All Forum Posts by: Ronald Bowser

@Mark J. 

Hi Mark, in Easton the trash is wrapped in with the sewer bill, with water being separate.  The sewer/trash invoice will come together, so I am not sure if you are also planning on charging back sewer as well, but it may be easier on your side to factor that $33 in to the rent, instead of making it a separate concern for the potential tenants.

You mentioned interest has been okay, so if your numbers work by removing that separate fee ($400 annually), it may alleviate tenant concerns and get you someone in quicker.  We are approaching the "off-season" for renters... kids are settled in school and the winter is approaching, so getting a tenant sooner rather than later is a good move.  That $400 cost is more favorable than additional month(s) of vacancy.  If it has been sitting for a few weeks, maybe consider dropping it $50 and move it just under the even hundred you are expecting so it turns up in more renter searches (e.g., if you are asking $1100, make it $1,095). 

I hope this helps, let me know if I can try and answer anything else and good luck!

Hi @Veronica Haniger, I agree with the majority of Syed's feedback.  An additional bedroom will definitely increase the rent month to month and while an additional bath or half bath helps, the bedroom count will be the most significant.  As mentioned, location, amenities, etc. all impact the price.  We manage properties throughout the Lehigh Valley and our recommendation is to always base purchases on the numbers, not necessarily location.  High crime areas are concerning for obvious reasons, but those properties can produce the best returns in many cases, having a competent PM in place should alleviate those concerns.  Heavily vetting tenants will help avoid evictions, difficulties, etc.

Utility costs will be driven by the property and how it is configured.  If the building is properly metered, whether it is gas, electric, or even water in some properties we always make it the tenant's responsibility.  If there is only one heating unit for a multi-unit property, the owner will be responsible, but that should in turn be reflected in the rent.  Typically owners do handle the cold water, sewer, and trash as some municipalities in our area have the trash costs wrapped in to the taxes, while others require a third party hauler for pickup.  Each situation is different, but we always recommend the water be kept in the owner's name.  Missed water payments are lien-able against the property, so we want to avoid that possibility and just receive the bill and then bill it back accordingly.  Electric, fuel and those types of bills will follow the tenant if they do not make the proper payments, so that we require to be in their name.

I have one property I bought at a short sale and completed rehab for just under $50,000 and am collecting $1,000 p/m in rent.  That was purchased back in 2016 and is my only property hitting the 2%.  It is a competitive market in the Lehigh Valley, but not unheard of either.

We work with out-of-state investors all the time, they actually comprise the majority of our clients.  Feel free to message me if you'd like to talk more and good luck with your investing!

Hi @Emmanuel Jeanty.  I live, work, and invest in Bethlehem and can help with any questions you may have about the area and throughout the Lehigh Valley.  Feel free to DM me and let me know how I can help.  Thanks

@Caleb Palladino Hi Caleb, while there is obviously crime in Allentown/Bethlehem/Easton cities that comprise the Lehigh Valley, I would not let that deter you from investing in the area.  There are sections of each city that are worse than others regarding crime.  Center city for Allentown and Easton and then I would say the south side of Bethlehem are where the rates would be highest, but I have a property there and do not consider it that bad.  Those areas tend to have some of the best financial producing properties.  It sounds like you are not in the area, so be sure to get good management in place and you'll be fine if you decide to invest here.

Nice work @Kyle Keck!

Hi @Vanessa Hernandez, I'll second @Elvis Maldonado's comment above.  I work and invest in the LehighValley and we have a number of investors who come to our market for the price point, taxes, and friendlier landlord laws. I'd be happy to try and answer any questions you may have, just let me know.

Hi Kristin,

I have a few rentals in Bethlehem which is my preferred location in the Lehigh Valley, but I am partial since I live here.  The other two main cities that comprise the Lehigh Valley are Allentown and Easton, with a bunch of boroughs and townships as well.  You can drive from one of the main cities to the next within a half hour, so they are not wildly different demographically, but each has it's own nuances.  If you have any specific questions, please don't hesitate to let the forum know or feel free to send me a DM.  Good luck with your investing!

Welcome to BP Nick!  I personally think Lehigh Valley is a great place to invest!

Follow-up to the above.  There is a zoning ordinance that states "a responsible party", must be within 20 miles of a property.  This doesn't necessarily have to be a Property Management company, but someone or some entity must be within 20 miles of the property.  I guess that old saying is true... learn something new everyday!

Hi everyone,

Just catching up on this post and I have never heard of any requirements on investors/land lords that states they must get Property Management if they are 20+ miles away, or any distance for that matter.  Seems to be more of advice or a rule of thumb than any actual law, but if someone knows different, I would like to know about it.

Please don't hesitate to message me with any info or questions on PM you may have.... thanks