You may think it’s only the tenant who has a hard time paying the mortgage, but as a real estate investor or landlord, there may be times when it’s hard to pay the mortgage on your end as well. Here are some things you can do to avoid facing difficulty in paying your mortgage each month.
Keep your properties full. While it may sound overly simplified, this is the most obvious method for ensuring you’ve got rent money coming in each month to cover your property mortgage payments. Don’t allow yourself to get slack on advertising for new tenants. And don’t put off screening applicants or filling your properties because you get busy or overworked. Recognize filling your vacancies as a major aspect of your REI business success and deal with it quickly and efficiently every time.
Do your best to find quality tenants. While you want to keep your properties full, finding good quality tenants is key. By “good” it means they pay their rent on time, keep the property maintained and don’t abuse the lease. By using background and credit checks, you can find the best tenants available and thereby do what’s possible to keep your rental fees coming in regularly, which will help you pay the mortgage when it comes due.
Look for longterm tenants. Don’t assume that quality tenants will necessarily be longterm ones. Some good renters may know they can’t stay over a few months at most. They may be students or working a temporary job. They may just be living in an area waiting to move or retire somewhere else. Whatever the situation, opt for longterm renters when the choice is available. Doing so will make filling a vacancy at least a more infrequent possibility.
Keep the property well maintained. If you want good tenants, longterm tenants and tenants who pay their rent on time, do your part to keep them. Deal with maintenance issues quickly. Make repairs as necessary. Upgrade appliances or at least ensure the ones you provide are in good working order. Respond to your tenants’ calls quickly, or if you can’t be sure they know you’ll be unavailable for awhile.
Being a good landlord will go a long in way in developing lasting relationships with your tenants, which will in turn, help you keep them in your property longer. Often a tenant and landlord relationship can turn an average tenant into a great one simply because they want to keep that relationship intact.
In a tough economy, it’s important to do all you can to avoid facing the difficulty of paying the mortgage. That applies just as much to an REI professional as it does to the average renter. These simple tips can help as you work to develop lasting, longterm, rent paying tenants to keep your properties bringing in the income you need every month.
How to Sale Your Home Off Market Without A Real Estate Agent:
Selling a home off-market in Texas without a real estate agent involves several steps:
- Determine the Sale Price: Research the market to understand the value of your Texas property. Look at recent sales of similar homes in your area to gauge a competitive price.
- Prepare the Property: Ensure your home is in good condition for potential buyers. Clean, declutter, and consider minor repairs or improvements that can add value.
- Marketing: Even though it’s off-market, you’ll need to spread the word. Use your network, social media, local classifieds, and real estate platforms to advertise your property. Consider hiring a professional photographer to showcase the house effectively.
- Legal Aspects: Prepare the necessary legal documents for the sale. In Texas, this typically includes a sales contract, property disclosures, and other relevant paperwork.
- Showings and Negotiations: Schedule showings for interested buyers. Be ready to negotiate terms and the final sale price.
- Closing the Sale: Once you’ve found a buyer and agreed upon terms, hire a real estate attorney or a title company to handle the closing process. They’ll ensure all paperwork is completed correctly and legally.
Remember, without an agent, you’ll have to handle all these aspects yourself or hire professionals for specific tasks, like legal counsel or photography. While you can save on commission fees by selling off-market, it requires more effort and time investment on your part.
What is the process of selling a home that needs repairs?
- Assess the Repairs: Understand the extent and nature of repairs needed. Determine if the repairs are minor or major and how they might impact the sale price.
- Get Estimates: Obtain estimates from contractors or professionals for the needed repairs. This will help in setting the right price and negotiating with potential buyers.
- Disclosures: In Texas, sellers are required to disclose known defects or issues with the property. Be honest about the condition of the house to avoid legal issues later.
- Decide on Repairs: Depending on the nature of repairs, decide whether to make them before listing the house or sell it as-is. Making repairs can increase the home’s value but might require time and investment.
- Price Setting: Adjust the sale price considering the needed repairs. Be realistic about the value of the home in its current condition.
- Marketing: Highlight the potential of the property despite needed repairs. Use specific language in listings to attract buyers interested in renovation projects.
- Negotiation: Be prepared for negotiations. Buyers might offer lower prices due to needed repairs. Consider the estimates you obtained to justify your asking price.
- Legal Aspects: Ensure all legal requirements are met. Work with a real estate attorney or a title company to handle the necessary paperwork for the sale.
- Sell As-Is: If selling as-is, clearly communicate this in listings and during negotiations. Be prepared for potential buyers looking for a deal.
- Closing: Once you’ve agreed with a buyer, proceed with the closing process. Ensure all documents related to the sale are properly prepared and signed according to Texas laws and the specific county of your Texas home.