Written by Amanda Walker
ezLandlordForms, a leading provider of property management solutions, is proud to announce the launch of its new Rent Payments feature. This new feature is designed to streamline rent transactions for landlords and tenants. It revolutionizes the rental management experience with industry-leading convenience, security, and efficiency.
“We are thrilled to introduce the Rent Payments feature, which marks a significant step forward in our commitment to providing comprehensive and user-friendly property management solutions,” said Kevin Kiene, President of ezLandlordForms. “This new feature will greatly enhance the rental management process, making it easier and more secure for our users to handle rent transactions.”
The launch of the Rent Payments feature is a natural next step for ezLandlordForms as it consistently strives to innovate and provide exceptional value to its customers. By integrating this feature into its platform, ezLandlordForms will be able to provide a more seamless rental experience for Landlords and Tenants and further support landlords through every phase of the rental process.
For more information about the Rent Payments feature and other services offered by ezLandlordForms, please visit ezLandlordForms.com.
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When you start them early enough, your investments can perform shocking feats of strength. They can even keep pace with the runaway cost of college tuition—which has more than doubled since 2000. The average cost of private college tuition and fees has reached $38,768, according to the Education Data Initiative, and you can expect that to keep skyrocketing between now and when your little one reaches college age.
Fortunately, real estate can help. Try these creative approaches to paying for your kids’ college education so you can stop worrying and start getting excited about your children’s university years.
Imagine that the year your child is born, you buy a rental property for $360,000 and put down 20% on it. You borrow the rest ($300,000) with a 30-year mortgage at 6% interest.
After 18 years, you now have $554,870 in equity. That’s a tidy sum to pay for tuition, hopefully with plenty left over to go toward your retirement.
Your tenants have paid down your mortgage balance even as your property has appreciated in value. I assumed a 4% annual appreciation rate. For context, U.S. home prices appreciated an average of 4.8% annually from 1987-2023.
Oh, and that says nothing of your cash flow. Your rents have risen alongside inflation, even as your mortgage payments remained fixed. Your rental property should be paying a princely sum each month by now. It probably cash flows so well that you won’t want to sell or refinance it.
If you want to get even more aggressive with paying down your loan balance, you could buy with a 15-year mortgage. Just beware that your cash flow will take a hit.
If you wanted to get more aggressive with your rental strategy, you could follow the BRRRR strategy (buy, renovate, rent, refinance, repeat). The idea is that you force equity through renovation, then refinance to pull your initial down payment back out.
In the example, you still had to plop down $60,000 plus closing costs—no trivial amount. Imagine instead that you buy that property’s run-down neighbor for $240,000, put $50,000 into renovating it, and borrow the same $300,000 mortgage.
You end up with all the same long-term numbers for appreciation and rental cash flow. But now you don’t have a penny tied up in the property. You can reinvest that money in stocks, syndications, or more rental properties.
In fact, you could repeat the same BRRRR process indefinitely to generate infinite returns. Because there’s technically no limit on how many times you can recycle and reinvest the same capital, there’s technically no limit on your returns.
The BRRRR strategy comes with a huge drawback: It requires a lot of labor. Sure, you can get your money back out of each property, but your time? That’s gone forever as a less visible but no less real part of your investment in each property.
Some passive real estate syndications follow a similar strategy, just on a far larger scale. A syndicator buys a dilapidated apartment complex, renovates and repositions it as a higher-end property, and leases the units for much higher rents. They then refinance it and return passive investors’ initial capital—but all the passive investors retain their ownership interest.
In other words, you and I get our money back, which we can reinvest elsewhere. But we also keep collecting cash flow from the original property.
Many syndications target annualized returns in the mid-teens or higher. “Uh, don’t most syndications require a minimum investment of $50,000-$100,000?”
They do indeed—if you invest by yourself. That’s why I don’t. Our Co-Investing Club meets every month to vet deals together, and members (including me) can go in on them together with $5,000 or more. I use it as a form of dollar-cost averaging, a way to consistently invest more manageable amounts each month in high-performance real estate investments.
And the math shifts even more to your favor when you get your principal back to reinvest again and again. But that’s messier to project forward into the future, so we’ll leave the graph at the standard compounding rate.
Besides, we invest in other types of passive real estate investments, such as private partnerships, private notes, debt funds, and more. Infinite returns sound great on paper, but I’m more interested in finding asymmetric returns.
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As your kids get closer to college, you can involve them in paying for their own higher education.
Flip a few houses with them. The profits from each house you flip could cover the cost of tuition for a year or more.
Even better, your teen will learn real-life skills such as forecasting ROI, negotiating, budgeting for projects, managing contractors, navigating bureaucracy such as permits and inspectors, and home improvement.
