Pet-Friendly Rentals

 Should Your Rental Property be Pet Friendly? Pros & Cons

Our furry friends are quite meaningful to us, and a rental property that allows people to bring their pets with them is widely appealing to many. After all, people are often inseparable from their dogs and cats.

PROS OF A PET-FRIENDLY RENTAL PROPERTY

There are quite a few pros of a pet-friendly property. Firstly, it is just more appealing to the general public.

1. MORE TENANTS WILL BE INTERESTED IN YOUR PROPERTY

You can usually fill vacant units faster because pet-friendly rentals appeal to a wider range of potential tenants.

2. YOU CAN CHARGE A HIGHER RATE

You can charge more money if you have a pet-friendly unit. This can be in the form of a pet deposit or pet rent if you wish.

3. PET OWNERS ARE GENERALLY RESPONSIBLE TENANTS

It takes a lot to tend to our furry friends, so pet owners are generally quite responsible. Most tenants will crate their dogs when they are away if required to do so or will invest in training. This could decrease property damage.

CONS OF A PET-FRIENDLY RENTAL PROPERTY

Honestly, there are plenty of cons when it comes to renting out a pet-friendly unit as well. Namely, the risk of property damage is generally much higher.

1. PETS MIGHT DAMAGE THE PROPERTY

If animals aren't well-trained, they may damage the property.

This could include:

• Scratch marks
• Chewed wood
• Bad odors
• Chewed cables or wires
• Destroyed landscaping

If you want to decrease the risk of property damage, you could outline the consequences for damages caused by pets in the lease agreement.

2. NOISE FROM PETS

Pets can be quite noisy, especially if we are talking about dogs. This can disrupt other tenants and neighbors. You can ask the tenants about their dog's barking habits and even talk to prior landlords about this. You could also only allow cats to decrease this risk.

3. PET ALLERGIES

A lot of people are allergic to pets, and many long-haired cats and dogs shed. The owner is likely just fine with this, but their neighbors might not be. Additionally, allergens will often spread through the air conditioning ducts and affect common areas. For this reason, you will likely want to have a building-wide pet policy in place.

4. PET-RELATED INJURIES

Pets can often lead to various injuries for tenants. For this reason, you may also want to require renters insurance, including a pet policy.

HOW TO SCREEN YOUR TENANTS

You will likely want to screen your tenants and their furry friends if you have pet-friendly rentals.

You can do this by:

• Creating an Avail account
• Requesting a rental application and screening reports
• Requesting training documents, vaccination status, and images
• Approving or denying applications

Approving or denying applications will likely limit noise complaints. If you are going to allow dogs, you might want to opt for smaller breeds only or other specific restrictions. You could also limit the number of pets each tenant can have.

You may want to ask tenants the following questions when screening them:

• How many pets do you own?
• What is the pet's breed and size?
• How old is the pet?
• How long have you owned the pet?
• Are you solely responsible for the pet?
• Has your pet ever acted out of aggression towards another person or pet?
• Is your pet trained?
• Does your pet get along with people, other animals, and children?

These are important questions to ask before renting out your unit to a tenant and their pet. If they only own one or two small pets, that is likely ideal. If the pet is aggressive or untrained, you could potentially deny their application so that you know they don't cause very much trouble. On the other hand, a trained, fairly quiet pet could be a great addition to the community.

In short, having pet-friendly apartments certainly has its pros and cons: On one hand, you will likely get more renters and happy pet owners. On the other hand, you could have to deal with more noise complaints and grumpy neighbors. In any case, if you do decide to opt for a pet-friendly apartment, you will likely want to screen your tenants and have a solid pet policy in place.

Furnishing Your Rental - Yes or No?

 Should You Furnish Your Rental Property? 5 Pros & 5 Cons

Renting to tenants can often be difficult, and it's important to make your units appealing to potential customers. For this reason, furnishing a home can often make it look more inviting. That being said, it can also cost a pretty penny to do this, so you might want to consider the pros and cons before investing in it.

PROS OF FURNISHING YOUR RENTAL PROPERTY

There are many pros to furnishing a rental apartment. Firstly, you can charge a higher rent.

1. YOU CAN CHARGE A HIGHER RENT

Perhaps most importantly, furnishing your house or apartment means that you can charge a higher rent: Furnished properties earn 15-50% more than unfurnished ones, and that can mean 20% higher rent. If you are looking at a short-term rental, this can lead to 50% higher rent, which is quite significant.

