Planning For Repairs in Phoenix, AZ
July 6, 2018
In this week’s Austin Fleck Property Management blog post, we are continuing our Planning Series with a look at the need to plan for repairs of a single family home for rent. We will address four main repair concerns that you as a rental property owner need to anticipate. As always, if you fail to plan, you plan to fail.
Is this Going to Hurt?
Remember when you were a child and had to go to the doctor to get a shot? The fear of pain was worse than the pain itself, and the benefit of the injection far outweighed any downside of experiencing the pain. It’s not so different with home rentals and the repairs involved. The truth is, there WILL be repairs, but the question is, How much will they cost? You need to know how much to set aside from each month’s rent for maintenance and upgrades to the property. Each rental home will have differing needs, depending on the overall condition of the home, the age of the home, the quality of the construction and appliances, how mindful the tenants are to treat the home with reasonable care, and so on. But as an average, plan on setting aside somewhere between one to three percent of the rental price each month. You can set this money aside and still allow it to work for you by placing it in a liquid financial account such as a money market, where it can earn interest and be available when you need it.
After one tenant leaves and before the next tenant moves in, you will want to inspect the home to see what is needed in order to bring it up to the standards that will reflect its projected rental cost—and therefore, its investment value. How is the plumbing? Is the roof still in good shape? How are the floors: do the hardwood floors need to be refinished, or do any rooms need new carpeting? Does the HVAC system work at peak efficiency? Does the home need to be repainted and freshened up? Could the landscaping stand to be improved? At the very least, the house will need a good professional cleaning. Keeping your single-family rental home in top condition is a great way to add to the value of your investment.
What About the BIG ONE?
In California, earthquakes are not uncommon, so smart people are earthquake prepared. In the Phoenix area, earthquakes are rare, but other natural disasters have made Arizona one of the riskier places to live. The big three are thunderstorms, flash floods, and dust storms. We’ve discussed insurance in another blog post recently, but it bears repeating: make sure you have Landlord Insurance, and be certain every tenant has adequate Renter’s Insurance.
The Doctor Is In
In the case of emergency repairs, if you’ve got a single family home for rent, you are likely to be contacted at any time of the day or night. There is no planning for this, except perhaps, keeping your rental properly maintained so that unexpected incidences are kept to a minimum. But there’s another great option if your rental is located in the Phoenix Valley, and that’s to let Austin Fleck Property Management of Gilbert AZ, take care of your single family home maintenance issues for you. That way, when something goes wrong at 3:00 AM, we get the call: you don’t. Like good doctors who take care of their patients, your tenant needs to know their needs will be met in an efficient and timely manner. When you let us do the work for you, we’re on call 24/7 so you can rest easy, have peace of mind, and sleep soundly. And that’s good medicine for everyone!