Most landlords know the qualities that make an ideal tenant, but what does it take to attract them?  Factors such as the location, landscape, and property amenities can be the make-or-break.  Landlords can gain a competitive edge and increase their chances of attracting excellent tenants if they have the following features of their rental properties:

Location

The first thing that tenants consider when looking for a place is its location. Many people look for rental properties near schools, business districts, transportation, and shopping malls. So, if you are looking to invest in a rental property, you want to look for these features. If your rental property is in an area with high demand, you can ask for higher rent.  Some prospective tenants will prioritize location over anything else and are willing to compromise on other amenities.

Safety and Security

More tenants are willing to live in your rental property if the area is safe and secure. With that in mind, location goes hand-in-hand with safety. The rental property must be in a safe environment with a low crime rate. The property should also have security devices and many landlords install alarm service systems in the premises.

Sufficient Parking Space

No one wants to spend a long time finding a parking spot after a long day at work or if they have groceries or other packages in the car. Parking spaces can be a pressing issue in properties located in urban areas. The streets are often busy, and some sites do not allow off-street parking.

Renovations

You can attract more people to rent your property if the space looks polished and organized. Even when the property has had several tenants staying in it over the years, it should not feel that way. Performing upgrades and renovations can make the property more attractive and functional. Kitchens and bathrooms are the rooms most often renovated.

Bonus Facilities: Backyard or Balcony Access

Some tenants prefer a property that has a designated place to sit back and relax. If your property has a backyard or balcony access, it can increase the chances of attracting more tenants. More often than not, places with these features can cost more, especially within urban areas.

Property Inclusive of Appliances

Appliances are another valuable bonus that tenants tend to look for. Most renters do not want to invest in major appliances. Installing new appliances including central air conditioning and a washer and dryer can attract higher-quality tenants.

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To provide a positive rental experience, you should be aware of landlord-tenant laws and fulfill your obligations as a landlord.  It’s also very important that you know the rights you have as a landlord. These rights include:

Right to Collect Rent from Tenants

As part of the rental agreement, all landlords have the right to collect rental payments from their tenants.

In addition to the rental amount, late fees may also be collectable.  Late fees are penalties collected when tenant does not pay the rent within the negotiated timeframe. Per Texas law, you can collect late fees if any portion of the rent remains unpaid two full days after it was due. However, landlords can only collect a late fee stipulated in the written lease.

According to Senate Bill 1414, landlords overdue fees must be reasonable.

• Pre-arranged late fees should not exceed 12% of the rent’s total cost for a property unit with four units or less.
• Pre-arranged late fees should not exceed 10% of the rent’s total cost for a unit in a property with more than four units.
• Pre-arranged late fees should not exceed the landlord’s uncertain damages related to the late payment of rent, including direct or indirect expenses, direct or indirect costs, or overhead associated with the collection of late payment.

Payment Methods

There are no specific payment methods required for both tenants and landlords to use. However, landlords can declare their preferred means of payment in the leasing agreement.

Landlords should notify the tenants in advance if they want to transition to a new payment method. Setting a requirement to pay online is considered an amendment to the lease. This arrangement can either be performed at the start of the new lease period or upon the written agreement of both parties.

When the lease agreement does not express a particular payment method, landlords cannot refuse any payment type. Tenants that pay their rent in cash must receive a receipt.

Right to Raise the Rental Costs

The law does not prohibit landlords from raising the rental costs in the event of lease renewal. Rent increases cannot be implemented until the lease term ends.

You can anticipate local rent control ordinances in Texas after the declaration of a state of disaster. Housing emergency regulations are usually approved by the governor before the adjustments in rent prices apply.

It is also important to note that landlords cannot increase the rent as a form of retaliation for their tenants exercising their rights. These right include tenants requesting repairs, making complaints about the unit, or joining a tenant organization.

Right to Evict Tenants

Landlords can practice their right to evict tenants, especially those who refuse to pay rent. Before you evict a tenant, you should be aware of the appropriate eviction proceedings in Texas. This process allows you to collect the remainder of the unpaid rent or any other costs associated with the eviction.

The following involves the legal terms typically utilized during eviction proceedings. As a landlord, it is essential to know these terms to determine their role in the process.

Forcible Detainer.  This process refers to tenants who stay within the rental property after the landlord revoked their right to stay. Whether their lease expired or was forfeited, they cannot dwell inside the rental property.

Hold-over Tenant.  Hold-over tenant is the term used to describe a tenant who remains at the rental unit without notifying the landlord.

