Different generations of people have distinct values, lifestyles and communication preferences. And as property managers, we need to understand the perspectives of each group and adapt accordingly to best serve the tenants in our rental properties.

On this edition of Five Minute Friday, Bob walks us through the five generations a landlord or property manager might interact with, from Traditionalists to Generation Z, explaining why it’s crucial for us to recognize and accommodate generational differences.

Bob shares the characteristics of Traditionalists, Baby Boomers and Gen Xers, discussing why each group might be looking for a rental property and how they differ in terms of communication preferences. Listen in for insight around marketing to Millennials or Generation Z and learn how life experiences influence what a tenant is looking for in a rental property.

Topics Covered

[0:43] Why it’s crucial for a landlord to understand generational differences

[1:19] An overview of the five major generational groupings 

[2:07] The characteristics of a Traditionalist and why they might be looking for a rental property

[2:31] What to expect from Baby Boomers in terms of communication preferences

[3:23] The attributes of Gen Xers and when they might be in the market for a rental property

[3:53] What differentiates Millennials and what to consider in marketing rental properties to this generation

[4:34] How Generation Z has grown up using mobile devices and how that impacts the way they communicate

[5:21] Bob’s insight on the life experiences of each generation and how that influences what they’re looking for in a rental property + how they prefer to communicate

Connect with Bob 

North County Property Group

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Play Podcasts, Stitcher, Spotify, and YouTube.

Connect with Bob Preston
https://www.propertymanagementbrainstorm.com/

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Podcasts, Stitcher, Spotify, TuneIn, iHeart Radio and YouTube. 

Because the landlord verification process is so cumbersome, a surprising number of landlords and property managers take it lightly—or don’t bother with it at all! But what if there was a quick and easy way to verify a prospective tenant’s rental history?

Sherry McKillop is the Chief Operating Officer at LandLord Verification Online. Today, she joins Bob to explain why it’s crucial to complete a thorough landlord verification and walk us through the process of using her team’s service.

Listen in to understand what’s included in LandLord Verification Online’s 14-item questionnaire for past landlords, how the team addresses Fair Housing concerns, and what insights a receiving landlord can glean from the LLVO report.

Topics Covered

[2:26] How Sherry’s experience with poor tenants inspired LandLord Verification Online

[5:16] The turnaround time for landlord responses with Sherry’s service

[6:05] The process of using LandLord Verification Online

[8:30] The 14 fact-based questions landlords answer + how they certify that the information is accurate

[11:25] The turnaround time for landlord verification the old-fashioned way

[13:19] Why so many landlords and property managers don’t complete a thorough landlord verification

[14:33] How revealing landlord verification can be in learning about an applicant

[17:35] How to avoid Fair Housing concerns in the landlord verification process

[18:34] How LLVO handles unresponsive landlords

[21:10] What LLVO does to ensure that landlord references are legitimate

[24:38] How Sherry’s team generated the 14-item questionnaire 

[27:13] How LLVO is available to individual landlords and property management companies

[28:50] The correlation between verification reports and the tenant experience

[30:18] Why it’s risky to rely solely on a prospective tenant’s credit score

[31:36] Sherry’s personal story about her dad and Dictionary Safari

[34:27] The benefits of using LandLord Verification Online

Connect with Sherry

LandLord Verification Online

LandLord Verification FAQs

Connect with Bob 

North County Property Group

Email [email protected]

Resources 

Episode Transcript

Sponsors

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This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Play Podcasts, Stitcher, Spotify and YouTube.

Connect with Bob Preston
https://www.propertymanagementbrainstorm.com/

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Podcasts, Stitcher, Spotify, TuneIn, iHeart Radio and YouTube. 

As with any earnings, the rental income a property owner brings in must be reported to the IRS. So, what do property managers and homeowners need to know about reporting rental income and expenses on their federal and state tax returns?

On this edition of Five Minute Friday, Bob offers an overview of the tax implications of owning a rental property. He describes the landlord or property manager’s role in keeping accurate records, discussing the most common methods for tracking income and expenses and explaining what information is included on the 1099 North County Property Group submits to both the property owner and the IRS.

