Orlando Rental Trends | Rents Still On The Rise | Rental Property

Orlando Rental Trends: Rents Still On The Rise

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In December 2018, the Orlando Sentinel reported that home and apartment rentals in the Orlando metro area were rising significantly faster than the rest of the nation. An updated report from Zillow.com, which includes data through September 2019 show that this rental trend continues. It’s a unique opportunity to make a smart investment in residential rental property, if you make a realistic plan.

Choose The Right Property

 Making a profitable investment in residential rental property starts with choosing the right property for your budget and for the market in the specific area where you’re looking to rent your property. Obviously, purchase price, location, and overall condition are key factors, but there are some less obvious considerations that can make or break a successful investment. Those marble countertops or that pool may seem like an attractive feature that will add value, but consider whether the rent that property will realistically command in its specific location will be adequate to pay for upkeep and repairs to such high-end features and finishes. In the case of a pool, you also need to consider the additional insurance costs. Think about what the community offers, and how that may affect rents. For example, a house in a desirable school district will likely command higher rent than one in a less desirable district. Are there great restaurants in walking distance?

Make A Realistic Budget

One common thread among successful rental property investors is that they set a realistic budget from the beginning. This budget needs to include not only mortgage, taxes, and insurance, but also the costs of maintenance and repair, ongoing management, marketing and tenant screening, and other business matters like collections, evictions, and other business overhead.

Professional Evaluation & Management 

No matter how hot the Orlando rental trends, it’s a smart idea to get a professional evaluation before purchasing an investment property. Belmont Management Group offers its clients an in-depth analysis of a property’s rental potential, along with access to exclusive property listings not avail through the MLS, and comprehensive property management services that help each property give the best returns possible. Call or contact us online to learn more about how Belmont Management Group can help you purchase and manage a successful rental property portfolio.

Please keep in mind that this is mostly a summary of the important points, but by no means does it constitute or cover the entire topic of rental trends or purchasing an investment property.

Slowing Housing Market Trends: Good News For New Investors

Slowing Housing Market Trends: Good News For New Rental Investors

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Home prices in the Orlando area have been steadily rising since 2012. New market trends have come into play recently, and a temporary decline in home prices presents a good opportunity for new investors in the residential rental market. One key to making a wise investment in rental property is choosing a home or homes that will attract good tenants, and make them want to stay in place long-term, while keeping your costs to a minimum. What should you consider before you purchase residential rental income property?

The Right Location For The Tenants You Want

Who are your ideal tenants? This will likely depend on several factors, including your purchase budget, but in general, most landlords want to see either steadily employed tenants, or those who have an adequate fixed income, such as retirees, to stay in the rental for the long term. You may need to consider whether your prospective purchase offers reasonable commute times to nearby business centers and easy access to public transit. Or you may need to think about how walkable the neighborhood is, and whether the school district is attractive to families with children.

Manageable Amenities

A pool or hot tub and a huge lawn may sound like attractive amenities, and they may actually prove to be selling points to prospective renters in the right situation. In other circumstances, these amenities are liabilities that either you or your tenants will have to deal with, in terms of maintenance and water bills. It’s important to be aware of the rental market trends in the specific areas you’re considering.

Another example of keeping the amenities manageable is the choices of finishes and flooring in the home. Premium finishes typically require extra maintenance and may also require specialized, more costly cleaning products to maintain properly. If you’re planning a luxury rental and appropriate rents to maintain these kinds of extras, buy with confidence. If you’re in the market for a more “regular” rental, you may want to consider avoiding these kinds of extras.

Stay On Top Of Market Trends In Residential Rentals

By working with a professional property manager in the Orlando area, you can rest assured that your investment property will bring you the best returns possible. Belmont Management Group can help you with everything from marketing and legally compliant tenant screening to economical maintenance and repairs, and, if needed, evictions and collections. Call or contact us online to schedule a consultation and learn more about how our services save your time and increase your bottom line.

 

Note: Please keep in mind that this is mostly a summary of the important points, but by no means does it constitute or cover the entire topic of market trends or purchasing a residential rental property.

Will A Recession Affect Property Management In Winter Park

Will A Recession Affect Property Management In Winter Park?

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We’re hearing a lot of talk from economic experts recently, and many of them are starting to talk about the likelihood of a recession in the not-too-distant future. If you own, or are considering buying, residential rental property, you may be wondering how a recession might impact you and what changes you might need to make in property management to protect your investment. While the Great Recession that began in late 2007 was a painful blow to most property owners, if another recession does happen at this point, it’s far less likely to cause such massive upheaval in the real estate market. You can take some steps now to reduce your risk as a rental property owner.

Why The Great Recession Was An Exception

In short, bad mortgage practices were a major cause of the Great Recession. People were saddled with mortgages and rates they couldn’t afford, and the vetting process for income verification was sorely lacking. As the job market weakened, homeowners found themselves unable to continue paying those mortgages, and they had little to no equity to fall back on. Lenders and investors who purchased had purchased those loans also failed as an increasing number of homeowners defaulted, and property values plummeted. Since then, the mortgage industry has been more carefully regulated and homeowners, overall, have more equity.