Notice to Quit or Vacate.  Tenants should receive a notice to vacate from their landlord. According to the law, landlords must notify their tenants before starting the eviction process. Tenants need warning of the issues that arise and given some time to make changes.

Tenancy-at-Will.  This explanation refers to the leasing agreement between a tenant and a landlord bound without adequate documents. Put simply, tenancy-at-will is a verbal agreement. More often than not, this arrangement occurs with family members, relatives, close friends to the landlord.  Even if the lease is merely a verbal agreement, the law requires a formal eviction process before the tenant can leave.

Writ of Possession.  Writ of possession is typically the final stage of the eviction proceedings. It is when the court orders the authorities to remove the tenant in the property, return unsettled rental costs, or retrieve the landlord’s property from the tenant.

Eviction Process

Here are the steps you need to take before evicting a tenant from your rental property:

1. Inform the tenant by sending them the Notice to Vacate. Landlords can give up to 3 days to let the tenant move out before filing the eviction suit.
2. After filing the eviction suit, expect the eviction hearing to commence after at least ten days.
3. Once the judgment is issued, there will be no action taken for the next five days. This time frame allows either party to appeal. When the tenant decides to appeal, another hearing begins after a week.

Upon the final judgment, landlords can ask for the tenant’s writ of possession. Tenants receive a full-day notice before authorities remove their stuff from the rental property.

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When property managers handle repetitive tasks, they ease your burden to focus on more critical landlord duties. This reprieve allows you to concentrate on significant repairs and legal issues that require your immediate attention. Most of all, you get to explore new ventures or possible expansion opportunities, making project managers worth an investment.

Property managers can be a significant asset to landlords. Consider the following factors to determine if working with a property manager is the right move for you.

Expanding your Property Portfolio Means More Properties to Handle

As your property investment grows, you tend to manage more rental properties and units. You may obtain properties at different locations, some of which might not be near to you.  Arising issues can be challenging to handle alone and from afar.

Moreover, not all landlords who undertake this venture might can devote enough time to manage day-to-day tasks. Whether you have properties at different locations or are too busy with your other commitments, property managers are here to help. They can manage tasks such as collecting rent, handling tenant complaints, performing maintenance duties, and more. This opportunity allows you to concentrate on the steps you need to take to expand your property investment.

Property Managers Can Help You Manage Turnover Rates

High tenant turnover can affect your profit as a landlord. When more tenants leave, you need to allocate a budget for acquiring a new one. It takes a certain amount of time to advertise a property, run background checks on applicants, prepare necessary documents, and show the new tenant their unit.

The more time you let your property vacant, the more money you lose.

Working with a property manager can help you resolve this issue. They have extensive experience in handling rental properties and tenants. They have the right resources to advertise your available units across several channels. It is also their job to perform strict tenant screening and background checks to acquire a reliable tenant. Property managers can handle background and reference checks, as well as employment and income verification.

Property managers can also perform the following tasks to eliminate high tenant turnover:

Make the Property More Attractive to Tenants. Seasoned property managers have a clear understanding of the type of units that are sought after. This understanding allows them to determine the improvements needed to attract more tenants.

Set a Reasonable Rental Rate: As industry experts, property managers can help you come up with an optimal rental rate. They have access to the local real estate market, data on competing units, and other property management tools to help you make an informed decision.

Minimize Tenant Turnover.   Property managers can help you improve tenant retention by facilitating routine maintenance and repairs. You can also pay close attention to your tenants’ needs when you have a right hand by your side. Addressing all the concerns and inquiries in a timely fashion increases the chances of them staying.

Get Expert Help

You can always use a property management expert to handle instances with which you are unfamiliar. Working with a property manager allows you to differentiate a good tenant from a bad one. Right off the bat, they can see the red flags. They also have enough tools to verify crucial information about potential tenants.

A portion of property management goes into lease enforcement. Landlords have to make sure that both parties follow the terms of the lease. Property managers can assist you in dealing with difficult or non-compliant tenants. Once a tenant breaks a rule, property managers will immediately step in to deal with it.

They Keep You Out of Legal Trouble

As a landlord, it is your responsibility to study all the obligations and responsibilities you have. You should also be very familiar with the specific state laws surrounding property rental. Property managers can enlighten you about these topics and provide you with useful advice. There are a lot of technicalities involved, so it’s best to talk to an expert.

The Bottom Line

Suppose you are a landlord who is just starting in the industry; learning what to do as you go can be risky. Not everyone knows how to acquire suitable tenants, charge reasonable rent, and maintain properties. When things go wrong, it can cost you time and money.

