“How much money is left after expenses?”

And while that’s important, focusing only on cash flow can actually distort your understanding of your property’s real performance and value.

In this video, we’ll break down why cash flow is just one piece of the puzzle —
and how professional management helps you see the whole picture of your investment’s true return.

WHY CASH FLOW ISN’T THE WHOLE STORY 

Let’s be honest — every investor loves positive cash flow.

It’s tangible, easy to track, and feels good every month.

But real estate is unique because most of your returns happen quietly — behind the scenes.

If you only look at your monthly cash flow, you’re missing out on the bigger picture:

• Principal reduction (your tenants are paying down your mortgage)

• Appreciation (your property’s value increasing over time)

• Tax benefits (depreciation, write-offs, and long-term capital gains treatment)

Cash flow is the income today —
but wealth in real estate is built through everything else.

THE 4 WEALTH DRIVERS 

At Centurion, we teach our clients to think in terms of total return —
what we call the Four Wealth Drivers of Real Estate:

1️ Cash Flow: The monthly income after expenses.
2️ Appreciation: The natural and forced growth of value.
3️ Principal Reduction: Each rent check pays down your loan.
4️ Tax Advantages: Depreciation and deductions that boost net return.

When you add all four together, the true return on your property is often far greater than what your cash flow number alone shows.

A property that looks “break-even” on paper might actually be earning 10–15% total return per year once you account for those other factors.

THE DANGER OF CASH FLOW OBSESSION 

Here’s where investors can get stuck:
chasing high cash flow properties without looking at long-term performance.

A property in a cheaper market might cash flow better short term —
but it could appreciate slower, attract lower-quality tenants, and carry more maintenance risk.

Meanwhile, a well-managed property in a strong market might show modest cash flow now,
but gain hundreds of thousands in value over time.

Focusing only on monthly income can blind you to real wealth creation.

HOW PROFESSIONAL MANAGEMENT HELPS YOU SEE THE WHOLE PICTURE 

At Centurion Real Estate Management, we help our clients see the full financial performance of their portfolio.

Our owner reports, annual reviews, and asset management tools don’t just show cash flow —
they show appreciation, debt reduction, and long-term return on equity.

Because understanding your property’s true performance is the key to making smarter investment decisions.

So if you’ve been judging your property only by cash flow — it’s time to look deeper.

Wealth in real estate isn’t built in a month — it’s built over years.

What Is Cash Flow in Real Estate?

In simple terms, **cash flow** is the money left over after all the expenses on your rental property are paid. That means:

Cash Flow = Rental Income - Operating Expenses

These expenses include:
- Mortgage payments
- Property taxes
- Insurance
- Maintenance
- Property management fees
- Utilities (if applicable)

If the result is positive, you’ve got income. If it’s negative, you’re paying out of pocket — and that’s a slippery slope.

Why Cash Flow Is So Important

A lot of new investors focus on buying in “hot” markets hoping for property value to go up. But savvy investors? They prioritize **cash flow**. Here’s why:

✅ Monthly Income – Cash flow provides consistent revenue you can count on.
🔧 Emergency Buffer – Unexpected repair? Vacancy? Your cash flow helps absorb the hit.
🏖️ Lifestyle Freedom – With strong cash flow, your properties can fund your goals — not just sit as a future payoff.

**Bottom line:** Cash flow is what turns a rental from a liability into a true income-producing asset.

What Affects Your Property’s Cash Flow?

Several key factors influence how much money your rental puts in your pocket each month:

- Purchase Price – Buy smart and below market when you can.
- Financing Terms – A better interest rate = better cash flow.
- Rental Income – Know your local market rents.
- Operating Costs – Keep an eye on recurring expenses and reduce waste.
- Vacancy Rate – The fewer days your unit sits empty, the better your flow.

Always run the numbers **before** you buy. If it doesn’t cash flow on paper, it won’t cash flow in real life.

4 Simple Ways to Boost Your Cash Flow

Want to increase your margins? Here are four tried-and-true strategies:

1. Add Additional Income Streams – Think laundry machines, parking, or storage units.
2. Refinance Your Mortgage – Lower your monthly payments with a better interest rate.
3. Reduce Turnover – A great tenant experience = longer stays.
4. Review and Raise Rents – Annually assess market rates and adjust accordingly (within legal guidelines).

Little moves like these can compound over time and significantly boost your ROI.

Final Thoughts

Cash flow is more than just a number — it’s the **lifeblood** of your real estate business. It pays your bills, builds your wealth, and gives you the freedom to grow or slow down, depending on your goals.

If you're serious about creating lasting income through real estate, start with cash flow and build from there.

👉 *What’s your monthly cash flow target? Let us know in the comments!*

And if you want a free **cash flow calculator**, shoot us a message — we’ve got one ready to send.

"Real estate or stocks—which is the better investment?”

It’s the age-old question every investor faces. Whether you’re dreaming of passive income from rentals or riding the stock market’s ups and downs, today we’re breaking it down to find the winner for you. Let’s dive in!

Why Compare? 

Both real estate and stocks can build wealth, but they work differently. Real estate offers tangible assets, rental income, and tax perks. Stocks provide liquidity, diversification, and potentially great returns. So, how do they stack up? Let’s compare returns, risks, and rewards using real data and a $100,000 investment example.

Returns - The Numbers Game 

First, let’s talk about returns. Real estate has four wealth drivers: cash flow, appreciation, principal reduction, and tax benefits. Say you invest $100,000 as a 20% down payment on a $500,000 rental property. Here’s how it plays out:

• Cash Flow: At $3,000/month rent, minus $2,200 in expenses and mortgage, you net $800/month, or $9,600/year. That’s a 9.6% return on your $100K.

• Appreciation: Historical U.S. home prices grow ~3-4% annually. On $500K, that’s $15,000-$20,000/year in equity.

• Principal Reduction: Your tenants pay down $4,000-$5,000 of your mortgage in Year 1.

• Tax Benefits: Deductions like mortgage interest and depreciation save ~$3,000-$5,000/year at a 25% tax rate.

Total Year 1 return? Up to $30,000-$35,000, or 30-35% ROI on your $100K, thanks to leverage.

Now, stocks. A $100,000 investment in an S&P 500 index fund averages 7-10% annually, post-inflation. That’s $7,000-$10,000/year, with dividends adding ~1-2%. Over 10 years, at 8% compounded, your $100K grows to ~$216,000. Real estate’s leveraged returns often outpace this, but stocks are simpler.

Risks - What Can Go Wrong? 

No investment is risk-free. Real estate risks include vacancies, bad tenants, or maintenance costs. A $5,000 repair or a month of vacancy can dent your cash flow. Market crashes, like 2008, hit property values hard—though they’ve recovered, with U.S. homes up 49%+ since 2012.

Stocks? They’re volatile. The S&P 500 dropped 20% in 2022 but gained 24% in 2023. You’re at the mercy of market swings, and unlike real estate, you can’t control the asset directly. However, stocks don’t require fixing leaky roofs or evicting tenants. Real estate demands active management; stocks are passive.

Rewards - Beyond the Dollars 

Now, the rewards. Real estate’s tangible—you own a property you can see, touch, improve. You control rent increases, renovations, or 1031 exchanges to defer taxes. Plus, leverage amplifies gains: a 3% property value increase on $500K is $15,000 on your $100K down payment. And don’t forget tax breaks—depreciation alone can save thousands yearly.

Stocks offer liquidity. Need cash? Sell in seconds. Diversification is easier—$100K spreads across 500 companies in an index fund. No tenant calls, no property taxes. But stocks lack the control and tax perks of real estate. Over 20 years, real estate often wins for wealth-building, especially with leverage, while stocks shine for simplicity and short-term flexibility.

Which Is Better for You? 

So, which wins? It depends on you. Love control, willing to manage or hire a pro? Real estate’s leveraged returns—30%+ Year 1—and tax benefits are hard to beat. Prefer hands-off investing and quick cash access? Stocks’ 7-10% average and low maintenance fit perfectly. Hybrid approach? Do both—many investors allocate 60% to real estate, 40% to stocks for balance. Your goals, risk tolerance, and time commitment decide the victor.

Centurion’s Role in Real Estate Success 

Choosing real estate? Don’t go it alone. Centurion Property Management maximizes your returns. We optimize rents, screen tenants, handle repairs, and use AI-driven insights to boost your portfolio’s value. Our annual reviews unlock the four wealth drivers—cash flow, appreciation, principal reduction, and tax benefits. With Centurion, your $500K property could yield 30%+ ROI without the stress. Let us be your partner in building wealth.

Conclusion 

Real estate or stocks? Both can make you rich, but real estate’s leverage and tax perks often edge out for long-term wealth. Want to dive into rentals without the hassle? Contact Centurion Property Management today. Let’s build your wealth together!"

If that sounds like you… keep reading.

At Centurion, we believe work should feel meaningful — not overwhelming.
Here, you’re trusted to own your role, make decisions, and grow faster than you thought possible.
And you’re surrounded by people who genuinely want you to win.

You’ll love it here if you want:

• Real opportunities to level up your career — not just a job, but a path.

• A team that feels like a team — supportive, positive, and drama-free.

• A culture built on doing the right thing — for clients, for tenants, and for each other.

And yes… we work hard.
But we also laugh a lot, celebrate wins, and lift each other up when things get tough.
That’s what makes this place special.

So if you’re ready for a role where you can learn, grow, and actually enjoy coming to work… we’d love to meet you.

👉 Apply today at www.c-rem.com/careers
or click the link in the description to see our open positions.

 “Your next chapter might start right here. Come join us.”

Ever been lying on your back under a kitchen sink, holding a flashlight with your teeth, while a mystery leak hits you straight in the FACE…

Welcome to a day in property maintenance.

Today, we’re pulling back the curtain.

This article is all about the real challenges maintenance techs face every single day.
This is not the polished, brochure-friendly version of maintenance…but the reality that owners, tenants, and even other staff members rarely see.

By the end, I hope you’ll have a whole new appreciation for the service professionals who keep your properties running.

Owner’s Expectations

The big challenge: Champagne Results on a Tap Water Budget

Let’s start with owners—because maintenance techs live in a constant tug-of-war between quality and cost.

Landlords understandably want to protect their investment.
But sometimes the expectations… don’t match the budget.

Somedays it feels like the message from the clients is this: “Can you make it look new… without replacing anything?”

Have you ever had an owner ask you to “make the bathroom look modern” without:

• Replacing fixtures

• Repainting

• Retiling

• Or spending more than $100

The Property Maintenance Technicians get it.  They want to please the customer and do good.

Another favorite:

“The garbage disposal is making a loud grinding noise—can you fix it without replacing it?”

So, the tech inspects it and finds:

• The blades are sheared off

• The housing is cracked

• The motor is “really old”

But the owner wants a repair, not a replacement.

That puts techs in a no-win situation:

• Fix it cheaply and it breaks again

• Replace it and the owner’s upset about the cost

Sometimes the tool that techs need most isn’t a screwdriver—it’s diplomacy.

Tenant Expectations

“Everything Is an Emergency… Always”

Tenants are the other side of the tension.
And while many are wonderful…
Some believe maintenance techs live in their van waiting for their call.

Have you ever had a tenant call in for an after-hours emergency for:
“The stove light won’t turn on!”

Not the burner.
Not the oven.
The little decorative light under the dial.

The techs are tasked with taking the call and de-escalating a frustrated tenant and determining what is an emergency and what is not…again, the tenants are always convinced it is an emergency.

