Start by making a list of all your rental expenses to include in your monthly and quarterly financial statements. To make sure you don't miss anything, we've created a checklist for you, along with brief descriptions for each item.

Key Highlights:

• Understanding and tracking all rental property expenses is essential for maintaining profitability and making informed financial decisions.
• Fixed expenses like mortgage payments, property taxes, insurance, and HOA fees remain relatively consistent and easier to budget for.
• Variable expenses such as maintenance, utilities, vacancies, and marketing can fluctuate, making them critical to monitor closely.
• Setting aside reserves for repairs, capital expenditures, and unexpected costs helps protect your cash flow and prevent financial strain.
• Proper expense management, including administrative, legal, and operational costs, ensures long-term sustainability and maximized rental income.

Rental Property Expenses Checklist:

1. Mortgage Payments

Your financing costs are likely your biggest monthly expense, and they should include both principal and mortgage interest. The latter must be separated from the overall amount, considering how they can be included among deductible expenses.

2. Property Taxes

Property taxes in Houston are among the highest in the country and unavoidable. With just a huge deduction from your total rental income, you should account for your annual or semi-annual property tax payments.

3. Insurance Premiums

Protecting your residential rental property is important, so acquiring insurance is a must. Since it protects the property, it can be counted as a rental expense. This can help you cover unexpected costs for your rental, though it may depend on the policy you choose. Landlord insurance is best suited for rental property ownership.

4. Maintenance and Repairs

Maintenance and repairs help retain or increase your investment property value. Routine maintenance can already be considered a recurring cost, but you will also encounter unforeseen costs for emergency repairs. The best way to prepare is to have an emergency fund to cushion the blow of variable expenses.

5. Property Management Fees

If you hire property managers, property management fees are part of your expected costs. Whether it will be a fixed cost or a variable expense would depend on the deal you have with the property management company. Most companies charge a percentage of the gross rental income. Some may charge additional management costs for tenant screening and placement if you want to find quality tenants.

6. Utilities

While this may depend on the lease terms, property owners might cover water, electricity, gas, trash collection, internet, or cable. It's hard to estimate expenses, especially for variable costs that depend on usage and economic conditions, but you can use historical data to estimate average costs.

7. Marketing and Advertising

Marketing or advertising your rental property is the key to reducing vacancies and maximizing rental income. Increasing visibility can entail costs such as listing fees on rental platforms, paid ads, professional photography, or hiring marketing services.

8. HOA Fees (if applicable)

If you are renting out a condo or are located in a planned community, you likely have HOA fees to worry about as well. This normally includes monthly or quarterly association dues, as well as special assessments for repairs or upgrades.

9. Capital Expenditures

Just as mortgage payments are part of your rental property expenses, understanding that capital expenditures (CapEx) are also just as important. They are long-term improvements in your property, such as roof replacement or major property upgrades. Rental property owners often categorize CapEx as a fixed expense by setting aside a cash reserve for potentially high, unexpected costs.

10. Professional and Legal Fees

You might need help with some aspects of property management from time to time, such as legal or tax professionals for tax preparation or legal trouble. Some landlords even hire around-the-clock accountants for property finances when they have multiple rentals.

11. Administrative Costs

Running a rental business comes with a lot of overhead, just like other businesses. This could cover expenses for office supplies, property management software, rent collection tools, banking fees, and more. If you hire staff, you need to account for their salaries, depending on what they do for your rental business. Some might be relatively small costs, but collectively, they still impact cash flow.

12. Pest Control and Landscaping

Spending money on proactive measures to keep your rental property attractive to renters is better than paying turnover costs when you lose them. Be sure to set aside a budget for keeping the property presentable and safe to avoid vacancy costs and marketing expenses to find potential tenants.

Fixed vs Variable Expenses in Rental Properties

Rental property expenses tend to vary, and understanding this will help you better manage your cash flow and predict your rental property's profitability.

Fixed Expenses

These costs are generally the same each month, with only slight increases or decreases, since they don't change based on vacancy or utility usage. Common fixed expenses are:

• Mortgage Payments
• Property Taxes
• Insurance Premiums
• HOA Fees

Variable Expenses

These costs can fluctuate based on usage, tenant behavior, property condition, and economic conditions, so it's important that you account for your expenses strategically. Some of the common variable expenses include:

• Maintenance and Repairs
• Utilities
• Vacancy Costs
• Property Management Fees (if percentage-based)
• Pest Control
• Landscaping
• Turnover Costs
• Marketing Costs

When it comes to calculating your income and expenses, variable costs are the most unpredictable. When you fail to manage your rental property finances properly, you might end up with lost rental income, which keeps you from getting a positive cash flow.

Rental Property Accounting FAQs

Why should I categorize expenses for my rental property?

• In addition to helping you monitor your property's financial health and separate fixed from variable costs, you can easily identify deductible rental expenses for your taxable income.

Which property expenses should I deduct from my monthly rental income to get my net operating income (NOI)?

• Everything from operating expenses to property upgrades can be deducted from your monthly rental income to determine your NOI, as long as they are considered rental property expenses.

What are tax-deductible expenses in a rental business?

• Some of the most common tax deductions you can make include mortgage interest, real estate taxes, insurance premiums, maintenance, repairs, depreciation, and property management fees.

Securing Your Rental Real Estate with Expert Accounting

A lot goes on in the financial records of a rental property, and real estate investors understand that one simple mistake can have serious consequences. Crunching the numbers can be complex, since, apart from the expected monthly rent, you also have variable, ongoing expenses.

Hiring someone with knowledge about accounting and tax regulations will allow your rental business to run like clockwork, which is what Precision Realty can help with. There's no need to worry about your real estate investment's finances, and if you need help with the rest of your property management tasks, we can step in, too.

Our services are both effective and comprehensive. Feel free to reach out and learn more about how we can benefit your rental business.

More Resources:

Landlord Insurance Explained: A Guide for Houston Property Owners

Benefits of Full-Service Property Management in Houston

Of course, you can't just research the right words and add them to your blogs haphazardly. To apply keyword strategies, you must know the fields you can add them to, how often you need to use them, and more. Read ahead and learn about the use of real estate SEO keywords.

Key Highlights:

• Relevant keywords improve online visibility. Using the right real estate keywords helps rental listings rank higher in search engines and reach potential tenants online.
• Understanding search intent helps target the right audience. Identifying whether users are researching, comparing, or ready to rent allows landlords to create more effective marketing content.
• Both short-tail and long-tail keywords play important roles. Short-tail keywords attract broader traffic, while long-tail keywords target more specific searches with higher conversion potential.
• Text fields such as titles, meta descriptions, and blog posts support SEO. Properly optimized text fields help search engines understand your content and encourage users to click on your listings.
• Keyword research tools strengthen marketing strategies. Platforms like Google Keyword Planner, Ahrefs, and Google Search Console help identify valuable keywords and track search performance.

What Does Real Estate SEO Do?

Keywords act as signals to search engines about page relevance for specific search terms and rental queries. Well-chosen property keywords raise organic rankings for local rental searches and map-pack placements. It helps your rental property listings show up to your target market when they start browsing the rental market, which helps reduce your vacancy rate.

Search Intent and Search Terms

Search intent and search terms are important concepts in SEO, and they help you identify which target keywords would help you achieve your aim.

Search Intent

Search intent is the goal of a potential tenant behind the search query, and it can be categorized into 4 main types of user intent.

1. Informational Intent is when the user wants to learn about rental properties.
2. Navigational Intent refers to users finding a specific website or company.
3. Commercial Intent is when tenants are researching before making a decision.
4. Transactional Intent is when their online search is for taking action.

Understanding each Intent helps you create an effective online marketing strategy by leveraging both general and local SEO. For example, if you want your target audience to rent your property, you need to add specific keywords that call them to action, such as "available property" or "vacant rentals."

Search Terms

Search terms, on the other hand, are actual words you use to rank higher in search results. The right keywords let that search engine know that your content provides the kind of information users are looking for. This is where keyword research comes in handy.

By learning what your target audience is looking for, you can begin incorporating keywords into your content and create a more effective SEO strategy. The two types are short-tail and long-tail keywords, both of which are crucial to influence search engine algorithms.

Short-tail keywords are made up of 2 to 3 words, and while they have a high search volume, you will have more competition on real estate websites and social media. However, they are still important for your real estate listing to garner relevant traffic.

Long-tail keywords are longer, more specific phrases that contain more than 4 words. They have lower search volume but higher conversion rates.

Text Fields and Their Crucial Role in SEO Strategy

As you notice when creating real estate rental listings, there are a few text fields you are required to fill in before you can post. These actually affect search engine results and tenant perception of what they can get from your content.

Page Titles

Page titles or title tags are among the most important elements in SEO. Property management websites often add key real estate keywords to the page title to help search engines understand the page's content. That's why rental listings often use selling points as primary keywords, along with necessary information.

Example: "Studio Apartment with Private Rooftop"

Meta Descriptions

A meta description is a summary of a webpage that appears under the title in search results. These come in handy when your rental property has its own website, and you want to add key information in a longer format for tenants researching online.

When written well, property owners can gain more organic traffic. In real estate lead generation, meta descriptions appeal more to readers than to search engine algorithms.

Blog Content or General Description

This text field provides a more detailed description because it is composed of multiple paragraphs. This is where you can add more keywords to get qualified traffic. However, you should avoid the risk of keyword stuffing, which occurs when content creators overuse keywords to boost rankings artificially.

This will make your content unreadable, and can lead to penalties that will derank your listing or blog. Conducting keyword research is key to finding the right keywords to add, while tracking how many keywords you add when creating content helps you generate more qualified leads for your rental real estate business.

Local SEO Terms for Keyword Strategy

Using local keywords is a marketing strategy that helps increase visibility in local search results. Location-based search trends, for example, will look for content titles that contain specific areas or addresses. If you're looking for property management services, for example, you'll add a location to your search query to narrow down results.

Keyword Research Tools to Use

There are readily available tools that even the best real estate agents and property management services use, like Google Analytics, to help you with your marketing campaigns. You can easily determine what people search for in the rental real estate industry, which enables you to pick which keywords would suit your content. Other tools you can utilize are:

• Google Keyword Planner: Provides volume trends and seasonal insights on changing search trends, useful for estimating rental market demand.
• Ahrefs and Semrush: These tools reveal keyword difficulty and competitor rankings, guiding sustainable keyword selection based on search behavior.
• AnswerThePublic: It can generate question-based long tail keywords that reflect real tenant search queries.
• Google Search Console: It shows the actual search terms bringing traffic and highlights underperforming pages.

SEO in Rental Marketing FAQs

How do I know which keyword strategy is right?

• Learn about keyword placement and the trending keywords in the real estate market to discover which approach would benefit your rental listings or business the most.

Who can help me find the right keywords for my rental listings?

• There are free tools you can use to find relevant keywords to add to your content, but you can also seek advice from real estate agents or other real estate professionals to maximize visibility for potential clients.

Does everyone apply SEO principles to their content?

• No, but creators of high-ranking posts do. Ignoring SEO practices puts you at a disadvantage, especially against rental businesses that hire property management or real estate services to boost their visibility and click rate.

Let Us Worry About Organic Traffic

Marketing is among the most complex aspects of property management, as it requires significant research to ensure your efforts and valuable resources are not wasted. If you want to give your rental business a greater advantage, you can always hire professionals with marketing experience.

Precision Realty will not only offer expertise, but also the resources to maximize your rental listings and business's visibility. With our efforts, you can minimize vacancies and boost your reputation in the rental market.

Contact us, and let's talk about the best way to market your rental property!

More Resources:

Key Benefits of Hiring a Tenant Placement Expert in Houston

Benefits of Full-Service Property Management in Houston

With landlord insurance, also called rental property insurance, the terms favor the property owner more, meaning that incidents and losses will be partially or totally covered. Learning what the covered perils are and how they work is crucial to making an informed decision.

Key Highlights:

• Landlord insurance provides financial protection for rental property owners, covering structural damage, landlord-owned property, liability claims, and potential loss of rental income.
• Standard policies cover major perils like fire, lightning, wind, and hail, but additional coverage (such as flood insurance) may be necessary depending on location and risk level.
• Detached structures and business-use items are typically included, such as garages, fences, laundry machines, and maintenance equipment, but not tenant belongings.
• Liability protection and loss of rental income coverage help safeguard landlords from legal costs, medical expenses, and income interruptions when the property becomes uninhabitable.
• Coverage differs from homeowners and renters insurance, making it essential to choose the right policy based on whether the property is owner-occupied, tenant-occupied, or rented by tenants who need their own protection.

What Does a Landlord Policy Typically Cover?

Learning what comes with landlord insurance is important to avoid falling short on protection, especially since some policies might not include what you need based on your location or property type. 

Rental Property

Similar to homeowners' insurance, a standard landlord insurance policy helps pay for damages to the building caused by fire, lightning, wind, hail, and other covered losses. As for what the "other covered losses" are, it will depend on the plan you purchase.

For instance, some landlord insurance policies don't include flood damage, but you can purchase additional coverage for specific disasters. In high-risk areas, it would be wise to either purchase additional coverage or acquire flood insurance to protect your property from water damage.

Detached Structures

Most landlord insurance policies typically include detached structures from your main building, such as the garage, tool shed, and fences. It's important to review this area of the insurance policy since some companies are very particular about what they cover.

You should always have options to choose the one that fits your rental business best. You can even save on landlord insurance costs by finding out which insurance providers offer policies that have wider inclusions, as opposed to optional coverage you have to pay extra for.

Personal Property

Landlord insurance can also cover your personal property, provided that it is used in the business. For example, laundry machines used by tenants, lawnmowers used for upkeep, and outdoor furnishings as part of the common area.

You cannot classify items like personal or tenant belongings as rental property damage. The property insurance only covers furnishings or appliances that you provided, not a tenant's personal belongings. That's why some landlords require tenants to get their own renters' insurance.

Liability Protection

Liability insurance kicks in when you need to pay for a tenant's medical costs or your legal fees. Liability coverage can protect you when someone is injured in your rental property, and you are found responsible for the incident.

For example, a tenant trips in the hallway due to your failure to fix the floorboards. Of course, you will only need to cover costs if a tenant issues a liability claim, and the court decides that you are at fault. You can instead settle the issue with your tenant without it reaching legal proceedings.

Loss of Rental Income

Landlord insurance can cover lost rental income if natural disasters cause the environment to be uninhabitable. Be sure to review your policy or ask the insurance company which natural disasters are covered by insurance.

Keep in mind that this is not continuous compensation. The landlord insurance coverage will only be active under specific circumstances and is limited to either an established timeframe or amount. After that, rental property owners may have to rely on cash reserves to continue repairs and keep the business afloat.

Landlord Insurance vs. Homeowners Insurance vs. Renters Insurance

Some property owners are not entirely sure how landlord insurance differs from homeowners' insurance, but it is fairly straightforward. Based on factors like whether you occupy the premises and what items you want to be covered, it is easy to decide whether you need landlord insurance or a homeowners insurance policy.

When to Buy Landlord Insurance

This option is the best for property owners who rent out their home, but do not live in it. It will cover the building structure, landlord-owned appliances and furnishings, liability protection, and lost rental income due to inhabitability.

Landlord insurance is normally more expensive than homeowners' insurance, considering that it covers more high-risk scenarios, and it includes specialized risks, such as liability coverage in case of tenant injury. You'll have access to higher liability limits for medical expenses or legal costs.

When to Buy Homeowners Insurance

The standard homeowners' insurance policy can apply dwelling coverage to the same property, provided that it serves as your primary residence. It typically covers the home's structure and personal liability, along with living expenses if you need to move temporarily due to inhabitability.

Unlike landlord insurance, it typically has vandalism coverage (intentional damage) and offers valuable protection for your personal belongings. These are why homeowners' policy provides appropriate coverage for owner-occupied homes.

When to Get Renters Insurance

As it says in the name, renters insurance can be acquired by your tenants as extra protection for their own belongings during natural disasters or break-ins. It can also provide liability protection when a guest gets injured within the rental unit.

Some landlords require renters' insurance as part of the lease agreement to reduce disputes between all parties involved.

Landlord Insurance FAQs

Is landlord insurance required for my rental property?

• No. However, you need landlord insurance to cover unexpected property damage, loss of rental income, and liability protection without having to dip into your income or cash reserves.

How can I find the right landlord insurance for my rental property investment?

• Consider important factors like the type of property, whether it's your primary residence, and which natural disasters are common in your location. Be sure to review what the landlord insurance covers, or hire an insurance agent to handle it for you.

What is not included in a landlord insurance policy?

• Many landlord insurance policies need additional coverage for perils like flooding or vandalism, so you can either find insurance policies that include them or pay for the additional coverage to protect your rental investment.

The Protection a Property Manager Can Provide

While insurance serves as a safety net, you still need to maintain your rental property and ensure operations are smooth. Property management companies like Precision Realty can help you with the year-round administrative and hands-on work.

Between expert management and an insurance policy that covers unexpected costs, your investment property can grow without much risk.

Secure your investment. Call us now!

More Resources:

• Benefits of Full-Service Property Management in Houston
• Why Houston is a Great City for Real Estate Investing

It does, however, come with certain disadvantages. Other than not being able to keep a close eye on your business, many aspects of property management become impossible when you’re not there in person to handle them. Luckily for you, there are a plethora of tools and resources you can use to help.

Key Highlights:

• Out-of-state landlords can successfully manage rental properties by leveraging the right tools, professionals, and systems to overcome the challenges of remote ownership.
• Hiring a reliable and trustworthy property manager helps ensure smooth operations, legal compliance, and proper handling of finances and tenant issues.
• Property management software streamlines rent collection, maintenance coordination, leasing, and communication, making remote management more efficient.
• Understanding local landlord-tenant laws and building a dependable vendor network reduces legal risks and ensures timely maintenance and repairs.
• Strong digital marketing, thorough tenant screening, flexible payment options, and clear communication channels help maintain occupancy, tenant satisfaction, and steady cash flow.

• A Trusted Property Manager

A trusted property manager is essential to keep operations running smoothly. They handle everything from marketing to evictions, ensuring your lease is enforced and your rental business remains legally compliant. With that said, trust is a huge part of this arrangement.

Not only do they need to have the expertise to handle property management, but you should also be able to trust them with the finances of your business. Before hiring a property manager, be sure to do your due diligence by researching your options. 

• Property Management Software

If you prefer handling your rental property operations personally, you can utilize assistive tools like property management software. Depending on the product, you can use features to both streamline operations and lighten your workload.

Research available software, both free and paid, and check the features that come with it. Preferably, it should be able to help you with rent collection, maintenance coordination, lease management, tenant communication, and marketing.

• Knowledge of Local Laws

Landlord-tenant laws vary by state and city, and property owners not living in the same location do not excuse legal violations. Be sure to research and take note of lease requirements, eviction rules, security deposit laws, and rent regulations in the area.

It helps you avoid legal mistakes, boost tenant satisfaction, and keep your rental business’s reputation intact. If you’re having trouble navigating the legal complexities of a rental business, it’s best to hire a legal professional to help you with them. 

• A Reliable Vendor Network

Having dependable contractors can go a long way in managing your rental property from out of state. Reliability means you can trust them to provide good service for maintenance, repairs, landscaping, and emergencies, even without in-person oversight. 

You can build your personal network by researching local vendors in the area through online reviews or referrals. If you intend to hire a property manager, you can ask whether their services include access to an established vendor network of their own. 

• Effective Marketing and Leasing Systems

Fortunately for many out-of-state landlords, marketing can be achieved through digital means. By posting on online listing sites and social media platforms, you can maximize the visibility of your property without much effort. 

Even the leasing process can be handled online. Some available tools and sites allow you and your applicant to provide e-signatures, streamlining the lease signing and renewal process for all parties involved. 

• Clear Communication Channels

By being away from your rental property, you will have to rely on other communication channels to manage everything remotely, including tenant concerns. For consistent communication, you must have reliable channels that other tenants can easily access.

You can open several channels to give your tenants options, such as social media platforms, email, phone calls, or tenant portals. Having more than one way of conveying messages and information prevents barriers to communication during downturns or a lack of access.

• Thorough Screening Process

Screening your applicants is crucial, whether you are an on-site landlord or not. However, it does serve a bigger advantage to out-of-state landlords, since handling tenant issues can be more difficult, as you cannot assess them in person.

Use comprehensive criteria, including credit score, employment verification, rental history, debt-to-income ratio, and previous landlord references, to determine whether an applicant would follow your lease rules or not.

• Payment Method Options

Having several payment methods can be additional work, since you have to check each one to ensure your tenant pays, but it can encourage tenants to pay on time. You can always use a property management software to organize payment transactions.

Some landlords allow tenants to pay rent through ACH transactions, cash apps, and tenant portals. As long as you can accommodate them, use the payment methods your tenants prefer. It can boost tenant satisfaction and help you stabilize your cash flow. 

Out-of-State Landlord FAQs

What is the biggest challenge of being an out-of-state landlord?

• The biggest challenge is managing the property remotely. This includes handling maintenance issues, tenant communication, and legal compliance without being physically present.

Do I need a property manager if I live out of state?

• While not legally required, hiring a local property manager is highly recommended. They handle day-to-day operations and provide local expertise.

How can I screen tenants if I don’t live nearby?

• You can use online tenant screening services to verify credit, income, rental history, and background checks. A property manager can also assist with this process.

How do I handle maintenance and repairs from another state?

• Build a network of reliable local vendors or rely on your property manager to coordinate repairs and emergency services on your behalf.

What tools help manage rental properties remotely?

• Property management software helps with rent collection, maintenance tracking, lease storage, accounting, and communication, all from one platform.

What Precision Realty Can Do For You

Hiring a property manager is not just a safety net. For out-of-state landlords, having someone trusted on-site can mean success and continued growth for their rental business. Precision Realty understands what you need, and we have the expertise and experience to back our service.

Don’t wait for matters to decline before asking for professional assistance. Call us, and we can discuss what expert property management can do for your business!

More Resources:

• Why Houston is a Great City for Real Estate Investing
• Benefits of Full-Service Property Management in Houston

Evicting tenants is something landlords typically try to avoid, but depending on the circumstances, it might be the best course of action for you as the property owner. Reasons for potential eviction can vary, ranging from rental developments to tenant misbehavior. The question is, what are the legal reasons you can evict a tenant?

A. Non-Payment

Failure to Pay Rent

Without payments, your rental income will suffer, so it's only fair not to tolerate this kind of behavior from tenants. Timely rent payments are part of the lease agreement they signed, which is a legally-binding contract. You first need to provide written notice to give the tenant a chance to settle the balance, and if they do not, you may begin the eviction process.

Consistent Late Payments

Even if the tenant does eventually pay, including late fees, continuous late payments can disrupt your cash flow, even if you have several rental units to source income from. For a more lenient approach, you can first issue a warning, stating that late payments will no longer be tolerated. Texas Property Code § 92.019 states that the late fee must not be more than 12% of the rent amount.

B. Lease Violation

Illegal Activities

Landlords can get pulled into a legal mess when tenants conduct illegal activities within the premises. It's important to act as quickly as you can and evict the tenant for criminal conduct or violent crimes. Even when suspected, you should meticulously document the criminal activities if you can, as it will help you during eviction proceedings.

Unauthorized Pets

You can opt for eviction when your tenant violates your no-pets or limited pets policy. Your policies are there for a reason, and your existing tenants rented your property, thinking that there are restrictive rules on pets. This can lead to allergies or distress for renters who are afraid of dogs or other pets.

Unpermitted Subletting

Your lease agreement should indicate that a tenant must first ask for the landlord's consent before they sublet the rental unit or bring in more occupants. Since you weren't the one who screened the additional tenant, you can't know if they will follow your lease rules or take care of your property.

Lack of Accessibility for Repairs

Landlords have the right to enter the rental property to conduct repairs, as long as they provide notice at least 24 hours before. If a tenant refuses to allow access within the indicated period, it is a violation of lease terms and can be cause for eviction.

C. Property Damage

Excessive or Intentional Property Damage

For damages beyond normal wear and tear, you can first deduct the costs for repair from the tenant's security deposit and provide an itemized list for the deductions should they end their lease. If there are no funds to cover the damages and they refuse to pay for it, it can be a valid reason to file an eviction lawsuit. This is why it's important to collect at least one month's rent for a security deposit amount.

Neglect Leading to Damage

Tenants also share the responsibility of maintaining the rental property. While you're advised to conduct routine inspections and address maintenance requests, you need to maintain cleanliness and hygiene. Failure to do so can lead to pests, mold, property deterioration, or harm to other tenants.

D. Community and Safety

Threats or Harm to Other Tenants

If one tenant threatens the safety and well-being of others, it's your responsibility to remove them from the premises. This can include violent behavior, threats, or activities that might impact the safety of your residents.

Excessive Noise

You can also file an eviction suit if the tenant is disrupting the peace of the rental property, especially if you have already provided proper notice to correct the error, along with clear communication informing them of the situation.

What You Can't Do

• You cannot evict a tenant based on race, color, religion, sex, national origin, family status, or disability. This violates the Fair Housing Act and can lead to bigger legal messes.
• Self-help evictions, such as changing locks or delaying necessary repairs, are against landlord-tenant laws. You are bound to the lease agreement just as much as they are, so you must follow the eviction process by law.
• Don't assume that all cities have the same eviction process. Check the local laws in your area to ensure a smooth eviction process, or consult experts like lawyers or property managers who are familiar with Texas law.

The Eviction Process

1. Providing proper notice. You can issue a proper notice based on the reason behind the eviction, such as Notice to Vacate, Notice to Comply or Quit, or an Unconditional Quit Notice. These must be delivered in person, by certified mail, or posted on the main entry door.
2. Filing the lawsuit. You can now file the eviction suit in the Justice Court in the precinct where your property is located. Prepare by gathering the required documents and court costs.
3. Serving the tenant. The citation will notify the tenant facing eviction about the scheduled eviction hearing.
4. Attending the hearing. The hearing can be scheduled 10 to 21 days after the petition is filed. Both parties can present evidence regarding the tenancy.

Evicting Tenants FAQs

What if the landlord prevails but the tenant refuses to leave?

• The landlord can request a Writ of Possession, which allows law enforcement to remove the tenant from the rental property.

Can I legally evict a tenant without an eviction order?

• Yes. You can choose not to renew their lease, although you have to send a non-renewal notice or a written notice to vacate. The notice period can depend on the lease type. For month-to-month leases, for instance, a 30-day notice is required.

How long do evictions take?

• That depends on the local laws, court orders, and notice periods. Legal actions like evictions typically take a few weeks to a few months before they are finalized, which is why landlords resort to alternative options, like cash for keys.

What are the most common reasons for evictions?

• Some of the common reasons for eviction include nonpayment of rent, property damage, and lease violations, like unauthorized pets and subletting.

Avoid the Stress of Evictions

A landlord may try to avoid eviction, but when it does happen, it can be one of the most stressful aspects of property management. You'll have to know your and your tenant's legal rights, and do everything by the book.

There's no need to handle it on your own. With Precision Realty, we will proceed with the eviction process while abiding by the necessary laws. Leave everything to us, and you can focus on more important matters.

Be a stress-free landlord, and contact us today!

More Resources:

• How to Handle Evictions: A Guide for Houston Landlords
• Benefits of Full-Service Property Management in Houston

Key Highlights:

• Regular power washing is an effective preventive maintenance measure that helps preserve your rental property's condition and value by removing dirt, buildup, and organic growth.
• Power washing requires proper equipment, cleaning solutions, and expertise, incorrect pressure or chemicals can cause paint damage, surface deterioration, or costly repairs.
• Different types of power washing, soft washing, pressure washing, and roof washing serve specific purposes and must be chosen based on the surface and material being cleaned.
• DIY power washing carries several risks, including peeled paint, property damage, landscape destruction, stripped sealants, and potential equipment misuse.
• Hiring knowledgeable professionals ensures safe, effective cleaning that protects your property’s exterior surfaces and extends the lifespan of key components like walls, roofs, and wooden structures.

What Do You Need for Power Washing

There’s quite a long list of things you need to achieve effective power washing. There’s the motor and pump that deliver the water, along with high-pressure hoses, spray guns, nozzles, and cleaning solutions for specific applications. For stubborn floor stains and gunk, you might even need an industrial floor scrubber.

Investing in the mentioned equipment can be practical in the long term, but you also need to account for the time it will take to execute these tasks and the expertise you need to ensure you’re doing it right. Too much pressure on your wall, for instance, can lead to peeling paint. Using the wrong cleaning solutions can also destroy your property, so you need to be careful.

What Are The Types of Power Washing?

Soft Washing

This method is perfect for cleaning the exteriors of your rental property, as it is both effective and safe. It can be done on hard surfaces like brick, stone, stucco, and hardboard, but it is still delicate enough for painted surfaces, glass windows, and screens.

This is the recommended solution for organic growths, like moss, mold, mildew, algae, and lichen. Depending on the height of your rental home, you might need additional attachments to reach every part of the exterior of your home.

Pressure Washing

This is typically done for tough floors that tend to retain gunk and stains, such as driveways, walkways, sidewalks, paver stones, curbs, parking lots, concrete pads, and more. Since most of these surfaces are rough or porous, dirt will be harder to remove. Elbow grease might not be enough to get the job done.

In many cases, an industrial floor scrubber will do the trick, as its bristles can reach the smallest holes and crevices. While cleaning solutions often soften dirt and grime, you need to be careful about which chemicals you use, as most can kill plants in your yard.

Roof Washing

Your roof is one of the areas of your home that’s most exposed to the elements. Since they are either slanted or horizontal, a build-up of debris is expected. The type of cleaning you need depends largely on the type of roof you have. 

Consult companies, like TKF Maintenance Solutions, that are knowledgeable about the roof cleaning process approved by the Asphalt Roof Manufacturers Association (ARMA), which will not only provide your roof with the needed cleaning, but also prolong its lifespan.

Risks of DIY Power Washing

Peeled Paint

Whether your paint is freshly applied or not, it can easily crack and peel with the right amount of pressure. While a fresh coat of paint may not be as expensive as other fixes, it can still be a tedious task. The inverse is not any better. Wash too lightly, and you would risk leaving dirt or organic growths behind, which can start to spread again.

Property Damage

Some materials, as you know, are more fragile than others. You need to do your research to learn how much pressure you can use to prevent something from breaking. You might not want to use the amount of force on the window that you would on a pavement. Using the wrong nozzle or settings can lead to costly mistakes or even harm to your tenants.

Landscape Destruction

As mentioned before, cleaning solutions are typically needed to clean most surfaces effectively, but these chemicals can be harmful to any living thing. Water mixed with a cleaning solution can kill your plants when it seeps into the soil. In some cases, the chemicals linger, keeping you from replanting in the affected areas.

Stripped Sealant

Most wooden structures in your home have a layer of sealant to preserve them, but if you wash them incorrectly, that could come off your decks, fences, outdoor furniture, and other wooden items. They can lose their stain, sealant, or paint, requiring you to refinish. This can be more costly and time-consuming, not to mention the potential permanent damage.

Equipment Misuse

Using the wrong nozzle, overpressuring, or neglecting to maintain the washer can lead to equipment failure or shorten its lifespan. It can be a waste of investment, and power washer equipment isn’t cheap. You can always prevent this by researching the product you bought.

Power Washing for Rental Property FAQs

How much does power washing equipment cost?

• Professional-grade and commercial-level power washers can range between $1,000 and $50,000, depending on the machine. It can be an expensive investment if you choose to conduct DIY pressure washing. 

Is it better to hire a professional power washer?

• In many cases, yes. You need the right equipment and expertise to avoid property damage, along with knowledge of cleaning practices and solutions. By hiring a professional pressure washer, you can save on upfront costs and time.

Which surfaces can be pressure-washed?

• Most surfaces are safe for power washing, as long as you know the pressure and cleaning liquids to use. Glass or painted walls are good examples of surfaces you can pressure wash, but require more care than bricks or concrete.

How often should I power wash my rental property?

• It ultimately depends on factors like climate, foot traffic, and your tenants. The rule of thumb is to do it at least once a year. This will help you maintain curb appeal and prevent the damage brought by grime, mold, mildew, and other organic growths. 

Ensure Maintenance All-Year Round with Professional Management

For your annual or bi-annual maintenance, always hire someone you can trust to do a job well done. Precision Realty has a trusted network of service providers to achieve that. With power washing and exterior cleaning, for example, we rely on TKF Maintenance Solutions to keep rentals under our watch, spotless.

While power washing can get rid of stubborn dirt build-up, regular maintenance keeps your property clean longer, delaying the need for extensive cleaning. Paired with routine inspections, you can be sure that your rental property will remain in good condition.

With Precision Realty, you can expect this kind of vigilance in property management. Your goal is to keep your rental business profitable, so that’s what we’ll achieve. Between marketing and maintenance, we will always keep our eye on the ball.

Want a more comprehensive outline of our property management service? Call us!

More Resources:

• Rental Property Quarterly Inspection Checklist: A Comprehensive Guide
• Key Benefits of Hiring a Tenant Placement Expert in Houston

If you’re thinking about purchasing real estate in the metro area, there are a couple of advantages you’ll be glad to know about.

Key Highlights:

• Metro properties offer consistent tenant demand due to proximity to jobs, amenities, and public transport, making them ideal for reducing vacancy risks and maintaining stable rental income.
• Rentals in city centers command premium prices and tend to appreciate faster, offering better long-term gains for investors compared to suburban or rural areas.
• Tenants benefit from reliable public transportation and nearby essential services, while landlords enjoy easier access to maintenance and property management vendors.
• Metro areas attract professionals, students, and couples seeking smaller units, allowing landlords to target various demographics and maintain steady occupancy.
• Despite strong advantages, metro rentals come with downsides like high property prices, greater competition, tenant turnover, faster wear and tear, and economic volatility.

• Consistent Tenant Demand

Metro areas are always bustling with people from all walks of life, seeing as it's where you find the base of operations for many industries. That’s exactly why demand is consistently high, and you’ll always find tenants who need a place to live in to be close to work or amenities. This is the safer option for those who want to avoid significant vacancy rates.

• Higher Rental Rates

Rental properties near or in the city centers often fetch a higher rent price, mostly because of the convenience. Proximity to major establishments is something tenants are willing to pay a higher rent price for, compared to suburban or rural areas. Of course, you still need to research comparable properties to ensure that you’re setting the right price.

• Reliable Public Transportation

Since it is a highly populated area, you can expect more public transportation options for your tenants, such as buses, trains, cabs, and other modes of travel. This increases tenant satisfaction and makes your property more desirable due to accessibility. The closer it is to transportation stations, the better.

• Diverse Tenant Pool

Assuming that you invest in a multi-unit rental property, which is often what real estate investors go for in metro areas, you will have a diverse tenant pool who are looking for smaller rental units instead of a single-family home, such as young professionals, students, or couples without children. You may need to tailor your amenities based on a specific target market, but most apply to tenants who are generally looking for a smaller space.

• Proximity to Services

Property management is a lot easier when there are several accessible amenities for whatever you need, such as repair services, cleaning services, and other vendors you need to maintain your rental property. It also contributes to quicker service since they’re nearby, which means your tenants won’t have to deal with issues for long.

• Quicker Property Appreciation

Since metropolitan areas generally continue to improve over time through new businesses and entertainment scenes, your property value will likely increase in a short period of time. In rural and suburban areas, developments are not guaranteed, and they may even be susceptible to declines in the neighborhood.

