By Beau Thoutt
Whenever tax season rolls around—bringing with it all those dreaded forms and reports—many landlords enlist the help of a real estate tax accountant. However, if you’re interested in financial guidance, investment advice, or suggestions on structuring your business, you may want to hire a CPA instead.
A CPA, or certified public accountant, can take on various responsibilities depending on the situation. For example, a CPA might help you minimize your tax liability or restructure your real estate business accounting to maximize your investments.
While tools like TurboTenant or rental accounting software can assist with some of these tasks, hiring a CPA offers certain advantages for landlords who need a broader range of services.
To help you decide whether or not it makes sense to hire a real estate CPA, we’ve put together a guide that covers the basics of what CPAs do, the key benefits of working with them, and how to find the right fit according to your portfolio.
Read on to learn everything you need to know about working with CPAs for real estate.
What is a real estate CPA?
CPAs assist landlords with the many financial and accounting duties of managing rental properties. Depending on the landlord’s needs, a CPA might include handling taxes, advising on purchases, or resolving accounting issues.
Qualified real estate CPAs are highly valuable to landlords and must complete rigorous state-mandated education to become fully licensed. They must also take ongoing courses to stay current on tax codes and other legal changes that affect rental property ownership.
In short, real estate CPAs can take on a wide range of responsibilities. They can represent landlords and property investors before the IRS in the event of an audit. Many also advise on financial decisions beyond tax season, such as investment planning, capital gains strategies, rent collection, and more.
Differences between CPAs and real estate tax accountants
Though the layman often views real estate CPAs and property tax accountants as interchangeable, the two roles differ in key ways.
While property accountants typically receive some form of certification, CPAs hold higher professional designations. As such, they must complete continuing education to stay current on tax laws and code changes. And while most real estate tax accountants only work during tax season, CPAs typically work year-round and provide a wider range of services.
Real estate tax accountants generally have a more limited role in supporting landlords. As a result, many landlords choose to hire a CPA for more in-depth guidance and ongoing support throughout the year.
The Benefits of Hiring a Real Estate CPA
Landlords can use TurboTenant’s free property management software to assist with accounting, lease administration, and online rent collection. However, hiring a real estate CPA may benefit those who need more specialized, professional guidance in managing the financial side of their portfolio.
Tax Expertise
Because CPAs need to pursue continuing education, a real estate CPA will be well-versed in all relevant real estate tax laws. This knowledge helps landlords stay on top of deadlines and other important details, ensuring compliance with changing codes and regulations.
Efficient Business Structuring
CPAs do more than manage taxes. They can help landlords structure their businesses more efficiently, offering insight into whether operating as an LLC, an S corporation, or a sole proprietorship is better. These decisions can lead to significant long-term savings.
Downsizing Tax Liability
Though operating a rental property carries significant tax benefits, you need to know how to use them to your advantage to maximize savings during tax season. CPAs can help reduce your tax liability and navigate complex processes like 1031 exchanges, maximizing your deductions, and capitalizing on other tax advantages to lower what you owe.
Maximize Investment Returns
Real estate ownership of any kind is an investment, and a CPA can help you get the most out of that investment, offering advice to help you maximize profits from your rental property. Some often include guidance on expanding their clients’ rental portfolio, while other investment property tax accountants provide insights on market trends and creative financing options.
Professional Networking Opportunities
Any CPA worth their salt typically works with a broad network of other professionals in the real estate industry, such as real estate agents and attorneys. Hiring a real estate CPA makes it easier to connect with other trusted, qualified experts when you need help with another part of managing your rental portfolio.
Long-term Financial Guidance
As helpful as real estate tax accountants may be, CPAs typically assist landlords with many aspects of managing their rental portfolio beyond taxes. So, if changes or unexpected issues arise, a CPA can help the landlord navigate anything that might impact their portfolio or real estate business.
Detailed Record Keeping
As a landlord, you always have a lot on your mind, and the last thing you want to do is spend your free time juggling receipts and records.
As professional landlord tax accountants, CPAs help clients maintain thorough, detailed records of all financial aspects of their business, which saves landlords valuable time and provides peace of mind if unexpected issues arise, such as audits.
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Do you need to hire a real estate CPA?
As valuable as working with a real estate CPA can be, it’s natural to wonder whether you truly need one. After all, CPAs don’t offer their services for free, and hiring a property investment accountant can be costly.
You can use TurboTenant’s easy-to-navigate rental property accounting software to handle some of the tasks a CPA would perform.
However, landlords who want the more human aspects of working with a CPA, such as personalized investment advice or qualified IRS representation, may still prefer to hire an accountant for property owners.
CPAs can be especially helpful for landlords dealing with complex tax or business situations, such as purchasing real estate through a trust or buying property in a foreign country. Landlords who find accounting overwhelming may also want to work with a CPA to reduce the stress of record-keeping and avoid potential audits.
Ultimately, you’ll need to decide whether hiring a real estate CPA is worthwhile or using real estate accounting software like TurboTenant or REI Hub can get the job done.