Bob weighs in on why the gross rental income listed on the 1099 differs from the total of owner distributions and walks us through the most common landlord deductions. Listen in to understand California’s requirements for out-of-state property owners and learn how an accountant uses the information provided by a property manager to prepare the owner’s federal and state returns.

Topics Covered

[1:02] The landlord or property manager’s role in keeping accurate records and supporting documentation for a rental property

[1:17] The most common methods for tracking income and expenses

[1:55] Submitting a 1099 that reflects gross rental income to both the property owner and the IRS

[2:14] Why the gross rental income listed on a 1099 doesn’t match the total of owner distributions

[2:41] Providing a year-end owner statement in parallel with the 1099

[2:50] How an accountant translates this information to the property owner’s federal tax return

[3:03] Why most landlords file a Schedule E as part of their Federal 1040 Tax Return 

[3:27] The most common landlord deductions

[4:06] The importance of saving receipts associated with landlord deductions

[4:11] Leveraging a tax-deferred 1031 Exchange to purchase additional properties

[4:37] California’s requirement for out-of-state owners to submit 7% of rent collected to the California Franchise Tax Board

[4:59] Why out-of-state property owners receive both a 1099 and 592-B

[5:16] The tax preparers responsibilities around the California State Return

[5:24] Bob’s advice on consulting with a professional tax advisor

Connect with Bob 

North County Property Group

Resources Mentioned

Microsoft Excel

Quicken

Quickbooks

Federal Tax Forms

California State Tax Forms

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Play Podcasts, Stitcher, Spotify, and YouTube.

Connect with Bob Preston
https://www.propertymanagementbrainstorm.com/

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Podcasts, Stitcher, Spotify, TuneIn, iHeart Radio and YouTube. 

So, you’ve shown a property and collected applications from prospective tenants. Though you may have a gut instinct around who is the best fit, it’s critical that you put ALL potential renters through a consistent screening process. What does that look like? 

On this edition of Five Minute Friday, Bob walks us through the process of establishing a set of criteria for screening prospective tenants. He shares North County Property Group’s published guidelines, discussing what questions to consider in terms of income requirements, proof of income and minimum credit score as you set your screening standards.

Bob goes on to address what considerations to make around previous evictions, bankruptcy, negative landlord references and pet restrictions. Listen in for insight into North County’s digital application process and automated screening for criminal record, credit and eviction history—and learn how we work with property owners to select the most qualified tenants for a given property!

Topics Covered

[1:09] Why it’s crucial to have a published set of criteria for screening prospective tenants

[1:32] Developing a screening process to determine if an applicant is a match

[1:46] North County Property Group’s rental criteria

[2:15] Bob’s advice on placing the Fair Housing Statement front and center on your application criteria

[2:25] Questions to consider re: income requirements and proof of income before setting your screening criteria

[3:13] Determining the minimum credit score that will qualify under your rental criteria

[3:57] Considerations around previous evictions, bankruptcy, negative landlord references and pets 

[4:25] Establishing a process for completing a rental application (i.e.: paper or digital)

[4:47] North County’s automated screening for criminal record, credit and eviction history

[5:02] Checking with previous landlords for rental references as well as verifying employment and cash reserves

[5:17] How North County works with owners to select the most qualified applicant for a given property

Connect with Bob 

North County Property Group

Resources Mentioned

North County Property Group Rental Criteria

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Play Podcasts, Stitcher, Spotify, and YouTube.

Connect with Bob Preston
https://www.propertymanagementbrainstorm.com/

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Podcasts, Stitcher, Spotify, TuneIn, iHeart Radio and YouTube. 

As part of our commitment to give back to the community, North County Property Group has forged a partnership with the local affiliate of Habitat for Humanity to provide safe, affordable housing for hardworking families in San Diego County.

Bridget Strickland is the Corporate Partnership Manager for San Diego Habitat for Humanity. Today, she joins Bob to explain how the organization provides home ownership opportunities for low-income families, walking us through the process of qualifying for the program and the sweat equity hours required of Habitat homeowners. 