And maybe they’ll actually show up for those 8 a.m. classes if they helped pay for them by swinging a hammer and sweating all summer.
It turns out there’s a loophole for owner-occupied mortgage financing: Your adult children can satisfy the occupancy requirement.
That means you can buy student housing for them and their roommates with a primary residence loan. And their roommates can cover the mortgage payment for you, removing the need for either you or your child to pay for housing.
Again, your kids can learn some real-life skills, such as property management. Just make sure you only partner with them if you can trust them to manage an asset worth hundreds of thousands of dollars.
When they graduate, you can decide whether to keep the property as a rental or sell it and hopefully walk away with some profits.
Roth IRAs offer more flexibility than any other retirement account. You can withdraw contributions at any time, penalty- and tax-free. You can even withdraw earnings early if you put them toward qualified education expenses, such as:
Imagine you invest in passive real estate investments for those 15% returns in the chart through a self-directed IRA. After 18 years, you decide you have enough to spare to help your kids with tuition—and so you do, tax-free.
Just make sure you actually can spare it. Your kids have dozens of ways to pay for college. You only have one way to pay for retirement.
You can mix and match all these strategies, like Lego sets, to build an education fund. And these are just the tip of the proverbial iceberg.
Have you considered house hacking your own residence? You don’t necessarily need to move into a multifamily or bring in a housemate—my cofounder at SparkRental and her husband hosted a foreign exchange student, and the stipend covered most of their mortgage payment. Or you could add an ADU. Or you could rent out some or all of your home as a short-term rental, perhaps even when you’re not using it.
As mentioned, it helps if your kids have some skin in the game. Make them contribute in some way and make your help contingent upon performance. That could mean a minimum GPA or some other metric to make sure they don’t take your help for granted.
Get creative with paying for college with real estate. It doesn’t have to take a huge bite out of your net worth, but it does require advanced planning, thoughtful strategizing, and clean execution.
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As we approach the end of the year, it’s crucial for small landlords to get a clear picture of their rental property’s financial health. QuickBooks is a powerful tool that simplifies financial management for landlords, especially those who own fewer than 10 units. In this post, we’ll explain how you can use QuickBooks to organize your finances, track rental income, and prepare for tax season.
Your Landlord Resource is here to walk you through the best ways to use QuickBooks to ensure your rental business is ready for the end of the year.
Managing a rental property business can get complicated quickly. Small landlords, especially those owning 1–10 units, need a system that can manage rent payments, track property expenses, and simplify tax preparation. QuickBooks does just that by offering:
For small landlords who want to manage their rental properties like a professional, QuickBooks is a must-have tool.
To get the most out of QuickBooks, make sure you set it up properly. Here’s a quick guide for landlords looking to streamline their rental property finances:
1. Create Separate Accounts for Each Rental Property
If you own multiple rental properties, track each unit separately. QuickBooks allows landlords to set up different “Classes” or “Locations” to organize income and expenses by property. This is especially useful when comparing performance or preparing reports for individual properties.
2. Link Your Bank Accounts for Automatic Transaction Imports
QuickBooks integrates with your bank accounts, making it easier to track expenses like mortgage payments, utilities, and maintenance costs. You can save time by avoiding manual entries, and your accounts will always be up to date.
3. Track Rental Payments Automatically
You can set up recurring rent invoices for each tenant in QuickBooks, which makes it easy to send payment reminders and track who has paid and who hasn’t. This is essential for keeping cash flow steady and minimizing late payments.
As the year comes to a close, QuickBooks provides key reports that every landlord should run to prepare for tax season:
1. Profit and Loss (P&L) Statements
A P&L statement gives you an overview of how your rental properties performed during the year. QuickBooks makes it easy to generate this report, which is crucial for understanding your revenue and operating expenses.
2. Tax Summary Report
QuickBooks helps landlords prepare for tax season by automatically categorizing deductible expenses, such as property repairs, insurance, and utilities. You can easily generate a tax summary report that highlights all eligible deductions.
3. Prepare 1099 Forms for Contractors
If you’ve hired contractors to perform repairs or maintenance on your rental properties, QuickBooks helps you track payments and generate 1099 forms for tax purposes. This feature ensures you comply with IRS regulations and simplifies the process.
For landlords, tax season can be daunting without proper financial organization. QuickBooks provides several tools to help you prepare for taxes:
QuickBooks is an invaluable tool for landlords, helping you organize your rental business finances, streamline operations, and prepare for tax season. By implementing QuickBooks now, you can ensure your rental property business is ready to close out the year with ease.
