Being a landlord has never been easier, thanks to new technological trends. Automatic bill paying makes collecting rent payments each month way more efficient, but that’s really just the start. These are just three examples of the way the role is shifting – for the better.
Got an iPhone? You’re in luck. This app is your key to unlocking your potential new tenant’s background. If they’ve been evicted or blacklisted by agents or landlords, you’ll learn about it fast.
The Landlord App
Keep track of your current tenants and find new ones with this app. Manage rent payments and schedule utility bills right from your phone. You can even link associated properties, making this a one stop shop.
Knowing your competition is invaluable as a landlord, which is why Rightmove is such a useful tool! Free on both the Android and iPhone app stores, the app helps keep you in touch with your rental market fluctuations. Use GPS to track details of local properties and their prices.
– Scott Safardi, Cal Bay Property Management
Wishing everyone a Happy Thanksgiving from Cal Bay Property Management. Scott Safadi will be sharing the holiday with his wife and two daughters. Cal Bay Property Management will be closed on Thanksgiving, but as always, we are available for tenant emergencies 24/7.
Scott Safadi of Cal Bay Property Management does not recommend making business deals over text. In fact, he doesn’t like text messaging in business at all. If you want to go electronic, stick with email. Emails don’t leave your inbox until you move them. Text messages come and go like the breeze.
If you insist on handling your dealings over text, be aware that a text message can be considered a legal binding contract so when conducting business over text, make sure not to make promises you do not intend to keep.
Scott Safadi founds this article about some recent court rulings where the courts determined that a text message was a binding legal contract. Text Message as a Legal Contract
Rent Control Update by Scott Safadi of Cal Bay Property Management:
Rent control measures were defeated in both San Mateo and Burlingame, but with widespread support, the rent control measure passed in Mountain View. Effective immediately, rents in Mountain View cannot be increased more than the current CPI index, with a floor of 2% and a ceiling of 5%. This means that we can expect rent increase maximums in Mountain View to hover between 2-3% indefinitely.
What does a strict rent control policy really mean for renters and landlords? For renters, it means stability. Renters will be able to count on their living expenses remaining fairly steady. For landlords, the horizon is considerably more bleak. The issues for landlords appear after a down cycle in the rental market. When rents fall dramatically, like they did in 2002 and again in 2009, the challenge is getting rents back up afterwards. Rents fell as much as 50-60% in 2009. So, if you were renting a 1BR in Sunnyvale for $1,500 in 2001, in 2003, you were getting $1,000. At 2%/year, your rents would have risen to $1,148 by the time the next downturn took place in 2009. With the natural economic cycle we experience in capitalist America, rents in rent controlled cities will forever be depressed following the first big drop in rents that takes place after the enaction of rent control. Landlords will not again have an incentive to modernize and upgrade their buildings. This will be especially damaging when considering that the bulk of apartment stock in the Bay Area was built in the 1960’s. Cities should be wanting landlords to be able to upgrade & modernize buildings. Landlords will have no incentive to do so under some of these new rent control policies.
Scott Safadi of Cal Bay Property Management has been witnessing a softening in the Bay Area rental market throughout the course of 2016. This softening was inevitable given the astronomical rent increases that we have seen over the past five years. Scott Safadi does not believe that it is a matter of hitting a price ceiling. Rather, it’s an indicator of a slowing in job growth, specifically in the high paying tech sector. Housing prices continue to rise and are at levels where most renters do not have the luxury to decide whether to purchase or continue to rent. 10% or 20% down is simply unrealistic for most, so renting continues to be a strong option. Read the article below for some more data.