All Forum Posts by: Janne Zaccagnino

I recently completed construction on a brand new home (1700 sf) 3 br, 2.5 ba house and want to rent it out.  I have placed ads in our local newspaper (online), craigslist.com, Postlets.com, Rentals.com and AHRN.com (the military rental site).  I had it listed a bit too high, I believe early on, so I lowered the rent (Started at $1365, lowered it to $1295, then $1199, then $1095....).  Once I got it to $1095, several investor friends told me that they thought this was way too low as they have 1300 sq. ft. rentals renting for $1300.  Also, the only people interested in the property were drug dealers and people with evictions, I even had a convicted Meth Fellon apply!  

So I have now bumped it back up to $1225, trying to avoid going too high.  This is one of the larger homes in the subdivision, but there are a few getting higher rents than this.  

I just don't understand why I'm not getting any response.  I do have yard signs and even have a big sign on the highway (a very busy highway) with an "info" box where people can grab a flyer.  I have a QR on the sheet, as well as website where they can go to look at photos.  

Does anyone out there have any ideas to get my place some attention quickly? The house has been ready for renting since late July.... only 2-3 serious inquiries. 

Help? Please!

You have been getting some really good advice, the best of which is joining a local REIA group. You can be a fly on the wall at these groups and pay attention and learn the hard stuff (learn from other's mistakes) and the rest, contracts and paperwork can be learned from books or find a good closing attorney in your REIA group who can help you not make big mistakes.

Be conservative at first, get your feet wet. Or find an older person who has been doing this a long time to see if they will let you hang out with them to learn what they do. I had 2 uncles who would have done that for me in a heart beet but I was too late joining the game (they passed). 

Nothing beets a good REIA club! Nothing! Our club (Memphis Investirs Group) not only has monthly educational meetings which include a theme for the night but also 2-3 break out "early-bird" classes on specific topics such as "getting Started," "insurance for investment properties," "buying multi Units," "tax sales," and hundreds more. We also have a once per month "meet & eat" night with a more in depth look at a single topic. Sometimes it's on things like "running your RE business from an iPad...only" and a bunch of other topics. Also we have a casual Friday Dutch treat lunch at a local restaurant. This is a time when the experienced folks get together and are available to answer Your questions.

GO TO EVERY MEETING AND EVERY LEARNING OPPORTUNITY. LISTEN TO EVERY PODCAST. CHECK OUT BOOKS AND BOOKS-ON-CD FROM YOUR LIBRARY. LISTEN TO EVERY PODCAST, TAKE NOTES AND YOUR QUESTIONS WILL EVOLVE INTO SPECIFICS RATHER THAN SUCH A BROAD "HOW TO". 

You need to network with these people. Study hard, read everything you can get your hands on. Find someone in your area and work with them, pick their brains. If they don't want to help, find someone else. I tried to get my RE Agent (who helped me sell my personal home) to help me learn and she was literally clueless about the investment game. Like Doctors, RE Agents practice in certain areas, many are clueless about the investment side, most are just retail. You will find the people to learn from in an investment club. 

Thanks, Y'all!  I know I can do it, and probably will, but need to put it on a tenant's move-out letter as they let the condition get so bad without cleaning.  Just wanted to know if $50 per tub was outrageous or not. 

Hello Y'all, 

I have a rent house that a tenant just left and the caulking around the edge of the tub is TERRIBLY filthy... moldy/mildew yucky! 

It needs to be cut out, then ??? _____________ (washed, bleached, etc?)________ and then recalled. 

Can anyone tell me a FAIR price that one would pay per tub to have this done? 

I know I can do it, but I'm a terrible caulker!!!  So, if I have a handyman do it, I'd just like to know how much to plan on spending ($50 per tub, $100 per visit? etc. 

Thanks in advance, Janne

I signed up here on BP to do the tenant screening through TransUnion Smart Move. However, the application asks for the applicant's email address.  Since the tenant didn't provide one, I put my own in the blank, thinking that I could forward it to them when they gave it to me... but cancelled the screening prior to doing anything, (this is the first time I've used this).  Basically the link that came to me wanted me (actually the applicant) to create an account.  My prospective tenant gave me their SS# so I was just going to fill out the form, etc. to get the screen done.  

So, is there another way to do the screening since the applicant doesn't do email or internet? Something perhaps other than Smart Move? 

Thanks for all the great replies and great ideas.  

Now, the rubber hits the road!  I have a prospective tenant to screen, I signed up for the Transunion Smart Move here on Bigger Pockets.  The applicant did not provide an email address so that he could get the forms... is it legal to have them do this in my office on my computer (I have an extra set-up).  Just to get the screening done? If so, shouldn't I let them set up a free email of their own (like a gmail account) so that only they know the email address, etc. then let them do the filling out of the online forms? 

I have goals with my Investment Properties, I'd like to buy and hold at least 10 properties so that when I retire, I'll have that income, but don't really aspire to own hundreds of properties.  

That said, late last year I ran across some vacant lots on the Land Bank (Post Tax Sale subdivision lots) at an incredible price.  The lots were very hard to fit type narrow lots with easements running back and forth through them (4 lots).  BUT, my day job (currently) is designing new homes, so before I bought them, I drew out a couple of possible floor plans to see if I could fit decent houses on these lots, and did!  SO, I bought the lots and have started construction on my first "rent house".  It will be brand new of course, but because I was able to get the lots at $.10 on the $1, I couldn't pass them up!  I saved roughly $20k on each lot and am building the house(s) for roughly $55 p.s.f.  

The first one is almost finished and is GORGEOUS!  I can see the beginnings of "the light at the end of the tunnel!

I look forward to doing the other houses and now that I know the ropes... well, sort of, I hope to do more of this in the near future!

Janne

Kimberly, thanks for the tip about reaquiring a deposit to remove the ads about the property.  I agree, you need something to stop advertising it!  

Does anyone allow their tenants to pay via Bank Deposit to your account? I've heard this and some say it is a "deposit" account only that sweeps at Midnight and moves the money to a different account so that there is really no money ever in it for your tenant to try to get hold of.  Does anyone do this and is it at a national bank (Bank of America, etc)?

These are great suggestions, I have a clause in my lease about "illegal weapons", like if you are on parole and aren't supposed to have any weapons, that would be considered illegal.  Or non-permitted weapons if permits are required.  But, I don't mind my tenants having hunting rifles or shotguns for protection.  Hand guns with children are seriously dangerous, but if they are legal, I don't complain.  

I like the Car thing, I'll have to do that!  I typically walk folks back to their cars, so I could peek while chatting.  

Does anyone require Certified Checks for the first month's rent and security deposit? 

I recently heard that you can get the lease all ready, monies paid, etc., but DO NOT give the tenants the KEYS until the utilities have been changed into their name and they have a certificate of Renter's Insurance with your name as the interested party.  I like that idea!

Still looking for more ideas, so if you haven't chimed in your 2-cents worth, please do!

Thanks, Janne

Thanks, 

I am really looking for the ODD questions from those who have been landlords for a long time. I've heard of people asking "do you own a motorcycle", or "are you, or is anyone in your family an attorney," things like that.