Tag: #foreclosure

Planning for Rent Relief Needs

Posted on | by Allison Zuck

After the COVID-19 pandemic, the need for occasional rent relief policies has become apparent. This has also meant more confusion about the binding nature of previous contracts, as the government has implemented policies for evictions and foreclosures. Rent relief is important to both tenant and landlord, as the tenant could struggle to be able to pay, while the landlord needs the rent as his livelihood. But, as a landlord, you don’t want to cause undo strain on your tenant if you can help it.

Challenges

During a recession, there are a few issues landlords face. It could be difficult to collect rent. Renters could also move out, and it could be hard to find new ones. Clear policies and procedures help mitigate these challenges. As a landlord, you must make sure you give all your tenants the necessary information up front. That way they know exactly what they are getting into.

Rent Relief Plans

Here are a few of the ways you can help a tenant in need. You must know any loopholes that could be exploited and what it means for you in regards to taxes.

  1. Defer rent. The lump sum is then due at a later date, or the tenant can pay the rent in smaller sums over time.
  2. Reduce rent. You can do this in a number of ways and could be for only some of the lease or the rest of it.
  3. Make the unpaid rent into a loan that the tenant pays over time. This is called a loan conversion and should have a promissory note.
  4. Forgiving rent. You can always forgive the rent not paid by the tenant.

Importance of Rent Relief

All these strategies are good, but why is it important to help tenants with rent relief? It can take a toll on you if your tenants are unable to pay their rent. Therefore, you should try to work with your tenants when you can to assist them with their rent. Make sure to document everything when you do this, and try to take the circumstances of the tenants into account, especially if they are already defaulting. Being gracious to your tenants will make you a more desirable landlord, and a better one overall.

 

A Deal’s a Deal, No Matter How You Find It

Posted on | by Allison Zuck

With the competition in the market place, it’s hard to find real estate that you get for a good deal. However, through creativity, you can find your next property.

Word of Mouth

One way you can find properties with barely any work is through word of mouth. Tell your everyone you know, from family to your book club that you are looking for great property deals. That way, if they see anything, they can tell you. Also, joining a real estate club may help you out as well. Even though people in the club are also looking for deals, you could be looking for something completely different than them.

Ads

There may seem like there is only one option for advertising, but there are a variety of different types of ads you can use to find properties. You can leverage people’s use of the internet by placing an ad on Google or Craigslist, or you can go a little more old fashioned. There are options from making a mailing list, to tastefully putting signs in your yard or on your car, to even buying a radio commercial. If you want to go big, get a billboard! If you want even more options, place ads in your local newspaper or in any landlord magazines you know of. All of this advertising gives you the possibility of someone with a fabulous property reaching out to you.

Online Options

Even though it’s popular, don’t dismiss using MLS as a way to find a property. Look at a wide variety of online marketplaces. Be willing to search on Craigslist to find some properties. If you are willing to say you want properties on Craigslist, people will most likely be listing their real estate. Look through expired listings. You could potentially find a great deal, because the house didn’t sell during the time it was listed. But continue to make sure that as much as you are searching, you will be easy to find. Make sure that your website comes up when people search about selling homes in your area. Look into search engine optimization to help you in that area.  A blog is another approachable way to make your business out more noticeable.

Other Possibilities

Be willing to drive around your area and find vacant properties to research. While you’re out, also look for properties for sale by owner, as owners may be more excited to work with you. You can always use a wholesale seller, who will charge a bit of a fee, or a commercial broker. Sometimes, one man’s misfortune can be a real estate owner’s opportunity. You can find a good deal if you look into upcoming foreclosures and buy the property first. If someone does get foreclosed, you can always bid on it at the courthouse when it arrives. Be willing to look up the eviction records at the courthouse and buy right before someone is forced to evict a tenant. Also, if someone doesn’t pay taxes, you can get the right to buy their property, and it can be a great deal!

It may be hard to find real estate at first, but don’t be discouraged. If you cast your net wide, the properties will start coming in!