Problem tenants who consistently pay their rent late or don’t pay at all can be a pain. But the eviction process–which can be as lengthy as it is time-consuming– can be even worse. So what’s a busy landlord to do?

Offering an incentive is an effective way you can entice your renters to move. Here are three especially effective ones you can use to put an end to a relationship with individuals you no longer want living on your rental property:

Return part of their security deposit
Tell your tenants that you will return part of their security deposit if they leave by a specific date. Before making any such promise, though, you should calculate how much of the security deposit you’ll need to cover lost rent and damage repair. Then compare the overall cost of evicting your tenant to the incentive which should total to no less than $100.

Offer free storage space
Acknowledge the inconvenience you are causing them by offering to store personal property in your garage or basement.  Tell them you will do this for up to two months while they secure a new place to live.

Rent a moving truck for them
Another good tactic is to tell your tenants that you’ll rent a U-Haul truck for them so that they can take their belongings to their new home.

Most tenants want to avoid eviction because it will make it harder for them to find a landlord willing to give them a new apartment. So offering incentives can help get them moving. Just beware that is illegal to coerce renters to leave by locking them out or threatening them. Any such action will result in fines for you.

At Herman Boswell, we understand that your time and reputation are valuable. Our property management experts know just how to handle–and get rid of–difficult tenants and find replacements that will take their financial responsibilities seriously. Let us help you maintain your investments and your peace of mind. Contact us today!

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When you are a landlord, you’re not only responsible for managing tenants but also making sure that your rental units are both safe and habitable. And if you do what you’re supposed to, taking care of just that one aspect of rental property management can eat up more of your time then you expected or wanted.

If you are either renovating a home or condominium into an owner-occupied dwelling or buying a small apartment complex with just a few units, the first step is to determine what the zoning regulations and local building codes require.  The second step is to develop a budget as well as a list of what you must do and what can’t do, based on the funds available. For both steps, you need to go to City Hall.

Converting a home into a rental requires that you follow local building and zoning codes regarding renovations and building additions. You also have to meet codes that may have been ignored by previous owners because you are now responsible for the property.

Since building codes exist to ensure the health and safety of occupants, you are legally obligated to repair things that break or don’t work properly, such as kitchen or bathroom plumbing. You also have to keep the property free from rodent and insect infestation. And if there’s an emergency, you have to be available day or night to respond.

What you should not do are unnecessary renovations that cost you money. For example, you may think that purchasing expensive appliances or knocking down walls to gain extra space will give your property greater appeal and decrease the time it takes to get the unit rented. But the reality is that those kinds of upgrades won’t pay for themselves over the long haul.

Property maintenance is a full-time commitment; so is managing tenants. Why end up working the equivalent of two jobs when you could turn both of these landlording functions over to us at Herman Boswell Property Management? We have the experience and know-how to get the job done right. Contact us today and let us help you get more out of your investments–and your life.

Photo credit: David Castillo Dominici

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As a landlord, you either have rented (or will eventually) rent out a single living space to more than one individual. This is usually not problematic. But — and no matter how seasoned a landlord you are — you still need to be aware at all times about how to define the individuals who are your clients. Their relationship to you could make all the legal difference in the world, especially if the tenancy doesn’t work out.

Tenant

This refers to a person who has signed a lease or a rental agreement for occupancy of a particular unit. Since he or she has a direct relationship with you as landlord, that person can hold you accountable for all promises stated in the lease or rental agreement. At the same time, you can hold that person responsible for the contents of that same contract.

Co-tenant

A co-tenant refers to two or more tenants who rent the same property under the same lease or rental agreement. Each is 100% responsible for carrying out the agreement, including paying the rent in full. Co-tenancy can also occur after you rent out a property and whenever you add someone else to another person’s lease or rental agreement.

Subtenant

A sub-tenant is someone who rents directly from the tenant and not from you as landlord. In effect, the tenant becomes the subtenant’s landlord. The subtenant may take over for a portion of the lease term — for the summer, for example, with the tenant returning in September — or may live there at the same time as the tenant. Sub-­tenants have an indirect relationship with you as the main landlord. They therefore cannot enforce many of the lease or rental agreement terms.

