Following the theme in How to Evict a Tenant, we take a look at the San Diego region of Southern California.
How to Evict a Tenant in San Diego
The legal verbiage:
Their topmost priority is to provide key points and solution to management property that would enables them to save money, time and frustrations. They are also giving comprehensive, best services and a service that is built on trust and are reliable. Their marketing strategies proved to be the reason why over the years they are the most trusted service provider in the area. Their screening system retains to be the most useful edge that attracts clients and qualified tenants. Which, then result to a better and good relation between the investor the client and the tenant. Their service understands the importance of every rental and they see to it that maintaining the level of service they provide has consistency. They are 24/7 available in case some problems arise much attention will be given to resolve on any issue.
For investor, the property management sees to it they work enough to protect the investment. They are aggressively working to sell out and talk to people as the target market for your property. And make sure also that it will be given in the hands of people that will take care of it. For renter, they are offering deals that can suit your needs as a newbie in the place. All that you need for a place to stay on will be provided on you. And at the same time ensures that you have financial resources in order for you to meet the demands on your rental obligation. Performing regular inspection is also their duty. This is one way of ensuring that everything is in order. This is more than giving you convenience and safety.
So if you are looking for the best and the most trusted management service provider, with worthy property solutions and management service that you can rely on, property management service in Phoenix is the leading service provider available for you any time of the day and a service provider that commits excellent customer service care.
They are working hard to be the best and give you the service in every aspect of managing the properties that you have.
In a recent post titled "11 QUESTIONS LANDLORDS NEED TO ASK WHEN INTERVIEWING A POTENTIAL MANAGEMENT COMPANY" Triton IRES described some great questions to ask.
1. How much do you cost?
2. What kind of property management experience do you have?
3. How many properties do you currently manage?
4. How often do you perform inspections?
4. What do you do with the information obtained from unit inspections?
5. How is preventative maintenance handled by your company?
6. How do you handle ongoing/daily maintenance? Y
7. After hours emergency handling.
8. Tenant Selection Plan.
10. Property Market Analysis.
11. What is your area of specialty?
By Goldenwest Management
As a landlord one of the things that you can expect to deal with is renting to roommates, especially if your rental property is close to a major college or university, but renting to roommates is much more than just collecting the rent, there are roommate best practices you should follow including the following:
#1 – Make Sure Roommates Are Jointly Liable
When renting to roommates you should make them sign a lease that holds them “jointly and severally liable”; this is a standard provision in leases to roommates and ensures that if one roommate violates the lease, the other roommate will be held equally responsible for paying damages, fees, and bills that their roommate may be responsible for.
Tenants should make sure that they choose their roommates wisely and only rent a property with someone that they know and trust considering the financial burden they could be faced with paying should one of their roommates cause damage or skip out on paying rent.
#2 – Think Twice Before Subleasing
Although subleasing may seem easy to some landlords, you should think twice about agreeing to sublease your rental property because a sublessor is not considered to be jointly or severally liable for paying rent or other lease obligations should they decide to move out since they didn’t actually sign your lease.
#3 – Always Follow the Same Process for Screening Tenants
Let’s say that one roommate decides to move out and the remaining roommate has someone in mind that they will like to rent to; in this case you should always screen the replacement roommate and don’t relax on your screening standards because landlords often get into trouble when they relax their screening standards or do things on the fly.
#4 – Create a New Lease When New Tenants Move In
If you have new roommates moving into your rental property you should always execute a new lease agreement and make sure that all tenants sign the new lease because this will ensure that every tenant who lives in the rental property is held jointly and severally liable.
#5 – How to Handle the Security Deposit
Before all roommates move in they should pay you the security deposit as you would expect it to be paid from your individual tenants but, if one of the roommates move out, the security deposit should not be broken up, the incoming tenant should pay their portion of the security deposit to the outgoing tenant.
#6 – Insist On One Rent Check
Although it might be common for some landlords to expect payments from all roommates at their rental property, you should insist on receiving one rent check because not only will this cut down on administrative work for you, it will also effectively treat all tenants as one individual.
#7 – Ask the Roommates to Assign a Tenant Representative
Another handy thing to do when dealing with roommates is to assign a tenant representative since this will make it easier with resolving issues at the rental property instead of having to deal with each roommate when problems or issues arise.
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For professional property management contact Goldenwest Management today by calling us at (866) 545-5303 or click here to connect with us online.
