Property Manager | Raising Rent Without Losing Tenants

Property Manager | The minimum wage is increasing, the cost of food, gas, and living, in general, is all going up. This means that the cost involved in having investment property is going up as well, and, unfortunately, this cost needs to be passed on to the tenant. No property manager expects tenants to be happy about their rent going up, but there are a few things that you can do to make the transition go smoothly without the resident decides to vacate.

1. Write a Rent Increase Letter- Do not wait until the tenant is in front of you to sign their renewal for them to find out that their rent is going up. Send a letter at least 90 days before the end of their lease, letting them know about the increase and continue to follow up with them to ensure there are no surprises. Make sure to check with your local laws regarding rent control and rent increase procedures also and always send the letter certified mail so you know it’s delivered, or deliver the message in person yourself.

2. Lease Details- A property manager needs to be sure that leases are complete and thorough and include a clause about rental increases. Some leases details guarantee that rent won’t increase for a certain amount of time and also spell out what the property manager and tenant responsibilities are.

3. Five Percent Rule- The best way to raise rent and keep tenants is not to price gauge the rent. While you want to keep your rent in line with the market rent trends, raising the rent by more than five percent is a great way to lose tenants fast. Try to keep in mind that this is affecting their budget too.

4. Consider Upgrades- You’re asking your tenants to pay more, so they should get more too, right? Offering your tenants a fresh coat of paint, carpet cleaning, or new landscaping options is a great way to make that rent increase hurt a little less and keep your tenants happy. Ask your tenants what they might like and try to accommodate whenever possible.

If you are looking for a professional property manager, call Scott Properties today at 843-212-9672.

Charleston Property Management | Why Charleston Property Management Companies Charge Application Fees

Charleston Property Management | Application fees are a touchy subject when it comes to landlord/tenant relationships. Tenants certainly don’t like the extra expense, and Charleston property management companies certainly don’t enjoy having to collect and process all the fees. However, application fees are necessary for quite a few reasons.

1. Checks Cost Money- Charleston property management companies, have to purchase software or pay subscription fees to conduct proper credit and background checks. Each time a background check is done on a potential renter, it costs the company money. Imagine if all the applications came back unapproved, and the Charleston property management has to cover all of those charges themselves? They’d be out of business.

2. Shows Tenant Dedication- There’s a good chance that a landlord will have to show a vacant home many times before the right tenant comes along that wants to fill out the application. When you charge an application fee, only tenants who are serious about moving in will fill out the forms, so no one’s time is wasted.

3. Shows Tenant Has Income- Charging a small application fee helps you to know if your tenant will be able to afford to pay rent. If a prospective tenant is unhappy about paying a small application fee, it’s probably not realistic to expect them to pay a deposit and first month‘s rent if their application is approved.

4. Income for the Company- Tenant application fees are retained by Charleston property management companies and can produce a little bit of extra income for the company that can be put into marketing, hiring, and general business expenses. Some Charleston property management companies also invest in homes themselves in addition to having homeowners and investment property clients they are working for.

Hiring a property manager to take care of your investment is the smart decision to make when buying a rental property. Give Scott Properties a call today to see how we can help your investment grow at 843-212-9672.

Charleston Property Management | Where To Begin With Your New Rental Property Purchase

Charleston Property Management | Purchasing rental property is an excellent investment in your future income that can provide a safety net for your family or passive income for travel and leisure. Finding the perfect rental property to purchase can be exciting. Some owners even decide to buy land and build houses specifically to have single-family rental properties. There’s a lot that goes into getting your new rental property off the ground though, and our rental property management in Charleston tips will have you getting the hang of things quick. 

1. Get Insured- You should get insurance as soon as you have the signed contract for the home in your hand. The last thing you want is your investment to go up in the smoke, flood, or get broken into before you even have tenants to worry about. It’s smart to get liability coverage as well. Once you have tenants, you can enforce a policy of tenants having rental insurance to cover their personal belongings. 
2. Inspect the Property- Although you probably had a home inspection done during the purchase negotiations, rental property management in Charleston always send out property managers to the new rental home locations to do their own inspection. You’ll need to decide on any upgrades you want to make to the home or things you need to fix before you start advertising to tenants. 
3. Become Familiar with Landlord-Tenant Laws- You’ll need to know at least the basics of landlord-tenant laws in Charleston, SC before you start renting your home to tenants. These laws can be super confusing and hard to understand, but you’ve got to know the rules to ensure you don’t overstep or break the law. 
4. Hire a Company for Rental Property Management in Charleston- Investing and making significant financial decisions might be your greatest strength, but when it comes to the day-to-day running of the property, communicating with tenants, contractors, staff, and vendors, you’ll want to hire someone with experience like Scott Properties where they specialize in rental property management in Charleston. 

