent justifies finding a new tenant or keeping the previous rental price.

Increasing the monthly rent on your rental properties is something you will inevitably experience with Tampa real estate. While things can go wrong, with this guide, you can be sure to get through with much ease.

Best Areas in Tampa to Invest In

Mon, 20 Aug 2018 18:42:00 GMT

Are you an investor looking to buy and rent out single-family homes? If so, the Tampa Bay area is a good place to do it. In fact, Tampa finished third on Business Insider’s list of the best cities to invest in real estate for the second consecutive year.

So, why is Tampa ranked so highly for real estate investing? Here is why:

Tampa offers world-class tourist attractions. Some of these attractions include the Tampa Bay History Center, The Florida Aquarium, and the Busch Gardens.

The city is also home to excellent hospitals, police and fire departments, libraries, schools, and other services.

Tampa also offers a variety of recreational options, including nearby beaches, cultural events, and professional sporting events.

Manatee, Sarasota, Pasco, and Hernando in the Tampa Bay area are especially high performers in this regard.

And, data from RealtyTrac shows that the return for flipped homes in one Tampa zip code is 130%.

This is essentially because of the high demand for housing, which translates into cash flow and profits for real estate investors.

Also, population growth is at all-time high and home ownership is at an all-time low in Tampa Bay, reflecting the pent-up demand in housing.

In fact, foreign investors make up a whopping seventy percent of all condominium purchases in Florida. Usually, foreign investors are willing to pay slightly higher prices.

In turn, this drives up the overall prices of the real estate market. Coupled with domestic demand, foreign demand will keep property values climbing.

There are a number of reasons why Tampa Bay’s population is on an upward trend. One, unlike California, Florida has no state income tax. This makes it a more appealing state to retire. It is understood that lower taxes result in people having more disposable income.

Two, research shows that Baby Boomers are retiring to states with warm weather. Consequently, Florida, Texas, and California will have forty-six percent of the total U.S. population by the year 2030.

Another reason for the influx is due to the variety of job openings available in Tampa. According to Wallet Hub, Tampa ranks as the third best city in the U.S. to find a job. Microsoft, Amazon, and Home Shopping Network are some of the many large companies in the Tampa area.

It offers a great price to rent ratio. The median rent per month is $1,575, which means the price to rent ratio is 11.8.

Worth over $130 billion, the local economy is supported by the presence of Fortune 500 companies. For example, WellCare Health Plans, Inc., Jabil Circuit Inc., and Publix Super Markets Inc.

In addition to these top-performing companies, there are nineteen companies with headquarters in Tampa that make an annual revenue of over one million dollars.

Check Out: Top 11 Reasons Tampa is a Great Place to Live

With that in mind, here are best areas in Tampa to invest:

1. Davis Island

Davis Island is a Tampa neighborhood and archipelago on two islands in Hillsborough County, Florida.