Signature Sales & Management

When Should a Landlord Break a Rental Lease Agreement?

Fri, 30 Aug 2019 21:25:00 GMT

Every landlord wants long term tenants, especially property management companies , where we want security and the best return on investment for our owners. But there is a time when you need to allow the tenant to break the lease, or the owner should break the lease, and be ok with finding a new tenant. These instances are important to the financial ROI of the property and to ensure an owner does not dig themselves a deeper hole.

As a property management company in Corona , we talk to our owners about these decisions, to clarify reasons, why breaking a lease makes sense. So let us explore some simple reasons why, in our experience, breaking a lease has made sense to an owner.

Military Deployment – This is a no brainer. If your tenant has to go serve his country, then you should be OK with breaking the lease. It is not always the case where the individual wants to, even though he is being deployed, however, if need be, the tenant should be allowed to terminate the lease. It also may be the law. Service members Civil Relief Act allows those in the armed forces, National Guard, the National Oceanic and Atmospheric Administration (NOAA), and the U.S. Public Health Service the right to break their leases to start active duty or if their orders take them far away (50 miles is the accepted minimum distance). However, the tenant must first give you a 30-day notice, which is effective 30 days after the date the following rent payment is due. Meaning, a soldier could give you notice on July 17, but would still be responsible for paying August’s rent. After 8/31, though, they’re free to go.

Job Loss – Sometimes they have the means to keep paying the rent. You should talk to your tenant and determine if this is the case. If they can pay 1 month, and you can find another tenant in that time frame, then you will not have a loss at all. We, at times, have to be human, and if someone experiences a tough time, we should be able to assist them within reason. Financially it makes more sense to find a new tenant then to keep a tenant who may struggle to pay rent.

Job Transfer – Everyone is looking for opportunity, and sometimes that will affect an owner or landlord. In many of these cases, the rent will not go unpaid, the owner will not experience a loss if a tenant can be found by the time the tenant moves out to begin a new journey.

Intrusive behavior by owner – All tenants have a right to privacy. If you cannot provide the proper notice before you arrive (24 hours in most cases) this is considered to be intrusive. Just because you own the property does not give you the right to show up when you want and walk in. Property and privacy rights are granted to tenants when they sign a lease. Many owners are not real estate agents or lawyers and do not know the rights given to tenants when their property is occupied by someone paying rent. Please see your local and state laws, and before it turns into an expensive legal endeavor, consider allowing the tenant to break the lease.

If you ever have any question regarding property management in Corona , Temecula, Murietta. Riverside and the Inland Empire, call us and we will be happy to talk to you 951-520-0058

Guest or Tenant, who is liable for damages?

Sat, 04 May 2019 19:52:00 GMT

Guest or Tenant ???

Ahhh the guest who is visiting, but is always there visiting month after month. Nice try but a property management company should protect its owner, and an owner should protect themselves. Sometimes as property managers, we have to draw the line, especially on behalf of our owners. Some of you might think because the rent is being covered it is ok to have a permanent guest. It really just comes down to damages and who is liable. It is always good to have all the tenants on the lease, as you will have more than 1 person to pursue unpaid rent and damages

First of all, make sure to screen all your tenants thoroughly to ensure they have the income to cover the lease or rent. This should be qualifying them for 2 to 3 times the rent, making sure they don’t have excessive amounts of debt, or anything that would prohibit them from paying the rent. Criminal screening, and most importantly creditworthiness is vital. All property management companies in Corona and the inland empire should be performing thorough screenings.

A long term guest/tenant can add to the wear and tear of the property, exceed occupancy limits and potentially cause damage for which they will not be liable. This can cause friction and issues between you and your actual tenant as to who is going to pay for any damages caused. What if they are already deep in debt and can’t cover the damages caused? Who else is liable to pay? If a guest is paying any rent he/she is a tenant and should be held liable for any damages and missed rent, especially if the situation results in eviction.