2. THERE IS A HIGHER SECURITY DEPOSIT

If your unit is furnished, you are justified in charging a higher security deposit, which is an excellent way to make a bit more off of your investment. Honestly, tenants understand how costly and time-consuming it is to furnish an apartment, so they are often willing to pay more. This significantly increases the security deposit: Two months' worth of rent is typical.

3. YOUR PROPERTY MAY BE RENTED MORE SWIFTLY

Furnished apartments are extremely convenient: Renters don't have to worry about finding a way to move the furniture they currently have or pay for new pieces. Instead, they can simply step inside and be ready to go. This means that your property will likely be rented a lot faster than it would be otherwise. If you are looking for a quick return on your investment, furnishing the home is probably a good idea.

4. YOU WILL PROBABLY HAVE MORE PROSPECTIVE TENANTS

If you have furnished your rental, you are probably going to attract both short-term and long-term buyers, which means the place will likely not stay vacant for long.

5. YOU WILL HAVE A GREATER MANAGEMENT ROLE

Tenants usually understand that you can enforce stricter rules when it comes to maintaining the property. This relationship often reduces damages, leading to fewer costs for you.

In short, furnishing your rental property boasts a myriad of benefits.

CONS OF FURNISHING YOUR RENTAL PROPERTY

Like everything in life, furnishing your rental unit also has its cons. Namely, there is a greater risk of tenant damage.

1. TENANTS HAVE LESS FLEXIBILITY

Furnishing a unit can lead to less satisfied tenants, believe it or not. This is because they don't get to customize the space to their own tastes, so they may feel like it is not quite as cozy as they'd like it to be. In short, they often do not feel at home.

2. THERE IS A GREATER RISK OF TENANT DAMAGE

Tenants can potentially damage the furniture, rugs, etcetera. This could lead to higher costs for you.

3. THERE IS A POSSIBILITY OF VALUE DEPRECIATION OVER TIME

If there is furniture damage or the like, and you cannot find an appropriate replacement, this could lead to mismatched furniture, which lowers the appeal of the rental home and could potentially lead to value depreciation over time. It would also mean that you could probably not charge as much in the future.

4. FEWER LONG-TERM TENANTS

Furnished rentals are usually great for short-term tenants, but long-term renters often want to bring their own belongings with them since they have a personal attachment to them. This will likely mean that you don't have long-term tenants, so the return on your investment may not be as consistent or predictable as it would with an unfurnished rental over a long period of time. 

5. YOU MAY EXPERIENCE HIGHER TURNOVER

If you have a furnished rental, you will likely experience short-term leases, which means high tenant turnover. Maintenance between each tenant can be costly, and the place may stay vacant for a long period of time, which could be quite costly.

In short, renting out a furnished home is a high-risk, high-reward venture: You could potentially earn a great deal of money, but the income will likely be more unpredictable, and it will probably be quite costly to maintain the place between tenants. In addition, property damage is more likely.

Luxury Real Estate - Yes or No?

 3 Pros and 3 Cons of Investing in Luxury Real Estate

Luxury real estate is beautiful, and if you have a lot of money on your hands, you may think of investing in it as a way to make a lot of money quickly, but that is not always the case. In fact, it is much more complicated. Before putting your money into a luxurious home, you will likely want to consider the many pros and cons of doing so.

WHAT IS LUXURY REAL ESTATE?

When people think of luxury real estate, they often envision the following:

• A huge amount of square footage
• An exceptionally desirable location
• A beautiful interior
• Amenities
• A home office
• A swimming pool
• Smart technology

Some people also enjoy heated flooring and the like. In general, these properties scream luxury and are exceptionally expensive as a result.

PROS OF INVESTING IN LUXURY REAL ESTATE 

First of all, there are plenty of pros that come with investing in luxury real estate. Perhaps most importantly, you will likely get higher returns.

1. HIGHER RETURNS

If you offer a luxurious place to live, wealthy clients will likely pay you more to reside there as a result. This is an enormous benefit of finding a truly special property to put your money into.

2. LOWER MAINTENANCE COSTS

Generally speaking, these properties are maintained better than your average single-family home. Perhaps this is because they are so lovely to live in, or maybe it is because the tenants have more money to hire a gardener, housekeeper, etcetera. Whatever the case may be, you can likely count on lower maintenance costs, which is certainly a benefit, as these can add up over time.