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It’s that time of year where the leaves start falling, and there’s a nip in the air each morning and evening. Time to put away the tank tops and pull out the sweaters! For landlords, Fall is the time of year for seasonal maintenance on their rental properties. Here are some reminders on what you or your property manager should be checking out as preventative maintenance…
By Ryan Squires
Ideally, the landlord-tenant relationship is built on great communication, timely issue resolution, and prompt rent payments. Although most tenants pay their rent as they’re supposed to, it can be stressful for landlords when days go by without a check or a promise to pay.
So, how can you ensure timely payments without pestering your tenants endlessly? How can you maintain a solid working relationship with your tenants so they understand the importance of timely payments? And how can you make sure that you maintain a solid foundation for your investment and properly anticipate your cash flow?
In this rent reminder guide, we’ll review some strategies for landlords and tenants to ensure timely rent payments.
Renting out property is an investment; receiving rent payments is critical to ensuring a return. Whether you own and lease out one or multiple properties, fully understanding your cash flow is crucial to effectively running your business.
For landlords, rent payments past their due date can lead to delayed maintenance, deficient cash flow, and a chain of potentially delayed payments for other property expenses, including property taxes, utilities, or other costs incurred from owning and renting a unit.
Late payments are generally subject to the lease terms for tenants, which can lead to late payment penalties and, eventually, potential legal consequences like eviction.
As a property manager, developing smart strategies to remind tenants to pay rent, ensure timely payments, and build a strong relationship with your tenants is essential. One way to set up a rent reminder is to utilize property management software like TurboTenant.
Many rent collection platforms offer the ability to automatically remind tenants through push notifications, text messages, or emails every month before rent is due. These methods are beneficial because they shift the conflict associated with asking for late rent to software. Now, you don’t have to be the bad guy.
Landlords can also offer auto payment options for tenants, where rent is automatically deducted monthly from the payment method of a landlord or tenant’s choice. This is a great way to ensure that rent is always on time.
Creating an effective rent reminder process is a great idea, especially for landlords who manage a large number of properties, where it can become challenging to keep track of each tenant.
In general, reminder messages should be concise, clear, and to the point, which helps set clear expectations. Here are some tips and best practices to help make the process as easy as possible for all parties.
The best way to establish a positive landlord-tenant relationship is to ensure that the tenant thoroughly understands the expectations set out in the lease agreement. Explaining rent collection due dates, grace periods, and payment methods will smooth the process.
Not everyone is great at checking their email these days, so landlords might opt to send a rent reminder notice by text message, push notification from property management software, or even a quick phone call to check-in.
Confirming receipt of rent payments and thanking tenants for paying on time is also a great way to make sure the tenant feels like a part of the rental process and not just a cog in a faceless business transaction. A quick “thank you” takes no time at all and can help build trust and a solid relationship foundation.
Keeping open lines of communication with your tenants is a great way to make sure they pay their rent on time. It also establishes a positive relationship that encourages tenants to stay in touch about maintenance or repair issues.
Here’s an example of a rent reminder email:
Hi [Tenant],
Just a quick reminder that your rent for next month is due on [Due Date]. Please make sure your payment is made on time to avoid any late fees. As a reminder, you can make your payment via [Option 1], [Option 2], or [Option 3].
If you have any questions or need assistance, please don’t hesitate to contact me at [Phone / Email].
Thank you,
[Landlord name]
And here’s a rent reminder text message sample:
Hi [Tenant], this is [Landlord] reminding you that rent for your unit is due on [Due Date]. Please make your payment by this date to avoid any late fees via [Option 1], [Option 2], or [Option 3]. Thanks, and have a great day!
Rent reminders through push notifications are usually even shorter than text messages and are straight to the point:
Hi [Tenant]. Rent is due on [Due Date]. Please let me know if you have any questions.
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Frequent late payments from a tenant can be challenging for landlords and potentially disastrous for tenants. So, what’s the best way to handle habitually late rent payments?
Understanding the root cause of late payments is the first step in determining a course of action. If tenants are experiencing temporary financial hardships, figuring out how to navigate it together could resolve the issue quicker than expected or encourage the tenant to find other ways to pay rent on time. Meeting with the tenant to go over the lease agreement and reinforce the terms in the lease could also help the tenant understand what’s at stake for them if they continue to pay rent later than the due date or an outlined grace period. Making sure they have their own copy of the lease guarantees they have a copy to reference.
For tenants experiencing hardship and frequently paying rent late, establishing a payment plan could also help ease the burden and quickly bring the tenant back into good standing. Any plan like this should be put into writing and signed by both parties and can be kept alongside the lease agreement for easy reference.