• Better Market Visibility

Many rental searches and online listing activities are pointed to metro properties, so you’ll have less trouble finding potential tenants for your rental. It reduces your marketing expenses as well, since it won’t take as long to find applicants. Vacancy will rarely be an issue, especially if your rental property stands out and is better than similar properties in the area.

What Are the Downsides to Investing in Metro Rental Properties?

• High Property Prices: Real estate in the city will cost more than other properties, simply because of where they are located. You will need a larger upfront capital, along with higher financing costs.
• More Competition: You won’t be the only person who thinks that a rental property in the metro area would be profitable, which means you’ll have to deal with competition. There are more than enough tenants to occupy most rentals, but you have to make sure yours is more appealing to attract tenants.
• Tenant Turnover: The tenant pool in cities often prioritizes career or lifestyle, with them being young professionals and students. Families who prefer single-family homes often set down roots, pointing to long-term tenancies. 
• Greater Wear and Tear: High occupancy rates and the pollution that often comes with populated areas may speed up the wear and tear of your property. Even frequent turnovers can leave your walls and floors scuffed or aged. 
• Market Volatility: Many of your target markets will mainly rent units in the metro area for jobs, and your occupancy may depend on the current economic conditions. Mass layoffs or increased prices may urge your tenants to find cheaper places to live elsewhere.
• More Expensive Insurance Premiums: With increased risks like theft, vandalism, natural disasters, and turnovers, your insurance costs will be pricier than the average. Seeing as insurance is necessary to protect your investment, this is a cost you shouldn’t opt out of.

Metro Area Rental Properties FAQs

Is it harder to buy property in metropolitan areas?

• Generally, yes. Metro properties have higher purchase prices and financing costs compared to suburban or rural areas, making them more capital-intensive.

Who are the typical tenants in metro rental properties?

• Most tenants are young professionals, students, and small families seeking affordable and convenient housing close to workplaces and public transit.

Are metro rental properties suitable for long-term investment?

• They can be. While purchase prices are higher, consistent demand, faster appreciation, and stable rent income make them valuable long-term assets.

What risks come with investing in metro rental properties?

• Key risks include market volatility, high property costs, strong competition, higher tenant turnover, and faster property wear and tear.

Do rental properties in the metro area appreciate faster in value?

• Typically, yes. Continuous development in metropolitan areas, such as new businesses, transport systems, and entertainment hubs, drives faster appreciation.

How can landlords stand out in competitive metro markets?

• Offering modern amenities, eco-friendly upgrades, flexible lease terms, and well-maintained units can help attract quality tenants.

Secure The Profitability of Your Investment

Once you purchase an investment property based on your research and business plan, the real work begins. Efficient property management is required for your rental property to thrive, and anything less may result in negative cash flow. Worse, you could even lose your property.

Everyone could benefit from a little help when they’re just starting, especially in business. If you feel as though managing a rental property, especially a multi-unit one, is a bit overwhelming, you can count on companies like Precision Realty.

With our resources and expertise, you will start getting returns on your investment in no time! Contact us and discover how we can help you.

More Resources:

• Is 2025 the Time to Invest in Houston Real Estate?
• Steps to Succeed as a Real Estate Investor in Houston, TX

Key Highlights:

• Houston tenants are entitled to proper living conditions, including functional utilities, pest-free spaces, and timely repairs as required by law.
• Landlords must provide working locks, smoke detectors, and cannot discriminate based on race, religion, sex, disability, or family status.
• Rent increases must follow lease terms and proper notice rules, while “self-help” evictions like lock changes or utility shutoffs are strictly illegal.
• Security deposits can only be deducted for damages beyond normal wear and tear, and landlords must provide an itemized list of any deductions.
• Tenants can document violations, notify landlords in writing, file complaints with authorities, or seek legal help if necessary.

Habitable Dwelling

Tenants have the right to live in a rental unit where conditions meet health and safety standards. That means no pest infestations, no molds, running water, comfortable temperatures, electricity, and more. If you find that there are damages or issues in your rental unit apart from normal wear and tear, Texas Property Code § 92.052 states you have the right to request repairs, and the landlord is obligated to do so.

Installed Security Devices

You shouldn’t have to worry about unauthorized entry in your own home, and landlords are legally obligated to ensure that your rental unit is only accessible to you and those you allow. That means security protections like locks, latches, and other measures are required. These must be maintained as well. If a lock breaks, the landlord must repair or replace it right away.

Functional Smoke Detectors

Your landlord must install a smoke detector in your rental unit, as it is required by both state and local law in Houston, Texas. There should be one per floor, including the basement, and outside each sleeping area. Texas Property Code § 92.253 also mandates landlords to maintain and test smoke detectors to ensure they’re working properly.

Non-Discrimination

Texas is bound by Fair Housing laws that prevent landlords from engaging in any discriminatory conduct. That means they cannot act against you based on race, color, national origin, religion, sex, disability, or family status. If you feel as though you are being treated differently because of those characteristics, such as a higher rent price or more frequent inspections, you may file a complaint with the U.S. Department of Housing and Urban Development (HUD).

Early Lease Termination

Note that you are allowed to end your tenancy prematurely under certain circumstances, such as military service, major property damage, family violence, sexual assault, or health reasons. For health reasons, you can even use Disability Rights Texas’ Early Lease Termination Request tool, which can assist you with drafting a letter requesting to end your lease early. 

Security Deposit Deductions

When it comes to property damage, the landlord can only deduct repair costs from the security deposit if it is excessive damage beyond normal wear and tear that you caused. When you move out, they may also use the security deposit to cover unpaid rent and any other outstanding bills. Whatever they charge, they are required to provide you with an itemized list of all deductions made.

Self-Help Evictions

Under no circumstances is your landlord allowed to evict you on their own without due process. That means they cannot change the locks or shut off utilities to push you out of the rental unit. They must follow the proper eviction procedures, starting by providing you with an eviction notice and indicating a valid reason for it.

Rent Increase

Your landlord cannot increase your rent amount during the duration of a fixed-term lease, or without a proper notice in a month-to-month lease. A 30-day notice is usually a reasonable amount of time. Due to the lack of rent control in Texas, your landlord may choose how much your rent is raised. Keep in mind that these do not apply if the lease agreement states that the landlord can raise rent anytime.

What Can I Do When The Landlord Violates Tenant Rights?

1. Document the violation. Keep records of everything that happens and everything you talk about through photos and videos. You can take screenshots of repair requests, emails, notices, and receipts. This will come in handy when you need to defend your case should the issue escalate. 

2. Communicate the issue with your landlord. Notify your landlord about the issue and give them a reasonable timeframe to resolve the violation. Put it in writing and include necessary details such as the violation, what you request the landlord do to correct the issue, and the deadline.

3. File a complaint if the landlord does not comply. If the landlord fails to make amends, you may file the complaint and send it to the proper authorities. For discrimination-related matters, for instance, you may send your complaint to the Fair Housing agency.

4. Seek legal advice or help. There’s a chance that when faced with a complaint, your landlord might opt to hire a lawyer to avoid further legal mishaps. You will be at a disadvantage even if you are well prepared, especially since legal professionals know their way around the laws.

How Can You Avoid Bad Landlords?

For one, you can inspect the property first before renting it. Don’t just look into the unit. Scan the surroundings as well. You can tell when a landlord actually cares about the rental property when it’s clean and everything is in good condition.

Another is by looking at the reviews. Angry tenants tend to voice their concerns about a rental, such as slow repair response, rude landlords, or negligent property managers. If there are no reviews, you can talk to the tenants. 

All in all, if you feel like the rental property doesn’t feel right for you, you can always try to look for other listings. A lease or rental agreement is not something you can easily get out of without a valid reason, so you have to be sure about the place you want to rent. 

Rentals with a Reliable Property Manager

If you’re tired of living in bad conditions or dealing with an unpleasant landlord, your best thing to do is to move to a rental unit where you’ll have peace of mind. Here at Precision Realty & Management, we have a variety of listings you can call your home.

Under our care, repairs would be fast, maintenance would be routinely conducted, and payments would be convenient. Our company aims to create a comfortable living situation for you by doing what we do best: Effective property management. 

Sounds enticing? Give us a call, and we can discuss further what you might need.

More Resources:

• The Role of Property Managers in Maintaining Tenant Satisfaction
• How to Keep Tenants Longer: Proven Rental Retention Strategies

Key Highlights:

• Regular quarterly inspections are essential for identifying and addressing small problems with the property’s foundation, roof, and plumbing before they escalate into major, expensive repairs.
• A primary goal of inspections is to ensure tenant safety by checking and maintaining critical features such as doors and window locks, working smoke and carbon monoxide detectors, and proper electrical wiring and appliances to prevent hazards like fires.
• The exterior of the property, including the paint, landscaping, and walkways, should be inspected to maintain its visual appeal and prevent wear and tear.
• The inspection checklist covers all interior areas, including walls, ceilings, floors, and water fixtures, to find and fix issues like cracks, peeling paint, or leaks that could lead to further damage.
• Crucial utility systems like plumbing, electrical, and HVAC should be checked to ensure they are functioning properly, which is vital for tenant comfort and a habitable living environment.

Exterior

☑ Foundation

Check your rental property’s foundation for cracks or shifting, especially when it is often exposed to elements like heavy rain. The smallest cracks can escalate into significant damage, so if you notice signs of weakness, it's crucial to call professional services immediately to correct the issue. 

☑ Roof

Look for leaks or missing shingles, as well as gutters for clogs and debris. Prioritize your roof when there are upcoming natural disasters like hurricanes, given that damaged or weak roofing can lead to leaks, which can cause massive water damage. 

☑ Paint

The exterior paint of your home is more susceptible to damage due to its exposure to the elements. With higher potential for discoloration and peeling, it’s important to check whether you need to reapply paint to maintain the curb appeal of your rental property.

☑ Landscape

Ensure that your yard is free from weeds, debris, dead spots, and pests. If you have shrubs and trees, trim them to achieve a neat look for your yard. You can always hire professionals to do this for you, especially if you don’t have much time for gardening or landscaping.

☑ Walkways

Walkways or pathways have the most foot traffic, so you’ll easily notice the difference between a worn path and a clean one. A power washer will usually do the trick. If not, you can let it soak first with a mix of water and detergent. Be careful with the grass, as chemicals can cause dead spots.

Interior

☑ Walls and Ceilings

As you would with the exterior, inspect your walls and ceilings for cracks, peeling paint, or water damage. When you find water damage, there’s a chance that you might also have mold growth and mildew.

☑ Floors

Floors are most prone to wear and tear, not just because of walking, but also because of moving furniture. Surfaces under carpets are often neglected as well, so you have to be thorough with your inspection. Check for scratch marks or minor damage, and have them fixed as soon as you can.

 â˜‘ Doors and Windows

Inspecting the locks and latches of your doors and windows is crucial, given that your tenant’s safety relies on it. If you find that some of the entry points aren’t secure, it should be your priority. With windows, check for cracks in the glass and have them replaced when you see damage.

☑ Lights and Outlets

Confirm that all light fixtures, switches, and outlets are working properly, as faulty wiring can lead to electrical fires. Some solutions are easy enough, such as replacing light bulbs, but if you discover problems with the wiring, it’s best to hire an electrician to fix it for you.

☑ Smoke and Carbon Monoxide Detectors

Test all detectors and replace batteries when needed. When damaged or broken, you are legally required to replace it with a working one. If your rental property has more than one story, then you must have one on each story.

☑ Appliances

Test the appliances in your rental units, especially the kitchen. Stoves, ovens, microwaves, and air fryers pose fire hazards when they don't work properly. You can either have them repaired or replace them when they become outdated.

☑ Water Fixtures

Whether it’s in the kitchen or the bathroom, leaky faucets become a larger problem when left unchecked and broken. It can increase your utility bills and cause water damage. Clogged fixtures, such as sinks and toilets, can lead to further damage, even burst pipes in worst cases. 

Utilities

☑ Plumbing

Leaky faucets and clogged fixtures are one thing, but a poorly maintained plumbing system can cause all sorts of problems for all water fixtures. Having poor water pressure to no running water at all can reduce tenant satisfaction, not to mention that you are legally required to provide running water to create a habitable living environment. Check for leaks, rust, and water stains on walls and ceilings.

☑ Electrical

Your electrical system allows everything in the rental unit to run smoothly, including essential appliances and lighting. It’s not just failing to provide power to your tenant, but a faulty electrical system opens you and your tenants to risks like electrical fires and broken appliances. Wiring, however, can be complex and is best left to professionals to inspect.

☑ HVAC

Your heating and cooling system keeps your tenants comfortable. Neglecting your HVAC system can even cause health issues, such as failing to replace air filters. When you do, take note of the date that you changed them. The recommended frequency of changing HVAC filters can range from every one to three months. 

Conduct Regular Inspections with Ease

There are no shortcuts to quarterly inspections since they are meticulous work. However, that doesn’t mean you have to bear the responsibility yourself. Just like your option to hire professionals to tend to complicated problems like electrical wiring, you can also hire someone to oversee regular inspections.

With the help of Precision Realty, a property manager can handle quarterly inspections, as well as the repairs and maintenance that it calls for. With our network of vendors, you can expect reliable and faster fixes to put your investment property in the best condition. 

There’s no need to handle all of the property management responsibilities on your own. Contact us today, and effectively reduce the stress of being a property owner!

More Resources:

• Houston Rental Property Inspections - Types, Rules, and How Often
• Benefits of Full-Service Property Management in Houston

Of course, you need to consider crucial factors to ensure that you are making the right decision, and that’s exactly what we are here to help with.

Key Highlights:

• Houston’s housing market in 2025 favors buyers, with a 31.8% rise in active listings and stable median home prices ($346,651), making it more affordable than the national median and attractive for new investors.
• The city's economy is strong and diverse, driven by industries like energy, healthcare, and technology, which fuel population growth and create a steady stream of potential tenants.
• Rental demand continues to rise, especially among young professionals and families moving to Houston, allowing landlords to set competitive rates and enjoy consistent rental income.
• Investors should remain aware of risks, including the city’s flood-prone areas and the potential for market oversaturation due to high investor activity, which could increase competition for tenants.

1. Local Market Conditions

The housing market in Houston, TX has seen a surge in 2025, with more real estate listings in the market. Specifically, active listings rose to 31.8% compared to last year, which means you’ll have more options from the growing inventory. 

Prices show that it is currently a buyer’s market, making now the prime opportunity for you to invest in real estate. Of course, other investors are well aware of the current market conditions, so you can expect competition.

2. Affordability

The average home price has grown in recent years, although experts believe that it’s the median home price that matters. In fact, the median price remains steady currently at $346,651, which indicates that the Houston housing market remains relatively balanced.

By comparison, the median home price in the US is currently $440,910, which means that Houston real estate prices remain affordable compared to other up-and-coming cities that show massive potential.

3. Economic Strength

Houston’s economy is better than ever, with a diverse list of thriving industries. Sectors like energy, healthcare, aerospace, technology, and logistics continue to grow, creating more jobs that pull potential renters into the city. 

According to Census data, Houston’s population has grown by 1.08% since the last census. With the average household income of $101,848, it’s easier to find potential tenants who are willing to rent quality rental properties.

4. Rental Demand

With more job opportunities emerging, young professionals and families are moving to Houston, ready to find rental properties to rent. The strong rental demand brought by population influx in the city makes it perfect for real estate investors buy properties now. 

It’s also worth noting that the demand has also led to increases in rental prices, but it is still lower than the national average. With the right research into the rental market, you can set competitive prices and gain an edge against similar properties in the area.

5. Risks

Like every business under the sun, there are certain risks you have to acknowledge to make an informed decision. For instance, Houston is known to be a flood-prone city due to its location and terrain. Between heavy rainfall and its proximity to the coastline, you might experience flood damage during storm surges.

Since the current conditions are great for investors, you could soon see an oversaturation in rental properties. With more competitors on the market, fewer potential tenants will choose to rent your property.

Conclusion: Should You Invest In a Houston Rental Property?

Most signs point to now being a good time to invest in real estate. While there are certain possibilities like oversaturation of rental properties in the housing market, affordability, economic conditions, and rental demand are in favor of real estate investors. 

It’s still wise to do your due diligence before investing, given that external factors are not the only crucial considerations. You have to think about financing options and property management as well to ensure that your rental business is a real possibility.

Financing Options

• Conventional Loans: These are traditional loans from banks or credit unions, and typically require you to have a good credit score and steady income to apply.
• FHA Loans: These are government-backed loans that come with low down payments and are more lenient with credit scores. However, the rental property must also be your primary residence.
• Hard Money Loans: Private lenders can finance your investment, provided it has a strong potential return on investment. But, investors usually opt for this as a last resort due to the short-term payment plan and high interest rates.
• Home Equity Loans and HELOCs: You can leverage the equity of your primary residence to finance an investment property. While home equity loans provide you with a lump sum, HELOCs are evolving credit lines with variable interest rates.

Property Management Responsibilities

Acquiring real estate is only the first step in a rental business. Property management is a constant need to keep your property profitable, and that’s assuming that you tackle your tasks efficiently and effectively.

1. Marketing keeps your property listings on the radar of potential renters. With the right marketing plan, your property listing’s visibility will help you find tenants faster.
2. Tenant screening comes next once you find applicants, and this keeps you from renting to tenants who may not pay rent on time or violate your lease rules.
3. Rent collection is not as straightforward as it sounds. Sometimes, landlords or property managers need to issue late fees, establish payment channels, or allow grace periods. 
4. Maintenance is what keeps your property in good condition, maintaining its value. This can be achieved through regular inspections and addressing maintenance issues.
5. Accounting is crucial since financial statements show you how well your rental business is doing, as well as determine whether you need to make changes to improve your cash flow.
6. Evictions are arguably the most stressful aspect of a rental business. Not only are you required to know and comply with eviction laws, but some cases can last for months.

Hiring a Professional For What Comes After

You don’t have to shoulder everything in your investment journey from start to finish. There are plenty of professionals in the industry who can make this easier for you, and could even be more effective in their roles.

Precision Realty has a team of experts who can help your rental business maximize its potential, as well as help you be a stress-free landlord. You can earn passive income as soon as operations begin, as we handle your business for you.

Contact us today, and we can discuss how professional property management can be beneficial for you!

More Resources:

• Why Houston is a Great City for Real Estate Investing
• Benefits of Full-Service Property Management in Houston

However, there are Texas security deposit laws that you need to learn about, regarding several aspects, such as the amount, what you can deduct from it, when it needs to be returned, and so on. 

Ignoring these rules can lead to legal action against you, as well as damage to your rental business's reputation. Read ahead to learn about Texas law regarding security deposits.

Key Takeaways

• Texas doesn't set a limit on security deposits, but charging more than one or two months’ rent (depending on furnishings) may deter potential renters.
• Only specific costs—such as unpaid rent, damage beyond normal wear and tear, or cleaning fees—can be deducted. Landlords must give tenants an itemized list of deductions along with evidence, like invoices or payment records.
• After lease termination, landlords have 30 days to return the remaining deposit. Failure to do so can lead to penalties of up to three times the withheld amount, plus legal fees.
• Although Texas doesn't require security deposits to be kept in a separate account, it’s recommended to avoid mixing personal and deposit funds to prevent legal complications.

Security Deposit Amount

There is no limit to how much you can charge for a tenant's security deposit, but that doesn't mean you should exceed a reasonable amount. Landlords usually charge one month's rent for unfurnished properties and two months' rent for furnished units. Anything larger than that may deter tenants from renting your property.

Where You Should Store It

A Texas landlord may store the security deposit funds in any account, but there are no limits to how much they can deposit. It’s recommended for the landlord's personal funds to be in a separate bank account, given that you will be legally liable should you accidentally use the money for personal matters.

You don't need to disclose where the security deposit funds are stored, as per Texas Property Code 92.103, and it is safer to keep this information private. If you have several tenants, you'll have a large amount on your hands. The fewer people who know about it, the safer it will be.

Allowable Deductions

Texas security deposit laws only allow particular deductions you can make. Using the security deposit for anything other than the allowable deductions can lead to lawsuits. You can deduct the following:

• Unpaid rent
• Excessive property damages (beyond normal wear and tear)
• Unpaid utility bills
• Cleaning fees
• Other costs specified in the lease or rental agreement

Although the security deposit serves as a safety net for tenants who fail to pay rent, it cannot be used to cover last month's rent, as per Texas Property Code Section 92.108. If the allowable security deposit deductions are too complex for you, it's best to consult with a professional for legal advice on Texas laws surrounding security deposits.

Before You Make Security Deposit Deductions

There is a proper procedure to follow before using the tenant's security deposit to cover damages. For starters, you should issue the tenant a written notice before making any charges. If an amount is withheld for damages beyond normal wear and tear, you need to provide an itemized list of all the expenses.

For broken windows, for instance, you must include the costs of the replacement materials and the services used to install the new window. This advance notice is both a courtesy and a legal obligation. Even when the tenant owes rent, you must provide records showing their payment history.

Returning Security Deposits

Texas landlords usually return the remaining deposit once the tenant surrenders the rental unit. Security deposit laws state that the full or partial amount must be returned within 30 days after the lease agreement is terminated.

You can either give the security deposit in person, send it to the tenant's forwarding address, or deliver it via postmarked United States mail. If the landlord fails to return the tenant's deposit within the specified timeframe, they are liable to pay $100, three times the portion of the deposit wrongfully withheld, and reasonable attorney's fees. The legal action will be settled in small claims court.

Security Deposit FAQs

When can Texas landlords collect security deposits?

• You can collect security deposits as soon as the tenant signs the lease agreement. Even without a security deposit limit, you still need to outline how much you will charge.

How much should I charge for a Texas security deposit?

• It's usually the same amount as the monthly rent, or twice as much if the rental property is furnished. Since there are no security deposit limits, you are still free to set an amount without worrying about Texas rental laws.

What counts as normal wear and tear?

• Normal wear and tear is the expected deterioration of the rental unit, such as faded paint, scratches on the floor from moving furniture, worn-out carpet, and loose doorknobs.

Are landlords required to provide written notice before making security deposit deductions?

• Yes. You are required to provide proper notice, along with an itemized list, after the deductions have been made.

Should I use a separate bank account for security deposits?

• While it's not required for security deposits in Texas, managing security deposits will be easier if you store it in a separate account.

Can I deduct the attorney fees from the security deposit?

• No, you can't, unless specifically stated on the lease agreement. This goes for yours and your tenant's legal costs.

How Expert Property Management Can Reduce Your Stress

The laws concerning security deposits could already be overwhelming, especially for new landlords. There are many more considerations to take into account if you aim to have a legally compliant rental business.

Many landlords opt to hire property management companies like Precision Realty, as we already possess the necessary knowledge to comply with the rules. Not only that, we know how to maximize your rental income through efficient operations.

Let us help you reach your investment goals. Contact us now to learn more about the services we offer.

More Resources:

• Benefits of Full-Service Property Management in Houston
• The Best Tips on How to Collect Unpaid Rent After a Tenant Moves Out

Does a Landlord Need a Real Estate License in Texas?

Texas law allows property owners to rent out their property without a real estate license. Landlords need to keep in mind that there are still real estate permits and registrations to obtain, or are encouraged to acquire, to rent their property out legally.

Rental Property Registration

No ordinance covers the entire state of Texas. Some cities do have registration requirements, such as Dallas, where landlords need to register their rental property each year with the city. Consult professionals with local expertise, like real estate brokers, to be sure.

Sales and Use Tax Permit

If you are a property owner renting or leasing property in Texas, you are required to obtain a Texas sales and use tax permit. This applies to individuals, partnerships, corporations, or other business entities operating in Texas.

Health and Safety Inspection

Since landlord-tenant law states that rental properties must be habitable, property owners are expected to comply with the health and safety standards that have been set. That means that the electrical, plumbing, and HVAC systems should be in working order, and the structural integrity is sound.

Does a Property Manager Need a Real Estate License in Texas?

The short is yes. Texas property managers are required to acquire a real estate broker license to practice their trade if their duties include showing or leasing the property for the owner for which the manager gets paid, as per the Texas Real Estate Commission.

To be accredited for a real estate broker license, you need to pass the broker's exam, as well as show proven experience in the field as a licensed sales agent with 10 to 100 hours of broker training courses.

Among the exceptions to this requirement of a broker's license are community association managers and condo association managers.

What You Need to Be a Certified Property Manager

A real estate broker license status won't be enough to attract clients who need professional property management. There are property management certifications you can get to gain an edge and become a master property manager in Texas.

Here are organizations that provide courses and licenses for property managers:

• Institute of Real Estate Management (IREM)
• National Apartment Association (NAA)
• National Association of Residential Property Managers (NARPM)
• National Association of Realtors (NAR)
• National Apartment Leasing Professional (NALP)

What You Need to Be a Licensed Property Manager

Certifications are different from a license, and if you want to be among the top Texas property managers, you will need a Texas real estate license. By being a licensed property manager, the Texas Real Estate Commission (TREC) will allow you to lease and rent out properties on behalf of a property owner or landlord.

You can choose to work under the supervision of a licensed real estate broker or a property management firm, but you can also pave your own way as a property manager in Texas. If you have a license, you can also be a real estate sales agent and generate extra income.

To qualify, you must fulfill the following licensing requirements:

• Being 18 years old or older
• Being a US citizen or a lawfully admitted alien
• Meet TREC's qualifications for honesty, trustworthiness, and integrity
• Complete 180 hours of approved Pre-Licensing education.
• Pass the course final exams
• Complete the license application
• Provide necessary information and fingerprints
• Pass the Texas Real Estate Salesperson License Exam
• Select a sponsoring broker

What You Need to Start a Property Management Business

When you reach a certain point in your property management career, starting your own property management company might be the next big step. Texas can be particular about the requirements to start a property management company, such as:

• Being 18 years old or older
• Being a US citizen or a lawfully admitted alien
• 270 classroom hours of core real estate classes
• An additional 630 hours in related courses acceptable to the Commission, such as a bachelor's degree
• Qualifying experience per Commission guidelines and have at least four years of experience in Texas as a licensed real estate salesperson or broker
• Payment of the $375.50 application fee
• A recovery Trust Account fee of $10
• Fingerprint submission and background check

If you intend to head your own property management company, you will need a Texas real estate broker license.

Note: Lease renewal is prohibited by property management laws if the licensee has defaulted on a student loan guaranteed by the Texas Guaranteed Loan Corporation.

Texas Real Estate License FAQs

How long does it take to acquire a property management license in Texas?

• Qualifying as a real estate manager typically takes around four to six months. Initially, you must complete a real estate education course and pass the required exams to become a licensed professional.

What is the average salary of a property manager?

• That can depend on whether you work under a property management company or not, but a licensed property manager can earn up to $100,000 a year.

When do I need licensing requirements?

• When you intend to start a property management company, conduct real estate transactions, or generally enter the real estate industry. While it's not required in some cases, many property managers opt to get certified or licensed to gain an edge in the property management field.

Go For the Easier Route with Precision Realty

You can enter the real estate industry without having to go through all the steps to become a property manager. At Precision Realty and Management, you can easily earn by being a referring agent. We have designed an Agent Referral program to give the same level of care and attention that you would give to your clients.

If you want to learn for the sake of efficient property management, you can hire us for a full property management service. With experience and expertise under our belt, your rental property would be cared for as we handle maintenance requests, rent collection, managing tenants, and other crucial property management responsibilities.

We would love to tell you all about how we can benefit each other. Give us a call, and you can determine whether we are the right company for your real estate goals.

More Resources:

• Benefits of Full-Service Property Management in Houston
• What Are the Pros and Cons of Living in Houston, Texas?

1. Start Strong with a Seamless Move-In Experience

Tenant retention begins before move-in day. Ensuring the property is spotless, functional, and professionally presented creates a positive first impression. Any promised repairs or upgrades should be completed ahead of time to establish credibility and trust.

Checklist for Move-In Success

• Deep-clean the property
• Test and repair appliances, HVAC, plumbing, and lighting
• Complete all promised renovations or fixes
• Provide a welcome packet with key information

2. Prioritize Proactive Maintenance and Responsiveness

Regular maintenance and timely repairs go a long way toward tenant satisfaction. Proactively addressing issues and scheduling upkeep shows tenants their comfort matters and encourages long-term loyalty.

Maintenance Best Practices

• Offer an easy-to-use portal or communication method for maintenance requests
• Schedule seasonal inspections (e.g., HVAC, gutters, etc.)
• Invest in small upgrades that enhance livability

3. Set Fair and Competitive Rent Prices

Overcharging can drive tenants to seek more affordable options, while undercharging may leave money on the table. Research local rental rates and adjust annually to ensure tenants feel they’re getting value without being exploited.

Tips for Pricing Rent Effectively

• Use rental market analysis tools to compare rates
• Factor in property improvements and inflation
• Offer incentives for lease renewals (e.g., minor upgrades or discounts)

4. Build Strong Landlord-Tenant Relationships

Respectful, professional communication builds trust. Being responsive to inquiries and giving proper notice before visits reinforces the feeling of home and ensures tenants feel respected, not monitored.

Communication Do’s and Don’ts

• DO respond to tenant concerns quickly
• DO communicate clearly about property updates
• DON’T invade privacy without notice
• DON’T ignore recurring complaints

5. Focus on Tenant Satisfaction and Lease Renewals

When tenants are happy, they’re more likely to renew. Investing in comfort, offering occasional gestures of appreciation, and being easy to work with can foster loyalty and advocacy.

Retention Strategies That Work

• Send thank-you notes or small gifts during the holidays
• Offer flexible renewal options
• Provide excellent customer service during their entire lease term

Conclusion: Make Tenant Retention a Core Strategy

Successful property investors know that keeping good tenants is just as important as acquiring properties. By focusing on proactive maintenance, fair pricing, respectful communication, and tenant satisfaction, landlords can reduce turnover, avoid costly vacancies, and increase their ROI.

FAQs

1. How can I improve tenant retention quickly?

Start with proactive maintenance, ensure fair rent pricing, and improve your communication habits with tenants immediately.

2. What is the average cost of tenant turnover?

Turnover costs can range from $1,000 to $5,000 depending on repairs, lost rent, marketing, and administrative expenses.

3. Is offering lower rent a good way to retain tenants?

It can help in competitive markets, but balance it with profitability. Fair pricing with added value is often more effective.

4. How often should I raise rent?

Annual rent reviews are standard, but increases should align with market trends and improvements made to the property.

5. What kind of upgrades do tenants appreciate most?

Popular upgrades include energy-efficient appliances, smart thermostats, fresh paint, updated flooring, and better lighting.

How can property owners achieve that? This article covers the move-out inspection process and the tenant move-out checklist, helping you ensure that you don't miss a step.

1. Preparing for the Move-Out

The move-out process requires a hands-on approach from the landlord, and preparing in advance allows you to avoid errors.

Start by reviewing the lease agreement and scheduling the move-out inspection in advance. Then, provide proper notice indicating when the inspection will occur and the tenant's move-out date.

To let your tenant know what their responsibilities are, you can provide a tenant move-out checklist outlining what they need to address before they leave, such as payment for property damages, the security deposit return or deductions, settling utility bills, and more.

2. Conducting the Move-Out Inspection

The move-out inspection process is a critical step in which landlords thoroughly review the rental property, including rooms, exterior areas, and common spaces.

It's advisable to use a move-out checklist to document the condition of the property and identify potential damages. This will help you determine potential charges you can deduct from the tenant's security deposit for repair costs or replacements.

Do remember that during the inspection, the tenant must be present, and you must remain fair and impartial in the process.

Move-Out Checklist Sample:

Your move-out checklist should be customized to your rental property. If your property has unique amenities, such as in-unit laundry or a fireplace, you should also include them in the tenant move-out checklist.

Ordinary Wear and Tear vs. Property Damage

Understanding the line between normal wear and tenant-caused damage prevents potential disputes with your tenants. This is especially important since these costs could be deducted from the security deposit when they exceed normal wear and tear.

Ordinary wear and tear are typically damages brought by regular use. Signs of rental home deterioration include faded paint, worn flooring, and minor scuffs. What can be classified as tenant-caused damage is broken tiles, shattered windows, vandalism, and other significant damages.

Security Deposit Deductions

To avoid security deposit disputes, you must only deduct costs following the lease agreement and local laws. That means you can only charge for tenant-caused damage and unpaid rent. If there are no deductions to be made, return the full security deposit to the tenant.

If there are deductions to be made, make sure the tenant receives an itemized statement of all the deductions and return what's left of the deposit. For extra measure, you can also provide a copy of the move-out inspection form for comparison of findings and deductions.

3. Ensuring Everything is Cleaned and Working Properly

After the inspection, the tenant may have certain obligations to fulfill, such as repairing damage caused or replacing items like light fixtures or furnishings in the rental unit. This helps ensure that the rental property will be in tip-top shape for the next tenant.

Once repairs are made and everything is in working order, the tenant can vacate the premises and leave the keys to the rental unit. You can then start doing the needed work on the premises to prepare it for the next tenant.

To make things easier for you, you can create a separate move-out checklist exclusively for normal wear and tear. This way, you can make improvements for new tenants.

Tenant Move-Out FAQs

Can I skip the move-out checklist?

• You should not. It is a form landlords use to stay organized. When you discover damages after the tenant leaves, you might have to pay for repairs with your own money.

What should be included in the itemized list for the security deposit?

• It should state the date it was given, the tenant's name, the address of the rental unit, the deposit amount received, a list of damage caused, the amount deducted, cleaning expenses, the amount to be returned, and the signatures of both parties.

When should I give the security deposit back to my tenant?

• It should be returned within 30 days after their tenancy ends.

What do I do with the personal property that tenants leave behind?

• Notify the tenant about their belongings and the intention to dispose of them within a given timeframe. You can even add this step to your move-out checklist to avoid facing this problem after the tenant moves out.

What do I do when a dispute arises?

• You can discuss terms with your tenants and explain the costs they are responsible for based on the lease agreement. To prevent such issues, you can provide a copy of the move-out checklist and help the tenant understand why they are responsible for the listed costs, so you're on the same page.

What should I do when the tenant refuses to pay for damages?

• You can try to clearly communicate why they need to pay for the damages listed on the move-out checklist. If they still refuse, you can pursue legal action to compel them to comply.

When should I give the notice for inspections?

• You typically need to provide the notice 24 hours prior to the scheduled inspection. It would also be wise to include a move-out checklist before inspection to give them time to correct any issues.

Are move-out checklists similar to move-in checklists?

• Yes, in many ways. However, a move-out checklist does not include ordinary wear and tear, which you may choose to fix before another tenant moves in.

Hiring a Property Manager to Handle the Move-Out Process

Professional property management services can provide a more seamless transition for both landlords and tenants in the move-out process. At Precision Realty, we have our own move-out checklist to assess the condition of the property.

We understand that you might not be able to focus on other aspects of property management during this busy time. The best part is that we can help you with that as well!

Our company can help ensure your rental business runs smoothly by fulfilling landlord duties such as drafting leases, screening tenants, collecting rent payments, maintaining the property, and more.

Let us help you with your investment journey. Contact us now to learn more about the service we provide.

More Resources:

• A Houston Landlord's Guide to Security Deposits
• Benefits of Full-Service Property Management in Houston

Even the smallest misstep can lead to landlord nightmares, such as loss of rent and legal issues. Many landlords entrust tenant placement with experienced professionals to avoid or mitigate risks and take a time-consuming task off their plates.

Precision Realty offers tenant placement services that can boost management efficiency, and this article outlines how you can benefit from hiring experts to find reliable tenants.

