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How to Find Investment Properties

How to Find Investment Properties

by | Jan 13, 2023 | Blog, Homeowners, Homes, Villas and Condos, Investment Property in Florida, News, Property Management, Renters

How to Find Investment Properties

How to Find Investment Properties

 

There is no right or wrong way to find investment properties, but knowing how to find investment properties can speed up the process of establishing your business.

In this article, we share the four best ways to find investment properties for sale near you and what to look out for before deciding to purchase a property.

How to Find Rental Properties for Sale Near Me

The key to finding your next rental property is knowing where to look for available properties and the different options real estate investors can explore. We outlined four methods you can use to discover rental properties for sale near you.

1. Work With a Realtor

According to the National Association of REALTORS® (NAR), more than half of Americans that handled the property search on their own experienced the most difficulty in finding the right property. For this reason, many opt to work with a trusted Realtor to help find properties that meet their criteria.

Hiring a Realtor can be highly beneficial when searching for investment properties, especially if this is the first one in your portfolio. They can identify off-market listings — properties that are for sale but have not been listed online by the seller — which can help you find prime properties before other real estate investors. There are also Realtors that have special credentials in negotiating that can help reduce the asking price or get you an overall better deal on the property.

The experience. The tools. The know-how. As your local full service RE/MAX® Bardell Real Estate team, we make it our top priority to make the process of buying and selling a home as simple and as stress-free as possible. No one knows the area better than our trusted real estate professionals who live and work in our local communities. Please don’t hesitate to contact us today!

2. Find Local Wholesalers

A real estate wholesaler is someone that works directly with potential sellers that has negotiated an exclusive right to purchase the property. They then assign the contract to a buyer at a higher price point to make a profit. They can typically be found online or be referred to you by a real estate professional.

Since this method of finding investment properties does not readily provide background information on a property, you may want to analyze the rate of return on the property before purchasing.

3. Buy From a Courthouse Auction

Foreclosure properties and those going through tax sale are typically required to go to a public auction, which can be another great way to find off-market listings below market value. Depending on where you live, you may need to go to an auction in-person or virtually depending on how courthouse auctions are handled near you.

It’s advised to have money set aside to handle renovations, major home repairs, and cover other expenses for these types of properties since they typically require more work to prepare for renting.

4. Directly Connect With a Seller

If you come across a property in your area, then you can connect with the seller directly to learn more information on the property, the asking price, and potential buying options. This could especially help if you’re planning on buying a property without a Realtor.

But if you’re still familiarizing yourself with real estate investing, you may want to consider looping in a real estate professional to ensure the right questions on the property are being asked, you have information on the property, and the asking price is fair.

What to Look for in Investment Properties

Finding investment properties is only one step of the buying process — the next step is knowing what to look for in investment properties. When it comes to investment properties, here are a few things to look for to ensure the property can help generate income each month:

  • Neighborhood: Tenants prefer rentals that are close to recreational parks, public transportation, and grocery stores. It’ll also help if the property is close to schools or college institutions.
  • Local rental demand: There should be a local demand for rental properties to avoid long vacancies and make a profit through your rental property.
  • Amenities: The more a unit can offer a tenant, the easier it will be to generate tenant interest and charge a rent price that can ensure you make a profit each month.
  • Property taxes: Every city varies in how much property taxes are, with some being higher than others.

Source

Experts in Residential Real Estate in Orlando

If you are buying or selling real estate it’s quiet often the single most important financial decision you make. For the last 30 years we have helped clients buying and selling property in Orlando and the surrounding areas. Put simply, this means the knowledge and expertise accumulated over this time ensures our clients get the best representation possible.

Our experienced agents will help and guide you through the entire process providing valuable support every step of the way.

Ready to make a Move?

Bardell Real Estate are the experts in helping you with your selling, buying or renting needs near Orlando, Florida. Make your Disney area experience a forever memorable one. Call us now to speak to a real estate agent.