Legal proceedings could be the next step if the frequency of late payments increases to unsustainable levels. At this point, landlords might need to begin an eviction process and should consult local laws about how best to proceed in this situation.
TurboTenant’s free landlord software provides access to a comprehensive rent collection system that sends automatic reminders, applies late fees, and sends receipts automatically. There’s zero cost to landlords, and tenants pay a small $2 ACH fee in the free plan. That fee is waived when landlords upgrade to Premium.
Then, via TurboTenant’s integration with REI Hub, our robust rental accounting system automatically inputs rent payments, tracks expenses, and compiles it all in easy-to-generate reports that make tax time easier than ever. It’s an excellent tool for landlords who want to automate as much of their processes as possible to save time and increase accuracy.
Sign up for a free TurboTenant account today, and let us be the bad guy when your tenant needs a rent payment reminder.
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Source: Landlord Gurus
Before you get down to marketing your rental you need to decide on some basic rental terms you’ll be asking a renter to agree to. Below is a brief rundown.
Each property is different, so you’ll want to make sure you think carefully about what will work best in your case. Here are some common rental terms:
Something else to think about is whether the tenancy ends at the end of the term. For example, if it’s a one-year lease, at the end of the year, is the tenancy over or will it automatically revert to month-to-month?
Do you accept pets at all, and if so what kind and how many? For example, some of our properties will allow cats but not dogs.
Be careful not to lump Service Animals and Emotional Support Animals into your “pet policy”, as they are NOT considered pets and there are strict rules about what you can and cannot do when people have them.
If you do allow pets, consider the different types of pet fees and things you might need to ask for. For example, charging for pet screening, pet deposits, and pet rent. Are you going to charge a flat fee for having a pet? Or will you charge monthly?
You can quickly survey listings on Zillow, Craigslist, etc. to get a feel for how the competition is priced. Many property management software products also have free rent estimation features. You could also use products that give you comparables, trend lines for local rent, and pricing suggestions.
You’re also going to want to decide how you and your tenant will handle utilities.
Which utilities can tenants put directly in their names? Generally, these should be metered separately so that they are only paying for what they use, but sometimes there are exceptions or tradeoffs.
Where not separately metered there are multiple ways to charge tenants for utility costs:
Will you provide WiFi for the property, or do tenants pay for their own service? Consider whether your building is wired in such a way that tenants can get their own service easily, and without a bunch of new holes being drilled.
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Will parking be included, or is it an extra fee? Some places, like Seattle, require parking to be separate.
Consider whether you want to separate deposits for different purposes, or use one umbrella security deposit. We often just take one general security deposit. Note that there are requirements in some places regarding how you handle the money.
A security deposit is generally fully refundable but can be used for unpaid rent or fees, repairs, cleaning, or other amounts due.
Another type of deposit is a cleaning deposit, which tenants pre-pay for having the unit cleaned at move-out. They don’t need to deep clean anything at the end. This is a good way to handle concerns regarding cleanliness and having to hire cleaners without compensation.
Going back to pet deposits and fees, decide whether you want to collect a fee that’s not refundable. This can be used for services at the end of the tenancy to prepare your rental after having a pet in it.
Next is application fees. Nowadays, screening services will collect a fee, which makes it easy, as you don’t have to worry about collecting or refunding fees.
There are also some miscellaneous fees for things like storage or locker fees. If you have those amenities on your property, that’s something you can charge for. Amenity fees are something that we have seen at larger, nicer complexes. They might tack on a fee because they have a nice fitness center or other amenities that tenants can use.
Another thing that we charge for is a lockout or lost key fee. If the tenant does not want to pay that fee, they can instead hire a locksmith to let them into the property.
There will also be move-in costs. When the tenant first moves in, what will they have to pay upfront? Usually, it’s the first month’s rent and possibly the last month’s rent that you’ll collect upfront. Along with any of the deposits you choose to charge. In some places, there are regulations on how much you can collect.
Before marketing your property, be sure to decide on the things you’ll need to communicate upfront. This includes the things that we went over in this article, such as animals, rent, deposits, and fees. This will ensure that prospective tenants understand what they’ll be getting themselves into.
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By John Triplett
Are you and your property management providing reasonable accommodations for the deaf and hard of hearing to communicate effectively?
In the field of property management, effective communication is not just a courtesy—it’s a mandate under fair housing laws.
Ensuring that every individual, regardless of hearing ability, has equal access to housing information is not only ethical but also legally required.
This commitment to accessibility includes providing reasonable accommodations for the deaf and hard of hearing, a demographic that often faces significant barriers in accessing housing services. Are you and your team ensuring equal access?
