Whether you’re a new landlord or are an experienced real estate investor, it’s still possible to make mistakes when renting your property. Being a landlord can be just as challenging as managing any other business. We spoke to the experts who shared their best landlord tips to help guide you along the way. Below are…
Sample Rent Increase Letter [+Free Templates]
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….
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…
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…
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…
Rental Property Calculator: Rent, ROI, & Cash Flow
A rental property calculator helps a property owner determine the return on investment, cap rate, and cash flow on a rental property. Inputs you’ll need include property value, monthly income, property expenses, and vacancy rate. Investors typically use a rental income calculator to evaluate a potential rental property and decide if it’s a good investment…
Buy-and-Hold Real Estate Investing: The Ultimate Guide
Buy-and-hold real estate investing is the purchase of rental property with the intention of holding it for a long period. It is the most common real estate investing strategy, with investors expecting to receive monthly rental income and future appreciation. A good return on investment (ROI) on buy-and-hold real estate is 9 percent or more…
25 Rental Property Expenses Investors Can’t Afford to Forget
Investing in a rental property is a great way to earn a passive income, but there are a number of costs associated with buying and managing rental properties that should be included when you calculate your returns. We spoke with industry experts who shared the most important rental property expenses landlords can’t afford to ignore….
26 Expert Tips for Buying Multifamily Real Estate
A multifamily real estate property is a great investment because you can rent it out to generate income or sell it as a fix-and-flip to earn an immediate profit. However, multifamily real estate can be risky if you don’t know what you’re doing. Follow the tips from industry experts below to minimize your risk. Below…
How Much You Should Charge for Rent
The monthly rent you should charge is usually calculated as a percentage of your property’s value. An aggressive rule of thumb says rent should be about 1% of the property’s value, although a more realistic range is between 0.5% to 0.8%, dependent on your location and amenities. This formula is used for long-term rentals. To…
Rental Property Insurance: Providers, Costs & Coverage
Rental property insurance protects landlords against liabilities caused by tenants, other perils caused by weather damage and other potential losses like crime. Most national insurance providers offer rental property insurance to help protect your rental income. Typically, an average policy on a $200,000 rental property costs $1,473 to $1,596 per year. Rental Property Insurance Providers…