 

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Everything to Know About Move-In Fees

Everything to Know About Move-In Fees

by | Jan 6, 2023 | Blog, Long Term Rental, News, Property Management, Renters

Everything to Know About Move-In Fees

Everything to Know About Move-In Fees

Landlords are responsible for determining what fees tenants will pay to help cover the costs of maintenance, repairs, and other expenses associated with their rental — often in the form of a move-in fee. 

Move-in fees are similar to rental security deposits, but they need to be handled differently by both landlords and their tenants. We outline everything you need to know about move-in fees, from how much they cost to limitations landlords should be aware of. 

What Is a Move-In Fee?

A move-in fee is a non-refundable fee imposed by a landlord that a tenant pays before moving in. The fee helps cover certain expenses associated with managing the rental property, such as covering repairs or changing the locks on the doors. 

Unlike security deposits, there are fewer laws landlords need to abide by when handling move-in fees. Non-refundable fees do not need to be kept in an interest-bearing account or returned once the tenant moves out, making them easier for the landlord to manage. 

How Much Does a Move-In Fee Cost?

Move-in fee costs can be anywhere from 20% to 50% of one month’s rent price, depending on where the rental property is located. Some states do restrict how much landlords can charge in move-in fees, so it’s important to reference your local landlord-tenant laws to ensure a landlord is not overcharging.

The Difference Between a Move-In Fee and Security Deposit

A security deposit is a sum of money that is often refunded at the end of the lease term, unless a portion needs to be used to repair property damage caused by the tenant. Some local ordinances require landlords to provide a security deposit receipt at the start of the lease term, displaying where the fee is being stored and for which rental property it was collected. Once it’s time to return a tenant’s security deposit, the landlord will also need to provide a security deposit return letter outlining how much of the deposit is being returned and what’s been deducted from it. 

Move-in fees are usually non-refundable, meaning landlords do not have to provide proof of where the fee is being stored or return any portion once the tenant has moved out. Move-in fees also typically cost less than security deposits, since some states place restrictions on the total cost landlords can charge tenants.

Can Landlords Impose a Move-In Fee and a Security Deposit?

There are no laws prohibiting landlords from imposing both a move-in fee and security deposit. However, charging both fees can deter tenants from applying for your rental, since this can cause financial strain. 

Most landlords prefer charging move-in fees due to fewer regulations regarding how to handle them. But landlords can charge either a security deposit that is returned at the end of the lease term or a one-time fee upon move-in, depending on their preference.

Are Non-Refundable Move-In Fees a Scam?

Although it can seem like non-refundable move-in fees are a scam, that’s often not the case. Move-in fees are intended to help cover maintenance costs that pop up throughout the lease term and other sudden expenses a landlord may incur. Move-in fees reduce the chances of landlords having to cover operating expenses towards their rentals out-of-pocket. 

However, move-in fees usually need to fit within a certain price range, so tenants should check local regulations regarding non-refundable fees to ensure they’re not overpaying. 

Can Move-In Fees Be Negotiated? 

Move-in fees can usually be negotiated as they are often not set in stone by most landlords. If a tenant has discovered that the move-in fee is higher than the limit stated in local landlord-tenant laws or higher than other local rentals, then this can be used to negotiate a lower price.

It’s important to note that not all landlords will be willing to lower the move-in fee, since it’s intended to help cover costs associated with managing the rental. 

Renting a Home through RE/MAX Heritage

Searching for homes for rent – we can help. Here at Bardell we have been meeting the real estate needs in the Disney Orlando area for over thirty years during which time we have built a tremendous reputation for service and support.

The same commitment also applies to our Residential Property Management. Owner and tenant services and customer service are vital to our reputation. We work openly with our clients in a way that forms positive professional relationships – here are a few things that we do … and a few things that we don’t do!!

Click Here or call our office for more information and learn more! (863)424-2309

Ready to make a Move?