Fair housing regulations stipulate that property managers must be equipped to communicate effectively with all prospects and residents. This inclusivity explicitly extends to individuals who are deaf or hard of hearing. When a deaf or hard-of-hearing resident requests an interpreter, this is considered a reasonable accommodation.
Interestingly, unlike other accommodation requests that require a more extensive review process, the need for an interpreter is often so apparent that it bypasses the usual procedural requirements. This streamlined approach underscores the importance of immediate and unimpeded communication.
Despite the clear mandates, the practicalities of providing on-the-spot interpreter services can be challenging. It’s generally unrealistic to secure a sign language interpreter without prior notice. However, property managers are still obliged to facilitate communication as per fair housing standards.
Creative solutions become essential in these scenarios. Utilizing readily available tools such as whiteboards for written communication or exchanging SMS text messages can provide interim solutions that uphold the standards of accessibility and ensure that critical information is conveyed effectively and promptly.
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To truly embody the spirit of fair housing, property management teams should proactively prepare to meet the needs of deaf or hard-of-hearing individuals. This preparation involves more than just recognizing the need for accommodation; it requires active and ongoing training of staff. Role-playing scenarios can be an effective method for training, helping staff practice and prepare for real-life interactions.
Additionally, investing in services such as online, on-demand interpreters can significantly enhance a property management company’s ability to provide immediate and effective communication solutions. These investments not only comply with legal requirements but also demonstrate a genuine commitment to inclusivity.
The provision of translation services for the deaf and hard of hearing is a clear example of how property management can and should function under the guiding principles of fair housing.
Property management professionals can ensure that all residents receive the high standard of service they deserve by understanding the legal imperatives, embracing creative problem-solving, and investing in thorough preparation. Ultimately, these efforts reflect a broader commitment to equality and accessibility, pillars upon which the integrity of the property management industry rests.
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By Ryan Squires
While most of us are used to paying rent on a standard schedule due on the 1st of the month, more landlords have recently offered flexible options to suit tenants’ needs. A flexible, or partial rent payment, allows tenants to pay their rent in a way that more closely matches their life or work situation.
In this article, we’ll cover just about everything there is to know about flexible rent payments, from what they are to how to set them up.
An increasing number of landlords have offered flexible rent payments in recent years, and many tenants find the arrangement more manageable due to increasing housing costs and non-traditional work schedules.
Landlords could arrange a few different types of flexible rent payment options depending on the tenant’s situation. It’s important for both landlords and tenants that the specific payment schedule is laid out clearly in the lease agreement to ensure no misunderstandings or miscommunications.
Typically, a partial rent payment arrangement would look like this:
There are several ways flexible rent payments can benefit tenants and landlords.
A flexible rent payment plan can help tenants who receive bi-weekly or irregular paychecks. Instead of paying one lump sum every month, portioning out rent paid over the month can alleviate a financial burden and make it less likely that they’ll miss a payment or incur late fees.
Many tenants appreciate this flexibility, which can lead to high satisfaction and retention levels.
Partial rent payments adhering to a precise schedule can help reduce the risk of late or missed rent payments, allowing landlords to anticipate cash flow more fully and accurately. A consistent cash flow over the month can help cover costs that crop up suddenly.
Offering a flexible rent payment schedule can also attract a broader range of tenants, especially in areas with a high concentration of gig workers or freelancers paid on non-traditional schedules.
While there’s a lot to be said for a flexible rent payment scenario, it may not be ideal for everyone.
For landlords with a significant number of units, allowing many tenants to pay rent on a flexible schedule can become unwieldy and complicated to track, especially when tenants are on different flexible payment schedules.
Regardless of the number of units, tracking different payment timings can become an administrative challenge, forcing landlords to devote valuable time to bookkeeping and cash flow management compared to a standard rent arrangement.
Additionally, while no federal laws prohibit flexible rent payments, there could be restrictions depending on where the rental property is located or if a governmental housing program subsidizes the property.
For instance, if a rental unit is governed under a Homeowners’ Association (HOA), the HOA guidelines might prohibit non-traditional rent payment schedules.
Landlords should ensure that local guidelines allow for flexible rent payments if there’s tenant interest.
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Landlords interested in setting up flexible tenant rent payments should evaluate the financial impact before jumping in. Understanding the cash flow rate against weekly or monthly expenses is crucial to satisfying obligations like mortgages, property taxes, and maintenance costs.
Once the financial implications are fully understood, landlords must determine how comfortable they are collecting partial rent payments and by which frequency. Will payment schedules be customized per tenant? Is it better to establish a weekly or bi-monthly cadence? Is it best to use a payment processor to handle rent?