Competing “Urgent” Requests

In the span of one morning, we got:

• “My dishwasher is making a weird humming noise.”

• “My water heater burst and my hallway is flooding.”

Both marked URGENT.

It takes real skill—like, air traffic controller skill—to prioritize what genuinely needs immediate attention and what can wait until the next business day.

THE “GROSS” REALITY

“The Part No One Talks About—but Every Tech Knows”

This is the part tenants never think about…
and owners don’t want to think about.

But maintenance techs deal with it daily.

Not every place is clean and the techs handle some very dirty jobs.

Crawling under buildings, in attic spaces, toilet clogs and clogged drains just to name a few things.

Techs don’t complain.
They just roll up their sleeves, take a deep breath, and get it done.

But techs never know what they’re walking into.
Sometimes it’s clean water.
Sometimes… it’s not.

And yet maintenance techs dive in—figuratively speaking—because someone has to.

THE BALANCING ACT

“A Day in the Life”

Put all this together, and a maintenance tech’s day might look like this:

• 8:00 AM: Fix a leaking water heater before it damages the unit

• 10:00 AM: Reassure a tenant that ants in the kitchen aren’t “a sign of a supernatural presence”

• 12:30 PM: Try to convince an owner that a 40-year-old stove actually does need replacing

• 2:00 PM: Patch drywall from a tenant’s “DIY shelf installation” gone wrong

• 3:30 PM: Rush to a genuine emergency where water is pouring through a ceiling

• 5:15 PM: Get a call asking if we “can swing by real quick” because someone’s shower pressure feels low

It’s a constant dance between:

• urgent and non-urgent

• cheap and quality

• sanitary and… not so sanitary

And somehow, maintenance techs keep properties running smoothly through all of it.

“Why They Do It Anyway”

Despite all the chaos, maintenance professionals show up every day because they genuinely care about:

• the residents

• the property

• the quality of their work

• and getting people back to comfort and safety

They don’t always get thanks.
They definitely don’t always get recognition.
But without them, rental properties simply don’t function.

So the next time a tech shows up—whether it’s for a leak, a clog, or something you’d rather not touch—
thank them.
They’re the unsung backbone of property management.

Key Takeaways

• Owner Expectations vs. Budget: Landlords often want high-quality, "like-new" results without approving replacements, repainting, or significant spending, putting techs in difficult no-win situations (e.g., repairing irreparable appliances cheaply leads to repeat failures).

• Tenant Expectations: Some tenants treat non-emergencies as urgent (e.g., a stove light out after hours), requiring techs to de-escalate frustration and educate on what truly qualifies as an emergency.

• Prioritization Challenges: Techs must juggle multiple "urgent" requests daily, skillfully distinguishing real crises (e.g., flooding) from minor issues (e.g., odd appliance noises).

• The "Gross" Side of the Job: Maintenance involves dirty, unpredictable tasks like crawling in attics/crawl spaces, unclogging toilets/drains, or dealing with unknown leaks—often unsanitary, but handled professionally without complaint.

• A Typical Day's Balancing Act: Schedules are chaotic, mixing genuine emergencies, diplomacy with owners/tenants, repairs, and minor fixes—all while balancing cost, quality, urgency, and sanitation.

• Why They Persist: Despite lack of recognition, techs are motivated by care for residents' comfort/safety, property preservation, and pride in quality work.

Expert Insight

In property management, smart leadership can mean empowering maintenance techs with clear guidelines on budgets, emergency protocols, and decision-making authority. This reduces friction, prevents burnout, and turns these "unsung heroes" into a proactive asset rather than reactive firefighters—ultimately protecting investments and tenant satisfaction more efficiently.

This is what really happens behind the scenes.
Welcome to a day inside our property management company.

Today, we’re giving you an authentic look at how we manage hundreds of homes, plexes, and apartment units across Salem, Oregon and throughout the Willamette Valley.
No polish. No fluff. Just the real work — the systems, the challenges, and the people who make it all happen.

COMMUNICATION

Mornings are usually the busiest. We get overnight messages, maintenance requests, rent questions — everything comes in at once and it is non-stop.

Thousands of calls every year and most of those calls are coming with problems and not a little frustration that we need to respond to promptly and professionally.

Tenant relations is about solving problems before they escalate.
And no — it’s never just one problem at a time.

LEASING DEPARTMENT 

LEASING MANAGER
We start our day by checking vacancies. What toured yesterday? What’s being listed today? Are rents priced correctly for the current market?

LEASING MANAGER 
Here’s one in Salem — we’re getting a lot of interest, but if we don’t see an application in the next 48 hours, we’ll need to re-evaluate, call the landlord, check the ad or the property or maybe even drop the price by $50 to stay competitive.

LEASING AGENT
I’ve got four showings this morning. Half my job is answering questions before tenants even step inside: pets, utilities, parking, move-in timeline… you name it.

Fast leasing means lower vacancy and higher owner income.
This department is constantly adjusting based on the market. It is fast paced and full of 100’s of details that you can’t afford to mess up.

MAINTENANCE TEAM

MAINTENANCE TECH
First call today is a leaking under-sink drain. After that, I’ve got a turnover that needs patching and paintwork.

MAINTENANCE TECH
Most repairs are pretty straightforward. But sometimes? You walk in and it’s… “a situation”.

MAINTENANCE TECH (laughs)
You never know what you’re walking into. But the goal is always the same: keep the property safe, prevent bigger damage, and get it done right the first time.

Maintenance is one of the biggest value-adds for owners — fast response and professional repairs prevent thousands in long-term damage. In my opinion, the maintenance department doesn’t get the love and appreciation they really should – they are really the unsung hero’s in a lot of the day-to-day operations that make things work – literally!

INSPECTIONS & PROPERTY EVALUATION

INSPECTOR 
Today we’re doing a mid-lease inspection — checking for smoke alarm compliance, unauthorized pets, moisture issues, and general condition.

INSPECTOR
We’re looking for early warning signs. Catching a small leak now? That prevents a $3,000 mold issue later.

Inspections are crucial for protecting property value and holding tenants accountable.

ACCOUNTING & OWNER STATEMENTS

BOOKKEEPER
A lot of what we do is behind the scenes: reconciling accounts, issuing owner statements, tracking invoices, ensuring compliance with trust accounting laws.

BOOKKEEPER
Owners often tell us, “I had no idea how much accounting goes into property management.”
Every receipt matters. Every invoice matters. Every dollar has to be documented.

Successful property management isn’t just fixing things — it’s accurate financial management that owners can trust.

PROPERTY MANAGER OVERVIEW & PROBLEM SOLVING

PROPERTY MANAGER
My job is basically to keep everything moving. A property manager is like… air traffic control.

PROPERTY MANAGER
Here’s today so far:

• A no-heat emergency

• A tenant upset about parking

• An owner asking about increasing rent

• A turnover behind schedule

• A vendor who’s running late

This is a day in the life.

PROPERTY MANAGER (smiles)
But solving problems is what we do. That’s why owners hire us.

Behind every rented home is an entire team — coordinating, responding, documenting, planning, and protecting your investment.

While every day is different and brings its own unique challenges, month in and month out there is a distinct rhythm and cycle to property management.  At the beginning of each month, we collect rents, then we pay bills and finish the month sending a financial statement to the client along with their monthly rental distribution.  And throughout the month we oversee the property and respond to maintenance work orders and tenant communication.  Most months I don’t know where the time went, it is fast paced and the sheer amount of details involved are insane.

Property management isn’t just collecting rent.
It’s risk management.
It’s maintenance oversight.
It’s legal compliance.
It’s tenant care.
It’s financial accountability.
It’s keeping real estate truly passive for owners.

If you want a professional team handling the headaches so you don’t have to, we’d love to help.

We’re here to protect your property, your tenants, and your peace of mind.

While Cash-for-Keys is generally unregulated in most states, it’s still important to handle the process professionally and in writing. At Centurion Real Estate Management, we always ensure agreements are clear, documented, and mutually beneficial.

Here’s how to structure an effective Cash-for-Keys offer:

1. Put everything in writing. Never rely on verbal agreements. Use a formal written contract signed by both parties.

2. Set a firm move-out date. Include a specific deadline by which the tenant must be completely out, with all belongings removed.

3. Exchange cash only after possession is returned. Verify that keys are handed over and the property is empty before payment.

4. Inspect and document the condition. Conduct a detailed move-out inspection with photos or video.

5. Clarify how damages will be handled. If damages exceed the security deposit, deduct them before disbursing the cash incentive.

6. Start small. Begin with a modest offer (sometimes just the return of the security deposit) and increase only if necessary.

7. Keep timelines short. Typically, seven to fourteen days is sufficient. Longer delays increase risk.

Why It Works

Most tenants understand that eviction on their record can hurt future rental opportunities. By accepting a Cash-for-Keys offer, they can:

• Leave on better terms

• Receive funds to help with moving expenses

• Avoid an eviction judgment and damaged credit

At the same time, owners and property managers regain possession quickly, minimizing lost rent and avoiding potential property damage or legal disputes.

It’s a win-win solution when handled correctly.

Final Thoughts: A Business Decision, Not an Emotional One

It’s easy to get frustrated with a non-paying or uncooperative tenant, but eviction should never be about punishment — it’s about smart business decisions.

At Centurion Real Estate Management, our priority is always to protect our clients’ investments while maintaining professionalism and compliance with all applicable laws. Sometimes that means thinking strategically rather than emotionally.

Cash-for-Keys is not about rewarding bad behavior — it’s about minimizing loss, protecting your property, and moving forward faster.

Before choosing eviction, take a moment to run the numbers. In many cases, a practical, well-executed Cash-for-Keys agreement is the most efficient — and least stressful — path forward.

Need Guidance? We’re Here to Help.

If you’re facing a challenging tenant situation, our experienced team can help you evaluate your options — including whether a Cash-for-Keys arrangement makes sense for your property.

Contact Centurion Real Estate Management today to schedule a consultation and learn how we can help you protect your investment while minimizing stress.

At Centurion Real Estate Management, we take communication seriously — because good management isn’t just about properties, it’s about partnership.

I’m Mendell Gosnell, and in this blog, I’ll show you exactly how Centurion keeps owners informed, confident, and in control of their investments.

COMMUNICATION IS EVERYTHING 

Great property management comes down to consistent, transparent communication.

Whether it’s a maintenance update, rent collection issue, or financial report, you should always know what’s happening with your property — before you have to ask.

That’s why Centurion’s systems are built around proactive updates, not reactive excuses.

MULTIPLE CHANNELS OF COMMUNICATION

We use multiple communication channels to fit your style and schedule:

• Email updates for maintenance, rent status, and lease renewals.
• Phone calls for urgent or complex issues that need a personal touch.
• Owner portals for 24/7 access to statements, invoices, and documents.
• And monthly summaries that bring everything together in one clear snapshot.

However you prefer to stay informed, we make it simple. It is important to note that not everything is relayed in advance. Most of the day-to-day operations are handled in accordance with our PMA. We have detailed what we do and how we do it in accordance with the law and industry best practices and have communicated that in advance. And you still get a chance to audit everything we do every month once you get your owner statement. Seeing something that doesn’t make sense, gives us a call. Every staff knows to do everything as if we will be held to the highest-level accountability for our judgement and actions.

OUR OWNER PORTAL

Every Centurion client has access to our secure online portal.

