We Buy Houses company Dependable Homebuyers has published a post on its official blog to address the typical problems encountered by owners of rental properties. Many landlords and rental property owners in Newport News routinely struggle with a few problems that can jeopardize their annual profits. Some may even have the viability of managing such properties put to question. For sustainable profit and the whole endeavor to be rewarding, owners should be able to resolve the pressing problems and should also brace for potential issues that might crop up in the near or foreseeable future.
The national real estate investment firm that usually buys houses directly from homeowners has illustrated three key issues that affect landlords and owners of rental properties. The first common problem is the rental amount. Many rental properties are priced too high. Tenants have a budget and they are unlikely to review the amount they are willing to pay. Tenants can compromise on the quality of accommodation or even location but not the monthly liability. It does not make much sense for tenants to agree to pay a higher monthly rental as they do not get to own anything at the end of the day. Mortgages are a different scenario as those repaying home loans actually get to own the property. Those who are not getting enough offers or potential tenants are not showing up for a viewing must consider reducing the rental. Here's a recent press release they published.
A rental property remaining vacant is the most common problem owners must deal with and resolve. The second most common problem is not getting the rent on time. This can be resolved if there is adequate screening of all potential tenants. A solid rental agreement can also solve this problem. However, in case tenants are being evicted for not paying the rent or defaulting time and again, there should be a contingent plan to ensure the property does not remain vacant for a long time. Rental properties that remain vacant do not generate any revenue but the yearly liabilities persist. Owners must still pay the mortgage, premium for the insurance and the applicable taxes.
The monthly rental or the amount tenants must pay might not be the only issue why a property remains vacant for a long time. The security deposit can also be a concern. Many owners of rental properties tend to ask for a higher security deposit. This may be partly due to bad experiences in the past. This may be a proactive move to protect the financial interests of the owner. Some tenants may cause more damage to the property than others. Some tenants may not pay the last rent or for a few months towards the end of the term. A high security deposit may make sense from a few perspectives but it can deter potential tenants from showing up. They are unlikely to make an offer if the security deposit is beyond their affordability. Owners of rental properties must be aware of the market conditions and should have a proposition that tenants find hard to turn away from. For more information about the company and the services they provide visit https://docs.google.com/a/dependablehomebuyers.com/open?id=1-IYpST7pK31iHFyyVWH-25nRAJ_MbViZZW2tHhyPuFM.
SOURCE: Press Advantage [Link]
Dependable Homebuyers is a local home buying company in Newport News, VA. We buy houses in any condition and any situation. If you want to sell your house fast, give us a call at (757) 296-8067 and we’ll provide you a cash offer within 24 hours.