3. MORE MARKET STABILITY

More often than not, luxury properties have a great deal more market stability. This is because they are generally quite well-maintained and they will not depreciate as quickly as more affordable real estate investments would over time. Also, these homes will be well-maintained nine times out of ten, so you usually don't have to worry about them becoming less desirable due to damages, etcetera.

As you can see, if you have the budget for it, investing in luxury real estate will likely pay off in a big way.

CONS OF INVESTING IN LUXURY REAL ESTATE

Unfortunately, everything in life has its cons, and that includes investing in luxury real estate. Firstly, there are extremely high initial costs if you want to go this route.

1. HIGHER INITIAL COSTS

First of all, luxury properties are expensive, so you will need to have enough cash on hand to purchase them. If you were to invest in a regular residential property, that would be a lot more affordable. That said, the return would not be nearly as high.

2. UNIQUE REQUIREMENTS

Investing in luxury real estate is a unique challenge: These homes often have special requirements. This means a great deal of specific knowledge on your part, not to mention doing your due diligence. In short, you will have to have patience and do a lot of research if you go this route.

3. A LONGER BUYING PROCESS

Generally speaking, investing in luxury real estate just takes longer: the market is smaller, and fewer homes are available. If you are looking to invest immediately, you will likely want to pursue a different strategy.

WHICH TENANTS TO CONSIDER

When searching for tenants, you might want to consider the following factors:

• Age
• Hobbies
• Lifestyle
• Income
• Interests
• Occupation

You could consider hiring a real estate agent if you are having a great deal of trouble finding the right tenants. They generally charge a handsome fee, but they can often be quite helpful.

Whenever you are investing, it is important to weigh the pros and cons. Luxury real estate is no different. It can be extremely rewarding, but it can often be very costly as well. Sometimes, the best strategy is to simply invest in a single-family home and count on consistent—if lower—returns along with the lower initial cost.

A large part of investing in luxury properties is finding the right tenants who will maintain the place properly and be able to pay you handsomely for your investment. Honestly, this can take time and is often risky, but if you find the right tenants and the right property, you have struck gold.

Best Cities to Purchase Investment Properties This Year

 8 Best Cities to Buy Investment Properties in 2024

Real estate investments are often incredibly lucrative, but you may hear the phrase, "location, location, location." This is for a good reason: If you invest in a breathtaking home in the city with a good view, you will likely get a better return on your investment. That being said, there are a lot of items to check off of your list when looking for properties:

• Are there good schools nearby?
• Is the property in a safe area?
• Is there enough space for a family?

There may be even more benefits of the property to look for depending on your goals and budget. There are a myriad of cities that offer prime real estate which could potentially offer excellent returns.

1. NASHVILLE, TENNESSEE

Nashville has experienced a slowdown in the housing market recently, but this is a relative term. It is the most populous city in the state and the average household income has grown by 6.6%, so there is a higher potential for cash flow. Demand in the Music City is higher than inventory.

These are some of the reasons to invest in real estate in Nashville:

• Activity in the real estate market
• Growth in property values
• The strength of the local economy
• Immense job growth
• Immense population growth

Perhaps best of all, experts are predicting a 19% growth in house prices in the next year, so this is likely an excellent investment.

2. TAMPA, FLORIDA

If you have a large budget to play with, Tampa, Florida properties might just be your best bet: The average home price is $323,040 and the average rent price is $1970/month. Tampa is growing fast.

You should invest in a Tampa property because of these factors:

• Over the past year, there has been an approximate 27.7% increase in the price of homes
• There has only been a 1.4% increase in the population
• There has been a 39% increase in rental prices

These rates are significantly above the national average, making Tampa, Florida one of the best places to invest in real estate in 2024.

3. AUSTIN, TEXAS

Austin, Texas is an excellent place to live, and a lot of people know it. This is a common haven to relocate to since there is no income tax.

This is why you should invest in real estate in Austin:

• The housing prices have nearly doubled over the past ten years
• It has experienced enormous population growth
• Austin has a 4.2% unemployment rate, which is lower than the national average

This is an excellent place to invest.

4. CHARLOTTE, NORTH CAROLINA

Charlotte is an excellent place to invest in real estate: The market has experienced an incredible 16.4% increase over the past year.

You should invest in real estate in Charlotte due to the following factors:

• Enormous population growth
• Huge job expansion
• 25 colleges and universities
• Affordable housing

If you are looking for an affordable option with a consistent, predictable return, this is likely it.

5. BIRMINGHAM, ALABAMA

You might not consider Birmingham as a place for prime real estate, but it is an excellent option.

