A Management Company …
understand how to guide owners through the question of annual maintenance versus capital improvements.
There have been many questions over the years and much confusion over this subject. Many investors will want to itemize as much of the costs of their properties as maintenance versus labeling these costs as capital improvements. Read more
The last thing landlords want to think about is evicting someone from their rental property. However, if you have a tenant who is not paying rent on time or consistently violating the terms of your lease, it might be necessary to evict. Today, we’re explaining how Denver property management companies are able to avoid eviction, and why working with a professional can help you if the process becomes inevitable. Read more
Keeping maintenance costs down on your rental property is crucial when you want to increase the return you earn on your investment. While repairs and maintenance are always going to be necessary, you can work with your Denver property management company to minimize what you have to spend on unexpected repairs. Read more
What is one common investment strategy between most all of the wealthiest individuals and corporations in the world?
We’ve all heard this but how does the average Joe compete with the wealthy. The simple answer is education and I don’t mean a formal university education. Whether you’re new at the real estate investing business or a veteran we all need to continue educating ourselves in order to stay on top of our game. Between the market cycles, changing trends, national, local and submarkets, buy and sell strategies, property management and contracting for repairs, there is a lot to know. That is why we have all heard the horror stories, and when those of us who have been around the block a few times hear the stories we can usually pick out the mistakes people have made very quickly. However, because there are some things we can’t always control like the the subprime financing debacle of recent years we have to stay alert as best we can. Read more
Average apartment rents increased by 13 percent year-over-year in the second quarter to $1,265 per month across the Denver metro area, according to the latest apartment market survey released by the Apartment Association of Metro Denver.
Vacancy rates in the metro area were 4.5 percent on average in the quarter, a decrease from the same quarter in 2014, when the average vacancy rate was 4.7 percent, but and increase from the 4.2 percent vacancy rate in the second quarter of 2013. Read more
According to a new study by Freddie Mac, renters are not particularly likely to make a move toward homeownership despite rising rental rates on the horizon. David Brickman, EVP of Freddie Mac Multifamily, said, “We’ve found rising rents do not appear to be playing a significant role in motivating renters to buy a home.” He added, “This contradicts what some in the housing market think as they expect more renters ought to be actively looking to purchase a home.” Brickman went on to say that Freddie Mac analysts believe that rents are rising because rental demand Read more
What is your passion?
When it comes to your real estate investments you either hire a professional management team or your it. If you worry about those late night or weekend calls, collecting your rents on time, finding good contractors for maintenance and repairs, tired of no shows on showing appointments, having trouble finding good tenants then you may not be cut out to be a property manager. If this is you then watch the short video on this link call the pro’s at Performance Property Management, Inc. to take care of your properties so you can do what your more passionate about and leave the worrying to us.
Are you asking the question, “Should I sell my property now or rent it and sell later.”
As a property manager working with a Denver property management company I would answer this question like this. If you don’t need to sell now, rent it and wait. All the stats show that inventory is almost at a record low in the month of January 2015 with only 3,863 current listing in the 7 Denver metro cities compared to a high of 32,000 in June of 2006. There were 3,631 homes places under contract in the same month of January 2015. These numbers equate to a 93% deficiency of inventory thus causing prices to rise. When you view real estate as an investment its simple, buy low and sell high. If you want to maximize your gains hold on for a year or two and watch your investment grow. All you have to do is rent it out, and rental properties are also in very high demand. These market conditions in 2015 are very favorable for good appreciation. I call this appreciation “THE WAVE”. Read more
- Sweat Equity
Sweat Equity is a way to get a home by trading work for equity in the house. This could be used for a down payment or for purchase later. This is a great technique if you are handy with tools, yard-work, and paint.
Look for fixer-uppers in neighborhoods you are interested in. Many times these homes will have a hard time selling and the owner is ready for just about any offer. You will find these houses ranging from just needing a little cosmetic work like landscaping or painting, to totally trashed out houses in need of some serious renovation. If you are into repairs, this is a great way to get a home for a good deal. Read more
HOW TO MINIMIZE YOUR ERRORS AND EXPEDITE YOUR CASE
When you need to do an eviction it is important that you use the correct forms for your state and it is good to have an attorney on retainer or be prepared to go to court yourself.