Bridget describes how long it usually takes to complete a project, the size of a typical Habitat home, and the locations where the organization has built affordable housing in San Diego County. Listen in for insight around San Diego Habitat’s Neighborhood Revitalization initiative and learn how you can get involved by volunteering in any of Habitat’s locations around the world.

Topics Covered

[3:55] What inspired Bridget to join San Diego Habitat for Humanity

[4:56] The guiding principle of Habitat for Humanity

[6:46] How the organization creates home ownership opportunities for San Diego families

[7:45] How Habitat families agree to contribute sweat equity hours

[8:40] The process of qualifying to buy a home through Habitat

[11:15] How long it usually takes to complete a Habitat project

[11:55] The typical size of a Habitat home + how they integrate into the community

[12:29] The locations in San Diego County where Habitat has built affordable housing

[13:04] The global scope of Habitat for Humanity

[15:27] Volunteer opportunities at San Diego Habitat

[16:55] The history of San Diego Habitat + how it’s affiliated with the international organization

[17:35] San Diego Habitat’s Neighborhood Revitalization initiative

[23:03] How Bridget’s experience nearly losing her home informs her work

Connect with Bridget

San Diego Habitat for Humanity

San Diego Habitat FAQs

Connect with Bob 

North County Property Group

Email [email protected] 

Resources Mentioned

Episode Transcript

North County Corporate Responsibility Program

San Diego Habitat ReStore Locations

San Diego Habitat Volunteer Hub

Habitat for Humanity International

San Diego Habitat Neighborhood Revitalization

Bob’s new eBook, Best Practices for Renting Your Home, is available as a FREE download on the North County Property Group website at https://www.ncpropertygroup.com/ebook.

Sponsor

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This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Play Podcasts, Stitcher, Spotify and

Connect with Bob Preston
https://www.propertymanagementbrainstorm.com/

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Podcasts, Stitcher, Spotify, TuneIn, iHeart Radio and YouTube. 

When a new tenant moves in on the 15th of the month, it is only fair to prorate the rent—charging them only for the number days they occupy the unit. But there is a downside to charging a partial month’s rent at move-in. So, what’s the best approach to proration? How can we be fair to our tenants and meet our own financial obligations? 

On this episode of Five Minute Friday, Bob explains the standard practice of prorating the rent when a tenant moves in mid-month and shares an example of how prorated rent is calculated. He discusses how the first month proration system works and why it may leave you short as a landlord.

Bob goes on to introduce us to second month proration, explaining what tenants pay in the first, second and subsequent months under this policy and how it provides assurance that the tenant can afford a full month rent payment. Listen in to understand when a landlord might require both first and last month’s rent at move-in and learn which system we use here at North County Property Group!

Topics Covered

[0:39] The standard practice of prorating the rent rate for partial months

[1:09] How prorated rent is calculated

[1:34] How the 1st month proration system works

[1:46] Why the 1st month proration system may NOT be a good idea

[2:21] The 2nd month proration method

[2:29] What the tenant pays at move-in under the 2nd month proration system

[2:48] What the tenant pays in the 2nd month under the 2nd month proration system

[3:11] The special situations when a landlord might require both 1st and last month’s rent as well as a security deposit

[4:03] The benefit of using a 2nd month proration system

[4:37] Why North County Property Group prefers the 2nd month proration system

Connect with Bob 

North County Property Group

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Play Podcasts, Stitcher, Spotify, and YouTube.

Connect with Bob Preston
https://www.propertymanagementbrainstorm.com/

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Podcasts, Stitcher, Spotify, TuneIn, iHeart Radio and YouTube. 

What does it mean to get a property ‘rent ready’? Are we talking a fresh coat of paint? Replacing the carpet? New appliances? There are a number of things we can do to ensure a property shows well and puts its best foot forward, so to speak.

On this episode of Five Minute Friday, Bob explains what it means to make a property rent ready, describing the repairs, cleaning, deferred maintenance and upgrades that can make a rental more attractive to prospective tenants.

Bob goes on to discuss North County Property Group’s general contracting arm, sharing the benefit to having a database of reliable vendors and subcontractors. Listen in for Bob’s advice to homeowners renting a property for the first time and learn how to make a property safe, secure, livable—and rent ready!

