Whether you’re welcoming new tenants into your property or you’re a new tenant making a move, summer is a less than ideal time to move in the Houston area. In August, days average 93 degrees Fahrenheit, while July tends to be wet, averaging over 5 inches of rain. In fact, Houston weather is so tough to tolerate in the summer that many property owners find that rentals slow down in the summer. That’s why, when tenants make that big move during difficult weather, it’s always nice to offer some support.
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Section 8 housing is a federal program administered at the local level and is key to providing affordable housing to low income Americans. For those who qualify, this program can be life-changing, providing a stable home environment, giving children a safe place to grow up, and even helping them access a higher quality education. In order for Section 8 to function, though, landlords have to sign up qualifying properties for the program and accept vouchers from tenants – and this is where problems arise.
Maintenance and emergency repairs are major issues for landlords and property managers, and even if you have a list of repair professionals at the ready, managing requests and scheduling appointments can quickly take over your schedule. That’s why you need help. Luckily, a growing number of programs aim to support property management professionals in managing these tasks. From the most mundane maintenance problems to sudden crisis situations, these tools can help you set things right.
In a conventional mortgage, you’ll be required to put down at least 20 percent when buying a home. However, many people are unable to produce the full 20 percent, particularly in Houston where the average home price is $300,000, well above the national average.
Thankfully, there are programs and opportunities for taking out a mortgage with a down payment of less than 20 percent. You can apply for an FHA, VA, USDA, Fannie Mae, or Freddie Mac loan. There’s also the 97 conventional loan, which requires a down payment of just three percent.
It’s hard to convince potential tenants that bigger isn’t always better. The average tenant wants more space for the price, even if it means a little extra upkeep on their part. If you have a rental with very small rooms, it can drive tenants away. You might have a difficult time filling vacancies and retaining tenants.
It’s probably not worth the expense and hassle of building an addition on a property you’re just planning on renting, but that doesn’t mean you can’t attract tenants. There are ways of making a room look bigger and more appealing if you’re willing to put the time and energy necessary into staging the property.
Real estate makes an excellent investment because you can leverage funds from other sources to make your purchase. However, you won’t find any mortgage lender who will fund your investment if you don’t put money down first.
Your down payment is a sign of good faith that you’ll make your payments and bring in a profit. Therefore, it’s typical for a lender to ask for 20 percent. Some commercial lenders may even require 25 percent.This number tends to frighten real estate investors who are concerned about coming up with 20 percent. The average home price in Houston is around $300,000. That means you’ll need $60,000 in cash to meet the 20 percent requirement, which is a significant sacrifice on your part.
Selling a home can be a stressful process, especially if you’ve never sold a home before. Not only will you have to deal with high-level decisions like pricing the home accurately and marketing the home the right way, but you’ll also be dealing with the anxiety of a pending home sale—which might or might not turn out in your favor.
Fortunately, homeowners have the option of working with a real estate agent, who can simplify the bulk of the process and make sure the homeowner gets the best possible deal. But what exactly should a new homeowner expect from their real estate agent when selling a home?
Being a landlord seems like an easy way to make money, assuming you have the capital, some knowledge on real estate trends, and enough time to actively manage your property. But there are a number of obstacles that new landlords face when entering the real estate market for the first time. Among them, landlords frequently struggle to make their income consistent; some months, the rent you collect will far exceed your monthly expenses, resulting in a hefty net profit. Other months, you might end up in the negative.
Buying a home is an exciting journey, and one that you’ll get to pursue once you reach a few important financial milestones—including saving up enough for a down payment, and budgeting for the monthly expenses of home ownership. However, when shopping for a new home in Katy, Texas, you might be surprised to find out there are peripheral, secondary, and additional expenses you’ll need to face to finalize your home purchase.
None of these expenses has the power to compromise your ability to buy a home, but they could jeopardize your financial plan, or make it harder for you to achieve your other financial goals. If you’re prepared for them, you can make plans to deal with them effectively.
You’ve got two choices as a real estate investor: manage your own properties, or hire out the service to a property management company. Both options are valid, but the option that’s correct for you will depend on various circumstances.