Working with property managers allows you to prevent the pitfalls of managing rental properties. They have the experience, resources, and knowledge to handle everything it takes to succeed.

The post How a Property Manager Can Help Landlords Avoid the Pitfalls of Owning Rental Properties appeared first on Herman Boswell Property Management.

If you own and manage rental properties, you need to know that the presence of mold can put you at risk of litigation. In the last decade,tenants across the country have won hefty settlements from landlords for health problems – such as nausea, asthma, rashes and chronic fatigue – allegedly caused by exposure to toxic molds.

Mold comes in many colors and shapes. The ones that are a cause for concern come in black, white, green or gray varieties and go by such names as:

• stachybotrys
• penicillium
• asperligus
• fusarium
• paecilomyces

Some molds are visible and have a distinctively bad smell. Others are more difficult to detect and live between walls, under floors or in basements and attics. Buildings in Texas are especially vulnerable to mold because of the humid climate. Wherever moisture is present, mold thrives.

If a tenant claims that his or her rental unit has mold, the wise thing to do is act on the complaint right away. Most mold – such as the kind that grows on shower tiles – is not harmful to human health. It’s still important, though, that you show your tenants that you are taking their concerns seriously.

The first thing to do is determine what’s contributing to the mold. The most common causes are leaky pipes, windows and roofs. Since landlords in Texas are responsible for maintaining fit and habitable housing and repairing rental property, you will need to fix any structural problems that might be giving rise to the mold as soon as possible.

If you can’t pinpoint the cause, you should call an inspection company to run tests in the rental unit in question. Even if you are able to figure out what is behind the mold, it’s still a good idea to get official documentation. That way, you’ll be able to show that have acted in good faith and adhered to your responsibilities as a landlord.

At Herman Boswell, we understand the importance of staying on top of tenant concerns, especially where issues of health and habitability pertain. Our experts are here to help you manage your real estate investments so that you can have the peace of mind you deserve. Contact us today!

The post DEALING WITH MOLD PROPERTY MANAGEMENT COMPLAINTS FROM TENANTS appeared first on Herman Boswell Property Management.

When it comes to marketing your rental property, you have a lot of choices–almost too many. You can put an ad in the local newspaper, list the property with a home finding agency and/or put up a sign in the front yard.  And that doesn’t even include your online options. It all depends on who you want to have as potential tenants.
Once you’ve figured out what might work best, then there’s the issue of what you should say about the apartment, home or condominium you want to rent. If you have any doubts at all, then you need to review the Fair Housing Act which describes exactly who is entitled to rent (or buy) from you.

Knowing what this Act–along with other state and local fair housing laws–says is especially important.  Any ad you place cannot contain words, phrases, symbols or images that could indicate or imply you have discriminatory preferences. You also have to watch out for any religious references. Saying that your rental unit is located near a  particular church or other religious establishment could suggest unintended limitations or exclusions.

The best way to market your property is to be as neutrally descriptive as possible. You can mention prices, amenities, when the unit will be available for move-in and whether references and/or a credit check are required. You can also talk about location–without referring to any religious establishments–and given address. And of course, you can talk about all the special features that make your unit stand out:  for example, spaciousness, affordability and quietness.

Even after you’ve figured out where to market your property and what you can legally say about it to make it sell, you need to have a plan in place regarding what you will do if your marketing approach doesn’t yield the results you want.  Pretty exhausting, isn’t it?

Herman Boswell is a property management firm that understands the needs of busy landlords like you. We are real estate experts that know what it takes to successfully market a rental unit to people who will be good tenants. That is, who will pay rent on time and treat your property with the respect it deserves. When you need a team that knows the DFW market like nobody else, contact us.

Photo credit: jscreationzs

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In these times of economic uncertainty, an investor needs to make sure that the returns on an investment are maximized. No investment should be earning less than its potential and this is especially the case for real estate.

You may be the owner of an apartment or an apartment complex, a stand-alone home or many houses in different locations, or a more complicated and complex portfolio with multiple property types. Whatever your investment profile is, if you have real estate investments you need real estate property management of the highest quality.

With so many companies out there vying for your attention and your dollars, it makes sense to choose only the best. But many investors make some common errors when choosing the best manager for their properties. If you are aware of these mistakes, you can avoid them and ensure that your investments pay off.

Here are the most common problems with a company and why it’s a mistake to ignore them.