Roommates

This refers to two or more people living under the same roof and sharing rent and utility expenses. Roommates are usually — but not always — co-tenants. For example, a roommate may instead be a subtenant of the original tenant. Unless you have accepted the presence of the roommate, either by making the person a co-tenant or explicitly or allowing the subtenancy, a roommate has the legal status of a long-term guest, with few if any legal protections.

The reason you need to remember these definitions is that tenancy can get complicated, especially if you are not around to check on the status of a rental living situation. For example, someone who signed a contract as a single tenant may allow a friend or family member to move in…and not tell you. If there are problems between the new roommates that involve damage to the actual rental property, you could be in for some legal wrangling and more headaches than you expected.

At Herman Boswell, we understand that landlording can be difficult, especially if you also happen to work and/or have family obligations. That’s why we’re to help. Our real estate professionals can offer you the management expertise that can give you the peace of mind you deserve. Simplify your life: contact us today!

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No landlord ever wants to have to deal with a wrecked rental unit.  It’s expensive and downright depressing.  If you lease property of any kind, though, there are things you can do to protect yourself.

1. Find good tenants

One of the best ways to ensure that you avoid the trauma of seeing your rental units trashed is to make sure that you locate tenants  who will treat the home, apartment or condominium you’re leasing as though they owned it. That means interviewing each person who looks at your property and then running careful background and credit checks on them.

2. Collect security deposits

The state of Texas has no set rate or formula to help you determine how much security deposit you should collect from a tenant. A good rule of thumb is typically one to two months’ rent or whatever it might cost you to do things like repaint walls, reinstall carpet and/or repair fixtures and appliances in the event of damage.

3. Keep a regular maintenance schedule

When you provide regular upkeep for your rental units, you not only ensure that your property looks and functions as it should, you also get a chance to see for yourself how your tenant is measuring up. If what he or she is doing–or not–poses a threat to health and safety or if there’s damage that could decrease the value of your property, then you can begin eviction proceedings.

At Herman Boswell, we understand that being a good landlord can be a time-consuming. That’s why we provide property management services you can count on. Our team of certified DFW real estate experts can help you take care of your investments so that they can take care of you. Let us be your partner in landlording success!

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When you rent a house or apartment to a new tenant, you hope that the person will treat the rental with care. Unfortunately, though, and no matter how thoroughly you screen individuals, some will turn out to be home wreckers. Literally.

The ideal tenant is someone who communicates problems to you when they happen. For example, if a faucet or appliance needs to be repaired or replaced within the home, that tenant will say so. He or she will also maintain the exterior of the house or apartment to keep trash and other debris from accumulating.

Then there’s the tenant who will turn your property into a dirty mess. That person will cause you endless aggravation since you can’t evict a renter simply for being a pig and inviting ants and roaches into the house. If there’s no immediate threat to health and safety, the lease protects the tenant.

The worst kind of tenant, though, is the one who willfully breaks fixtures and appliances or does serious structural damage to your rental property. The good news is that you can evict the person on the grounds that he or she  is decreasing the value of your property. But—and not unlike the dirty tenant—this person will cost you plenty in terms of time, money and stress.

This is why you need the services of the real estate professionals at Herman Boswell Property Management.  Not only do we check out all the individuals to whom we rent, we also monitor the actual property that gets rented to make sure the tenant is treating it with the proper care. When you work with our team, you’ll always be assured that your property is in experienced hands: we do the managing so you don’t have to.

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Being responsible for a real estate investment of an apartment or home in Arlington requires that you put in much more work, particularly in maintenance, to ensure that its value is retained. If an individual does not have sufficient time to wear the property management hat fully then it becomes an absolute necessity that a professional be hired. In the end, it will save time and money.