1. Effective Marketing

The challenges of property management begin with making certain that your rental property listing reaches your target market. Tenant placement services use online and traditional advertising methods to reach a wider audience and maximize your rental income. Professionals can provide you with:

1. Rental Market Analysis: To find the best rent price based on competitive rental price analysis and to appeal to potential tenants
2. Professional Photos: Most tenant placement services include taking professional photos of your rental property to make it attractive to applicants
3. Online Advertising: With the emergence of digital convenience, more tenants prefer looking for rentals online, and tenant placement services can expand your online exposure by posting your listing to hundreds of websites

2. In-Depth Tenant Screening

Property management companies that offer tenant placement services do comprehensive background checks to vet potential tenants. This ensures that qualified tenants are placed in your property, making rental management easier for property owners. Precision Realty, for instance, uses tenant screening criteria to find high-quality tenants, such as:

• Credit Checks
• Rental History
• Employment Verification
• Criminal History
• Debt-to-Income Ratios
• Previous Landlord Calls

3. Taking Over Property Showings

Finding suitable tenants can be tedious, especially if you have to host open houses. Whether you have to do showings for multiple properties or just one, hiring tenant placement services can save you a lot of time in the tenant placement process.

Property managers can also provide insights into how to improve the property's appeal to prospective tenants.

4. Expert Lease Agreement Preparation

The leasing process requires a level of expertise and attentiveness to ensure legal compliance with local rental laws and regulations. Tenant management services possess the legal knowledge to prevent lease errors or omissions.

Employing a tenant placement company would also allow you to provide custom lease agreements, which can ultimately benefit tenant relations and compliance by placing lease terms that are agreeable to all parties.

Property Management vs Tenant Placement Services

Tenant Placement Services

Property owners can only get tenant placement services instead of full-service rental management. Of course, the service is limited and landlords will have to handle most of the management responsibilities. Depending on the tenant placement services offered, aspects that are covered are:

• Rental Property Marketing
• Lease Agreement Generation
• Rental Price Analysis
• Professional Real Estate Photography
• Property Inspections
• Handling the Move-In Process

It's a good standalone service if you aim to reduce vacancy periods and tenant turnovers, but tenant placement services can only do so much. Property owners often opt for full-service management to have a stress-free rental business.

Property Management Services

Professional property management is a blanket service that already includes tenant placement services. Property owners choose to hire a full-service management to maximize the potential of their rental property.

Marketing vacancies and finding tenants are only part of the job, and hiring professionals to manage your rental business is recommended, especially if you're a first-time landlord. Property managers take care of responsibilities like:

• Marketing and Advertising
• Resident Screening
• Rent Collection
• Maintenance and Repairs
• Property Inspections
• Accounting
• Evictions

Unlike tenant placement services, property owners can enjoy a completely hands-off business and earn passive income by letting an experienced team handle everything. In some cases, landlords can even save money by skipping costly learning curves as experts take the helm.

Tenant Placement Service FAQs

How does a tenant placement service market my rental property?

They post on online listing websites, social media, and their own websites. With knowledge of the local rental market, they can ensure that the listing reaches the target audience.

How much do tenant placement services cost?

The costs will depend on the price structure of the company or professional you hire. Most charge a fee that's equal to one month's rent, but others also take a percentage of the annual lease.

What happens if tenants default or break the lease?

Most tenant placement services limit their assistance to marketing your property and leasing potential renters, but some offer tenant replacement protection, where they find you a new tenant at no cost if eviction happens.

How long does finding tenants take with professional services?

While a tenant placement service can streamline the rental process, other factors to consider include rental demand in the area and the type of property you have.

Can property owners choose who to rent to?

Yes. Ultimately, the landlord makes the decision. When you do, remember about Fair Housing laws. You cannot deny tenancy based on race, religion, sex, national origin, familial status, or disability.

Hiring a Reliable Property Management Company

Whether you opt for tenant placement services or full-service management, it's important to hire the right company. 

Precision Realty extensively covers property management needs, such as marketing your rental, reducing vacancy periods, ensuring tenants pay rent, conducting regular maintenance, enforcing rental agreement rules, resolving rental issues, and more.

We take care of our clients by maximizing their rental income and keeping them stress-free. Without having to worry about managing your rental property, you can focus on other lucrative ventures and expand your real estate portfolio.

You can reach out to us and learn more about our services. Take the first step to being a hands-free landlord today!

More Resources:

• What Houston Landlords Can Do to Reduce Vacancy Rates Effectively
• Ways to Boost Rental Efficiency and Earn More With Property Management Services in Houston, TX

Advantages of Furnished Rentals

Higher Rental Income

A furnished rental property can demand a higher rent price because of the convenience that comes with it. You can charge 10-20% more than an unfurnished rental, depending on furnishing costs, repairs, and depreciation.

Attracting Specific Tenants

Certain tenant groups like students or traveling business professionals might not have their own furniture, which means they will automatically dismiss unfurnished properties. Identify your target market and determine whether furnished or unfurnished rentals are more profitable.

Simpler Move-In Process

Furnished units, especially fully furnished rentals will have no need for moving in furniture and appliances, which makes for a quicker move-in process. Furnished rentals provide landlords more time to focus on other matters instead of assisting with the additional move-in process.

Less Wear and Tear

Moving furniture comes with the risk of potential damage to the floors and walls of your rental property. Moving around large objects like couches and refrigerators can scuff the floors, and moving cabinets as well as wall decorations can lead to damages on the wall. This wear and tear falls under the landlord's responsibility for repairs.

Higher Security Deposit

Furnished long-term rentals tend to require higher security deposits to cover damages to the furniture and appliances provided. This deposit helps cover repair and replacement costs, offering financial security.

Disadvantages of Furnished Rentals

Higher Initial Investment

A furnished rental, even a semi-furnished apartment with basic furniture and appliances will require a larger initial investment to complete. While a fully furnished property can benefit your rental income in the long run, leaving a property unfurnished can still be profitable if you market it to the right audience.

No Room for Tenant Belongings

Long-term tenants tend to have their personal belongings and might prefer to use them as opposed to paying higher rent for furnished properties. Even if they do agree to use your furnishings instead, they might need a storage unit for keeping their own belongings. This is more common among prospective tenants looking for single-family homes.

Increased Maintenance Costs

There can be a significant difference in maintenance costs between furnished and unfurnished rentals since you'll have more to tend to. The upkeep of the rental property itself is already a handful, much more if you add furniture and appliances to the list. With unfurnished rental properties, tenants will have to cover costs for their own furnishings.

Complex Insurance

When property owners furnish rentals themselves, landlord insurance could be sufficient to cover costs for property damage. Depending on the policy, the coverage can extend to furnishings as well. Unfurnished property might require your tenants to purchase renters insurance to protect their belongings.

Higher Tenant Turnover Costs

Furnished rentals can attract long-term tenants, but they also increase turnover costs. However, a furnished apartment could also leave more for you to clean up than unfurnished units during turnovers. Cleaning costs will be higher since there are more items to tend to.

Furnished vs Semi-Furnished Properties

Having a property furnished doesn't mean you have to provide everything a tenant could possibly need. While a short-term rental might need more since short-term renters aren't expected to bring their own furniture and appliances, long-term rentals can be more flexible.

Fully furnished apartments are essential for properties with frequent tenant turnover. That means you'll need to get the unit ready for immediate occupancy. Of course, many landlords with long-term rentals still offer this option. It often includes:

• Living Room Amenities (Sofa, Chairs, Coffee Table, Lamps, Entertainment Center)
• Bedroom Amenities (Bedframe, Mattress, Dressers, Nightstands, Lamps)
• Kitchen Amenities (Refrigerator, Oven, Microwave Dishwasher, Toaster, Coffee Maker, Cookware, Dishes, Utensils, and more)
• Dining Area Amenities (Dining Room Table, Chairs)
• Reusable Amenities (Linens, Towels)

Semi-furnished rentals tend to only have the basic sets that a rental home needs. This leaves more room within the living space, but the tenants won't have to start with nothing as they would with unfurnished apartments. It can include:

• Major Appliances (Refrigerator, Oven, Dishwasher, In-Unit Laundry)
• Bedroom Amenities (Bed Frame, Dresser)
• Dining Area Amenities (Dining Table, Chairs)

Is a Furnished Rental My Best Option?

Before deciding, it's imperative for you to conduct research first. Consider factors like who your prospective renters are, how much your budget is, and the rental pricing of your competitors for furnished homes. With your target audience being students, for instance, they would prefer a fully furnished unit so they wouldn't have to worry about buying what they need.

Families who likely have their own furniture and appliances from a former residence would prefer unfurnished options since they wouldn't want to let their assets go to waste, or leave them in a storage space to gather dust.

Benefiting From the Expertise of a Property Manager

Whether you're set on furnishing a rental or not, there are a lot of things left to handle after you rent out your units. Between maintaining the property's condition and its furnishings, you also have many renters to tend to.

Hiring a property management company like Precision Realty can help you overcome the immense task of being a landlord. You'll find several advantages such as lower vacancy rates, reduced landlord stress, expert consultation, and higher return on investment.

All you have to do is contact us, and we can discuss how your Houston rental property, furnished or unfurnished, can thrive among competitors.

More Resources:

• Benefits of Full-Service Property Management in Houston
• Why Houston is a Great City for Real Estate Investing

Key Advantages of Professional Property Management Services

Effective Marketing Strategies

Property managers know the right strategies to provide the best exposure for your rental listings. They can reach your target market by utilizing technology and analyzing market trends, effectively conducting data-driven marketing campaigns. This contributes to your rental property having low vacancy rates and a steady income.

Meticulous Tenant Screening

Property managers sift through applicants by using various criteria including: 

• Credit score 
• Criminal background
• Employment verification 
• Debt-to-income ratio
• Previous landlord references 
• And more! 

Choosing tenants carefully is crucial since you won’t want residents negatively impacting your business by not following lease terms.

Efficient Rent Collection

When you have several tenants to oversee, rent collection can quickly become tedious. A residential property manager is capable of collecting rent promptly and maintaining on-time payments, as well as issuing late fees for rent payments if needed. They can even advise you about the property's monthly rental rate based on the current rental market and comparable competing properties.

Routine Inspections and Addressing Maintenance Requests

Inspections are time-consuming, but they’re also essential to keep your investment property in top shape. Property managers can see maintenance issues early before they get worse and immediately schedule repairs for them. They can even coordinate repair dates and hire maintenance workers when it's convenient for the tenants.

24/7 Communication

Answering tenant inquiries is important to maintain a good landlord-tenant relationship. Having a property manager you can call on 24/7 can benefit tenants immensely, especially in emergency maintenance situations. This also provides tenants with a more hands-on property management experience.

Legal Compliance

Many property owners hire professional property managers for their legal expertise, especially since there’s much to abide by in the rental business. Whether it be tenant placement, eviction, or anything in between, breaking state and local laws can lead to serious legal consequences and damage the reputation of your rental property. The expertise of professional property management can help you avoid that.

Improved Scalability

The stress levels from single-family home property management alone can already be overwhelming, let alone handling multiple properties at once. If you want to be an active investor in the real estate market, you might need to delegate management work and hire a property manager to handle other stressful tasks. This allows you to invest in more rental properties and increase your overall cash flow.

Access to Vendor Networks

Property management companies come with their own network of reliable vendors for repairs, maintenance, and construction. These relationships are forged from years of working in the local industry. Property owners can potentially get lower prices from vendors and property managers can guarantee the quality of the vendors' work.

Handling Sensitive Situations

Tenant disputes can be hard to navigate depending on the circumstances, but a good property manager can act as a mediator and resolve the issue for all the parties involved. Even with evictions that can take weeks to months to be finalized, property managers can take care of them for you along with everything else that happens after like tenant turnover and collecting past due payments.

Earning Passive Income

Hiring a property management company allows you to earn passive income and focus on other profitable opportunities. This is one of the main reasons property owners hire a property manager to oversee their rental units. It's a wise decision, especially if you just purchased your first rental property and still don't know your way around property management.

What is Included in Full-Service Property Management?

Marketing/Advertising

Property management companies offer marketing services to attract the right tenants to your investment property. Property managers conduct rental market analysis to set the right rental price and create professional, alluring listings on all relevant platforms.

Tenant Screening

Property management companies usually use base criteria for screening tenants such as credit checks, eviction history, employment verification, criminal history, debt-to-income ratio, and previous landlord references. This ensures that you get tenants who will follow your lease terms and not cause trouble for your business.

Rent Collection

Property managers can collect rent payments and issue late fees when a tenant fails to pay on time. Companies like Precision Realty, for instance, use an in-house tenant portal where residents can pay 24/7, allowing for streamlined transactions.

Maintenance and Inspections

Property management companies schedule regular inspections to ensure that the property is in the best shape for the tenants. When needed, maintenance issues are addressed promptly. You would also have access to their network of licensed and insured vendors for fast, quality work.

Financial Management

With the use of financial management tools and accounting professionals on the team, property managers can process all payments that go through the business. Property owners will get owner statements and direct ACH transfers, along with annual processing of tax statements and 1099s.

Eviction Processing

Not only do property management companies conduct proactive measures to prevent eviction, but they also oversee the process with legal compliance in mind. With it being a tedious process that can sometimes last for months, landlords can rest easy knowing that the process will be taken care of without having to lift a finger.

Where Can I Find a Property Management Company to Hire?

There are plenty of property management companies you can hire in your area. Around Houston, Texas, Precision Realty can provide you with the comprehensive services mentioned above. We will do our best to maximize the value of your rental property and take care of your tenants.

You don't need to commit right away! You can contact us to learn whether we’re the right fit for your needs, or ask us for a quote for a more transparent transaction.

More Resources:

• The Role of Property Managers in Maintaining Tenant Satisfaction
• Why Houston is a Great City for Real Estate Investing

What You Can Do to Reduce Vacancies

Thorough Tenant Screening

Background checks are a crucial element in ensuring a profitable rental business, as it lets you determine whether prospective tenants can pay the rent, maintain the rental unit, and follow the rules of your lease agreement. Vacant properties are the biggest expense that you can face, and choosing the wrong tenant is a fast track to turnover and other costly issues like eviction or property damage.

Competitive Rental Prices

Research the local market and consider the monthly rent of similar properties in the area. This provides you a basis for setting a competitive price, as it is one of the most basic ways to reduce rental vacancy rates. Applicants will likely opt for other rental properties that are cheaper in price but offer the same space and amenities as yours.

For assistance with this, we offer all Houston landlords a free rental analysis tool on our website.

Effective Marketing Strategies

How you market your property will affect how many tenants would be interested in even viewing your rental listing. It would be advisable to use great photos and highlight the unique features of your rental property. If you want to fill vacancies quickly and feel like your campaign is ineffective, you can choose to hire experts in marketing who can provide you with professional photos.

Fast Response to Maintenance Requests

Addressing maintenance issues efficiently contributes to overall tenant satisfaction, and therefore prevents higher tenant turnover. Your existing residents will recognize the service you provide and will likely turn into long-term tenants. Regardless of the benefits, it is also the basic responsibility of a landlord to conduct maintenance regularly to retain property value.

Offer Lease Renewal Incentives

Rental businesses that offer incentives are more attractive to both potential tenants and current residents, which will help minimize vacancies as well as reduce resident turnover. This can come in the form of rent discounts, cash incentives, flexible lease terms, free access to paid property amenities, and more.

Improve Curb Appeal

Listings aren't the only way of attracting new residents to your rental property, traditional methods still play a role. People in the area looking to change rentals still do so by driving around desirable neighborhoods and exploring what kind of properties are available. You can improve curb appeal through simple means like repainting the front door, landscaping, adding new decorations, and cleaning the pavement. These tactics make prospective renters want to stop and pay attention to your property.

Provide New Amenities

Look into the amenities that are in high demand. With modern standards, smart technology like smart thermostats and smart speakers are sought after by tenants. There are also common yet appreciated amenities like additional storage space and in-unit facilities. Furthermore, the units effectively increase the value of your rental so you can charge more rent.

Adopt More Payment Methods

Offering convenient payment methods is also a good way to retain tenants. Landlords can utilize free platforms like cash apps, but there are also more efficient methods like subscription-based rent collection apps that can automate the payments for monthly rent. Some property managers offer tenant portals that can be accessed 24/7.

Create a Good Living Environment

Being competent in overall property management and providing a comfortable living environment exponentially prevents high vacancy rates for rental property. From the moment new tenants move in up until they leave, your service should be consistent as this can lead to word-of-mouth marketing for your rental property.

Create a Referral Program

Just like lease renewal incentives, you can also reward residents who successfully bring in new tenants by referring your rental property. This can be a cheaper marketing strategy for property owners and can reduce rental vacancy rates faster. You can offer the same incentives for residents renewing leases.

What Happens If I Fail to Reduce Vacancy Rates?

Failing to fill vacancies can affect your business financially, and it will deter real estate investors if you are looking to exit the business. While vacancy rates are sometimes hard to control, you can always hire real estate professionals to help you market your rental business.

How to Calculate My Property's Vacancy Rate?

The formula for calculating vacancy rates is: Vacancy Rate = (Number of Vacant Units / Total Number of Units) x 100. You can also use readily available tools like Precision Realty's Vacancy Loss Calculator, which lets you determine the financial impact of your business's total number of vacancies.

What Are the Benefits of Reduced Vacancy Rates?

Other than steady or increased rental income, you will also avoid marketing and turnover costs. While there are free marketing practices you can do, some of the most effective strategies will cost you. In the long run, it can even help increase your rental property's value.

Low Vacancy Rate vs Tenant Retention

Low Vacancy Rates: low vacancy can be achieved in many ways— one is by screening your applicants meticulously to ensure you get good tenants, another is by improving your property to attract new tenants, and lastly, treating your existing residents as a landlord should so they would stay in the rental longer.

Tenant retention: Tenant retention, on the other hand, is one of the factors that help you maintain a low vacancy. When renters are treated right and fairly, they are significantly more likely to stay long-term in their rental unit. This sub-section also has its own methods to be achievable.

How Can Professional Property Management Help Me?

It's not uncommon for landlords to hire property managers to handle their rental business to maximize its value. Whether the rental market is at its worst or best, hiring assistance can open a lot of doors for you.

By hiring our team at Precision Realty, you can earn passive income as you focus on other profitable ventures. We offer Houston’s most premier property management services to our owners, maximizing their financial investment while minimizing their time investment. 

Contact us for a free consultation and we can help you make this a reality for your business!

More Resources:

• The Top 5 Amenities That Houston Tenants Crave (And How to Provide Them)
• Ways to Boost Rental Efficiency and Earn More With Property Management Services in Houston, TX

Why You Should Require Tenants to Have Renters Insurance

It Protects the Tenant's Personal Property

Renters insurance is designed to protect tenants most of all. Part of the standard coverage is protection for their personal belongings when damaged by fire or natural disasters, negligence, or theft. If the damaged or stolen items are considered a covered loss, then the renter would be compensated for it.

It Offers Liability Coverage

If an accident happened within a tenant's rental unit causing a guest to be injured, renters insurance can protect them from potential liability claims. The insurance coverage can pay for medical expenses and or legal costs should the guest press charges for negligence or unsafe environments. The financial assistance will depend on the kind of insurance and insurance premiums, of course.

It Can Help with Relocation Expenses

Having their own renters insurance policy provides them with reimbursements should they need temporary housing and other additional living expenses like food and laundry, should their home be affected by a fire, a hurricane, or other natural disaster. It's called a "loss of use" coverage, and it's common in places like Houston, which is prone to natural disasters like flooding.

How Much Renters Insurance Cost

The cost for renters insurance varies between states and insurance companies. On average, insurance premiums can cost around $157 a year, as per Forbes. This provides $15,000 of personal property coverage. If a renter has a higher renters insurance cost, then the insurance coverage would also increase. With about $13 a month, some might choose to opt for a more expensive plan for better protection.

Factors That Affect Insurance Rates

Deductible

The renter's insurance policy can cover various amounts, depending on the plan you get. The lower the deductible amount they choose, the higher their rate will be, and that's because the insurance company or provider will pay more if they do claim reimbursement for the loss of personal property.

Disaster Exposure

Some states have higher rates for renters insurance because they are more prone to catastrophes resulting in damaged property. A tenant's insurance premium can increase whether or not you file a claim. Houston, for instance, has the highest rate in Texas with a $21 average monthly rate.

Property Condition

With an older rental property, renters insurance may also require higher rates from them due to increased damage and liability risk. As a property owner, you can maintain your rental or hire a property manager who can do it for you to reduce risks, but it would still be advisable to require renters insurance from your tenants for their protection.

Can a Landlord Require Renters Insurance?

The short answer is, yes. You can have renters insurance required as part of your lease agreement. There is no law requiring renters insurance from tenants in Houston, but many landlords still choose to recommend tenants purchase one to protect their personal belongings. The price will still depend on the renters' policy, but the additional cost will be worth it to have medical and liability coverage.

What if Tenants Refuse to Purchase Renters Insurance?

It's standard that landlords require renters insurance for the protection of their tenant's belongings, but some may not want to. If it's part of your renters' policy, you can either reject their application or come to another kind of insurance policy. You may also explain the benefits of renters insurance to them and how it may help them in case of emergencies or incidents.

Other Kinds of Insurance Landlords Should Consider

Landlord Insurance

Aside from renters insurance, a landlord should also look into landlord's insurance not only for personal liability but for the protection of their personal property. It partially covers costs in many cases such as:

• Property Damage: It covers loss or damage to real estate and furnishings in case of a natural disaster, fire, electric malfunction, earthquake, vandalism, or tenant-caused damage.
• Lost Rental Income: Unfortunately, requiring renters insurance doesn't cover losses like unpaid rent, but landlord's insurance does. It also covers rental default when the property becomes inhabitable from circumstances like an infestation, it will provide rental reimbursement to cover rent you could've earned.
• Liability Protection: While renters insurance coverage answers for accidents within a tenant's dwelling unit, landlord's insurance will cover medical or legal costs for injuries caused within the rental property in the event of accidents caused by icy walkways or unstable structures.

Homeowners Insurance

This kind of insurance protects your personal property more than anything else. It will be helpful when you apply for a mortgage since banks usually look for proof of insurance before they loan you funds. Other than that, the main benefits include:

• Dwelling Coverage: Requiring renters insurance only covers the tenant's property, but not yours. If the unit is damaged through outside factors like fire or wind, both homeowner's or landlord’s insurance can cover costs for repairs.
• Personal Property Coverage: It can also cover furnishings outside the dwelling units such as furniture, electronics, and other personal items you might have in your rental properties.
• Liability Coverage: Similar to landlord's insurance, this can cover costs associated with risk and injuries within the property, as well as property damage caused by you or members of your household. In the event of an accident, it can pay for medical bills or legal fees in potential disputes.

How Property Management Benefits You

Landlord, homeowners, and renters insurance can help all parties involved, but it only covers so much. There are a lot of aspects in the rental business that you need to oversee so that you won't have to make insurance claims in the first place.

Hiring property managers for rental properties is a choice many landlords have opted for. Companies like Precision Reality can handle property maintenance to avoid unwanted incidents, and rent collection to prevent income loss. We have a plethora of services that can help you maximize your property's value, and all you have to do is contact us to find out more. We offer free consultations!

More Resources:

• Expert Tenant Placement Tips for Reducing Property Owner Risks
• What to Look for When Hiring a Property Management Company

Financial Aspects

Down Payment

The kind of property you'll buy will largely depend on how much you can pay for the down payment. It can also determine the amount for your mortgage payments. A larger down payment means lower monthly mortgage fees for your real estate investment.

Mortgage Rates

You have to account for several factors when calculating mortgage rates. It's not enough to know the amount. You have to determine whether your rental income will be enough to cover the payments after deducting other monthly expenses. It's best to research mortgage interest rates based on loan options to find the best deal for you.

Property Taxes

The average effective property tax rate in Texas is about 1.60%, which is higher than the national average of 0.99%. You'll have to include this when calculating rental income, especially since you have to account for all the bills you'll be paying for.

Closing Costs

Rental property investing calls for other costs aside from the down payment. You'll also have to consider closing costs such as insurance, appraisal fees, and attorney fees. These can all stack up and add to the overall costs rental property owners have to pay.

Rental Income

Estimate the potential monthly or annual rental income you get from rental property to find out if you'll be able to afford all the initial and ongoing payments you have to make. Ensure that you still have positive cash flow after all the deductions such as mortgage payments, property taxes, insurance, operating expenses, maintenance costs, and vacancy.

Property Based Factors

Location

The location of rental properties plays a huge part in its profitability. You'll likely maximize your investment property more if it's close to amenities, schools, jobs, and transportation. Potential tenants also consider whether residential properties are in a good neighborhood.

Even the property type you should purchase can significantly depend on the location. If you plan to purchase a property within the city center, you might benefit more from a commercial building, while an apartment building will be the better investment near colleges.

Type

There are several types of property you can invest in and even more sub-types under those categories. For a residential property, for instance, you can decide whether you'll go for a single-family home, an apartment building, a condo, a duplex, or other types.

As for a commercial real estate investment, there are investment properties you can consider like office buildings, retail spaces, warehouses, and more. Unlike commercial real estate properties, residential rental properties might require more attention for property management.

Condition

In real estate investing, you are required to assess whether the property is in good condition, or if the maintenance and repair costs are worth it. Weigh whether the real estate property value increase after repairs and renovations will positively affect potential cash flow for income.

Rental Market

Consider the current rental real estate market condition when buying a rental property, as it can help you foresee how your investment property will fare in the business. Even if it's a good investment property, you won't be making money when there's low rental demand in the housing market.

Investment Strategy

Long-Term or Short-Term

Your ongoing bills such as monthly mortgage payments can depend on your investment strategy. Short-term investments will provide you with a shorter time frame to fully acquire your rental property, but that would also mean that your monthly payments will be a lot higher.

With long-term investments, you'll pay smaller amounts and will have an easier time finding real estate investors. However, you might get higher interest rates, depending on the investment property loan you took. Both options have their advantages and disadvantages.

Management

Believe it or not, you don't actually have to manage your rental property. A lot of property owners are now choosing to hire property managers.

There are several property management companies out there such as Precision Realty. Aside from the day-to-day responsibilities, a property manager will also market your rental property as well as handle the tenant screening process, allowing you to earn passive income.

Diversification

Think about how many investment properties you want to purchase in the foreseeable future. It's advisable to diversify your investment property portfolio to help mitigate potential losses. Having more than one rental property also means several sources of monthly rental income.

This is also where a property manager can come in handy, as scaling with your growth will be difficult on your own.

Exit Plan

Buying a rental property can sometimes end in the owners selling the property. It could be due to the monthly mortgage payment being too high, or they simply do not want to be in the rental business anymore. In case you do end up in that circumstance, you should have an exit strategy ready.

You can sell your real estate investments and with good maintenance, you can avoid property depreciation and could even see an increase from the original purchase price, making it an even more profitable investment.

Hiring a Property Manager for Your Rental Property

If this is your first rental property, you might find the responsibilities of a landlord a little overwhelming. Between collecting rent and monitoring the local market, there are a lot of things to take into account for a successful rental business.

Hiring a management company like Precision Realty could be worth the management fees if it helps you reach your investment goals. Some of the services we offer include marketing, tenant screening, rent collection, maintenance, accounting, and more.

You can schedule a free consultation now to learn whether you could benefit from hiring a property management company. But first, you can use our free ROI calculator to discover the potential of a property you have your eye on.

If you’re considering expanding your real estate options, Houston’s real estate market presents a lot of opportunities to generate strong returns, whether you’re focused on either residential developments or commercial properties. Let’s explore why Houston is a good city for real estate investing and how it can support your financial goals.

Real Estate Investment: A Smart Move in Houston

Here are the main reasons why it's a smart move to have real estate investments in Houston Texas.

• Steady population growth: According to U.S. Census data, Houston's population increased by over 10% between 2010 and 2020.

• Attracts new residents: The city continues to attract new residents every year.

• Diverse job market: Houston's strong, diverse job market drives relocation, offering career opportunities in various industries.

• Low cost of living: Downtown Houston has a relatively low cost of living compared to other major U.S. cities, and it's one of the key factors in its growing population.

• Demand for housing: As more people move to Houston, the demand for rental properties increases, making real estate investment a lucrative opportunity.

On the other hand, the historical data on employment growth in Houston is soaring. Major industries such as energy, healthcare, aerospace, and technology have bolstered the city’s strong job market here, ensuring that people continue to relocate to the area in search of career and job opportunities. This steady influx of people means the rental market remains strong, and properties are likely to get higher in value over time. When it comes to real estate investment, this is the kind of market where your investment can both grow and produce reliable cash flow.

Houston Real Estate Market: A Closer Look at the Numbers

The Houston housing market is often recognized for its relative affordability compared to home prices in other large metropolitan areas. The median home price in Houston is around $345,000, significantly lower than cities like New York, Los Angeles, or Miami. This gives real estate investors like you a more affordable entry point, allowing you to acquire properties without overstretching your budget. Lower initial costs also mean higher profit margins on rental properties and greater investment potential, for long-term appreciation.

According to data from the Houston Association of Realtors (HAR), the city’s rental market remains competitive, with average monthly rents hovering around $2,373 for a single-family home. For investors, this means the opportunity to generate significant rental income, especially in desirable neighborhoods such as The Heights, Montrose, and Midtown.

Due to affordable prices and strong rental yields in established neighborhoods, the overall housing inventory in Houston remains healthy. Despite occasional dips due to high demand, there is a steady stream of new developments, providing opportunities for investors to tap into both new and existing investment properties. Whether you’re interested in single-family homes, multifamily units, or commercial real estate investments, Houston’s real estate properties offer a wide range of opportunities.

Why People Are Moving to Houston

Another factor that makes Houston real estate investments so appealing is the city's high quality of life. Houston is known for its diverse culture, world-class healthcare facilities like Texas Medical Center, dining and entertainment options, and affordable living costs. Many people are drawn to the city because they can enjoy a higher standard of living at a lower price compared to other large cities. To succeed as a real estate investor, this trend is crucial because it supports sustained and steady demand for rental housing and property sales.

Houston is also home to a variety of educational institutions, including several highly regarded public and private universities, such as Rice University and the University of Houston. Families with children are attracted to the city’s strong education system and family-friendly neighborhoods, creating additional demand for single-family homes.

Moreover, Houston's proximity to the Gulf Coast and its thriving culinary, art, dining, entertainment options, and music scenes make it a desirable place to live. When people want to move to a city that offers a mix of culture, opportunity, and affordability, they choose Houston neighborhoods. For real estate investors, this influx of residents creates a constant demand for affordable housing options to rent, both in terms of rentals and home purchases.

What Makes Houston’s Real Estate Market Resilient?

Aside from affordability and a growing population, Houston's thriving real estate market has proven itself resilient through economic downturns. While other cities faced sharp declines in property values during periods of economic uncertainty, Houston's real estate market remained relatively strong and the economy was stable. The city's diverse economy, which spans beyond oil and gas into healthcare, technology, new construction, and manufacturing, has helped buffer the real estate market against industry-specific downturns.

Houston's pro-business policies and lack of state income tax are other reasons why investors find the city attractive, especially in the Houston metro area. Lower taxes mean higher take-home rental income, more job growth, and more housing options. Texas' overall business-friendly environment encourages new companies to move to Houston, bringing with them workers who need places to live.

Not to mention Houston's investment in infrastructure, including expanded highways, public transportation, and ongoing urban development projects, has contributed to the city's growth. As Houston continues to invest, expand, and improve, property values in key areas are likely to get high sales volume, with significant growth, making real estate investment here a strong long-term strategy.

Why You Should Invest in Houston Real Estate Now

If you’re looking to grow your own investment property portfolio, Houston presents a unique opportunity. With its population growth, strong job market, affordable housing prices, and resilient economy, the city offers a great combination of immediate cash flow and long-term appreciation. Whether you’re new to real estate investing or looking to expand your holdings, Houston is a city that can support your investment goals well.

At Precision Realty, we specialize in helping real estate investors like you navigate Houston’s real estate industry to find the best opportunities. Our team is here to provide expert guidance through research, market insights, and hands-on support to help you make informed decisions and maximize your returns.

If you’re ready to take advantage of all the investment opportunities that Houston’s real estate has to offer, we’re here to help you get started. Explore our website and learn more about our services and how we support real estate investors in Houston.

Ready to invest in Houston? Contact Us and check out our Services to find out how we can help you make your next investment in Houston a success!

These inspections not only help you catch potential issues early, such as electrical problems or compliance with lease agreements, but also protect tenant privacy with efficient drive-by inspections. By staying ahead of maintenance needs and legal requirements, landlords can enhance their cash flow, avoid disputes when tenants move, and have their properties ready for the next lease.

Dive into this guide to discover everything you need to know about Houston rental property inspections—from the different types and essential rules to the ideal frequency of each inspection. Precision Realty & Management is here to provide expert support, ensuring your inspections are thorough and compliant, and keep your rental properties in prime condition.

Why Houston Rental Property Inspections Matter

Houston rental property inspections are crucial for preserving your property’s condition, ensuring lease compliance, and maintaining tenant relationships. Whether you’re conducting a move-out inspection, a routine inspection, or quarterly inspections, regularly evaluating your rental property is key to identifying maintenance issues early and protecting tenant privacy while respecting your legal rights as a property owner. Performing rental property inspections also ensures that new tenants are moving into a safe and well-maintained property, which is critical for tenant satisfaction and retention.

Types of Rental Property Inspections in Houston

There are several types of inspections that Houston landlords should conduct. Each type addresses specific needs, from maintaining property condition to ensuring compliance with lease agreements and local laws. These inspections are essential for identifying issues early and protecting both tenant satisfaction and your investment.

1. Move-In Inspections

Move-in inspections are the first step in the rental process. By documenting existing damages with a rental inspection report, landlords can protect themselves and tenants from disputes later on. This inspection is often paired with a move-in checklist to ensure all aspects of the rental unit are reviewed.

2. Routine Inspections

Routine inspections are generally required quarterly or biannually. During these inspections, property managers assess the property’s condition, checking for any lease violations, maintenance issues, and signs of normal wear and tear. These inspections also allow landlords to ensure tenants are complying with lease terms like pet policies and maintenance responsibilities.

3. Drive-By Inspections

Drive-by inspections are quick, informal checks where the property manager or landlord inspects the exterior of the rental unit. These inspections help spot issues like unauthorized alterations or neglected yard care.

4. Move-Out Inspections

Move-out inspections are crucial when a tenant leaves. They help landlords determine what portion, if any, of the tenant’s security deposit should be withheld for repairs. The inspection compares the property’s condition at move-out to the move-in report, distinguishing between normal wear and tear and actual damages.

5. Quarterly and Biannual Inspections

For landlords with multi-family properties or high-turnover rental properties, quarterly or biannual inspections are recommended. These routine inspections help maintain the property’s value and ensure ongoing compliance with lease agreements.

Houston-Specific Rules and Legal Considerations

In Houston, rental property inspections must adhere to local laws and state regulations. Landlords are required to provide proper notice before entering a rental unit, usually 24 hours, to respect tenant privacy and comply with Texas state law. Adhering to these legal requirements helps avoid potential disputes and ensures inspections align with lease agreements.

Understanding your legal right to conduct inspections is essential, but respecting tenant privacy is equally important. Precision Realty & Management recommends including clear inspection policies in your lease agreement to ensure both parties are on the same page from the start.

How Often Should Houston Rental Property Inspections Be Conducted?

The frequency of inspections varies based on the type of property, tenant history, and lease terms. However, here’s a general guideline:

• Move-In and Move-Out Inspections: Conducted at the start and end of a lease.