1. Inexpensive
There’s nothing wrong with saving some money if you can but make sure that you’re not cutting corners when it comes to services and quality. The cheapest services may not always be the best for the performance of your real estate holdings. Take a close look at what services you are getting for the cost, at the quality of the services provided, and at the short and long term consequences of ignoring any red flags that come up just to save a few dollars. You want a company that can manage your holdings effectively, efficiently and professionally, and sometimes this means paying more to get what you need.

2. Inexperienced
It is important to know how long the management company you are hiring has been in business and what kinds of properties they have managed. It is also important to assess how successful they have been based on their current and previous clients’ experiences. The longer a real estate property management company has been doing their job, chances are the more satisfied customers it has and has had.

3.Understaffed
It’s not just how many employees the management firm has but the quality of those employees. A competent and successful company will have trained and educated staff not just for property maintenance, but office work, computer tasks and even public relations. Look for an adequate staff for the kinds of tasks that need to be done but also look for educated, experienced, and professional people that have made the company a success. If the staff is too small or not well-qualified, your investment will be at risk.

4. Not up-to-date
An experienced, well-staffed real estate property management company will have the latest, most efficient computer hardware and software available to help manage your investment. They will use effective programs that make it easy for the maintenance staff to stay current and on schedule, for screening and processing potential tenants, for tenants to pay rent, for you as the owner to access the figures and files you might need, and for the general business of the office to be conducted properly. If the company is not completely modernized and cutting edge, you may not be getting the maximum return on your real estate investments.

Herman Boswell Property Management has 37 years of cutting edge experience as a property management company in the Arlington Tx area. We maintain over 700 properties and have the well-trained staff and equipment to do so. We help you avoid the pitfalls of dealing rental property investing. We do our job and do it well.

The post FOUR MISTAKES TO AVOID WITH A REAL ESTATE PROPERTY MANAGEMENT COMPANY IN ARLINGTON, TX appeared first on Herman Boswell Property Management.

Most tenants will maintain your rental property to a reasonable degree, follow the rules outlined in their lease and pay their rent on time each month.  Deadbeats, though, won’t.  When faced with uncooperative renters, eviction may be your best, and only, option.

Gather evidence

If your tenant is responsible for any property damage, take photos.  Also save paper copies of all written and electronic correspondence with your tenant regarding any other infractions, including noisiness and late and/or unpaid rent.

Go over the lease

Note any sections that the tenant has violated.  Be sure you are able to document your findings.

Send a notice of eviction

State the reasons for the eviction and what date the tenant must vacate the property.  Consult all local eviction laws, which vary from state to state.

File the eviction at your local courthouse

To make the eviction official, you’ll need to file the appropriate legal paperwork.  Your tenant will receive written notice that you have filed a case against him.

Take all evidence to court

The tenant might leave the property after you file the eviction notice.  But he or she may still take the case to court and argue against the eviction.  In that case, use your evidence to convince the judge that you have a renter who deserves to be evicted.

Dealing with tenants, even good ones, is hard work.  So having even one bad tenant could make your life hell.  But Herman Boswell can help.  Our experts know exactly how to handle difficult tenants in a way that will minimize damage to you and your property.  For the peace of mind you deserve, contact us today!

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Late fees are an important part of any property management business.  That’s why it’s important that you make it clear when rent due dates, grace periods and late fees are due in all rental agreements you draw up with your tenants.

Following are five strategies you can implement to ensure you receive the rent due on your investment properties in a timely manner:

1. Define payment terms

Every lease agreement should begin with clear rent payment terms.  Information should include the day rent is due each month, what the grace period is (this can range from 3 to 5 days) and when rent is considered late.

2. Determine late charges

The late charges you establish should be fair, reasonable and be in keeping with monthly rent and/or state regulations.  In general, the total amount you should charge should not be more than one quarter of the month’s rent.  They can be assessed as:

• a flat fee due immediately after the grace period ends
• a percentage of monthly rent (usually 4-6%) based on rent amount
• a daily late fee that accrues each day after the grace period

3. Contact tenants

If a renter misses a rent deadline, give him or her a reminder via email or the telephone. Mistakes happen, but sometimes one late payment may lead to more in the future.

4. Set precedents – and stick to them

As a landlord, you need to be consistent with your late fee policies.  Failing to communicate and impose fees could cause you problems later, especially if you have to evict a tenant.  Courts need evidence that you are abiding by rules in order for you to protect your legal rights as a landlord.

5. Amend rental agreements

If your current leases do not have clear rent payment terms, consider revising them as soon as possible.  Depending on the kind of agreements you have, you may not be able to do this until renewal time.  Contact a legal professional if you need help.