Smart Property Management Practices To Adopt Now

Now is a good time to review and revise your tenant screening criteria. Establishing a fixed set of criteria for judging applications to rent your properties is a critical part of protecting yourself against discrimination claims, and it can also help you keep stable tenancies throughout a potential recession. Consider whether you need to adjust your minimum requirements for income, credit score, or length of employment, and whether it may be a good time to add situations where you may accept tenants with a co-signer, extra deposit, or increased rent.

Professional Property Management In Winter Park

Working with a professional property management firm for your residential rentals in Winter Park and the rest of the Orlando area can help you maintain a steady income, even if another recession does happen. The team at Belmont Management are highly experienced in residential property management, and we’ll work with you to stay legally compliant while protecting your investment and income, now, and in the future. Call or contact us online for a consultation.

 

Note: Please keep in mind that this is an overview of the important points, but by no means does it constitute a prediction of the economy, nor of the impacts it may have on the residential rental market.

Senior-Friendly Rental Properties Gain An Advantage

Gain An Advantage By Making Your Rental Properties Senior-Friendly

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Major changes in the economy and rental market since the recession mean that more people are renting their homes than at any point in the past 50 years, and they’re renting homes much later in life than ever before. A recently updated study from the National Multifamily Housing Council (NMHC) shows that nationwide, people aged 45 to 64 years represent 30% of the rental housing market, while those aged 65 years and older represent an additional 15% of the market. That means that about 45% of your potential renters are either late in middle age or senior citizens.

Simple Steps To Making Your Property Senior-Friendly

With 55% of prospective tenants under age 45, property owners should look for a good balance between what may attract seniors and what may turn off younger tenants. Consider these ideas, which offer relatively low-cost implementation and add appeal for older tenants, without making the property feel like a senior center:

Add Handrails – Adding handrails to interior stairs and in bathrooms is one of the lowest-cost changes you can make, and it can help your property’s appeal to seniors by showing them that you’ve already considered this as a potential need.

Consider Flooring When It’s Time To Replace – When you’re planning to replace flooring, consider the fact that having a single flooring material, or as few material transitions as possible, will make it easier and safer for people with mobility issues and people who may need to use a walker in future. Hard floors are easier for tenants to maintain than carpets. 

Low Maintenance Landscape – If you’re not building gardening service into your rental price, consider landscaping that requires minimal watering and upkeep. Make it easy and affordable for your tenants to keep the property looking good.

Easy Parking – Think about where tenants will park their cars and how easy it will be for them to get in and out, and carry things like groceries in. If the existing parking isn’t as easily accessible as it could be, consider making changes that will help your future tenants.

Residential Property Management In Orlando

Belmont Management Group offers professional property management in Orlando and the surrounding area. We take care of time-consuming issues like advertising, tenant screening, leasing and inspections, and ongoing maintenance and repairs. We can also provide you with expert advice on how to make cost-effective changes that will help your property rent and extend tenancy, so you realize the strongest returns on your investments. Call or contact us online to learn more!

 

Note: Please keep in mind that this is mostly a summary of the important points, but by no means does it constitute or cover all of the requirements of renting to senior citizens.

Why Landlords Need To Offer More In The Current Market

Why Landlords Need To Offer More In The Current Market

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As the housing market in Orlando continues its recovery, more people are able to consider buying their first investment property, or an additional rental property, than in recent years. More tenants are also finding themselves in a position to buy, or to upgrade to a better rental situation. Those tenants are looking for better properties in nicer neighborhoods, and they’re also looking for added-value services as part of their lease agreement.

Buying Investment Property In Orlando

The population of Orlando is showing steady increase now, and as the local economy continues to grow, the population gains will continue, creating a need for more rental homes as real estate prices increase. Whether you’re new to purchasing and owning rental property or you’re looking to expand your portfolio, there are some things you should consider before your next purchase.

Location is more important than it has been at any time since the recession because now, prospective tenants are in a better position to renegotiate current leases, or simply move to a better rental property and location. Consider what the local area has to offer tenants: shopping, good schools, entertainment venues, transportation, parks and houses of worship. Choosing a great location will help you win good tenants now, and will offer better resale value in the future.

Next, consider the property itself and how it can help you attract and keep good tenants longer. If the property has a great yard, including gardening services in the rent protects your property against neglect and gives the tenants better value. Likewise, if the property has a pool, including pool service in the rent adds value for you and your tenants.

Residential Property Management Helps You Keep Up

One area where new rental property owners tend to significantly underestimate costs is in their time to manage the property. Hiring professional residential property management not only saves your time, but also helps keep other expenses in line. Issues like maintenance and repairs, tenant screening, marketing vacancies, and collections and evictions get handled efficiently and typically at a lower cost, because of vendor agreements and contract rates. Give Belmont Management Group a call or contact us online to learn more about the areas and amenities tenants want most, and how working with us can make your rental property more profitable.

 

NOTE:

Please keep in mind that this is mostly a summary of the important points, but by no means does it constitute or cover all of the rental market trends.