• Routine Inspections: Performed quarterly or biannually to check for safety concerns, lease compliance, and maintenance issues.

• Drive-By Inspections: Monthly or as needed to monitor exterior conditions.

• Annual or Biannual Safety Inspections: These are essential for identifying critical issues like electrical concerns, plumbing problems, and other safety risks.

Performing rental inspections regularly ensures that landlords maintain a good relationship with tenants while protecting the property’s value.

The Rental Property Inspection Process: What to Look For

During rental property inspections, it’s essential to follow a structured process to ensure thoroughness:

1. Provide Advance Notice: Adhere to state laws by giving tenants the proper notice before conducting an inspection.

2. Follow a Checklist: Use an inspection checklist to cover key areas, from safety concerns to maintenance responsibilities and lease compliance.

3. Inspect Personal Belongings with Caution: Be mindful of the tenant’s privacy when inspecting their personal items.

4. Document Everything: Capture detailed notes and photos to create a clear inspection report. This documentation is vital when assessing damages, especially regarding disputes over the tenant's security deposit.

5. Address Minor Issues Promptly: Identifying and fixing minor issues during inspections prevents them from escalating into significant repairs.

Common Challenges in Houston Rental Property Inspections

Houston landlords often encounter challenges when conducting inspections, such as tenant pushback or disputes over security deposit deductions. Common scenarios include disagreements over what constitutes normal wear and tear versus damages. To mitigate these challenges, ensure your lease terms are clear and that tenants are aware of the inspection schedule outlined in the rental agreement.

For landlords juggling multiple properties, managing inspection schedules can be overwhelming. Precision Realty & Management specializes in conducting thorough inspections, documenting findings, and ensuring landlords stay compliant with all applicable laws.

Precision Realty & Management - Your Partner for Houston Rental Property Inspections

Performing rental property inspections regularly is essential for maintaining your property’s condition, ensuring tenant satisfaction, and protecting your investment. From move-in inspections for a new tenant to routine quarterly inspections that identify potential issues, Precision Realty & Management is here to help Houston property owners manage the entire inspection process.

For more insights on property management, check out our blog post on 5 Benefits of Hiring a Property Management Company in Houston, TX.

Contact us today to learn how we can support your property management needs and ensure your investment remains secure.

The median home price has remained stable for March and April of 2024 at $340,000, but most major metropolitan areas in the state have seen a decline in prices.

As a real estate investor, these are the stats to watch. What other data is important when you're looking to invest in more properties?

Are you looking for tips on how to be a successful real estate investor in Houston, TX? Keep reading our guide with valuable real estate investment strategies to help you thrive in the Houston property market.

Set Realistic Goals and Develop a Plan

One of the most important successful investment tips is to set your goals and create a clear investment strategy to meet your long-term vision.

How many homes do you want to own? Will you employ a management company? What are your income goals?

Learn About Houston's Real Estate Market

What might work in one real estate market may not work in another. Look at local market trends and Houston real estate market dynamics.

Don't get complacent as things continuously change in real estate. Stay updated.

Master Financial Management

Develop strong financial skills or partner with someone who has them. It's important to create a budget and manage your capital effectively.

Choose the Right Investment Properties

Focus on properties with appreciation potential. Consider important factors like location, school districts, and lot size.

Build a Strong Network

Connect with other investors, real estate agents, and professionals. Leverage local expertise and resources.

If you have a large, strong network, you'll be able to do more deals. You'll make more money and you'll make it faster.

Navigate Houston's Unique Challenges

Adapt to local regulations and market conditions. Prepare for potential natural disasters. Stay abreast of how they impact investments.

Implement Effective Property Management

How will you manage your rental properties? Will you self-manage or hire a property manager?

Whichever you choose, remember the importance of maintaining and improving properties.

Diversify Your Investment Portfolio

Explore different types of real estate investments in Houston. Purchase properties that will help you balance risk and reward across various properties.

Grow your portfolio and generate more income. Houston has a very diverse real estate market. There are a range of neighborhoods that cater to various lifestyles and budgets.

Be Flexible and Seize Opportunities

As the market evolves, you must be prepared to adjust your strategies. Identify and act on emerging opportunities in Houston's real estate market.

Are You a Real Estate Investor?

As you work toward becoming a real estate investor, familiarize yourself with investment success stories. Which of the above steps helped catapult those investors to the next level?

Do you know who can help you maximize the return on your rental investments? We at Precision Realty and Management, LLC are a leading Houston property management company. We're a family-owned and operated business serving the area since 1989.

Give us a call at 281-866-7400 or contact us through our website and let us explain how we can help you maximize your rental property's potential.

The rise of accidental landlords also means it's getting easier to see the common challenges and how to fix them. Learn more about what these new landlords face in this quick post.

1. Bad Tenant Relations

The most common accidental landlord challenges revolve around their dealings with their first tenants. Bad tenants, in particular, can ruin a person's perspective on property ownership with property damage, late or non-payment, and being generally unhelpful.

You can largely avoid this scenario by implementing a robust tenant screening policy. This will help you identify and choose good tenants based on their track records.

If you already have tenants and things are looking grim, an experienced property management firm can provide effective tenant management strategies. Remember that tenants who violate the lease agreement rules can be evicted for their breach.

2. Issues Related to Maintenance

Fulfilling the landlord's maintenance obligations can cost time and money that not everyone has. However, these count as business expenses when you're a landlord. As such, you can deduct these and other property-related costs from your taxes.

The ability to expense maintenance costs allows you to profit in the medium to long term, even if you have to do repairs now.

3. Legal Complexities

New landlords must get acquainted with many laws relatively quickly, which can be tricky. There are legal standards that govern how landlords manage security deposits, tenant screening, maintenance, inspections, and much more. These laws also flow from local, State, and Federal sources.

Wading through the legal muck and red tape can be exhausting. A new landlord can combat this by outsourcing.

You can outsource functions like tenant screening or rental income accounting to dedicated services. This will ensure that you're 100% compliant with these complex tasks. You can also outsource to full-service property management to have the job done for you in its entirety.

4. Problems With Time Management

There's a good chance that you have a lot on your plate if you become an accidental landlord. Staying organized and using a scheduling app or calendar will work in your favor if you get into the habit immediately. However, consider the outsourcing option if you're constantly behind with your to-do list.

How Property Management Helps Accidental Landlords

Accidental landlords can find it hard to keep their heads above water, but there is help! Tenant screening and property management services can help with tenant relationships (and evictions, if necessary).

Maintenance duties and legal complexities can also overwhelm a landlord. However, you can deduct the financial costs of these services from your taxes. Just be sure to work with real estate accounting experts so that you also save time.

Time management can also be a problem, but you can outsource to ease your burden. At Precision Realty and Management, we can offer the most professional property management in Houston. Contact us today for more real estate tips and a real estate service that puts clients first.

But if you put a good tenant placement policy into place, you can increase your chances of finding great renters. Follow the tenant placement tips below to learn how to optimize your process.

Advertise Properly

The first part of finding great tenants is attracting the right type of people. Quality tenants have many options, so they typically reach out to the rentals that meet their expectations.

You can attract those people if you advertise your rentals properly. For instance:

• Take professional photos
• Describe the amenities
• Discuss the neighborhood features

Renters use these things to filter their searches, so be as accurate as possible to gain the attention of the most people.

Create Screening Procedures

It's important to understand the people living in your home. The last thing you want is to accidentally rent to a group that causes problems. Although you can't eliminate the possibility of this happening, you can reduce the chance with careful tenant screening.

Some common checks you can run to reduce property owner risks include:

• Credit check
• Income verification
• Eviction history

Check References

Tenant background checks won't always tell you everything there is to know about a potential tenant. Everything can look good on paper, but there may still be red flags you won't see if you don't dig deeper into things.

One way to learn about these things is by asking for references. A tenant may have had constant problems with a previous landlord but not have eviction records or other history. Get landlord and personal references to learn about these things.

Use Great Lease Terms

You want both the tenant and landlord to have favorable terms in the lease. You can't just throw in a ton of random requirements for tenants and expect them to sign. On top of that, the local laws may limit what you can include.

Look for the common lease terms in your area and come up with something similar. Run any new lease terms by a lawyer to ensure they are legal for your area.

Work With a Placement Service

You'll need to deal with many applicants in today's housing market. There are many renters, so you'll need to dig through many details and run many checks to ensure you properly vet each candidate.

It's possible to make mistakes in this situation. Working with a leasing service to handle the heavy lifting is an excellent way to optimize your placement process. Look for services in your area to help with tenant placement.

Take Tenant Placement Seriously

Great tenants will be one of the things that makes or breaks your landlord experience. Without qualified renters, you risk signing a lease with an unreliable tenant who causes headaches. Use the guidance above during tenant placement to properly vet your applicants properly.

Do you want a reliable partner to help you run your tenant screening process and find great renters? At Precision Realty & Management, we offer tenant screening services alongside our many other rental property management solutions. Contact us to hear how we can help.

Move-In Ready Bliss: Cleanliness and Completed Repairs

When a prospective tenant tours your Houston rental, their first impression will set the tone for the entire renting experience. That's why it's crucial to ensure your property is spotlessly clean and in pristine condition before each new move-in. Take the time to thoroughly clean every surface, from the kitchen countertops to the bathroom tiles. Address any outstanding repairs, no matter how minor, to demonstrate your commitment to providing a well-maintained living space.

Going the extra mile to present a move-in ready home doesn't just attract renters - it also helps them feel valued and cared for from the very start. This sets the stage for a positive, long-lasting tenant-landlord relationship.

Beat the Texas Heat: Ceiling Fans in Key Rooms

Houston's famously hot and humid climate is a major consideration for renters. To keep your tenants comfortable and cool, be sure to install ceiling fans in the main living areas and bedrooms of your rental property. Ceiling fans provide an energy-efficient way to circulate air and reduce reliance on air conditioning, which can be a major cost-saver for your tenants.

Beyond just adding fans, consider upgrading to models with remote controls or integrated lighting. These modern features demonstrate your commitment to tenant comfort and convenience.

Sprinkler Surprise: Automatic Watering for a Lush Lawn

Houston's subtropical climate supports lush, verdant landscaping - but maintaining that greenery can be a hassle for busy tenants. By installing an automatic sprinkler system, you can take the guesswork and manual labor out of lawn care. Your tenants will appreciate the convenience of a well-watered, neatly manicured yard without having to lift a finger.

An added benefit of an automatic sprinkler system is that it helps preserve your property's curb appeal, keeping the exterior looking its best. This not only pleases your current renters, but also makes your listing more attractive to future prospects.

Kitchen Convenience: A Refrigerator with Ice and Water

The kitchen is the heart of any home, and Houston tenants expect this vital space to be well-equipped. While a basic refrigerator is a must-have, going the extra mile by providing a model with an ice maker and water dispenser can make all the difference.

Integrated ice and water features eliminate the need for bulky countertop appliances, streamlining the kitchen's appearance and functionality. Busy tenants will appreciate the convenience of having chilled, filtered water on demand, as well as a steady supply of ice for drinks and meal preparation.

Garage Door Magic: Automatic Openers

In a city like Houston, where driving is a way of life, a functional garage is a highly desirable amenity. But to truly impress your tenants, equip your rental's garage with automatic door openers. This modern feature provides an added layer of security and convenience, allowing tenants to enter and exit with the simple press of a button.

Automatic garage door openers also make it easier for tenants to load and unload their vehicles, especially during inclement weather. This small touch can go a long way in enhancing your rental's appeal and keeping your tenants satisfied.

Elevating Your Houston Rental: A Recipe for Long-Term Tenant Happiness

By incorporating these top five amenities into your Houston rental property, you'll be well on your way to attracting and retaining the best possible tenants. From move-in ready cleanliness to modern kitchen and garage features, each of these upgrades demonstrates your commitment to providing a comfortable, convenient, and well-maintained living space.

Remember, happy tenants are more likely to renew their lease and take care of your property. By investing in these sought-after amenities, you're not only making your rental more appealing to prospective renters, but you're also setting the stage for long-term tenant satisfaction and loyalty.

Ready to take your Houston rental to the next level? Reach out to the experts at Precision Realty today. We'll work with you to identify the best upgrades and amenities for your property, ensuring you can keep your tenants happy and your investment thriving.

With their services, you can maximize your earning potential with better rental efficiency. Unsure of how a Houston, TX property manager can help? Read on to learn more!

Fill Vacancies

The rental vacancy rate in the US is over 6%. As your investment properties sit empty, you'll lose potential revenue. In fact, your investment properties can start becoming burdensome expenses.

A professional property management company can use effective marketing strategies. They'll attract high-quality tenants to fill vacant units quickly.

They can update the property to make it more appealing to Houston renters. They'll optimize your online listing to generate more visibility. They'll handle property showings, saving you the hassle.

Your property manager won't rush to select renters, though. Instead, they'll develop a tenant screening process.

This ensures you choose reliable renters. Tenant screening reduces the risk of rental income loss. You can avoid property damage, delayed payments, and stressful situations.

Choosing great renters now can benefit your profitability long-term. You can keep these tenants to improve your occupancy rate.

Your property manager will remain available around the clock. They'll respond to tenant inquiries and concerns on your behalf. Boosting tenant satisfaction rates can lead to future lease renewals.

Maintain Your Rental Property

Rental property expenses will increase if you're neglecting the property. Your property manager will schedule routine inspections. They'll schedule the necessary repairs.

Preventive maintenance can extend the property's lifespan. Your property manager can also respond to maintenance requests. This can improve tenant satisfaction rates and protect your investments.

Reduce Rental Property Expenses

The best property management companies offer financial services. They'll help you recognize ways you can reduce spending and increase profitability.

Their detailed financial records will help you better manage your budget. You can review the profitability of each property before making informed changes.

Choose a company that uses state-of-the-art technology. They can streamline rent collection by allowing payments online. This can reduce late payments.

Automate Property Operations

Completing the same tasks daily can steal time from your already busy schedule. Your property manager can automate routine tasks. Automation will save you time while reducing human error.

Outsourcing will give you more time to focus on bigger projects. You can discover new opportunities and expand your real estate portfolio.

Meanwhile, you'll have peace of mind knowing your properties are in good hands. Streamlining property operations will save you money long-term.

Choose Full-Service Property Management

Don't waste time or money managing your Houston properties alone. Instead, hire a full-service property management company. Relying on their services will improve your rental efficiency and ROI.

Our team at Precision Realty & Management can maximize your rental's potential. We pride ourselves as leaders in local real estate management. Trust our 30+ years of experience, comprehensive services, and expertise.

We provide quick responses to ensure you and your tenants are cared for. Ready to improve your property operations? Contact us today for a free rental analysis!

Streamlining Tenant Screening and Placement

The success of your investment property hinges on finding qualified, reliable tenants who will treat your asset with the care it deserves. Precision Realty's expert team employs a rigorous tenant screening process, meticulously vetting each applicant to ensure they meet your specific criteria. From comprehensive credit checks to thorough background investigations, we leave no stone unturned, guaranteeing that only the most suitable tenants are placed in your property.

Seamless Rent Collection and Financial Reporting

Collecting rent on time and maintaining accurate financial records are critical components of effective property management. Precision Realty's advanced rent collection system ensures timely payments, while our detailed financial reporting keeps you informed of your property's performance. With real-time updates and transparent accounting, you can make data-driven decisions to optimize your investment strategy.

Efficient Maintenance and Repair Coordination

Maintaining the condition of your property is essential for preserving its value and keeping tenants satisfied. Precision Realty's experienced maintenance team is on call 24/7 to address any issues that may arise, from routine upkeep to emergency repairs. We leverage our extensive network of vetted contractors to provide prompt, high-quality service, ensuring your property remains in top shape.

Exceptional Communication and Client Service

At Precision Realty, we understand that effective communication is the cornerstone of a successful property management partnership. Your dedicated team is always accessible, providing you with regular updates and promptly addressing any concerns you may have. We take pride in our responsiveness and strive to exceed your expectations, making your investment journey as seamless and stress-free as possible.

Leveraging Precision Realty's Expertise

With over 35 years of experience in the Houston real estate market, Precision Realty has honed its property management expertise to perfection. We have a deep understanding of the local market dynamics, enabling us to make informed decisions that maximize the value of your investment. By entrusting your property to our care, you can focus on growing your portfolio, secure in the knowledge that your asset is in the hands of seasoned professionals.

Unlock Your Investment Potential with Precision Realty

Investing in Houston's thriving real estate market can be a lucrative endeavor, but managing rental properties can be a daunting task. Precision Realty is your trusted partner in streamlining the property management process, allowing you to reap the rewards of your investment with confidence.

Contact us today to schedule a free consultation and discover how our comprehensive property management services can unlock the full potential of your Houston investment property.

Make a Stellar First Impression with Move-In Ready Properties

The old adage "you never get a second chance to make a first impression" couldn't be truer when it comes to your rental properties. When a prospective tenant walks through the door, you want them to feel like they've found their new home. Ensure your units are sparkling clean, freshly painted, and equipped with all the necessary amenities. A few simple touches like fresh flowers, plush towels, and a stocked pantry can go a long way in making your tenants feel welcomed and valued from the moment they arrive.

Be a Maintenance Magician: Respond Quickly and Keep Things in Tip-Top Shape

Nothing sours a tenant-landlord relationship faster than unresolved maintenance issues. When a tenant submits a repair request, make it your top priority to address the problem swiftly and efficiently. Invest in a reliable team of handymen and contractors who can tackle everything from leaky faucets to faulty appliances. By demonstrating your commitment to maintaining the property, you'll show your tenants that you truly care about their comfort and satisfaction.

Price it Right: Attracting Great Tenants with Fair Rent

Finding the perfect balance between maximizing your rental income and keeping your units occupied can be a delicate dance. Price your properties too high, and you risk pricing out potential tenants. But undercharge, and you're leaving money on the table. Research the local market, factor in your operating costs, and set rents that are fair and competitive. This will not only help you attract high-quality, long-term tenants, but it will also ensure your properties remain filled and your cash flow remains steady.

Communication is Key: Be Responsive and Respect Their Privacy

Effective communication is the cornerstone of any successful landlord-tenant relationship. Make it a priority to be available and responsive to your tenants' questions, concerns, and requests. Whether it's a quick email, a friendly phone call, or an in-person visit, let your tenants know that you're there to support them. At the same time, respect their privacy and personal space. Striking the right balance between being accessible and giving them the autonomy they crave will go a long way in building trust and fostering a positive, long-term partnership.

Cultivate a Positive Tenant-Landlord Relationship

At the end of the day, happy tenants equal happy landlords. By investing the time and effort into creating a welcoming, well-maintained, and responsive rental experience, you'll not only keep your properties filled but also maximize your profitability. Remember, your tenants are the lifeblood of your business, so treat them with the respect and attention they deserve. With these Houston property management tips in your arsenal, you'll be well on your way to building a loyal tenant base and enjoying the fruits of your labor.

But what if there was a way to simplify your life while still getting the most out of your investment?

Enter the world of turnkey property management. This innovative approach transforms how landlords operate, ensuring they reap the benefits without the headaches. Let's dive into how this could be the key you've been looking for.

Simplify Tenant Screening and Placement

Turnkey property management companies excel in finding the perfect tenants for your rental property. They have the resources to conduct thorough background checks, ensuring that your tenants are reliable and likely to pay rent on time.

This reduces the risk of rental income loss. It also minimizes vacancies, translating to more consistent revenue for you.

Plus, a reputable property management company will handle all the marketing and advertisements for your property. With their expertise, you can relax knowing your property is in expert hands and your rental income is secure.

Streamline Rent Collection and Financial Management

One of the major benefits of employing a property management company is its efficient rent collection processes. They have systems in place that allow for online payments, reducing the delays associated with traditional payment methods. This ensures that your rental income is consistent and on time.

They also handle all the financial aspects of managing a property. This includes expense tracking and generating monthly financial reports. By entrusting these tasks to professionals, you will know the financial health of your property is being expertly managed.

Ensure Compliance with Housing Regulations

Navigating the complex web of the Houston area's housing regulations and property laws can be daunting for any real estate investor. Property managers stay abreast of the latest legal requirements and ensure that your property complies with them.

This can include everything from property maintenance standards to tenant rights laws. By ensuring compliance, you avoid costly fines and legal issues that could otherwise detract from your investment's profitability.

Deliver Expert Maintenance and Repair Management

A well-maintained investment property not only keeps its value but also attracts and keeps tenants happy. A property manager has a network of trusted contractors and maintenance professionals.

'This also saves you time by eliminating the need to find and vet contractors yourself. It also often results in cost savings because of their established relationships.

Plus, regular maintenance checks can also prevent minor issues from turning into major repairs. With a dedicated team looking after your property, it remains in top condition year-round.

These Are the Benefits of Turnkey Property Management

Turnkey property management is not just about saving time and money. It's also about maximizing the profitability of your Houston area rental properties. Enjoy the benefits of real estate investment without the day-to-day hassles and see how this service can be the solution you've been searching for.

With over 30 years of experience, Precision Realty & Management has been a leader in the local real estate market and the property management community. If you are looking for a turnkey property management solution, contact us today!

Section 8 housing is a federal assistance program that helps low-income individuals and families afford safe and suitable housing. Through Section 8, eligible tenants receive vouchers to help subsidize their rent payments in privately owned rental units.

Landlords participating in the program agree to rent their properties at a fair market rent, which is determined for each area.

This guide, tailored specifically for Houston landlords, explores Section 8 housing, how it works, and what you need to know to navigate this program successfully.

How Does Section 8 Work?

Tenants apply for Section 8 vouchers through their local public housing authority (PHA). Once approved, they receive a voucher that covers a portion of their rent.

Before a landlord can participate in the Section 8 program, their rental property must pass a housing quality standards (HQS) inspection done by the PHA. This ensures that the property meets basic health and safety requirements.

Once a rental unit passes inspection, the voucher holder and the landlord can sign a lease agreement. The lease outlines the:

• Terms of the tenancy
• Rent amount
• Lease duration
• Tenant responsibilities

The voucher holder pays a portion of the rent directly to the landlord. The remaining portion of the rent is subsidized by the PHA, which pays the landlord directly on behalf of the tenant.

Section 8 vouchers are typically issued for a specific period. Thereafter they may be renewed subject to eligibility criteria. Voucher holders must undergo periodic recertification to verify their continued eligibility for assistance.

Benefits for Landlords

Section 8 provides landlords with a reliable source of income, as the portion of rent covered by the PHA is guaranteed each month.

Participating in Section 8 expands the pool of eligible tenants. This allows landlords to fill vacancies more quickly and reduce the risk of prolonged vacancies.

PHAs conduct regular inspections of Section 8 properties, ensuring they are well-maintained and meet program standards. This helps landlords identify and address maintenance issues promptly.

Houston Landlord Advice

Familiarize yourself with the local laws and regulations that govern Section 8 housing in Houston. This includes fair housing laws and landlord-tenant rights and responsibilities.

Maintain open communication with Section 8 tenants and the PHA. Clearly outline:

• Expectations
• Responsibilities
• Rent payment policies
• Maintenance and lease agreements

Regularly inspect and maintain your rental properties. This will help ensure they meet housing quality standards and offer a safe and comfortable living environment for tenants.

Know your responsibilities and rights as a landlord participating in the Section 8 program. Familiarize yourself with the following:

• Terms of the lease agreement
• Procedures for addressing issues

Navigating Section 8

Understanding Section 8 housing can offer valuable opportunities for Houston landlords. By familiarizing yourself with how the program works you can successfully navigate this and reap the benefits it offers you and your tenants.

Precision Realty and Management LLC has been in business since 1989, and we are proud to be leaders in our local real estate market. We are members of NARPM and keep ahead of industry trends to pass on to you. Our experienced property management team will assist with any Section 8 inquiries, so contact us today to discuss your needs.

Houston, Texas landlords seeking some help should consider working with a leasing-only service.

With this service, a property management company will handle everything until the lease is signed. From there, the landlord takes the reins.

Is leasing only right for you? Keep reading to learn why it's the perfect solution.

Vacancy Reduction

If you struggle to keep your Houston rental properties occupied, a leasing-only service can help. Landlords might spend their time running day-to-day operations and miss opportunities to find the best tenants.

It can take a lot of time to find quality renters. Leasing-only services not only find top prospects, but they can get vacancies filled fast.

Not only do you reduce your vacancy rate, but leasing-only services find the best tenants through tenant screening. Background and credit checks can help you mitigate your risk as a landlord.

Leasing-only services do not handle tenant evictions. This will be the landlord's responsibility. Yet, a leasing-only service can help landlords avoid the risk of eviction by finding ideal renters based on your criteria.

A property management company that offers leasing services can advertise your vacancies, screen applicants, and create new leases. You'll take everything else on after the tenant moves in, including lease enforcement.

Marketing Services

Without marketing, potential renters won't know when you have a vacant unit. Some landlords don't have experience with rental property marketing, which can cause your unit to stay vacant for longer.

This problem ends when you hire a leasing-only service. A leasing agent will advertise your vacancy on popular listing websites. They may have their own website where they can market your rental, too.

Other activities to advertise the property may include:

• Posting on social media
• Creating flyers
• Posting signs

Using professional photos and top-notch listing descriptions, these professionals can get your property rented faster.

More Management Control

Not every landlord wants to hand the reins over to a property management company. However, seeking some help still allows you to control most aspects of property management.

The best landlord advice is to seek help only where needed to save money. You might be a great property manager but struggle to find the best tenants. In this situation, working with a leasing-only service makes sense.

Landlords will have complete control over maintenance, rent collection, tenant relations, and other day-to-day operations. Out-of-town landlords should consider full-service rental property management.

Is a Leasing Only Service Right for You?

A leasing-only service can help make property management more manageable. If you struggle to find quality tenants and market your vacancies, this service could be right for you.

Precision Realty & Management has been in the business of helping Houston landlords since 1989. We provide services based on the latest property management trends. We are also active members of the NARPM.

Whether you need a leasing-only service or full-service property management, we can help. Contact us today to speak with a dedicated property management team member directly.

To avoid these mistakes altogether, it's important for property managers in Houston, Texas to understand tax statements and 1099s. Knowing what you need to file ahead of time will help you prepare for tax day.

Keep reading to learn more.

Tax Statements and 1099s: What's New?

In 2021, the American Rescue Plan Act was signed by Congress. This new law addresses how property owners report their income.

Now, the IRS requires landlords to report income from non-employment channels if it exceeds $600. Previously, this income only had to be reported if the income exceeded $20,000.

It's important to avoid accounting mistakes so that you can accurately file your taxes. Failure to follow these regulations can lead to fines.

The type of 1099 form you'll need to file will depend on your rental income and how you pay non-employees. Let's go over the different tax statements and 1099s you may be required to file.

1099-K Form

If you receive rental income electronically, you'll file a 1099-K form. Transactions exceeding $600 via rent collection apps and digital payment services must be reported to the IRS.

If you hire a property management company, they will implement a tenant portal where renters can pay rent online. Doing so likely means you'll need to file this form during tax season.

1099-NEC Form

Non-employees, like independent repair and maintenance contractors, should fill out a 1099-NEC form. You can provide them with this form when you hire them and file it with your taxes.

Again, you'll only need to file this form if the payments exceed $600.

1099-MISC

Property finances don't always come in digital forms. If you still accept cash or paper checks for rent, you'll need to file the 1099-MISC form. This form is for miscellaneous income sources only.

Additional Tax Statements for Landlords

You may already be familiar with certain tax forms when completing landlord taxes. Form 1040 is used by most taxpayers to file annual income. You can use the form to report rental expenses and income.

Accurate filing of this form helps landlords determine what rental property deductions they may qualify for.

If your business is legally a partnership or S Corp, you need to file Form 8825. This form is similar to Form 1040 but involves reporting income from real estate trusts, estates, and partnerships.

How Can a Property Manager Help?

A Houston, Texas property manager understands what it takes to run a successful rental property. This knowledge includes rental property accounting and tax filing.

Precision Realty & Management offers comprehensive financial reporting. We provide annual tax statements and 1099s to help you accurately report your income.

Since 1989, we've taken on the role of leaders in the industry. As active members of the NARPM, we know what it takes to help Houston landlords like you succeed.

Don't hesitate to reach out to our dedicated property management team. Contact us today for a free service quote.

Houston is ideal for real estate investing for many reasons. However, it's not as easy as buying a property and renting it out. With the right portfolio management tips, investors can earn a consistent income.

Here's what you need to know:

Real Estate Portfolio Management Benefits

Effective real estate portfolio management is the best way to maximize your returns.

Seasoned portfolio managers can help landlords attract the best tenants, and increase rental prices, among other things. This is all to boost rental income.

Real estate investing is a step ladder to wealth generation. By enhancing property value and reducing legal risks, property owners have more to gain.

With many types of real estate assets out there, it's important to diversify. Over time, you can scale your business up. Acquiring new real estate assets helps your portfolio grow, which allows your money to grow.

Building a Real Estate Portfolio

Building a real estate portfolio isn't as simple as buying investment properties. You need to have a strategy before diving in.

Your investment strategy should be based on your goals. Decide if you are in real estate for the short or long term. This will help you outline the types of properties to invest in.

You may want to be a fix-and-flip investor in Houston. This get-in and get-out investment can help you gain short-term income.

Some Houston property owners prefer the long game. They will invest in multi-family properties to gain monthly rental income.

No matter what you choose, research the market. A rental analysis can help you make a sound investment. Secure financing if you don't already have it to streamline property acquisition.

Hiring Property Managers

How you manage your investment properties plays a key role in the success of your portfolio. Hiring property managers is beneficial because they will handle day-to-day operations for you.

Notably, property managers contribute to property success by:

• Managing tenants
• Maintaining the property (repairs and maintenance)
• Managing finances
• Keeping owners compliant

Property managers have experience analyzing investment properties. By tracking your operations, they can recommend areas of improvement. Data-backed decisions keep the income rolling in.

In addition to a property manager, you can get help from a portfolio manager. Both are important for portfolio management.

Real estate portfolio managers will help owners acquire and finance real estate assets. You'll work closely with this professional to discuss investments that can help you reach your overall goals.

Work With the Best in Houston, Texas

Real estate portfolio management is all about maximizing your investment's potential. Precision Realty & Management, LLC., can help you do that.

Since 1989, we've been leaders in the Houston real estate market and property management community. As active members of the NARPM (National Association of Residential Property Managers), we stand out from the competition.

Successful property management will help you grow your portfolio. For a happier real estate management experience, contact us today.

Read on to learn more about the role of property managers in maintaining tenant satisfaction!

Make Maintenance a Priority

You need to maintain your buildings well as a property manager. Invest in routine maintenance of HVAC and plumbing to avoid catastrophic issues down the road. And do deep cleans to all units before new tenants move in.

Additionally, you'll want to remember that appearances matter. Fresh paint on the exterior of a building and nicely landscaped properties show that you value your tenants. Even when there's strong housing demand in Houston, you don't want to skimp on maintenance and upkeep.

Communicate Clearly

As a property manager, clear communication is critical. Tenants will appreciate knowing about things like upcoming maintenance. They'll also like reminders about rent due dates and other critical information.

They'll expect prompt communication when they submit repair requests, too. Respond via phone or through a messaging portal to let tenants know you're addressing the problem. And after a technician has serviced an issue, offer follow-up communication to make sure everything is working properly.

Communication also extends to tenant disputes. You'll want to mediate these situations quickly so they don't escalate. And you want to ensure that your tenants feel safe.

Provide Strong Amenities

A good rental property offers appealing amenities to attract tenants. Amenities can include things like a clubhouse with exercise equipment. Amenities also include covered parking spots, community gardens, and pools.

Offering amenities beyond a clean living space can give you an edge. And in a competitive real estate market, that's critical.

But you'll need to maintain your amenities, too. After all, no one will use a dirty pool or workout space. That translates to regular cleaning and updates.

If this all seems like a lot to handle, outsourcing these responsibilities to a property management company can make life easier. They can offer a professional presence so you can focus on expanding your investments.

Offer Incentives

Incentives, like reduced rent, are great ways to attract and retain good tenants. Especially for long-term tenants, it can pay to sweeten the deal. Start lease renewal conversations early so you can be competitive in an active Houston real estate market.

Maybe you can offer a free covered parking spot for a year. Or maybe you could reduce or eliminate the fee for pets. Other incentives can include offering an upgrade to a larger rental unit or one with a better view.

Understand the Role of Property Managers

Property managers can make or break a tenant's experience. Focus on offering clear communication and strong property maintenance so tenants feel appreciated. And use incentives to keep your best tenants.

At Precision Realty & Management, we've been serving the Houston real estate market since 1989. We can help you with anything from lease renewals to management reports. Contact us today to learn more!

When it comes to renting out your own property in Houston, setting the right rental price is crucial. Whether you're a seasoned investor or a first-time landlord, understanding the factors that influence rent prices can help you maximize your ROI.

What do investors need to know about rental valuation? Read on for our complete rental valuation guide.

Understanding Rental Analysis

Rental analysis involves evaluating various aspects of your property and the local market to determine its rental value. This includes the following factors:

• Location
• Size
• Condition
• Amenities

Consider Home Sales in the Area

Keep an eye on recent home sales in your neighborhood to gauge the market demand and pricing trends. Higher home sales prices in your area generally indicate a strong rental market and may allow you to set a higher rent for your property.

Valuing a Rental Property

Calculate the potential rental income by researching similar properties in your area. Look for properties with similar size, layout, and amenities to get an idea of what tenants are willing to pay.

Assessing Property Amenities

The following property amenities can impact the rental value:

• Updated kitchens
• Modern appliances
• Parking spaces
• Access to amenities like gyms or pools

Highlighting these features can justify a higher rental rate.

Determining Gross Rent

Gross rent refers to the total rental income generated from the property before deducting expenses. Calculate the gross rent by multiplying the monthly rental rate by the number of months in a year.

Calculate Return on Investment (ROI)

As a real estate investor, it's essential to consider the ROI when setting the rental price. You can get this by dividing the annual net rental income (after expenses) by the property's purchase price or current market value.

Researching Rental Rates

Conduct thorough research on rental rates in your neighborhood using the following:

• Online platforms
• Real estate listings
• Property management companies

Aim to set a competitive rental rate that reflects the property's value while remaining attractive to potential tenants.

Adjust for Market Conditions

Keep in mind that rental market conditions can fluctuate over time. The following factors can influence rental demand and pricing:

• Economic trends
• Job growth
• Housing supply

Stay informed about these changes and tweak your rental price accordingly.

Consult with Real Estate Investing Professionals

Consider getting advice on your rental prices from real estate professionals or property management companies familiar with the Houston market. They keep track of everything that makes it possible to set a fair rental price based on market data and industry expertise.

Maintain Flexibility

It's wise to change your rental price based on feedback from potential tenants and market dynamics. Maintaining flexibility can help you attract tenants fast and avoid prolonged vacancies.

Rental Valuation Is Critical

Valuing a rental property in Houston demands careful consideration of home sales, property amenities, rental rates, and more. With diligent research, landlords can set a fair rental price.

Do you think you need some help with Houston rental valuation? Contact Precision Realty & Management to hear more about our property management solutions. We've been helping investors since 1989.

Housing supply increased by almost 2% in 2023, which makes the city an attractive destination for home buyers and renters. If you've been on the lookout for a tenant, you won't need to keep looking for much longer!

But there's one catch: Can you ensure that your tenants honor their lease agreements? If you're not careful, you can end up with squatters who don't pay their rent, bills, or any extra fees!

Here's how to approach lease enforcement in Houston.