How to Hire a Real Estate CPA
Ideally, you know someone who already works with a CPA and can rely on word-of-mouth referrals to find the right fit.
If you’re starting from scratch, a simple Google search should be enough to get going. Just be sure to look for reviews and other references that speak to a CPA’s expertise.
Beyond reviewing a CPA’s track record, you’ll need to consider several other key factors during your search. Choosing the right CPA depends largely on what you hope to gain from the relationship, so keep these concerns in mind as you decide.
Billing and Fees
First and foremost, you’ll need to make sure the CPA you choose fits within your budget. When speaking with a potential CPA, ask how much they charge, when, and if there are any bonuses or additional fees that may apply in certain situations.
Some CPAs charge flat rates, others bill by the hour, and some add fees for more complex services. Understanding all aspects of their pricing structure is crucial before moving forward.
Licensing and Specializations
As mentioned, CPAs must complete state-mandated education and stay current on continuing education requirements to remain licensed. However, some CPAs hold additional licenses or certifications, which can be helpful for landlords who need more specialized services.
For example, a CPA might also have a real estate license, which is useful for those seeking property investment advice. Some CPAs may focus on residential real estate, while others specialize in commercial properties. Understanding these specializations can make a big difference in finding the right CPA for your needs.
Tax Planning Services
When hiring a CPA, landlords should determine whether their services include tax planning and tax return preparation. Though the two may sound similar, tax planning is a longer-term process that takes place throughout the year and often requires more involvement from the landlord and the CPA.
Landlords should also ask who at the CPA’s office will be responsible for filing the taxes. CPAs don’t always handle the entire process themselves, so it’s essential to confirm that the person preparing and submitting the return is competent, experienced, and properly supervised.
Approach to Investing
Like all investors, some CPAs take an aggressive approach to growing their clients’ real estate businesses, while others are more risk-averse. This is an important factor to consider when choosing a CPA, as you’ll want to work with someone whose values and investment goals align with yours.
CPA Agreement
When you decide to work with a CPA, you’ll need to create a CPA agreement, ensuring that both parties understand their roles and responsibilities. Doing so clarifies all key details of the relationship between the CPA and the landlord, prevents misunderstandings, and ensures expectations are clearly defined on both sides.
Real Estate Software: Your New Tax Accountant?
Regarding the financial side of managing rental properties, working with a real estate tax accountant can be helpful. However, hiring a CPA may offer even greater benefits for landlords who want to stay current on property tax laws, receive year-round financial guidance, and maximize their investment portfolio.
To streamline the process of managing your rental properties, consider using TurboTenant’s free landlord software. The platform includes tools like lease agreement management and rent collection, helping you operate your rentals with less hassle.
Sign up for a free account to learn more.
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By Scot Aubrey
When you hear the word “rot” in relation to real estate, all sorts of bad visions and horror stories immediately come to mind.
In fact, that word often translates in our minds to money, as in, how much is it going to cost me to repair whatever is rotting. Allow me to introduce a new way of looking at this word in a much better way, one that when done right, can actually add to your bank account rather than being a drain on it.
While every investor is intimately familiar with ROI, return on investment, which carries a great weight when evaluating a property, many may disregard an equally crucial factor, and that is ROT, or return on time.
For purposes of this article, we will examine return on time to help you become an even more successful and satisfied investor.
Gut Reaction
If you will, please take the next thirty seconds and stop reading.
I want you to think about your portfolio by specific address if you can and think of or say aloud the address of one of your investments.
How do you feel when you hear that address? Many of you probably have that “perfect” property that houses great tenants who pay on time and even manage some of the most common maintenance items out of their own pocket. This property brings a smile to your face and good feelings, knowing that it is an asset that provides a great return on both your time and your investment.
Others of you had a physical, maybe even violent reaction when you thought of a property that is less than your ideal. Tenants that pay late consistently, that call you for even the simplest repairs, which cause friction with their neighbors. You know the one because it takes up an inordinate amount of your time and more than once you have considered offloading it, and its attendant problems, out of your portfolio and your life.
The Analysis
While return on time is an often-overlooked real estate investor metric, it needs to play a critical role in your decision-making, particularly when time is limited.
After all, time is money and every second you spend managing a property with a low ROT can feel like a total waste because you are sacrificing time that could be spent with family, on a hobby, vacationing or finding your next great property.
While there is no universal formula for ROT, you can begin by evaluating the benefits, satisfaction, or personal wealth derived from the time spent on a specific property. Time is finite, and therefore, optimizing how time is spent is just as important as financial investments.
ROT focuses on the time and the intangible returns that come from using time effectively. ROT is based on the principle that time, like money, is a limited resource. Time cannot be bought back once spent; therefore, ROT considers the opportunity cost of how time is spent.
Is the time spent working on a project worth the long-term value or the personal satisfaction gained from it? That is the key question in any analysis you perform with ROT in mind.
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A Balanced Approach
Decision making focused solely on ROT could result in the neglect of profitable opportunities if that is the only metric considered.
