PropertyManagementMaven: March 2008

I've just received my notice that VAR is again sponsoring a full day seminar on the VRLTA and changes to the Virginia landlord-tenant code from this year's legislature. 

There will be three such seminars - in Richmond, in Tidewater and in NoVA....anyone who has rental property or has agents in their office who fancy themselves as wanting to be property managers should urge them to sign up early and take these courses.  Last year's seminar had to be moved there were so many attendees....

As do most states, Virginia real estate rules and regulations requires that if you hold yourself out to have knowledge in a real estate specialty, then you should be educated and have experience in that speciality....just being able to complete a VAR lease/rental agreement does not qualify a licensed real estate agent call themselves a property manager so urge them to sign up and attend this seminar....they will enjoy the class, get CE credits and learn a great deal from Chip Dicks....you can get more information from the education section of the VAR website....see you there!! 

I just rented a 4BR home in Mill Creek....the rental/sales value of homes in this subdivision are artificially depressed because the HOA documents do not allow for posting real estate signs....HOW DID I RENT THIS HOME FOR $100 PER MONTH MORE THAN CURRENT RESIDENTS ARE PAYING???? AND $200 more that homes posted on our MLS and Craigslist?!?

New lease begins July 1st which is the PRIMO (old Hawaiian beer) move-in date for area rental homes....granted, it is a 4BR home with wooded view out of the back family room and deck BUT the kicker is that the week before I showed it to the prospects who rented it, I had the yard cleaned and mulched....it had rained so the mulch smell was pretty much gone and the "curb appeal" is AWESOME!!

Mulch On!!! 

As I was in BEST BUY today, I received a cel phone call from a woman who wanted to view a property of mine that is vacant and available (although I send out a lease packet tomorrow and already have FMR and SD check in hand)....she has friends moving back to the area from NH and want a home in that neighborhood....I indicated I did not deal with "surrogates", that I had an application on the property and if her NH friends would like to be in a back-up position for the home, they can download an application complete it and fax it back to me....she got really RUDE (now visualize, I answered her call on a Sunday * albiet pre-NASCAR race * there are photos and floor plans of the home on my website with 20+ photos and that her friends had lived in the area before and knew where the home was situated) and she insisted I show her the property.  When I told her I did not show property or deal with surrogates, she got REALLY RUDE....yeah!! I really want to run over and show her property after she insults me, my renting prowess and my service to my clients.  Her parting comment was what if she had actually said she was a prospective tenant * I responded that she would have wasted both of our time if she was not prepared to hand me a completed rental application and check at the viewing and that once I learned she had lied to me, I would have returned them to her....

My thought process is that if they want to see the property, get in a car, hop on a plane....JACK.  If they want to rent the property, the process is in place * it is not my responsibility to calm their fears as to the condition of the property and I will not be responsible for what their friend/surrogate tells them about the property * good or bad or incorrect.  I've been credited with saying or representing something that was not even discussed with the "friend" so I've learned NOT to deal with them....that way, I am not misrepresented and the prospective tenants are not mislead....the extra layer/conduit is not necessary!! 

As a frequent poster to Craigslist for rental properties and a frequent "flagger" for discriminatory ads, I am glad to see that the suit from several Chicago area attorneys has been dismissed. 

Craigslist is an electronic bulletin board * they do not write or even proofread the ads that are posted UNLIKE the faceless print media classified voices or e-mail addresses that we use to insert print media ads.

I have seen numerous discriminatory ads for my area on Craigslist and it is these individual landlords that need the attention of Fair Housing agencies rather than the 800 lb gorilla in the Bay Area....unfortunately, there is little or no  potential for media attention on individual landlord complaints so it is more likely that these "big splash" cases will continue to be filed in an attempt to extort $$$ for the agencies tasked with investigating and filing these complaints....KUDOS to Craigslist for hanging in there!!!

It's happening * in the relm of area real estate, area list prices have dropped so that some would-be tenants can actually afford to BUY an area home; but their credit, employment history  or income are not sufficient to qualify them to lease a rental home.

Military families (officers) coming in have more than sufficient salary/wages and housing allowance to rent homes in the $1,800 to $2,200/month rent range....a family who has rented in the area for a year with only his income and a CAT and who qualify for a $400,000 ($350,000 mortgage) home purchase do NOT qualify for the same  rental homes.

Even with raising my rents, incoming rental applicants are better qualified BECAUSE they do not want to buy.  They want to rent for the 2 or 3 years they are in the area in grad school, medical school, building the new addition to the UVa Medical Center or on assignment.  

It is not that the area sales market is so terrible * there are loads of nice, desirable homes on the market * the reality is they don't want to be tied down to having to sell a home in two or three years. 

These rental prospects are asking if the property they are interested in is going to be for sale and they are asking for 2 or 3 year leases upfront which my investor clients are happy to accomodate with a rental increase for the third year.  Renting from owner who may want to sell in a year is not appealing to these would-be tenants so they quickly bypass our local MLS rental section and are making inquiries of area property management firms.