Topics Covered

[0:38] What it means for a property to be rent ready

[0:49] The problem with listing homes as ‘coming soon’ for too long

[1:01] Doing repairs, cleaning and deferred maintenance to make a property rent ready

[1:12] Examples of common upgrades that make a rental attractive to prospective tenants

[1:29] Where to go for more information about adding value to a property with smart home devices or automation technology

[1:44] North County Property Group’s general contracting arm and maintenance company, MaintenanceSync

[1:19] North County’s extensive list of vendors and subcontractors 

[1:56] Examples of the various tradespeople you might need to help get a property rent ready

[2:30] How North County serves as the project manager on rent ready work for its properties

[2:39] How owners benefit from a property management team that does its own general contracting work (and vice versa)

[3:03] Bob’s advice for homeowners renting their property for the first time 

[3:28] The idea of a stabilization period when new tenants raise concerns over things homeowners had learned to live with

Connect with Bob 

North County Property Group

Resources Mentioned

Sean Miller on PMB EP0027

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Play Podcasts, Stitcher, Spotify, and YouTube.

Connect with Bob Preston
https://www.propertymanagementbrainstorm.com/

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Podcasts, Stitcher, Spotify, TuneIn, iHeart Radio and YouTube. 

What if you could predict a maintenance issue before it turned into an emergency? Property automation technology gives us the data to catch problems early on and be proactive—before a water heater leak turns into a flooded home!

Sean Miller is the CEO of PointCentral, the leading IoT platform for residential property managers. On this episode, Sean joins Bob to discuss the most common property automation devices, including smart locks, video doorbells and voice assistants. 

Sean introduces several of PointCentral’s hardware partners and describes how its technology benefits property managers, owners and tenants alike. Listen in for a high-level overview of PointCentral’s in-home hub and learn how you can drive operational efficiency via property automation.

Topics Covered

[2:50] How PointCentral helps property managers leverage IoT

[5:43] The difference between smart home technology and property automation

[6:48] The devices that fall into the category of property automation

[8:12] How PointCentral integrates with the Amazon, Apple and Google voice assistants

[9:55] PointCentral’s hardware partners and when the company builds its own

[11:57] Who PointCentral works with + how its technology benefits property managers

[14:48] How PointCentral benefits tenants

[17:47] How PointCentral benefits owners

[20:27] How PointCentral helps property managers prevent maintenance emergencies and improve efficiency

[23:26] An overview of PointCentral’s in-home hub + how it integrates with property management software

[28:16] The privacy concerns associated with video

[32:53] How PointCentral’s technology helps property managers do more of what they like

Connect with Sean

PointCentral

Connect with Bob 

North County Property Group

Resources Mentioned
Episode Transcript 

Tenant Turner

Linear Smart Garage Door

Chamberlain Smart Products

Rachio Smart Sprinklers

SkyBell Video Doorbell

California Consumer Privacy Act

The new eBook, Best Practices for Renting Your Home, has been recently published by Bob Preston and is offered as a free download on the North County Property Group website. Find it at this weblink and download for free! https://www.ncpropertygroup.com/ebook

Sponsor

Get 10% off all orders at Shelving.com with coupon NORTHCOUNTY or at the link below through 12/31/19. Let Shelving.com rack your world!
Shelving.com/NORTHCOUNTY coupon link

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Play Podcasts, Stitcher, Spotify and YouTube.

Connect with Bob Preston
https://www.propertymanagementbrainstorm.com/

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Podcasts, Stitcher, Spotify, TuneIn, iHeart Radio and YouTube. 

Yes, property owners want to maximize their rental income. But if you set the monthly rent too high and the unit stays empty, no one generates any revenue at all! So, how do you decide on a monthly rental rate that keeps the property owner happy AND competes in the local market?

On this episode of Five Minute Friday, Bob explains the importance of correctly setting the monthly rental rate for a property. He discusses how the real estate market is influenced by supply and demand, location, amenities, and seasonality, offering insight around using ‘market comparatives’ to determine the rental rate for a given property. 