If a landlord feels comfortable with partial payments and can adequately track and account for them, they should make any necessary adjustments to their lease agreements. The language explaining the flexible rent schedule should be clear and concise, and the timing, method of payment, and penalties for missed or late payments should be thoroughly outlined.
Or should a landlord filter everything into a flexible rent payment app, like TurboTenant’s mobile app, to streamline the process and keep all rent and property-related expenses contained in one rental accounting software?
For landlords wishing to switch existing tenants to a flexible plan, addendums can be signed by both parties and added to the lease for all future payments.
For tenants who find themselves in or are looking to explore a partial rent payment agreement, it’s crucial to fully understand the terms of the arrangement as outlined in the lease.
If this is a new option tenants are exploring with their landlord, taking stock of your financial situation and paycheck schedule will help to dictate how often it makes sense to make a partial rent payment. Communicate with your landlord about the plan and discuss options that make the most sense for all parties. Landlords are often willing to work with their tenants to make sure that rent is paid on time.
Additionally, tenants can encourage their landlords to use a property management app like TurboTenant to help them track and schedule all upcoming rent payments automatically.
While we’re all familiar with paying rent on the 1st of every month, a bi-monthly or other partial payment schedule could quickly become more complicated. However, using a dedicated rental app makes it easy to set up recurring payments without regularly checking in and updating payment options.
TurboTenant is a fully featured landlord software platform designed to make the rental experience easy and painless for landlords and tenants across the United States. While the thought of implementing a potentially complicated partial rent payment scenario might seem overwhelming, TurboTenant streamlines the rent collection process to make it simple to set up and even easier to implement.
Within the platform, landlords can set up a payment schedule for their tenants and send automated reminders each month before the rent is due.
Further, TurboTenant offers granular control over partial rent payments for flexible rent schedules that occur in lump sums throughout the month. All financial information is tracked per unit and tenant to make it easy for landlords to quickly determine who has paid, what rent might be outstanding, and when to expect the next payment.
By offering mobile apps for landlords and tenants, TurboTenant makes communicating directly within the app simple, eliminating missed text messages and phone calls, and creating a paper trail of communication should problems arise.
Regardless of your property management needs, TurboTenant is here to assist you every step of the way. So, sign up for a free account today to see how TurboTenant can make your investment easy and profitable.
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Provided by the Fair Housing Institute
An upsurge of tenants requesting reasonable accommodation due to allergies can create a challenges for rental housing providers.
There has been a noticeable upsurge of residents requesting reasonable accommodations due to allergies. This is likely due to an increase in people suffering from both chemical and environmental sensitivities. A resident requesting accommodation due to allergies can create a challenging situation for the housing provider. This raises two questions:
In order to determine if an allergy meets the criteria for a reasonable accommodation, we must first determine if the allergy qualifies as a disability. The Fair Housing Act defines a disability as a mental or physical impairment that substantially limits one or more major life activities.
For most of us with allergies, while the reactions may be uncomfortable, it is probably reasonable to state that those reactions do not “substantially limit one or more major life activity,” thereby rising to the level of a disability.
To help you determine whether the allergies meet the criteria, you need to have reasonable-accommodation request and verification forms that can be filled out by a third-party verifier. It is okay for your reasonable-accommodation forms to highlight the difference between a disability and an impairment. Your forms can also include a section for the verifier to provide pertinent information regarding allergy testing to determine what the tenant is allergic to. It is important to note that only a third-party verifier can make the determination if the allergy is in fact a disability and what accommodations need to be met.
If the allergy is not a disability, then management is not legally required to accommodate the resident. On the other hand, if the allergy results in the resident’s throat closing and hives, these symptoms would probably be considered a fairly substantial limitation to major life activities and would meet the criteria for a reasonable accommodation. Now you are faced with how, and to what extent, modifications can be offered. This can be especially difficult in a multifamily setting.
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Once a reasonable-accommodation request has been verified, it is time to create a plan that addresses the needs of the resident. The housing provider wants to provide reasonable accommodations, while also not limiting the use of chemicals and products by other residents and staff, particularly those that are critical to building maintenance. This is where open communication to discuss alternatives is critical between the resident, the property owner or manager, and the verifier. HUD and the courts now view the “interactive process” as an essential step by housing providers during the reasonable-accommodation process, whether the property plans to deny or offer the resident an alternative accommodation. Documenting the plan is also a critical best practice and ensures that everyone clearly understands the plan.
Dealing with reasonable-accommodation requests can be quite dynamic. Regular Fair Housing training is a must for property-management professionals. Property-management professionals are best served when regularly trained to identify the issues and then discuss them as a team. If you are not clear on the legal requirements, reach out to a qualified fair housing attorney. The more you know, the better you will be when dealing with complex reasonable accommodation requests.