In the Denver property management business our attorney at Performance Property Management has told us that they have noticed a marked increase in errors and defects in the eviction demand notices that received in their office. Whether it is a minor typo or a serious defect, mistakes on eviction notices can Read more
Like everyone else these days, I’m all about saving money. But, one lesson that I’ve learned in business time and time again is when I should pinch pennies, and when I shouldn’t. Read more
When posting your rental ad, present your property in the best way possible so you attract the right tenant prospects. Read more
When you’re the owner of a rental property (or properties) you either hire a professional manager or you are the manager with all the responsibilities, liabilities and legalities.
When you hire a professional manager you can expect to pay a percentage of the monthly rents, leasing fees and other fees depending on the manager you hire. These monthly fees can range between 6-10 percent of your gross rents depending on how many rental units you own and volume of rent collected. The leasing fees can vary from a flat fee up to 75% of one months rent. Other fees that are usually passed on the owners are legal expenses when there is an eviction, then maintenance and repair costs. Read more
3.9% Vacancy Rate In Denver Metro Area
Denver metro apartment vacancies dropped to 3.9 percent in the third quarter which is the second-lowest recorded rate in Denver’s history, while the Westin hotel chain is planning to build the first 5-star hotel in Greenwood Village/Tech Center area of South metro Denver. Read more
Beware of the very unique contract terms used in GSA lease contracts to avoid headaches.
The general services administration (GSA) leases more than 150 million square feet of space from private building owners in over 2000 communities. This makes them an extremely important player in the real estate community. Because of the unique terms and conditions contained in government releases, buyers of office buildings where the government is already a tenant basis the learning curve. Read more
Now that you have rental property your committed to manage your tenants, maintain the property and handle all the management issues that come with property ownership. Here is a simple list of procedures you will need to master to manage your property well. Read more
This new housing market has been called by some “A new frontier” — Some big-time investors are starting to buy up thousands of homes to turn into rentals. This concept is nothing new. You may have heard this quote, “There is nothing new under the sun.” This applies to buying foreclosed homes as well. I have been investing in real estate and purchasing bank owned homes for over 25 years and now at Performance Property Management we help manage 100’s of properties for other investors in the Denver metro market as well. Still, some housing advocates are nervous. There will always be the naysayers telling you this will not Read more
If you’re going to invest in today’s market or any market you must understand the conditions of the market you’re in. My team has found, in the current market, the best results in bank owned foreclosures. Not to say this is the only way, or the best way to make money with real estate investing today. These foreclosures usually need fix up and therefore we get them at very low prices from the bank because no one else wants them. Read more
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If you were to ask 5 different real estate brokers in your area how the real estate market is fairing, you’re most likely to get 5 different answers. The reason is, there is a great deal of confusion and uncertainty right now in the real estate market. How many homes or apartment buildings are in foreclosure or about to go into foreclosure seems to be a well-guarded secret, or nobody has a good tracking method. Add to that the growing number of investment properties that have been taken off the market for sale and are being rented until the market improves and you can see why the accurate supply figures on unsold apartment buildings and homes is skewed.
Key Factors to Keep Your Eye On Read more
What Denver Property Managers Need to Know Now About the Real Estate Market.
In Real Estate If you ask 5 different realtors in your area how the real estate market is fairing, you’re likely to get 5 different responses. The reason for this is that there is a great deal of confusion and uncertainty right now. Read more
Property Management in Denver. If you want high return on your real estate investments don’
It was once quoted, “Live where you like to live and invest in real estate where it makes the most sense.”
Enjoy my animated video spoof on real estate investing by Trump – Kiyosaki
Common Investor Legal Mistakes
by Attorney William Bronchick
You can’t expect to reduce your risk of getting sued to zero with your real estate investing, but you can take steps to reduce your risk as much as possible. In any situation where your money is at risk, ask yourself, “Is there a better way?” Know the legal and financial risks of the situations in which you place yourself, your business, your family, and your assets.
Without covering every issue involved, here are a few common mistakes that real estate investors make, novice and experienced alike. Read more
Quickly evaluate and locate good investment properties
One simple rule of thumb I have used for quickly evaluating a good rental property is what I call the “100 X multiply rule”. Here is how is works.