Every investment you approach has to include a thorough look at the financial AND time aspects required to create a positive return.
For example, let’s say you found an underpriced property in a great neighborhood, but the home needs an extensive remodel to make it appealing to the majority of the market.
You also found a home in the same neighborhood that is turn-key ready but costs 75% more than the fixer upper. ROI and ROT would be evaluated when deciding between these two projects—one that offers a higher ROI but requires more time, and another that is less lucrative but can be completed more quickly. Only you can determine how much each factor weighs into your decision-making process, but both must be a major component of your final determination.
Conclusion
While both ROI and ROT are critical for evaluating decision-making in both personal and professional contexts, they serve different purposes. A lot of other factors will influence your investment path as well.
Is this a hobby or profession? What is your age and how many years left do you have to grow your portfolio? What kind of financial backing do you have if things go sideways?
These questions, and so many others can help you determine how and when to use ROT as a measurement in your present and future investing. And if you are still feeling heartburn from the earlier exercise where you thought about your portfolio, be bold enough to cut out the rot and move on to an investment that brings you both joy and financial freedom.
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Listen On:
Summer brings sun, sizzle… and safety responsibilities for landlords. In this episode, we are giving you a fast-paced roundup of our best summer reminders to protect your property, keep your tenants safe, and stay legally protected.
We cover everything from fireworks laws and grilling guidelines to guest liability and servicing your air conditioners. With the 4th of July approaching, it’s a great time to double-check your lease terms, share safety policies, and confirm insurance coverage. We also talk about how to help your tenants beat the heat, and why early prep can make or break your summer maintenance game.
You’ll also hear about tax-saving tips for employing your kids over break and why preventative maintenance should happen in the spring—so your summer is smooth sailing.
🔍 What You’ll Learn in This Episode:
- What to remind tenants before their 4th of July celebrations at your rental property
- How to prep your HVAC system for summer efficiency
- How grilling, guest, and pet policies affect liability
- Why hiring your kids or grandkids to help is smart business
🔗 Links & Resources Mentioned
🎉 Enter our Giveaway: Free 1-Hour Landlord Coaching Session
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➡️ Review the Podcast on Apple or on Spotify or YouTube (be sure to use your name so we can match it to your entry!)
👉 Download: 4th of July Tenant Safety PDF
📌 Download: Heatwave Email Template
✔️ Download: Spring Maintenance Inspection Checklist
🎧Listen: Episode 65, 4th of July and Summer Safety Tips for Tenants
🎧 Listen: Episode 9 Helping Tenants Cope Through Heatwaves
🎧 Listen: Episode 5 The Advantages of Employing Your Children
🎧 Listen: Episode 3 Spring Maintenance Checklist for Rental Properties
Connect with Us:
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Listen On:
In Episode 101 of Your Landlord Resource, we pick up where we left off in our 100th episode and dive into the “how” behind pushing through hard times as landlords.
From unexpected repairs and long vacancies to personal setbacks and stalled growth, we’re sharing how we’ve stayed motivated—even when the work was overwhelming. This episode is packed with mindset shifts that helped us learn to love what the work does for us, even when we didn’t love the tasks themselves.
We also walk through what it means to “think like a CEO” in your rental business. That means learning how to gather and use data—from vacancy rates to tenant behavior—to make smart, strategic decisions without relying on emotion or guesswork.
Whether you’re struggling to fill a unit, debating a rent adjustment, or navigating a season of hustle, we’re giving you practical ways to stay grounded, clear, and motivated. If you’ve been wondering how to keep going when the work gets tough, this episode is for you.
🧠 What You’ll Learn in This Episode
Mindset Shifts – Why leaning into tough tasks is the steppingstone to financial freedom and time flexibility.
Seasons of Hustle – How to recognize & navigate “build” vs. “growth” phases in your rental business.
CEO Thinking – Using resourcefulness, data, and strategic pivots instead of emotion when setbacks hit.
Data Collection – The exact metrics to track (vacancy rates, repair costs, tenant behavior, market comps) and how to gather them.
Tech Tools & Apps – Which property‑management platforms (TurboTenant, EZ Landlord, RentRedi, Innago) can streamline rent collection, leasing, and reporting.
Preventative Maintenance – Tips on termite inspections, garbage‑disposal care, and more to save thousands long term.
Pivot Opportunities – Our results on midterm rentals, addendum customization, and turning challenges into strategy.
🔗 Links & Resources Mentioned
🎉 Enter our Giveaway: Free 1-Hour Landlord Coaching Session
✨ Bonus Entry: Leave us a kind review!
➡️ Review the Podcast on Apple or on Spotify or YouTube (be sure to use your name so we can match it to your entry!)
🎧 Listen to Episode 100: Landlording Through Personal Challenges
👉 Check out our favorite Landlord Management Sites: TurboTenant, EZ Landlord Forms, RentRedi, and Innago
🎧 Listen to our 3-Part Masterclass on Leases: Episode 32, Episode 33, Episode 34
Connect with Us:
🌎 Visit our website
📧 Subscribe to our newsletter.
