Archive for the ‘book reviews’ Category

The 5 Rules on How to Lose Money and Get Your Rental Property Trashed by Tenants

Friday, August 10th, 2012

The Arizona Network of Real Estate invited me to give a presentation to their group about my book “Fix em Up Rent em Out.”

I thought the video might be available to the general public but it looks as though that’s not going to happen.

However, so that no one feels left out, I am going to provide  a summary of the key points that I hit during the presentation. As someone who was regularly picked last for teams in gym class, I’m sensitive to people feeling left out. Casting modesty to the wind, I am also including exclusive photos of the event.

So here are:

The 5 Rules on How to Lose Money and Get Your Rental Property Trashed by Tenants (based on an article by Andrew Stefanczyk)

1. Choose the Worst Possible Area

Location will determine the kinds of tenants you will attract, and how much rent you can fairly charge.

Do you want these bearded wonders as tenants?

The best approach is to identify target areas in your city where you would like to focus your purchases. I like to focus on “transition zones” (where there is a mixture of housing types) which are good for investors because we can purchase properties at lower prices, and there is high demand to live in these areas.

2. Put in the very best of things when fixing up  an investment property

Use new and expensive sinks, doors, refrigerators, light fixtures, etc. Never shop at stores that recycle construction supplies. Spare no  expense.

Of course, the problem is that tenants will not take care of our properties as well as we would,

Habitat Store

so we end up with many broken or worn out items. The better alternative is to shop at used building supply stores, and to purchase good, inexpensive, supplies for our rental houses. One such store is the Habitat for Humanity store.

3. Make sure you have absolutely no experience in make basic repairs

Not knowing how to change electrical outlets, unclog drains & toilets, and replace broken windows will cost quite a bit down the road.

The better way is to:

A. Learn as you go, and comply with EPA regulations

B. Take construction classes at junior college

C. Learn from handymen and contractors

D. Take the Zen approach to  house repair learn to do everything yourself

5. Utilize fix-up books, investing books, & YouTube to find answers on how to make house repairs

4. Do not screen your tenants

Being as uninformed as possible about who you rent to may be the best way to lose money as a landlord. Do not ask for or check references. Do not call previous landlords and ask questions like, did they pay rent on time? How was the condition of the house or apartment when they left? Did they ever disturb neighbors with loud music or shouting matches? How often would you have to make special trips for repairs? Being as uninformed as possible about whom you rent to will make a huge difference and will increase the chances that you will get tenants that will trash your property and refuse to pay rent.

However, the better way is to:

A. Use a checklist for tenants. Decide what kind of tenant that you want ahead of time.

B. Look at their paycheck to verify income.

C. Check county records to see what illegal activities they’ve been up to.

D. Know the Fair Housing Act. Never select tenants based strictly on “race, color, national origin, religion, sex, familial status or handicap (disability).”

E. To find new tenants, use Craiglist, put up arrow signs, and host an “open house.”

5. Make sure you have not learned about your rights as a landlord

Be completely unfamiliar with the eviction process to guarantee long, drawn out disputes with tenants. Don’t keep up to date financial records or copies of correspondence with tenants. Most states provide online information about tenant and landlord rights so avoid reading these.

The better way is:

A. Get an authoritative legal guide like  “The Arizona Landlord Deskbook” by Carlton Cassler.

B.  Copy forms and letters from your legal book to send to tenants.

C. Comply with legal ways to deal with bad tenants.

D. Use memos to communicate with tenants so you have a record of correspondence.

E. Use a month to month lease instead of long-term lease to more easily scrape off bad tenants like barnacles.

F. Reward tenants for paying on time by discounting their rent $25.  

G. Send good tenants Target  gift cards for Xmas.

In Conclusion

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“Each of us has cause to think with deep gratitude of those who have lighted the flame within us.”

–Albert Schweitzer

Carve Out Your Niche Update

My award-winning book on self-publishing, Carve Out Your Niche, is now available in Kindle format.

The Midwest Book Review called Carve Out Your Niche,

“Invaluable for anyone seeking to successfully write, publish, and market their own work.”

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How to Prepare a New Rental House for Tenants (video)

Sunday, December 12th, 2010

Get your rental house ready for tenants by following my 5 steps.

I also recommend four of my favorite repair books for your real estate library to guide you through the process of repairing appliances, sinks, electrical outlets, and almost any other repair issue that you may encounter.

 

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Remove that Garbarge Disposal Now!

Fixer Jay Webpage Worth a Look

Friday, June 20th, 2008

Fixer Jay

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One of my favorite real estate investing authors, and someone who has inspired me in my own  fixer upper house business, is Fixer Jay DeCima. He has a very informative webpage at www.fixerjay.com. I regularly check out his blog posts located on the website.

As I have mentioned before, I think Jay’s books are exceptionally good guides to learn about the fixer-upper business.

Here is a review I wrote about Jay’s latest book:

Start small, profit big in real estate

The Quickest Way to Lose Money

What is the quickest way to lose money in real estate?

Find out in my latest ezinearticles.com article.

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Book Review of "The 4-Hour Workweek"

Saturday, April 26th, 2008

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Ever wonder what it would be like to trade your 8-5:00 job in for a 4-hour workweek job?

Is it really a feasible option, or just wishful thinking?

The book follows many of the principles used in establishing a fixer upper house business.

To find out, see my review of Justin Ferriss’ book “The 4-Hour Workweek” at ezinearticles.com.

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Book Review of "Upside Up Real Estate Investing"

Monday, April 21st, 2008


Upside Up Real Estate Investing: Successful Strategies to Make Money in Any Market is a real estate investment book that not only covers the basics with exceptional style and insight, but also brings new wrinkles to the table. “Upside Up” is just such a book. Not surprisingly, the book is written with depth and insight by an investor who has a profound knowledge of his field.

Its a useful book to anyone in the fixer upper house business.

Follow this link to see my complete ezinearticles.com book review.

Other recommended articles:

Calculating Depreciation for Residential Real Estate Investments at twowiseacres.com.

Is the Time Right to Invest in Real Estate? Chicken Little vs. PollyAnna at biggerpockets.com.

Back on the Market at rentalrus.blogspot.com.

What I’ve Learned from my Rental Property at wealthisgood.blogspot.com.

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Best new books list, new review of "Fix em Up," and chance to win FREE book

Sunday, December 23rd, 2007

For your holiday reading enjoyment, here is a link the the Best New Real Estate Books list that I posted on Amazon.com.

Also, many thanks to Connie on conniebrz.com for her review of my new book on her blog.

For any one interested in winning a free copy of “Fix em Up, Rent em Out,” ChristianPF is having a drawing, but you must enter before midnight, Dec. 24th. You can register to win and get more details here.

Best wishes for a happy holiday!

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