If you’re ready to make the leap and hire a property manager in Charleston, call Scott Properties at 843-790-4929.

Rental Property Management Charleston | What You Need to Know About Landlord Harassment 

Rental Property Management Charleston | Every property manager has horror stories to tell about stressful tensions between themselves and their tenants. No property manager wants to have a conflict with the people renting from them, but sometimes confrontation with tenants is unavoidable if they are committing lease violations. There’s a fine line to cross before property manager actions cross over into landlord harassment. Here’s what you need to know about landlord harassment and what your rights as a property manager are:

1. What is Landlord Harassment? When a landlord is trying to pressure or intimidate a tenant, or using aggressive methods of communication towards the tenant, this is considered landlord harassment. To prove a property manager is committing landlord harassment the behavior usually must be ongoing. 
2. What Constitutes Landlord Harassment? There are many different ways a landlord could be harassing a tenant. Some of the most common forms of harassment towards tenants include:

• Illegal entry
• Turning off utilities
• Taking away services or amenities that are included in the lease
• Refusing maintenance requests
• Changing the locks
• Taking personal possessions out of the rental home 
• Increasing rent
• Not giving proper notice for entry, eviction, or lease violations
• Trying to buyout a tenant
• Threatening a tenant verbally 
• Threatening a tenant physically 
• Refusing rent payments
• Filing false charges against tenants
• Serving fake eviction notices to the tenant
• Sexual harassment 

This list is not exhaustive of everything a landlord can do that is considered harassment. If you’re a property manager concerned about harassment allegations, the best way to protect yourself is to follow the rules in the lease precisely as written. 

3. What Isn’t Harassment? Landlords do have legal rights to the properties they are managing. Some things that are not landlord harassment include:

• Emergency entry into a home
• Filing evictions in accordance with the rules outlined in the lease
• Raising rent with proper notice for all units or to increase the value of a unit to match others in the area
• Sending notifications of legitimate lease violations
• Turning off Utilities for nonpayment per lease terms
• Sending a buyout request to a tenant
• Changing locks for victims of domestic violence

If you’re looking for a property manager that has no risk of committing landlord harassment, contact Scot Properties of Charleston at 843-790-4929.

Rental Property Management Charleston | What Owners Should Know About Property Management Fees

Rental Property Management Charleston | The best way to invest in your rental property is to hire a Charleston property management company to manage your single-family home. Charleston property management companies, will do everything a landlord would do plus more, leaving investors and owners time to enjoy their lives and collect a passive income that doesn’t need much hands-on work from them. One thing owners and investors must be aware of however, before hiring Charleston property management is that they all charge a fee for their service.  

Here’s what you need to know about property management fees:

1. You Get What You Pay For- Cheap Charleston property management fees usually equal cheap, low-quality service that won’t yield you a high return on your investment. Some companies offer low fees to amass many owner clients but then get stuck trying to divide their time between all the properties efficiently. This will end up costing you more than you’re paying in Charleston property management fees. 
2. Compare Fees- Shop around to different Charleston property management companies and compare the fee schedule for what you as the owner receive in return. You also need to understand the differences between companies and check out reviews for the various companies as well. Sometimes you can negotiate the price with property management companies also. 
3. Understand the Fee Schedule- Included with your Charleston property management fee may many different things such as the management fee, set-up, leasing, and advertising fees, a maintenance account with money available, reserve fund fee, eviction processing fees, and much more. You need to ensure that when you are signing a contract with a Charleston property management company you understand precisely what you are paying for. Don’t be afraid to ask for further explanation or for terms you aren’t comfortable with to be reconsidered. 

If you’re ready to invest in single-family rentals and are looking for the best Charleston property management team, call Scott Properties of Charleston at 843-790-4929. 

