you MUST collect Security deposits & Pet Fees!

[Johnny McKeon]

It's Not ALL 🌈Rainbows🌈 & butterflies🦋. A lot of people like to filter out the bad and ugly and only show the good when it comes to investing in real estate.

This is the importance of collecting security deposits (i do at least 1 months rent) and non-refundable pet fees(i do $280) 💵💵💵 for your rental properties. Damage will be done overtime!!

Tenant texts me "Johnny the place is done . All clean . Leaving the key on the counter next to the sink".

Me- walks in smells Dog Urine and has to play the sniffing game to find it under the electric range and soaked in and under the cabinet 🤣

You also need to be setting aside Reserves for when stuff falls apart or breaks. You can't just collect rent and then JUST subtract your mortgage payment and say that's cash flow.

That's being intellectually dishonest, people.

there's CapEx, there's maintenance and repairs, Vacancy & other line items you need to account for. For this specific 4-Plex I set aside $1,000 every month in Reserves

anybody else collect security deposits and pet fees? got any good aka bad stories 🤪