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The number of housing markets showing measurable improvement nearly doubled in January with the addition of 40 new metros to the National Association of Home Builders/First American Improving Markets Index (IMI), released recently. The IMI now boasts 76 improving markets, up from 41 in December, with 31 states and the District of Columbia represented by at least one entry.
As part of its continuing effort to provide quality housing counseling to the nation's homeowners, buyers and renters, the U.S. Department of Housing and Urban Development (HUD) recently announced the availability of $2 million in grants for housing counseling training. HUD's goal is to fund eligible organizations to deliver training across the full spectrum of counseling services.
The world hasn’t ended yet, and people still need a place to live, but economic growth is slow, job expansion is slow, and home prices are low, so few real estate professionals are out celebrating in the streets at the end of 2011. That said, rents rose faster than expected in 2011, so it was actually a pretty good year to be a landlord or a property manager. Here’s a look back at 2011, and a look into the crystal ball for 2012.
The Rental Boom
I believe the topic of dangerous dogs is one of the fastest growing safety concerns for a landlord at this time. Unlike the lead based paint issue which has state and now federal regulations to curb the potential dangers, this danger is still pretty much unregulated and open for discussion. Mix in the fact that the dangerous dog issue is often a personal and emotional one, and things can become very sensitive very quickly.
Many landlords conduct their rental operations out of their homes. The operation may be separate from their regular employment or business, such as a retail store or professional office, or it may be their sole source of livelihood. Where a business is operated out of the home, there are expenses that the landlord can legitimately take on his Schedule C (self-employment income). Some who are entitled fail to take them, many who do should not, at least until they modify their business practices.
If you are planning to invest in real estate, the best option to acquire finance is by applying for apartment loans. There are various lenders who will be willing to grant you the loan provided you meet their certain requirements. But remember, the requirements of the lender varies from one to the other. But generally, before they agree to grant you the loan, they will check the condition of the property, presentation format, location, quality, etc. Thus, before you apply for such funds, it is best if you have some knowledge about it.
Nationwide production of new single-family homes rose 4.4 percent to a seasonally adjusted annual rate of 470,000 units in December, according to newly released figures from the U.S. Commerce Department. This marked a third consecutive increase and the fastest pace of single-family housing starts since April of 2010. Meanwhile, the overall number of housing starts for the month declined 4.1 percent to a 657,000-unit rate due to a 20.4 percent dip on the more volatile multifamily side.
How to paint rental property so that your building can be your ambassador of curb appeal. Its appearance can say a lot about your condominium community. And yet you could be spending a healthy portion of your maintenance budget on a much too short re-coating cycle.
Ask any manager today, “Who is your favorite resident?” They will probably tell you the one who drops the rent in the night deposit, is never late, and never comes in the office to complain! These residents are GREAT- move them in and they leave you alone!
Some of us will agree that this sounds like an IDEAL resident, but is it really good to have residents we never see? What is the average amount of time you spend getting to know a resident during his/her first year lease?
Research has shown that a person who resigns from your property management company is leaving for one of three possible reasons: a new career opportunity, an unsolicited job offer or for a grievance that has not been handled correctly. Whenever a person resigns from your property management company for voluntary reasons it’s normally a surprise and it can be expensive to replace a valuable team member. This article will outline three important steps for conducting exit interviews, a process which will reduce employee turnover and improve profitability at the same time.
Follow up work is key to closing the sale when there is no commitment on the first visit. However, many leasing people still hesitate to keep in contact with their prospective renters or make call backs on the appointments that are no shows. This question may shed some light as to why this occurs:
Q: I know I should probably follow up more on my guest cards and also call people who make appointments and don’t show up, but calling people back makes me feel like I’m “bugging them.” If they’re really interested, won’t they just come back or call me?
The Institute of Real Estate Management (IREM®), strongly committed to legislative advocacy, participated in significant legislative and regulatory victories in 2011 of benefit to its members, other commercial real estate professionals and allied interest groups. Among the most notable of these victories, some achieved in collaboration with the National Association Of Realtors® (NAR), are these:
Strong U.S. Rental Housing Demand Increases Need for Employees with Diverse Backgrounds
As the nation's unemployment rates slowly recover, the apartment industry continues to see strong demand for new employees in order to keep up with a growth rate that is expected to increase as people opt to rent apartments.
The new year is traditionally a time for each of us to look backward to what went wrong last year and forward to what we can do to improve things in the future. For property managers that means evaluating our ways of doing business and trying to figure out where we go from here.
With that in mind the Law Office of Scott M. Clark recommends the following resolutions to all of our friends in the property management business:
1. Resolve to put your leasing criteria in writing.
The NAA Education Institute (NAAEI) will hold online education seminars for its Specialist in Housing Credit Management (SHCM) Certification in February. The Webinar content is based on the National Affordable Housing Management Association’s (NAHMA) “Practical Guide to Tax Credit Housing Management” workbook.
The course is ideal for affordable housing management professionals and helps them to master the complex requirements of the LIHTC program. The program begins 3 p.m. ET on Feb. 6, 2012, and runs every Monday in February at that time with instructor Anita Moseman.
The 2012 NAA Education Conference & Exposition is the largest event in the multifamily housing industry. More than 5,500 of your colleagues will gather in Boston June 28-30 to network and learn about the latest trends that will keep them on the cutting edge and at the top of the career ladder.
Join industry leaders at the Wynn Las Vegas, Feb. 29 to March 2, for the 2012 NAA Student Housing Conference & Exposition. The event offers prime networking opportunities and a chance to build businesses that best serve the student housing industry. Register before Jan. 6, 2012, to take advantage of early registration rates and take part in the premier event in the industry. Visit www.naahq.org/shc
Follow the 2012 NAA Student Housing Conference & Exposition on Twitter! Join the conversation at www.twitter.com/NAAStudentConf! #NAAStudentConf.
With the continued increase of distressed assets and vacancies in the Phoenix-metro commercial property market today, it is reasonable to believe that a significant amount of much needed basic infrastructure maintenance is being postponed to future year budgets. This deferment will most certainly lead to the next great renaissance in commercial construction services – particularly for the roofing industry, as these roofs will fail prematurely and need complete replacement in the coming years.
I read a great quote by Charles C. Noble today: “You must have long term goals to keep you from being frustrated by short term failures.” It’s a simple quote—direct and to the point. But how simple is this principle to actually put into practice?
Annual water rate increases are more than just an inconvenience—they’re a huge financial burden for multifamily property owners and managers. Municipal water rates are increasing by up to 55 percent in some districts, with an average nationwide increase of 12.9 percent going into 2011. Property owners in Kentucky, for instance, recently experienced a 37 percent rate increase, translating to approximately $10 per household per month.