Someone said that people don’t move during Thanksgiving and Christmas. Well evidently my T/Bers didn’t hear that. :banghead
I have 2 houses that will be empty December 1st and one rental. I’ve already been marketing them for two weeks and am getting no calls other than tire kickers. I am offering owner finance, L/O or fast cash sell on the houses; the duplex is the hardest one I have to rent. It’s large with central heat and air which is good but it’s on a highway which people don’t like. I’m asking $500.00 per month for it and could go down…(thinking out loud here) but if I go down in rent I get worse tenants.
I’m not sure why I’m not getting any bites on the houses. I use to L/O them in 2 weeks but not anymore. Everyone has the monthly payment but no down payment. :eyes
Any ideas?..or is this the norm for Texas now?
Yep, seems like many investors are having to put up with vacant rentals.
I myself have had 2 houses vacant for over 6 months. True, I could rent them for $500.00 per month, however I believe the wear and tear to the property would be more costly than the cost of been vacant.
Hopefully, the economy will pick up soon and provide us with some relief.
Seems like many new investors are paying high prices for properties with hopes that there exists another investor that will pay the higher price.
I was reading the site and came across an old post of mine.
This is what the rest of the story is
The rental was on the market for one month. I got top rent and above the usual security deposit. No reason…I usually don’t ask enough security deposit. I didn’t have to do anything to the rental not even clean it. The last tenants didn’t finish their lease (they lacked one month) so they cleaned everything and didn’t ask for their deposit back (I told them what they had to do to get their deposit back…they just left)
The first house 2/1 sat for a month and then I decided to make it into a 3/1 and L/O it (enclose the garage…we have a construction company) that took one month and cost $2K. I raised the amount of the property by $3K, got 2K down and $450.00 per month that’s $50.00 more per month that it use to rent for.
The second house 3/1 was a mess… dirty carpet, walls, etc. The last tenants had a waterbed even though lease says no waterbed…I had to pay for leveling one bedroom, paint the complete inside of house, tile and vinyl in kitchen and den. Pulled up old nasty carpet found hardwood floors I didn’t know I had…didn’t want to refinish so I had them painted dark brown…They look great. House was on the market for 2 months. L/O’d it for $5K more than the last tenants, $50.00 per month more at $475.00 per month…I’m letting the new T/Bers pay out the option money at an extra $175.00 per month. The house is owned free and clear…I paid about $2K in repairs. The returns will be enough
By getting more per MONTH, instead of a one time amount in option money (which the T/Bers never have in my area…not until tax time anyway)… these properties will make more money. My type of blue collar homes don’t produce much in option money. But the extras in carpets, washer/dryers, stoves, and rents make up for it.
When the time of the year is slow or your market is slow - be creative. Offer the first month FREE - offer a free washer and dryer - if a L/O - offer less down…etc.
try different wording in your ads - offer your current tenants $500 off their next month’s rent or L/O purchase (depending on which one they are) for referring a friend who leases from you. I always say, “Birds of a Feather Flock Together!”
I also offer Realtos $500 or $1000 if they can’t help a buyer who is not mortgage ready - and I lease Option to them. Be creative. Wendy - Michigan