Bardell Real Estate are the experts in helping you with your selling, buying or renting needs near Orlando, Florida. Make your Disney area experience a forever memorable one. Call us now to speak to a real estate agent.

 

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Rental Property Walk-Through Checklist

Rental Property Walk-Through Checklist

by | Dec 30, 2022 | Blog, Homeowners, Homes, Villas and Condos, News, Property Management, Renters

Rental Property Walk-Through Checklist

Rental Property Walk-Through Checklist

 

Before a tenant moves into your rental, it’s important first to complete a rental property walk-through inspection to take note of your property’s condition. Failing to do so can make it harder to decipher if any property damage was caused by the tenant or was previously there before they moved in.

When to Do a Rental Walk-Through With Your Tenants

Generally, landlords perform a rental walk-through twice a year — before the tenant moves in and shortly after they move out. You can also inspect during the lease term to catch early signs of property damage before the tenant moves out.

But before doing so, refer to local landlord-tenant laws on handling inspections while a tenant is living in your rental property.

How to Complete a Rental Walk-Through Checklist

Similar to a move-in and move-out checklist, there are certain things to look for when inspecting your rental. Here are six things to look for as a landlord:

1. Inspect Every Room

Living rooms, kitchens, bedrooms, and bathrooms experience the most wear and tear when a tenant is living in your rental, which is why it’s important to inspect every room. Check for holes in the wall, the light fixtures and outlets are working, the floor or carpet is free of damage, and the ceiling, and the windows function properly.

You can also take notes on if the tenant has renovated the property in any way (i.e., installed wallpaper, replaced the handles on the drawers and cabinets, painted the walls) to ensure they leave the property in original condition before moving out.

2. Check for Safety

If you’ve installed smoke and carbon monoxide detectors throughout the property, you can check to see if they’re working correctly or need to be replaced. This can also be a great way to address maintenance issues your tenant has escalated that may impact the safety of the rental.

3. Test for Plumbing Issues

Plumbing issues are expensive to resolve and can result in a negative renting experience. For that reason, checking for leaks and water damage in the bathrooms and kitchen can help you catch issues early. In the bathroom, you can also check for large cracks or chips in the tub and if the sink and toilet are working properly.

Some landlords hire a contractor to inspect the plumbing more in-depth, but this is not necessary to test for plumbing issues.

4. Check That Appliances Function Properly

If you’ve recently installed new appliances, you can check to see if they’re properly functioning or have any damage. Examples of appliances to check are refrigerators, dishwashers, microwaves, washer units, and dryer units. Any clear signs of damage that are not considered normal wear and tear should be noted to look at further once the tenant moves out.

5. Open Cabinets and Drawers Attached to the House

Open the cabinets and drawers attached to the house to see if they open and close properly or have any signs of damage. As noted above, you can also see if the tenant has changed the knobs on the cabinets to remind them on the importance of putting the original knobs back before moving out.

6. Check The Backyard (If Applicable)

If your rental property has a backyard, check for any signs of damage or items that don’t belong in the backyard, like a trampoline. This can also be a chance to see if tenants are picking up after their pet (if allowed on the backyard) or caused any damage to your backyard that may need to be addressed.

Looking for an Experienced Residential Property Manager?

If you have a home to rent in the Orlando area be assured there is no substitute for experience. Covering Clermont, Winter Garden, Windermere, Dr Philips, Kissimmee, Davenport, Champions Gate, Hunters Creek and Haines City. We remain focused on this greater Orlando area to ensure we are able to provide outstanding service to our Clients without sacrificing performance. Looking for an experienced residential Property Manager in the Orlando area with a demonstrable track record – look no further.

Call us today to find out more (863) 424-2309

Ready to make a Move?

Bardell Real Estate are the experts in helping you with your selling, buying or renting needs near Orlando, Florida. Make your Disney area experience a forever memorable one. Call us now to speak to a real estate agent.

 

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How Does Renting a House Work?