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Provided by Bent Nail Inspections
What Qualifications Should I Look for When Choosing a Home Inspector?
Buying or selling a home is a significant decision, and choosing the right home inspector is essential to ensure a smooth and informed process. But with many inspectors to choose from, how do you know you’re making the best choice? This guide outlines the key qualifications for selecting a home inspector, helping you secure the expertise needed for a comprehensive inspection.
Licensing and Certification
The first and arguably most important qualification to verify is whether the home inspector is licensed. While not all states mandate home inspector licenses, hiring a licensed professional is crucial for those that do. A licensed inspector has met the state’s specific requirements, including completing formal training and passing a rigorous exam.
In addition to licensing, certifications from well-known organizations can distinguish an outstanding home inspector. Some certifications to look for include:
- International Association of Certified Home Inspectors (InterNACHI)
- American Society of Home Inspectors (ASHI)
- National Institute of Building Inspectors (NIBI)
These organizations require ongoing education, adherence to industry standards, and a commitment to ethical conduct. By choosing a certified inspector, you ensure they stay current with industry practices and techniques.
Experience Matters
While licensing and certifications provide a solid foundation, experience is invaluable. An inspector with several years in the field has likely encountered many issues and is better equipped to identify subtle or hidden defects. When interviewing potential inspectors, ask questions such as:
- How many years have they been inspecting homes?
- How many home inspections have they conducted?
An experienced inspector offers more comprehensive reports, spotting problems that someone with less field experience may overlook. This experience can also translate into practical advice to save you money.
Specialized Training
Not all homes are the same, and depending on your property’s unique characteristics, you may require an inspector with specialized expertise. For example, consider inspectors trained in:
- Radon testing
- Mold inspections
- Pest inspections
- Energy efficiency evaluations
Choosing an inspector with expertise relevant to your property ensures a more thorough and accurate assessment, particularly if the home has specific risk factors that need closer attention.
Insurance Coverage
Professional liability insurance, or Errors and Omissions (E&O) insurance, is a critical safeguard when hiring a home inspector. This insurance protects you in case the inspector misses a significant issue during the inspection. Always ask about the inspector’s insurance coverage and verify that it’s current and adequate for the job.
Attention to Detail
A qualified home inspector leaves no stone unturned. They should thoroughly assess the home’s major systems, structure, and components, including:
- Foundation
- Roof
- Plumbing
- Electrical systems
- HVAC systems
A rushed inspection may overlook important issues, while a well-conducted inspection typically takes between 2 to 4 hours, depending on the size and complexity of the home. Ensure the inspector you hire will take the necessary time to do the job right.
Have You Considered a Home Warranty for Your Rental Property?
Essentially this is insurance for your appliances, HVAC, as well as for pools, septic’s, and more. Home warranties can help landlords with:
- Budget management: Landlords can avoid unexpected repair costs and make budgeting easier.
- Quality and longevity: Licensed professionals perform repairs, which can help maintain the quality and longevity of the property.
- Tenant satisfaction: Tenants can be confident that issues will be addressed promptly and professionally, which can contribute to a positive landlord-tenant relationship.
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Clear and Comprehensive Reports
One of the most critical deliverables of a home inspection is the report. Make sure your inspector provides a clear, well-organized, and easy-to-understand report. The best reports include:
- Photographs highlighting issues
- Summaries of the home’s overall condition
- Descriptions of potential future problems
- Recommendations for repairs or maintenance
Additionally, ask if the inspector provides digital reports and whether they can answer any follow-up questions after the inspection is complete.
Positive Reviews and References
A track record of satisfied clients is another good indicator of a qualified home inspector. Check online reviews and testimonials to gauge the inspector’s reliability and professionalism. Look for consistent praise in areas such as:
- Punctuality
- Thoroughness
- Communication skills
- Willingness to answer questions
Choosing the right home inspector is vital for protecting investment and gaining peace of mind. Ensure they are licensed, certified, experienced, and have adequate insurance. Don’t hesitate to ask questions and verify their qualifications through reviews and references. A good home inspector will provide a detailed report and offer clear explanations, empowering you to make well-informed decisions about the property.
Your home deserves the best inspection. At Bent Nail Inspections, we pride ourselves on being certified and experienced professionals committed to providing thorough inspections and detailed reports. Let us help you safeguard your investment and make the best decisions for your property. Schedule your inspection today!
FAQs about Home Inspector Qualifications
Q: Should I hire an inspector who specializes in older homes?
A: Yes, if you’re purchasing an older home, hiring an inspector with experience in older properties can help you spot age-related issues like foundation settling, outdated electrical systems, or plumbing concerns.
Q: What happens if my home inspector misses something?
A: This is why hiring an inspector with liability insurance is crucial. Their Errors and Omissions (E&O) insurance can protect you if something critical is missed.
Q: How many certifications should a home inspector have?
A: While one certification from a reputable organization is often sufficient, additional certifications in specialized areas can provide extra assurance of their expertise.