Happy Veterans Day from your friends at Goldenwest Management!
About Veterans Day
On November 11, 1919, U.S. President Woodrow Wilson issued a message to his countrymen on the first Armistice Day in which he expressed what he felt the day meant to Americans:
"ADDRESS TO FELLOW-COUNTRYMEN The White House, November 11, 1919. A year ago today our enemies laid down their arms in accordance with an armistice which rendered them impotent to renew hostilities, and gave to the world an assured opportunity to reconstruct its shattered order and to work out in peace a new and juster set of inter national relations. The soldiers and people of the European Allies had fought and endured for more than four years to uphold the barrier of civilization against the aggressions of armed force. We ourselves had been in the conflict something more than a year and a half. - With splendid forgetfulness of mere personal concerns, we re modeled our industries, concentrated our financial resources, increased our agricultural output, and assembled a great army, so that at the last our power was a decisive factor in the victory. We were able to bring the vast resources, material and moral, of a great and free people to the assistance of our associates in Europe who had suffered and sacrificed without limit in the cause for which we fought. Out of this victory there arose new possibilities of political freedom and economic concert. The war showed us the strength of great nations acting together for high purposes, and the victory of arms foretells the enduring conquests which can be made in peace when nations act justly and in furtherance of the common interests of men. To us in America the reflections of Armistice Day will be filled with - solemn pride in the heroism of those who died in the country’s service, and with gratitude for the victory, both because of the thing from which it has freed us and because of the opportunity it has given America to show her sympathy with peace and justice in the councils of nations.
The United States Congress adopted a resolution on June 4, 1926, requesting that President Calvin Coolidge issue annual proclamations calling for the observance of November 11 with appropriate ceremonies. A Congressional Act (52 Stat. 351; 5 U.S. Code, Sec. 87a) approved May 13, 1938, made the 11th of November in each year a legal holiday: "a day to be dedicated to the cause of world peace and to be thereafter celebrated and known as 'Armistice Day'."
In 1945, World War II veteran Raymond Weeks from Birmingham, Alabama, had the idea to expand Armistice Day to celebrate all veterans, not just those who died in World War I. Weeks led a delegation to Gen. Dwight Eisenhower, who supported the idea of National Veterans Day. Weeks led the first national celebration in 1947 in Alabama and annually until his death in 1985. President Reagan honored Weeks at the White House with the Presidential Citizenship Medal in 1982 as the driving force for the national holiday. Elizabeth Dole, who prepared the briefing for President Reagan, determined Weeks as the "Father of Veterans Day."
U.S. Representative Ed Rees from Emporia, Kansas, presented a bill establishing the holiday through Congress. President Dwight D. Eisenhower, also from Kansas, signed the bill into law on May 26, 1954. It had been eight and a half years since Weeks held his first Armistice Day celebration for all veterans.
Congress amended the bill on June 1, 1954, replacing "Armistice" with "Veterans," and it has been known as Veterans Day since.
The National Veterans Award was also created in 1954. Congressman Rees of Kansas received the first National Veterans Award in Birmingham, Alabama for his support offering legislation to make Veterans Day a federal holiday.
Although originally scheduled for celebration on November 11 of every year, starting in 1971 in accordance with the Uniform Monday Holiday Act, Veterans Day was moved to the fourth Monday of October (Oct 25, 1971; Oct 23, 1972; Oct 22, 1973; Oct 28, 1974; Oct 27, 1975; Oct 25, 1976 and Oct 24, 1977). In 1978, it was moved back to its original celebration on November 11. While the legal holiday remains on November 11, if that date happens to be on a Saturday or Sunday, then organizations that formally observe the holiday will normally be closed on the adjacent Friday or Monday, respectively. - Wikipedia
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Goldenwest Management is a Veteran owned business. For more information about our services please call us at (866) 545-5303 or click here to connect with us online.
Happy Birthday United States Marine Corps and thank you to all of Marines for your service!
Two battalions of Continental Marines were formed on 10 November 1775 in Philadelphia as a service branch of infantry troops capable of fighting for independence both at sea and on shore. The role of the Corps has since grown and evolved, expanding to aerial warfare and earning popular titles such as, "America's third air force", and, "second land army". The United States Marine Corps has distinguished itself as it has served in the majority of American wars and armed conflicts, from its inception to the modern era, and attained prominence in the 20th century when its theories and practices of amphibious warfare proved prescient and ultimately formed the cornerstone of the Pacific theater of World War II.