How Does Renting a House Work?

by | Dec 23, 2022 | Blog, Homeowners, Homes, Villas and Condos, Long Term Rental, News, Property Management, Renters

How Does Renting a House Work?

How Does Renting a House Work?

 

With home prices and mortgages rising in a highly competitive homebuying market, you may have decided to rent instead of buying a house. If it’s your first time renting a house, then you may be wondering how the process works and what you need to know as a renter.

In this article, we explain the steps of renting a house and share tips to make the home search less stressful.

What Are the Steps of Renting a House?

Renting a house is similar to renting an apartment, but the general process may vary depending on the landlord. Here are the main six steps to renting a house to prepare for.

1. Determine Your Budget

You’ll need to cover the most common fees associated with renting a house, especially now that rent prices are predicted to increase by 7.1% in the next 12 months, according to Realtor.com®. The initial process of finding an apartment requires application fees, a move-in fee or a security deposit, renters insurance, and pet deposits (if applicable).

To forecast how much each cost will be, you can search online to see what landlords are charging for benchmarks. You can also research local landlord-tenant laws to see if your state restricts how much landlords can charge for certain fees, such as your security deposit and application fees.

Ongoing monthly fees can consist of your rent payment, parking fee, pet rent, and utilities. Most landlords prefer tenants to make a gross income worth three times the monthly rent, which may be something to keep in mind.

2. List Your Preferred Amenities

Every house will offer its own set of amenities, so determine which ones you’re looking for during your search. This can include a backyard, a balcony, parking space, or in-unit laundry. Determining what your preferred amenities are can also make it easier to sort through online rental listings on house-hunting websites.

3. Find Available Properties Online

There are various websites to help you find available rentals near you. Realtor.com, Zillow, Facebook Marketplace, Redfin, and Trulia are some examples of websites that have up-to-date listings with information on the rent price, amenities, and what the property is near. However, here at Bardell Real Estate, for the last 30 years we have helped clients buying, selling and renting property in Orlando and the surrounding areas. Put simply, this means the knowledge and expertise accumulated over this time ensures our clients get the best representation possible.

Our experienced agents will help and guide you through the entire process providing valuable support every step of the way.

4. Schedule House Tours

Property showings can be done in-person, virtually, or through a 3D tool. Most renters opt for in-person tours to get a better idea of the neighborhood, size of the property, and quality of each room, but both virtual and 3D tours can offer similar benefits. You can also schedule a virtual tour with the landlord or in-person to view the house before submitting an application.

5. Sign the Lease Agreement

If your rental application is accepted, your landlord will provide you with a lease agreement to review and sign. When reviewing the lease agreement, ensure the information aligns with what was discussed with the landlord during the property showing.

You may also want to familiarize yourself with renters’ rights to confirm your landlord is abiding by local ordinances. If all of the information in the lease aligns with what you and the landlord discussed, you can then sign the document. The agreement is not legally-binding until the landlord signs the document and has provided you with the final copy with both signatures.

What Are the Pros and Cons of Renting a House?

Like anything, there are pros and cons to renting a house. Renting a house gives you more flexibility to move to another property if you’ve decided the area or property is not the right fit. There are also fewer maintenance responsibilities, since your landlord is responsible for routine maintenance and certain repairs. Renting may also be cheaper than buying due to less upfront costs and not needing a mortgage to move into the property.

However, choosing to rent can result in your landlord increasing rent at the end of the lease term and not being able to reap the benefits of homeownership. For that reason, it’s important to consider the pros and cons of renting before signing a lease agreement.

​

Renting a Home through RE/MAX Heritage

If you are looking for a home to rent in the Orlando area we are here to help. As a full-service real estate office licensed to conduct long-term rental activity we are capable of meeting all your needs for long-term leasing. Visit our website to learn more or call us today to talk to one of our experienced property managers. (863) 424-2309

Ready to make a Move?

