A rent increase letter notifies tenants of an upcoming increase in rent. Typically, there is no limit on how much you can increase the rent if the property isn’t rent controlled. However, you should adhere to your lease and state landlord tenant laws. Generally, a tenant is given 60 days’ notice of the rent increase….
All Real Estate Investing Articles - Page 9
How to Rent a House in 7 Steps
Renting out a house can bring great financial rewards or significant pitfalls. This guide shows how to rent a house by being proactive. You will learn how to assess your property, decide if a management company is needed, price your rental, find and screen quality tenants, and how to protect yourself as a landlord. is…
Best Real Estate Investment Software 2019
Real estate investment software is used by residential and commercial real estate investors to help analyze an investment property. We reviewed more than 20 real estate software providers based on their cost, features, and reviews. Then, we chose 10 real estate investment analysis software to include in our list of the best options. How We…
Balloon Mortgage Calculator
A balloon mortgage is a loan that offers low initial monthly payments, and then a large portion of the principal is repaid in a lump sum at the end of the term. A balloon mortgage calculator helps you calculate your monthly mortgage payment, your balloon payment and the total amount of interest paid during the…
Top 15 Features of a Perfect Tenant Appreciation Letter
A tenant appreciation letter is written by landlords to welcome new tenants politely. These letters to your tenants should include other important details your new tenant needs to be reminded of, such as house rules and facilities. We spoke with the experts who shared the most important features of a perfect tenant appreciation letter. Below…
Rental Property Depreciation: Rules, Schedule & Recapture
Rental property depreciation is a process that real estate investors use to deduct the costs associated with purchasing and improving an investment property. Depreciation of rental property happens over the course of the property’s useful life as determined by the IRS’ depreciation method. This is important for investors because rental property depreciation helps maximize tax…
Top 18 Tips for Buying Land from the Pros
Buying land is hot in many markets right now, and it can be a good investment if it’s done the right way. Buyers need to learn from the pros to make the whole transaction smooth. We asked the experts for their best tips for buying land to help guide you in making the right decision….
Vacancy Rate Definition, Formula & Average
Real estate vacancy rate is the percentage of all units in one rental property that are unoccupied during a particular time. Vacancy rate is calculated by multiplying the number of vacant units by 100 and then dividing that by the total number of units in the building. The U.S. average vacancy rate is 7 percent….
Residential Rental Property Depreciation Calculator
How to Read Your Rental Property Depreciation Calculator Results Cost basis: This is the original purchase price of the property plus all closing costs; if you’re unsure of your closing costs, they’re typically 2 to 5 percent of the purchase price Averages of rental property depreciation: The useful life of residential rental property is 27.5…
Piggyback Loan: 80/10/10 & 80/15/5 Mortgages
A piggyback loan (aka second trust loan) is using two loans to finance the purchase of one house with less than 20 percent equity. The most common piggyback mortgage is an 80/10/10 loan. You’ll borrow 80 percent of the purchase price with a first loan, 10 percent with a second loan, and provide a 10…
Cap Rate vs. ROI vs. Cash-on-Cash Returns: A Real Estate Investors Guide
Real estate investors frequently use three metrics to measure the performance of an income-producing property: capitalization (cap) rate, return on investment (ROI) and cash-on-cash returns. It’s recommended to use all three to get the best understanding of a property’s potential rate of return. The ROI formula is annual return divided by total investment. When to…
20 Types of Tenant Scams Every Landlord Needs to Know
A number of tenant scams happen regularly, victimizing landlords who do not have effective procedures in place for screening renters, collecting rents, and writing the right contract. These scams can pose a great risk to the business. We spoke with the experts who shared the different types of tenant scams every landlord should know and…