When you get your list of properties your considering take the average rents based on number of bedrooms, location, etc. Read more
Net Operating Income
One very informative way to evaluate one investment property from another is using the capitalization rate method. First you will need to calculate the net operating income.
Good Value vs. Undervalued
Good value vs. undervalued, is there a difference?
Real estate investing is no different than buying stocks or commodities or any investment. The goal is to buy low and sell high. No big secret. So, how to you know that a real estate investment is a “Good value” or “Undervalued”? Read more
Fear Leads to Inaction, which will not get you to success
Many people who are not producing results in their real estate careers and are reading this are prone to inaction because of fear of doing it incorrectly. Remember, it’s not a matter of doing things perfectly, but putting forth your best effort and having faith in yourself that you are putting your best foot forward. Be prepared because everyone falls every now and then. We have to surround ourselves with a good team for support and have faith that if we keep ourselves educated and continue taking actions in a positive manner that we will achieve positive results. As I discussed in other articles, a lot of action taken at the “C” level of accuracy beats taking fewer actions at the “A” level. Continued perseverance leads to success. Read more
Don’t Believe Everything You Read in the Media
There’s an old expression in the media business, “If it bleeds, it leads.” In other words, the media loves to cover negative news more than positive because negative news sells. When the real estate market is in turmoil, the media loves to run these negative headlines to keep reminding people how bad things are. When people hear the bad news, it affects purchasing demand because the negative news drives fear, which makes buyers worry about whether the time is right to invest in the market. Read more
One very informative way to evaluate one investment property from another is using the capitalization rate method.
Capitalization rate (or “cap rate”) is the ratio between the net operating income produced by an asset and its capital cost (the original price paid to buy the asset) or alternatively its current market value. The rate is calculated in a simple fashion as follows: Read more
Foreclosure Concerns by Attorney William Bronchick
Over the past two years, a dozen states have passed foreclosure “protection” laws, and many states are following suit. Even in states where there are no specific foreclosure protection laws in place, there’s plenty of power within the state Attorney General or County District Attorney’s office to prosecute a real estate investor. Read more
At Performance Property Management we manage about 500 units in the Denver area and front range cities and we’ve had a quite a few roof leaks lately with all this rain. However most of the leaks have been able to be repaired with minimal costs to our clients, utilizing our own maintenance crews. As we do the repairs we are noticing many other maintenance items that need to be addressed on our managed buildings. As property owners we all need to set aside 5%-10% of our gross revenues for these maintenance items. And the older our buildings get the higher the percentage. On some of my older buildings in Read more
To always keep the magic alive in your property, very little beats wood burning fireplaces. But sadly the old fashioned wood fire and burning effectiveness almost never go hand in hand. Certain, it is really romantic to sit by your fireplace on a cold winter evening, studying your favourite book even though the fire crackles, a magical mood filling the space. But when you suppose of how a great deal it will price tag you, the magic disappears- just as rather quickly as it arrived. Read more
With real estate investing there is a delicate tension between doing it all yourself and having a professional team around you. If you are the typical real estate entrepreneur you are tough and probably thinking you can figure it all out yourself and your probably right most of the time. But, the secret is, “You either HAVE an assistant or you ARE the assistant.” You may choose to be a one man shop wearing all six hats or be the boss and wear only one hat. Read more
Performance Property Management in Denver is expanding.
May 24th, 2011 Colorado Division of Housing
Vacancies in for-rent condos, single-family homes, and other small properties across metro Denver fell from the first quarter of 2010 to a new low of 1.4 percent during 2011’s first quarter. According to a report released Tuesday by the Colorado Division of Housing, the vacancy rate was 3.1 percent during the first quarter of 2010, and was 2.0 percent during the fourth quarter of 2010.
This information confirms that it is a good time to purchase low priced housing and rent it out. Mortgage interest rates are very, very low which means cash flows for investors are high. At Performance Property Management we are seeing large investors with lots of cash purchasing apartment buildings http://tadalafilgenericmax.com/ in the Denver market. These investors are speculating that rent values will continue to be stable or at least more stable than other investment products like stocks and bonds.
Come invest in real estate with us.
Jerry Minney, Business Development Manager
Performance Property Management
By Ben E. Miller