2016 Las Vegas Rental Property Report

Las Vegas Rental Property

2016 is shaping up to be another great year for owning Las Vegas Rental Property because Vegas still continues to be one of the top cities in the United States for “low hanging fruit” since many properties in Las Vegas are still very affordable when compared with other Real Estate markets across the United States.

More investors are coming here to buy single family homes, town homes and other rental properties to add to their portfolios, so if you’ve been thinking about buying a rental in Las Vegas, and don’t want to miss out on investment opportunities here, this post will offer you information on what you can expect for the rental market here in 2016.

Top U.S. City for Rent Growth

Las Vegas has been ranked by Axiometrics as one of the top U.S. Cities for rent growth in 2016 since rent growth increased from 3.8 percent to 6.6 percent from May 2014 to May 2015 and this is huge considering the national average for rent growth was just 5 percent during that same time period.

Still Not Full Occupancy Yet

The occupancy rate only increased by 1 percent between May 2014 and May 2015 while revenue grew to 7.5 percent.

Although some Las Vegas investors may were slightly disappointed by the negative demand for Las Vegas apartments during the 3rd quarter of 2015, net move outs were also historically low and at just 1 percent this is very encouraging for any Real Estate investor who has been looking for a great city to invest in where there’s “low hanging fruit” and still a great demand for properties.

Las Vegas Rental Property Report 

Moving forward into 2016 we can expect to see more people moving to Las Vegas since more than 20,000 jobs were recently added to the city and with an average rent of $885 per month, for a one bedroom apartment, most investors expect to see positive growth here for the near future.

Get Las Vegas Property Management

For effective property management for your Las Vegas Rental Property contact Goldenwest Management today by calling us at (702) 685-7696 or connect with us online here.

Experts Predict San Diego Rents Expected To Continue Rising Through 2018

 

SAN DIEGO, CA. – Thanks to recent statistics from Fox 5, and the USC Casden Multifamily Forecast, we know that rents in San Diego County are predicted to continue increasing through 2018 to at least $1,577 per month, while the average from in Los Angeles County by then is predicted to increase to $1,416 per month.

Supply And Demand Problem

One of the biggest reasons why the San Diego area still continues to suffer rent increases is due to the fact the Southern California has a lack of housing, which will ultimately cause rents here to increase by 10 percent in the next few years, and over 8 percent in the Los Angeles area too.

Sadly, California is actually doing better with building more housing but a large portion of the 38,000 multifamily units that have been built in SoCal within the last 24 months have been higher priced townhomes like those in Downtown San Diego, rather than affordable housing.

A good example of the inventory problem can be found in Chula Vista where just 273 apartments entered the market recently thanks to the new construction of Pulse Millenia, a new apartment complex in the area.

Out of all the areas in San Diego that have been hit hard during this housing crisis, we’re seeing the East County rental market take the heaviest hit, since the area has close to 20,000 apartments but only 204 were available for rent during the month of March.

Average Rent in SD Already $1,618 Per Month

What’s shocking about the recent statistics about rent increases in the San Diego area is that the average rent here is already over $1,600 per month, and the vacancy rate is the lowest that it’s been in five years so it’s likely the average rent in SD will be more than $1,577 per month by 2018.

The good news for property owners is that there’s never been a better time to buy rental properties in San Diego since demand for rentals here is the highest it’s ever been and shows no sign of slowing down for at least another two years.

Good News on the Way For Renters?

Thanks to statistics from MarketPointe we know that rent only increased by 2.79 percent between March 2014 and March 2015 so this could be good news for renters because many analysts are wondering if the reason why rent increases slowed down is because landlords felt that they reached the threshold for what they can ask for rent, or if the average San Diego renter can no longer afford to pay the high cost of living in the area.

Learn More about the San Diego Rental Market

To learn more about the San Diego Rental Market, or to speak with us about property management, contact Goldenwest Property Management today by calling us at (858) 792-3442 or connect with us online.

We can help you get the most out of your San Diego rental property with our effective and professional property management services.

Short Term Vs. Long Term Rental – Which One Is Better?

Phoenix Rental Homes

As a property owner one of the most important questions you need to ask yourself is if you are going to target short term or long term renters because each represents a different segment of the rental market and comes with its own challenges.