It’s your one-stop hub for financial statements, maintenance updates, tenant details, and performance metrics.

You can log in anytime — from anywhere — and see exactly what’s happening with your portfolio.

We believe in total visibility, so you’re never left guessing.

REGULAR FINANCIAL REPORTING 

Each month, you’ll receive a comprehensive owner statement showing income, expenses, and distributions 

And at the end of the year, we provide complete tax-ready reports for you or your CPA.

No surprises, no confusion — just clear, accurate financial communication.

RESPONSIVENESS & ACCOUNTABILITY

We know communication isn’t just about systems — it’s about responsiveness.

That’s why Centurion tracks response times, ensures messages are acknowledged quickly, and assigns accountability within our team.

Whether you call, text, or email, we respond promptly — and we follow through until the issue is resolved.

PROACTIVE OUTREACH 

We don’t just wait for you to reach out — when appropriate or needed you will hear from us.

Communication isn’t an afterthought — it’s part of the Centurion experience.

You deserve a management company that keeps you informed — not one you have to chase for answers.

At Centurion Real Estate Management, communication isn’t just a policy — it’s our promise.

That’s why at Centurion, we back our service with guarantees you won’t find at many other companies — so you can feel confident in your investment.

Let me walk you through exactly what we guarantee.

✅EASY SWITCH GUARANTEE 

Guarantee #1: The Easy Switch Guarantee.

Worried about switching from another manager? We handle the transfer and even reduce our fee if your current manager charges a termination fee.

You don’t pay twice. You just switch — smoothly, efficiently, and with fewer headaches.

✅RESULTS GUARANTEE

Guarantee #2: The Results Guarantee.

At Centurion, you won't pay a management fee until rent is collected. That means your success comes first.

We only succeed when your property performs.

✅MONEY-BACK GUARANTEE 

Guarantee #3: The 90-Day Money-Back Guarantee.

Try our full management service for 90 days. If you aren’t satisfied, we’ll refund all management fees collected during that period.

No long-term lock-in. Just performance.

✅CANCEL ANYTIME GUARANTEE 

Guarantee #4: Cancel Anytime.

Our agreements are month-to-month. You can cancel with a 60-day written notice — no cancellation fees and no strings attached.

That means you stay in control. We stay accountable.

✅TENANT GUARANTEE 

Guarantee #5: The Tenant Guarantee.

If a Centurion-placed tenant breaks their lease within the first six months for any reason, we’ll re-lease the property at no additional leasing fee.

That means we stand behind our screening and placement process — so you don’t bear the cost of a bad placement.

✅MAINTENANCE GUARANTEE 

Guarantee #6: The Maintenance Guarantee.

Every job our in-house technicians complete comes with a six-month warranty. If something we fixed needs attention again within that period, we’ll make it right at no cost to you.

Note: warranty applies only to the original repair — any new or unrelated issues are not covered. c-rem.com

That means less worry, fewer surprise bills, and higher-quality vendor work.

✅QUICK LEASE & PET DAMAGE GUARANTEES 

We’ve got even more powerful guarantees:

• Quick Lease Guarantee: If we can't secure a qualified tenant within 21 days of listing (assuming the home is vacant, ready, pet-policy compliant), we waive the leasing fee. c-rem.com

• Pet Damage Guarantee: We’ll cover up to $2,500 in pet damage for tenants and pets we place. Need more? You can add another $2,500 for just $35/month. c-rem.com

• Rapid Response Guarantee: We promise a response within 24 business hours when you contact us via our support email. Your time matters. c-rem.com

• Spanish Guarantee: Our team includes a fluent Spanish-speaking member — ensuring clear communication and better service for tenants and owners. c-rem.com

These guarantees aren’t just marketing — they’re our promise to you.

Because at Centurion Real Estate Management, we believe you deserve a property manager who stands behind their work, acts like an investor, and puts your results first.

• Oregon does not set a statewide limit on security deposit amounts, but local ordinances may apply, and state law strictly regulates how deposits are handled.

• Landlords must provide a written receipt for any security deposit and follow detailed rules on allowable deductions, including unpaid rent, damage beyond normal wear and tear, and necessary cleaning.

• Security deposits must be returned within 31 days after the tenancy ends, along with an itemized statement for any deductions.

• Proper documentation at move-in and move-out, including inspections and photos, plays a key role in supporting lawful deductions and protecting your rental business.

Did you know Oregon does not cap how much a landlord can charge for a security deposit at the state level? However, local ordinances can change that. 

Security deposits are one of the most important tools landlords have to reduce risk, protect their property, and encourage responsible tenant behavior. When handled correctly, they help prevent disputes and keep rental operations running smoothly.

For a landlord, collecting a security deposit from a tenant offers many benefits. They include:

• Coverage for unpaid rent after move-out.

• Protection against damage beyond normal wear and tear.

• Incentive for tenants to care for the property.

• Clear expectations around move-in and move-out responsibilities.

Understanding how Oregon regulates security deposits is not optional. State law is very specific about receipts, deductions, and deadlines. 

Missing a step can lead to penalties, including the landlord owing the tenant twice the amount withheld, even when the landlord acted in good faith.

Centurion Real Estate Management put together this article to help Oregon landlords understand the rules, avoid common mistakes, and manage deposits the right way from day one.

Oregon Security Deposit Law Explained

Here is a clear and practical guide to Oregon’s security deposit laws, written specifically for landlords operating in this state.

Fees and Nonrefundable Charges

Oregon law is very restrictive regarding nonrefundable fees. Landlords generally cannot charge "nonrefundable cleaning fees" or "administrative fees" at the start of a tenancy. 

Most one-time fees are prohibited unless they are specifically authorized by statute (such as late fees, smoke detector tampering fees, or pet deposits). 

If you wish to cover cleaning costs, those must be deducted from a refundable security deposit based on actual cleaning needs after the tenant moves out.

Storing a Tenant’s Deposit in Oregon

While landlords are not required by state law to put deposits into interest-bearing accounts, licensed property managers are required by the Oregon Real Estate Agency to maintain security deposits in a designated Client Trust Account. 

Written Notice and Receipts

Unlike many other states, Oregon law requires landlords to provide a tenant with a written receipt for any security deposit paid. This is a mandatory step to ensure transparency and proper recordkeeping for both parties.

Reasons to Withhold a Tenant’s Security Deposit in Oregon

Oregon law allows landlords to keep all or part of a tenant’s security deposit for specific reasons. Common allowable deductions include:

• Unpaid rent or late fees owed under the lease.

• Damage beyond "normal wear and tear".

• Cleaning costs are needed to restore the unit to the level of cleanliness it was at the start of the tenancy.

• Repair or replacement of items and fixtures damaged by the tenants.

• Expenses incurred to restore the property after any unapproved alterations made during the tenancy

Landlords cannot use the deposit to cover damage or conditions that existed before the tenant moved in. This is why thorough move-in documentation and photo evidence are critical.

A Walk-Through Inspection

Oregon law allows for a walk-through inspection when a tenant moves out. If an inspection is requested, the landlord must provide at least 24 hours’ notice (unless a different period is agreed upon) before the inspection. 

This gives the tenant a chance to identify and potentially remedy issues before deductions are finalized.

Security Deposit Refund in Oregon

Once the tenancy terminates and the tenant delivers possession of the unit, Oregon landlords have 31 days to return the security deposit, either in full or partially. If any portion is withheld, the landlord must provide an itemized written statement explaining each deduction. 

If the landlord fails to meet this 31-day deadline, the tenant may be entitled to recover twice the amount that was wrongfully withheld, along with any attorney and court costs incurred. 

Change in Property Ownership

When a rental property changes ownership, the outgoing landlord must either:

• Please return the tenant’s security deposit, less any applicable lawful deductions, and inform the new owner once this has been completed.

• Transfer the deposit to the new owner and notify the tenant in writing of the new owner’s name and contact address.

Conclusion

Oregon’s security deposit laws offer landlords flexibility in setting amounts, but they enforce strict procedural requirements regarding receipts, fee prohibitions, and refund timelines. 

Complying with these rules, especially the 31-day refund window and the mandatory receipt requirement, helps protect your investment and minimizes the risk of costly legal disputes.

If you have specific questions, it may be wise to partner with a knowledgeable property management company.

Centurion Real Estate Management assists landlords with security deposit handling, inspections, recordkeeping, and overall compliance with Oregon regulations. 

To simplify your rental operations and improve tenant relations, contact Centurion Real Estate Management and let experienced professionals manage the details.

Disclaimer: Please note that the information provided in this blog is intended for general guidance and should not be considered as a replacement for professional legal advice. It is important to be aware that laws pertaining to property management may change, rendering this information outdated by the time you read it.

Because in property management, structure determines performance.

There are two major organizational models in our industry:
Portfolio Style and Departmental Style.

Both sound good on paper.
Both have advantages.
But they function VERY differently in real life.

Understanding these differences will help you choose a management company that actually protects your investment — and doesn’t leave you guessing who’s doing what.

Let’s break them down.

What Is Portfolio Style Management?

Portfolio style is the more traditional model.
It means one single property manager handles everything related to your property:

• Leasing
• Marketing
• Inspections
• Maintenance coordination
• Accounting
• Tenant relations
• Renewals
• Move-outs

All of it.

One point of contact.
One person who “knows your property.”

Sounds great, right?
Well… sometimes.

✔ Portfolio Style Pros:

• You get one person to talk to
• Relationship consistency
• Easy communication — when that person is available

✖ Portfolio Style Cons:

• MASSIVE workload on one person
• Quality varies depending on the property manager
• Delays when they’re sick or on vacation
• Burnout is common
• No specialized expertise in key areas like accounting or legal compliance
• If they quit, you lose ALL continuity

Portfolio managers tend to be stretched thin — wearing ten hats at once.
And when one person tries to do everything, some things inevitably fall through the cracks.

As a professional investor, I have experience using out-of-state professional property managers to manage some of my rental property and know what it is like to experience it first-hand.  And, all things considered – I still think departmental style wins every time.

What Is Departmental Style Management?
Departmental style is a modern, system-driven approach.

Instead of one person handling 50 different responsibilities, each department has specialists, just like any other professional industry.

Think of a well-run property management company like a medical clinic:
You don’t want one doctor acting as your surgeon, dentist, therapist, and pharmacist.

You want experts.

✔ Examples of Departments:

• Leasing: market analysis, showings, tenant qualification

• Applications: professional staff underwriting each application

• Maintenance: repair coordination, vendor management, emergency response

• Accounting: rent posting, owner statements, compliance

• Inspections: detailed documentation & reporting

• Resident relations: renewals, communication, issue resolution

Each team member is doing what they are BEST at — all day, every day.

Pros & Cons of Departmental Style

✔ Departmental Style Pros:

• Specialists = higher accuracy & faster results
• Built-in quality control
• Zero downtime: another team member covers if someone’s out
• Scalable systems
• Consistency regardless of portfolio size
• Lower error rates in accounting & compliance
• Better resident experience (which helps YOU)

✖ Departmental Style Cons:

• You may interact with different specialists depending on the issue
• It can feel “less personal” if the company isn’t great at communication

But here’s the key:
With the right systems, departmental teams communicate internally better than any portfolio-style operation ever could.

Why Departmental Style Is Superior 

Let’s be honest:
Property management is too complex, too regulated, and too fast-paced for one person to do everything perfectly.

