Managing Time Tips for Property Managers

Property managers face a burdened workload, constant interruptions, a deluge of information, and tenant issues – in short, there is always too much to do and never enough time to accomplish it.  One of the biggest challenges for property managers is to complete all tasks efficiently and accurately. Given the number of interruptions you get during the day, completing a fraction of must-do tasks is remarkable. 

Property mangers deal with a number of issues including: negotiating leases with existing and prospective tenants, chasing payments, addressing maintenance problems, keeping the property owner up to date, and marketing and networking.    A jam packed schedule has the potential for disaster.  In the midst of all of the activities, moving from one task to another without completing any of the priority issues. 

Build each day around a simplistic plan that allows you to complete priority tasks first thing in the morning.   Handle high priority problems immediately and when possible, delegate work.  Afternoons should be reserved for activities out of the office. This includes meetings with vendors, landlords, tenants, and property inspections.


Simplicity and time management is the key to an effective workday. It is inevitable that you will encounter days when this plan will not be achievable due to some unintended event; however for every hour you devote to planning, you’ll save 3 to 4 hours from poorly managed tasks, so it definitely pays off to stick to a schedule.

Millennials and the Market

Millennials, the most widely analyzed generation since the Baby Boomers, are changing the real estate market and how we buy and sell homes.  This age group, born between 1980 and 1995, are frugal, careful decision makers, coming out of the worst recession and real estate market in decades.  Despite this, research suggest Millennials are the fastest growing demographic in the real estate market.  Although Millenials have been sidelined by high unemployment, student loan debts, and tight credit- they have a different outlook on home ownership and long-term investments than previous generations.   Millennials tend to research upfront regarding location and availability, their societal trends play a major role- as they wait longer to get married and start a family, life events that tend to spur home purchases.

Millennials are not in a rush to buy their own homes.  In fact, many of them are not in rush to move out of their parent's house.  That doesn't mean, however, that they'll remain renters- or freeloaders in mom and dad's basement forever.   If Millennials are going to buy in- or buy a home, the conversation about their motivation for purchasing a home needs to shift.  This doesn't relate to the American Dream or the accumulation of things,  this relates to growing wealth and having the ability to pay off student loan debt.

One thing is for sure, young people have plenty of hurdles to overcome in regards to home ownership.

Save 10% at Lowes or Home Depot

As a new home owner, I am often found at Lowes or Home Depot. I almost never leave the store without spending several hundred dollars. I discovered that you can go to the Post Office and get a change of address packet. Within the packet is a 10% off coupon to Lowes. Home Depot will accept it as well. Use this trick for some big ticket items and save yourself some mula.

3 Mortgage Mistakes You Can Avoid

The mortgage market in today's world is pretty chaotic, at best. Rates are ridiculously low, and many homes are worth less than the mortgages they secure. People are still losing their homes left and right, but qualified borrowers are being denied loans every day. It's no wonder potential and current home owners alike are confused about mortgages. I found this great article from inmanNEWS titled "3 mortgage mistakes you can avoid," which I thought would be great to share with you all to try and clear things up a bit. The mistakes are:

1. Failing to try to refinance because you're upside down.
At last count, nearly 11 million Americans were upside down on their homes - meaning they owe more in mortgage payments than the home is actually worth - and that's about 23% of all American homes. With interest rates having dropped to historic lows, more than 10 million Americans have refinanced their mortgages since 2009. But there are still many homeowners with negative equity feeling trapped in the 6, 7, or even 8 percent interest rates because they're unable to refinance.

The fact is, there are multiple options for lowering your interest rate and monthly payment if you're upside down. Banks are increasingly amenable to simply modify existing mortgages to render them less prone to default and foreclosure - especially when the homeowner is trying to recover from a financial hardship, and especially with upside-down loans (which are particularly liable to strategic default).