In today’s article we will break down short term vs. long term rentals so you will know which option is right for you.

Short Term Rentals

Some of the obvious pros to short term rentals include the fact that you could use the rental property more often during the year as a vacation home since it won’t be occupied for 365 days and you could also enjoy a higher rental income as well since rentals especially in big cities like San Diego, Las Vegas or Phoenix can rent for more money during peak season.

The cons of short term rentals include the need for more furnishings and upgrades since if you’re marketing your property as a vacation home you will need to keep upgrading it so it stays attractive to buyers.

Short term rentals aren’t always the best option because they’ve come under heavy fire in the last 12 months since homeowners don’t like the instability that they can bring to neighborhoods and many companies don’t screen their short term tenants so neighbors don’t really know who is living in the same area as them.

Long Term Rentals

It’s been our experience that long term rentals are always better, especially for the Real Estate investor because long term rentals produce stable, consistent cash flow which helps investors pay their bills, there’s no need to furnish the rental, and long term renters also help to protect the value of the Real Estate investment especially when proper screening of tenants is done since the right tenant is usually responsible and will maintain the property.

Some other benefits of long term rental properties include:

1.       The income stream is often more due to the fact that vacancy rate is much lower

2.       This reduction in “Peak season rentals” is also offset by not having to pay for utilities and regular turnover maintenance (cleaning, high wear and tear)

3.       Short term renters are NOT screened anywhere near the level of long term Tenants. Usually there is no credit report, background check, rental verification, etc…

4.       The laws are still very “occupant friendly” when it comes to vacation renters and so its difficult to just “throw out” occupants.

5.       The guidelines for Tenant eviction are very clear and thorough as it relates to long term vs short term Tenants

6.       Short term is great for seasonal only; but the vacancy rate is normally as much as (6) months or more than 50% so unless you are enjoying the property or living there when its not rented, its not a great steady investment

7.       Management fees or rental fees are much higher with short term. VRBO ex charges 10% to find a tenant, and if you have a professional vacation manager, they charge as low as 20% all the way to 40% in some areas.

8.       Long term management fees are closer to 8-10%

Learn More about Short Term Vs. long Term Rentals

For more information about short term vs. long term rentals, or to get property management for your rental properties contact Goldenwest Management today by calling us at (866) 545-5303 or click here to connect with us online.

Housing Officials Warned of Blanket Ban on Ex-Offenders

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In the past it wasn’t uncommon for some landlords across the United States to have a some type of ban on renting to anyone with a criminal record but times have changed and thanks to recent changes by the Federal Government criminals can sue landlords for discrimination because failure to rent to anyone with a criminal record is a violation of the Fair Housing Act.

Arrests Must Not Ban Be Reason to Ban Applicants

Thanks to recent guidelines released by Julian Castro, HUD secretary, landlords must make a distinction between arrests and convictions when deciding not to rent to an tenants because they have a criminal record.

Federal Officials give landlords some flexibility here by stating that a landlord can prove that their decision to not rent to someone can be considered to be justified based on the severity and or nature of the applicants crime but landlords need to tread carefully here because the legal system is changing and thousands of inmates are being paroled across the United States after serving time for minor drug convictions.

All Applicants Must Get Fair Consideration

Thanks to a recent interview we know that HUD Secretary Julian Castro supports this new legislation because he feels that some individuals with criminal records who are trying to re-enter society after a previous crime are being unfairly banned from some rental properties regardless of the nature or severity of their crimes.

Besides not renting to certain individuals with criminal records landlords must not ban Latino’s or Blacks because this practice has had what’s known as “disparate impact” on people of color in the past and has never been justified.

Landlords are still allowed to ban or exclude anyone who is found to be manufacturing or selling drugs since drug related crimes are the only ones that are exempt under the Fair Housing Act.

Learn More

To learn more about the latest legislation affecting your rental property, or to speak with us about our property management services contact Goldenwest Management today by calling us at (602) 765-4750 or click here to connect with us online.

5 Tips for Attracting the Best Tenants for Your San Diego Rental Property

San Diego Rental Property

Have you had the problem of attracting the ideal tenants for your San Diego Rental Property?

Your ideal tenant is literally right around the corner and you can attract them to your rental property by using these simple but proven property management tips.