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Provided by Bigger Pockets
After reaching an all-time high in 2007, single-family home prices collapsed 27.4% until hitting a low in 2012. Since then, the Case-Shiller U.S. National Home Price Index has exploded by 141.23%.
Don’t you wish you had a time machine and could buy a home at 2012 prices?
You don’t, and you can’t, of course. But you can invest in another type of real estate that’s coming off a similar collapse in prices.
Multifamily apartment building prices have fallen by 23.5% since reaching a peak in July 2022, according to CoStar. The Freddie Mac Multifamily Apartment Investment Market Index (AIMI) fell 28.1% before bottoming out and starting to rise again.
And you don’t need millions of dollars to invest in multifamily properties. You can invest fractionally with $5,000 and enjoy all the cash flow, appreciation, and tax benefits of ownership.
Why Multifamily Looks Like It’s Bottomed Out
First, take a moment to remember the narrative around real estate in 2011-2012. The mood was bleak—all you read were doom-and-gloom headlines, and the narrative was all negative. In other words, there was “blood in the streets.”
Today, you are in the same mood in multifamily real estate. Investors are running scared after three years of capital calls and distressed sales.
Every investor knows the famous Warren Buffett’s advice to “be fearful when others are greedy, and greedy when others are fearful.” But the mood among investors is far from the only reason to consider multifamily right now.
Dropping construction starts
What drives market prices? Supply and demand—and multifamily housing supply rose sharply between 2021-2025.
But after peaking at 614,000 in late 2022, multifamily unit housing starts have dropped to 370,000 as of February. You can thank the “blood in the streets” for that.
In 2024 alone, new multifamily construction starts fell by 25%.
So yes, the U.S. saw a lot of housing construction post-pandemic. But that surge in new construction has passed and crashed, while the country remains in a housing shortage.
Continued housing shortage
Rising rents
A 2024 report by Zillow estimated that the U.S. is still short 4.5 million housing units. Most markets don’t have to worry about an oversupply of housing. Quite the opposite.
Multifamily prices are calculated based on rental income. And rents keep rising faster than inflation. In fact, rents are one of the primary drivers of inflation. As of February, rents nationwide are up 4.2% year over year.
Rising prices
After hitting a low in 2024, multifamily prices have started rising again.
The Commercial Property Price Index (CPPI) index, calculated by MSCI Real Capital Analytics, shows multifamily properties hitting a low in February 2024, leveling out over the next few months, and rising since.
The CPPI also shows multifamily prices far below their long-term trend line:
That means they have some serious catching up to do, marking now as the perfect time to buy into the market.
Multifamily cap rates are starting to compress again
After seeing how low they could go in 2021, multifamily cap rates expanded sharply from 2022-2023. But in 2024, they stabilized, and in the second half of the year started shrinking again, according to the CBRE’s 2024 Cap Rate Survey.
As a refresher, cap rates are the other part of the price equation for commercial real estate. You divide a property’s net operating income (NOI) by the cap rate to come up with the value.
Lower cap rates mean higher prices. So, one of the drivers of rising multifamily prices is cap rates turning around and compressing again.
How to Invest in Multifamily Without Betting the Farm
I get it: There’s a lot of uncertainty in all financial markets right now, real estate included. The Trump tariffs and trade wars, as well as recession uncertainty, all make for fearful investors. So, how can you invest in multifamily while keeping your risk in check?
Invest small amounts
If you invest in a multifamily syndication yourself, it typically requires a minimum investment of $50,000 to $100,000. I don’t like that. So, I go into these investments with other people through a co-investing club.
It’s how I practice dollar-cost averaging with my real estate investments, steadily investing $5,000 each month.
Protect against recession risk
Some investments are recession-resilient, continuing to thrive even during downturns.
For example, I’ve invested in mobile home parks with tenant-owned homes. If a renter has to choose between paying a $500 lot rent and paying $6,500 to move their mobile home, which do you think they’ll pay?
Likewise, I’ve invested in multifamily properties that get a property tax abatement for setting aside 50% of their units for affordable housing. Those units have a waiting list—imagine how much more the demand would rise in a recession.
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Here are other recession-resilient real estate investments for more examples.
Don’t count on compressing cap rates
The trend line looks positive for cap rates compressing again. But I’m still not counting on that for the success of my investments.
In my club, we generally like to see strong cash flow in the multifamily investments we vet. We like collecting distributions, like properties that don’t rely on price improvements for returns.
With strong cash flow, the operator (and you) can sit back and hold the property long term, waiting out rough patches—all while collecting plenty of rental income.
Diversify with other property types
Yes, it looks like a great time to buy multifamily properties. But you should look to diversify your portfolio. That includes taking a look at industrial properties, mobile home parks, raw land, hotels, and vacation rentals.
I don’t have a crystal ball, so I can’t predict the next hot asset class. And I don’t have to because I invest in so many different types of properties.
Diversify across states
I have cash tied up in over 30 properties across 13 states and counting.
Again, no one knows where the next “hot” market will be. Who cares? Spread your money across many geographical markets, and you’ll catch some of the hot ones.