2. Walking into the bank branch to get a mortgage.
Unless your bank happens to be a neighborhood credit union or one of the few large banks that ranks highly in customer satisfaction, you'll likely not be satisfied with the speed, customer service or assertiveness of a mortgage banker you meet just walking into the branch. But if you work with a mortgage broker or a private mortgage banker, chances are good you'll get someone who understands that the long-term health of their business depends on you and clients like you getting a good deal in a timely manner.

Also, if you work with a mortgage broker whose company also has its own bank, you get the best of both worlds: a professional who will shop lots of banks' offerings to find the best options for you, and someone who can coordinate your transaction via a small pool of local, experienced appraisers. Many large banks use appraisers who don't know the area, which can kill your deal in the long run.

3. Thinking you're stuck with it for 30 years.
Some people avoid mortgages simply to avoid a 30 year debt. Others are stuck with a 30-year loan because the 15-year mortgage payments were too steep. But the fact is, you control when you pay off your mortgage, and it doesn't take a lottery or inheritance windfall to pay yours off sooner than later.

Some people pay half their mortgage payments every two weeks, which results in a full extra payment every year and can pay your mortgage off as much as five years early. Others just pay an extra $100 or so whenever they can and apply it to the principal. Some apply paycheck raises over the years or the amount they would use to extinguish a credit card debt in an effort to pay the mortgage off early.

What to take away? As a borrower, you have much more power than you think - from exploring all available options to being aggressive about paying off your home sooner rather than later. Either way, be clear on your personal goals for your mortgage, get educated about your options and get assertive about making them happen -- now.

** Be sure to check out the original article at InmanNEWs.com.

Maintenance Tip of the Day

Everyone is talking about The Super, and what a nice time we had watching the first episode Monday evening.

Winter is now upon us, the first frost is right around the corner. Snow, ice and freezing temperatures are ready to attack us. We prepare ourselves with heavy coats, insulated gloves, warm and dry boots, but what about our homes?

When was the last time you checked the insulation in your attic? Blown in insulation is easy to apply and most places that sell the insulation will loan you the machine to install it. There are several types of insulation that can be blown in. You can even purchase insulation made from recycled materials that help the enviornment. Instead of materials filling up the land fills it saves energy in your home, saving you money.

If blown in insulation will not work for you, there is faced and unfaced insulation that come in rolls or sections. There are several different "R" values for your specific need. Measure the thickness of the insulation you currently have and take that information with you when you are ready to purchase your insulation. The store of your choice will be able to give you advice on the most cost effective materials you will need.

Looking around the outside of your home can often save you energy and money. Caulk is very inexpensive for the return in value. A $2.00 tube of caulk can seal a drafty window, also check the corners of your house along the edge of your siding for cracks that could be filled.

Clean your gutters, a free flowing gutter will help prevent ice damns. Ice damns cause water to back up under your shingles that can cause a leak on the interior ceilings. While you are looking at your gutters don't forget the down spouts, sometimes the ends are clogged or smashed, restricting the water flow.

Lastly, put your snow shovel where you can find it. Don't wait, store it and ice melt where it is accessible, even a bag of kitty litter may come in handy.

I heard one person say that they love winter, it's just the cold, snow, ice and slick roads they don't like.

Happy winter soltace, be safe and enjoy the seasons!

Lessons We Can Learn From the Recession

As a homeowner are you worried about the value of your home? As an investor are you wondering how to know the best time to buy and the best time to sell? With recession still in the air and moving out slower then most people would have predicted, all property owners are pensive about the future.

I recently read an article on Inman News called "5 bright spots in real estate recession". While he refers to these trends as 'bright spots' I see it more as lessons for all property owners to take to heart and learn from.

1. People now buy for the long term.
Don't take a short-term view of the investment property you purchase or your primary residence. Keep your properties for a longer period of time then in the past.

2. Dysfunctional properties are being weeded out and creatively reused.Investors in real estate need to look at taking dysfunctional properties and turning them into something useful for the community.