Bob goes on to share how sites like Zillow have made prospective renters savvy to fair market value, what that means for property owners, and how North County collaborates with owners to set the monthly rental rate for a property. Listen in to understand how time of year impacts the monthly rental rate and learn how to adjust the rental rate if a property is not generating significant interest.

Topics Covered

[0:00] Why the monthly rental rate is one of the most important decisions to make about a rental property

[0:10] How the market ultimately decides the monthly rental rate

[0:18] How the real estate market fluctuates based on supply, demand, location, amenities and seasonality

[0:32] Using ‘comps’ as a benchmark to set the rental rate for a property

[0:54] How prospective renters have become savvy to fair market value + what that means for owners

[1:19] How North County Property Group collaborates with owners to set the monthly rental rate for a property

[1:34] What to consider if a nearby rental is set at a lower monthly rate 

[1:54] How time of year impacts the monthly rental rate

[2:25] How the response we get to a listing in the first week tells us if we’ve set the rent rate correctly 

[2:42] How North County initiates rent reductions if a property is not generating interest

Connect with Bob 

North County Property Group

Resources Mentioned

Zillow Zestimate Tool

Best Practices for Renting Your Home: Learn the Pitfalls and Safety Nets from a Pro can be found at https://www.ncpropertygroup.com/ebook.

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Play Podcasts, Stitcher, Spotify, and YouTube.

Connect with Bob Preston
https://www.propertymanagementbrainstorm.com/

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Podcasts, Stitcher, Spotify, TuneIn, iHeart Radio and YouTube. 

The idea of generating passive income through a rental property sounds pretty terrific. But the reality is, being a landlord is not as passive as you might think. Renting your home is equivalent to running a business, and there are a number of responsibilities that come with it. So, what do you need to consider before becoming a landlord? And what are the best practices for renting your home? 

On this episode of Five Minute Friday, Bob walks us through the main topics covered in his new eBook, Best Practices for Renting Your Home: Learn the Pitfalls and Safety Nets from a Pro. He explains why NOW is an attractive time for real estate investors to enter the rental market, describing how a rental property has the potential to both generate cashflow and appreciate in value. 

Bob goes on to cover the many obligations and responsibilities of being a landlord in terms of compliance, maintenance, record keeping, insurance and 24/7 responsiveness. Listen in for insight around what questions to ask yourself before renting your home and learn how a property manager can help you enjoy the benefits of being a landlord—without having to answer tenant complaints at 3am!

Topics Covered

[0:46] How to access Bob’s new eBook, Best Practices for Renting Your Home: Learn the Pitfalls and Safety Nets from a Pro

[1:28] Why now is an attractive time for real estate investors to enter the rental market

[1:51] How being a landlord is equivalent to running a business

[2:08] The #1 question to ask yourself before renting your home

[2:30] The landlord’s obligation to be on call 24/7 to respond to tenant complaints, maintenance requests and emergencies

[2:45] The option to hire a property manager to take on most of your responsibilities as a landlord

[2:56] The concept of leverage + how a rental property can both generate cashflow and appreciate in value in a strong market

[3:38] Additional obligations a landlord must fulfill in terms of legal compliance and property maintenance

[4:00] What is required of a landlord when it comes to accurate accounting and record-keeping 

[4:17] Making sure your rental property is properly insured

[4:29] Why it’s crucial to advertise a property and speak to prospective tenants in a way that recognizes Fair Housing Laws

[4:56] Where to go for more information about best practices for renting your home

Connect with Bob 

North County Property Group

Resources Mentioned

Best Practices for Renting Your Home: Learn the Pitfalls and Safety Nets from a Pro can be found at https://www.ncpropertygroup.com/ebook.

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Play Podcasts, Stitcher, Spotify, and YouTube.

Connect with Bob Preston
https://www.propertymanagementbrainstorm.com/

This episode is always available for listening, sharing, or download at Property Management Brainstorm. Subscribe to Property Management Brainstorm on Apple Podcasts, Google Podcasts, Stitcher, Spotify, TuneIn, iHeart Radio and YouTube.