"What to Look for in a Property Management Company"
When choosing a property management company, it's important to carefully evaluate several factors to ensure they align with your needs and will effectively manage your investment. Here are the top five things to consider:
1. Experience and Reputation
Industry Experience: Look for a property manager with a proven track record of successfully managing properties similar to yours. Consider how long they’ve been in business and are licensed and accredited.
Reviews and References: Check online reviews and ask for references from other property owners to get insight into their reputation and customer service.
2. Services Offered
Comprehensive Services: Ensure the company provides all the services you need, such as tenant screening, rent collection, maintenance, inspections, and legal compliance. Some companies also offer additional services like eviction handling or financial reporting.
Customizable Options: Make sure they are flexible and willing to tailor their services to fit your specific needs.
3. Fees and Transparency
Clear Pricing Structure: Understand their fee structure, including management fees, leasing fees, maintenance markups, and any other potential charges. Some companies charge a flat rate, while others may take a percentage of rent.
No Hidden Fees: Ensure there are no hidden fees or unexpected charges. Ask for a written contract outlining all the terms, so you are fully aware of costs upfront.
4. Communication and Responsiveness
Availability: Determine how responsive the company is when you need assistance. Are they easy to reach?
Tenant Interaction: Check how well the company communicates with tenants. Timely communication and clear resolution of tenant issues can lead to higher satisfaction and fewer vacancies.
5. Knowledge of Local Market and Laws
Local Expertise: A property management company with in-depth knowledge of local rental markets, trends, and pricing will be able to help you set competitive rent and ensure your property is marketed effectively.
Legal Knowledge: Ensure the company is familiar with local, state, and federal landlord-tenant laws, including fair housing regulations, eviction procedures, and safety codes. This helps avoid costly legal issues.
By carefully considering these factors, you can find a property management company that will help you maximize your investment, maintain a good relationship with tenants, and ensure smooth day-to-day operations.
"The Pros and Cons of Allowing Pets in Rentals"
Pros of Allowing Pets in a Rental Property
Increased Demand and Tenant Retention
Higher Demand: Many tenants with pets struggle to find pet-friendly properties, so offering a pet-friendly rental can make your property stand out, attracting more applicants.
Tenant Retention: Tenants with pets are more likely to stay longer if they feel their pets are welcome, reducing turnover and vacancy rates.
Higher Rent and Pet Fees
Pet Rent: Charging a monthly pet rent can provide an additional revenue stream.
Pet Deposits: You can also collect a pet deposit to cover potential damage caused by pets. This can help offset costs for repairs or cleaning if needed.
Marketability
Competitive Advantage: Allowing pets can set your property apart from others in a competitive rental market, particularly in areas with a high pet ownership rate.
Positive Tenant Relationships
Building Trust: Tenants with pets may feel more respected and valued when they’re allowed to bring their animals, creating a positive landlord-tenant relationship.
Pets May Deter Crime
Increased Security: Some tenants believe that having pets, especially dogs, may help deter crime and improve neighborhood safety.
Cons of Allowing Pets in a Rental Property
Potential for Property Damage
Wear and Tear: Pets, especially dogs, can cause damage to floors, walls, and carpets, potentially leading to costly repairs and cleaning.
Odors: Pets, particularly cats and dogs, may leave lingering odors that are difficult to remove, especially in carpeting or furniture.
Allergies and Tenant Complaints
Allergy Issues: Future tenants may have allergies to pet dander, limiting your tenant pool or causing problems if they move in.
Noise Complaints: Pets, especially dogs, can cause noise issues, such as barking, which may lead to complaints from neighbors.
Liability and Insurance Concerns
Increased Liability: If a pet causes harm to another tenant or damages the property, you may face legal issues or insurance complications.
Insurance Coverage: Some insurance policies may charge higher premiums or exclude coverage for certain breeds or pets, potentially increasing your costs.
Extra Work and Management
Pet Screening: You may need to implement more thorough screening, including asking for pet references, veterinary records, and proof of vaccinations, which adds extra work.
Ongoing Monitoring: You may need to conduct more frequent inspections to ensure pets are not damaging the property or violating pet policies.
Limitations in Some Areas
Local Laws and Regulations: Some areas have specific regulations regarding pets in rental properties, and you may need to adhere to rules about breed restrictions or size limits.
"The Impact of the Current Housing Market on Rentals"
The local housing market in Spokane, Washington, plays a significant role in the dynamics of rental properties. Here are several factors that influence rental properties in the Spokane market:
1. Rental Demand
Population Growth: Spokane has seen steady population growth over the past few years, particularly with younger individuals and families moving to the area. As more people move in, demand for rental properties increases, which can lead to higher rental rates.
College Town Influence: Spokane is home to several universities, including Gonzaga University. The presence of students creates a consistent demand for rental properties, especially in the form of single-family homes, apartments, and student housing.
2. Rental Rates and Investment Potential
Moderate Rent Prices: Compared to larger cities on the West Coast, Spokane offers more affordable rent prices. This can attract tenants seeking lower-cost living options. As a landlord, this means you can offer competitive rents while still securing a steady income.
Appreciation and Investment: With Spokane experiencing growth, both in population and in its local economy, there’s potential for rental properties to appreciate over time. This provides an opportunity for long-term investment returns.
3. Housing Supply and Inventory
Inventory Shortage: Like many cities, Spokane has faced a shortage of housing inventory in recent years. This means there may be fewer properties available for rent, giving landlords an opportunity to increase rents. However, the shortage also creates competition for renters, leading to potential challenges for property owners in keeping vacancies low.
New Developments: There are ongoing developments in Spokane, particularly in its downtown area, which can affect both the rental and housing markets. More modern, upscale apartments and multifamily housing units could raise rental competition in certain neighborhoods.
4. Economic Factors
Job Market: Spokane’s economy is diverse, with strong sectors in healthcare, education, manufacturing, and agriculture. A stable job market attracts tenants who can afford rent payments and look for long-term rental options.
Rising Costs: While Spokane’s rent is still affordable compared to major cities, inflation and rising construction and maintenance costs can affect both property owners and tenants. Property management costs might rise, affecting landlords' profits unless rent prices are adjusted accordingly.
5. Local Regulations
Rent Control and Laws: Washington State has specific regulations regarding rental agreements, including rent control laws (although Washington does not have statewide rent control, some cities have proposed local ordinances). Spokane landlords must be familiar with local rules related to security deposits, lease agreements, and tenant rights to avoid legal issues.
Short-Term Rentals: With the rise of Airbnb and short-term rentals, Spokane has also seen some changes in the rental market. The city has begun implementing regulations for short-term rentals, and this can impact landlords who want to rent out properties for shorter periods.
6. Seasonal Trends
Summer Demand: Spokane experiences seasonal rental demand, with the summer months often seeing a higher influx of renters, particularly students and those relocating for jobs. Landlords may see more competition for rentals during these peak seasons, which can lead to higher rental prices.
Winter Slowdown: In contrast, colder months may see slower turnover in the rental market, leading to longer vacancy periods for landlords. It’s important for landlords to be prepared for potential periods with fewer rental inquiries.
Conclusion
Spokane’s housing market offers landlords a combination of strong rental demand, moderate rent prices, and opportunities for appreciation. However, with ongoing population growth, rising costs, and new developments, it’s essential for property owners to stay informed about local trends, tenant needs, and regulations to make the most of their rental property investments.