Bardell Real Estate are the experts in helping you with your selling, buying or renting needs near Orlando, Florida. Make your Disney area experience a forever memorable one. Call us now to speak to a real estate agent.

 

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What Is Rental Arbitrage?

What Is Rental Arbitrage?

by | Dec 16, 2022 | Blog, Property Management, Real Estate News

What Is Rental Arbitrage?

What Is Rental Arbitrage?

With vacation and short-term rentals rising in popularity, more tenants are considering exploring rental arbitrage to generate a profit while renting. This is an easy way to enter the vacation rental industry without the upfront costs of buying a property, but both landlords and tenants should know whether or not this is legal and what factors to keep in mind.

In this article, we share information about rental arbitrage and provide resources that can ensure landlords are protected from major property damage and unpaid rent.

What Is Rental Arbitrage?

Rental arbitrage is when tenants commit to a 12-month to 15-month lease for multi-room rental properties to rent out as either vacation rentals on Airbnb or short-term rentals. This is often done to help tenants make money while renting and utilize rooms they’re not using to get started in vacation real estate investing.

If a tenant is paying $1,800 in rent per month, they can rent out a room for $160/per day. If a guest stays for one week, they can generate a profit of $1,120 to either use on rent or other expenses.

How Does Rental Arbitrage Differ From Subletting?

While rental arbitrage and subletting may seem the same, there are some notable differences. When tenants sublet a room in a rental, it’s generally for one month to three months, depending on their situation. In the case of rental arbitrage, tenants allow guests to rent a room for a few days to several weeks.

States may also vary in laws regarding subletting and short-term rentals, so it’s important to refer to local landlord-tenant laws to be well informed about what is (and isn’t) allowed.

Is Rental Arbitrage Legal?

In most instances, rental arbitrage is legal but that does not mean there aren’t restrictions to keep in mind. States can have laws regarding short-term rentals that can impact how rental arbitrage is handled, but landlords can also deny tenants from renting out rooms. Unlike subletting, most states don’t require landlords to accept a tenant’s proposal to rent out rooms as vacation rentals but refer to local ordinances to confirm.

Additionally, it may be helpful to complete the following steps:

  • Review the lease agreement terms: Lease agreements should generally include a clause on short-term rentals that can outline whether or not rental arbitrage is allowed. If allowed, tenants can see what steps to take before posting listings online.
  • Talk to the landlord: If tenants consider renting a room as a vacation or short-term rental, it’s important to first talk with the landlord. Speaking with them can help determine if it’s allowed without any penalties and if any laws regarding short-term rentals to consider. This will also allow landlords to add a lease amendment to cover both parties if something happens due to rental arbitrage, if not already included in the lease.

Do Landlords Allow Rental Arbitrage?

Landlords have the right to accept or deny a tenant’s ability to rent out unused rooms to guests as short-term rentals. Despite the benefits of rental arbitrage for tenants, landlords may be hesitant to allow it due to increased foot traffic to the rental, which can result in more wear and tear and constant turnover. Additionally, if guests aren’t being screened before renting a room, this can increase the risk of hiccups occurring during rental arbitrage.

As a tenant, you can talk with your landlord to see what their thoughts are on rental arbitrage and what you can do to calm their worries. For example, if landlords are worried about property damage, you can let guests know they’ll be responsible for covering associated costs. The key is knowing what reservations landlords have on renting out rooms to guests to create a plan both parties are comfortable with and convince them to allow it.

How to Determine If Rent Arbitrage Is For You?