There will, time and again, be considerations such as repairs and vacancies to deal with. A property manager will know all aspects that need constant attention to ensure any property is optimally taken care of. They spot issues that most real estate investors will not observe which will typically bring about problems in the future, such as maintenance issues with older electrical and plumbing fixtures.

The most critical error that most investors make when shopping for an Arlington property manager is carrying out the process hurriedly. It is important that you look through has many companies as possible and check for simple things such as the length of time they have been in business, their client base and location. It is also wise to pay a visit to any potential company that looks promising and get a feel for their premises. An active, friendly office is a good sign that other clients have faith in that particular company and how they are managing their properties.

Another suggestion is to make use of networks that are already available to you, such as family and friends. There is possibly someone out there who has sought out an Arlington property management firm at one point or another in the past and you can use their word of mouth in order to begin creating a list of potential options.

It is also advisable to seek out a property manager close to you. Those who have quickly picked out a company to carry out property management farther away from them often forget that this is a long term relationship that may require periodic meetings. It thus becomes time-consuming and cumbersome to engage effectively with them if they are too far from you.

Herman Boswell Property Management needs have been around the block on Arlington property management. Over the last 37 years, they have gotten it down on how to take care of your property and get it utilized to its maximum extent with its value retained and improved. If you are looking for a property management firm in the Arlington area, you can’t do better!

Review some of our methods for caring for property upkeep.

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If your property is within two miles of a suburban community, in what FEMA (Federal Emergency Management Agency) calls the “Wildland Urban Interface” (WUI), there is an increasing danger of being subject to wildfires that continue to occur due to the continuing drought conditions in Texas which are predicted to carry on into next year. Unfortunately, it has been found that more than 80 percent of wildfires in Texas now occur within this WUI area as many Texans have left urban areas, seeking the beauty and peace of nature, only to find they are now exposed to dry brush and grassland bordering or near their properties.

In fact, April 9th through 13th is Wildfire Awareness Week in Texas and FEMA is taking the opportunity to inform Texas property owners about how to safeguard their properties from the danger of wildfire incursion.

“Whether you own your home or rent, it’s important to have a plan in place to protect your personal property, family and pets from the devastation of a wildfire,” said Kevin Hannes, FEMA’s federal coordinating officer for the 2011 Texas wildfire recovery missions. “Make a plan, build a disaster supply kit and stay informed. Those are the three key components to staying safe under any hazardous conditions.”

There are a number of precautions and safeguards that FEMA recommends for property owners to take to minimize the risk to wildfires.

Make your property defensible:

• Create a fire-safe landscape zone ranging from 30 to 100 feet around the home.
• Plant only fire-resistant shrubs and trees. For example, hardwood trees are less flammable than pine, evergreen, eucalyptus or fir trees. Carefully space tree plantings to avoid creating pockets of fuel.
• Create “fuel breaks,” such as driveways and gravel walkways.
• Remove ground fuels like grass, leaves, pine needles, dead limbs and twigs within 30 feet of the home. Clear all flammable vegetation and other materials. Remove branches that extend over the roof or power lines. Mow grass regularly.
• Trim all dead branches from trees in the yard and prune low hanging limbs to prevent fire from climbing to the crowns of the trees.

Within the home:

• Use fire-resistant roofing material, such as ceramic or slate tile, or standing-seam metal roofing.
• Protect the home’s eaves with stucco or plaster to prevent flying embers from starting a fire. Consider designing the home without overhangs or use fire-resistant soffits to protect it from embers and hot gases.
• Ensure that exterior wall coverings are fire-resistant and not susceptible to melting. Concrete, fiber-cement panels or siding, stucco, masonry and metal are some recommended materials.
• Use metal mesh screens to keep fast-flying embers out of vents and chimneys. Vents should also be made of metal.

“Living in the Wildland Urban Interface is much like living in a floodplain,” said Kevin L. Hannes, FEMA’s federal coordinating officer for two wildfire recovery missions in Texas. “Texans should know what risks exist related to their location and they should adopt safety measures to protect their families and their homes.”