Diversify across other passive investments
Syndications are just one type of passive real estate investment but aren’t the only option. You can also invest in private partnerships, private notes, secured debt funds, and real estate equity funds. That also helps you invest for different timelines, including some investments as short as nine months.
Final Thoughts
Multifamily properties experienced a bear market from 2022-2024, along with the losses and fear that come with them.
The bottom of a bear market doesn’t look and feel optimistic yet. The press and mood remain mostly negative at the bottom before it becomes obvious to everyone a new bull market is starting. That’s precisely the time to buy in.
As someone who invests steadily every month, I don’t advocate trying to time the market. But as far as I can tell, most market metrics are signaling the bottom of the bear market and the beginning of a new bull market in multifamily.
It doesn’t feel like the giant party that it was in 2021. And that’s precisely what makes it a better time to buy.
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Provided by AAOA
Bed bugs were in the news last fall when infestations appeared throughout Europe, particularly in France.
Zachary DeVries, associate professor of urban entomology at the University of Kentucky, recently told Multifamily Dive that the bugs — flat, brown creatures that tend to nest in furniture and feed on human blood — “have been a consistent and steady issue in homes, apartments and hotels since their population in the country surged in the late 1990s, likely owing to an increase in international travel and restrictions on indoor insecticides.”
Bed bugs can nest anywhere, including five-star hotels and first-class airline seats, but infestations are most commonly seen in low-income housing. DeVries owes this phenomenon to the cost of removing bed bugs, especially when that burden is placed on residents.
Bed bugs feed on human blood and can cause redness, itching, and allergic reactions. They can travel from one apartment to another, making it hard to get rid of them. If the landlord is not informed of the bed bugs’ presence, the tenant may risk getting evicted for failure to maintain a clean living environment.
How to prevent the spread of bed bugs
One important thing to impress upon residents is the danger of bringing in secondhand furniture, particularly if it’s been sitting outside. “That’s probably one of the easiest ways that [bed bugs] get brought in,” DeVries said.
Ben Hottel, entomologist at Atlanta-based pest control company Orkin, suggests the following strategies that properties can use to prevent bed bug infestations:
- Conduct regular inspections. “It’s best to first look for actual live bed bugs [first] and then signs of bed bugs such as blood stains, fecal matter and discarded exoskeletons,” Hottel said, noting that these signs could also be attributed to other insects.
- Promote cleanliness. Hottel recommends encouraging regular vacuuming and washing of bedding.
- Eliminate hiding places. This includes filling in cracks in plaster or drywall, removing wallpaper and repairing loose molding.
- Encourage residents to use special bed covers. These are designed to protect mattresses and box springs, and to make inspections and treatments easier.
It is a tenant’s responsibility to report the presence of bed bugs as soon as they are discovered. In turn, the landlord is legally responsible to quickly take appropriate measures to eliminate the bugs. They must take the issue seriously, respond swiftly and provide their other tenants with information about the bed bug infestations and their eradication since bed bugs can travel from one unit to another, making it very hard to get rid of them.
Legally, landlords are responsible for covering the costs of bed bug elimination. In some states, tenants have the right to withhold rent until the landlord fully resolves the bed bug issue. Tenants can also demand compensation from the landlord for the loss of personal belongings damaged by bed bugs or to cover any expenses incurred in temporarily relocating.
The legal and health issues roaches bring with them
By law, landlords must maintain a healthy, habitable living environment for their tenants, which includes ensuring there are no pest infestations. Neglecting to handle a roach infestation can lead to legal trouble, with tenants possibly suing for breach of contract or negligence.
In addition to their legal obligations, landlords may face code violations and fines from local health departments if they fail to keep their rental properties free of roaches. As a result of these violations, landlords may face hefty fines, legal action, and in extreme cases, property condemnation.
Cockroach infestation has little to do with cleanliness and mostly to do with how many are in the building. Roaches can cause many health issues for tenants, including asthma and other respiratory problems. As roaches crawl around, they tend to transport bacteria, germs, and diseases from one surface to another, including the surfaces in rental properties. They have the potential to transmit salmonella, e. coli, and other harmful bacteria, leading to food poisoning, diarrhea, and other infections. They can also trigger allergies in some people, causing sneezing, runny nose, itchy eyes, and skin reactions.
The only real method of eliminating roaches is to tent the entire building and fumigate, and landlords rarely want to do that due to the expense.
According to RentVision, if a tenant has notified their landlord of a roach infestation and the landlord fails to take corrective action within a reasonable amount of time, the tenant may be able to stop paying rent without penalty. This is known as “rent withholding,” and it is a legal option for tenants who believe their landlord has violated their right to a habitable living space.
How can I know if my rental has termites?
Termites are destructive pests that can cause significant damage to the structure of a building and can also pose health risks to its occupants. If your rental property has a termite infestation, your tenants have the right to take legal action against you.
According to Rental Awareness, termites are small, wood-eating insects that live in colonies, thrive in moist environments and feed on cellulose materials, which are commonly found in wood structures. Due to their ability to remain hidden and their insatiable appetite for wood, termite infestations can go unnoticed for long periods, causing significant damage to the infrastructure of a property.