Here are some items to review to see if they are a guest or a tenant.

Guest:

Tenant

Do you need to make sure all guests are on a lease? Of course not. Do you have to panic? Of course not. It is just recommended in the event damages occur or you need to evict the tenant that you are protected as best as possible to recover money for rent and damages.

It is just a good rule of thumb to ensure you are protected for a property manager or owner.

If you have any questions about property management in Corona, Eastvale, Temecula, and all of the Inland Empire in CA, just give us a call 951-520-0058

Tenant Retention through Good Relationships

Sat, 16 Feb 2019 19:58:00 GMT

Tenant retention is one thing every owner strives to accomplish. Longevity equals profitability. Spending a couple bucks here and there, and or spending a little time to understand the needs of your tenants can create that profitable model over time. You can achieve this by building a better open relationship with your tenants. This small article will provide a great reason to form a professional relationship with your tenant, and offer a road map to profitable property management.

Do you have a relationship with your tenant?

It all starts with the owner and his relationship with the tenant. Owners who keep in contact and understand the needs of their tenants, cannot only have better tenant retention, but the tenants tend to take better care of their property. Tenants taking care of your property, what a great idea. Tenants who get left uncalled, or communicated with, tend to not think too much about the condition of the property, or the owner, and or, take little responsibility for small or medium damages that come through wear and tear. Better property management overall.

Tenant retention begins with a phone call

Call your tenant asking how they are. Try to provide a warm approach, so that you come across professional yet caring. If your tenants like you, there is a greater chance they will respect you and your property. By calling them you can ask about the property. They may bring up small things that could be fixed. The great thing is that knowing these small issues exist can help you to correct them before they become bigger problems, such as a small seal leak in a bathroom becoming water damage. Many tenants don’t want to bother the landlord, so they won’t let you know, try to fix it themselves, and now we have a bigger problem.

Don’t like to call

Send a professional letter, or email, asking how things are. Mention that you hope they are enjoying their time in the property. Ask if there is anything you can do for them, and or if there is anything to report. Add an email address to make it easier for small items to be reported. Also if it is not reported it is on them. That’s just good property management .

Make a visit

Don’t ever show up unannounced, tenants have rights you know, plus its just rude. Be kind, and make an appointment to visit the property. Don’t be an inspector, that’s for the move-out. But simply talking to them first, ask how they are doing, and ask if there is anything that needs to be looked at. Give them a chance to bring it up and walk you to where potential issues in the property may exist. Making a visit is a great idea. It will allow you to see the outside and curb appeal of the property and its condition.

In conclusion, the reason to create this relationship is so that your tenants are comfortable talking to you, feel that you respect them and in turn, they will provide a reciprocal response. If they feel like you care, they will take better care of the property. Having an open relationship, being a phone call, a letter or email, and or, a personal visit will offer insight into any small issues with the property that may become bigger problems later. The biggest reason is that tenants like to pay people who respect them and are likely to stay knowing you are taking care of them. Longevity equals profitability.

Signature Sales and Management is a Property Management provider in Corona and the surrounding area here in Riverside County California. We service all of Riverside County.

Need Corona Property Management or property management in the Riverside County CA area, call us – 951-520-0058

Tenants Personal Property Lost or Abandoned, What’s The Difference?

Tue, 18 Sep 2018 17:21:00 GMT

Tenants Personal Property Lost or Abandoned, What’s The Difference?

There is a difference in lost or abandoned property. There is also a difference in what you need to do with personal property that is left behind by your tenant.

Watch this video and find out before it costs you.

How Much Does An Eviction Really Cost?

Thu, 13 Sep 2018 18:04:00 GMT

How Much Does An Eviction Really Cost Text:

An eviction is something no landlord wants. Sometimes it is because the tenant went through a hardship and has no other option but to skip on rent, and sometimes the tenant is just a bad tenant to begin with. An eviction is a legal proceeding that requires specific steps to be followed. Failing to take the proper steps can lead to the eviction being denied costing valuable time and money. Please be aware of the laws in your jurisdiction on how to conduct a legal eviction to ensure proper procedures are being followed.

