Investing in properties outside of your own market is a great way to diversify your portfolio and increase what you earn. If you’re living outside of Chula Vista but you have rental homes in this market, you’ll want to make sure you’re working with a local property manager who can help you lease, manage, and maintain your investments.
We work with a lot of non-local investors and property owners, and we’ve learned that these are their top 5 concerns.
1. Communicating with Property Managers
Communication is a huge concern for out-of-state owners and investors. This is understandable. You’re miles and miles away from your rental properties, but you want to know they’re safe, occupied, and in good condition. You can’t drive over there yourself.
This is why it’s so important to work with a management company that’s experienced with owners who live out of state or even out of the country. We place a lot of value in communication, and we’re responsive when you call and send messages. We will include photos in all our inspection reports so you can get an accurate look at how your property is performing. We offer online portals so you can easily access accounting statements, maintenance invoices, and other documents.
2. Protecting Property Conditions
The condition of your property is important to you; it impacts the value of your asset and the experience your tenants are having. You’ll want to make sure your investment is protected with:
- Frequent and detailed inspection and walk-through reports.
- A strict tenant screening process.
- Preventative maintenance and responsive routine repairs.
- 24-hour accessibility for emergencies.
Your property manager will need to over-communicate with you when you’re living outside of Chula Vista and a repair is needed.
3. On-Time Rent Collection
Getting paid on time is important to all rental property owners. When you’re outside of the immediate area, you want to know that there’s a policy in place to ensure rent is collected on time. Talk to your property managers about their rent collection policy. Ask about the consequences of late rent and what they do to prevent eviction.
When you’re living outside of California, you cannot serve a notice or file a lawsuit for eviction. Make sure you are working with a Chula Vista property management company that has a process in place for on-time rent collection and if necessary, eviction.
4. Reducing Vacancy and Turnover
Keeping your property occupied is always a concern, but when you’re outside of the area, it seems to take on a new urgency. Vacant properties are not only losing money, they’re also a potential target for criminals who see an unoccupied home as an opportunity.
An out-of-state owner will want to know their rental property is being protected even while it’s vacant. This might mean an additional security system, upgraded exterior lighting, and the occasional drive-by or visit from their Chula Vista property manager.
Tenant retention and fast, effective leasing processes can also protect you from vacancy. When you cannot control the marketing, leasing, and screening process yourself, make sure you’re working with a management company with a reputation for keeping vacancy and turnover rates low.
5. Understanding California Rental Laws
You don’t have to live in California to know that the state has some of the most restrictive laws when it comes to rental properties. It’s a tenant-friendly state, and many owners who don’t live here but do own rental property here are concerned about the recent laws that impact how the rent is raised and when tenants are evicted. You want to make sure you have a Chula Vista property management team that keeps up with all the new laws as well as the changing to existing laws such as tenant screening, Section 8, fair housing, and security deposits.
These are the five most common concerns that our out-of-state investors have. If you’re looking for a bit more peace of mind for your rental properties, we can help. Contact us at Encore Realty.