Property management is a key action you can take to protecting your property and your investment.  The experts at Herman Boswell Property Management  can help you with the many aspects of your property to keep it from harm’s way.  Give them a call.

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Being an income property owner is a huge commitment, but, if handled properly, that huge commitment can bring equally large financial rewards.

Income from Renters

The biggest benefit of owning a rental property is that the renters will provide you with a direct income stream. Those monthly rent checks go straight into your business account, ideally more than offsetting any expenses for the month.

For example, if you own a house that you rent out for $1,000 per month, that house when fully occupied will put $12,000 per year back into your accounts.

It’s hard to argue with a direct income stream like that. It is worth nothing, though, that those kinds of figures are optimistic ones and you shouldn’t just dive in expecting those results. Still, even partial results can be very good. If you can keep the property rented for just 75% of the year, that’s still $9,000 a year in income, after all.

Sweat Equity

The other factor that you should consider is that your sweat equity is likely to add additional value to the property as you maintain and upgrade it. Doing things like repainting the home, adding new siding, refinishing the inside, doing some basic landscaping to the yard, and so on will add value to the home without significant financial cost.

Not only will this allow you to charge more for rent, it will also increase the value of the property itself should you choose to sell it in the future.

If you enjoy home improvement projects, this should be a major attraction for buying a rental property. You’ll have the opportunity to fix it up upon acquisition as well as in between tenants, which will return very nice dividends for you.

5. Huge Tax Write-Offs for Income Property

As a rental property owner, you are entitled to huge tax deductions. You can write-off interest on your mortgage or on any credit cards used to make purchases for the property. You can write-off your insurance, maintenance repairs, travel expenses, any legal and professional fees, and even your property taxes. You can see a more extensive list at Nolo.com

On top of all of these deductions, the government also allows you to depreciate the purchase price of your property based on a set depreciation schedule, even if your property is actually appreciating in value.

Using our above example, you receive $3,480 in rental income for the year ($290 each month * 12 months). If you made this money at a regular job or in the stock market, you would lose a significant portion of it to pay income taxes. However, by owning a rental property, you can offset the $3,480 income with the depreciation expense for your property, thus being able to reduce or completely eliminate the amount of taxes you have to pay on this rental income.

Speak to an accountant to determine all of your specific tax write-offs.

Being an income property owner is a huge commitment, but, if handled properly, that huge commitment can bring equally large financial rewards.

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Death and taxes are two of life’s certainties. But as a landlord, you face one more certainty other people don’t — extreme time deficit. Property management is something that can consume every minute of every hour of your day…literally.

A landlord always has to ensure the safety of an occupied rental property. That it follows all housing codes and is in good repair. And when emergencies, like flooding or gas leaks, arise, a landlord has to respond immediately—even if the problem happens in the middle of night.

Then there’s the small matter of rent. Tenants need to pay on time but sometimes they don’t. As a landlord, it’s your responsibility to not only collect money owed but to stay on top of situations — such as failure to pay rent — that could lead to eviction and/or other legal action. And no matter how difficult the circumstances, you still need to handle these matters without sacrificing your professionalism.

And that’s just for the people who already live on your property.

If you need to find tenants, you have to go through the process of advertising the property online and with brick-and-mortar real estate agencies.  Then you interview potential tenants and do background checks. And even then, you’re not always guaranteed that a new renter will work out to your satisfaction. The person could end up breaking a lease for reasons beyond his or her control, such as a divorce or new job in another city, which leaves you needing to look for a new tenant and scrounging for time to do it.

Herman Boswell can help. Our property management experts work hard to maintain an open line of communication with tenants. Landlords always have the information they need to take the appropriate action. And when it comes time to find new renters, we not only provide you with detailed market analyses of rental property in your area. We also advertise your property through all channels, carefully screen all potential tenants and provide clear leasing guidelines.

We have been proud to serve North Texans for more than 30 years. Our current portfolio includes almost 900 clients and a track record that boasts low rates of eviction and of vacancy.

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