Tip #1 – Don’t Let Tenant Screening Slide

One of the biggest reasons why some owners have a problem with bad tenants is because they neglect their tenant screening and this is why many people have found themselves renting to tenants who are chronically late paying their mortgages or tenants who engage in questionable behavior in their rental properties.

Tip #2 – Focus on Improvements Where They Really Count

Since most tenants will spend their time in the bathroom vs. the kitchen these days you should invest money into your property where it really counts by upgrading the bathrooms in your home because most people would rather come home to a soaking tub rather than spend time standing on their feet cooking something in the kitchen.

Tip #3 – Create a Profile for Who Your “Ideal” Tenant Is

Another great way to find your ideal tenant is to create a profile for the tenant you would like to rent to because this will also help you when it comes to how and where you advertise to attract those tenants.

Tip #4 – Go Green with Your Rental Property

If you plan on making repairs and upgrades to your San Diego rental property this year you should go green by investing in low flow toilets, energy efficient windows, low VOC carpeting and more.

Tip #5 – Communicate With Your Tenants

From the moment that you first take a call from a prospective tenant to the time that they finish filling out their lease you should make communication a priority with your tenants and do your best to be available for them during normal business hours in they have maintenance requests or other issues that need to be resolved.

Get San Diego Property Management Here

To get excellent property management for your San Diego rental property contact Goldenwest Management today by calling us at (858) 792-3442 or CLICK HERE to connect with us online.

Nevada Squatters Law – Learn More About AB 386 and How It Affects Homeowners

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LAS VEGAS – Following the collapse of the Real Estate market in 2007 and 2008, Las Vegas has been dealing with a major squatter. This problem exist because many homes here have sat vacant for long periods of time making Vegas almost irresistible for squatters since they know that they can move into a home, have electricity and all of the normal services that come with owning a home without having to pay monthly rent.

Combine that with basic “tenants rights” which put the onus on the Landlord or or property owner to prove that the Squatter isn’t an valid Tenant, and you can see how this can be a real issue. Property owners have literally been outside of a home with Metro Police in tow and they couldn’t remove a Squatter in the same manner you couldn’t just “throw out” a Tenant.

Thankfully the problem with squatters in Las Vegas will be drastically in part to the Nevada Squatters Law.

Lets take a second to familiarize everyone with AB 386 and how it will impact you as a current rental property owner in Las Vegas, Nevada.

“Metro Police believe the number of vacant homes with people illegally living in them is up more than 40 percent compared to last year.

That prompted a new state law which took effect at the beginning of October.

Before AB 386 evicting squatters from your home was a civil matter. Now, it’s a crime and police can take action to remove them in a fraction of the time it used to take. It was not unusual for evictions to stretch on for weeks or months.

“They knew the rules, they knew how to bend them, they knew how to take advantage of them,” said Keith Lynam, Greater Las Vegas Association of Realtors president. 

“At best sometimes we’d have a trespass, but now we actually have a law in the books for home breaking and unlawful occupancy,” said Metro Lt. Nick Farese, Las Vegas Metropolitan Police Department.

Police project there are at least 5,000 homes in the Las Vegas area occupied by squatters.

That’s a sharp increase over last year when the number was 3,600.”

Source – Lasvegasnow.com

Detailed Process for Dealing with Squatters

Although there were laws on the books for dealing with squatters in Las Vegas (AB 286) the new Nevada Squatters Law (AB 386) creates more protections for property owners via a detailed process by which squatters can be removed from properties when they are found to be inhibiting unlawfully.

If someone is found to be living in a Nevada home unlawfully they can be convicted of a brand new criminal offenses called “house breaking” and or “unlawful occupancy” and the squatter could face jail time but another reality of this economy is that not everyone who is classified as a squatter is living in a home maliciously.

Many people over the last 24 months have fallen for rental scams and have been found to be renting a home which was “owned” by someone who claimed to be working and living overseas only to find out the reality that the property they are living in is actually owned by someone else.

In cases where someone has proven that they’ve fallen for a rental scam the court has within their discretion to offer that individual 30 days to vacate the property.

Protect your rental in Las Vegas

Work with a company that not only knows the laws, but is an expert in protecting your investment property in Las Vegas, by contacting us about our property management services. Managers at Goldenwest Management are standing by to take your call at (702) 685-7696.