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Charleston Property Company | Do You Need An LLC?

Charleston Property Management

If you own rental property, you should consider if you need to establish an LLC for your business. An LLC is a limited liability company that protects owners from the debts or liability of the company. The limitation of liability is the top reason for property owners to form an LLC for their Charleston property company, but there are many other reasons as well.

Pass-Through Taxation – Business and property owners may have heard about pass-through taxation, which is a unique benefit to LLCs. This means that all profits earned from the business “pass-through” directly to the owner of the LLC who will file the business taxes. This means that earnings are not taxed before being distributed. When starting a Charleston property company, this can free up a lot of cash to invest back into your business or pay for expenses. However, many LLCs are responsible for paying a large sum of taxes after filing.

Multiple Ownership – Sometimes, there are multiple people involved in purchasing investment homes, and an LLC enables businesses to have 75+ owners all listed as members. Nonresident aliens can also be owners as well as corporations, and ownership is allowed to be disproportionate between owners and can be determined outside of investment percentage. Membership is anonymous for LLCs and can be beneficial if you don’t want your neighbors to know what business you own.

Losses Over Profits – An LLC allows the business to claim losses above each individual’s owner’s investment, which can relieve individual tax burdens. Owners are also able to be active in managing their Charleston property company without losing the benefits of limited personal liability.

If your property investment company or Charleston property company doesn’t have multiple owners, make over $100,000 per year in profits, or are not looking for anonymity, you might not need an LLC for your business.

Scott Properties in Charleston can help you manage your rental properties so you can focus on your business. Call us today at 843-790-4929 to discuss your properties.

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Charleston Property Management | Why Your Renter’s Need Renters Insurance

Charleston Property Management

Working in Charleston property management, you probably know that most renter’s think they don’t need renter’s insurance. Many tenants of single-family homes believe that their possessions are covered over their landlord’s insurance coverage; however, they are mistaken. Property managers should consider adding a renter’s insurance requirement in their leases but also need to be prepared to explain to tenants the benefits.

Relocation Costs for Tenant – If something catastrophic happens where tenants are forced to find new accommodations, some renter’s insurance policies will cover temporary housing until they can move back into the home. If the tenant doesn’t have renter’s insurance and the home burns down or floods, they may expect the Charleston property management company to pay for their new accommodations and cover relocation expenses.

Liability – Your landlord liability policy probably doesn’t cover injuries or property damage due to tenant carelessness or neglect; however, renters insurance protects the renter’s personal property as well as covers personal liability if one of the renter’s guests is injured in the home. Without renter’s insurance, the injured person could potentially sue the homeowner or Charleston property management company.

Insurance Rates –The more claims a Charleston property management has to make on their insurance, the higher their rates could be at renewal or if they switch companies. Requiring that tenants provide proof of renter’s insurance is a smart way to make sure your costs stay as low as possible. When your insurance refuses to cover tenant personal property or damage caused by tenant neglect, the renter might try to sue you personally. No property manager wants to deal with litigation, especially with a current tenant, so requiring renter’s insurance can help to save you this hassle.

There are virtually no cons with requiring tenants to have renter’s insurance. Tenants who understand the benefits of renter’s insurance are less likely to be upset by the requirement. They will appreciate the opportunity to have renter’s insurance to protect them and their belongings.

Charleston Property Management

If you’re interested in working with Charleston property management to rent your investment home, call Scott Properties today at 843-790-4929.

 

 

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Charleston Property Management | Corona Virus and Single Family Rentals

Charleston Property Management

Charleston Property Management companies are currently dealing with a problem they’ve never had before—most of their tenants might be struggling to pay rent for April, May, and maybe even June. Most property managers and landlords than ever before are going to be faced with tenants calling and emailing about rent arrangements. However, owners still have mortgages and property taxes to be paid, and letting all of their tenants slide on the rent, may not be in their best interest. Luckily, the federal government has come up with the CARES Act to provide relief to those impacted by COVID-19. Charleston property management companies should be aware of this act and help tenants understand the resources they have available to assist in paying rent.