So What Does An Eviction Really Cost?

Doing it yourself – This will cost you lots of time, money and possibly the price of a bottle of Aspirin.

So let’s evaluate it. First, you need to send a notice to pay or quit for non-payment. This is not a phone call, it is a written notice that must be delivered. It gives the tenant time to pay before you spend the money on an eviction. Check out our video on Evictions Part 1 http://www.951rents.com/2018/04/10/689/

Be careful if you accept payment or partial payment. This can require you to start the process from the beginning again, or be denied an eviction. If the tenant does attempt to pay the full amount due within the time provide, you must accept the rent. Failure to do so will likely lead to losing your eviction case. Some landlords do not accept any payment in order to proceed with the eviction, and some will take whatever they can get, knowing it may take 2 months to get the eviction completed. However, some tenants are “professional tenants” who know that by accepting a partial payment, the eviction process stops. They may continue to do this over and over. Some states allow a landlord to take partial payments and continue with the eviction process, and once again check the laws in your jurisdiction.

Remember it is illegal to shut off utilities or change locks while a tenant is living in the property, even if they are not paying rent. (Don’t do it)

A motion to dismiss – If a landlord fails to follow the proper steps to terminate a tenancy, a tenant may be able to get their case dismissed before the trial. For example, if a landlord does not send proper notice to quit, a tenant has paid all the rent owed or was not properly served with a summons and complaint, a tenant can file a motion asking for the case to be dismissed.

If you are going to do it yourself make sure you spend the time to learn and follow the proper steps. If you don’t you could lose more time, some more money, and a little bit of sanity.

Real Potential Costs

Doing it yourself

Loss of Rent – $3000-5000 depending on rent, and how long the eviction process takes, especially if you do not do it right and need to start over, or worse yet, have to hire an attorney to fix your mistakes.

Court Costs – $75-$250 depending on where you are located. Be prepared to go back a few times

Sheriff Services – $75 and up depending where you live

Cleaning Fees $150-$500 depending on flooring, and what needs to be cleaned

Damages – $ can be anywhere depending on, and if, any real damages occurred

Misc. Costs – such as what to do with the tenant belongings should they abandon them, remember you have to give their belongings back, and there is a process for this before they are considered abandoned

Lock Smith – $100-$150 once they have vacated, and or been removed call the locksmith

Re-renting the property – Depending on what services you use for marketing and screening

Do it yourself evictions do not always pay off, and in fact, they can cost you more if you do not perform the process and procedures correctly. The best thing to do is to make sure you screen applicants before accepting them as tenants. Make sure they qualify with income at least 2.5-3 times rent, have job security, their credit is good and do not have a lot of accounts in collection. Also, make sure they do not have any evictions on their record. That is a tip-off you may be next.

Some landlords do believe all of this is not worth the effort or not worth the cost of a good property management company. Some companies like ours have a monthly service package that includes the cost of an eviction. We have screening tools and will make sure you can sit back and know all of it is taken care.

The bottom line to this article is if you can’t pay you can’t stay, and if they can’t stay, landlords are careful what you do and say.

If you have any questions about property management in Corona CA , Temecula, and Riverside, or anywhere in the Inland Empire, give us a call today 951-520-0058

Abandoned Personal Property From Tenant What Do I Do?

Tue, 28 Aug 2018 16:17:00 GMT

Tenant Turn Over How To Save Money

Mon, 27 Aug 2018 22:38:00 GMT

Tenant Turn Over How To Save Money: Text

Tenant Turnover How To Save Money

You can screen your tenants till your blue in the face, but sometimes and or eventually, tenants leave, and sometimes not by choice. Then you find yourself looking at the potential damage, cleaning up, making repairs, spending time and money to prepare the rental home for the next tenant. Just part of the gig they say. So how can we mitigate these costs and our time? Here are some tips and steps you can take to help out with your time and the costs of cleaning and repairs.

