Property Management
Our process is simple – we focus on treating everyone well. The homeowner is our client and so is our tenant, so it behooves us to treat everyone fairly. In addition, we like to keep things simple, easy to read and understand. Our fee structure is the most straightforward you will find. We charge only 12% of the rent as it is collected, and only when the rent is collected. We feel by doing so we have created a strong team with all of our homeowners. We don’t get paid if your home is vacant. In addition we don’t tack any of the additional fees other company’s like to use. We don’t charge a Leasing Fee, Marketing Fee, Advertisement Fee, Upfront New Client Fee, Contracting Fee, Sign Placement Fee, etc. We have found that a simple fee structure benefits everyone.
Here are a few figures and statistics the keep in mind:
Our homeowner’s monthly rental proceeds are transferred from our bank account the same day we receive the rent.
In the last few years we’ve gone to a completely paperless system. Each of our owners are emailed a monthly statement with a full financial breakdown, that includes year at a glance accounting. It is a very easy to read statement, similar to your checking account statement. We are very proud that a number of our client’s accountants and financial planners applaud us for our accounting system. At the same time the money is transferred directly into our homeowners’ accounts so there is no waiting for their proceeds. If we receive the rent for your home on the 1st it will be transferred into your account that day and is typically available the following day. Each account is treated separately and handled individually. We know how important it is for all of our clients to received accurate accounting and their funds in a timely manner.
Our vacancy rate is less than 2%.
While we feel we are the best property managers in the Valley, we know we aren’t the largest. Coincidentally that works in our favor. We’re a small family run business, which means we are all invested in succeeding. No one in our company ever heads out the door at the end of the day without completely finishing their work. It also means when we have a vacant home it is typically the only one, or one of only a handful which means it gets more individual attention and ultimately gets rented to the right tenant faster.
Our average tenant stays in our rental homes for a little more than four years.
With more than 30 years of property management experience in the Phoenix Metropolitan Area we know what we’re doing. We’ve come to learn there are better indicators than credit score when it comes to what makes a great tenant.
We have found that there are really only two major qualities we are looking for in a tenant. One is the ability to pay the monthly rent and two, how they treat their home. When a prospective tenants first submits an application for one of our homes we ask for paycheck stubs and their employer’s phone number to ensure they make enough money to afford the rent. When we have verified their income we make an appointment with the prospective tenant and visit them at their current home. The time we spend at a prospective tenant’s home is extremely valuable. Besides the obvious indicator of how they maintain their home, having a cup of coffee with our new tenant, answering their questions, developing a positive relationship creates a strong bond.
All too often companies will look at a potential tenant’s credit score and use it to disqualify them for a home. Quite a few of today’s tenants were homeowners yesterday and for one of several very legitimate reasons lost their home to foreclosure. As a result their credit has taken a hit, but they still have the ability to pay the rent each month and the strength of character to care for the home like it was their own. Anymore the only reason to run a credit check is to help justify charging an application fee.
We don’t charge application fees and we never will.
We see our job very clearly – we are hired to find the best possible tenant for your home. We were not hired to find ways to generate additional income at the expense of a vacant home. We believe that by charging an application fee besides reducing the number of applicants we are starting a important relationship off on a bad foot! Some property managers try to justify application fees but ultimately there is no excuse – application fees exist for property managers to make money while your home sits vacant. Many potential tenants refuse to pay application fees, so by charging them a non-refundable fee, a property manager is doing a disservice to all of his clients while looking out for himself. As a result the home owner is getting less exposure for his home, and the tenant is charged at least $45.00 for a service that appears to be dishonest.
The crazy part of this system is that by charging application fees a property manager’s priorities change. It is no longer in his best interest to put the right tenant in his clients’ home, it’s in his best interest to keep the home vacant in order to keep collecting application fees.
More than 90% of our tenants pay on time or early each month.
We’ve found this is a byproduct of our tenant selection process. By verifying that the tenant makes enough income to pay the rent we’ve minimized the risk of the tenant not being able to pay the rent on time. We believe in strength of character and feel that how someone treats their residence is an accurate barometer of character and responsibility. As a result of tenants paying on time and our timely bank transfers nearly all of our owners have their rental proceeds immediately at the first of the month, not days or weeks later.
And perhaps the most telling statistic of all – nearly 20% of all of our tenants came to us as referrals from our other tenants.
No one enjoys getting screamed at for one reason or another. Instead we treat everyone warmly and with a smile – and typically we get one in return. We also try to make sure each of our tenants feel like their house is their home – and in turn most of them treat them as such.
While a 20% referral rate may seem low, its unheard of in property management. Throughout the industry that number is typically zero – most people aren’t happy with their landlord. Meanwhile 1 in 5 of our tenants enjoy working with us enough to recommend us to family, friends, and coworkers.