Departmental structure solves this by ensuring:

• Leasing is fast because experts are dedicated to it
• Maintenance is efficient because technicians and coordinators handle requests all day
• Accounting is accurate because it’s done by trained financial professionals
• Resident communication is handled by people trained to diffuse issues
• Inspections are thorough because specialists do them weekly

In other words:
departmental style reduces risk, increases performance, and protects your investment.

When you choose a PM company, you’re not choosing a “friendly contact."
You’re choosing an operational system — and systems win every time.

From experience, when I encounter a portfolio style manager, I see areas where they do great and areas where they fail miserably.  They might be great at running applications, screening and getting a property leased up but then not so great at collecting the rents or getting the vacant units turned and ready to lease quickly.  It is just really hard to find a unicorn.

Relatable Examples

Example 1: Owner Statement Errors

Portfolio: One overworked PM tries to reconcile rent, charges, invoices, and payouts at 10pm.
Departmental: A trained accountant handles it with checks and balances.

Example 2: Maintenance Emergency

Portfolio: Your PM is in a showing and can’t answer the phone.
Departmental: Dedicated maintenance team dispatches a tech in 5 minutes.

Example 3: Vacancy

Portfolio: Leasing gets delayed because your PM was dealing with rent collection.
Departmental: Leasing department pushes the listing live TODAY.

Example 4: Legal Compliance

Portfolio: Your PM thinks the notice timeline is correct.
Departmental: Compliance-trained staff makes sure it IS.

Both systems can work.
Both can deliver decent results.

But if you’re serious about protecting your investment, minimizing risk, and maximizing efficiency…

Then the departmental style is the model built for long-term success.

It’s structured.
It’s specialized.
And it’s the industry standard for professional-grade property management.

Happy Investing,

-Mendell Gosnell

Most property owners know what a real estate agent does — but when it comes to managing a rental, they often ask:
“Why can’t my agent just handle it?”

In this blog, we’ll break down the difference between a real estate agent and a property manager
and why hiring the right one can make or break your investment.

REAL ESTATE AGENTS 

A real estate agent specializes in buying and selling property.
Their focus is transactions — helping clients purchase homes, negotiate deals, and close escrows.

Agents are experts in:

• Market trends and property values

• Marketing homes for sale

• Writing offers and contracts

• Navigating financing and inspections

But when the sale closes — their job is done.

They move on to the next transaction.

Real estate agents are like matchmakers — connecting buyers and sellers for a one-time event.

PROPERTY MANAGERS 

A property manager, on the other hand, focuses on the relationship after the sale.

Once the property becomes a rental, that’s where our work begins.

Property management is all about operations and performance — not just the transaction.

We handle:

• Tenant screening and leasing

• Rent collection and accounting

• Maintenance and repairs

• Legal compliance and documentation

• And protecting your asset every single day

Property managers don’t just fill a vacancy — we maintain the long-term value and profitability of your investment.

HOW THEY WORK TOGETHER

The best scenario is when your real estate agent and property manager work together.

An agent helps you buy the right investment.
A property manager helps you run it successfully.

At Centurion, we often partner with agents who refer clients after a purchase —
because once the deal closes, the real work begins.

So if you’re buying an investment property — or already own one —
make sure you have both sides covered:
a great real estate agent and a professional property manager.

We handle the day-to-day management —

so your agent can help you find the next great deal.

And understanding that distinction is the key to maximizing your long-term returns.

In today’s blog article, we’re breaking down the three-way relationship between landlords, property managers, and residents — and why great resident service isn’t just “being nice”…
It’s smart business that directly protects your investment, boosts your cash flow, and reduces your risk.

The Contractual Reality 
Let’s start with the basics.
We, the property management company, have a contractual and fiduciary duty to you — the property owner.
We manage your asset, enforce your lease, collect your rent, protect your property, and maintain legal compliance on your behalf.

You hired us.
We work for you.

That never changes.

But… There's another layer to this relationship.

Follow the Money 

Here’s the part that landlords often overlook:
Every dollar in this business — your rental income and our management fee — comes from one place:
Residents paying rent.

No rent =

• No income for you

• No management fee for us

• No operating funds to maintain the rental property

So even though you are our client, the resident is the source of all revenue in the ecosystem.

This isn’t a conflict.
This is alignment.

Because when the resident is satisfied, you get paid consistently — and on time.

How Resident Service DIRECTLY Protects Your Investment 
Let’s look at what happens when residents are treated well — and when they’re not.

✔ EXAMPLE 1: Faster Renewals

Happy residents renew more often.
A renewal can save you $2,000–$4,000 in vacancy and turnover costs.

✔ EXAMPLE 2: Better Care for the Property

Residents who feel respected tend to take better care of the home, report issues early, and avoid unnecessary damage.

✔ EXAMPLE 3: Fewer Complaints & Legal Risks

Good communication reduces frustration, reduces escalation, and limits potential liability.

✔ EXAMPLE 4: Higher Property Value

Higher long-term occupancy means stronger NOI — which increases your property’s market value.

So when we prioritize the resident experience, what we’re really doing is:

• Protecting your cash flow

• Protecting your property condition

• Protecting your legal compliance

• Protecting your long-term returns

Resident service is owner service.

This is so important I should repeat it:

Resident service is owner service.

Resident service is owner service.

Resident service is owner service.

Resident service is owner service.

Okay, you get it.

Why This Mindset Matters
Sometimes owners worry that focusing on residents means we’re not focused on them.
But the truth is the exact opposite.

Serving residents exceptionally well is HOW we serve you exceptionally well.

Great resident experience =

• Fewer vacancies

• Predictable rent

• Less turnover

• Fewer emergencies

• Better reputation

• Higher ROI

Everyone wins.
So yes — you’re our client.
But residents are the engine that keeps your investment moving forward.

When we take care of them, we’re taking care of YOU.
And the landlords who embrace this mindset are the ones who consistently see the strongest performance year after year.

And if you want a management partner who protects your investment by taking great care of your residents…

We’re here when you’re ready.

That statement surprised him. He invited me in to talk and shared that he was planning to sell the house. He offered to pay me to help get it ready for market.

Learning From the Ground Up

Fast forward a few years, and I was managing his entire rental portfolio. Along the way, he taught me everything he knew about real estate—often by putting a shovel in my hand and showing me how to dig, fix, and maintain properties firsthand. It was hard work, but learning the business from the ground up proved invaluable.

Eventually, I earned my real estate broker’s license. While the sales side offered big commission checks, I quickly realized property management was a better fit for me.

The Birth of Centurion

As my mentor sold properties and completed 1031 exchanges into larger and better investments, I began managing properties for the new owners as well. Around this time, my fledgling company—Centurion—started to grow. Some might say it grew rapidly, but from my perspective, the growth felt steady and intentional.

Having a front-row seat to the real estate world showed me something important: not all property management companies are created equal. I saw a clear opportunity to build something better.

From the beginning, our goal was to create a company culture rooted in:

• A strong commitment to our clients’ success

• A true win-win approach for owners and tenants

Building With Purpose and Technology

At the time, many property managers relied on Excel spreadsheets, and the more advanced firms might have used a desktop version of QuickBooks. I chose a different path—building systems and processes from the ground up with a strong focus on software and technology to improve efficiency from top to bottom.

With a strong work ethic, a solid moral compass, a business education from Oregon State University, and plenty of blood, sweat, and long days—along with the help of some truly amazing people—Centurion has grown into the company it is today.

Looking Back: What Made the Difference

A few things stand out as defining factors in our success:

• Building from the ground up and taking the time to get things right

• Firsthand experience as a real estate investor, allowing me to think like an owner

• Learning every part of the business, especially maintenance and construction, which gave me a unique perspective on how to best serve both owners and tenants

It’s not always easy. There are plenty of hard days and long days—but it’s an incredible field to work in, and I wouldn’t trade the journey for anything.

— Mendell Gosnell, President

• Learning Oregon’s landlord-tenant laws early helps you protect your property, follow the rules, and rent with confidence.

• Preparing your Salem home with solid maintenance, safety features, and clean presentation makes it more appealing to renters.

• Setting rent based on local market data helps attract consistent interest while supporting long-term returns.

• Using clear screening criteria and a strong lease lays the groundwork for a smooth and professional rental experience.

Salem, Oregon’s capital and one of the fastest-growing rental markets in the Willamette Valley, presents an excellent opportunity for homeowners who want to rent out their property. 

With its central location, vibrant neighborhoods, proximity to jobs, and lifestyle amenities, demand for quality rentals remains robust. 

Renting out a home in Salem, however, requires careful planning, a strong understanding of Oregon’s landlord-tenant laws, and a thoughtful strategy for finding and retaining residents. 

Successfully renting your house means preparing the property, setting a competitive rent, screening applicants, managing ongoing maintenance, and navigating legal requirements. 

Taking a proactive approach helps ensure your investment earns consistent income, protects property value, and complies with state and local regulations.

Know Oregon’s Landlord-Tenant Laws Before You List

One of the most important early steps when renting out your Salem house is learning Oregon’s landlord-tenant laws. These regulations govern tenancy terms, security deposits, notice requirements, and more. 

Understanding them protects you from costly mistakes and helps you operate confidently as a rental property owner.

Oregon law sets clear expectations for habitability. Landlords must provide a safe, sanitary, and functioning home. This includes working heating, hot water, and appropriate smoke and carbon monoxide detectors. 

Repairs that affect health and safety should be handled promptly, and tenants generally have the right to withhold rent, sue for costs, or obtain a court order to force the landlord to make repairs. 

Knowing these requirements up front prevents disputes and keeps your property compliant.

Security deposits in Oregon also have strict guidelines. There are no limits on how much can be collected, but landlords must return deposits within 31 days after the lease ends. Providing a detailed move-in inspection report protects both parties and minimizes disagreements at move-out.

Notice requirements around rent increases, lease terminations, and entry into the home are also governed by state law. Salem landlords must follow these timelines precisely. 

For example, Oregon requires landlords to provide at least 24 hours' advance notice before entering the property, except in emergencies. 

Fair housing protections apply in Salem as in the rest of Oregon. While federal law prohibits discrimination based on race, color, religion, sex, disability, familial status, and national origin. 

Oregon expands on these protections to include marital status, source of income, gender identity, sexual orientation, and status as a victim of domestic violence, sexual assault, or stalking.

Having written rental criteria and applying them consistently to all applicants helps protect you from unintentional discrimination claims. Remember, laws change over time. 

Staying updated on the latest statutes, ordinances, and court decisions is one of the most important habits of a successful Salem landlord.

Prepare Your Property for Rental Success

Once you understand the legal expectations, the next step is preparing your house for the rental market. Salem renters look for homes that are clean, safe, well-maintained, and move-in ready. 

Making the right improvements before listing can reduce vacancy time and attract more tenants.

Begin with a full inspection of your property. Check the major systems, including HVAC, plumbing, electrical, roof, and appliances. Replace or repair anything outdated or malfunctioning. 

In Salem’s climate, good insulation, effective heating, and proper weatherproofing matter during colder months. Ensuring the home is comfortable year-round adds appeal to potential renters.

A fresh coat of neutral paint, deep cleaning, and pressure washing the exterior can go a long way in making a strong first impression. Clean flooring, updated fixtures, and a well-kept yard contribute to a professional appearance that attracts higher-quality applicants.

Safety features should be up to code. Oregon requires working smoke and carbon monoxide detectors, secure locks on all doors and windows, and safe stairways and railings. 