Charleston Property Management | Tips for Telling Tenants About Rent Increases

Charleston Property Management | One of the most challenging things a property manager has to do is notify long term tenants about rent increases. Property in Charleston has been rising in value for years, and there’s no reason why the rent shouldn’t be increasing as well, especially if the home has been updated and maintained by the property manager. Still, rent increases often cause tension and conflict between the property manager and tenants which can be uncomfortable. Follow our tips for dealing with rental increases to decrease the stress and get that lease renewal signed. 

1. Know the Rent Increase Guidelines in Your State- There are different laws in every state dealing with landlord-tenant relations and rent. Before you increase rent ensure that you are familiar with the rules in your state, the rules in the homeowner’s association if the property is in one, and the rules of the lease. You may find restrictions on how often and by how much you can raise rent or maximum caps on rent prices. 
2. Send A Letter- You should never wait until the tenant is in your office to sign their new lease to inform them of a rent increase. Putting someone on the spot is never a good idea for anything. You should make sure to send a polite letter that officially documents the communication and informs the tenant of the increase at least 60 days in advance of their lease renewal. 
3. What You Include in Your Letter- A property manager needs to include the tenant’s full name, address of the property, date the letter was written, date the increase goes into effect, the amount of the rise, and the current cost of rent; along with the property manager information. 
4. Ask For Response- Include a letter or a tear-off portion at the end of the message you send that the tenant can drop off with their next rental payment or sooner where they can choose whether they accept the rent increase and will be in to sign their renewal; or that they reject the increase and will vacate by the last day of the lease agreement. 

If you’re looking for a property manager that can help you navigate the problematic landlord processes, call Scott Properties of Charleston at 843-790-4929.  

Property Manager | Tenants Screening Scams Property Manager Needs Beware

Property Manager | Being a property manager is a rewarding career, but sometimes you have to deal with less than honest people with potentially harmful intentions. Knowing the warning signs of a tenant screening scam is vital for a property manager to ensure they are protecting the property and owners from future conflict. Here are some of the most common scams that tenants try to pull during the screening process:

1. Requesting a Quick Move-in with Cash Upfront- A tenant who comes with cash for the deposit and move-in fees and requests to move in immediately is a huge red flag for a property manager. Tenants may also entice you to skip the background and credit check by offering to pay several months upfront or even the entire term of the lease. While this may sound good as far as rental payment goes, your tents can be trying to buy you off to leave them alone while they are conducting illegal businesses on site. 
2. False Credit Reports- Some tenants might drop off a credit report with their application, claiming to want to save you the time and hassle of running it yourself. A busy property manager can be tempted by such a proposition but 99.9% of the time these tenants provided credit and background checks are fake. 
3. The Sublease Scammer- Some tenants will move in and then try to sublease the home as though they were the owner. The original tenant will usually require an excessive move-in fee or several months of rent upfront, pocket the money, and skip town. This scams the new tenant as well as the property manager because the tenant is now broke and living somewhere illegally while the property manager has no way of recovering the rent money. 
4. Fake Paystubs- Most property management companies recommend that tenants as a household make at least three times the rent in monthly income. If you require paystubs for verification from prospective tenants, make sure to verify those pay stubs or earnings reports with their company. 
5. Fake References- Everyone has a friend willing to lie for them, and tenants will often ask their friends and family to pose as former employers or landlords to get a good reference. Rather than call the employer phone number on the application, search the business name and call the business directly then, ask for the name on the application. 

A great property manager can see a scammer from a mile away. If you want the best property manager for your rental home, call Scott Properties of Charleston at 843-790-4929.

Rental Property Management Charleston | Why You Should Buy Property in Charleston 

Rental Property Management Charleston | If you’ve been looking to invest in rental property on the coast but aren’t sure where the best place to buy your property is, look no further than Charleston, South Carolina. More than 700,000 people live in the thriving Charleston Metropolitan Area and the housing market has been competitive and looks to stay that way into the future. Now is the best time to buy an investment property and let rental property management in Charleston help you rake in the extra income every month. Check out these reasons to invest in Charleston. 