Always Collect a Security Deposit First

Your first step should be to collect a security deposit at the time of signing the lease agreement. The security deposit affirms that the tenant has the funds to pay your rent.

As an alternative, you can also charge a monthly fee along with the rent payment. This is permissible under Texas law, so you'll have to decide which is the best option for you.

With a security deposit, you can keep the money to cover the cost of property damages. You can also keep part or all of the money to cover the costs of unpaid rent.

Before preparing a rental agreement, make sure you speak to a real estate lawyer. They'll help you prepare an agreement that remains within the confines of Texas law.

Find the Best Tenants

The easiest way to avoid lease violations is to find responsible tenants. You should always ask tenants to provide proof of income. You want to check that they have financial security before renting your property.

Ask them for references as well. You should contact their previous landlords to inquire about them.

Don't be in a rush to find a tenant. Even if they can afford to pay your rent, you should only rent your property to someone you feel comfortable with.

You have to treat your relationship with your tenant as you would any business relationship. Your tenant is your client, and you should only work with clients you feel comfortable with.

Hire a Property Manager

The final suggestion is to hire a property manager. Property management services will assist you with your landlord duties.

For example, they can help you find tenants. They'll also collect rent and other payments from your tenants. They can arrange for maintenance procedures such as property inspections.

They play an invaluable role in making your property desirable to potential tenants. Once you've found a property manager, you're ready to put your property on the market!

Ensure Lease Enforcement

Now you know how to ensure lease enforcement for your properties in Houston. You should either collect a security deposit or charge a monthly fee along with your rent. Hire a lawyer before you prepare a rental agreement.

One of the easiest ways to avoid lease violations is to find responsible tenants. If you hire a property manager, they can help you find tenants and deal with the other challenges of being a landlord.

Are you looking for a property manager? Precision Realty & Management is waiting to hear from you!

This number indicates serious issues between landlords and tenants in Houston. No landlord desires to evict their tenants, but sometimes they give you no other choice. Whether it's because of missed rent payments or they've damaged your property, you need to know the right way to go about an eviction.

Today, we'll give you a short guide for handling evictions in Texas. It can be a long, difficult process, but keep reading, and you'll be able to properly navigate the law to rid yourself of a bad tenant so that you can get a good one in your rental ASAP.

Understand Eviction Laws

First and foremost, you need to understand the eviction laws in Texas. Here, you can evict a tenant for specific reasons, such as failing to pay rent, violating your lease agreement, or conducting illegal activity on your property.

If any of these things have occurred, it's important to issue the proper type of notice. Failing to do so could result in a delayed or failed eviction case.

Attempt Communication

We'll talk more about types of eviction notices next, but before you do that, it's in your best interest to try and attempt to communicate with your tenant once more. Doing your best to reason with your poor tenant and give them a chance to rectify the situation will reflect well on you throughout the process.

People fall on hard times. Good tenants can turn into bad ones. If you can't get through to your tenant, however, it's time to officially begin the eviction process by issuing a notice.

Sending an Eviction Notice

Sending your tenant a written notice will state your intention to remove them from your rental property. There are different eviction notices for different types of evictions.

If your tenant fails to pay rent, you serve them with a 3-day notice to pay or quit. If they violate your lease agreement, they're served with a 3-day notice to cure or quit. Any illegal activity may be served with a 3-day notice to vacate, which means they must leave the premises within 3 days.

Should the tenant ignore the official notice, you're free to file the eviction with the local court. When you do this, you and the tenant will both be given a court date, where you'll each state your case.

Going to Eviction Court

In preparing for the court date, it's important to gather as much evidence as possible. Whether it's photographs of damaged property, statements showing failure to pay rent, or correspondence with the tenant, quality evidence should make your eviction cut and dry.

Once you've won your case, the tenant will be issued an official eviction notice. If they're not out of your rental by the date specified, they can be forcibly removed by the authorities.

Property Managers Help with Evictions

Even when you do it all the right way, eviction can be stressful for landlords. If you want to avoid evictions at all costs, you need to thoroughly screen your tenants. To do this the right way, consider hiring property management.

At Precision Realty & Management, we can properly screen your tenants and take care of evictions if the need arises. Contact us to learn more about what we do.

Before that happens, consider hiring an experienced property management company. The best Houston property managers can help you find tenants, boosting your occupancy rate. Discover the benefits of hiring a property management company today!

1. Marketing Help

The most experienced property management team will help you develop an effective marketing strategy. A digital marketing strategy will help more Houston renters find your available units online. To appear on multiple marketing channels, your strategy should include:

• Content creation
• Email marketing
• Search engine optimization
• Paid advertising
• Social media marketing

It can take months before you create effective campaigns that generate results, especially if you lack experience. During that time, you could miss the chance to attract renters to your properties.

Hiring a property management team will help you develop effective campaigns from the start. Their marketing help will ensure you maximize your reach online. Appearing in front of more Houston renters will expand your tenant pool.

2. Screen Tenants

Once you find tenants online and begin generating applications, it's essential to screen tenants. Otherwise, you could end up with renters who:

• Upset neighbors
• Cause property damage
• Pay rent late

Over five million US households are behind on rent (with an average arrears of over $2,000). Neglecting to screen applicants could put you in a stressful situation.

Hire a property management firm that already has a tenant screening process in place. Ask about the information they gather in each report. For example, they may provide employment verification, credit checks, and criminal background checks.

These reports will help you avoid problematic renters. You can feel confident choosing reliable individuals you want to retain as tenants long-term.

3. Manage Tenants

The best property managers will manage tenants on your behalf. They'll respond to tenant inquiries without delay. Ensuring tenants receive the help they need can boost satisfaction rates.

Happy tenants are more likely to renew their leases. Increasing lease renewals can benefit your ROI and occupancy rate.

4. Rent Collection

Look for a property management company that uses state-of-the-art technology to streamline processes. For example, they can simplify your rent collection process using an online tenant portal. Collecting rent online can help you avoid late payments.

5. Peace of Mind

Hiring an experienced property management company will give you peace of mind. Their range of services can help you avoid stressful situations in the future.

For example, they can help you remain compliant with local laws and regulations. Their expertise can help you avoid a fine or legal issues.

Hire a Houston Property Management Company

You don't have to manage your Houston properties alone. Instead, consider the benefits of hiring a property management company. Leveraging their experience and expertise can help you succeed in the local real estate industry!

Need immediate help with your Houston properties? Look no further than Precision Realty & Management. We've been a leading Houston property management company since 1989.

Our family-owned and operated business can help you maximize your Houston rental's earning potential. Contact us today to benefit from our services firsthand!

With so many renters in Houston, you should never have a problem finding tenants. Good tenant screening practices will ensure you get a qualified tenant, but it won't guarantee protection for your rental investment. For that, you need to think about using security deposits as insurance.

Today's post will be a guide for Houston landlords who are new to the world of security deposits. Between security deposit laws and allowable deductions, it can be quite confusing. Keep reading and we'll make sure you know what you can and can't do.

What Is a Security Deposit?

Security deposits are effectively an insurance policy that landlords use on their tenants. You never know what a tenant will do in your rental property, so a damage deposit gives you a financial safety net if they damage anything.

When a tenancy starts, you'll do a move-in inspection with the tenant, making note of any existing damage or wear and tear. After the tenancy, you'll do the same inspection, and if there's new damage, you can cover the cost of repairs with some or all of the security deposit.

What Is the Maximum Deposit?

The first thing you need to properly navigate security deposits is to understand security deposit laws. Every state has a different stance on this subject, with the biggest difference being how much you can charge for a security deposit.

Unlike other states, Texas security deposits have no cap. You can charge your tenants as much as you see fit, but it's important to remember that the more you charge, the smaller the pool of tenants will be.

Most landlords will charge anywhere between half a month's rent to the equivalent of two months' rent for a security deposit. Any more than that and you're risking scaring away really good tenants.

When to Keep a Deposit?

Another aspect of security deposit law is the rules around allowable deductions. One important thing for landlords to understand is the difference between wear and tear and tenant-caused damage.

Minor issues like stained fixtures and loose door handles can be attributed to wear and tear. When you've got actual damage, like ripped carpets or holes in the walls, that can be classified as damage. You can keep some or all of the security deposit to pay for the repairs, but you'll need to keep receipts.

If a tenant thinks that you've overcharged them, they may want to see receipts for the repairs. For that reason, try to be as accurate as possible with rental accounting.

Precision Can Help With Security Deposits

Being a landlord comes with a set of responsibilities that can be uncomfortable at times. Dealing with damage to rental property and security deposits is one of those responsibilities. If you're worried about security deposits, it might be time to hire a Houston property manager.

Not only will a property manager collect security deposits and deal with them accordingly, but they'll also take care of other important tasks like repairs and tenant screening. Precision Realty & Management is one of Houston's top property management companies.

To learn more about what we do and how we can boost your investment, don't hesitate to contact us today.

If your rental applicants are avid pet owners, they aren't going to choose your property if you don't allow their family. Allowing pets in a rental property provides you with a larger pool of applicants, but there are some cons.

Keep reading to learn about the pros and cons of allowing renters to own pets in Houston, Texas.

Pro: Higher Rent

Rental valuations and market values determine how much you can charge for you. By allowing pets in a rental property, especially when few places in the neighborhood are pet-friendly, you can charge a higher rent.

You could require a pet rent for certain animal breeds or animals of a certain size. You could also decide to charge higher security deposits, depending on security deposit laws in Houston, Texas.

Being pet-friendly alone could give you a leg up on the competition. If an applicant is trying to decide between your property and a similar one, they are going to choose the one that allows pets if they have one.

Con: Pet Damage

Landlords associate certain behaviors with pets. Pets might cause property damage, such as:

• Urinating on carpets
• Defecating in public spaces
• Chewing wood
• Destroying landscaping

Pet accidents that occur in units and on the property can cause an unpleasant odor. These bad smells can build up in common areas and make other tenants unhappy.

With routine rental property inspections, you can spot possible pet damage and hold tenants accountable.

Pro: Longer Tenure

A tenant won't consider your rental property as their home if they can't have their furry friend with them. Houston tenants who are allowed to have pets are more likely to renew their lease.

Settling in with a pet can make a renter feel like they have a permanent residence. It's difficult for pet owners to find alternate dwellings that allow pets.

This means you'll also have a larger pool of new applicants if a tenant doesn't decide to stay. Allowing pets attracts more tenants to the property.

Con: Pet Disruptions

Pets can cause disruptions to other tenants living on the property. For example, excessive barking can annoy other tenants and cause them to complain. When there are dogs on the property, it can be difficult to manage noise levels.

In severe cases, pets may cause injuries to other tenants and yourself. Consider requesting that pet owners get renters insurance to provide coverage against physical injuries caused by pets.

Should You Allow Pets in a Rental Property?

There are pros and cons to allowing pets in a rental property in Houston, Texas. You can benefit by charging higher rent and keeping tenants longer, but there are risks.

To mitigate the chances of pet damage and disruptions, require pet owners to follow certain rules.

At Precision Realty & Management, LLC., our professional property managers can ensure tenants are responsible for their pets. With over 30 years of experience, we know how to demand that tenants follow property rules.

For a property management team you can trust, contact us today.

If you're facing high tenant turnover, it's time to reevaluate how you choose your tenants. Not every tenant who applies for a lease is the best choice for your property.

What should a tenant background check in Houston include? How can you make this process smoother for both you and your applicants?

Read on for three ways to conduct tenant background checks.

1. Gathering the Facts

One of the most important things to consider during a tenant background check is credit history. Checking an applicant's credit history tells you far more than their credit score. It will also tell you what kind of debt they're currently carrying as well as their history of paying off debt on time.

You may also want to run a criminal background check. To do so in Houston, you need to make sure that you're not violating any federal or state laws. For example, you can't run a criminal background check unless an applicant gives you their written consent.

2. Talking with References

Some valuable information won't show up in your credit and criminal background checks. If you want a more thorough picture of your applicant's character, you may also include a list of references in your application. This can include friends and employers but most importantly, it should include previous landlords.

Would an applicant's last landlord rent a unit to them again? Did they leave the property in good condition and generally comply with the lease during their tenancy? There is more to being a desirable tenant than paying rent on time, and references can give you a well-rounded sense of how an applicant will fit into your rental property.

3. Outsourcing Your Tenant Background Check

Landlords tend to skip tenant background checks because they don't have the time or resources for them. If adding an extra step to your leasing process isn't possible for you right now, it's time to outsource some or all of your property management.

Property managers do more than help you establish reasonable rent or advertise your property to interested parties. At Precision Realty and Management, we'll handle tenant background checks to match you with the best tenants for your property and reduce your tenant turnover rate.

Get Professional Tenant Screening in Houston, Texas

If you want to beat that 10% tenant vacancy slump that so many property owners experience in Houston, it's time to improve your tenant background check. A thorough tenant background check will give you more insight into an applicant's financial situation and character, steering you toward better and more reliable tenants every time.

Do you need help with tenant screening, advertising, tenant relations, or property management? Precision Realty and Management is one of Houston's leading property management companies with over 30 years of experience. Contact us to learn more about how we can help.

It's difficult to compete with new construction when it comes to amenities and finishes, especially if you own an older building.

Both commercial and residential rental properties in Houston, TX, require ongoing maintenance to retain their value and appeal. Read on to find out how to streamline maintenance coordination for your buildings.

1. Set up a Schedule

Creating a property maintenance calendar is an essential part of maintenance coordination for rental properties. Make a list of all the routine and preventive maintenance tasks associated with your property.

These may include:

• HVAC inspections
• Gutter cleaning
• Landscaping
• Roof inspections
• Exterior cleaning
• Winterizing equipment

Many of these tasks are seasonal, so it's easy to allocate space for them on your calendar. You should slot any other items in between these to help spread the costs over the year.

By sticking to your calendar and attending to these routine tasks, you can avoid incurring numerous repair bills all at once.

2. Carry Out Regular Property Inspections

Property inspections help you keep tabs on how well your tenants are taking care of your building. They also present opportunities to carry out routine maintenance tasks and check for necessary repairs.

Be sure to take a checklist with you so you don't miss anything during your visit. Some of the key things to inspect include:

• Windows and doors for leaks
• Pest control measures
• Lighting and electricity
• Plumbing
• Fire and CO2 alarm inspections
• Fire extinguishers

Under Texas law, you do not have to give your tenants notice before entering the property, but it's common courtesy to let them know at least 24 hours in advance.

It's best if your tenants are at home during the inspection so they can point out any maintenance issues they've noticed.

Routine inspections can help you pick up small issues and attend to them before they become major repairs. Talking to your tenants may help you identify upgrades that could add value to the building and encourage lease renewals.

3. Use Maintenance Coordination Software

Technology offers many solutions to help you manage a rental property. Property management software helps you stay on track with your maintenance calendar as well as a few other maintenance-related aspects.

These include:

• Scheduling inspections
• Contractor invoices and payments
• Assigning maintenance tasks
• Tracking maintenance request progress

This software usually includes an owner/tenant portal for seamless communication and coordination of maintenance and repairs.

Embrace Expert Property Maintenance Management

Hiring a Houston property management company is by far the easiest way to keep track of your maintenance commitments.

With over 30 years of experience in the industry, Precision Realty is one of the best-established property management companies in Houston.

We can assist with maintenance coordination for both residential and commercial buildings across the city. Our services include maintenance, inspections, rent collection, and marketing to maximize the potential of your investment.

Call us today to discover how we can bring true convenience to your property management efforts.

Houston might seem like an appealing option - but do people actually want to live there?

Read on to learn all about the pros and cons of living in Houston!

Pros of Living in Houston

There are many pros of moving to Texas which make Houston a viable place for real estate investment.

Houston has a diverse real estate market, offering a wide range of housing options. These include things like apartments, condos, townhouses, and single-family homes.

The city's affordability makes it feasible for individuals and families to own Houston real estate or find rental properties that suit their needs.

Compared to other major cities in the United States, Houston generally has a lower cost of living. Housing, utilities, groceries, and transportation tend to be more affordable.

That lets Houston residents maintain a comfortable lifestyle without spending all their money.

Houston is a fairly large city. There are lots of different neighborhoods for investors to explore. No matter what type of vibe you're wanting out of your rental properties, Houston has options for you.

Houston has a thriving sports culture, with professional teams in major leagues like the NFL, NBA, MLB, and MLS. Sports fans can cheer for teams like the Houston Texans, Houston Rockets, Houston Astros, and Houston Dynamo.

Growing Economy

Houston's economy is diverse and thriving, with a strong presence in industries such as energy, healthcare, aerospace, and technology. The city offers numerous job opportunities, attracting workers from different fields.

So if you're trying to create housing for young, up-and-coming professionals, Houston could be a great investment opportunity.

Cons of Living in Houston

While Houston has many attractive aspects, like any city, it also has its drawbacks.

Houston experiences hot and humid summers. Temperatures often exceed 90°F. Additionally, the region is prone to severe weather events like hurricanes and heavy rainfall. This can lead to flooding and other challenges.

The quality of public schools in Houston can vary based on the neighborhood. This can pose challenges for families seeking consistent and high-quality education options for their children.

Getting Around

The city's infrastructure is primarily designed for cars, making it less pedestrian-friendly. Walkability can be limited in certain neighborhoods, making it necessary to rely on cars for most daily activities.

Houston is known for having severe traffic, especially during peak hours. The sprawling layout of the city and heavy commuter traffic can result in long commute times and frustration for residents.

Houston's expansive layout and suburban sprawl can lead to longer commute times. The distance between home, work, and amenities can contribute to increased fuel consumption and commuting stress.

Pros and Cons of Living in Houston: Decide Today

There are both pros and cons of living in Houston for you to consider. Ultimately, real estate investors need to decide whether or not the market is right for their needs.

Do you need help managing Houston properties? Precision Realty & Management has worked in the area for over 30 years, and we've never faltered in our position as a real estate industry leader.

Contact us today to get started!

The last thing you need is for someone to move out without paying their final bill, but it happens.

Are you unsure how to collect unpaid rent after a tenant moves out? We have a few property management tips to help you get the money you're owed. Continue reading to learn more.

Confirm That the Tenant Moved Out

The first step in overdue rent collection is confirming that the tenant has left. If the tenant's furniture and other belongings are missing, that's a good indicator that they're gone for good.

If the property isn't empty, but the tenant's vehicle has been gone for several weeks, there is a small chance that they're simply on vacation. However, it's equally likely they've chosen to abandon their things. The best thing you can do in this instance is attempt to contact them.

Check the Laws

In most instances, it's okay to take the money you're owed out of the security deposit after evicting a tenant. Some states have a limit on what you can legally do with a resident's security deposit. You'll have to look into your local laws before moving forward.

If you're not allowed to take the money out of the security deposit, there are other steps you can take.

Send a Letter

Send an unpaid rent notice to the tenant's last known address. Be sure to include the amount of money the tenant owes and the due date. You should also make it clear that you intend to take legal action if the resident doesn't pay.

Keep a record showing that the tenant received the letter. You'll need it if the matter goes to court.

File a Claim

If the tenant doesn't respond to the unpaid rent notice letter, file a complaint with the small claims court. After filing the complaint, the court will give you instructions on how to serve papers to the tenant. Depending on the situation, you may have to hand the papers to the tenant in person or mail them via certified mail.

After the tenant responds, you'll receive a date for the hearing. The judge will make a decision based on evidence provided by both you and the tenant.

Hire an Attorney

When it comes to collecting back rent, an attorney can be a powerful asset. They can guide you through the process, and help you with all the complicated paperwork.

Hiring an attorney can be pricey, but depending on the amount of money the tenant owes you, it might be worth it.

How to Collect Unpaid Rent After a Tenant Moves Out Legally

Not sure how to collect unpaid rent after a tenant moves out? As you can see, it can be a complicated process. If the former resident doesn't respond after you send them an unpaid rent notice, you'll have to get the court involved.

Let a property manager take care of your tenant problems. Precision Realty has been helping landlords in Houston, Texas 1989. Contact us to learn more about our services.

To maximize your Houston real estate return on investment, it's essential to assess your rental property's potential. Conducting rental analyses can provide valuable insight. Let's take a closer look at how you can get started with a rental analysis.

What Is a Rental Analysis?

As the name implies, a rental analysis aims to determine a property's profitability. People use rental analyses to decide whether to invest in a specific property.

Its main purpose is to help investors avoid underpricing or overpricing their rental rates. This leads to better viability as a rental property, as you'll understand how to determine rent prices accurately.

Why Is It Important?

A rental market analysis can help you save time and make extra money. In context, it will be easier for you to find rental properties worth your attention. Since you'll price rent appropriately, you'll also find tenants faster and more consistently.

This can substantially reduce the number of vacancies your property experiences. Remember that even a handful of months your property is vacant can cost thousands of dollars.

For example, let's assume you own a single-family home you rent to tenants for $2,000 per month. Your mortgage, utilities, property taxes, etc. add up to $3,000 monthly. If your property is vacant for three months, you'll spend at least $9,000 out of your own pocket.

Depending on your financial situation, this could cause unnecessary stress. Conducting a rental analysis will help you predict a rental property's cash flow and find good neighborhoods to invest in. With this number in mind, you can assess how it will fit into your portfolio.

How Do I Get Started?

It's possible to conduct your own rental analysis. There are key expenses you should consider, such as:

• Mortgage
• Utility costs
• Maintenance expenses
• Homeowners association fees
• Miscellaneous expenses
• Cost of vacancy

You can then compare these numbers to other rental properties in the local market. This can help you determine if the property in question is performing above or below average. While you can handle this responsibility by yourself, consider outsourcing to a property manager.

They have the resources and tools to save you time and get better results. When searching for a property manager, look into their past reputation to see what other people have to say. Look for reviews that mention timeliness, professionalism, and communication.

You should also ask about their compensation. Many property managers charge a fee in the form of a percentage of your rental income. Clarifying this information will prevent financial surprises.

Handle Your Rental Analysis ASAP

Conducting a rental analysis will help you better understand your rental property's long-term potential. The sooner you have this information, the better your chance of avoiding mistakes you may have otherwise made.

Get in touch with a representative from Precision Realty & Management today. Our professional team knows the ins and outs of the Houston market and can help you make the best decision.

When you own an investment property, you can let your rental through an agency or become a private landlord. If you're new to investment property real estate, you probably aren't sure which is better.

There are several benefits to both options. Letting through an agency means you employ the expertise of a real estate agent vs. doing everything yourself.

This article covers what you should know about For Rent By Owner properties. So, if you're dipping into real estate investing, keep reading.

What Is "For Rent by Owner" (FRBO)?

Instead of listing an apartment or home with a brokerage firm or leasing agent, 'For Rent By Owner' describes apartments or homes rented directly by the owner or landlord.

This can be a good option for landlords and tenants, as you can save on fees. However, it's important to be aware of the risks involved in renting directly to your tenants, such as the potential for scams or misunderstandings.

Whether or not to become a private landlord is a personal decision. There are advantages and disadvantages to consider, and the best decision for you depends on your circumstances.

Pros of Private Rentals

There are several reasons why someone would want to become a private landlord. Here are two advantages worth noting.

Higher Rental Income

The first benefit you gain from being a private landlord is you can keep more of the rental income. This is because you will not have to pay a commission to a real estate agent or property management company.

Closer Landlord-Tenant Relationships

You communicate directly with your tenants if you're managing your own investment properties. This can help foster a closer relationship, benefiting all parties involved.

Cons of Private Landlords

Of course, nothing is without its disadvantages, especially in real estate. Here are some reasons to avoid offering your property as For Rent By Owner.

It's All On Your Shoulders

One of the most significant cons is everything lands on your shoulders. You'll collect rent, manage communications, and handle property maintenance as the property owner.

You May Have Difficult Tenants

When you manage your rental units, you interact directly with your tenant. Having an FRBO property means you may have to deal with difficult tenants independently.

Hire a Great Property Management Company to Help

As you can see, offering a For Rent By Owner property has both pros and cons. For this reason, it's essential to weigh the benefits and risks carefully before making a decision.

Some key benefits of being a private landlord include higher income, more control, and better relationships with tenants. However, some risks include handling all aspects of property management yourself. Ultimately, your best decision depends on your circumstances and preferences.

Contact us if you'd like to benefit from the services of a full-service property management company in Houston, TX. Our experts will help you grow your investment portfolio.

Taking care of your rental property accounting comes with many perks, the main one being that you don't have to pay a bookkeeper's fee. However, accounting mistakes can have dire legal and financial implications.

If you manage your own accounts, make sure to avoid these four common rental property accounting mistakes.

1. Reactive Rental Property Accounting

The king of all rental property accounting mistakes is doing your accounting in reaction to extraneous situations. Whether seeing a pile of disorganized papers and files or something as serious as an IRS letter, these things shouldn't remind you that it's time to manage your books.

You need a regular, ordered, and meticulous process that tells you when and how to do your accounting. Software that regularly calls your attention to managing your accounts is the best tool to avoid this mistake.

2. Disorganized, Paper Documents

Accountants love paper trails, but it's even better to have a digital filing system for receipts and payments in the modern era. Switching to digital payment systems for your tenants is a more efficient way to receive and keep track of them.

If you do ever incur expenses that leave you with a paper receipt, get a scanning app that allows you to snap a PDF of the slip and send it to your accounting system immediately.

3. Tracking Expenses After the Fact

Postponing your tracking and recording of expenses to one day of the week (or month) is not a good idea. Instead, use your scanning app and other software to record your expenses in real time. This is beneficial because it prevents you from forgetting a cost you can rightfully pass off to the renters (if they're at fault) or deducting it from your taxes.

4. Incorrect Write-Offs

The other side of the coin touched on in the previous point is the practice of deducting an expense you weren't supposed to from your taxes. Texas State Law strictly prescribes the types of expenses and payments you're allowed to deduct from your taxes.

In addition to rental property taxes, you'll also have to pay income taxes for your rental income stream. Though you can deduct some of the expenses you incur as a landlord from these taxes, doing it negligently can land you in hot water as if deliberately trying to dodge taxes.

Find a Partner in Property Management

Since many landlords in the US do their own accounting for rental properties, you can learn many common accounting mistakes and lessons from them. The biggest mistake is doing your rental property accounting in an ad-hoc, reactive way. Your accounting process should be structured and regular.

Other common mistakes are keeping disorganized records, lagged expense tracking, and deducting incorrectly from taxes on rental properties. Avoiding these mistakes can take you far as a landlord. If you want to go even further, contact us today to help maximize your rental investment's potential.

The rental process can be a more positive one if you know how to run a tenant criminal background check. This enables you to weed out the good from the bad, and it'll facilitate better landlord-tenant relationships.

Read on to see how to conduct tenant screening in Houston, TX.

Understand the Laws First

Performing a tenant background check is important for protecting yourself. However, there are laws surrounding the process, such as the Fair Housing Act. In addition, if you're getting credit or consumer reports, the Fair Credit Reporting Act requires you to tell applicants if their rejection's due to something you saw on their credit report.

Having a solid grasp on what is and isn't legally allowed will help you avoid trouble.

Get Written Consent

To run a background check on tenants, you'll have to get written consent. You can easily include it as part of the rental application, or you can create a separate form.

Either way, make sure that the consent is clear and specific about what you'll be checking. You should get their:

• Full legal name
• Date of birth
• Social Security number
• Current address

Select a Screening Company

There are several choices available online; conduct research to pick a reputable one. They should comply with the Fair Credit Reporting Act and other relevant regulations.

You can also have a property management company do the screening for you. They'll provide other services too, such as property marketing, rent collection, lease enforcement, and evictions.

Review the Results

After submitting the collected information to the screening company, they'll search their criminal databases for any relevant records. They'll then send you a complete report detailing the potential tenant's criminal history.

Review the results carefully to understand the nature and severity of any criminal records. You can determine their relevance to your rental decision. For instance, minor offenses probably won't disqualify someone, while serious crimes are red flags.

Follow Legal Procedures for Rejections

You need to follow legal procedures if you reject a tenant's application based on their criminal history.

Typically, you'll send an adverse action notice. This informs them of your decision and gives them information about their rights to dispute the accuracy of the information you found.

Perform a Thorough Tenant Criminal Background Check

Make sure you perform a thorough tenant criminal background check for all applicants. Consider it a type of eviction protection, as you'll be less likely to sign renters who are irresponsible and unreliable.

This may be a tedious and draining process for some landlords, so getting rental property management can be a solution. Reputable property managers can conduct the checks for you to take the burden off your shoulders.

For fantastic property management services in Houston, contact us today.

Managing rental properties can be challenging whether you're a seasoned investor or a small landlord. That's where landlord rescue services come in.

Read on to explore three key aspects of landlord rescue services in property management that make it a go-to solution for landlords needing assistance.

1. Comprehensive Property Management Solutions

Landlord rescue is a service for you as landlords in Houston, Texas. It provides a wide range of services to help make property management easier.

You can rely on landlord rescue services as an owner or real estate investor. It helps to manage your rental properties. For example, it helps take care of the following:

• Marketing your property for rent
• Finding suitable tenants
• Screening potential renters

Their experience in tenant screening makes sure that you find the perfect tenants who will take care of your property.

In addition to tenant management, landlord rescue services excel in property maintenance. It offers a network of trusted providers who will promptly address any maintenance issues that may arise. This ensures your property remains in excellent condition.

They conduct regular rental property inspections. This is to identify potential maintenance issues before they become major problems.

2. Eviction Protection and Legal Assistance

Dealing with evictions can be a daunting and complex process. Landlord rescue services offer eviction protection services to help landlords in Houston, Texas.

This service helps you deal with complicated laws of eviction. It can also try to limit the damage bad renters can do. A company with landlord rescue services has qualified employees who know the local eviction rules and can handle the whole eviction process quickly and easily.

Moreover, landlord rescue services provide legal assistance, including the following:

• Drafting lease agreements
• Lease compliance with local regulations

This ensures that you have legally binding contracts in place. It also ensures the protection of your rights as a landlord. You can then focus on your other responsibilities by leaving the eviction process and legal matters to a company with landlord rescue services.

3. Expert Leasing Management and Rent Collection

It can be time-consuming to find a suitable tenant for your rental property. Landlord rescue services take care of that and the leasing process. For example, anything from:

• Advertising your property
• Conducting thorough background checks
• Signing the lease agreement

Their marketing skills ensure that your property gets the best attention possible so you can quickly find tenants.

Once the tenants are in place, the services of landlord rescue handle rent collection on your behalf. They make sure payments are made on time. This ensures you don't have to worry about chasing down late payments.

With landlord rescue services, efficient leasing management, and rent collection services, you can enjoy a steady rental income without any hassle.

Get Peace of Mind with Landlord Rescue Services

Landlord rescue services are ideal for landlords looking for the best property management services in Houston, Texas.

By partnering with a company that offers landlord rescue services, you can free up your time, protect your investment, and enjoy a hassle-free rental property ownership experience.

Ready to reap the benefits of professional property management? Take the first step and contact us today.

Don't wait. Start maximizing your rental property investments now.

If you're on the fence about using a tenant portal, we get it! Some landlords may be used to a less digital option, and making the switch may seem unnecessary.

We're here to talk about how you can use a tenant portal to make life easier for you and your tenants. Read on to learn more.

Send an Instructional Email to New Tenants

When you get a new tenant, keep in mind that they may never have had a tenant portal before. It's possible that they're new to renting or that their previous landlord preferred to do things the old-fashioned way.

When you get a new tenant, consider sending them a welcome email that includes instructions for the tenant portal. They may be confused about how to log in and navigate the portal, so this will help them out.

Instruct them on how to set up payments, submit requests, and do everything else that their portal enables them to do.

Use It For Rent Payments

Tenant portals are awesome for making rent payments to the landlord and property management company.

Checks are almost obsolete, and most people don't keep large amounts of cash on them. It's also easy to lose physical payments. With an online portal, the tenant can easily submit their payment and it will go straight to you.

You can also set up rent reminders through the payment portal. Those reminders will go to your tenants' email inboxes so they never miss a payment. This makes things easier for everyone!

Use It for Maintenance Requests

Part of owning a rental property is being responsible for property maintenance. If something goes wrong, you're in charge of handling it (or assigning a maintenance professional to handle it for you).

Some tenants may not know how to request maintenance, or it may make them nervous. Maintenance requests made over the phone may also get forgotten.

When you use the tenant portal, it's easy to keep track of requests and it takes minutes for tenants to let you know what's wrong. Tenants can also leave specific comments to clarify the situation.

Include Lease Information

Having tenants keep a paper lease for their own reference is important, but let's face it: paper documents get lost! Why not include a digital copy of the lease online?

This way, tenants can check it whenever they like. If they have questions, they'll also have the specific lease paperwork to reference so they can get their answers with ease.

Make the Most of Your Tenant Portal

Setting up a tenant portal for your tenants will make your life as a landlord so much easier. It will also make things easier for your tenants! You can use it for maintenance requests, rent payments, and so much more.

Are you looking for a property management team in Houston, Texas, to help you manage your property, tenant portal and all? We've got you covered!

Contact us to learn all about how you can maximize your rental property's potential.

If you're looking to become a landlord, you need to understand every part of the rental process - including the rules around inspections. Luckily, we've got the information you need.

Keep reading to learn about rental property inspections in Houston, Texas.

1. Routine Inspections

Landlords in Houston have the right to conduct routine inspections of their rental properties. These inspections are typically conducted periodically. They help ensure that the property is being properly maintained and to identify any potential issues.

During routine inspections, landlords assess various aspects of the rental property. This includes things like plumbing systems, electrical systems, walls, flooring, and general cleanliness. They may also check for lease compliance. Examples can include unauthorized pets, smoking, or subletting.

2. Inspection Notice Requirements

Before conducting a routine inspection, landlords need to provide reasonable notice to the tenant. The specific period may vary depending on the terms of the lease agreement or local regulations. However, it's generally recommended to provide at least 24 hours' notice in writing.

The frequency of routine inspections may vary depending on the landlord's policies and the terms of the lease agreement. Some landlords may conduct inspections annually. Others may choose to inspect more frequently.

It's important to note that you should not conduct routine inspections excessively. They should also not disrupt the tenant's right to quiet enjoyment of the property.

In emergency situations, landlords may be allowed to enter the rental unit without providing prior notice. These include situations where immediate access is necessary to address a safety issue.

It can also include situations where entering can prevent further property damage. However, it is still recommended to make reasonable efforts to notify the tenant as soon as possible.

3. Move-In and Move-Out Inspections

In addition to routine inspections, landlords often conduct move-in and move-out inspections.

During a move-in inspection, you'll document the condition of the property before the tenant moves in. That includes any existing damages or issues.

Both the landlord and the tenant should walk through the unit together. You can note any pre-existing damages. You can take photographs of the unit. You can also complete a move-in inspection checklist or report.

A move-out inspection is conducted when the tenant is vacating the rental unit. The purpose is to assess the condition of the property at the end of the tenancy. You'll identify any damages beyond normal wear and tear. This will help you determine any deductions from the tenant's security deposit.

It is important to provide an itemized list of deductions and any remaining deposit refund to the tenant. This needs to be done within the required timeframe stipulated by local regulations.

4. Privacy Considerations

While landlords have the right to inspect the property, they must respect the tenant's right to privacy.

Inspections should be conducted in a manner that minimizes disruption to the tenant's daily life. You should be efficient and respectful during the inspection. Limit unnecessary intrusion and disturbance.

During inspections, landlords should focus on areas that require assessment. These include common areas or places with specific maintenance concerns. It's recommended to avoid inspecting tenants' belongings without their consent or a valid reason.