Documenting this work with receipts and photos protects you and shows prospective tenants that you take their safety seriously.

Detailed property photos and an accurate description of features create a compelling rental listing. Highlight Salem’s strengths, such as proximity to downtown, parks, and transportation access. A well-crafted listing draws more interest and helps you lease faster.

Set the Right Rental Price for Salem

Competitive pricing is essential to minimize vacancy and maximize your return. Salem’s rental rates fluctuate based on neighborhood, property size, amenities, and market demand. Conducting local market research helps you understand current rent levels and where your home fits in.

Start by comparing similar homes in Salem—looking at size, condition, location, and features. Properties with updated kitchens, additional bathrooms, fenced yards, or garage space typically command higher rent. 

Consider seasonal trends as well, since demand may rise or fall at different times of the year.

Pricing too high can leave your home vacant longer, costing you more than pricing slightly lower to attract applicants quickly. Pricing too low can reduce your income without yielding better applicants. Aim for a balance that reflects value while keeping your property competitive.

Screen Applicants Carefully and Fairly

Choosing a resident is one of the most impactful decisions a landlord makes. A strong tenant screening process protects your investment, reduces turnover, and sets the stage for a positive landlord-tenant relationship.

Begin with clear rental criteria. Establish expectations around income, credit, rental history, and other factors that indicate financial stability and respectful tenancy. Oregon’s fair housing laws require that these criteria be applied equally to all applicants to avoid discrimination claims.

When applications come in, review them thoroughly. Verify income and employment, check credit histories, and contact previous landlords for references. Consistent screening helps identify reliable residents and reduces potential issues down the road.

If you decide to approve an applicant, formalize the agreement with a written lease that aligns with Oregon’s legal requirements. The lease should clearly outline rent, due dates, maintenance responsibilities, utilities, pet policies, and rules for shared spaces. 

A comprehensive lease sets expectations and reduces misunderstandings.

Why Working With a Professional Property Management Company Matters

Renting out a home involves many responsibilities, which is why many Salem homeowners choose to work with a professional property management company like Centurion Real Estate Management. 

Our property managers bring local expertise, systems, and hands-on support that streamline the rental process and protect your investment.

Our Salem property managers know local market trends and pricing, helping you set the right rent, attract strong applicants, and reduce vacancy. We also manage advertising, inquiries, and showings to present your home effectively.

Professional screening adds another layer of protection. Managers verify credit, income, and rental history while following fair housing rules, which reduces risk and ensures qualified tenants.

After move-in, property managers take care of maintenance, repairs, resident communication, and lease enforcement. Our knowledge of legal requirements for notices and compliance helps prevent costly mistakes. 

We also manage finances through consistent rent collection, expense tracking, and detailed reporting, making it easier for you to monitor performance and plan.

Hiring a property management company lifts the daily workload off your shoulders. With our experts handling marketing, screening, maintenance, and legal compliance, you can focus on other priorities while knowing your Salem rental is in good hands.

Final Thoughts

Renting out your house in Salem, Oregon, is a rewarding opportunity when approached thoughtfully and strategically. Moreover, working with a professional property management company elevates every part of this process. 

Maximize your rental income and protect your investment. Connect with Centurion Real Estate Management and partner with Salem’s local property experts.

My start in the industry was humble. As an onsite manager at a college apartment complex, my days were filled with fixing leaky faucets, mowing lawns, and learning the true rhythm of real estate and property management from the ground up. During that time, my mentor taught me so many valuable lessons - stuff you don't learn in college or from books.

What began as a one-person operation slowly grew into a home office supported by a small group of hardworking maintenance technicians, then into a staffed office, and eventually into a company shaped by humility, grit, and trust. Along the way, those early environments became classrooms and proving grounds—places where values were formed long before titles or growth ever entered the picture.

He showed me that real estate is not simply about buildings, spreadsheets, or transactions. It is about consistency, responsibility, and showing up every day with pride in the work. Those principles remain central to how we operate today.

Looking at where the company is now, I see more than growth. I see the quiet impact of his guidance, the foundation he helped me build, and a journey that began with a shovel in my hand and dirt under my fingernails and became something lasting. For that, I am deeply grateful. (Thank you Jeff!)

Centurion didn’t start as a big company with investors, fancy offices, or outside funding.

It started with me — managing for a single owner, some excel spreadsheets, and a passion for doing things the right way.

I’m Mendell Gosnell, founder of Centurion Real Estate Management, and this is the story of how Centurion was built from the ground up, by thinking like investors, serving like owners, and caring like neighbors. I didn’t start out knowing what to do, so I built it the way that made sense.

HUMBLE BEGINNINGS

My journey started just like many of our clients — as an investor.
I bought a property, managed it myself, and learned quickly that property management is a hands-on business.

I was the leasing agent, the maintenance coordinator, the bookkeeper — even the after-hours call center.

I tracked rents in Excel, drove around collecting checks, and fixed problems at midnight.

It wasn’t glamorous — but it taught me everything I needed to know about what property owners really face.

GROWING THROUGH EVERY ROLE

Over the years, I worked in every area of this business.

From on-site management and leasing to maintenance, accounting, and supervision.
I handled evictions, turnovers, vendor contracts — you name it.

That experience gave me a deep understanding of how all the moving parts connect — and how to create systems that make property management work better for everyone.

I also had a great mentor in real estate that helped me understand every aspect of investing in real estate as well as a lot about the trades and how to jump in and fix things. I believe that this strong first-hand knowledge of investment real estate and first-hand knowledge of the construction industry, the trades and property maintenance are some of the big things that make Centurion such a valuable asset manager for our clients.

BUILDING SOMETHING BETTER

As we grew I focused on building a company that thinks like the investor, acts like the owner, and cares for the resident.

We designed every process around performance — from leasing speed and rent collection to maintenance response and communication.

We didn’t just want to manage properties — we wanted to elevate the experience for everyone involved.

Back then -  over 20 years ago – it was a pretty sleepy industry.  So when I began to introduce systems and process and quality control and even software and technology – it was a BIG CHANGE.

EMBRACING TECHNOLOGY & SYSTEMS

In the beginning, it was just me and Excel…And a pen and yellow notepad. Oh yeah, and my Microsoft Phone with the stylus and slide out keyboard (do you remember those?).  Then I upgraded to the Blackberry Phone – what a game changer.

But over time, we researched, tested, and implemented the best property management software and automation tools available.

We built systems that streamline communication, reporting, maintenance, and accounting — all designed to make ownership simple, transparent, and profitable.

Technology changed everything — but culture kept us grounded.

CULTURE AND VALUES

What really sets Centurion apart is our culture…AND the PEOPLE.

We built a team that values integrity, accountability, and empathy.
We think like investors, but we never forget that there are real people living in these homes.

Every property, every tenant, every owner — they all matter.
Because when we care for people, the properties — and the results — take care of themselves.

TODAY AND BEYOND

Today, Centurion manages thousands of units across Oregon — and continues to grow every year. With our main property management office in Salem, Oregon and branch offices in Corvallis, OR and Eugene, OR.

But we’ve never lost that “from the ground up” mentality.
We’re still learning, still improving, and still committed to excellence — one property, one tenant, one owner at a time.

From the first spreadsheet to today’s systems and technology — our mission hasn’t changed:

To manage property, maximize performance, and treat every investment like it’s our own.

 “If I have seen further, it is by standing on the shoulders of giants.” — Isaac Newton

In recognition of its commitment to excellence and customer service, Centurion was named the Best Property Management Company in the Willamette Valley for 2025, reflecting its ongoing pursuit of the highest professional standard for both property owners and tenants.

“Reaching 20 years in business is an incredible milestone, and it speaks directly to the trust our clients place in us,” said Mendell Gosnell, Founder of Centurion Real Estate Management, LLC. “Our success is built on strong systems, dedicated people, and a commitment to doing things the right way. Being recognized as the Best Property Management Company in the Willamette Valley in 2025 reinforces the standards we’ve worked to uphold as we enter our 20th year.”

Centurion provides a comprehensive suite of property management services designed to deliver peace of mind and maximize investment returns. These services include expert market analysis, professional marketing and tenant placement, thorough screening and leasing, rent collection, detailed financial reporting, preventive and emergency maintenance, and legal compliance. The company manages a wide variety of property types — from single-family homes and condos to multi-family complexes and commercial buildings — tailoring solutions for both seasoned investors and first-time owners.

The company’s success is built on a service-first mission that prioritizes communication, transparency, and long-term owner satisfaction:

“Our mission is to serve — serve our investors by helping them acquire properties that perform as expected; our clients by taking care of their properties as if they were our own; our residents by providing a pleasant rental experience; and our staff by helping them grow professionally,” said Mendell Gosnell, Founder of Centurion Real Estate Management, LLC.

With more than two decades of experience and a robust team of trained professionals, Centurion also offers industry-leading customer guarantees, including:

• Easy Switch Guarantee – seamless transition from another manager

• Results Guarantee – no management fee until rent is collected

• Money-Back Guarantee – 90-day satisfaction promise

• Pet Damage & Quick Lease Guarantees – added owner protection

• Rapid Response & Spanish-Language Guarantees – timely support for all clients and tenants

Over 20 years, Centurion has established a reputation for personalized service, strong tenant relationships, reduced vacancy rates, and owner profitability — all while expanding its local presence and growing with the communities it serves.

About Centurion Real Estate Management, LLC
Founded in 2006, Centurion Real Estate Management, LLC is a full-service property management company with offices in Salem, Corvallis and Eugene, Oregon. The company manages residential, multi-family, and commercial properties throughout the Mid-Willamette Valley, helping owners maximize their investments while delivering an exceptional tenant experience.

Media Contact:
Centurion Real Estate Management, LLC
1365 Commercial St SE, Salem, OR 97302
Phone: (503) 588-0940 | Email: support@c-rem.com
Website: https://www.c-rem.com/

 At Centurion, our mission is simple — to protect your property, maximize your returns, and provide peace of mind through proactive management, transparent communication, and proven systems built over more than twenty years in the industry.

We’re honored to partner with you and look forward to a long, successful relationship.

Welcome to the Centurion family — where your property is managed with care, integrity, and performance.

Today, we’re examining five fixed or semi-fixed expense categories that are increasing significantly this year—many of which are beyond your control.

This is not speculation. These are documented trends from 2025 renewals, county assessor projections, and our firm’s portfolio of over 2000 managed units.

Let’s begin.

Expense #1: Property Insurance – 8%+ Average Increase in 2025, More Expected

Property insurance premiums in Oregon rose an average of 8% in 2024, with some clients reporting increases exceeding 30%.

This follows three consecutive years of higher than usual increases.

For 2025, carriers have filed rate increases ranging from 15% to 28% statewide.

Action item:

• Review your renewal 60 days early.

• Consider higher deductibles to offset premium growth.

• Avoid switching carriers mid-term—new policies often exceed current renewals.

Expense #2: HOA Dues and Special Assessments

HOA-managed properties saw monthly dues increase $50–$200 in 2025.

More critically: special assessments are now common.

These are non-negotiable, one-time capital calls. Single-family homes avoid this risk entirely.

Expense #3: Property Taxes – 

Oregon county assessors have released preliminary 2025 values.

Generally limited to 3% cap

The “cap” on assessed‐value growth is ~3% per year for unchanged properties under Measure 50.

Tax bills can still increase more because of local levies, improvements, and new construction.

Recent examples show increases in the ~5% to ~12% range in some Oregon counties.