3. American housing stock is getting an energy-efficient upgrade.
Instead of moving to a newer home check out upgrading your home with more energy efficient water heaters, doors and windows.

4. People are making more responsible mortgage decisions and building financial good habits in the process.
If you are in the market to purchase property plan ahead by saving money for a down payment , keep your credit good so that you have a good FICO score and can get the best loan. Once you do get your loan, read your loan documents carefully and use a REALTOR® to help you get the best price for the property and have someone knowledgeable on your side that's working for your best interest. Something you may not know, Landmark REALTORS® offer free buyer representation.

5. Our feelings about debt and equity have been reformed.
Don't refinance to pull out money to pay off other debts or buy other items you want. Let your equity in your home just build up, otherwise you will get caught up in overspending. Concentrate on paying your principal down to avoid being upside down on your mortgage.

If you have questions about purchasing or selling a property for your personal residence or for an investment call our knowledgeable REALTORS® at Landmark Group at 402.55.8111 and they can help you navigate through the process, or check out our website at http://landmarkomaha.com for more real estate information.

Buying New or Used?

In today's market, when one goes to purchase a house it means they have done their research and have wrestled with all their options. Countless aspects are to be considered when taking this step, but besides finances and family matters, deciding what to buy is just as big of a decision. Three or four bedroom? Bigger yard or bigger house? Two car garage or one?

Even before those questions arise, you should decide whether you are going to look at a old properties or new ones. Each has its advantages and disadvantages - once you've processed both sides of the spectrum, it's up to you to decide which areas you are willing to cope with and which areas you're set on.

Advantages to buying a older home

• Old world construction by a genuine craftsman
• Larger yard
• More character
• Longer-term neighbors
• Established neighborhood, no zoning changes
  
• Mature trees and vegetation
  
• Closer to downtown entertainment and restaurants

Disadvantages to buying a older home

• More periodic maintenance
  
• Expensive to replace wiring and plumbing
  
• Smaller closets, storage space, garages
  
• Might require updates
  
• Often more expensive due to location and walkability
  
• Smaller square footage on average

Advantages to buying a new home

• Little maintenance
  
• Modern conveniences
• Builder's warranty
  
• Energy efficient
  
• Built to code
  
• Emotional factor of newness
  
• Less expensive (if not custom)
  
• Greater square footage, on average

Disadvantages to buying a new home

• Tract homes have similar floor plans, little individuality
  
• Immature vegetation
  
• House settling may cause foundational cracks
  
• Longer commuting distances to downtown

So when thoughts of purchasing arise in your head, make sure this is one of the first choices you shuffle through. It will narrow down your options by a world and will make your desires clearer to your REALTOR®. 

Article source: About.com - Home Buying/Selling

Home Ownership

I read a great article about Home Ownership in the Omaha area Board of Realtors June of 2011 edition of Focus called "Why Home Ownership Matters." It broke it down how it matters to people, to communities and to America.

The points in the article made prefect sense as to how home ownership effects so many different aspects. Home owners are happier and healthier; it's the best way to build long-term wealth, not to mention the mortgage interest and property tax deductions. It reduces crime and supports the upkeep of the neighborhood. Plus, we have probably all heard the advertisement that it pumps $60,000.00 into the economy for every house purchased. WOW! And it is the American Dream to own your own home and have a mortgage burning party when its all paid off. Certainly something to look forward to!

For more information see REALTOR.org/Homeownership or contact Landmark Group and speak with one of our experienced REALTORS®.

Source: Omaha Area Board of Realtors, Focus, June 2011

Are There Any Reasons NOT to Buy a Home?

I found this great article from About.com, and it discusses ten reasons why someone might not want to become a home owner. This is one of the biggest purchases most people make in their life, so make sure you know it's what you want before it's too late. Scan the list below if you're on the fence about this decision. If more than one of these reasons applies to you, you should become weary of taking the plunge - consider other options such as renting a home or leasing a unit in an apartment complex.