CARES Act

The CARES Act, Coronavirus Aid, Relief and Economic Security Act, was recently passed and gives everyone who files for unemployment due to COVID-19 will receive an additional $600 per week in benefits beyond what they would usually receive. Even freelancers and independent contractors who would typically not qualify for unemployment benefits will be able to file for the first time.

Stimulus checks are also being sent to millions of Americans, starting at $1,200 per adult and $500 per child. These payments will vary depending on income level; however, Americans affected by the Coronavirus are going to be given generous aid by the government, beyond what they would get under normal circumstances of being laid off. Some people will be earning more on unemployment and collecting the stimulus and CARES Act benefits than they would by working under normal conditions.

Also, there may be many different local programs available for people to help delay utility payments and other bills. If a Charleston Property Management company encounters many of their single-family home renters having trouble paying the rent, they should remind the renter of the resources and stimulus available and do their best to make mutually beneficial arrangements.

If you’re looking for a Charleston Property Management Company to help guide you through renting your property during the pandemic, call Scott Properties at 843-790-4929.

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Charleston Property Management | Deciding Whether to Sell or Rent Out Your Charleston Beach House (Scott Properties)

Charleston Property Management | Deciding Whether to Sell or Rent Out Your Charleston Beach House

 

Charleston Property Management | Your days of spending summers on the beaches of Charleston are long gone, and you’re in a position to decide what you should do with your summer beach house. You could sell it and make a decent amount of money, but you’ve also thought of holding onto the property and renting it as a single-family home to make some residual income in retirement. Charleston property management can help make this decision super easy for you.

 

Benefits of Having Charleston Property Management

 

You’ve probably already considered how the extra income from rent and the tax credits can help your nest egg for retirement, but you’ve probably also realized the disadvantages of becoming a landlord. You don’t really want to have to book appointments all day to show the house, especially if you aren’t living in South Carolina anymore. You also don’t want to have to be at your tenant’s beck and call when they have a maintenance emergency. Collecting on late rent is also a huge hassle, and you might be thinking the few extra thousand a few may not be worth it. Charleston property management can change your mind.

 

When you choose Charleston property management to manage your rental home, you don’t have to worry about the tedious day-to-day tasks associated with being a landlord. At Scott properties, our property managers have the know how to market your property quickly and effectively to ensure you have the best tenants for your property.

 

Using Charleston property management companies are super easy because all you have to do as a homeowner is pay one monthly fee and we will take care of all your tenant and property needs. You don’t have to worry about any of the little stuff, and if something big needs your attention, you can rest assured that your Charleston property management team is ready to support you.

 

Give us a call today at Scott Properties to discuss how we can help you make income off your beach house! 843-352-8413

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Three Things Charleston Property Management Can Do To Attract New Property Owners (SCOTT PROPERTIES)

Three Things Charleston Property Management Can Do To Attract New Property Owners

Charleston Property Management companies need to grow to stay in business and keep turning a profit and attracting new property owners is the most crucial part of the process. There are three essential things that Charleston property management needs to do if they want to gain new rental property owners as fast as possible.

1. Show How Unique Your Property Management Company Is

Rental property owners who are looking for Charleston property management need to show how they stand out from the competition. What do you offer that other companies in Charleston do not? Build yourself a solid reputation, especially online and through social media, but also focus on what makes your business unique.

2. Show A Commitment to Growth and Profit

A rental property manager is making a significant investment in Charleston property management, and they need to know your company is willing to capitalize on that investment. Stay on top of new market trends in property management and show that your company is adaptable and open to change and growth. Be prepared to answer questions about your business growth and where you see your Charleston property management company going in the next two to five years.

3. Show that you Care

A rental property owner is trusting your company to take care of large investment, and they want to know that you care about their business as much as they do. Create an online portal for owners to be able to track their account and see what their rental property is costing them vs. what their profit is. You should also keep owners updated with reports of maintenance, tenant issues, financial statements, and any other relevant information about the rental property.

Are you a property owner looking for the best Charleston property management company? Contact Scott Properties today and find out how they can help you make the most of your rental business.