Rental Property Inspections in Houston: Now You Know

Rental property inspections are a complicated topic. Hopefully, you now understand the basics.

Do you need property management help in Houston? Contact Precision Realty & Management today.

Properties are getting scooped up the second they become available, especially if you're looking at houses, not apartments. Everyone dreams of living in a comfortable house with a big yard, so chances are you're competing with various other people for a limited amount of houses for rent.

So keep reading for three tips to help you find the perfect home for rent.

1. Real Estate Portals

While real estate portals are more commonly used by people looking to buy property, they also offer rental listings. Because most people assume they shouldn't look for rental properties on these portals, you might be able to snag a space before someone else.

Doing this gives you some idea of the areas you should look at. If you find a few listings for the same neighborhood, chances are you might be able to find more.

2. Use a Service

If you aren't interested in wasting time and simply want to get started with your new life, you should consider hiring a service to help you find a listing. These services have access to listings you won't be able to see as a civilian, plus they want to find you a home to rent, so they'll work extra hard to ensure you find your dream home.

When using a service to help you find a home to rent, you have to be open with your wants and needs. If you don't tell them exactly what you want and your budget, they won't be able to find it for you. So don't waste your time or theirs, and have a candid conversation about what you want.

3. Your Own Network

If you've lived in the area for a while, chances are you've made some friends and connections along the way. Ask them to keep their eyes out for any rental properties that pop up in their neighborhood. If they can recommend you for the space, even better!

Your friends and family will also know and understand what you want, so they're less likely to recommend something you don't like. This way, you have an inside scoop on the neighborhood and what to expect, plus you know where to go if you need to borrow a cup of sugar!

Find Homes for Rent

When you're looking for homes for rent, sometimes you have to think outside of the box. If an online portal hasn't been successful, it might be time to reach out to a service that can help you find your dream home. So don't lose hope; you'll find the perfect home to rent before you know it.

If you are in the market for your perfect rental home, contact us today to get started. Precision Realty & Management has been serving the Greater Houston Area since 1989.

If you are considering a property investment in Houston, TX, you may wonder how much to charge for rent. Rent in Houston is lower than the national average, but home prices are even more affordable.

In this guide, we will help you understand the current market trends impacting Houston rental prices. We will also explain the main factors you can use to decide the right rent for your investment property.

Rental Market Trends in Houston, TX

According to rent.com, the average rent in Houston, TX is $1,125–$1,509. The exact figure depends on the size of the rental unit and its location.

Average Rent by Unit Size

The average rental unit in Houston is 882 square feet in size. The exact amount in rent someone will pay for a unit of this size depends on the number of bedrooms.

Studio apartments rent for an average of $1,125. Demand for these units is down 12% from this time last year. Investors should look elsewhere if they want to get the best return.

One-bedroom and two-bedroom rental unit prices have remained much more steady. The average one-bedroom apartment goes for $1,304 right now. The average two-bedroom rents for $1,590.

Average Rent by Area

According to Rent Cafe, the Fourth Ward and Downtown Houston are the most expensive neighborhoods in Houston. The average rental property in these areas goes for $2,200 and $2,153 per month, respectively.

South Park and Heather Glen are more affordable areas. The average renter in these markets pays only $727 and $856 per month, respectively.

Investors may think it is a better idea to invest in higher-rent areas, but there is more demand for affordable units. The majority of Houston apartments rent for $1,001–$1,500. 42% of renters live in a unit within this price range.

How Much Should You Charge for Rent in Houston?

The amount you should charge for Houston rent depends on your mortgage. Ideally, you want the monthly rent payments to cover your mortgage payments, as well as any additional monthly costs (e.g., maintenance).

However, you should not charge significantly more for the unit's size and location. There will not be as much demand for your property, risking the potential for costly vacancies.

For example, say you buy a one-bedroom apartment in Downtown Houston. The median rent for a one-bedroom in the area is $1,874. This is only a median, meaning some properties rent for less and others rent for more.

Need Help Managing Your Houston Investment Property?

Rent in Houston is relatively affordable compared to the rest of the state and the country. Smart investors can still make solid returns as long as they price and manage their rental properties effectively.

Are you looking for a full-service property management firm to oversee your Houston rental unit portfolio? Precision Realty & Management has served real estate owners in the area for more than thirty years.

Contact us today for a free quote to find out how much our services can save you.

How much do you need to invest in Houston real estate? It's a question that you may have a hard time finding a straight answer to. It's essential, of course, that you have the proper funds to make the kind of investment that you'll want to make.

What do you need to know about the financial requirements for becoming a real estate investor? How much might Houston properties cost you? Read on, and we'll walk you through the basics.

What Kind Of Property Do You Want?

The first thing to consider is the type of property you want to invest in.

Houston has a diverse real estate market, with everything from single-family homes to apartment buildings and commercial properties.

The amount of money you need to invest will vary depending on the type of property you choose.

For a single-family home in a desirable neighborhood, you can expect to pay anywhere from $150,000 to $500,000, depending on the size and location of the property. If you're looking to invest in an apartment building, prices can range from $500,000 to several million dollars, depending on the size and location of the building.

Considering Financing Options

Another factor to consider is the financing options available to you.

If you're able to pay cash for the property, you'll need a significant amount of money upfront. However, if you're planning on financing the investment through a mortgage or other lending option, the down payment required may be lower.

In general, you can expect to need a down payment of at least 20% of the property's purchase price. This being said, some lenders may require more.

In addition to the purchase price and financing options, there are other costs associated with investing in Houston real estate.

You'll need to budget for closing costs, which can range from 2% to 5% of the purchase price. You'll also need to keep in mind the ongoing maintenance and repair costs. Property taxes and insurance will also be a recurring expense, so be sure to factor these into your calculations.

Don't Forget Your ROI

Finally, it's important to consider the potential return on investment (ROI) for your Houston real estate investment.

This will depend on a variety of factors, including the property's location, condition, and rental potential.

In general, real estate investments in Houston have seen strong returns in recent years, but it's important to do your research and work with a knowledgeable real estate agent or investment advisor to ensure that you're making a wise financial decision.

Affording Houston Real Estate

If you're looking to get into the Houston real estate market, you'll need to know how much you'll want to budget. In order to determine this amount, you'll need to get familiar with the above information.

Have more questions about Houston real estate? Looking to see what's available? Give us a call anytime for more help.

The point is, you just never know who you're dealing with, even when a potential tenant looks responsible and upstanding. The tenant screening process may just catch some unsettling secrets that are lurking under the surface. That's why it's essential to choose tenant screening professionals who leave no stone unturned.

Landlords in search of a better tenant screening experience, look no further. Let's discuss how you should choose from your options for screening services.

Choose Tenant Screening Professionals With Experience and Good Reviews

Experience is well worth its weight in gold. Companies with a long history of handling the tenant screening process have invaluable industry knowledge at their disposal. It's highly unlikely that they miss important details, such as a tenant that failed to pay rent on a previous lease.

Take note of tenant screening software from a company with strong reviews, testimonials, and proven results. Shy away from companies that may not be able to provide a truly comprehensive background check. However, keep your guard up since companies do occasionally create fake reviews.

Convenience and Ease-Of-Use during the Tenant Screening Process

You're a busy person, and managing property can be incredibly stressful. You already have a lot on your plate from maintenance to dealing with property taxes. Any tenant screening company that you contract with should make their process simple to use.

Tenant screening is straightforward: you provide the tenant information, and they do the research. They should do a thorough job, rather than asking you multiple times for different pieces of information. The entire experience should be relatively hands-off from start to finish.

Look for companies that provide exceptional customer service. They offer prompt responses and are on-call when you need them. It can take weeks to find a new tenant, so you can't afford to spend too long waiting for a screening.

Comparing Screening Costs

Naturally, background checks and tenant screening are not cheap. It's very difficult work to pore through so many records to find the truth about a tenant. But at the same time, it should be affordable as you will be processing multiple tenants at once.

Of course, you can offset the cost of background checks with application fees. But make sure the company you choose offers affordable pricing options. In most cases, you will need a full, in-depth background check on a tenant.

Manage Properties with Precision Realty

As you choose tenant screening professionals, you should look for those with a wealth of experience and good reviews. You want companies that make it a breeze to perform a simple background check. At the same time, you don't want this simple aspect of the application process to eat into your budget.

Precision Realty is here to help you with your Houston property management. Get in touch with us and let us take the load off your shoulders while managing and renting.

As a property owner, the last thing you want to do is make mistakes with property maintenance. If you're looking for some of the biggest mistakes that can be made and how to avoid those mistakes, you've come to the right place. Read on for what to do during routine property maintenance visits and how to avoid rental property damage.

1. Do It Yourself Jobs

When it comes to repairing rental properties, getting right there to do a project isn't always possible. Oftentimes your renters need the repairs to happen instantaneously. One mistake that is often made is that you let them take on the responsibilities themselves.

When it comes time for your regular property inspections, you find all these problems from renters not completing repairs. This should not happen; all responsibilities of house repairs should be something you take care of on your own.

2. Prioritize Inspections

One of the biggest mistakes that many individuals make with their proper maintenance routine is neglecting to do regular inspections until the last moment. This puts homeowners in the space of having many corrections to make when renters move out. When regular inspections are prioritized, those problems can be fixed before they do uncorrectable damage.

3. Read Over the Laws

Keeping an eye on the rights and laws that go into the property and their maintenance is half the struggle of being a property owner or manager. Not familiarizing yourself with the laws is one mistake many owners make. It is important to know the ins and outs of the required responsibilities.

4. Not Keeping Documentation Handy

Imagine a tenant asking for paperwork and you having no idea where the documentation was placed. Too often property owners make the mistake of not having all their papers put together and organized. Be sure to keep a careful log of where your papers are, what was done, and what any warranties may look like at all times.

5. Avoiding Routine Maintenance

Just because something works now doesn't mean that it can't use updates. Keep on top of all aspects of your rental homes and replace things as you see fit to keep your tenants happy. Waiting too long will create problems in the future that your renters will take issue with and that will cost you out-of-pocket expenses.

Mistakes With Rental Property Maintenance Can Be Avoided

Instead of there being too many mistakes with rental property maintenance, take the time to take care of that property you own. Establish a great connection with your tenants and make all of the updates and repairs that are needed in an organized and timely fashion.

For more regarding property maintenance and how to support your tenants, let us know what we can do for you. We understand the difficulties that come along with being property owners.

With so many renters available in this country, investing in a rental property is a safe way to earn money. Even though you should have no trouble raking in a profit, there are lots of different ways that you can maximize your rental income.

Have you been trying to brainstorm how you can improve the value of your rental property? Read on so you can gather our top five rental property tips.

1. Invest in Energy Efficiency

It's always worth investing in energy-efficient appliances that can make your rental property greener and keep your tenants' utility bills as low as possible. Not only will this attract a wider pool of high-quality tenants, but you can also sell your rental property at a much higher price when the time comes.

There are many other energy-efficient investments you can make like adding better insulation or even installing solar panels.

2. Maintain the Curb Appeal of the Rental Property

Curb appeal may seem like a silly thing to worry about, but first impressions matter. You want potential renters and buyers alike to be blown away when they first see your property.

Maintaining curb appeal is obvious evidence that you're a caring rental property owner, so the rest of the space should be just as impressive.

3. Preventative Maintenance Can Work Wonders

Lots of rental property owners wait for things to break or get damaged before they intervene. At this point, your reputation could already be on the line.

It's more productive and cost-effective to focus on preventative maintenance instead.

4. Consider Adding Attractive Amenities

There are all kinds of rental property benefits that families can enjoy depending on where they live. Some people choose to continue renting even if they have the funds to buy a home because they don't want to give up certain amenities.

For example, you could install a gorgeous pool, barbecue stations, tennis courts, and so much more.

5. Get Help From a Property Management Company

One of the all-time greatest property tips is to leave the stress and hard work to experienced professionals. If you're not sure what else you can do to maximize your profits, a property management company can keep an eye on your property and come up with a winning strategy.

You can rest assured that they'll help your rental units look as beautiful as possible from the inside out so you can continue to grow your income.

Did You Enjoy This Rental Property Guide?

Taking care of your rental property is crucial for increasing its value over the years. If you take the steps outlined in this guide, you'll be on the right path.

Are you curious about how property management services can help your Houston, Texas business? Contact us to learn all about the high-quality services we offer.

Property taxes are an important aspect of real estate ownership, and understanding how they work is crucial for any property owner in Texas. In this article, we'll provide a quick guide on property taxes in Texas.

What Are Property Taxes?

Property taxes are a type of tax that property owners pay on the value of their real estate. The taxes are used to fund local services, such as schools, police, and fire departments. In Texas, property taxes are the primary source of funding for local government services.

How Are Property Taxes Calculated?

Property taxes in Texas are calculated based on the appraised value of the property. The appraised value is determined by the county appraisal district, and it represents the fair market value of the property as of January 1st of each year.

To calculate your property taxes, the appraised value of your property is multiplied by the tax rate set by your local government. The tax rate is typically expressed as a percentage, and it can vary depending on where your property is located. For example, the tax rate in Dallas may be different from the tax rate in Houston.

Property Accounting Tips

Managing your property taxes can be a challenging task, especially if you own multiple properties. Here are some accounting tips to help you manage your property taxes more effectively:

Keep Track Expenses

To reduce your tax liability, you need to have accurate records of all property-related expenses. These can be things such as repairs, maintenance, and upgrades.

Consider Hiring a Property Manager

If you own multiple properties, hiring a property manager can help you manage your properties more effectively. They can also reduce the workload associated with managing your taxes.

Plan Ahead

Make sure to plan ahead for tax season. Property taxes are due on January 31st in Texas. To avoid late fees and penalties, make sure you prepare and pay your property taxes on time.

Why You Should Use Precision Realty and Management?

Precision Realty and Management is a full-service property management company that can help you manage your property taxes more effectively. Our team of experts has years of experience in property accounting.

We can help you reduce your tax liability by keeping accurate records of all property-related expenses. We also offer a range of property management services. These include tenant screening, rent collection, and maintenance services, to help you manage your properties more effectively.

Prepare for Property Taxes

Property taxes are an important aspect of real estate ownership in Texas, and understanding how they work is crucial for any property owner. By following the accounting tips in this article and working with a reputable property management company like Precision Realty and Management, you can manage your property taxes more effectively and reduce your tax liability.

Contact us for everything that you need when it comes to proper accounting before tax season hits.

If you want to get the most out of each real estate investment, then it's important to stay on top of your accounting. You may have the basics figured out, but there are many different ways you can improve this aspect of your business. That way, you can avoid mistakes and generate even more growth.

Are you wondering what you should do? Keep reading to learn about essential accounting tips for property investors.

Track and Itemize Expenses and Income

If you want accounting tips, then you can't forget to itemize your expenses. It's all too easy to lose track of this. Without a detailed book of expenses, you won't be able to make informed financial decisions.

The last thing you'd want is to spend more money than you're making. This is why it's crucial to itemize each expense as it occurs. If you try to go back later and do it, then your memory won't be as reliable as you might expect.

You should also do the same for income. By having this info organized, you can tell how well your business is doing with a few clicks in Excel or another software program.

Keep Business and Personal Expenses Separate

One of the biggest property accounting mistakes involves mixing personal and business expenses. Not only can this turn tax season into a nightmare, but it can also make mistakes more likely.

The sooner you create separate accounts, the better. The last thing you'd want is to explain to the IRS why your personal expenses were written off as a business expense, for instance. This will also help with tax statements and 1099s.

Enlist the Help of Professionals

Real estate investors often take on too much. If you want to reach your landlord goals and beyond, then there's no denying that you'll need some professional accounting help. At the early stages of your business, you may be able to do it on your own, but things can quickly get out of hand as you grow.

After you invest in real estate, you should seek out a property management company. Not only will they help you with accounting but they can also take on many other time-consuming chores, including rental analysis, onboarding tenants, and lease renewal.

Ready to Use These Accounting Tips?

Now that you've learned about essential accounting tips for property investors, you can ensure that your business runs more efficiently than ever before. Yet another way you can make sure your business grows is by investing in proper property management services.

Precision is a full-scale property management company that can handle the bulk of your tasks. From rental advertising and tenant screening to rent collection and inspections, we make the process of owning properties much easier.

Feel free to contact us with any questions you have or to get a no-obligation quote. We look forward to working together.

Houston is one of America's most popular cities, rated as one of the best places to live in the world. So, it's not surprising that homes were hard to come by during the property boom of 2020 to 2022.

Now that things are slowing down a little, you'll find you've got more options when it comes to investing in Houston property. Check out this real estate guide to the best neighborhoods in Houston for astute property investors.

Greater Heights

Greater Heights is just west of Highway I-45, and north of Highway 10, close to the Hardy Toll Road. This place the community within easy commuting distance of the city.

It's located close to the 478,584 sq. ft. Northline Commons shopping mall with its mega stores and fashion outlets. You can expect to pay upward of $600,000 for a home in this area, and inventory remains in short supply.

Since it's a popular area for business people and families alike, Greater Heights is a good choice for property investors wanting to grow their rental portfolio.

The Museum District

The Museum District holds pride of place amongst 19 of Houston's best-known museums and the Houston Zoo. It's also just 4 miles from downtown Houston, and close to the Medical Center and Rice University.

It's an expensive neighborhood but located close to all the highest-paying jobs. This makes it a good fit for those wanting to invest in property suited to rentals.

Rents are stable in the area and rival those in the upmarket Medical Center district. Close by, the Rice Military/Washington Corridor area is a slightly cheaper option.

Downtown Houston

Downtown Houston is a huge drawcard for new renters thanks to its excellent access to public transport and proximity to major employers. In recent times, developers have focussed on building high-end and mid-range condos of two, three, and four bedrooms, to attract even more renters.

Apart from these lock-and-leave dwellings, historic Houston loft apartments are another popular option for renters and investors alike.

In the last few years, Houston's residential market has doubled, so you'll rarely find any single-family homes available for sale here. Suitable alternatives include the surrounding areas of Montrose, Northside Village, EaDo, and Midtown.

The downtown area offers great price diversity, with prices ranging from $150,000 to $3,500,000, and offers easy access to all the best benefits of living in Houston.

Find Your Space Among the Best Neighborhoods in Houston

Houston is a thriving city where most of the inhabitants rent accommodation. This makes it an excellent choice for investment properties of all kinds.

Now that the market is cooling at last, it's a good idea to start shopping for your next rental real estate in this part of the world.

Our investor services can help you find high-earning properties in the best neighborhoods in Houston. Get in touch to get started on your investment property journey.

What are the correct steps to take when your tenant can’t pay rent?

Fortunately, this is one problem we can help with. In this short guide, we’ll tell you exactly what steps to take when a tenant stops paying in Texas. For essential landlord tips to make dealing with tenants easier for you, read on.

Understand Your Tenant’s Situation

The first thing to do when a tenant stops paying rent is to assess their situation. To start with, is this a recurring problem for them? Or do they have a long history of paying their rent on time, and are facing a unique situation?

Communicate directly with your tenant and ask why they’re unable to pay and when they think they’ll be able to again. Get all communications between the two of you in writing in case you need to make an eviction case later.

Review the Terms of Your Lease

A proper lease agreement will include an agreed-upon grace period for remitting rent. However you choose to proceed with your tenant, it’s necessary for you to follow the terms of your own lease, so it’s worthwhile to review it now.

Deliver a Proper Notice to Vacate

Even if you have no intention of evicting your tenant, you should deliver an eviction notice after the grace period indicated in your contract has expired.

This is mainly to protect your interests should the case go to court. It can also help make your tenant understand the seriousness of the situation you’re in.

Keep in mind that the way your eviction notice is written is very important. An improperly written notice could cause you to lose the case if it goes to court. It’s advisable to use a Texas-based professional eviction service just in case.

Evict Your Tenant

If rent collection attempts continue to be unsuccessful, at some point you will be forced to evict your tenant. Unless the terms of your lease say otherwise, Texas law requires that you give your tenant at least three days to vacate the property.

Rely on Precision Realty When a Tenant Can’t Pay Rent

By now you know what steps to take when your tenant can’t pay rent in Texas. As we said at the beginning, this is one of those landlord challenges that no one likes to deal with. But what if you didn’t have to do the work yourself?

From tenant screening to collecting rent, Precision Realty & Management knows how to deal with rental properties efficiently and at a profit. Why do it all yourself? Partner with Precision Realty today and let us help manage your investment.

Whether you’re brand new to investing in real estate or you’ve been buying properties in different cities for years, Houston is a fantastic place to set your sights on next.

Houston real estate is in high demand, and that demand is only getting higher as time goes by. With families and corporations alike migrating to Texas and bringing new business with them, there are many ways to invest in Houston properties.

If you’re still on the fence, this guide can help. Here, we’ll go over some of the top benefits of investing in Houston. Keep reading for everything you need to know.

The Houston Real Estate Market Is Still Growing

The savvy investor will find lots of options for investing in real estate in Houston.

Unlike established cities like San Francisco and New York, Houston still has lots of room to grow and develop. It has a low-density sprawl, which means there’s plenty of space in the city for housing development. Opportunities here are endless.

Houston is Seeing Rapid Population Growth

Along with its enormous potential for real estate development, Houston has seen consistent population growth. It’s the largest city in Texas and the fourth-largest in the U.S., and it’s only growing.

As a landlord or real estate investor, you’ll find housing to be in very high demand as more people move to Houston.

International Trade is Booming

Another reason to invest in Houston is that it’s a popular spot for international trade. Energy, healthcare, aerospace, and medical research are all major fields in Houston, and it’s impacting the rest of the world as a result.

Houston Offers Excellent Education and Quality of Life

Based on economic, social, and environmental factors alone, the quality of life in Houston is high. It’s a popular place for startups thanks to low taxes and minimal regulations. Not surprisingly, education opportunities in Houston are also excellent.

The Local Economy and Job Growth Are Strong

While much of the U.S. has seen rising unemployment levels, Houston is experiencing relatively steady job growth, and its economy is strong. In fact, it’s one of the most important industrial bases in the entire world.

Make the Most of Your Real Estate Investments With Precision Realty

With all the benefits of investing in Houston real estate, it isn’t hard to see why investors and business owners alike are flocking to the Lone Star State.

And with all the real estate options currently available, there’s never been a better time to get started. The question is, what’s the best way to get started?

It’s always best to work with the experts when investing in something new. That’s why you should consider Precision Realty & Management to help make the most of your Houston properties.

For full-service property management, contact us today.

If you're new to real estate, then you may have hired a property management company. They will provide owner statements and reporting to keep you up-to-date on your property. These reports contain a lot of information, but here's what you need to know about them.

What are Owner Statements and Reporting?

Owner statements and reporting provide an overview of the property for a landlord. These reports allow landlords to understand how their property is doing.

These reports provide a financial breakdown of the property. Reports can include income and expense reports, owner statements, operating statements, and an account ledger report.

With this information, landlords get an understanding of how their property is performing. With it, landlords can make changes, like increasing rent for example. They will also know if their property is still a good investment.

Income and Expense Statement

An income and expense statement shows whether a property is making a profit. Income and expenses are separate so you can see everything in detail.

The most important piece of data is the overall total. This number is the result of expenses minus income.

Owner Statements

Owner statements are like income and expense statements on a property management report. The main difference is that owner statements include beginning and ending balances. They can also include a beginning balance sheet, categorized income, categorized expenses, and an ending balance sheet.

These statements track many of the fees and expenses associated with property ownership.

Operating Statement

The operating statement provides a look at the financial health of your property. Operating statements provide an itemized list of expenses. The property management company you use will include this to show if your property is using more money than it generates.

Operation costs are one of the primary reasons landlords raise rent prices.

Account Ledger Report

This report shows the debit and credit transactions associated with a property ledger. These reports can show the transactions for a single property or several properties. They show the date of the transaction, description, category, and transaction amount.

These reports are helpful for handling accounting tasks. They can correlate data with bank account statements, making transactions easier to find.

We Take the Hassle Out of Property Management

Owner statements and reporting will help you understand what's happening with your property. They include financial information that shows how your investment is holding up. Any property management company you hire should provide you with this data.

At Houston Property Management, we make it our goal to streamline property management. Our property managers will handle the day-to-day operations of your property and our company can also market your rental. Contact us today so we can help you on your real estate journey.

There are many variables for distinguishing the return on investment for a rental property owner. Owner disbursements and how much-invested funds you reallocate toward your property will make a big difference come tax time.

To better understand what you may owe tax-wise, it is important to understand what owner disbursements are. Also, you want to know how it affects your profits, and why a property management company makes it simple to keep tabs on it all.

Keep reading for the details.

What Are Owner Disbursements?

They are payments of your earnings that are kept from a rental property. It does not show as a business expense, but it is an amount based on the profit you earn.

If you have a property management company that is helping you to manage your rental property, then you will receive owner statements. You will work with the property management company to determine how you will receive payment for your disbursements.

The owner statements you will receive will detail your rental income and your expenses for the property.

Owner Disbursements as Working Capital

While you could withdraw the profits for personal use, you do not have to do this. You could leave it in your equity account and use it to make further investments in the property. However, whether or not you can do this varies depending on your ownership structure.

For a sole proprietor, you can pay a regular salary to yourself, and this would appear in the bottom-line net profit. The profit-and-loss statement of a sole proprietorship does not make any distinctions from the owner's draws on salary and additional distribution if the owner has funds left still after paying his or her salary.

Owner Statements From a Property Management Company

It is a tremendous help to the real estate investor. The property management company not only takes the burden of having to collect rent away from the real estate investor, but it also simplifies the bookkeeping.

Essentially, the property management company is keeping tabs on everything that the owner of the property needs to know in the reports they document. Besides the owner disbursements, the owner statements keep a tally of an income report, expense report, monthly balance, and operating statement.

Especially if you own multiple properties. Details like these are highly valuable.

Maximize Your Rentals Potential

Precision Realty & Management LLC is a Houston property management company real estate owners can trust. They help their clients every day get the most out of being a real estate investor, including timely and accurate owner disbursements and owner statements.

In business since 1989, they pride themselves as the leaders of the Houston market. Precision Realty & Management LLC stays current on industry trends. They are a proud member of the NARPM or National Association of Residential Property Managers.

Contact Precision Realty & Management LLC and see how they can help you boost your rental property profits!

Rents are on the up and up, too, with some real estate agents predicting this may swing the pendulum back in favor of homeownership before too long.

As a Houston landlord, you've got some thinking to do before you set up a rental price for your property. Price your home too high, and you may struggle to find tenants, if you go too low, you'll lose out.

Here's how to get the balance right.

Look at Market Comps

The average renter in the USA pays $1,326 per month, but rents vary widely depending on the location of the home. That's why it's important to find out what people are willing and able to pay in the neighborhood of your rental home.

Make sure you're comparing similar properties during your rental inquiries, you can expect a  two-bedroom house to cost more than a two-bedroom rental apartment.  

Learn what other landlords are charging, take a look at fair market value estimations proved by the HUD (United States Department of Housing and Urban Development), or do a free rental price analysis.

Pay attention to any considerable shifts in prices in recent weeks, too. 

Use the 2% Rule Cautiously

The 2% rule dictates that rent should equal between 1 and 2% of the home's value.

You could use this figure as a starting point for your calculations, but use it in conjunction with neighborhood comps. Remember, home prices have risen at unprecedented rates since 2020, so this percentage isn't as accurate as it once was.

Consider Rental Home Amenities

Market comps are a valuable tool, but it's important to keep in mind that each property has individual attractions for renters. Some homes in your area might not have the awesome amenities your home does.

Top-notch security and private parking justify a higher rental price, along with: 

Walkability

If your home is close to schools, stores, restaurants, and public transportation, you can charge higher rent. Walkability adds up to fuel savings for renters, so they don't mind paying a little extra. 

Entertainment Areas

Likewise, onsite amusements like a swimming pool, outdoor kitchen, or tennis court justify higher rentals. You can also charge more if your home is very close to a kids' play park or a dog park to keep every member of the family amused. 

What About Your Expenses?

It's important to calculate your mortgage costs and the operational costs of the house before deciding on the rent you're going to charge.

In fact, with home prices increasing as they are, it's best to do these calculations before you buy a rental property nowadays.

The Easiest Way to Calculate Rental Rates

Pricing your rental home right only gets easier with experience. If you want to get it right the first time, rather hire a property manager at the outset of your journey as a landlord. 

Don't run the risks of high vacancies or low rents, get in touch, and we'll do the math for you.

After you check out this post, you will have more than one great reason to reconsider adding a property to your arsenal of diverse investments. Read on now.

Generates Year-Round Secondary Income

If you're looking for a passive form of income, what better way to do this than through property investment? This is the way to go if you're looking for a long-term solution and revenue.

It's like the investment that keeps on giving as long as you do what it takes to maintain your properties and keep them filled with tenants. However, before you invest in property as a long-term revenue solution, ensure that you're prepared for the costs that come with it.

The best way to do this is to research and learn about the legal fees that come with the properties you're investing in. The better you know the law, the more prosperous you'll be in the long run.

Better Asset Leverage Opportunity

Another reason to invest in real estate is if you're looking to leverage the assets you've gained. There are very few assets you can add to your portfolio that will allow you to leverage them in a way that ends up being more valuable than your initial investment in the rental property.

For example, if you want to buy a home that's $100,000, but only put down $10,000 of it, you can increase the value you hold over time while you pay the mortgage. Also, the appreciation of the property will increase the longer you hold onto it.

Benefit from Major Tax Benefits

When you invest in rental property, you will also have to pay attention to the taxes. Investing in real estate allows you to benefit from several tax write-offs, which pays off, especially when you have several properties added to your portfolio.

Expenses you're able to write off when you invest in real estate include:

• Property maintenance expenses
• Depreciation of the property
• Insurance associated with owning the home
• Potential HOA dues

Much like legal fees, if you're unsure of the tax obligations of owning real estate, it's best to look into it before jumping headfirst into property investment. 

Diverse Ways to Invest

There are several investment opportunities where you have to enter the market in a specific way. However, with any property, you can invest in various ways. 

This allows you to take some time and ensure you choose the best investment style and strategy for you and your portfolio.

Why Real Estate Equals Still is One of the Best Investments? 

Real estate is still one of the best investments an investor can make for the foreseeable features. Not only because it's passive income but also because there are diverse ways to invest in property.

Want to know more about real estate and its ins and outs? Contact Precision Realty & Management for help and valuable resources.

A property management company understands the local laws regarding evictions and manages the entire process. They ensure you get a new tenant in the rental as soon as possible, reducing vacancies and protecting your investment. 

Here are some of the benefits of having a property company help with evictions. 

They Know the Legal Process

Landlords can evict tenants that have broken their lease agreement, such as by violating the terms or refusing to pay rent. However, the process of evicting a tenant involves many steps. 

Eviction is a formal judicial process that involves the court. Landlords must prove they did everything legally required of them and that they have proof the tenant violated the lease in some way. 

The first step is the Notice to Vacate. If the tenant doesn't move out, a landlord may file an eviction suit. At this point, a constable has several attempts to deliver this suit to the tenant. 

Tenants also have a right to a jury trial. Both the landlord and the tenant must appear in court by the date listed on the citation. 

Property management companies understand the eviction process, including the necessary steps. They'll follow each step to ensure you don't have to worry about stubborn tenants, unpaid rent, and legal headaches. 

You Get Better Tenants

The best way to avoid evictions is to ensure that you get the best tenants possible in your rentals. That all begins with the tenant screening process. 

One of the biggest advantages of property management services is that they conduct extensive tenant screening. They make sure you're finding the best fit for the rental by performing credit checks, background checks, and more. 

Rentals receive a lot of inquiries and applicants, but not each applicant is the right fit. They might want pets in a pet-free unit or may not make enough income to cover rent comfortably. 

Conducting a thorough tenant screening means you'll be less likely to place the wrong tenant and have to deal with evictions in the future. 

You Don't Have to Worry About Confrontation

Evictions bring about a lot of emotions for everyone involved. Tenants may get angry and lash out. No one wants to be the "bad guy," and landlords may feel apprehensive about facing an upset tenant and delivering the news. 

Many property owners choose to hire a management company simply to deal with tenants and the eviction process. You can rely on them to deliver all necessary notices and professionally handle the situation. 

Handle Evictions the Right Way

No one wants to deal with evictions, but having a property management company on your side makes the process much simpler. You'll have less on your plate, from filing paperwork, appearing in court, and delivering letters, and you can rest easier. 

From tenant screenings to evictions and more, you can rely on us to help take care of your Houston property. Reach out to us and get a free rental price analysis today. 

With such a boom in population growth, it makes Houston a very attractive rental property market. But even with so many potential tenants moving in, there is also a lot of competition for them.

One of the ways you can be sure to continue finding quality tenants for your rentals is by making correct property marketing a priority. But where to start?

In this post, we'll go over 4 tips to help you market your property and fill your vacancies.

Keep reading to learn more.

1. Use High-Quality Photos

When marketing your rental property you want people to be able to picture themselves living there, and living there happily. But they can't do that if they don't have a good idea of what the property looks like.

It's important to include photos with your ads, but it's also important that they're high-quality photos. If they're blurry, poorly lit, or make the property look unkempt, potential tenants will be unimpressed at best. Many renters won't even bother to see it in person if the online photos aren't appealing.

Instead, be sure to take photos showing each different portion of the property in the best light, when it's clean and welcoming.

2. Offer Referral Incentives

Never discount the benefits of good ole word-of-mouth marketing. If you have a good relationship with them, your current tenants can be some of your best marketing tools.

Consider offering these tenants some kind of referral bonus, like a cash incentive, to refer their friends to your other properties.

3. Market Online

Almost everything happens online these days. If you're not using digital marketing for your property then you're missing out.

There are many different options for marketing rental properties online now, both paid and free. From Facebook Marketplace or Craigslist to Zillow and your property websites. Put together an enticing ad that will make people want to look further at your property.

Be sure to include a well-written description of the property and its amenities to include with the ad. Make sure you understand and keep in mind Fair Housing laws while writing this.

Once the ad is put together, post it in as many places as possible online.

4. Use a Property Management Company

Marketing a property and qualifying new tenants can be a ton of work. And it can be overwhelming trying to make sure you're doing everything right.

Hiring a property management company to handle these things for you can help you to save time, money, and a lot of frustration. Property management companies already have most if not all of the required knowledge and experience to market your property and get it rented out ASAP.

Remember These Property Marketing Tips

Marketing a property can be one of the most difficult parts of real estate investment to get right. But it doesn't need to be such a headache. Keep these property marketing tips in mind to help make it a much smoother process.

If you're in the Houston area and need help marketing your property, contact us for a quote today.

Keep reading to learn more about service animals and emotional support animals.

What is a Service Animal 

A pet that has been trained for a specific duty to help a person with a disability is referred to as a "Service Animal" under federal law. A service animal is the only breed of working animal permitted to enter public spaces with its handler.

What Are Emotional Support Animals

People with mental health conditions might better manage daily tasks or even significant life events with emotional support animals. Because they help a person's emotional and mental health, emotional support animals are distinct from assistance animals. Filing for an ESA permit makes it official that your pet has a big impact on your mental and emotional well-being.

How they Differ

Even though both types of service dogs and emotional support animals assist disabled people, each is a distinct classification controlled by various legislation. When it comes to helping a person with a disability, service animals are trained to carry out specific jobs.

Emotional support canines are trained to offer emotional support but are not obligated to do so. Here are some of the ways that service dogs and emotional support animals differ from one another.

