Self managing a Tempe rental property can lead to financial trouble, tenant disputes and headaches. These stories from self managing landlords are typical of the challenges you can face when you aren’t working with a professional property management company.
Allowing Tenants to Make Repairs
One owner signed a two year lease with tenants and agreed that the tenants would complete repairs that were needed on the rental property. It was agreed that the tenants would also take care of ongoing maintenance. For this service, the rent was reduced over that two year period. When the owner took possession of the property and conducted his inspection, he realized not only were the repairs not completed, but the tenants never performed routine maintenance. It cost this landlord almost $1,500 to turn the property over.
Another owner became exceptionally friendly with a tenant living in the property. Unfortunately, the tenant became annoying and began harassing the neighbors. Then he stopped paying rent. But the owner was too close to the tenant to actually do anything about it. He contacted us and we were forced to evict the tenant.
Out of State Landlords
Living out of state can make managing your own property especially difficult. There was one landlord who lived out of state and rented her house to a tenant. After a while, the rent stopped. The tenant had lots of excuses and eventually, the owner turned the property over to us. When we inspected the home, we found three unauthorized pets and a roommate who was not on the lease.
Security Deposit Requirements
We have worked with owners who became frustrated with emails from their tenants requesting maintenance. We also met an owner who seemed to do everything right. He had a good lease and great tenants. When they moved out, the owner realized there were some repairs that were necessary. He called the tenants and told them how much it would cost to repair property, but he never said anything about the security deposit. In Arizona, you must return the security deposit within 14 business days, or you can be liable for up to twice the security deposit. This owner had to settle by paying the tenants two months of rent plus he had to incur the cost of repairs.
These things happen all the time. If you really want to enjoy being a real estate investor, use a property manager. Contact us at Crest Premier Properties.