Paint – I am not talking about repainting every time a tenant leaves, that’s the problem. I mean try using satin finished paint or gloss-high gloss paint. This paint option, because of the glossy, or reflective surface, will allow any person to wipe or scrub the wall clean, rather than repainting.

Keep Your Landscape Simple – Sorry but if it is a rental no need to up the curb appeal to much. Instead of flowers, try using shrubs and succulents. If you want color use small flower beds with drought-resistant plants. You can use rockscapes, mulch and other fillers instead of grass, or spend on artificial grass. Look for plants or trees that don’t require lots of water, such as pigmy palms, sago palms, silky thread grass and other desert types smaller plants and trees. Trust me when I say plant Thyme. It not only smells goods, in my opinion, but also yields a beautiful purple flower for color certain times of the year.

Carpet – Carpet is not the best for a rental. It gets stained, dirty, can contain lingering smells, especially from pets, needs cleaning and well, costs money when tenants leave. Instead of the cost of cleaning, and or worrying if the tenants are going to take care of the carpet, try opting for tile, laminate, vinyl, or any flooring which lasts longer and can take a beating. These flooring options are easier to clean and do last quite a while longer.

Keep an eye on Appliances – Having a home warranty can be beneficial, which can allow you to have annual maintenance to prevent damage. Also just make sure you are attentive to the tenant’s needs about appliances, rather than the tenants taking matters into their own hands to fix things.

Always take maintenance requests seriously so that any issue does not spiral out of control. Use a professional to ensure the job gets done right the first time. Small issues can lead to bigger issues if not dealt with property and immediately. Being a landlord can be a bit much for some, so they rely on property management companies like ours to help out and relieve their stress.

If you have any questions about this article or property management in Corona , property management in Temecula , property management in Riverside , or property management in the Inland Empire here in Southern California, give us a call. 951-520-0058

Finding A Rental That Will Attract Quality Tenants

Mon, 06 Aug 2018 23:19:00 GMT

How to Find a Rental Property That Will Attract Quality Tenants

When I was 28 I sat in a sales room full of salespeople. One of them said something to me that was not only appealing but made a lot of sense, and I think it applies here. He said, “If you want to catch a big fish, my friend, you have to use big bait”. So how does that apply in this case you say, well, if you want to attract quality tenants, you have to use quality features.

Here are some quality features that will attract quality tenants for your rental

If your current rental has these awesome qualities, advertise it on your listing then the unit or property becomes available. Let good quality tenants know that what they are looking for can be found with your property.

If you have any questions about property management for Corona, Temecula , Riverside or any property management in the Inland Empire call us 951-520-0058

How To Deal With Hoarding Tenants

Thu, 28 Jun 2018 18:37:00 GMT

How to Deal with Hoarding Tenants

So, you find yourself looking at your rental property much too late, and it has been trashed. This could be the cause of two things, a rhino, which would almost be impossible to get through a good screening process, or a hoarder tenant. Ahhh hoarder, this sounds like it might be it. Hoarders pose a danger to your property, but most importantly their own safety, and yes, sanitation, cleanliness and clean air for occupants. Hoarders are real and the damage they cause can be immense for an owner. Many times a hoarder can be screened, especially through a property management company who has professional screening tools. Our property management company in Corona CA, Signature Sales & Management , searches for items such as disturbance of neighbors, destruction of property, or any bad living or housekeeping habits. Remember hoarding is now a protected class, so be careful

In this article, we will read how to deal with a hoarder, and provide you with some insight, especially if it leads to an eviction.