If you want to determine whether your rental property is infested with termites, there are several signs you should look out for:
- As termites consume wood, they can cause wooden fixtures to warp, leading to difficulties in opening or closing windows and doors.
- When termites swarm, they shed their wings, which may be found near windowsills, light fixtures, or other areas where they are attracted to light.
- Termites build mud tubes to travel between their nest and food source. These tubes are typically brown or gray and can be found along walls, foundations, or other surfaces.
- Termites feed on wood, causing significant damage over time. Look out for wooden structures that sound hollow when tapped or have a honeycomb-like appearance.
- Termite droppings, also known as frass, resemble tiny wood-colored pellets. They may be found near termite tunnels or other areas infested with termites.
- Inspect the interior of your rental property. Pay close attention to areas where there is wood, such as baseboards, windowsills, door frames, and wooden furniture.
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What is a landlord’s exposure with regard to infestations?
Landlords often try to blame their tenants for an insect infestation. However, an infestation of bed bugs, cockroaches or termites is not an issue to be ignored and legally you are bound to address the issue properly. If you fail to deal with the situation and/or do not compensate your tenant for the damages and losses incurred, they may file a lawsuit against you.
Per Rental Law Awareness, while the specific provisions can vary, they typically outline the duties of landlords to mitigate, control, and remediate termite infestations. Violation of these laws can result in legal consequences for the landlord.
The specific duties may vary depending on local laws and regulations, but generally, landlords are expected to:
- Maintain the property in a habitable condition, free from infestations that can affect the health or safety of the tenants.
- Take prompt action to eradicate the insects and prevent further damage.
- Conduct regular inspections to identify and address any signs of bed bug, roach and termite activity.
- Provide necessary repairs and treatments to eliminate the insects and restore the property to a habitable state.
If a landlord has been unresponsive or negligent in addressing the infestation problem, poses a risk to their tenant’s health and safety, or refuses to compensate them for damages caused by the infestation, it may be necessary for the tenant to pursue legal action.
If the landlord fails to address the bed bug infestation, the tenant may be able to terminate the lease without penalty. They can also file a complaint with the local health department or the housing authority. In some cases, tenants may need to escalate disputes to small claims courts or hire legal representation to file a lawsuit against the landlord for breach of contract.
Disclaimer: All content provided here-in is subject to AAOA’s Terms of Use. Nothing contained on this website constitutes tax, legal, insurance or investment advice, nor does it constitute a solicitation or an offer to buy or sell any security or other financial instrument. AAOA recommends you consult with a financial advisor, tax specialist, attorney or other specialist who is able to properly advise you.
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Provided by Fair Housing Instutute
Technology has fundamentally reshaped the way property managers and their staff interact with residents. With new advancements in artificial intelligence (AI), many tools that properties use for payments and resident communication are being upgraded. These innovations offer efficiency and convenience but also raise important fair housing considerations.
Property managers must ensure these tools remain inclusive, accessible, and compliant with fair housing laws. In this article, we’ll explore how AI is reshaping communication and payments in property management—and how to navigate the risks while leveraging the benefits.
The Evolution of Communication in Property Management
AI-powered chatbots and automated messaging systems are becoming the norm, helping property teams respond to resident inquiries, process maintenance requests, and even screen rental applications. While these tools increase efficiency, property managers must be mindful of accessibility challenges and compliance risks, particularly under the Fair Housing Act.
AI-driven communication must be equitable and accessible for all residents, including those with disabilities. Over-reliance on automated digital tools could unintentionally exclude residents who require verbal communication due to visual impairments, speak languages not supported by AI systems, or have limited digital literacy or internet access. Ensuring fair housing compliance means offering multiple communication channels, regularly auditing AI tools for potential bias, and training staff to override AI responses when necessary.
Remember, you understand that compliance is non-negotiable, whereas AI is continually learning. A balanced approach allows property managers to take advantage of AI’s efficiency while maintaining fairness in resident interactions.
The Shift Toward Digital Payments
Property management companies are increasingly moving away from cash and check payments, instead encouraging residents to use online portals, digital wallets, and automated bank transfers. These systems streamline financial operations, reduce late payments, and provide residents with greater flexibility. AI-powered financial tools are now capable of predicting rent payment trends, sending automated reminders, and even offering customized payment plans based on resident behavior. The ability to automate these processes allows management teams to focus on more pressing concerns while maintaining smooth financial transactions.
Despite the benefits, digital payment systems present challenges that property managers must address. Many residents, particularly those from lower-income households, may not have access to online banking or credit cards. Others may rely on government-issued checks or prefer cash payments for personal reasons. When digital payments become the sole method of rent collection, these individuals may face unnecessary barriers.
To remain inclusive, property managers should ensure that multiple payment options remain available to meet the diverse needs of their residents. Moreover, AI-driven payment reminders and automated late notices must be carefully managed to avoid unintended pressure or harassment, which could lead to compliance concerns.