Training 

Many of these canines have undergone lengthy training to acquire the abilities required for their jobs. Some trainers specialize in preparing animals to assist their owners in day-to-day activities. These animals must be trained to perform a specific duty, such as helping someone get out of bed, retrieving items, or alerting you to noises and seizures.

For service animals to properly care for their owners, they need to undergo years of high-level training. Depending on the particular service dog trainer, dogs may hone their skills in a specific category before being eligible to work as service dogs.

You can apply for an ESA letter if you suffer from anxiety, depression, stress, PTSD, or any other mood-altering disorder. Once a licensed therapist diagnoses you with one of these conditions and affirms that your pet can help improve your life. It is not necessary for your pet to undergo any additional training. However, emotional support animals are typically better mannered.

Documentation 

A service dog's certification, training, or licensing cannot be demanded as a prerequisite for access by a public establishment's staff. These dogs are typically clothed with a service dog vest as a signal of their status. There is a serious issue of people utilizing faux service dog vests to let their dogs into non-pet-friendly areas.

You must undergo a mental health evaluation with a licensed medical professional in your state to designate your pet as an ESA. A licensed mental health professional must sign the ESA letter on their company letterhead for your pet to qualify as an emotional support animal.

Access

Service animals can enjoy complete public access. They are permitted into areas where other animals are not allowed. They are allowed in hospitals, libraries, schools, and restaurants.

Registering your pet as an emotional support animal is a great way to avoid no-pet restrictions and travel with your furry companion. You can have support animals in rental property. 

Consider Getting a Service or Emotional Support Animal

A pet can really enhance your physical and emotional health. Don't let housing rules restrict you from having a furry friend.

Contact us at Precision Realty to find pet-friendly communities that will not only allow but welcome your service or support animals. 

With such a large number of people in the United States owning pets, you have to consider that if you are a landlord. 

Understandably, there are risks to allowing pets in a rental property, but you should take a closer look at if the pros outweigh the cons. 

What are the reasons that you should allow pets in a rental property? Here are some of our biggest ones. 

Bigger Target Market 

One of the best reasons to allow pets is that it will open up a larger market for you to try to get renters from. Knowing that 90 million families in America have pets, can be a huge audience that you are gaining just by allowing people to bring pets with them to their new homes. 

In return, that will create demand for your apartments. This is because you will have more people that will be eligible for them and in return, that could justify you charging people a higher rent. 

Creating Demand With Pet Owners

Having a rental property with pets allowed can not only increase general demand for your apartments, but it can also increase demand for your apartments among pet owners.

Think about it. Not every apartment building is going to allow pets. This means that the market for apartments is limited for pet owners, assuming that they are not going to live anywhere without their pets. 

This can also help you justify charging a higher rent for your apartments because you will anticipate that these pet owners will have fewer options to choose from. 

Increase Happiness 

The natural assumption here is that if people are happy with where they are living, they are likely to stay there longer. Well, pets can help people be happier where they are living. 

For example, playing with dogs has been proven to increase dopamine and serotonin in your brain. This means that you are experiencing the feeling of happiness and joy just by having that dog around. 

With people increasing their likelihood of being happy by having their dogs with them, that could result in more long-term renters for you. 

Charge Pet Fees 

Finally, you can give yourself an extra stream of revenue by allowing pets in your apartment building. The reason is that it is normal for landlords to charge a pet fee for people that wish to bring their pets where they are living. 

Say for example you charge $75 a month for each pet that is living in the building. There are 12 pets that are living in the building in this case. That means that you are gaining an extra $10,600 in revenue every year. 

Allow Pets in a Rental Property

These are some of the reasons why you should allow pets in a rental property. They can help you make more money and expose you to a wider audience to rent your apartments. 

Do you have more questions about managing your apartment building? Message us today to get answers to those questions. 

If you're thinking about getting into real estate investing, that's awesome! You are unlikely to face a consumer shortage, which results in a steady return on investment for you.

However, most potential investors have heard property management rumors that make them hesitant about managing their first property. How do you know if these myths are true or not?

Before you take on the role of a property manager, let us debunk a few of the most frequent property management fallacies!

1. It's Way Too Expensive

The most common worry about property management is financial.

Many people discuss the loss of revenue when thinking about investing. They frequently argue that that is the reason they do not engage a property management.

One possible explanation for their revenue problems is that they do not use a property manager.

The fact is that ignoring property maintenance in order to save money frequently has the opposite impact. Using joint property management may save you money in the long run.

Consider a property manager to be someone whose major purpose is to preserve your investment and assist you in maximizing earnings. They will be successful if you are successful.

2. Screening Tenants Will Be Too Difficult

This myth should be instantly dismissed as a massive misconception.

Consider your present screening procedure. Have you considered everything tenant screening requires if you're new to the game?

Are you acquainted with Fair Housing policies and rules? It's part of the duties of your property management.

Screening entails making several phone calls to confirm:

• Rental income history
• Work experience
• You will also be charged for credit and criminal background checks

A property management business specializes in screening and has the necessary tools. They want good tenants just as much as you do since bad tenants waste their time and money.

3. It's Too Time Consuming

This misconception is somewhat true—property managers do not work in their offices throughout the clock. That doesn't imply their obligation to you ceases at 5:00 p.m.

You're worried about their working hours since nothing spectacular happens during the day, right?

If one of the reasons you engage a property management is to save time by having someone else handle maintenance and repairs, who is looking after your property after hours?

Of course, your property management business! Property managers are similar to many other types of service providers. Tenants can call an emergency hotline if their furnaces or plumbing break down.

4. I Will Have to Do Everything Myself

The belief that a property owner can do it all is related to the fear of losing too much money.

You can handle the majority of the routine responsibilities associated with property ownership. But do you really want to?

First and foremost, managing a property is a full-time occupation. Let's break it down and look at some of the things you'll be accountable for, such as:

• Marketing
• Tenant screening
• Collecting
• Repairs
• Preventative maintenance
• Tenant problems
• Bookkeeping

In the end, your renters pay rent in exchange for a well-maintained home. Hiring a specialist guarantees that renters receive what they pay for. It also allows you to devote more time to other hobbies.

Debunk These Property Management Myths

Of course, managing a property for the first time is a challenge to some. However, it's not nearly as daunting as these property management myths make it out to be! Now that you've read this property management guide, you are ready to get started.

Are you ready to invest in a rental property? For more property owner resources, click here.

Are you a newbie real estate investor as well (millennial or not) and worried if you are doing it right? We've got you covered. In the article below, we share with you real estate investing mistakes that you could be making that can cost you big. 

1. Waiting Too Long

Do you get swamped by analysis paralysis every time a good real estate deal comes across your table? Don't waste your time dilly-dallying when you have a potential real estate investment in front of you. The more time you waste, the more likely it is that someone else will snatch up the property from under your nose. 

2. Not Crunching the Cashflow Numbers

What is real estate investing all about? Well, the main object of it is to make passive income or positive cash flow every month. 

There's no point accumulating a bunch of properties in your real estate portfolio that have a negative cash flow or no cash flow at all. That's not going to help your long-term goal of becoming financially free and giving up your 9-5 job. 

Every time you look at a new potential investment, crunch the numbers first to ensure you have at least some cash flow coming in from that property every month. This way you can build up your monthly income and profits bit by bit. 

3. Under Insuring Your Property

You probably set up your real estate company so that your personal assets will not be under attack if someone files a suit against your real estate investment company. Even so, it's still crucial that you insure each one of your properties against all sorts of harm, natural disasters, pipes bursting, and more. 

4. Having No Long-Term Investment Plan

Why do you work so hard in your real estate investment business? What is your long-term plan for this business? 

Have an exit strategy, so you know how much passive income you want monthly and how long you want to be in this business before you take profits and exit (or hand it down to a family member or offspring). You don't want to do this for the rest of your life, do you? 

Real Estate Investing Without Property Managers Is Foolhardy

A bonus tip for you here. Do not make the mistake of running your real estate investing business without hiring property managers. It's a classic newbie mistake, thinking that you will make more money if you did it all by yourself.

Before long, you burn out and you don't even have that much profit to show for it. If you are located in Houston, Texas, Precision Realty & Management is the property management company to hire. You can trust us to maximize your rental's potential.

Contact us today to learn more about our services and how we can help you.

In this guide, we list and review popular methods on how to collect rent as a landlord. We cover everything from online payments to in-person collection methods.

By reading this guide, you will find a method that will most likely get on-time rent payments from your tenants. Read on to discover your best way to collect rent as a landlord!

In-Person Rent Collection

For some landlords, meeting face-to-face to collect rent is the best way to build a relationship with their tenants. 

If you or your property manager live in the same building as your tenants, this can be especially convenient.

In-person rent collection methods can also be helpful if you have a problem tenant who is not responding to your attempts to collect rent online.

Drop Boxes or Mailboxes

If you have tenants who live in different locations or don't want to deal with collecting rent in person, you can use a drop box or mailbox.

With this method, you must provide your tenants with a self-addressed, stamped envelope. They can then drop their rent payment into the mailbox or drop box.

There are a few benefits to using this method:

• It's a straightforward way to collect rent
• It's less time-consuming than collecting rent in person
• It eliminates the need for you to meet with tenants in person

However, there are also a few drawbacks:

• Tenants may forget to drop their rent off in the mailbox or drop box
• The rent payment could get lost in the mail
• It takes a while to collect rent

Online Rent Payment

With the rise of technology, more and more landlords are collecting rent online. Online rent payment is a convenient way to collect rent from tenants, and it can also help you keep track of payments made by each tenant.

There are a few different ways to collect rent online:

• Use rental property management software or property management services that offer online rent payment
• Set up automatic payments through your bank account
• Use a service like PayPal, CashApp, or Venmo

Online payment applications are encrypted and secure. They can also help you keep track of your finances and ensure you are getting paid on time.

The Best Way to Collect Rent as a Landlord: Online Rent Payment

Landlords in Texas must adhere to the state's rent payment laws. Property managers must accept cash unless otherwise stated in the lease. We like to give tenants the option of using a dropbox or making online payments.

While there are several ways to collect rent from tenants, we believe that the best way to collect rent as a landlord is by using online rent payment methods.

Here at Houston Property Management, we use the best rent payment options to ensure our clients get the best possible service.

Contact us today for a free rental price analysis to learn more about how we can help you manage your properties with little hassle.

But, how do you buy your first investment property? After all, you have to start somewhere. Buying your first one might make you realize you don't want more. However, then again, you might really like owning rentals.

As you consider buying your first one, you should look for the best tips before going through with it. Here is a guide to help you learn the top six tips for buying your first property. 

1. Stay Local

As you learn how to choose your first investment property, staying local is the first thing to consider. Purchasing a property nearby makes managing it more convenient. 

Therefore, depending on your location, you might want to stick with a 10 to 30-mile radius. A local property will be close enough for you to keep a close eye on the property and care for it. 

2. Consider Financing

Next, buying your first investment property requires cash or a loan. Do you have enough cash to pay for it outright, or will you need to finance it? 

If you need a loan to buy it, you might want to consider your options. For example, you could take a home equity loan if you have enough equity in your residence. However, there are also other options for financing a rental.

3. Start Small

Additionally, learning how to invest in property requires starting small. Starting small helps you get the hang of rental property management without taking a considerable risk. 

Starting small might mean purchasing a small house as your first property instead of a huge building with multiple units. 

4. Calculate Cash Flow

Another great tip is to calculate the expected cash flow of a property before buying it. Cash flow refers to the cash coming in and going out. 

A good rental property has more cash coming in than going out. 

5. Find a Low-Maintenance Property

As you choose a property to purchase, you might want to limit your search to a low-maintenance property. A low-maintenance property requires less work and money, making your job easier. 

6. Consider Hiring a Property Manager

One of the benefits of investing in property is that you can hire a property manager to manage it for you. In fact, you should consider hiring one, as property managers help you collect rent, choose tenants, and much more. 

Follow These Tips to Buy Your First Investment Property

After reading these tips, you might feel energized and ready to start shopping for your first investment property. These tips can help you make a wise decision about the property you purchase.

As you prepare for this, you might want to find the best property management firm in the Houston area. You can contact Precision Realty and Management, LLC in Houston for help. 

We offer all types of property management services and can help you start your business the right way. Call us or visit our site to learn more. 

That doesn't even include Airbnb, Vrbo, or any other vacation rental site.

However, if you are thinking about renting out your home or apartment when you are gone traveling or as a second home, then you need to know the answer to this question: "How do you become a landlord?" Because, in reality, if you rent your home to anyone, you are a landlord.

Read on to learn about the basics of becoming a landlord.

Buy an Investment Property 

Your first step is to buy an investment property. This could be something that needs some fixing up that you can DIY, or this could be a property that is ready to go.

Whatever you do, make sure your investment property is close to your home or somewhere you can easily get to, in a safe neighborhood, and is a popular place for visitors. 

Create a Budget

When creating a budget, be sure that you take into account that you will come across unexpected costs.

Here are a few costs that you will need to keep in mind:

• Landlord insurance 
• Maintenance and repair costs
• Rental licensing and other mandatory fees
• Property and rental income tax

You will also need to take into consideration what you will need to pay out of pocket if your rental property sits vacant.

Purchase Insurance

As a landlord, you want to make sure you have landlord's insurance to cover you if something goes wrong.

It's still important to convince your tenants to purchase their own renter's insurance since your landlord's insurance will not cover their belongings.

Determine the Rent to Charge

If you're renting out a property, the most important decision to make is how much you want to charge renters.

To start, look into what other properties are charging.

It is also important to note that rental prices will change based on the length of time you are renting out. If you plan to rent for a week, that price will be different than a month, or even a year.

Just be sure to do the research!

Advertise Your Property

You're almost there! Once you know your price, have your insurance, and have the place ready to go, you'll need to advertise your property.

You could consider putting it on a property management company website to get the word out about it. You can also create your own ads in newspapers, magazines, on Facebook, and in other ways as well!

So How Do You Become a Landlord?

Now that you know the answer to the question "how do you become a landlord?", you'll be making passive income in no time!

While property management and real estate investing can be daunting, it can be one of the best decisions of your life.

If you're ready to get started and want to get your foot in the door, contact us.

Before investing in real estate, there are a few things you need to know, including real estate trusts and property management. You should also know about cash flow. 

Read more about real estate investing for your financial future.

Real Estate Investment Trusts

Saving money for a second home is a barrier to real estate investing. With a real estate investment trust, you can diversify your portfolio and get a great return on your investment.

Instead of investing in one property, a REIT puts your money in a company that buys real estate. All of these properties produce income. It's much like investing in stock, where you reap the rewards of the entire real estate company. 

A REIT gives you access to commercial properties. And not just small places, but larger properties such as shopping malls and office buildings. 

Property Management 

Many people who own homes for rent do all the maintenance, rent collecting, and tenant screening alone. Hiring a property management company can save you time and money.

A property management company can do these things for a small fee. Property managers are experts and have a list of plumbers, electricians, and contractors to call when there's a problem. They also know how to screen tenants properly, so you can avoid discrimination accusations when advertising your homes for rent.

Spending less time managing a property also means spending more time with family and friends. You can also spend extra time looking for other business opportunities when property managers look after your real estate investments. 

Cash Flow 

Real estate investing can bring significant cash flow as you grow your portfolio. You will quickly learn how much income your real estate investments will bring in each month. It's important to sit down with a financial planner to figure out bills and mortgage payments. 

There are things you must prepare for, however, including missed rental payments and appliances that break down. Have a contingency plan! Of course, the more money you bring in each month, the more you widen your safety net. 

The extra money you earn with real estate can be used for college tuition, retirement, or to buy more real estate. 

Is Real Estate a Good Investment? You Bet!

So after reading this article, are you still asking, 'is real estate a good investment.' We hope you are sold! Once you understand REITs, property managers, and cash flow, you're in good hands.

Contact us today and let us help you learn about the positive benefits of real estate investing. You will never see how your real estate will produce lucrative profits!

When it comes to lease renewals and increasing your tenant's rent, you're within your rights as a landlord to do so, but that doesn't mean it's going to be easy. Here are some tips to help you negotiate your lease renewal agreement below.

Do Your Market Research

The first thing you should do is research the current market in your area. You'll want to note the rental increases in the area and the number of people searching for a place to live.

When many people are looking for housing, you might be more inclined to raise your property's rental prices than if no one was looking for a place to rent.

Another reason to conduct market research is that when you speak with your tenant, you'll have the proof to support increasing the property rental price during the renewal lease period.

Stay Calm At All Times

During the negotiation phase, it's not uncommon for some tenants to become upset over the rental increase. No matter what the tenant says or how they react, ensure you remain professional and respond calmly.

Speaking out of anger or in retaliation to the things the tenant is saying will only give them the ammo they need to justify not renewing the lease. Even if the tenant is out of line, they might change the way they feel about the lease rental increase after they've been given some time to think things over.

Not to mention when you don't act professionally, the tenant could move out and tell other people that you don't professionally conduct yourself when living in your property.

Be Open to Negotiation

We understand you've got to make enough money to support yourself and your family. Regardless you should be open to negotiations with tenants about the rental price they'll end up paying after renewing their lease.

For example, if there is no wiggle room on the price you might consider offering, you could offer them a bonus for renewing their lease. If you are open to negotiating, have a set number in mind as the lowest you'll go and the number you'd like to set it at.

Ensure you keep things realistic and make the options known to the tenant.

Lease Renewals: Increasing Your Tenant's Rent Payments

Lease renewals can be a sore spot for many landlords and tenants, but that doesn't mean you should ignore them. When you're bringing up lease renewals with your tenants, remain calm and be open to negotiating the rental price.

Are you looking to list your rental properties or searching for quality tenant resources? Contact Precision Realty & Management for help.

Whether you own a single-family rental home, a multi-family property, or a handful of rental units, what your tenants think of you is important. If you're not keeping your tenants satisfied, they won't re-up their lease. Just as importantly, bad reviews will make it difficult to attract new tenants in the future.

We recommend working with a leasing management company to make sure you're providing the best landlord services to your tenants. But it's not just about keeping your tenants happy, it's also about improving your success with your property investments.

Keep reading for the top benefits of working with a least management company.

Draft a Legally Sound Leasing Contract

Having a written lease agreement for your property is non-negotiable. Legally, it will give you leverage to evict tenants or levy fines for any rule-breaking or breaches of contract.

A lease agreement is a legally binding contract between the landlord and the tenant. Here, you can lay down all of your policies and expectations. Leasing management companies can help you create a contract to ensure your best interests are taken care of.

Minimize Time Between Tenants

Vacant rental properties are a landlord's worst nightmare. If you don't have anyone in your rental unit, its costs are coming out of your pocket. This includes things like loan payments, utilities, property taxes, etc.

A leasing and management company has the experience, tools, and expertise, to ensure your properties sit vacant as little as possible. Through rental marketing and tenant screening, they'll put qualified renters in your properties quickly and efficiently.

Maintain and Improve Your Property

In most cases, property investments increase in value. The more valuable your property is, the higher you can charge tenants for rent. Of course, this depends on the way in which you care for and maintain your property.

A leasing management company will complete inspections, maintenance, and repairs to help you maintain and increase your property value. You want both maintenance and inspection services. 

Maintenance and repair services are essential to the well-being and satisfaction of your tenants. Inspections are important because not all tenants will report damages immediately (or at all).

The longer some situations exist, the more damage they will cause to your property. Over time, unreported issues could lower the integrity and value of your rental property.

The Cons

In all fairness, we must discuss the obvious downside of working with leasing property management companies. Working with a leasing manager will reduce your total revenue. Each month, you'll be sharing a part of your rent checks with the company you hire to take care of your properties.

For most landlords, the benefits are well worth the costs. If you work a full-time job and/or have multiple rental properties, managing them yourself will be a challenge. In most cases, people are happy to part with some of their earnings because it means they don't have to lift a finger.

Looking for Leasing Management in Houston Texas?

As you can see, there are a lot of benefits to working with a lease management company. In our opinion, they are well worth the costs.

If you need help managing your rental properties in Houston Texas, we're here for you. Contact Precision Realty and Management today to talk to someone about leasing management.

So how do you calculate security deposits before tenant placement? Charging too high could drive tenants away. A deposit that is too low could mean you pay for damages out of your pocket. 

Do you want to learn more about how to calculate security deposits? Here is everything you need to know before your tenant moves in.

What is a Security Deposit?

A security deposit is a fee that the landlord requests before a tenant moves in or during lease renewals. This fee covers any potential unpaid bills or damage costs when the tenant moves out. Security deposits are refundable and calculated based on rental value and other factors.

A security deposit can provide a landlord with peace of mind. 

How to Calculate a Security Deposit

The majority of landlords will charge an extra month's rent as a security deposit. Many states specify that security deposits cannot be more than one month's rent. However, security deposits can vary depending on the tenant and their background.

A security deposit may be higher if your tenant has support animals. Pets in a rental property can be problematic for a landlord. By taking a security deposit, you can cover any damages or cleaning costs that may occur.

You can identify high-risk renters by conducting a tenant criminal background check. A tenant background check can provide information about criminal history and employment. You can complete a tenant background check by using a property management company. 

Consider a lower deposit for low-risk renters and senior citizens. Check that your local authority allows this. A management company can also help you with calculating security deposits for section 8 tenants and rental analysis.

State Laws for Security Deposits

Landlords have 30 days to refund a tenant's security deposit according to Texas laws. Tenants in Texas also have the option to pay a monthly fee instead of an upfront security deposit to cover potential damages. The landlord and tenant should agree on this between themselves.

A property management company can help you with Houston property laws and regulations. A management company will communicate with tenants on your behalf. They can provide lease enforcement services and rent collection.

You may prefer a leasing-only service. The duties are then split between the landlord and the property management company. 

Get Help With Calculating Security Deposits

Calculating security deposits and rental fees can be stressful. This process is easier when you hire a property management company. They can also provide rental property inspections, owner statements, and property marketing. 

Do you want to take the stress out of rental collection and property maintenance? A property management company can take care of rental property accounting and maintenance with no fuss. Contact Precision Realty and Management for expert assistance with tenant acquisition, lease negotiation, and more. 

It can be helpful to understand rental leasing and leasing management in its entirety before becoming a landlord. Being a successful landlord is also very dependent on having the right tenants.

You want to have a process for rent collection, in addition to tenant screening evictions. Since tenants are allotted eviction protection in some instances in Texas, knowing what they are can help you be better prepared.

If you are wondering how eviction protection works here's what you need to know and what you can do about it as a landlord.

What Is Eviction Protection?

In Texas, due to the COVID-19 pandemic, certain eviction protections were allotted to tenants in rentals. Tenants must pay the rent they owe, but you can not evict them without going through the proper steps.

Use A Rental Leasing or Leasing Management Company

When it comes to eviction matters, the right rental leasing or leasing management company can help you with the process. They can act on your behalf by starting the eviction proceedings, and they can also appear in eviction court if necessary.  

Another benefit of using a rental leasing or leasing company, they can perform services that make it easier to manage your rental property. They can take care of all of the tenant screening, and the rent collection process, while making sure to perform lease enforcement. 

Tenant Screening Evictions Process

While tenant screening can help determine the likelihood of your tenants paying their rent, sometimes, there can be a situation where you must start the eviction process. The first part is serving the tenants with a notice to vacate. 

The tenants must be given three days to move out of the property unless otherwise stated in the lease agreement. An eviction suit cannot be filed under written notice. Yet, under the Texas Eviction Diversion Program, some eligible tenants have protection from this process. 

Due to legislation related to COVID-19, some tenants have up to 15 months of protection from eviction. Eligibility of this program depends on if your tenants are being sued for eviction, have an eviction court docket number, and their household income is below or equal to less than 80% of the area median income. 

How to Go About the Rent Collection

If your tenants are under the eviction protection program, you can still start the eviction process to move forward with rent collection. While the process does take some time, you want to ensure you take all of the proper steps that the eviction court will require. 

Do You Know The Tenant Eviction Process?

Owning rental properties as a landlord means you must take care of property maintenance, perform regular inspections, and find tenants that will uphold the lease agreement. 

Tenant screening evictions for rent collection don't have to be complicated. You first want to understand how your tenants may qualify for eviction protection. It would be best to consider using rental leasing or leasing management to learn this information. 

If you are looking for property management services, to make things simple we can help. Reach out to our dedicated team to learn more about our services. 

Thankfully, collecting rent is easier now than ever before, giving you plenty of options. Taking security deposits is also a straightforward process, especially with the right property management company on your side. 

Here are our three expert tips on how to make the process of handling security deposits and the first month's rent collection easy. 

1. Know the Laws

As an owner or investor, you need to familiarize yourself with state laws on security deposits, rent, and other move-in fees. For instance, what is a security deposit and how is it different from the first month's rent?

Here in Texas, the application fee, security deposit, application deposit are all different payments. Each has separate protections you need to understand. 

Tenants will often ask about a security deposit refund when they move out. Failing to follow the law regarding security deposit refunds can result in legal action. 

Currently, there is no statewide law that restricts how much landlords can increase the rent after a lease renewal. However, certain cities may have ordinances in place. 

Texas law allows landlords to charge and collect reasonable late fees if tenants do not pay rent. That said, it's important to understand what the state considers reasonable fees. You can find out more in Section 92.019 of the Texas Property Code. 

2. Be Clear About Security Deposits and Rent 

There should be no ambiguity when it comes to talking to your potential tenants about rent and the security deposit. You should also be clear about any pet deposits or additional pet rent. 

Discuss the lease terms with them. Make the rental amount obvious, so they know what they need to pay each month. Make sure they understand the security deposit is separate from the first month's rent. 

When you collect the first month's rent and the security deposits, make sure these are separate payments. 

3. Use Property Management Services for Rent Collection

Rent collection can be a major hassle. After all, what do you do when a tenant doesn't pay on time? 

Property managers can make the process so much easier. They have a firm grasp of tenant law and know what to do when a renter misses the grace period outlined in the lease. 

Rental property management services ensure that your tenants will pay rent on time, and when they don't, we take the necessary steps toward issuing a vacate notice and filing for eviction. 

Having someone in your corner takes a lot of stress off of you, and streamlines the rent collection process. Plus, you can take advantage of other services, such as tenant screenings, maintenance and inspections, and more! 

Make the Most of Your Property

Handling rent collection and security deposits can be a hassle, and a legal issue if you're unfamiliar with local laws. However, these three tips should put you on the right track. 

At Precision Realty, we understand you have a lot to handle from rental property accounting to lease enforcement and more. We want to help. Send us a message or call us today to learn more about our property management services here in Houston. 

As a property manager, it's your responsibility to handle all the components of the property. These include tenant placement, the terms of the lease, and maintenances. Failing in one of these areas will cast a poor reflection on you and make it harder to fill vacancies in the future. 

Save yourself the hassle by partnering with a full-service property management company. Hiring a property management team will help you balance the responsibilities. And allow you to focus your time on other investments. 

Of course, not all property managers are equal. 

So whether you are a novice or veteran in the field, understanding aspects of quality property management services is imperative. 

Below are three rental property management tips we've collected that property managers should know. 

1. Know Your Tenants 

To find tenants for your rental, you need to entice them with your property. Come up with a full-proof marketing plan complete with open houses and advertisements. You should also use social media to market and connect with tenants.

Quality property management services will have a team that specializes in marketing. When you receive applications, your property management company will begin tenant screening. Tenant screenings provide a background, credit, criminal and rental history check. 

Once you’ve found the perfect candidate, it’s time to sign the lease. When you create the lease, you should have the help of a professional who understands the legal terms. The rules, regulations, and rent collection will be in the lease and gone over with the tenant.

Everything needs to be clear, so there is no room for misunderstanding.

2. Manage Maintenance and Inspections 

Property managers must maintain a safe environment for their tenants. The focus is to extend the life of appliances and the foundation. Maintaining the property will reduce the number of emergency repairs which keeps tenants happy. 

A full-service property management company will help you follow state and local inspections. They’ll also assist with general maintenance like lawn care, plumbing, and HVAC needs. A property management company will also supervise any contractor you hire.

They may even have recommendations for trusted professionals they've worked with before. 

3. Understand Your Finances 

Some property management companies offer a rental analysis. This analysis gives you an idea of what your property is worth so you can price it accordingly. They'll also provide you with a finance team to help you understand the cash flow.

They ensure you are making a profit with your investment. 

Property management services will also help you stay on top of your paperwork. They'll keep track of your lease agreements, applications, and insurance papers. They'll also handle any fees from maintenance and inspections. 

Rental Property Management Companies Help Property Managers

Precisions Realty's Houston Property Management makes rental property management easy for property managers. 

We ensure you get the most out of your investment with our market analysis, tenant screening, and financing. Don't overwhelm yourself trying to wear every hat in the box. 

Contact us today to get started with a free rental price analysis! 

Many people like the idea of holding on to the home and using it for an investment. Managing a property can seem stressful. Keep reading our guide to learn what it means to be an accidental landlord. 

Accidental Landlords Need Help

The chances are good if you become an accidental landlord, you're new to rental properties. It may seem overwhelming when you consider everything you have to do. 

Handling any property business takes skill and the right connections. If you already have a full-time job, you may not want the added stress of figuring all that out. 

Property Management Services Advertise

After becoming an accidental landlord, you may want to turn the marketing tasks over to a pro. The company will advertise your property for you and screen the tenants. You won't have to meet them or get their information. 

You will receive a market analysis for your property. That will get you the most financial return from your investment. The main goal is to get the rental properties listed and rented fast. 

Rent Collection

One of the jobs an accidental landlord has is rent collection. Sometimes that is not an easy part of having rental properties. If you have a tenant who pays on time it makes for a smooth process. 

Sometimes tenants don't pay at all. When that happens, property management services will step in on your behalf. You will get paid on time each month, and if not, the company will assist in the eviction procedures. 

Rental Properties Need Maintenance

Part of using your property inheritance as a rental includes maintaining the home. If you are an accidental landlord, you don't want to get phone calls about maintenance issues. 

Property management services can make sure repairs get handled fast to prevent further problems. Happy renters will be more likely to pay their rent on time. You do want to keep satisfied tenants because that will lead to less turnover.

Inspections For Landlords

Rental properties need inspections for the landlords to know the home is in good shape. Although tenants get screened, you may get one that doesn't respect rental properties. 

With a six to nine-month inspection, you get to know your home is without damage. You will receive pictures of each room for your records. It also lets you know if there are lease violations. 

Property Management Expertise

If being an accidental landlord seems overwhelming, don't worry. We can maximize your rental property's potential with experience you can trust. With so many factors to consider, you need a company with the skill to handle your home the way you would. 

When you're ready to get a free rental analysis, give us a call or drop us an email. We can handle all your Houston property management needs. Contact us to help turn your property inheritance into an investment that pays off for years to come! 

As a property owner, do you know if you must allow tenants to keep service animals? Keep reading to learn about your legal obligations as a property owner or manager.

Definition Of Service Animals

The Texas Human Resources Code, Section 121.002 defines assistance and service animals. This denotes a canine who’s equipped or trained to help persons with disabilities (PWD). In some circumstances, other animals may receive certification.

Federal law differentiates between assistance animals and service animals. Some laws aren’t limited to dogs and consider the individual scenario. Assistance animals may not always have the same legal protections as service animals.

The law gives full and equal access to all housing accommodations for PWD’s service animals. The renter may not be legally required to pay pet deposits or extra rental fees.

Texas Rental Property Law About Support Animals

Texas property rental law requires owners to make reasonable accommodations. This means making changes to policies, practices, or rules for PWDs.

The goal is to create an equal opportunity for the individual to enjoy living in the house or apartment. In some, cases structural changes or modifications may need to occur. TDHCA monitored rental property owners must pay these expenses.

Owners may legally ask for the applicant to provide verification of their disability. Yet, they can’t ask about the cause, type, extent, or severity of the disability.

The owner may request a letter from a medical professional documenting the animal’s job. This should support an identifiable connection between the disability and the accommodation request.

If the owner refuses the request for accommodation, they must offer an alternative. The proposed space should meet the person’s disability-related needs.

Pets In Rentals

The Fair Housing Act and the Americans with Disabilities Act address service animals. These laws state that assistance or service animals can live with their owner.

It’s important for PWDs to understand that they’re liable for property damage caused by the animal. This does not apply in the case of normal wear and tear. Owners may also seek legal recovery if the animal’s behavior causes a nuisance or a danger.

TX Housing Laws Regarding Emotional Support Animals

The emotional support animal’s (ESAs) job is to provide security and comfort for their person. They work with only one person and go with them to public and social places. Often these animals assist individuals after trauma or those with mental health issues.

Texans granted an ESA by a health professional have certain federal protections. They're guaranteed fair and equal access to housing with their ESA. This applies to houses or apartments that normally don’t allow pets.

Landlords may ask for an ESA letter showing a certified need for the animal. Owners may not charge extra fees or refuse to rent housing because of the ESA. Once again, the renter must pay for property damage caused by the animal.

Are You Looking For A Property Management Service?

This article discussed rental laws related to support animals. Navigating the rental property laws can feel overwhelming. Property rental success demands significant time, experience, knowledge, and effort.

Precision Realty and Management, LLC is ready to handle your needs. We’ve offered full-service property management in the Houston, TX area since 1989. Let our experts relieve your stress so you can enjoy your financial gains.

Get a quote today and learn more about our services.

The truth is-- dealing with Section 8 housing is not that much different from other types of tenants. What's better? You'll get reimbursed on time, and your properties may rent faster.

Keep reading to learn more about how to get involved as a Section 8 landlord. 

What is Section 8 Housing? 

The U.S. Department of Housing and Urban Development (HUD) is responsible for providing funds to local housing agencies. These housing agencies issue vouchers to qualifying renters. These vouchers are available to low-income individuals and families who are U.S. citizens or in a specified category of noncitizens, and whose income does not exceed 50% of the median income in the area where they live. 

The law that allows this system allocates taxpayer funding to improve the shortage of affordable housing for low-income families, low-income elderly, and disabled tenants. 

Once a Section 8-qualified renter signs a lease at an approved residence, the PHA pays a portion of the rent directly to the landlord or property manager, effectively subsidizing the rental cost for the tenant.

Benefits of Section-8 Participation for Landlords

Skeptical about the benefits of Section 8 vouchers? The program might be the right fit if you consider the following: 

• Reliable monthly payments - always receive the PHA’s portion of the rent on time
• Receive pre-screened rental applicants 
• See a wider pool of applicants who can now afford your property
• Increased visibility by applicants 

If you feel like the pros outweigh the cons here, great! Get started on your landlord application. 

How To Get Started

First, complete an application with the housing authority and provide any requested personal information. The housing authority will review your rental rates to make sure they're reasonable for the location, and inspect your property to make sure it's up to code. 

Once you pass the screening process and have found an eligible Section 8 renter, you will need to collect and submit the following documents in order to be reimbursed: 

• Landlord Information form - describes the property owner and rental unit
• Housing Assistance Payments Contract form
• A copy of your standard lease agreement
• The HUD form’s Lease Addendum 
• Request for Tenancy Approval form
• W-9 form with the renter’s information

On the same date every month, the housing authority will mail you a portion of the rent. Your tenant will pay you the rest.

Consider the Possibilities

Break the stigma of Section 8 housing. As a landlord participating in the Section 8 program, you can demonstrate an elevated type of empathy toward those who need additional assistance toward securing safe and affordable housing. 

Need more advice? Check out the owner resources on the Precision Realty and Management blog. Let your advice come from a property management company you can finally trust. 

Being a landlord isn't an easy task. You've got to maintain the property, make sure your tenants are satisfied, market vacant properties, and collect rent from your tenants. Unfortunately, the latter isn't always a walk in the park...but it could be.

