Realty Information Systems

As a landlord, you may one day be faced with a tempting prospect. A family member or friend needs a rental, and you have a vacancy. As one can imagine there may be cases where this arrangement works out well or cases where it can become a complete disaster. Below are some Pros and Cons of renting to friends or family. Pros It's Easy: If your rental is open and you let a friend or family member rent from you, you don’t have to advertise for the property, get a broker involved

There are several distinct types of properties that a landlord can invest in as a rental property. Some of these properties may offer better rental potential while others may offer higher returns upon sale. As a landlord, it is important to think about the different pros and cons of each potential rental property and how you can work it into your rental property portfolio. Single-family home- single-family homes can work as a great investment for landlords because they are th

On June 13th the Federal Reserve raised the interest rate to between 1.75 and 2 percent. This rate, which is the rate banks charge one another to borrow money from each other overnight, was lowered to almost zero after the financial crisis began in 2008. The rate was lowered to encourage lending and stimulate the economy, and seven years later the Fed began to increase the rate as the economy improved. The current Fed chairman believes the economy is near normal levels are th

According to Freddie Mac’s recent consumer research report, rental demand from Baby Boomers may put a lot of pressure on the rental market by 2020. According to the Freddie Mac survey the report is based on, a large number of Baby Boomers and others aged 55 and older are planning to move to rental units in the future. The report estimates that those over 55 planning to move to a new rental in the next few years includes several million individuals that currently own their ho

Despite what your tenants may think, being a landlord is not all about sitting back and collecting rent checks every month. Managing properties is a particularly difficult endeavor with thin profit margins and a lot of moving pieces. These difficulties are multiplied when a landlord owns and manages several properties. Below are challenges that come with owning and managing several rental properties. Limited Time: With each additional rental property you own, the more you ha

One of the most important parts of being a successful landlord is the ability to price a rental unit correctly. Pricing a rental too high can lead it to sit vacant costing a landlord thousands of dollars in lost rent. Renting the property at too low of a price can lead a landlord to lose out on important profits that they need to maintain the rental and potentially upgrade it to collect even more rent. Many factors must be considered when trying to price a rental correctly.

On December 22 the final version of the Republican Tax bill was signed into law, and many believe it will benefit landlords. As part of the tax plan, two major aspects could impact home ownership and consequently rental demand, the reduction in the mortgage interest rate and the drop-in deductions for state and local property taxes. According to one estimate, homeownership could drop by 10% in counties that have high property and income tax. In addition, renters may be less l

Landlords and property managers collect security deposits so that they may have a safety net if a tenant damages property or does not pay rent. However, as a landlord even if you follow your state and local laws related to security deposits perfectly and only keep security deposit money that you are legally entitled to, your tenant may sue you in small claims court to get the money back. If you have already taken all or a portion of the security deposit it is likely this ten

Whenever a landlord does not give back all or some of a security deposit they put themselves at risk for a lawsuit over the funds. Even if the landlord or property manager is 100% justified in keeping part or all of the security deposit, it may not stop a tenant from filing a small claims court lawsuit. Therefore, it is essential that landlords and property managers take the proper steps to protect themselves against a security deposit lawsuit. Since each state has different

A widespread practice among landlords is to administer late fees when rent is not paid on time by tenants. A late fee generally motivates tenants to pay rent on time and saves landlords from having to hear multiple excuses about why rent may be late. However, some tenants may refuse to pay late fees by simply paying the late rent and not including the late fee. The frustration that landlords feel when tenants do not pay rent on time is increased dramatically when the tenant w