1. Property Values- When you purchase an investment property you want the home to increase in value and rental property management in Charleston companies are seeing an increase of 8.4% in some home values just in the last year. The average price of a home in Charleston is around $299,000 while is an almost $50,000 increase from the average home price in 2015 according to Zillow estimates. Real estate values have also appreciated nearly 32% in the last ten years, and appreciation is higher in Charleston than 70% of other cities in the United States. 
2. Rent Values- People will pay a pretty penny for homes in Charleston because of it’s prime and historic location. In 2018, the median rent in North Charleston for a single-family home was $1,850. The Charleston Metro area had an average rental rate of $1,650. 
3. Rent Market- Roughly 49% of adults in Charleston are renters, and the median age of a citizen in Charleston is 36. This is advantageous for property management in Charleston because most of the people in this age demographic will be small families looking for detached homes with three to four bedrooms. These families are likely to want to rent, especially when the median income in Charleston makes buying a home unaffordable for some families.

Now is the time to dive into a rental property in Charleston and a property management in Charleston company like Scott Properties can help your investments earn you the extra income you’ve been looking for. Contact Scott Properties at 843-352-8341.  

Charleston Property Management | The Hippest Neighborhoods in Charleston 

Charleston Property Management | The under 35 population is renting rather than buying homes, which are great news for Charleston property management companies because single-family home rentals are more popular than ever before. If you’ve been wondering about the best neighborhoods to start your rental property business, just check out the hippest neighborhoods in Charleston to see where you should buy a property. 

Harleston Village- College students, recent graduates, and academic types love living in Harleston Village because of it’s proximity to the College of Charleston. Harleston is also pretty swanky and affluent with large houses, streets lined with mossy oak trees, and antebellum architecture. 

Wagener Terrace- Located on the downtown peninsula, Wagener Terrace has a hip, cool vibe with many local bars, gastro pubs, restaurants, and many amazing parks. Bill Murray even owns a restaurant in this part of town which he sometimes hangs out at. If you want to rent a house in a neighborhood with all the best food, Charleston property management can help you find the perfect property in Wagener Terrace. 

Avondale- On the west side of the downtown peninsula in the West Ashley region of Charleston is a cool neighborhood known for its trendy bars and restaurants. Avondale is full of young professionals and small families, artists, boutique stores, and the West Ashley Bikeway—an almost 8-mile stretch that residents can walk, run, or bike on through downtown and the other neighborhoods in Charleston. 

Mount Pleasant- This coastal neighborhood is nearby downtown and the beaches and is known for its excellent public school system and family-friendly environment. Many of the people who live in Mount Pleasant have lived there for generations and is a conservative neighborhood. 

The Islands- One of the most popular places to live in Charleston are the islands. The neighborhoods on the island are pricy but elegant and the only oceanfront public schools in the continental US are in Sullivan’s Island. 

If you’ve recently bought property in one of these neighborhoods and need Charleston property management to help you rent your home, call Scott Properties at 843-790-0148.

Rental Property Management Charleston | Residential Leasing Terms That Every Property Manager Should Know

Rental Property Management Charleston | One of the most important traits a property manager must have is knowing the right leasing terminology so that rental prospects trust that the property manager knows what they are talking about. If a renter asks the property manager what a term in the lease means, the property manager needs to be able to explain the term clearly. Here are a few terms we think you should know that you might not already. 

Fixed Term Lease- A fixed-term lease is for a specified period. These leases are usually for 6, 12, or 18 months, but some leases could be longer. Most will end on a specified date and have the option of becoming a month-to-month lease, or you’ll be offered a chance to renew your lease or vacate. 

Grace Period- Some leases will include a grace period stipulated in the lease for paying rent late without penalty, or for other things such as being able to back out of your lease after you sign one. 

Guarantor- A guarantor is also called a co-signor and is a person who guarantees that if the renter is unable to pay their rent, the co-signor will be responsible for paying. A guarantor is usually needed when the applicant cannot meet the rental criteria on their own. 

Periodic Term Lease- This type of lease automatically renews at the end of the term for the same amount of time as the original lease. If the lessor or lessee wishes to break the lease or not renew, they will have to provide notice before the lease is up. The lease will specify exactly how far in advance both parties will need to give notice. 

Sublease- The property manager may allow a property to be sublet under certain conditions. A sublet is when the lessee has to vacate the property before the end of their lease term, but someone else is available to take over the remainder of the lease. If the person subleasing the home does not pay rent, the original renter is often responsible. 

If you’re ready to hire a property manager that understand a lease like the back of their hand, call Scott Properties at 843-790-0148.