In this post, we're going to give you a quick guide to collecting rent for landlords. The end goal is to get all of your rental payments on time every month, but you have to work with your tenants to make it happen. Read on and you'll see that getting your money doesn't have to be like pulling teeth after all.

Laying Out Expectations

When you're writing out the rental contract that you use for all your tenants, make it clear what you expect of them in terms of rent payment. The clearer you are about your expectations, the less likely you're going to run into confusion down the road. It also helps to discuss how you expect to be paid when you're signing the lease with new tenants.

If tenants are clearly told what rent is, how much utilities are, and when you expect to be paid every month, then you have grounds to take action when your needs aren't met. There's no such thing as being too specific when it comes to rent payments.

Giving Your Tenants Rent Collection Options

One of the best landlord tips that we can give, as a property management firm, is to give your tenants numerous payment options. A common one for younger renters is to do everything online, so make it easy for your tenants to pay you by getting to know the various money transfer apps that are out there. Choose one that works for you and have your tenants sign up for easy monthly payments.

Older tenants, on the other hand, might not be comfortable or equipped to send online payments. Make it possible for them to give you post-dated cheques, or if you're in the area, give them the ability to drop cash or cheque payments off to a dropbox. If you're feeling generous, you could even pick up the payments from them directly.

Grace Periods for Late Rent

When you're establishing the ground rules in your rental contract, come up with a grace period for late payments. Usually, 3-7 days is a good amount of time to give a tenant, but there will always be extenuating circumstances that you have to take into account.

If you've got a tenant that you suspect of taking advantage of the grace period, paying late on a consistent basis, you may need to take action. We'll save the eviction process for another article.

Property Managers Can Help

Now that you understand a bit more about how to do proper rent collection, you can get your rent payments on time, every time. Managing your own properties is a full-time job, so you need all the help you can get. If you feel that you're falling behind on managing your properties, it might be time to hire a qualified property manager.

Precision Realty is a Houston-based, full-service property management company that can take the chore of finding tenants, collecting rent, performing maintenance, and maximizing profits off your hands. To learn more about what we do, visit our site and when you're ready, contact us to talk to someone about how Precision Realty can help you.

One way to do this is by conducting regular property maintenance. It's really that easy! 

If you own rental properties, you understand how important it is to maintain a good relationship with your tenants. And there's nothing that a tenant likes more is when a landlord cares about their property. 

By ensuring good rental property maintenance, you lessen the chance of high turnover costs. Plus, your tenant can provide you with referrals and recommendations.  

Here are five tips you need to know about property management maintenance. 

1. Address Maintenance Issues Fast

The best way to address a maintenance issue is to do it ASAP. Not only will this boost your relationship with your tenant, but it might help you avoid any further damage if left unchecked.

Of course, you don't need to fix the issue on the same day. But by looking into the issue, you're acknowledging that you're aware that there is a problem and you're actively trying to find a solution. 

2. Check for Water Leaks and Damage

Water damage can prove costly if not taken care of. As soon as your tenant alerts you to potential water damage, it's important that your property management team sends someone in ASAP.

Any signs of water around the toilets, showers, sinks, and windows usually allude to a problem. The quicker you fix a leak, the less likelihood of mold growth. And once you get mold, all you can do is watch the bills rise. 

3. Inspect the Roof

Given the roof is the most important aspect of the home, it's important to inspect it. After all, it provides shelter from rain and keeps you warm during winter. 

Depending on the type of roof, check for any missing or damaged shingles. Also look out for algae growth, rotting, rust, and unusual wear and tear.

4. Trim Overhanging or Dead Branches

During a storm, overhanging branches can cause major damage to homes. Trees too close to the home leave it susceptible to pests, as well as water, utility, and foundational problems.

Trimming back overhanging branches will save a lot of time and money in the long run. It also helps strengthen the roots of the tree.

But if a tree is too close to the home, it should be removed. 

Property Maintenance Made Easy

Having a successful rental property comes with a lot of property maintenance. This means making endless phone calls trying to schedule repair work at an affordable rate. 

Why not let someone do the work for you? With a professional property maintenance company, you can. 

Precision Realty and Management, LLC is your one-stop shop for all your property maintenance services in Houston, Texas. We use our licensed vendors to perform periodic inspections of all rental homes. This also includes preventative maintenance measures. 

Stop searching for 'property maintenance near me' and contact us today. Let us help you maximize your rental's potential.

Real estate investing isn't as easy as it looks. Many people think that it's simple passive income, but in reality, it's a challenge (especially if you're a beginner). We want to help you get started with our quick tips for real estate investing for beginners.

Read on to learn more. 

1. Know Your Budget

Many new landlords have noticed the hot housing market and decided to jump onto it without much forethought. Sure, they could be successful, but they could also be making a huge mistake if they aren't keeping their budgets in mind. 

So how do you create a budget for real estate investment? 

It's similar to your budget for buying a personal home. Remember that you aren't just paying for the property itself. You're paying for realtor's fees (if applicable), renovations, repairs, and other taxes and fees associated with turning a property into a rental property (if it isn't one already). 

You may discover that your first investment property isn't going to be everything that you want it to be, but that's okay. It's a starting point that you can grow from as time goes on. 

2. Pick The Right Property

Speaking of your first property, make sure that you choose the right property for your goals.

Are you looking at commercial buildings, single-family homes, or multi-family homes? This first decision will pave the way for everything else that you do moving forward. 

Commercial property investment can be profitable, but most first-time property investors choose residential properties. Multi-family homes (like apartments) are a bit more complicated than single-family homes, but they also yield more income. 

After you've chosen the type of property, make sure that you've picked a property that's in a good location. A fantastic property in a bad area might not be a good investment unless you anticipate growth in that area.

Finally, choose the "quality" of the property carefully. Some investors are capable of turning a fixer-upper into a dream home with ease, but investors on a budget would be better off picking a property that they can rent out without serious renovations from the get-go. 

3. Invest In Professional Property Management

There's a lot of behind-the-scenes work to do as a landlord, especially if you're managing a multi-family property. You have to deal with tenants, make an air-tight lease, deal with maintenance, and so on. In other words, property investing isn't passive income like some people choose to believe.

You can take some of that responsibility off of your own shoulders by hiring professional property managers. They'll take care of the background work involved in property investment so you don't have to. 

Are You Ready To Start Real Estate Investing?

Real estate investing can be profitable if you're smart about it. If you follow these tips for how to start investing in real estate, you're sure to start yourself off on the right track.

Are you looking for professional property managers in Houston, Texas? At Precision Realty & Management LLC, our team wants to help you. Contact us so we can start working together today.

If you're a landlord who has increased the price of rent to follow the demand, you might struggle to find tenants. However, the wrong marketing techniques can cause you to struggle even harder.

Keep reading to learn six rental property marketing mistakes and how to avoid them.

1. Following the Herd

Keeping up with property marketing trends can help with success, but blindly following the herd is never a good idea. Not every audience is created equal so someone else's target might not be yours.

Focus on these factors the most to create a property marketing strategy:

• Types of properties
• Potential audience
• Geographic location
• Represented need for your space

Take the time to evaluate what kind of marketing campaign is right for your situation.

2. Using Too Many Tools

Believe it or not, one of the most common property marketing mistakes is using too many tools. The best way to make the most of technology to help market your properties is by investing in all-in-one software.

3. Weak Promotional Strategy

Social media marketing is not for the weak, so if your strategy is subpar, you likely won't bring in the tenants that you want. Continuous multi-channel promotion is a tactic that works for a lot of property owners.

If you don't know how to up your promotional strategy, consider hiring a property management firm that knows how to market properties among other services.

4. Bad Listings

The quality of your listings is going to determine a lot of your marketing success. A great listing has all of the following elements:

• Quality property photos
• Location
• Proximity to nearby attractions
• Accurate description
• Spacing
• Amenities
• Cost and value of space
• Property maintenance availability

To put simply, the more details you can fit in about your rental property, the better chance you'll have to find tenants.

5. Lack of Objectives

A plan with objectives allows you to track metrics from the marketing campaign and fix your property marketing strategy when necessary. Marketing without an objective in place is a waste of money.

A plan should include the target audience, specific strategic goals, and the numbers you will measure for success. You'll also want to create an expectation for the return on investment of your campaign.

6. Low-Quality Photos

Photos are the main thing that is going to catch the attention of a possible tenant. If your photos are low-quality or don't show the full picture of the property, viewers are likely to turn away before giving your listing a chance.

Videos are also a good option in listings. Property listings with video get 403% more inquiries compared to listings without videos.

Property Marketing Mistakes You Don't Want to Make

The goal for any landlord is to fill their properties up with great tenants. Without the right marketing strategy and plan in place, this goal is not probable.

The six above property marketing mistakes will deter your progress and cost you money you can't get back. Luckily, property management services can help avoid these problems.

For a reputable property management company, contact us today!

If you've come across this article, you are probably thinking about doing the same. We don't blame you, outsourcing property management has major benefits when you find the right company. So, how do you choose?

Keep reading for tips on picking property management services.

1. Check Reputation

When picking property management services, you can ask around to see if those you know have a company that they recommend. Reputation is important in the industry so if someone refers you, it's likely they provide quality services.

Another great way to understand the reputation of a property management company is by checking online reviews. Take note of how a property management firm responds to reviews, especially the negative ones.

2. Check References

To get an idea of the property management experience, you should check references. Any reputable property management company will gladly provide you with customer information.

These past customers are willing to share their experience and note the quality of performance. Often, these are current customers who are still using the property management services.

3. Compare Costs

When comparing property management costs, you don't want to look for the business with the lowest price. Instead, you should focus on what's going to get you the most for your money.

To help narrow down the search, set a budget that you don't want to go over. Keep in mind that the differences in services will vary, so list out what features are most important to you.

4. Interview Property Managers

You can get a lot of information through your own online research, but the best way to figure out if a property manager fits your needs is by interviewing them.

Interviews are also a great way to have all of your specific questions answered. For example, how will they advertise your property and deal with maintenance emergencies?

5. Ask about Specialities

One of the most important questions you can ask when picking property management services is what specialties they offer. The first thing to start with is what kind of properties they manage. Are they the same as yours?

There are commercial property management and residential property management businesses out there so choose wisely. A full-service property management firm can do it all.

Picking Property Management Services Made Easier

A property manager might look good on paper or on the internet, but still not be right for you. When you follow all of the above tips on picking property management services, you'll make the best decision for your properties.

The most important tip we can provide is to trust your gut. A company that has great reviews but makes you uncomfortable is a red flag.

If you own properties in the Houston area, we are here to help. Our full-service property management offers a variety of services. Contact us today to learn more.

So, what can a landlord do when the tenant turns out to be a not-so-good tenant? Certainly, you hope they will get it together so you're not forced to take action. Sometimes though, eviction becomes necessary.

Are you wondering how to evict a tenant? Read on to learn more about the eviction process.  

Termination With Cause 

States have varying laws and terminology, but in most cases, you will need to issue a termination with cause to the tenant. This means you are terminating their lease and they must go and you have a reason for doing the termination. 

Typically, this means you are giving them notice they must be out of the apartment within a certain period of time, often 30 days. There are a few different types of termination with cause notices.

Pay rent or quit notices are used when a tenant is not paying the rent the way they should. The tenant would be served this notice and typically have a short window, often only a few days, to fix it or they would need to be out.

A cure or quit notice works similarly, except it's for something besides a rent issue. If the tenant is doing something they shouldn't, say making excessive noise, they have a short window to cure the problem, or they would need to move out. 

An unconditional quit notice lets the tenant know they must move out, for whatever infraction they have been doing, and unlike the previous two types, there is no opportunity to cure it. In this scenario, the tenant is being told you have this much time, often only a few days and then you must be out.

Know the Laws

As a landlord, it's very important that you know the laws of your state. This is important before you ever actually rent a place out. It helps you to write a lease that helps to prevent future problems. 

If you plan to evict a tenant, you need to make sure you are following the laws. Otherwise, the tenant could sue or even refuse to leave. 

Ground for Termination

If you have a lease with a tenant, you really can't just choose to evict them for no reason. This is why it's so important to have a well-crafted lease agreement.

Then you can use one termination with cause notices, depending on the grounds, to give notice. Issuing the termination with cause, doesn't mean the tenant is evicted. It simply informs the tenant that's your intent. 

If after a period of time they got to fix things, it isn't done, then you can go to court. 

File With Court for Eviction

Every state requires you to file with the court if you intend to evict a tenant. You will need records to show the reason for eviction. You'll also need to show you gave notice and the tenant has been served and had time to cure. 

If you can show the court you have the evidence to evict and have followed the procedures, they will give the tenant a short amount of time to vacate the property. If the tenant doesn't go willingly, law enforcement can then remove them from the property.

Eviction, What You Can Do as a Landlord

As a landlord, you hope you don't get to eviction. You really want to have tenants who do what they're supposed to do and pay their rent on time. But you will have tenants who don't do that on occasion.  It's important to know how to remove a tenant if needed. 

Do you have a rental property that you need help with? We can help you to manage the property, so you don't have to deal with the hassles. Contact us today to get more information on our property management services. 

So, what should tenant screening include to find the best tenants?

ID & Verification

First, you need to check that tenants hold valid IDs and are who they say they are. You should check that their ID information matches their credit report and contact their employer to confirm that all of the information is correct.

Credit Score Check

Following on from this, new tenants should always be screened with a credit check before entering an agreement. This will highlight any previous financial issues that could raise questions about their reliability while also giving you the chance to see if they will be able to afford to pay rent, utilities and other costs.

Criminal Background Check

You should always conduct a criminal background check when screening new tenants. Many landlords are receptive to taking on ex-convicts, but it is still important to check state and national crime records to learn about any previous convictions that you and the neighbors should be aware of.

Previous Landlord Reports

One of the most important steps in the tenant screening process is to contact previous landlords. This can reveal a lot of important information about the tenant and help you to make an informed decision. A few basic questions that you should ask include:

• Did they pay rent on time?
• Do they have an eviction report and why?
• Were there any issues during the tenancy?
• What state did they leave the property in?
• Would you rent to them again?

Outside of financial checks to determine whether or not they can afford to live in your rental property, speaking to previous landlords will be the key check in any tenant screening process.

Tenant Meeting

It is also smart to meet with potential tenants either face-to-face or by phone. This will help you to get a better idea of what they are like and allow you to get any questions that you have answered. A few examples of questions that you could ask include:

• Why are you looking to move home?
• When are you looking to move in?
• How long do you plan on staying?
• What kind of activities do you participate in at home?
• Do you have pets
• Do you smoke?

Meeting with a potential tenant should be helpful for making a decision and you should go with your instincts in situations like this. You can also use a property management company to handle the tenant screening process and find someone that is the right fit.

Tenant Screening Made Easy

This tenant screening checklist should help you to find the best tenants for your property. You will want to find tenants that will pay rent on time, look after your property and not cause any issues, but these people are not always easy to find.

Contact us today to find out how we could find new tenants for your rental that will help you to maximize returns on your investment and provide peace of mind.

What are some tips you can use as a beginner in real estate investment?

If you are considering purchasing a rental property to manage, we've got you covered. Here are some tips to help you begin your journey as a real estate investor.

When to Invest in Real Estate

Like with any business, there is a right and a wrong time to invest in real estate. If you want to become a real estate investor, then you need to know when to buy and when to hold off.

You will need to consider more than the housing market itself. You should also think about your potential competition. The hotter the housing market is, the more competitive the market will be; you will be spending more money on investment properties during this time, but you will also make more money in return.

Knowing the Best Property to Invest In

If you want the best return on your investments, understand what makes an investment property great. The home should be in good condition; if there are any repairs or renovations that need to be made before the final sale, take that into consideration.

Take a look at the surrounding neighborhood as well. People want to live in an area with good schools, great job opportunities, and pleasant neighbors. Make sure that the homes you're investing in are in great locations!

Taking Appropriate Risks

There is a certain amount of risk in real estate investment. When purchasing a rental property, you need to understand that you may not get any takers right away. You need to think ahead and determine what risks you can take and what you can't.

Never be afraid to back out of a deal that won't benefit you. You should also avoid putting absurd amounts of money and effort on single properties; after all, you will get greater amounts returned to you by investing in multiple properties at once. Sinking all of your assets into one piece of property is a huge risk that you shouldn't take.

Proper Real Estate Investing for Beginners

Now that you have the tools to begin your journey into real estate investing, it's time to start looking for your first investment property! Use these tips to help you get the most out of the properties you buy.

Are you searching for a property management company to help you keep track of your investments in Houston?

We're here to help. Contact us with any questions or concerns you have about our property management services and continue reading our blog for more tips and tricks today!

Too many landlords let property maintenance fall by the wayside. While this might work for a while in a hot rental market, it will eventually lead to their downfall. 

If you think that property maintenance is an unnecessary and costly expense, we're here to set you straight. Keep reading to learn all about the importance of maintenance for investment properties. 

It Helps You Retain Good Tenants

Finding great tenants isn't easy. Once you have them, you don't want to let them go. It's far more expensive to find new tenants than it is to retain the tenants that you already have.

Property maintenance is crucial if you want to keep your valued tenants in place. 

Consider yourself as a tenant. Would you want to continue living somewhere that's falling into disrepair? Would you like to stay with a landlord who isn't attending to your maintenance needs? 

If the answer is no, you know what you have to do. Keep up with maintenance to avoid a rental dispute and maintain that reliable rental income. 

You'll Have a Better Reputation

Speaking of retaining your current tenants, keeping a well-maintained property will also boost your reputation and help you gain new tenants more quickly so you don't have to deal with empty properties or the lengthy tenant-finding process. 

If you let your rental properties degrade, people will spread the word. A bad reputation can cost you a lot of money and a lot of tenants.

A good reputation, however, will cause people to spread the word of your great property to all of their friends and family members who are looking for rentals. There's no better marketing than word-of-mouth marketing. 

You'll Save Money

It might seem as though property maintenance is too expensive for the average landlord, but is that really true?

We already mentioned that having good property conditions can prevent you from having empty units for too long, but there are other ways that you'll save money as well.

When you perform routine maintenance instead of just checking on the property when someone complains, you'll prevent more expensive maintenance projects in the future. For example, having routine rental property inspections and maintenance to find and fix hidden leaks will prevent future water damage. 

By maintaining your property, you'll also maintain a higher property value if you ever decide to sell. 

Property Maintenance Matters

You have responsibilities as a landlord. Your tenants rely on you to provide a habitable and well-maintained property. If you don't hold up your end of the bargain, you'll lose tenants and damage your reputation. 

Property maintenance isn't just for your tenants. It helps you as well.

Are you a property owner in Houston, Texas that's struggling to keep up with maintenance or other ownership responsibilities? Our property management professionals at Precision Realty want to help you. Contact us so we can start working together today.

It isn't easy to know how to be a good landlord, especially after a pandemic that rocked the housing market. 

More than ever, you have to make sure you have the most highly desired landlord qualities if you want to keep your rentals full.

Keep reading, and we'll give you some helpful tips on how to be the best landlord you can be. 

What Does a Landlord Do?

A landlord rents out their properties to tenants. Landlords own these properties and usually use rental income to pay the mortgage that they still owe. 

Since mortgage payments are typically cheaper than the average rental payments, landlords profit by charging a bit more than they're paying for a house or apartment. 

In exchange, the landlord agrees to be responsible for some maintenance and problem-solving around the house.

How to Be a Good Landlord

There is more than one way to be a successful landlord. However, it is always wise not to go into the endeavor alone.

When you partner with a property management company, you can still profit from your rentals while sharing some of the responsibility. 

A property management company can help you get paperwork signed, permits acquired, and background checks done on prospective tenants. They will also do a lot of tenant communication on your behalf.

How Important is Being Liked?

These days, a lot of Americans don't think highly of landlords. During the COVID-19 pandemic, rent forgiveness and eviction moratoriums allowed tenants to get used to lax renting rules. 

Now more than ever, some tenants think of landlords as parasites or inherently selfish people.

If you are a landlord yourself, you know that is not always the case. However, in light of this trend, you must demonstrate to your tenants how you plan to help them and properly maintain your property. 

Finding the Right Balance

You should be as compassionate with your tenants as you can afford to be, but no more. More than half of U.S. landlords lost money in 2018. Once the pandemic began, that number climbed even higher. 

Good landlord characteristics include both kindness and firmness. If you have enough money to give your tenant an extension on rent after, say, an unexpected medical emergency, you should. 

However, you should also hold them to their end of the bargain in those situations. Make a payment plan and stick to it firmly. 

Being a landlord is a lot like being a parent. You must know when to bend the rules and when to crack down on them. 

Become a Successful Landlord Today

Now you have some great starter tips on how to be a good landlord. Next, get your rentals on the market and start making money!

Find out more about the resources available to landlords today. 

By being a landlord, you are providing other people with housing and yourself with passive income. Everybody wins!

From conducting background checks and checking credit scores to complying with the tenant/landlord laws in your state, it's a process you should be prepared for.

Keep reading to learn how to screen a tenant, what to check for, and how to find the best tenants for your standards and property.

Understand Tenant Screening Laws in Houston, Texas

Though screening a tenant is necessary before you rent out your property, you should first get acquainted with the tenant screening laws and regulations. The laws are there to protect both the landlord and the tenant in different ways.

As a landlord, the laws apply to you to prevent discrimination when choosing tenants. The laws also outline which steps to take in order to evict someone legally. Make sure you read the state laws or consult a lawyer before you make and sign any contracts with tenants.

Conduct a Tenant Background Check

Conducting a background check for each new tenant is a must if you want to avoid future problems. If the results show the prospective tenant has a criminal record, depending on the severity, you can discuss it with them.

Background checks can also help you avoid sexual offenders, terrorists, murderers, and other types of criminals. Double-check the tenants' information to make sure you spelled their names correctly to prevent false results.

Check the Tenants' Credit Score

Another important part of the tenant screening process is checking their credit score. This is to make sure they pay their bills on time and that they're financially responsible.

Though you can reject a tenant based on their credit report, you need to inform them about their right to get a free credit report from reporting agencies.

Verify Tenants' Income and Employment

Verifying a tenant's income and employment is one of the most important landlord tips to remember. Ask for the employer's contact information, proof of income, and any other paperwork. This should prove the tenant can afford to pay the rent and all the expenses that come with it.

Check the Tenants' Rental History

If you're becoming a landlord for the first time, don't forget to check the tenants' rental and eviction history. This will tell you everything you need to know about their behavior, what to expect, and how to deal with any issues that come up. Ask for previous landlords' contact information or references to make sure the tenants are right for you.

Follow These Tips To Learn How to Screen a Tenant in Houston, TexasWay

Whether this is your first time renting out a unit or you're investing in multiple rental properties, learning how to screen a tenant can save you a lot of time and money. By triple-checking who you're renting to, you'll always choose the best tenants for your property and prevent future problems.

Need a specific property management quote for your rental unit in Houston, Texas? Contact us today to learn more about our services and let us take care of your property the right way.

Many rental owners don't allow pets because they are notorious for causing damage. These damages could potentially reduce your net profit even further. However, it doesn't have to be this way. 

This guide will show you why you should consider allowing pets in a rental property that you own. 

Larger Prospective Tenant Pool 

Opening up your rental homes to applicants with pets means you'll have a much larger applicant pool to choose from. Therefore, the more applicants you have, the lower your vacancy rate should be. 

You can also find high-quality tenants that happen to own pets. These are tenants that have strong credit scores and pay on time. You would have missed out on them because your blanket policy would have denied their application before consideration. 

Increase Your Income 

Allowing pets means you can charge more. Start by charging a pet fee in addition to a security deposit. Unlike the security deposit that you have to return when the tenant moves out, the pet fee you can keep. 

You can also charge an additional lower fee for each additional animal that the applicant wants to bring with them. Some landlords also charge pet rent. This is a monthly fee that the tenant pays in addition to the agreed-upon rent. 

Reduce Tenant Turnover 

Your tenant screening process is in place to reduce your risk and hopefully secure high-quality tenants. These are people who will pay their rent on time, take care of your property, and renew their lease year after year. Pet owners show stability and responsibility by committing to care for an animal. 

Selecting a tenant that has pets can help you reduce your tenant turnover rate. This reduces vacancy rates and turnover costs. 

When You're Required to Allow Pets 

Sometimes, you won't have the option of saying yes or no. The Americans with Disabilities Act (ADA) and the Fair Housing Act create protections for those individuals who require the assistance of a service animal. This affords service and assistance animals the right to live with their owners. 

Sometimes, the need for the support animal isn't always immediately apparent. You can request a letter from a medical professional that states the applicant's need and the support dog's job for the person. 

While you can't charge pet fees or pet deposits, you can request that the tenant pays for any damage caused by the animal. You can also seek recovery should the animal become a nuisance or dangerous. 

Allow Pets in a Rental Property

While allowing pets in a rental property does present a certain amount of risk, several benefits can make the risk well worth it. Allowing pets means you can reach a larger applicant pool, increase your income, and reduce tenant turnover. 

Contact our skilled team of property managers today and let them show you how to safely allow pets in your rental properties. 

Texas happens to be the 11th best state for landlords in terms of earnings. On average, they make $70,000 per year, which is almost $20,000 higher than the average national salary.

As profitable as being a landlord is, it also comes with a lot of responsibilities, one of which is conducting a tenant background check for each new tenant or group of tenants.

We'll talk about why this is so important in this article.

Why You Need to Do a Tenant Background Check

A landlord's entire livelihood relies on their tenants, so choosing tenants is very important. A good tenant should be trustworthy and respectful. 

They should be willing and able to make rent and keep the property in good working order. To this end, there are certain things you should be looking for.

1. Basic Verification

The first step in conducting a background check is to verify the potential tenant's information. Do they have an ID? Is there any chance it's a fake ID or that they're using someone else's?

Where have they lived? When you call these places, do the landlords, realtors, etc. agree that the person has lived there? Do they still live at the address they claim to live at?

Go through the same process with employers.

2. Credit Score

You should also run a check on the applicant's credit score. A credit score is a measure of how good the person is with money. A high credit score indicates that they have a good history of paying their bills.

Meanwhile, a lower credit score often means they're not great with money, may have a lot of debt, or rack up debt with no intention of paying it back.

This can become a much bigger problem if the tenant becomes a squatter. A squatter is someone who occupies a property they don't own and refuses to leave. There is legal recourse for this in some cases, but it's time-consuming and costly.

3. Criminal Record

This one can be somewhat tricky. Just because somebody committed a crime or had a troubled past doesn't mean they intend to do it again.

Many former criminals have every intention of transitioning back to society, and many struggle with it. For that reason, many people, and even some states are making efforts to expunge the records of some criminals, especially those with minor charges.

That being said, there's also no guarantee that they are trying to turn their lives around. If their criminal record shows recent arrests, caution is advised.

The Importance of Running a Tenant Background Check

A tenant background check is one of the tools a landlord has at their disposal to ensure they don't get swindled. We've talked a bit about what to look for in a background check in this article, but being a landlord involves a lot more than background checks.

If you want to know more about rental property from various perspectives please visit our site. Please contact us if you have any questions or concerns.

With more residents moving to the Houston area, it's creating a massive opportunity for rental property owners to take advantage of. If you own rental property in Houston, keep reading this comprehensive guide to learn how to create a rental advertisement that can grab renters' attention.

1. Know Your Target Market

The first step in advertising a rental property is knowing your target market and who will be using your services. 

• Are they looking for amenities?
• Do they only care about price?
• What are their demographics?

These are important questions to ask so you can better prepare your rental ad. For example, is your property located in an upscale part of Houston, such as downtown? If so, you may want to focus more on things like amenities and including words like "luxurious" and "spacious."

2. Use Professional Pictures

One of the first property marketing tips you should be aware of is hiring a professional to take pictures of your rental. The first engagement potential renters will have with your property is through photos. It's crucial to make sure they are of the highest quality. 

According to research, realtors that use professional photos sell houses 32 percent faster. This goes for rental properties as well - more people will be engaged with the ad and viewing the listing.

3. Be Brief But Descriptive

While advertising a rental property, the goal is to communicate as much information as possible that can sway the renter's decision without overwhelming them. You will want to list the important details like:

• Number of bedrooms
• Number of bathrooms
• Location
• Amenities
• Rent price

It's best to emphasize the selling points of your property when possible such as a good location if it has a pool or anything else that can make it unique.

4. Utilize Social Media

If you are not utilizing social media yet, now is the time. With over 70 percent of all American adults using social media, it can be an excellent way of connecting with potential renters in the Houston area.

The best part of social media is that it automatically connects you with people in your area. So if you are posting rental properties in Houston, renters in the area will come across your post.

5. Emphasize the Amenities

What makes your property unique? This is what you will want to make your focal point. Individuals will be looking through several different listings before coming across yours. Make sure that yours is memorable and offers something unique for renters.

Your Ultimate Rental Advertisement Is Waiting

When it comes to creating a rental advertisement, it's essential to stand out among the endless listings of rentals. Following these few tips can help you get noticed, engage potential renters, and close the deal. The more eyes that see your ad, the better the results will be when you go to show it. 

If you need help with your rental advertisement or looking for property management services, contact us today, and we can help you maximize your potential.

Are you considering Houston property management services? Keep reading for five reasons why outsourcing property management is right for you.

1. A Houston Property Management Firm is Essential for Distant Owners

If you are a property owner who lives in a different city or state, outsourcing property management is the perfect solution. These providers can handle every aspect of the leasing process.

You'll want to hire a firm that can do more than collect monthly fees. For example, property management firms also offer:

• Advertising
• Maintenance 
• Property inspections
• Tenant screening

For additional requirements, make sure the companies you interview are flexible. 

2. Outsourcing Ensures Professionals are Caring for Your Properties

Property management firms hire individuals at all levels. You don't have to worry about the grounds being maintained, the condition of units, or someone showing the property.  

Whatever services you want to outsource, ask for a package that suits your needs. 

Hiring an all-inclusive Houston property management firm will give you peace of mind. The day-to-day operations assigned to the firm are not only handled promptly, but you also don't have to worry about hiring employees, paying for benefits, or doing employee takes. 

3. Residents Have Reliable Management

The tenant and management relationship is vital to the success of your business. Having long-term residents is rewarding, and it also cuts down on costs. 

One of the features that residents look for when leasing a property is having reliable property management. When something goes wrong, they want to rely on someone who's always available to fix the problem.

Your property management firm should also offer customer relationship management tools. An app for online account management makes it easier for residents to pay their rent and submit requests.

4. This is Their Business

Buying investment properties is what property owners are good at. Managing those properties is what property managers do for a living. Because managing properties is their sole focus, they can see things the owner may overlook.

A Houston property management company will notice industry trends that can help you improve your locations. They can also make recommendations on pricing, amenities, and much more.

5. You Can Focus on Future Investments

The ultimate objective for hiring property managers in Houston is so you can focus on growing your portfolio. When you have a management team you can rely on to remove the stress, you'll want to seek new properties.

It's a win-win solution for everyone.

Relax and Leave it to the Pros

A Houston property management company is the perfect solution to your management needs. Choosing the right team is vital to ensuring your properties are properly maintained and residents or happy.

Maximizing the potential for your properties is what we do best. Click here to connect with a Precision Realty and Management representative to discuss your management needs. 

As a landlord, you've got a lot on your plate. Whether it's fixing little problems on your property or ensuring that your tenants are happy, you've got a lot to think about. When one of your tenants becomes a problem, that's when the real issues start to arise.

In the worst circumstances, even after you serve a tenant their eviction notice, they'll continue to cause problems. In this post, we're going to help you out by telling you how to get rid of a tenant that's ignored their eviction notice. Follow these tips and you can rest easy knowing that justice will prevail.

When a Tenant Doesn't Respond to Your Eviction Notice

Finding good tenants is difficult, which is why tenant screening is so important. You might think that a tenant looks good on paper, but you just don't know for sure until you've got them on the property. When things get really bad, it might be cause for eviction.

If a tenant doesn't respond to your 30-day eviction notice, whether you've provided a notice form or notice letter, then you need to start getting ready for legal action. Here in Texas, a landlord must attempt to terminate a tenancy before filing an eviction. If the tenant refuses to vacate the property, then an eviction notice can be filed.

But before anything, you should start formulating evidence that your tenant is in violation of your rental agreement. If you've got sufficient evidence, you can take your eviction grievance to the local court system, where you can file an official eviction.

Going through the court system will make things more official for your delinquent tenant, but if you still need help, then your writ of possession will allow you to have the sheriff's department remove the tenant non your behalf.

Resolving the Disagreements

Sometimes, a tenant will disagree with, not only your decision to evict them but the court's decision as well. As we said, if you win your court case, then you'll have a legal right to take your property back. 

Before it gets to this point, however, it's always an easier road to try and resolve the eviction disagreement by talking to the tenant rather than go to the courts. If you can help them see that they're in the wrong, they may see that it's not worth the trouble of taking their case to court.

After a Court Ruling

After a court ruling, the tenant may decide that they want to challenge the ruling, which can prolong this process even more. If it gets to this point, it's unlikely that reasoning with them is going to be an option. 

You'll have to tough out the process, but having a great landlord lawyer on your side can help to put your mind at ease.

Learning How to Evict a Tenant

No property owner sets out to learn how to evict a tenant. In a perfect world, you'll never have to do this because you find great tenants and retain them for as long as possible. Unfortunately, these things do happen, so going through the process of serving an eviction notice and following the subsequent steps to take back your property is important to learn about.

Owning property is great on multiple levels, but there's nothing easy about it. If you don't have the time to maintain your property and deal with tenants, it might be time to hire a property manager. Precision Realty and Management is one of Houston's top property management companies.

Visit our site today to learn more about what we do and contact us to discuss how our services can help you manage your property. 

There are some options for those who need a hand in property management, and Precision Realty is thankfully highly experienced with property management in Houston, Texas, and is very familiar with the tools of the trade.

With that said, let’s take a look at what you should be looking for when deciding to hire a property management company

Investment Security

An apartment complex or office building is only as good as the owner behind it and what they expect to do with it. When it comes to collecting rent and property inspection, your company shouldn’t cut any costs to it when you sink money into your new building.

Having a licensed company with you that can help you with this checklist of needs is very vital. You should also make sure they know the area well and what buildings are best for your needs starting as a landlord.

Fees

Now, this comes as no surprise, but the old saying “you have to spend money to make money” is always gonna be true. Management fees may sound like they’re a pain, but remember, your asking for someone’s help for looking after your land, so you need to pay for the services.

When you’re dealing with your tenants, you should make sure your collection is within the limit of what you’re allowed to charge. Your management team should be very knowledgeable and fair in this field.

Insurance

Not only would you need your insurance, but the company you decide to hire should also have all the required insurance that goes into taking care of any unexpected accidents or repairs that come.

Expert on the Land

Not only do they need to know about the building you’re interested in, but they should also be very familiar with the neighborhood in the city it resides in.

Guessing what location is the best one is a big risk you shouldn’t take. Certainty is key when being a landlord. This includes background checks with tenants, crime rates, tax rates, traffic that comes through, property inspection, and spacing for yards and driveways.

Get the best in your Property Management Company

Putting up homes for rent and providing a service for those who need a home can be a very difficult, yet rewarding trial. When you’re starting, you should look into a company that can help you when you need it and has the best customer satisfaction.

If you think you’re ready to start out a new path and provide a service to your community, be sure to do your research to find the best property management company that can get you set up with the building of yours and your future tenant's dreams. 

Contact us and check out our services for more info.