Be Cautious Moving Forward

First of all, hoarding is a protected class according to the Fair House Act. People with hoarding disorder excessively save items that others may view as worthless. They have persistent difficulty getting rid of or parting with possessions, leading to clutter that disrupts their ability to use their living or work spaces. It is considered a disability under federal and state anti-discrimination laws–and therefore, hoarders are protected under the federal Fair Housing Act. Landlords, property managers, and HOAs must make reasonable accommodations for hoarders before considering eviction.

Hoarding from the American Psychiatric Association: page on hoarding

Understand Your Responsibilities

In most states, the landlord or owner of the property has the responsibly of providing a dwelling that is habitable for tenants. The “warranty of habitability” is almost a standard in lease agreements. Most agreements also state that the tenants have to maintain the property to be clean and or sanitary. If a tenant’s behavior is interfering with either party’s ability to carry out the agreement or duties, then it is time to consider some action.

Is it clutter or is it hoarding?

Most people can be messy and have clutter, however, you can still walk through the house without an issue. Some people might have a ketchup packet, but a hoarder will have 40 of them, and in most cases unwilling to use them. Hoarders collect and save what most people do find worthless. It then gets piled up, providing unsafe and unsanitary living conditions, and damage to a property.

Clutter can be looked at from many perspectives. Clutter is in the eye of the beholder they say. Yes, until it blocks emergency exits, doorways, interferes with ventilation, sprinklers, attracts pests, bugs, rodents, or creates hazards for themselves or other residents. Improper Food Storage is also a part of this category.

Time to contact the Tenant and put them on Notice

If you think you may be faced with a hoarding situation, then the first thing you need to do is to put the tenant notice, until they have rectified the situation. Let them know of their obligations as it pertains to the lease agreement, and to keep the place clean and sanitary, or the language from your agreement. You may find out there is a reason for the clutter. Maybe they are having the carpets cleaned, or have a son moving away for college. However the case you will find out the next course of action.

Offer Assistance

There are two sides to this story, one in which the landlord helps the tenant, and the other in which the landlord does nothing, and well we all know how the second story ends. See what you can do to help your tenant. Moving forward with an eviction can cost money. Do you have any storage space for them, do you know of anyone with low-cost storage or storage at a discount. See what you can do to help, which will also shed light on the subject, and further put your agenda on the table, and do what you can to assist the tenant with getting the place cleaned up. Even if there is nothing you can do, ask anyway, and document your conversation.

Document Everything

So we are now pretty far into this by now. At this point, it has become the worst case scenario and you have a hoarder issue. It’s now time to evict the hoarder and preserve their safety and your property. You need to document everything. Take photos with dates, video, notes of the property condition before and after. Hopefully, you have done a full move in inspection prior to document the condition of the property prior to the tenant’s arrival. Keep copies of your documentation and any conversations that have transpired. You will need to have this information handy in the event of the eviction.

Let the Eviction Proceedings Begin

It’s a hard thing I know, especially when they may feel like not paying the rent anymore at this point. However, an eviction is necessary. You will need to use the documentation to show the court that you have exhausted all remedies, including your offer to help them in any way you can. Consult with a professional who knows how to follow proceedings for an eviction. Evictions can be tricky and expensive. If you have a property manager and they offer eviction protection, this is where the costs are going to be very minimal as far as legal proceeding go. Our company does offer this click here for our info. Just make sure you follow procedures, as it could cost you.

In the end, the best line of defense is a good offense, in which you should pay the extra fees if you are DYI and get your tenants screened to spot issues with living habits, or disturbance of neighbors. Signature Sales & Management has a screening process to do our best to weed out his possibility. Another great tip is to always include an addendum stating that destruction of property, including housekeeping habits that result in the destruction of property is cause for termination of the tenancy agreement. This may allow you to try to get the tenant to vacate the premises first before heading into legal proceedings. If you need help with property management for properties in Corona CA and the Inland Empire, just call us and let us ensure the protection of your property, and the security to know everything is taking care of.

For any questions related to this article or for Property Management in Corona, Eastvale, Temecula, Lake Elsinore, Riverside and the Inland Empire call us 951-520-0058