This is why:

• The Birmingham real estate market consistently performs highly
• The Birmingham metro is uniquely affordable.
• Birmingham's recent revitalization has increased its popularity
• The city is a hub for publishing, medical research, banking, construction, and technology job opportunities
• The city is uniquely affordable

If you are looking for an affordable investment that offers a predictable return, Birmingham is likely a great option. It is also an excellent way to support affordable housing.

6. RALEIGH, NORTH CAROLINA

Raleigh is an intellectual hub. Namely, it is a member of the research triangle, which consists of Chapel Hill, Durham, and Raleigh, and it is home to a myriad of jobs and opportunities in the technology sphere. This makes it an attractive place to live for many.

You should invest in real estate in Raleigh for the following reasons:

• Approximately 43% of the population rents instead of buying
• Raleigh has an unemployment rate that is significantly below the national average
• Raleigh has an annual average income that is well above the national average

If you are looking for consistent income from rental investments, Raleigh is likely for you.

7. LAS VEGAS, NEVADA

Perhaps it is no surprise that the famous Sin City is on the list. The appreciation rate on homes here is enormous. That being said, these houses average about $346, 295.

Las Vegas is likely an excellent investment if you are working with a large budget because:

• Home prices have appreciated about 75% over the past five years
• Las Vegas has relatively low vacancy
• Las Vegas has high rent-to-income ratios
• Las Vegas has an increasing number of businesses
• Home prices in Sin City have soared
• A lot of people have been pushed into renting due to the competition locally
• There is a continuous increase in rental demand in Las Vegas, Nevada

In short, this is a good bet whether you are looking for renters or home buyers.

8. DALLAS, TEXAS

Dallas, Texas is an excellent place to invest in real estate. It has experienced enormous population and job growth recently.

You should consider investing in real estate in Dallas due to the following factors:

• Rapid job growth
• Rapid population growth
• It is a relatively affordable city, attracting potential renters and homebuyers
• There is a high median household income
• Dallas is quickly becoming home to large tech companies

In short, you can likely find an affordable investment in or around the city that will probably lead to a good return.

Investing in real estate can be quite lucrative, but it can also be extremely costly. Depending on the budget you are working with, you might want to consider what your goals are: do you want a significant return and have enough to throw your money into something truly special—and expensive— or would you rather opt for a more affordable investment that offers decent housing for a reasonable price to those who are looking for it? One decision isn't worse than the other, but you will likely yield different results depending on the route you take.

The Importance of Savings Fund

 The Importance of a Savings Fund for Your Rental Property Business.

The income from a rental property, or an entire portfolio of properties, generates its own momentum. As long as you have another months' rent coming in, you can easily cover the expenses needed to maintain your properties. However, the sudden need for large-scale repairs can completely throw off your calculations for both budget and profit.

Unexpected expenses may be difficult to cover unless you have carefully built up a savings fund with these types of problems in mind.  Replacements and major repairs cost more than any single month's profit margins. As an experienced property management firm, Leaf Management can help you build the right savings plan to ensure the strength and long-term profitability of your rental property business. Here's how to plan financially for the unexpected.

 

The 1% Maintenance Rule

The first rule of thumb is the 1% maintenance rule. Every new homeowner should be advised to set aside approximately 1% of the property cost per year to cover maintenance and repairs. This amount should go into a savings fund - you won't need the whole of it every year. Most years, little repairs will only require a fraction. But in five years, you will have saved enough for the inevitable major repair that may be needed.

Homes occasionally have quite large and sometimes unexpected expenses. The heater may go out one winter, or a bad storm might seriously damage the roof. setting aside 1% of each property's value per year in your savings account can ensure you will usually have enough to cover a major repair for any of your rental properties in a given year.

 

Saving for Three Months of Expenses

Another useful savings strategy for a rental investor is to prepare for 3-6 months of expenses, just in case. What if a tenant leaves next year and it takes longer than usual to replace them? What if a costly major repair is necessary before you can resume collecting rental income? If the house becomes unlivable during a tenant's lease, you may need to discount them a month of rent until the house is repaired and livable again.

Having a nice cushion of 3-6 months expenses can create that necessary margin and provide the funds you need for the next big repair or replacement cost. The larger your cushion, the more you can relax when unexpected setbacks, expenses, and vacancies occur.