By the mid-20th century, the U.S. Marine Corps had become a major theorist of and the world's dominant practitioner of amphibious warfare. Its ability to rapidly respond on short notice to expeditionary crises gives it a strong role in the implementation and execution of American foreign policy. As of 2016, the USMC has around 182,000 active duty members and some 38,500 reserve Marines. It is the smallest of the U.S. Armed Forces within the U.S. DoD. - Wikipedia
About Goldenwest Management
Goldenwest Management is a Veteran Owned company. We offer property management in San Diego, Las Vegas and Phoenix AZ. If you need property management for your rental properties call us today (866) 545-5303 or click here to connect with us online.
There’s no doubt that fall is a great time of year because it’s when we get ready for the Holidays but for landlords, fall should also be a time for them to take care of annual maintenance including checking the rain gutters at their rental properties.
Rain gutter maintenance is important because even though we don’t have much rain at all on the West Coast during the year a sudden downpour can pool water on the roof of your rental property if the rain gutters are not functioning properly, and this may result in leaks.
Easy Rain Gutter Maintenance
One of the great things about rental properties is that checking rain gutters is generally an easy thing you can do yourself. All you need is a ladder, small shovel, tube of caulking, putty knife and blower to clean the debris from your rain gutters.
Safety tip – Before attempting to clean your gutters yourself you should also wear gloves and a long-sleeved shirt to protect your arms from getting scrapped on the gutters.
Step 1 – Climb your ladder and clean the debris, leaves and “goop” from your gutters. Whenever possible, have a spotter to help hold the latter firm.
Step 2 – Check all gutter spikes that fasten the rain gutters to your rental property. If you find one or more spikes that are not fastened to the fascia board on your rental you should purchase new spikes at your local home improvement store and fasten the new spikes to your gutters.
Step 3 – Once your gutters are cleaned and securely fastened to your rental property you should take a hose and run water through your gutters to check for leaks. If you spot one or more sections of your gutters that are leaking you should use your tube of caulking to plug up those holes.
Step 4 – Review the downspout to make sure that it’s draining water away from your rental property because water that pools next to your rental can damage the foundation.
How Much Does It Cost To Pay Someone To Perform Rain Gutter Maintenance?
If you’re not someone who likes the idea of climbing a ladder to do rain gutter maintenance yourself it’s a good idea to hire a contractor to maintain your rain gutters for you. Professional rain gutter maintenance costs about $250. Before hiring someone to make sure that know exactly what their fee includes since some companies may charge extra for installing new rain gutter spikes if they are needed.
During this time of year, you should also make sure your renter's insurance is up to date and covers both personal property damage and replacement lodging because in the event there is a small or large leak, you are covered for more than just the pro-rated daily rent authorized by most leases.
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To save time, money and hassle of maintaining your rental property yourself contact Goldenwest Management today by calling us at (866) 545-5303 or click here to connect with us online.
Thanks to websites like airbnb & vrbo people around the world have taken to buying real estate with the goal of turning those properties into vacation rentals. But when taking a deeper look at the net figures as well as return on investment (ROI), vacation rentals often do not perform as well as long term rentals.
Vacation Rental vs. Short Term Rental
Over the last year short-term vacation rentals have been very popular especially in cities like San Diego, Las Vegas, and Phoenix. This follows the success of companies like Airbnb, VRBO and Homeaway in many cities around the world. These sites do a great job of connecting property owners with travelers from all over the world.
But there are problems, and not just with bottom line figures:
- Screening: Every long-term rentals managed by a landlord or professional company will perform a tenant screening to include background, credit, and an eviction check. The average short term rental property doesn’t peform any checks. Many rely on the previous reviews of from the online vacation hosting site, and even less actually demand any form of ID.
- Community PushBack: In spite of the popularity of short-term rentals, some cities are starting to ban rentals less than 30 days with many communities (HOAs) imposing 6 month or 1-year Heavy fines are being levied when neighbors turn in other neighbors for not following the community vacation rental policy. And lets be honest, it only takes one unruly guest to turn your neighbors into your biggest opposition.
- Guest Experience: Short term rentals are expected to provide “Concierge Service” to would be hotel guests. This takes a lot of time and energy and has increased (which equals dollars) with ever growing competition. If you haven’t hired a third party firm, you are left on your own to do everything from checking the guests in and out; arranging cleaning, repairs, restocking and inspections. If you don’t have the best in wifi, upgraded cable, perfect pillows, or soft beds, you will hear about it online.