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By Daniel Sharabi
There is no question that Ratio Utility Billing Systems are a benefit to housing providers. Regardless, conversations around RUBS among uninformed housing providers can lead to confusion and misconceptions regarding Ratio Utility Billing Systems.
While more traditional methods, such as flat fees or equal splits, offer simplicity, they lack fairness and precision. Enter Ratio Utility Billing Systems (RUBS), an ideal solution for a fair and streamlined billing process. Less-than-seasoned housing providers may share a laundry list of negatives they’ve heard regarding RUBS. Check out these common misconceptions of housing providers surrounding Ratio Utility Billing Systems that we are here to debunk.
MYTH #1: RESIDENTS WILL THINK I’M BEING UNFAIR
A concern among housing providers is that RUBS might not be perfectly fair. Residents who conserve utilities like water might end up subsidizing those who use more. This can lead to frustration and disputes. Explaining the logic behind the formula can be an uphill battle in the eyes of a housing provider.
Residents in well-maintained units with newer, more efficient dishwashers and low-flow showerheads might feel they’re subsidizing those who use more water, creating tension between residents and potentially leading to finger pointing and resentment toward the housing provider.
MYTH BUSTED
The right RUBS system can factor in square footage, occupancy and more so that billing is both
transparent and fair. Residents should be able to see how their bills are calculated and why the bill is what it is. Housing providers can also offer a “goodwill deduction” for any reason, including for a resident who has concerns about subsidizing other residents unfairly.
MYTH #2: COMPLIANCE WILL BE A HEADACHE
RUBS regulations can vary by location. Housing providers need to be sure they are following all the rules to avoid legal issues and many don’t want to take on that headache. Maintaining accurate records of occupancy changes, appliance upgrades, and historical usage data is crucial for a fair RUBS system. Housing providers may fear finding themselves dealing with the burden of meticulous record keeping to avoid legal trouble.
MYTH BUSTED
The right RUBS platform has compliance assistance built in. “At Livable, we provide a lease addendum for our housing providers so they are covered legally,” Sharabi explains. “Of course, housing providers need to make sure that they are in compliance with all local ordinances and regulations, but the lease addendum goes a long way toward achieving that.”
“We do always recommend that you check with your attorney before implementing RUBS for your residents, but our system is designed to aid with compliance for housing providers.”
“Livable Pro is so easy you can do it yourself,” Sharabi says. “We designed a user-friendly interface that makes it simple to set up RUBS. Just plug in the information as asked and you’re all set!”
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MYTH #3: IMPLEMENTING RUBS IS MORE TROUBLE THAN IT’S WORTH
Setting up RUBS properly requires choosing a fair formula, clearly communicating it to residents, and handling disputes fairly. This can take time and effort and many housing providers are reluctant to try.
MYTH BUSTED
“Livable Pro is so easy you can do it yourself,” Sharabi says. “We designed a user-friendly
interface that makes it simple to set up RUBS. Just plug in the information as asked and you’re all set!”
MYTH #4: RUBS IS ONLY FOR BIG COMPLEXES OR HIGH-RISES, NOT SMALL OWNERS LIKE ME
Some housing providers may believe that ratio utility billing only works or makes financial sense if you have a lot of units to bill.
MYTH BUSTED
“We created Livable Pro for the independent rental owner,” says Dan Sharabi, CEO of Livable. “Livable has never had unit minimums or a required commitment. We want housing providers to be able to hold residents accountable for their use, driving conservation, whether they have one rental unit or 1,000.”
CONCLUSION
Even with well-defined guidelines, disputes about RUBS bills may occur. Housing providers often fear being caught in the middle, mediating between residents who feel unfairly charged and the need to maintain a fair system for everyone. Housing providers considering RUBS should be prepared to navigate these potential resident concerns and ensure they have fully accessed the resources RUBS provides to effectively implement and manage the system. The reality is that the benefits of RUBS far outweigh the effort required for it to revolutionize your
billing. Ratio Utility Billing is a cost-effective way to allocate utilities, save you money and practice good conservation. Housing providers should explore the benefits of RUBS for themselves before listening to outside misconceptions.
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By Jonathan Forisha
Renting a Section 8 home can be a tricky situation to navigate. Also known as the Housing Choice Voucher Program, Section 8 is a federal initiative to help low-income families, older adults, and people with disabilities rent homes. There are rules for tenants and landlords to be aware of, and deciding to enter the program could be a complicated proposition.
In this Section 8 rental guide, we’ll dive deep into the ins and outs of this federal assistance program so you can decide if it’s right for you.