REASON 1: NO DOWN PAYMENT

Excluding VA loans and a smattering of first-time home buyer programs, you will need to make a down payment to finance a home purchase. This amount can range from 3.5% of the sales price for an FHA loan to a minimum of 10% for a conventional loan. The best interest rates are offered to those buyers with 20% to put down.

REASON 2: BAD CREDIT

Bad credit can disqualify you from obtaining any mortgage. Those with credit scores below 620 might find hard-money sources that will lend on a home, but the interest rates and fees will be through the roof. A higher interest rate equates to a higher mortgage payment. If you have borderline credit, consider waiting, and making changes in your spending habits to improve your FICO score.

REASON 3: HIGH DEBT RATIOS

Lenders change the rules all the time for debt ratios. If bills eat up 50% of your gross income every month, you probably cannot afford a mortgage payment on top of those expenses. Because lender guidelines have changed since the mortgage meltdown of 2007, your debt ratios will need to be line or you will never get through underwriting. Consider paying down or paying off your credit cards before buying a home.

REASON 4: LITTLE JOB SECURITY

If you have reason to believe that your job may be in jeopardy, now is not a good time to buy a home. Many home owners who go into foreclosure end up in that position because they have lost their jobs. Unemployed individuals often place priorities on buying groceries and putting gas in their car over making a mortgage payment, hoping they can make up the mortgage payments later. Instead, they tend to go deeper into debt.

REASON 5: WHEN RENTING IS 50% CHEAPER THAN BUYING

If your main objective is to put a roof over your head, consider whether it's smarter to rent than to buy. In some real estate markets, it can be a bit of a stretch to meet the financial obligations of home ownership when rents in those areas are 50% lower than a mortgage payment. When home prices are so high that few buyers cannot afford to buy their first home, you may be better off renting and paying less for that roof.

REASON 6: TEND TO MOVE EVERY YEAR

Buying a home is generally a long-term commitment. If you love the excitement of new digs, which makes you want to constantly change your environment, you may find that it's impossible to sell your new home in a relatively short period of time without absorbing a big loss. The reason many people buy a home is to build equity, and it's very difficult to build equity if you're buying and selling at the drop of a hat, especially in areas where appreciation is little or none.

REASON 7: UNSTABLE RELATIONSHIPS

Although many single people buy a home, especially single woman home buyers, often a home buying purchase is made with a partner or spouse. If your relationship with that person is unstable, what will you do if you're relying on that person's income and support to make the mortgage payment, and that person vanishes? At that point you could be facing a short sale or, at the very least, a loan modification, both of which affect credit.

REASON 8: DECLINING REAL ESTATE MARKET

People who buy homes in declining markets often watch in horror as their equity disappears when the market continues to fall. Home buying in a falling market means if you put down 20% and the market falls another 5%, you have now lost 25% of your investment. Poof. Gone. Out the window. The only way that it makes sense to buy in a falling market is if you buy below the comparable sales. If you try to time the real estate market and buy at the bottom, your predictions could be wrong.

REASON 9: CONSTANT TRAVELING

Let's be serious here. If you travel all the time, why would you want to buy a home? Some people say condos are a good choice for people on the go; it's called a lock-and-go lifestyle. They feel that other owners in the condo complex will watch over their home in their absence and nothing will happen. Well, what about that homeowner association fee that is due and payable every month for services that are used once or twice a month? That could be a huge waste of money.

REASON 10: EVERYBODY ELSE IS DOING IT

It's a fact that in seller's markets, buyers often end up in multiple offer situations. That's because in those markets, inventory is tight and demand is high. When you buy a home in a seller's market, you have little negotiating power and often will pay more than the list price. You'd be much better off buying a home in a buyer's market, when there are fewer buyers competing for larger amounts of inventory. You don't always have to follow the crowd to make a wise financial decision.

** This article was written by Elizabeth Weintraub who has 30+ years in the real estate industry and is currently a full-time broker-associate at Lyon Real Estate's midtown Sacramento office.