As a property manager or investor, always review the tax statement, check for new bonds/levies, and factor the tax increase into your property’s operating cost outlook.

Expense #4: Turnover and Capital Improvement Costs – Up 100%+ Since 2019

When a tenant vacates, expect turnover costs 2x higher than six years ago.

Total turn cost: Now $4,000–$7,000 per unit.

These are capital expenditures—some can be depreciated immediately and others depreciated over 5–27.5 years—not immediate deductions.

Expense #5: Rent Growth vs. Expense Inflation

2025 projected rent growth: 3.5%.

Some stronger markets like: Bend/Salem/Eugene): ~ 4%-6% annual growth

Compare:

Net result: Operating expenses rising 3–4x faster than revenue.

STRATEGIC RECOMMENDATIONS – How to Structure 2025 Acquisitions for Positive Cash Flow

1. Prioritize Single-Family Homes

• Turnover rate: ~significantly lower - a third lower than multifamily

• Avoid HOA exposure

• Stronger tenant retention (avg. lease: 3.2 years)

2. Target Suburban Submarkets

• Higher rent-to-value ratios

• Lower vacancy

3. Acquire New or Near-New Construction (2021–2025)

• Builder warranties cover:

  • Roof (10 yr)

  • HVAC (5–10 yr)

  • Appliances (1–3 yr)

• Zero major capex for 5–7 years

Real estate is still a great asset – always important to be prudent and proactive.

1. Real Estate as a Wealth-Building Tool: Investing in Salem rental properties offers long-term financial benefits, including passive income, property appreciation, and portfolio diversification. 

2. Research and Strategy Are Essential: Success depends on careful evaluation of the local market, neighborhoods, property pricing, and potential cash flow to make informed investment decisions. 

3. Professional Management Enhances Returns: Partnering with a property management company can reduce stress, maintain your property’s value, minimize vacancies, and maximize profitability while ensuring legal compliance.

Are you thinking of buying an investment property in Salem, OR? You should go for it! Real estate is one of the most reliable ways to build long-term wealth, offering passive income, tax advantages, and the potential for steady appreciation over time.

Whether you're looking for a consistent monthly cash flow, a way to diversify your portfolio, or a tangible asset that grows in value, investment properties can deliver all of that and more!

With the right strategy, real estate becomes a powerful tool for financial stability and growth.

However, successful investing requires more than enthusiasm; it requires careful consideration of key factors that influence performance, such as location, population metrics, economic trends, and quality amenities.

After all, these factors all play a crucial role in determining how profitable a property can be. Taking time to assess these fundamentals ensures your investment is positioned for long-term success.

If you want to invest in Salem real estate, but aren’t sure where to start, then keep reading! In this guide, the team at Centurion Real Estate Management will go over our tried and true tips to ensure you’re making a smart investment.

Why trust Centurion Real Estate Management?

What Is the Salem Real Estate Market Like?

The Salem real estate market is experiencing steady, stable growth, making it an attractive choice for both new and seasoned investors.

The typical home price in the city is around $431,000, reflecting a slight increase over the past year and demonstrating consistent appreciation. With home values below those of larger Oregon cities, the market remains relatively accessible for buyers and investors alike.

On the rental side, Salem provides reliable income potential, with average rents ranging from $1,400 to $1,800 depending on the size and location of the unit. 

Nearly half of the homes in Salem are renter-occupied, highlighting strong demand for rental housing and offering encouraging prospects for long-term investment stability.

Top Tips for Real Estate Investments in Salem, Oregon

Want to invest in Salem real estate? Follow these recommendations to maximize the potential of your rental property purchase!

Stick to Properties Within Your Price Range

Overspending is probably the most expensive mistake you can make as an investor. It’s easy to assume that a more expensive property will bring in higher profits. 

While this is partly true, higher-end properties also come with more expenses, whether it’s higher mortgage payments and property taxes, or costly management and HOA fees.

Luckily, you can avoid overspending by setting a realistic budget beforehand. 

By clearly defining how much you can afford to invest, from the purchase price to ongoing maintenance costs and potential renovations, you’ll be better equipped to evaluate properties objectively and avoid emotional decision-making.

This will effectively remove a lot of properties that would otherwise clutter your view of the market. Financial planning not only protects your investment but also positions you to make smarter, more strategic choices that support long-term growth and profitability.

Research the Local Market

Before purchasing an investment property, it’s essential to thoroughly understand the local market. Take some time to analyze recent home values, average rent prices, vacancy rates, and how long properties typically stay on the market.

Look into population growth, employment opportunities, and future development plans, as these factors can influence long-term demand. Understanding the local market and what types of rentals perform best will also help you choose a property that attracts reliable tenants.

The more informed you are, the better positioned you’ll be to make a strategic, high-ROI investment.

Choose the Right Neighborhoods

Location remains one of the most important elements to evaluate before making a purchase.

While Salem, in general, is a ripe area for real estate investments, every neighborhood has its own trends, pricing patterns, and renter demand.

Thorough market research will help you identify the areas with the best rental rates and tenant demand. Additionally, you should browse the web to see whether there are major developments underway.

Developments such as new educational facilities, infrastructure, and real estate projects are all indicators that an area is changing for the better.

 Are you looking for homes for sale in Salem, Oregon? 

Run the Numbers

Before committing to any investment property, it’s essential to run a full financial analysis to understand its true earning potential. 

Crunching the numbers helps you determine whether a property will generate positive cash flow, appreciate over time, and align with your long-term investment goals.

This means evaluating purchase price, potential rental income, operating expenses, and potential vacancy rates. You should also estimate repair costs, property taxes, insurance, and ongoing maintenance so you can have a more realistic view of the potential income and expenses.

Crunching the numbers is the foundation of smart, strategic investing. By analyzing different costs and scenarios upfront, even those that don’t look too promising, you’ll minimize risk and confidently choose a property that fits your budget and delivers stable returns.

Consider Partnering with a Professional Property Management Company

Managing an investment property is far from easy. From screening tenants and handling maintenance requests to staying compliant with local laws, the daily responsibilities can quickly pile up, especially for first-time investors.

The good news? You don’t have to do it alone! A professional property management company can take these tasks off your plate, ensuring your rental runs smoothly and efficiently at all times.

Beyond reducing stress, property managers help protect your investment’s long-term value.

They minimize vacancies, maintain the property, handle rent collection, and address issues before they become costly problems. With expert oversight and market knowledge, a property management company can boost your investment’s profitability while also giving you peace of mind.

In a Nutshell: Tips for Investing in Salem Real Estate

Investing in real estate can be incredibly rewarding, but it isn’t easy. Success comes from thoughtful planning and informed decision-making.

By setting a realistic budget, studying the local market, and carefully evaluating each property’s financial potential, you can avoid costly mistakes and maximize your long-term returns.

If you want to invest in Salem real estate but don’t know where to get started, contact the team at Centurion Real Estate Management!

At Centurion Real Estate Management, we help property owners make informed, strategic decisions that protect their investments and minimize risk. One of the most challenging experiences for landlords is dealing with a tenant who stops paying rent or refuses to vacate.

While eviction is sometimes necessary, it can also be costly, time-consuming, and stressful. Fortunately, there’s a practical alternative that in specific cases, can make better financial sense — Cash-for-Keys.

It might sound counterintuitive at first — paying a tenant to move out — but in many cases, this approach can save thousands of dollars and weeks (or even months) of waiting.

What Is “Cash-for-Keys”?

Cash-for-Keys is a voluntary agreement between a property owner (or their property manager) and a tenant where the tenant agrees to vacate the property by a specific date in exchange for a cash payment.

This payment acts as an incentive for the tenant to leave the home in good condition, hand over the keys, and avoid a formal eviction.

The idea became popular during the 2008 housing crisis when lenders used it to avoid costly and lengthy foreclosure proceedings. Today, it remains an effective tool for landlords facing similar situations — especially when eviction timelines are long or unpredictable.

When to Consider a Cash-for-Keys Agreement

Cash-for-Keys isn’t the right choice in every situation, but it can be the smartest business move under the right conditions. At Centurion Real Estate Management, we typically consider this approach when:

• Eviction timelines are long or costly. Some counties have extended court backlogs, meaning months of waiting before you can regain possession.

• The tenant is unlikely to catch up on rent. If payment plans aren’t realistic, it’s often better to move toward a solution that minimizes ongoing losses.

• You want to avoid potential property damage. A tenant facing eviction may feel resentful or act destructively. Offering an incentive to leave peacefully can help protect your property’s condition.

• Legal fees are high. In some areas, attorney costs can add up quickly — often exceeding what you’d offer in a Cash-for-Keys agreement.

• You want a faster resolution. A well-structured Cash-for-Keys deal can resolve an occupancy issue in a matter of days or weeks, not months.

Doing the Math: Why It Often Pays Off

Let’s compare the typical costs of a standard eviction versus a Cash-for-Keys agreement.

Example:

• Monthly Rent: $1,500

• Average time to complete eviction and regain possession: 4 months

Option 1: Eviction

• Legal Fees & Court Costs: $1,200

• Lost Rent (4 months): $6,000

• Lockout & Repairs: $1,500
   Total Cost: $8,700

Option 2: Cash-for-Keys

• Cash Offer to Tenant: $1,500
  Lost Rent (2 weeks): $750
   Total Cost: $2,250

That’s a savings of over $6,000 — not to mention a faster turnaround time and fewer headaches. Even in faster-moving jurisdictions, Cash-for-Keys often still comes out ahead.

It’s a simple formula:
 âœ… Less time waiting for court dates
 âœ… Less risk of property damage
 âœ… Less money lost overall

In the next article, we’ll break down some of the best practices for structuring an effective cash-for-keys agreement.

Shifts in Oregon’s Rental Landscape

When I started out, Oregon was considered a landlord-friendly state while still being fair to tenants. Over the past decade, that balance has flipped. At times, it feels like landlords and investors have been painted as the “bad guys,” while tenants have become the highly protected class.

On one hand, these changes have made our company stronger and created higher barriers to entry in property management. On the other hand, I don’t believe the pendulum swinging this far has been ultimately good for tenants either. Accountability should apply to everyone—including tenants.

Nail Holes and Security Deposit Disputes

Now, I promise this isn’t just a rant (okay, maybe a little), but there’s a point here. One area we’ve seen this shift play out is with security deposit disputes—and lately, tenants are winning more of them.

A big sticking point? Nail holes. Increasingly, judges are ruling that pinholes and nail holes—even in larger numbers—are considered normal wear and tear.

We’ve challenged this in court multiple times, but more often than not, it’s a dead end. For clarity: we’re not talking about a few holes from picture frames—we’re talking about what, in our professional opinion, is “excessive.” Still, the rulings haven’t been in our favor.

What This Means for Landlords

At the end of the day, this isn’t something to lose sleep over. But it does illustrate how the environment is shifting more and more toward tenants, both in law and in judicial interpretation.

Oregon Is Still a Great Place to Invest

So, has this changed my opinion on real estate as an investment? Absolutely not. Oregon remains one of the best places for long-term investors to build wealth through real estate.

Chasing higher yields in other states may look tempting, but often the returns don’t hold up over time. The truth is, the game is always changing—and the winners are the ones who adapt.

Stay Ahead in Property Management
The rules and realities of property management are always evolving—but staying informed and adaptable makes all the difference.