 

Build a Major Maintenances Saving Schedule

You can also take a page from commercial real estate strategy. In commercial real estate, a maintenance schedule is used to predict major repair and replacement costs. For example, it will include both annual HVAC tune-ups and the inevitable system replacement 15-20 years after the current unit was installed. The schedule includes these calculations for every major system.

In the case of a residential investment owner, this would include the water heater, AC, heater, roof, plumbing, and so on. Knowing when to expect these expenses can help you save up for when then inevitably need repair and eventual replacement. In fact, you might even have a replacement ready before a catastrophic failure occurs.

 

Diversifying Your Portfolio and Risk Exposure

Lastly, owning and renting out more properties can soften the impact when a single property needs a major repair. Let's say you manage 10 rental homes instead of one. If one of those ten homes has a delayed turnover, the rental income from the other nine will help to cover the gap and provide for any unexpected expenses. You can also spread out your savings plan to pull a smaller percentage from the profit of each individual rental income.

 

Smart Maintenance and Savings Planning with Leaf Management

Planning ahead is the best way to be prepared financially for the ups and downs of rental property investment. Savvy landlords and investors know that large expenses will happen eventually, and it's best to have funds to cover them before the next surprise. Better yet, is to not be surprised at all by knowing the age and maintenance schedule of every major system in your investment portfolio.

Property management is more than just keeping tenants happy. At Leaf Management, we can help property owners build a smart savings plan to enjoy both rental income profits and prepare their business for the inevitable surprise maintenance expenses around the corner. For more insights into rental property business success strategies or expert property management services, contact us today.

Budgeting a Flip

 How to Budget a Flip with a Kitchen Remodel

When flipping a house to sell or rent, you know that the kitchen makes an important and powerful impression. Modern residents want a modern kitchen with nice, fresh finishes and reasonably new appliances. Many flips that update a once-shabby house have an outdated kitchen that needs work. On the other hand, experienced flippers will often warn away from kitchen remodels as a potential sink of time and money.

What this really means is that you should only commit to a kitchen remodel when you can accurately price and budget the changes you plan to make. A little retiling, a new stove, and a fresh coat of paint can go a long way. But rebuilding the cabinets and countertop could soak up almost your entire flip budget. Therefore, the first step is knowing how to price a kitchen remodel.

 

Estimated Kitchen Remodel Costs

A light remodel for a kitchen can be as affordable as $5,000 to $7,000 for fresh finishes, hardware, and an appliance or two. A full kitchen remodel, especially for a luxury property, can  cost anywhere from $50,000 to $125,000, depending on the intended extent of your kitchen transformation. 

Most flippers should not go all-in on a luxury kitchen remodel, but it's useful to know the outer limits.

 

6 Factors that Influence Kitchen Remodeling Prices

A high-end kitchen remodel cost in is defined by the materials you use and how much you rebuild your kitchen. It's one thing to repaint the cabinets and swap out some hardware, and completely different price range to rebuild the entire kitchen from the wall studs and wiring.

Let's explore the six most important elements that can affect your kitchen remodeling cost.

1) Square Footage

The size of your kitchen can help you estimate how much your desired changes will cost.

• Most ranch style homes have kitchens of 150 sq-ft.
• Two-story homes of 3000 sq-ft or more typically have 175 sq-ft kitchnes
• Large homes between 3K and 4K sq-ft often have 195 sq-ft kitchens
• Luxury and gourmet style kitchens can start at 200 sq-ft and may be even larger.

2) Cabinets

Whether or not you rebuild the cabinets will have a huge impact on your kitchen remodeling price. This is why repainting, refinishing, or even replacing the doors are popular options. Rebuilding cabinets can occupy 30% to 50% of your total remodeling budget.

If possible, avoid rebuilding the cabinets, or only replace the doors for style. Shore up the insides for stability or even re-frame the interior boxes for cleanliness, but leave the counters intact. 

3) Walls

Changing the walls requires structural adjustments and may even require the installation of wood or steel beams as well as new drywall divisions, insulation, wiring, and plumbing installations.

Changing the walls of your kitchen can add between $10,000 and $20,000 to any kitchen remodel project.

4) Flooring

Every kitchen needs an excellent floor. Hardwood floors throughout the house are extremely popular right now, providing an elegant yet continuous look. However, luxury laminate board provides the moisture and scratch resistance that a kitchen truly needs.

New kitchen floors floors can update the style, convenience, and even comfort if you choose to add padding or heated wire underneath. Your choice of flooring material will have the biggest impact on cost per square foot.