What Is your “Real” Return On Investment With A Short Term Rental?
If you were to ask the owner of a typical short term rental property about their profits they may tell you that their gross revenue is high, and they are loving the profits, but their P&L statement will tell a different story and their net income will usually be equal to or less than long term rentals. Here’s why:
Management Costs - Property management companies specializing in short term rentals charge roughly 20% with fees ranging as high as 30 and 35 percent in some areas (Vail, Co for example). This is usually double to triple the fee that you would pay for Long-term management (7-10%).
Even if you self-manage, you still have to find “guests” using VR sites like HomeAway, VRBO, Airbnb. These sites now have base fees equal to at least 10% per booking with additional charges like credit card and international fees, etc.
Utility costs – Tenants in long term rentals normally pay all utilities, with the possible exception of Landscaping or Pool service. Vacation rentals not only have the landlord pay the basic utilities, to be competitive, Landlords must also force pay for the internet, phone and more than just the basic cable to be competitive. At $300 - $500 per month, this is another 4-6% of a rental that grosses $100k per year and 8-12% of one that grosses $50k.
Cleaning costs – For LTR, the Landlord pays to have their home get a detailed professional clean before the 1st Tenant moves in and then the Tenant normally covers this expense when they move out. But for vacation rentals, it can be anywhere from $75-$150 after EVERY rental. Sticking with the standard 50% occupancy rate (talk about that more in a second) that’s 26 times a year for a weekly rental…or roughly $3000. Even if you have the Short term rental guests cover the basic cleaning costs, most managers will tell you that you will need a “Deep” clean done at least once per quarter. This is above and beyond what you may push onto your guests and is something you wouldn’t do with long term rentals.
Restocking - Vacation rental Landlords and management companies at a minimum provide Toilet paper, paper towels, laundry detergent, soap, coffee, paper cups, towels, and if you include annual repurchases of kitchenware (people break bowls and glasses all the time) you can spend another $50 per month on average ($600 per year). For higher end vacation rentals, there are other amenities provided including “welcome gifts” such as wine, champagne, food, flowers, car and maid service, shopping services, etc…
Getting Down To Reality
When focusing simply from a profit stand point, choosing to vacation or short term rental your home, whether that be by the beach in San Diego, near The Strip in Las Vegas, or near Old Towne in Scottsdale, may not always be the best course of action.
For example: let’s say that you own a short term rental property in San Diego and it brings in about $100k per year in gross revenue at 50% occupancy (at 26 weeks and average of just under $4k per week). Although the profit sounds exciting, you have to think about the cost and fees associated with this short-term rental property including:
- 20% management fee = $20k
- $5000 for utilities
- $3500 in restocking and cleaning fees
Net profit is rough $71,500.
Consider a conservative long term monthly rental at $6k per month, (usually 1.5 of the average weekly rent) is $72K gross, but you still have to think about your fees and other expenses which come with this rental property including:
- $4000 management fee
- 1 time cleaning $150
Net income is $67,500
Notice that we use conservative numbers for the long term and the net difference without factoring in the cost to furnish the property or any local rules or prohibitive ordinances. There is a 4% difference.
If your VR rental occupancy figures dip or bring in less in rental income you can quickly see that 4% disappear. Example, year two your rental only brings in $90k, and your expenses don’t change, now you net $63,500, or 5% deficit to the long term.
This is all before the cost to “furnish” and maintain your residence that will undoubtedly absorb more in wear and tear via short term vs a long term rental.
Owning a Long Term Rental Property Makes More Sense
Another reason to think twice before owning a short term rental property is volatility either in the economy or marketplace which could impact the profits you were enjoying from your rental property.
It’s also important to think about natural disasters and or terrorist events because either scenario could affect your long-term profits. What once was a profitable vacation rental could send your finances in the red, very fast.
Why own a vacation rental? Unless you and your family are going to spend more than 1 full month at the property per year, or the home is located in such an area where the gross vacation rental revenue beats the long term rental revenue by more than 35%, it makes no financial sense to choose short term/seasonal/vacation rental over the steady and stable long term option.
Learn More about Vacation Rental vs. Long Term Rentals
To learn more about vacation rentals vs. long term rentals, or to speak with us about our property management services, contact Goldenwest Management today by calling us at (866) 545-5303 or click here to connect with us online.