Why Landscaping Maintenance Matters During Vacancy

Curb appeal directly affects prospective tenant interest and the perceived value of the property. Poorly maintained landscaping can deter renters, extend vacancy periods, and violate HOA or municipal codes.

Routine maintenance also prevents long-term damage, such as dead grass, overgrown vegetation, or pest infestations.

When Does the Management Company Take Responsibility?

Property management companies typically assume responsibility for basic landscaping upkeep upon contract initiation. This includes:
- Lawn mowing
- Weed control
- Leaf and debris removal
- Pruning of bushes or shrubs

If the lease has not yet started and the unit is vacant, the management company should still ensure that the landscaping is maintained to a presentable standard.

Recommended Landscaping Frequency for Vacant Units

• Mowing and edging: Every 7–14 days, depending on growth season
• Weed treatment: Monthly, or as needed
• Leaf removal (Fall): Weekly or bi-weekly
• Irrigation check: Monthly (to ensure sprinklers are functioning during dry months)
• Pruning: As needed for appearance and safety

Landscaping Vendor Coordination

The management company should coordinate with landscaping vendors upon takeover of a new property to:
- Assess current landscaping condition
- Set a service schedule during the vacancy
- Report any issues such as broken irrigation, erosion, or pest damage

Owner Communication and Expectations

Owners should be informed upfront about:
- Landscaping standards during vacancy
- Estimated recurring costs (e.g., bi-weekly service fees)
- Who is responsible for special care, like tree trimming or irrigation repair

This helps prevent confusion and builds trust between the property manager and owner.

Transitioning Responsibility to New Tenants

Upon lease signing, responsibility for basic landscaping typically transfers to the tenant unless otherwise specified in the lease.

A pre-move-in landscaping service should be completed to ensure:
- The yard is in rent-ready condition
- There is a clear standard for tenant maintenance going forward
- Move-in condition photos are documented for accountability

Conclusion

Landscaping maintenance during vacancies is not just cosmetic—it’s strategic. Clear standards, regular care, and proactive communication ensure properties remain attractive, rentable, and compliant. 

• Salem offers a balanced mix of government, healthcare, education, and agriculture jobs that keep rental demand steady year after year.

• Steady population growth and an affordable housing market create consistent opportunities for investors seeking reliable rental income.

• Salem’s location along the I-5 corridor between Portland and Eugene makes it attractive to commuters, students, and long-term residents alike.

• Ongoing property value growth paired with strong tenant retention gives investors the potential for both monthly income and long-term equity gains.

Are you looking to invest in Salem, OR real estate? Real estate investments are one of the most reliable ways to generate consistent income and long-term wealth. Owning a rental property lets you enjoy monthly income while benefiting from the natural appreciation of your investment over time.

Of course, not every housing market offers the same potential. To make a wise investment, it’s crucial to focus on areas with steady economic growth, diverse industries, and strong rental demand. That’s what makes Salem, Oregon stand out.

As the state capital, Salem combines the charm of a small city with the stability of government employment, access to education, and proximity to Oregon’s most scenic landscapes. For investors, that means a dependable rental market and an expanding base of residents who appreciate quality housing options.

Keep on reading this guide by Centurion Real Estate Management to learn more about investing in Salem, Oregon, real estate.

Why Invest in Salem, OR Rental Properties

1. Strong Local Economy

Salem’s economy is one of its strongest assets. As Oregon’s capital, it benefits from the stability of government institutions, yet it’s far from being a one-industry town. The city has a balanced mix of sectors, including education, manufacturing, agriculture, and healthcare.

The presence of Willamette University, Salem Health, and several major state offices ensures a constant flow of renters seeking quality housing near their workplaces. Additionally, agriculture and food processing industries surrounding the Willamette Valley continue to play a major role in the area’s prosperity.

This steady, multi-sector economy gives investors confidence that rental demand will remain consistent regardless of market cycles.

2. Thriving Tourism Scene

Salem’s appeal extends beyond its residents; it’s also a popular destination for visitors exploring Oregon’s heartland. The region offers a perfect combination of outdoor beauty, cultural history, and unique attractions.

Visitors enjoy stops at the Oregon State Capitol, Willamette Heritage Center, Riverfront Park, and the Deepwood Museum and Gardens. The nearby Silver Falls State Park, known for its waterfalls and hiking trails, adds to the area’s charm.

For investors, this means opportunities in both long-term rentals and short-term stays. Vacation properties and furnished rentals can perform especially well during Oregon’s high travel seasons.

3. Steady Population Growth

Salem continues to attract new residents thanks to its affordable cost of living, slower pace, and strong job opportunities. People relocating from Portland and other parts of the Pacific Northwest find Salem appealing because it offers urban conveniences without the big-city congestion.

This steady growth contributes directly to healthy rental demand. More people moving to the area means more potential tenants and a need for reliable, well-maintained housing. For investors, that equates to lower vacancy rates and consistent income potential over time.

4. Accessible Location

Salem’s strategic location between Portland and Eugene gives it a unique edge for investors. The city sits along the I-5 corridor, providing quick access to major business centers, airports, and regional attractions.

This convenience makes it ideal for those who want proximity to Portland’s opportunities but prefer to live in a quieter and more affordable community. The easy access to both coastal areas and mountain getaways also makes Salem a hub for recreation and weekend travel, factors that continue to draw both renters and homeowners alike.

5. Affordable Housing Market

Compared to larger Oregon cities, Salem offers a more accessible entry point for property investors. While Portland’s housing prices have climbed in recent years, Salem’s market still provides good value and strong return potential.

Investors can find single-family homes, duplexes, and small apartment complexes that offer stable rental yields without excessive upfront costs. The city’s affordability also attracts long-term residents, creating a solid tenant base that values quality housing at reasonable rates.

6. Expanding Education and Employment Opportunities

Education is a cornerstone of the Salem community. The city is home to Willamette University, Chemeketa Community College, and several highly rated public and private schools. Residents looking for quality education options often settle here, driving steady demand for single-family rentals.

The combination of government institutions, universities, and healthcare facilities creates a wide pool of renters. This diversity allows investors to target different tenant demographics, from short-term academic leases to long-term residential arrangements.

7. Attractive Lifestyle and Outdoor Recreation

Life in Salem offers a balance that many residents find appealing. The area provides easy access to nature, from the wine country of the Willamette Valley to scenic trails and parks within minutes of downtown. Residents enjoy a slower pace, community events, and a charming downtown filled with local restaurants, shops, and art galleries.

For renters, these features create a lifestyle worth staying for. The combination of natural beauty and community living means Salem maintains strong retention rates, another advantage for investors seeking reliable, long-term tenants.

8. Stable Real Estate Appreciation

Salem’s property values have grown steadily in recent years, reflecting both local demand and Oregon’s overall market strength. The city’s balanced economy and manageable population growth help prevent extreme market volatility, offering investors long-term stability.

This steady appreciation, paired with consistent rental income, creates the kind of dual return that every real estate investor looks for. Salem’s housing market continues to show healthy signs of growth, making it an appealing place to build equity over time.

9. Plenty of Local Attractions

Beyond its economic appeal, Salem offers plenty of reasons people love living here. The city blends history, culture, and natural beauty, making it a rewarding place for residents and visitors alike.

Popular attractions include:

• Riverfront Park and the Carousel, where locals enjoy weekend outings.

• Bush’s Pasture Park, known for its rose gardens and walking paths.

• Salem’s Historic Downtown, filled with coffee shops, markets, and art spaces.

• Silver Falls State Park, just a short drive away for hiking and camping.

• Oregon Garden in nearby Silverton, offering acres of botanical displays.

Each of these destinations enhances the area’s overall appeal and helps keep rental demand strong year-round.

Final Thoughts

Salem combines economic stability, natural beauty, and affordability in one promising package. Its growing job market, accessible location, and balanced pace of life make it a magnet for renters.

For investors, that translates to steady returns, a broad tenant base, and lasting property value. Salem offers the advantages of Oregon’s lifestyle without the high costs of larger markets, making it a solid, sustainable choice for real estate investment.

Partner with Centurion Real Estate Management today. Schedule a consultation to see how our local expertise can help you get the most out of your Salem rental property.

Over the years, we’ve asked our residents to share feedback after a vendor or maintenance technician completes a work order. This helps with quality control, keeps everyone accountable, and lets us know quickly if any issues arise.

The truth is, only a small percentage of tenants respond—and those who do are more likely to share a complaint. That’s okay, because we want to know when something goes wrong. On the flip side, it’s always fantastic to receive glowing feedback when a technician does an excellent job. These comments boost morale for our team and give us a chance to recognize the techs working hard day in and day out.

Our Recent Feedback Push

This past spring and summer, we made a focused effort over two months to gather reviews. We received 57 responses, of which 8 were negative or “less than stellar.” At first glance, that’s about 14%—a number that had me concerned.

I asked our staff to dig into the negative reviews, follow up with tenants, and resolve any issues immediately. Here’s what we discovered:

• Of the 8 negative reviews, 2 weren’t even about maintenance work—they were separate tenant issues, which we addressed and resolved.

• The remaining 6 reviews came from properties where owners were handling their own maintenance or using their own vendor.

The Real Lesson

We completely understand—maintenance can be expensive. But do you know what’s even more expensive? Vacancy.

Unhappy tenants don’t renew leases. They leave bad reviews. They damage the reputation of your rental property—and, by extension, the property management company representing it.

In some cases, unresolved maintenance issues can even escalate into legal disputes or court action. Cutting corners today can end up costing a lot more tomorrow.

Why Reputation Matters

Tenants don’t see who hires the vendor—they just see the property management company. That means our reputation is on the line every time. Investors also consider reviews when choosing a property management company, so maintaining a strong track record benefits both your property and our professional credibility.

While our in-house techs have made mistakes over the years, the difference is we have much more control over our own staff than over outside vendors. Customer service matters—everywhere, every time.

Our Commitment

If we all work together with the same goal in mind, we can continue to shine as the best in the business by providing the one thing that matters most: an incredible experience for our residents.

At the end of the day, the resident is the customer—and happy customers stick around.

Dampness and moisture in a unit often indicates a lack of insulation, ventilation, heating, and/or a combination of factors. It can occur on wall surfaces, at the base, or even from the top near the ceiling. It can also pool near egress windows, vents, and shafts, although moisture is usually most prevalent in poorly ventilated areas.

In most cases, moisture related issues can be tied back to tenant choices and lifestyle. Some examples include failure to open windows, unwillingness to utilize general ceiling fans or extractor fans in bathrooms, and covering vents with personal effects. Thus, it’s important to consider a tenant’s way of life and discuss common solutions with them when exploring the root cause of moisture related maintenance requests. 

This checklist will help you determine if a moisture related request is likely tenant related or if there is a deeper issue that should be investigated further. Proactively identifying and remediating these issues can help avoid non-compliance with local and state housing, health, and safety regulations. 

Basic Checklist for Moisture Issues to help determine if the problem might be a tenant caused issue

• Are there blankets or other coverings over the blinds and/or windows?

Windows that are frequently closed or covered prevents humid air from escaping resulting in poor ventilation. 

While tenants shouldn’t be expected to keep windows open at all times, advising them to open windows while cooking or showering can help improve airflow and reduce condensation.

• Are there doors closed inside the dwelling unit?

Similar to windows, closed doors can trap humid air in rooms throughout a unit. By not allowing air to properly circulate, condensation and moisture build-up can occur. 