The Section 8 program was created by Congress in 1974 and is run by the U.S. Department of Housing and Urban Development (HUD). The goal is to make housing more affordable for individuals and families via federal subsidies.
Section 8 eligibility is determined by the total annual income and family size of U.S. citizens and some immigrants based on their status. There are two types of Section 8 housing programs: “project-based” programs, where eligible properties are linked to specific apartment complexes, and voucher programs, where tenants can choose a unit in the private sector and a public housing agency (PHA) pays Section 8 funds directly to the landlord.
Local PHAs — either by state, county, or city — have some flexibility in implementing a Section 8 program, but generally, if an applicant makes less than the median income for the area, they can qualify for the subsidy. The tenant must pay a percentage of their median income as rent, while the Section 8 funds cover the rest.
There are three categories that the program considers:
Median income can vary significantly by location, so check with your local PHA to identify the income level that they recognize.
For landlords, offering Section 8 housing is not required. Landlords can opt into the program for a number of reasons. However, there are some states and counties in which you cannot refuse to accept a Housing Choice Voucher.
In the next section, we’ll review the Section 8 application process for landlords.
Interested landlords can visit their local PHA to gather the necessary paperwork and understand the guidelines specific to the community. Generally speaking, Section 8 landlords will need to do the following:
You can view a complete list of these requirements on the HUD website, but a few areas of focus are:
If your property passes the inspection and the application is approved, landlords can start accepting tenants who qualify for Section 8 assistance.
For tenants, there are a lot of advantages to Section 8 housing if you qualify. Section 8 benefits provide access to affordable and safe housing for lower-income individuals and families, which would otherwise be unavailable. Renting a Section 8 home allows families to live in safe and desirable neighborhoods that might otherwise be unaffordable.
However, in many areas, the waitlist for Section 8 vouchers can be quite long — as long as 2-3 years in some places due to high demand.
For landlords, becoming a part of the Section 8 housing program can provide a steady and reliable source of qualified applicants vetted by their respective PHA. Not only is the pool of applicants readily available, but tenants often stay for longer periods of time when they’ve found stable and reliable housing.
Additionally, the chances of late or unpaid rent are significantly reduced as the government covers a portion of the rent payment. On the other hand, the inspection process can be burdensome in some cases since it’s significantly more strict than the landlord-tenant laws typically dictate, and correcting issues flagged by a government inspection can be lengthy and expensive.
Also, it’s typical for your first rent payment from the government to be late as you enter the system — but once you’re established in the system, the money you’re owed will come through, and future payments should arrive on time.
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All Section 8 homes must pass a rigorous inspection to qualify for the program. The U.S. Department of Housing and Urban Development has set a baseline for the Housing Quality Standards (HQS) to ensure all properties are safe, sanitary, and decent.
There are 13 key aspects of housing quality covered by the HQS:
After the initial inspection, annual inspections are also required to ensure that landlords and tenants maintain the property in accordance with HQS regulations. Special inspections may also be scheduled if there are complaints from tenants or landlords about the condition of a Section 8 property.
Please visit the HUD website for more information and specific details on the HQS and inspections.
There are a number of aspects that the public, landlords, and tenants often misunderstand about what Section 8 is and how it works. In this section, we’ll debunk some of the most common misconceptions about renting a Section 8 home.
Participants in the Section 8 program lease private units, and tenants receive government assistance to pay rent costs. However, the units are privately owned and not owned and operated by the government, unlike public housing.
Tenants who apply for Section 8 housing must be employed and pay a percentage of the rent, depending on income level. The government voucher will cover the remaining 30-80% of the rent, depending on how much the tenant makes.
Due to increasing housing costs and stagnant wages in many areas of the country, waiting lists for Section 8 can be incredibly long and slow-moving. Contact your local PHA to check on the waitlist status and for guidance on navigating the process as smoothly as possible.
For landlords renting their units to Section 8 tenants, TurboTenant is an incredibly powerful tool. TurboTenant is an advanced property management software that can help landlords and tenants stay connected through an easy-to-use platform, complete with messaging capabilities.
While PHA’s handle income verification for Section 8 tenants, TurboTenant features comprehensive tenant screening services to help ensure landlords rent to the most qualified tenants. Once your tenants are moved in, TurboTenant’s maintenance tracking features simplify renter requests, empowering you to tackle everything from routine work to critical repairs. This makes passing the program’s annual inspections a breeze.
Finally, TurboTenant’s financial management and reporting tools uncomplicate tracking payments from your tenants and the government so that you can understand how your investments are performing at a glance.
There are so many ways that TurboTenant can help landlords and tenants for all Section 8 and non-Section 8 rental situations, so sign up for a free account today!
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