5) Counter Tops

Countertops are a notorious part of pricing a kitchen renovation. Your choice of stone and style will each influence how much finishing your kitchen remodel may cost.

Marble and granite are timeless, while concrete offers a modern style, butcherblock provides utilitarian elegance, and quartzite introduces the waterproof benefits of a manmade slab.

6) Appliances and Fixtures

New appliances can help to completely modernize a kitchen, and they can be affordably sourced for good quality and attractive kitchen equipment.  Energy-efficient appliances are a valuable long-term investment for both utility costs and a sustainable home.

 

Know Your Kitchen Flipping Costs

Take these generalized tips along with a few measurements to your contractor - or the home improvement store if you're flipping DIY. Determine the cost for materials and the time investment for minor vs major changes. In most cases, a bit of new tile, fresh paint, and a few pieces of new plumbing and cabinet hardware can make all the difference without blowing your renovation budget.

When you're ready to rent the house to new tenants after the flip, look to Leaf Management to help keep your tenants and your property in top condition.

The Back-end Financials of Your Real Estate Business

 The Importance of a Savings Fund for Your Rental Property Business.

 

 

The income from a rental property, or an entire portfolio of properties, generates its own momentum. As long as you have another months' rent coming in, you can easily cover the expenses needed to maintain your properties. However, the sudden need for large-scale repairs can completely throw off your calculations for both budget and profit.

Unexpected expenses may be difficult to cover unless you have carefully built up a savings fund with these types of problems in mind.  Replacements and major repairs cost more than any single month's profit margins. As an experienced property management firm, Leaf Management can help you build the right savings plan to ensure the strength and long-term profitability of your rental property business. Here's how to plan financially for the unexpected.

 

The 1% Maintenance Rule

The first rule of thumb is the 1% maintenance rule. Every new homeowner should be advised to set aside approximately 1% of the property cost per year to cover maintenance and repairs. This amount should go into a savings fund - you won't need the whole of it every year. Most years, little repairs will only require a fraction. But in five years, you will have saved enough for the inevitable major repair that may be needed.

Homes occasionally have quite large and sometimes unexpected expenses. The heater may go out one winter, or a bad storm might seriously damage the roof. setting aside 1% of each property's value per year in your savings account can ensure you will usually have enough to cover a major repair for any of your rental properties in a given year.

 

Saving for Three Months of Expenses

Another useful savings strategy for a rental investor is to prepare for 3-6 months of expenses, just in case. What if a tenant leaves next year and it takes longer than usual to replace them? What if a costly major repair is necessary before you can resume collecting rental income? If the house becomes unlivable during a tenant's lease, you may need to discount them a month of rent until the house is repaired and livable again.

Having a nice cushion of 3-6 months expenses can create that necessary margin and provide the funds you need for the next big repair or replacement cost. The larger your cushion, the more you can relax when unexpected setbacks, expenses, and vacancies occur.

 

Build a Major Maintenances Saving Schedule

You can also take a page from commercial real estate strategy. In commercial real estate, a maintenance schedule is used to predict major repair and replacement costs. For example, it will include both annual HVAC tune-ups and the inevitable system replacement 15-20 years after the current unit was installed. The schedule includes these calculations for every major system.

In the case of a residential investment owner, this would include the water heater, AC, heater, roof, plumbing, and so on. Knowing when to expect these expenses can help you save up for when then inevitably need repair and eventual replacement. In fact, you might even have a replacement ready before a catastrophic failure occurs.

 

Diversifying Your Portfolio and Risk Exposure

Lastly, owning and renting out more properties can soften the impact when a single property needs a major repair. Let's say you manage 10 rental homes instead of one. If one of those ten homes has a delayed turnover, the rental income from the other nine will help to cover the gap and provide for any unexpected expenses. You can also spread out your savings plan to pull a smaller percentage from the profit of each individual rental income.

 

Smart Maintenance and Savings Planning with Leaf Management

Planning ahead is the best way to be prepared financially for the ups and downs of rental property investment. Savvy landlords and investors know that large expenses will happen eventually, and it's best to have funds to cover them before the next surprise. Better yet, is to not be surprised at all by knowing the age and maintenance schedule of every major system in your investment portfolio.

Property management is more than just keeping tenants happy. At Leaf Management, we can help property owners build a smart savings plan to enjoy both rental income profits and prepare their business for the inevitable surprise maintenance expenses around the corner. For more insights into rental property business success strategies or expert property management services, contact us today.