Collecting, and enforcing, rental policies are among the difficult tasks busy landlords face.  But Herman Boswell can help.  Our professionals have the skills and savvy that get results.  Let us show you an easier way to manage your investment properties: contact us today!

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Disabled tenants present special challenges.  You can’t treat them differently from able-bodied renters.  At the same time, though, you may need to make special accommodations for them.

The first thing to clarify is who is considered disabled.  The federal Fair Housing Act and Fair Housing Amendments state that a person is disabled if he or she has a physical or mental disability that limits one or more major life activities.  These may include:

• mobility, visual and/or hearing impairments
• mental illness or retardation
• chronic alcoholism (if it is being addressed in a recovery program)
• HIV or AIDS

As a landlord, you cannot make decisions about where a disabled individual will live on a property.  For example, if you are renting two units, one on the ground floor and one the second floor, you must show both units to a disabled applicant, even if you believe the ground floor unit would be best for the person.

After a disabled tenant moves in, and at your own expense, you may also need to adjust rules, regulations and/or services to give that individual an equal opportunity to use and enjoy a rental.  For example, if you provide parking, you may need to offer a disabled tenant in a wheelchair a space that is spacious and close to where the person lives.

A disabled tenant also has the right to make reasonable accommodations at his or her own expense.  Special faucets or door handles or a wheelchair ramp are some of the accommodations such an individual could ask for.  You have the right to approve these changes and ask for proof that they will address the disabled tenant’s needs.

Handling tenants, especially those with special needs, can be one of the hardest things you’ll ever have to do.  The Herman Boswell team of real estate experts can make that task a little easier for you.  We have the experience and the know-how you need to help you get the job done right.  For property management you can count on, contact us today!

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Most real estate owners have had problems with taking care of their property at one point or another.

Handling one’s personal home is a difficult task that requires a substantial amount of time. That said, the responsibility, stress, and effort required for the task increases exponentially if a person becomes the owner of more than one property, and even more so if they have tenants. The solution to this complicated issue is to hire a property management company that employees property managers who know the law, have experience, and can deal with people in a civil manner.

Although hiring a property management company is a superb investment on the part of the real estate owner, thorough research must be done in searching for the correct company, given that these individuals will be managing what is quite probably your most valuable asset.

Here are some mistakes to avoid when choosing a property management company.

1. Hiring a company based solely on price.
A company may offer a price that seems favorable- that is until you experience their services. Make sure you look at what they are offering and see if it correlates with your demands. You might have to pay more money to some companies, but this addition will be worthwhile if they offer an abundance of services- you’ll be getting the best value rather than the best price.

2. Hiring an inexperienced company.
This issue comes up, once again, as a result of monetary considerations. If a property management company has not managed any properties, or very few properties, they are still undergoing a learning process, and one you will be paying for. An inexperienced manager could be too extreme with your tenants in two ways- either too tyrannical or too lenient. Both scenarios end with you losing money.

3. Hiring a property management company that is not certified.
Certification is a useful measure of the adequacy of a property manager. An independent, objective board decides on whether or not an individual has the qualifications to undertake this particular stream of employment. If a person doesn’t meet certification standards, they likely will not meet your standards either.

4. Hiring a property manager with too many obligations.
While it is detrimental to hire an individual who has no experience, it is equally negative to have a property manager who overextends their capabilities. It is important to have a balance in the two extremes. If your potential property manager takes care of a property where they are earning more money, having to do less work, or have personal connections with the property owners, there is a good chance that you will not be their top priority.

When evaluating a property management company, it is essential to have all of these criteria in mind. Nevertheless, a savvy real estate owner should not stop here. You should make your own additions to this list, including requirements that are specific to your own vision of what a property management company should offer you. Additionally, do not compromise on your expectations too much because it is likely that you will be working with this company for a substantial period of time.

If you own a rental property in any of the following areas:

• Arlington,
• Bedford,
• Benbrook,
• Burleson,
• Cedar Hill,
• Colleyville,
• Crowley,
• Duncanville,
• Euless,
• Fort Worth,
• Grand Prairie,
• Grapevine,
• Hurst,
• Lake Worth,
• Mansfield,
• Saginaw,
• Southlake,
• Watauga, or
• White Settlement,

then the property management company you can count on is Herman Boswell Property Management.

We advise you to definitely shop around but Herman Boswell Property Management has 37 years of property management experience to bring to bear on the needs of your particular property or properties. We oversee more than 700 properties. There is a reason why people trust us. Find out why.

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