There are benefits to rent arbitrage, but it’s important first to determine if it’s the right option for you. To help you decide, you can consider the following factors:

  • Local ordinance requirements: If local ordinances allow for short-term rentals, it’ll be easier to get started. However, some states may limit whether or not tenants can rent out rooms in the unit or may require you to complete certain steps before publishing the listing online. For this reason, refer to local ordinances.
  • Location and neighborhood: Some neighborhoods may have a higher demand for short-term rentals than others, especially if the rental is located in a major city or high-traffic area. If the rental demand is high, then rental arbitrage can be a great way to generate income while renting.
  • Total costs: Although guests rent the room, the person on the lease agreement will still be responsible for supplying furniture and fixing property damage caused by the short-term guests. The original tenant is also responsible for paying the entire rent amount and utilities each month, so it’s important to determine if you can afford the additional costs.

Lawyer-Written Lease Amendments

Rental arbitrage is a great way for tenants to generate monthly income by renting out guest rooms as vacation or short-term rentals. However, it’s important to know how to handle this to comply with local landlord-tenant laws and avoid costly hiccups.

One way landlords can protect themselves in the case of rental arbitrage is by adding a lease amendment to an existing lease to modify the terms legally. The lease amendment can include what steps tenants need to complete before listing the room, what they’re responsible for covering, and what can happen if hiccups arise due to rental arbitrage.

 

Renting a Home through RE/MAX Heritage

If you are looking for a home to rent in the Orlando area we are here to help. As a full-service real estate office licensed to conduct long-term rental activity we are capable of meeting all your needs for long-term leasing.

Learn More!

or call us at (863) 424-3209

Ready to make a Move?

Bardell Real Estate are the experts in helping you with your selling, buying or renting needs near Orlando, Florida. Make your Disney area experience a forever memorable one. Call us now to speak to a real estate agent.

 

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When to Use Lease Amendments For Your Rental

When to Use Lease Amendments For Your Rental

by | Dec 9, 2022 | Blog, Homeowners, Homes, Villas and Condos, News, Property Management, Real Estate News, Renters

When to Use Lease Amendments For Your Rental

When to Use Lease Amendments For Your Rental

 

Landlords cannot change lease agreements once all parties sign, but lease amendments can help legally modify the lease agreement’s terms. However, it’s important to know what information to include to ensure the new amendment for a lease includes the right language, abides by local landlord-tenant laws, and is enforceable.

Here’s everything to know about lease amendments to help you easily create one for your rental.

What Is a Lease Amendment?

A lease amendment is a document between a landlord and tenant that can be used to legally modify the terms in an active lease agreement. Adding a lease amendment to an existing lease can ensure landlords are fully protected when changes occur that the original document does not cover.

Both the landlord and tenant must consent and sign the amendment for it to be enforceable.

When Can I Use a Lease Amendment?

You can use a lease amendment to address changes during the lease, such as when a tenant gets a new pet (if allowed) or cannot pay rent due to financial hardship. Other examples of when landlords can use a lease amendment are the following:

  • A tenant wants to break a lease earlier than the set expiration date
  • The tenant needs to go on a payment plan for unpaid rent
  • The tenant wants to sublet their apartment
  • Your tenant is requesting to add another person (or roommate) to the lease
  • You want to implement new boundaries on property use

    Do the Original Lease Terms Still Apply When Adding Lease Amendments?

    Despite adding a new lease amendment, the original terms in the active lease agreement still apply. Lease amendments can serve as updated rules and regulations complimenting a lease agreement, but do not override the original lease.

    Lease Amendment vs. Addendum: Are They the Same Thing?

    Lease amendments and lease addendums are sometimes used interchangeably, but they’re technically two different types of legal documents. A lease amendment helps modify an active lease agreement, while a lease addendum clarifies or adds to a clause in the original document.

    ​

    Renting a Home through RE/MAX Heritage

    If you are looking for a home to rent in the Orlando area we are here to help. As a full-service real estate office licensed to conduct long-term rental activity we are capable of meeting all your needs for long-term leasing.

    Learn More!

    or call us at (863) 424-3209

    Ready to make a Move?

    Bardell Real Estate are the experts in helping you with your selling, buying or renting needs near Orlando, Florida. Make your Disney area experience a forever memorable one. Call us now to speak to a real estate agent.

     

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