Real Estate as an Investment
If you have purchased real estate as an investment, you have taken one of the first steps to establishing long term wealth and create additional income. Over time real estate has historically proven to be a wise investment.
However, the responsibilities of being a landlord can be demanding and in today’s fast paced world many people just do not have the time to properly manage their income producing property. Keeping up to date with laws and regulations relative to the tenant landlord relationship present even a greater challenge. For this reason alone, many investors seek the assistance of a professional property management company. Additionally, many landlords underestimate the time and resources required to properly manage their investment.
Dale Robbins Realty understands these requirements and I am specifically trained and qualified to manage income producing property which will ultimately help you reach your goal of success in real estate as an investment. My goal is to exceed your expectations with regard to managing your property. Through proven methodology and standard processes you will have the assurance you need that your investment is in good hands and being managed by a qualified confident professional.
As a full service real estate brokerage, Dale Robbins Realty offers more than just property management. I can also provide assistance and counseling in searching for other income producing properties.
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For my investors, make certain that your investment is earning you every dollar possible and that the brokerage firm fully understands the following investment principles. This will ensure that your property is a good investment. Remember a good property does not always mean that it is a good investment. It has to be both. Dale Robbins Realty can assist you in every step of the way to help you reach your investment goals while allowing you time to enjoy your wealth.
Four Financial Benefits of Owning Real Estate
1- CASH FLOW – After you have paid all of your expenses and loan payments, cash is the money you have left over.
2- PRINCIPAL REDUCTION – The loan is paid down by the tenant.
3- INCOME TAX SAVINGS – The IRS allows property owners to take depreciation deductions, which shelter the cash flow and principle reduction. Any leftover depreciation creates a paper loss, which, in many cases, can be used to shelter other income – such as a salary from your job.
4- APPRECIATION – Over time, the property increases in value.
Financial Principles of Owning Real Estate
1- Return on Investment with Appreciation
2- Return on Investment without Appreciation
3- Gross Rent Multiplier
4- Capitalization Rate
5- Cash on Cash return
6- Return on Equity
My Management Services Include
- A thorough background and credit check on all tenant applications.
- Income verification requiring a copy of paystubs or bank statements.
- Initial move-in inspection of the property with the new tenant. Photos may be taken at the owners request for documentation purposes.
- Preparation and negotiation of standard leases and all pertinent documents in compliance with municipal, state and federal laws.
- Collection of rent from the tenant.
- Sending delinquency notices to tenants and actively pursuing past due rents.
- Provide monthly financial statements to the property owner itemizing income and expenses.
- Interaction with the tenant and inspect the property annually and provide a written summary report.
- Contact the tenants to discuss and resolve any maintenance issues.
- Confirm the maintenance issues prior to any repairs.
- Final move out inspection of the property with the tenant upon termination of the lease.
- Annual financial reports for the property.