The Risks of AI in Property Management
As AI becomes more embedded in property management operations, it is essential to recognize the potential risks it introduces. AI systems are built on data, and if that data contains inherent biases, the AI may unintentionally perpetuate discrimination. This is particularly concerning in areas such as resident screening, maintenance prioritization, and customer service interactions. When AI is used to assess rental applications, there is a risk that it may favor certain demographic groups based on historical trends rather than making neutral, fair decisions. Similarly, automated maintenance scheduling may inadvertently prioritize certain buildings or residents over others based on flawed algorithms.
To mitigate these risks, property managers must take proactive steps to ensure that AI-driven processes remain fair and compliant. AI systems should be regularly audited to identify and correct any biases that may influence decision-making. Transparency is also critical, as residents should have a clear understanding of how AI is used in property operations, particularly when it affects their housing opportunities. Additionally, human oversight must remain a fundamental part of the process. While AI can enhance efficiency, it should never serve as the sole decision-maker in matters that impact residents’ rights and fair housing compliance.
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Implementing AI Responsibly in Property Management
Responsible implementation of AI requires a thoughtful and strategic approach. Property managers should work closely with technology vendors to ensure that the AI tools they adopt align with fair housing requirements. This includes understanding how the AI’s algorithms function and verifying that they have been tested for potential biases. Relying on third-party software without reviewing its compliance features can lead to unintended fair housing violations, making due diligence essential when selecting AI-powered solutions.
Equally important is the need for ongoing training. Property management staff must be educated on how AI tools operate and how they interact with fair housing laws. Regular training sessions can help teams recognize when an AI-driven decision may be problematic and when human intervention is necessary. AI should function as a support system rather than a replacement for human judgment, and staff members should feel empowered to override AI recommendations when fairness or compliance is at stake.
Continuous monitoring and adaptation are also essential. As AI technology evolves, so do its potential risks and benefits. Regular audits can help property managers assess whether their AI tools are operating as intended or if adjustments are needed to maintain compliance. By staying informed about advancements in AI and fair housing regulations, property managers can ensure that their use of technology remains both effective and ethical.
The Future of AI & Fair Housing Compliance
Looking ahead, AI will continue to play a significant role in property management, with advancements in predictive analytics, automated leasing, and personalized resident experiences. However, as AI becomes more sophisticated, regulatory scrutiny will also increase. Housing authorities and fair housing advocates are already paying close attention to how AI influences rental decisions, and new guidelines may emerge to address concerns about algorithmic discrimination. Property managers who stay ahead of these changes by proactively refining their AI strategies will be better positioned to navigate the evolving regulatory landscape.
The challenge moving forward will be balancing technological innovation with fair housing compliance. AI and digital payment systems offer undeniable benefits, but they must be designed and implemented in a way that enhances, rather than restricts, resident access and equality. The key to success lies in adopting technology responsibly, ensuring transparency, and maintaining a strong commitment to fair housing principles and training.
Conclusion
AI-driven communication and digital payment systems are revolutionizing property management, offering increased efficiency, cost savings, and improved resident experiences. However, these benefits come with the responsibility to uphold fair housing standards. Property managers must take an active role in ensuring that AI and digital tools do not create unintended barriers for residents. By maintaining multiple communication and payment options, auditing AI-driven decisions, and providing ongoing staff training, property managers can embrace innovation while fostering an inclusive and compliant housing environment.
As the industry moves forward, the most successful property management companies will be those that integrate AI and digital solutions thoughtfully enhancing operations while safeguarding the principles of fairness, accessibility, and equal opportunity for all residents.
This article was provided by the Fair Housing Institute.
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In our 100th episode of Your Landlord Resource, Stacie shares a deeply personal story of grief, caregiving, and loss—and how she and Kevin continued to self-manage their rental properties through one of the most difficult periods of their lives.
We’re not just talking about landlord tips today—we’re talking about how to stay grounded, motivated, and operational when life knocks you down. From caring for aging parents to managing tenant issues and unexpected emergencies, this episode is all about perseverance, preparation, and learning to keep your rental business running—even when your world feels like it’s falling apart.
If you’ve ever felt like walking away from it all, this episode is for you.
🧠 What You’ll Learn in This Episode
- How to manage rental properties when personal life takes over
- Why systems and standard operating procedures matter more than ever during crisis
- How Stacie and Kevin leaned on their partnership to keep the business running
- The importance of planning, communication, and flexibility as a self-managing landlord
- Why you should never make major real estate decisions during an emotional low point
- How rental income created flexibility during a family crisis—and why that freedom matters
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If you have good tenants who look after your property well, pay the rent on time, and don’t receive any complaints from the neighbors, you’ve won the jackpot!
Great tenants make your life easy but they can be hard to come by. So, it’s no surprise that you want to retain them long-term.
In this article, we will share our Landlord Checklist for high tenant retention rates and demand. We hope that it helps you secure great tenants who stick around for the long term.
The Benefits of High Retention Tenants
Here we’ll cover some of the benefits of high retention tenants.