What Can Las Vegas Landlords Do to Help Their Tenants?

With the Las Vegas economy shutdown since early March, landlords in Las Vegas are feeling the economic effects of coronavirus since it’s estimated that 30 to 40 percent of Vegas residents are unemployed and may be unable to pay their rents.

The big question is what can owners do to help their tenants while the lockdown persists and the economy is paused?

In this article, we will answer this question and provide tips for how owners can survive the coming months until people start going back to work, and businesses start getting back to normal.

Landlords Should Contact Their Lenders Immediately

One of the most constructive things that landlords in Las Vegas should do right now is to contact their lenders to see if they qualify for forbearance, if they will be unable to make their April mortgage payments.

If a landlord can make their April payments, they should still consider refinancing their existing loans anyway to take advantage of historically low interest rates, or applying for a home equity line of credit (HELOC) for one or more of their rental properties.

Refinancing, or applying for a HELOC, will enable landlords to potentially have access to cash that they can use for building cash reserves which will enable them to have a financial “buffer” to weather the coming months.

Communicate with Tenants

Since evictions are suspended in Nevada until the Governor’s recent emergency declaration is lifted, landlords in Las Vegas should do everything they can to work things out with their tenants.

Tenants should be encouraged to pay their landlord some money now towards their rent while agreeing to catch up and pay the remaining balance over up to 12 months.

Landlords should also encourage their tenants to utilize the programs that are available to them including unemployment. If the tenant is a taxpayer, they should be made aware of the pending Federal Stimulus payment that they will be receiving within the coming weeks as well.

Contact GoldenWest Management

To learn more about the Las Vegas Rental Market, or to speak with us about our property management services, contact us today by calling (866) 545-5303 or click here.

What Are Landlords and Tenants Supposed to Do About Rent?

In the last 30 days, coronavirus has been responsible for changing the economy and rental market across the United States because most people who were renting before coronavirus, and working steadily, are now laid off and may be unable to pay their rents.

This is a problem that every city in the United States is facing right now, especially in cities like Las Vegas that rely heavily on the tourism industry.

Even though landlords and tenants may face difficult times ahead, some solutions can be utilized to help them make it through the coming months.

We’re All in This Together

During a recent interview, HUD Chairman Dr. Ben Carson said that both landlords and tenants are going to have to work together to make it through the coming months as coronavirus has affected everyone in some way.

What does this mean? Tenants should contact their landlords immediately if they are unable to pay their rent and work out a payment plan so that they can pay the landlord some money now, while deferring the remaining balance on their rent over 12 months.

Every Situation Will Be Different

Every tenant’s situation is going to be unique following coronavirus, there may be some tenants who will be able to go back to work next month while others may not be able to work for another 6 months.

Landlords should be willing to work with their tenants to come up with the best solution for them that will help them to make it through the coming months.

What Should Owners Do with No Revenue Coming In?

Owners should contact their lenders immediately if they are unable to pay their April mortgage to see if they qualify for a forbearance, or they should pursue one of the other ways to build cash reserves that we mentioned in our previous blog post.

Many people are projecting that Coronavirus could last until June so every owner must take action now and be willing to work with their tenants while they focus on building cash reserves so they can survive the coming months.

Rental Market Projections for The Next 60-90 Days

At GoldenWest Management we project that 20% to 30% of tenants will not be able to pay all or a portion of their rent while there may be tenants who are unable to pay rent and will want to turn in their keys to their landlords.

April and May are going to be tough months for owners and tenants for sure, we hope that coronavirus will be gone by June and the economy will be back on track but that may not be the case if the virus lasts into the summer months.

We encourage both owners and tenants to stay on top of what’s happening by following our blog and other trustworthy news sources like local city news or information from organizations like the Department of Housing and Urban Development.

For questions about what’s happening in the rental market, or to speak with us about our property management services, contact us today by calling (866) 545-5303 or connect with us online.