Tenants often close bedroom doors regularly to try and retain cool air and reduce noise in an attempt to improve sleep quality. However, most people are unaware that a sleeping person can exhale more than a liter of water vapor while they sleep. 

Without proper ventilation, this can be a major source of condensation, especially during colder nights. Consider other closed off areas as well, such as bathrooms and kitchens, both of which routinely release steam.

• Is the heat turned down? Is the heat turned off at the breaker?

Having the heat turned down or completely off can sometimes foster moisture related issues. Increasing the heat in a unit, even a few degrees, warms the air and allows it to hold more water molecules, thereby reducing relative humidity. Bumping up the thermostat and opening windows and doors can help maintain proper humidity without sacrificing comfort.

• Are there any metal windows?

Windows made out of aluminum or steel are more prone to condensation. That’s because they can transfer temperature more rapidly than other materials. Opening windows, running a ceiling fan, and using dehumidifiers can help reduce moisture build-up from this source. Weatherstripping can also help create an airtight seal preventing outside humidity from moving into a unit.

• Is there a noticeable temperature differential between dwelling spaces?

If there is a noticeable temperature difference between dwelling spaces, chances are the tenant is keeping doors closed and not using ceiling fans or vents. They could also be utilizing space heaters or small, personal fans that inhibit air circulation which can lead to increased moisture.

• Is there furniture up against the walls that might be hindering air flow?

Furniture, clothing, or other personal property that the tenant owns may be restricting air from flowing properly at a vent or exhaust. Not only can this cause moisture build up, but they risk their own personal property being damaged in the process. In some cases, this can also lead to other risk exposure such as a fire.

• Are there multiple beds or other indications of excessive occupancy?

More people occupying a unit increases the amount of water vapor being released into the air. It also can increase indoor temperatures from the additional body heat. Additionally, expect greater utilization of bathing and cooking areas which commonly release steam into the air. 

All these factors can contribute to fostering a humid indoor environment which can lead to greater health hazards and remediation costs.

• Stove elements burned out?

It sounds crazy but some tenants may try to use the stove to help heat their unit. Others may use it to continuously boil pots of water or leave the oven door open. All of these factors impact the indoor humidity which can lead to moisture related issues.

Furthermore, these types of tenant practices are dangers for other reasons. It can lead to excessive carbon monoxide build up, increases the risk of a fire, and it can impact the longevity of the appliances being used leading to risk of both mechanical and electrical issues.

• Is it during the winter months?

When the weather is cold, tenants often hunker down and ramp up the heat. But often this causes the air to become dry. Many tenants turn to a humidifier which can add moisture to the air which can lead to condensation forming on walls, floors, or other surfaces. 

To summarize, moisture related issues should always be investigated with proper due diligence. However, the root cause of these issues isn’t always clear and can often stem from a tenant’s choices and lifestyle. This checklist should help you identify if a moisture related issue is tenant related.

Most property owners understand that sales are something separate and different from day-to-day property management operations.  However, if your property management firm also specializes in sales, it could be your best option.  

Here are a few MAJOR benefits to consider:

1. You have an established trusted relationship with the Firm.

2. They have an existing relationship with your current tenant.

3. They are already familiar with your property

4. They are experts in the local real estate market

Think about it, property management companies have to earn your trust day-after-day, month-after-month and year-after-year.  You just can’t say the same thing for your typical real estate sales agent.

Especially if you have a tenant in place, your management firm is well positioned to be the intermediary throughout the sales process and make things go much more smoothly.  After almost 20 years in the business, we know that most agents don’t want to deal with tenants and usually try to get us to do their job throughout the process.  Also, if your management company handles the sales, most of the time they won’t charge extra for the process of handling the tenant.  Generally, if they have to do extra work in a sales process that they are not selling you will see some additional charges for that time as it is not normal property management and therefore not covered by the management fee.

Lastly, many top-notch property management firms will have maintenance techs and a large network of vendors and tradesmen to call upon if your property has any repairs or fixes that might be needed or recommended to get that top sales price in the market.  This alone could be worth its weight in gold to streamline and expedite the sales process. Along with the existing relationship with the tenant, knowledge of your property and ongoing knowledge and expertise of the local real estate market – the only thing left to say is…SOLD.

We would love to help you buy more and sell when you are ready!!!

According to the National Apartment Association (NAA), 98% of people search for apartments using online resources, which means if you have a weak (or non-existent) digital marketing plan you could be losing out on a ton of potential earnings.

But what is equally impactful to your digital marketing plan is choosing the right ad service that will get you the most bang for your buck. You want a service that can get you results, inform rental decisions, and that can scale with your business strategy.

Many investors make the initial mistake of focusing too much on cost, opting for more “free” subscription services rather than electing for a premium offering. Sure, free offerings can generate some upfront savings, but they also often require sacrifices of efficiency and performance. 

At the end of the day, it’s about driving leases. While no one wants to incur additional marketing costs, in a digital world it’s become inherently more and more a “pay to play” game. Here are a few reasons why you should choose a premium ad service over the free alternative if you care at all about profitability.

Three Reasons to Choose Premium

Choosing a premium ad service for your rental listings is the ideal option for most investors who are looking to leverage data and manage tenant turnover more efficiently. Let’s take a look at what sets a premium ad service apart from a free alternative, supporting why it’s the superior ad service solution. 

1. Increased Visibility and Priority Exposure

As the saying goes, you get what you pay for. One of the biggest benefits to purchasing a premium ad service is that you get heightened exposure across an ISL’s network. 

Providers like Apartments.com note that search impression and renter views quadruple, offering 20% more high-quality leads when using their premium ad service option. 

Zillow Rental Manager also highlights increased exposure as a benefit when upgrading to a premium listing, mentioning that premium listings are positioned higher in search results for potential renters in your area.

More exposure increases your chances of getting a quality tenant to fill your unit, thereby reducing the time your units remain vacant and minimizing disruption to your cash flow. The heightened exposure can outweigh the cost of upgrading from free.

2. Built-In Services and Client Support

Generally, the more you pay for a service the more features you unlock. For many premium services, your dollar goes further by having access to embedded features such as built-in tenant screening services, rental comparisons, and enhanced reporting.  

Most paid services also come with exclusive client support for any issues that might come up with your service. Knowing you will get priority attention should you experience an issue makes upgrading to a premium ad service a no brainer. 

3. Expanded Functionality 

Lastly, when you upgrade to a premium service, you expect greater functionality than a free alternative. Free ads often provide only limited functionality which really dilutes their effectiveness as a long-term solution. 

On the other hand, premium services offer expanded functionality. For example, free ads might only let you list properties with less than 5-units. Any properties over that cannot be listed without a premium service. 

Premium services also often offer less restrictions, increase the number of details you can list about a unit, and allow clients to upload higher quality photo and video content. On certain platforms you can tag listings by neighborhood or highlight more prevalent features that will help drive traffic to your property.

Essentially, premium users can customize their experience to leverage features that have more of an impact on their bottom line. 

Key Takeaways

Paying for a premium service is sometimes a hard pill to swallow, especially when you might not know exactly what you are paying for. But when it comes to a premium ad service, the results speak for themselves. 

Many investors make the mistake of utilizing free listing options as a way to attract new prospective renters, only to gain little traction with their listing. That’s because successful investors know that paying a little bit more for greater visibility and online traffic will more than pay for the cost of the service.

Premium ad services simply work better than the free counterpart and, as a bonus, they come with a lot of functionality which, if leveraged correctly, can help provide meaningful data that can be utilized to supercharge your ads and get your vacant units leased quicker. 

They can also happen at rental properties between the landlord and the tenant. As a landlord, it is crucial to understand the legalities behind the tenancy agreements you make with your tenants. This is to protect you and your investment and will also make your life easier. Knowing what you are legally responsible for helps you plan, budget and prioritize your resources and time, allowing you to maximize your investment while taking care of the relationship as well.

Landlords and Their Legal Reasons to be on Site

Before moving on, it is important to note that the following is general legal information, provided as a public service by Oregon's lawyers. The information is not intended to be legal advice.

Tenants are entitled by law to exclusive possession to their rental unit, which means that they have the right to privacy. However, Oregon law also says that landlords have a strict duty to rent only units that are "habitable" - or in a safe, sanitary and functioning condition. 

Knowing this, what reasons does a landlord have to be on the premises?

• Landlords must make repairs when a rental unit becomes uninhabitable or otherwise needs repairs. 

• To make these repairs, the landlord may enter the rental with the appropriate contractor or repair person. 

• Landlords also have the right to inspect the rental from time to time to ensure that it is in sound condition. 

• Finally, landlords also have the right to sell the rental property or rent the property to others. To that end, under certain conditions landlords may allow potential tenants or buyers to inspect the property.

To help balance a tenant's right of privacy with a landlord's duties and rights, there are rules about when and how landlords can enter a unit. Generally speaking, a landlord must give notice at least 24 hours in advance before entering the rental home, or even coming onto the yard area of the rental. 

There are several exceptions to this general 24-hour-notice rule:

1. Landlords always have the right to come onto the rented property - but not into the dwelling unit itself - to give notices permitted by law or the rental agreement. No advance notice is needed for this sort of entry. The law states the “main entrance” is acceptable. If the landlord begins peering into windows lurking about to see inside, they are not in compliance with the law.

2. In an emergency - such as a fire or burst water pipe or other problems that may cause serious damage if not dealt with immediately - a landlord may enter the unit without any advance notice. If the landlord makes an emergency entry when tenant isn't home, he or she must tell tenant within 24 hours what the emergency was, when it happened and the names of the people who entered.

3. If the tenant asks in writing for specific repairs, the landlord generally has a seven-day period to make the repairs without giving any advance notice. After seven days, unless the landlord is still reasonably working on the repair, the regular 24-hour advance notice rule applies. If a repair person is someone other than the landlord, the tenant may ask to see written authorization from the landlord for that person to come into your unit.

4. Tenant and the landlord may agree that less notice or no notice is required before a particular entry. This agreement can only cover that particular situation; it does not mean the landlord can enter with less than 24-hour notice in other situations.

5. If the tenant has an agreement in writing that the landlord is required to do yard work, and the tenant and landlord also agree that someone can enter the yard to do yard work without entering the unit, the landlord doesn't need to give 24-hours' notice.

6. If the landlord reasonably believes a tenant has moved away permanently or abandoned the unit, the landlord may enter.

7. A final exception is when the rental unit is for sale. The landlord may want frequent access to the unit to show it to prospective buyers. If the unit is on the market, the tenant may agree to allow access to the landlord without requiring 24 hours’ notice. Tenants must sign a written agreement that is separate from the rental agreement. That separate written agreement must provide the tenant with some sort of compensation in exchange for the special access. And, of course, the tenant does not have to agree to this type of arrangement at all.

The landlord and the repair people must enter rental units at reasonable times and they must be discussed with the tenants. The right to entry is not a tool that can be used to harass tenants and landlords are not allowed to inspect tenants’ belongings in the home.

Tenants have the right to refuse entry after receiving a 24-hour notice. Tenants may refuse entry by specifically alerting the landlord of their decision, or they may attach a written notice of refusal to the front of the rental in a secure manner. However, just as the landlord may not abuse the right to issue a 24-hour notice to harass or retaliate against the tenant, the tenant may not arbitrarily deny access to the landlord after receiving a 24-hour notice. 

If tenants do not let the landlord enter the rental home after he or she has given proper notice, the landlord may get a court order to allow reasonable access or end the rental agreement. The landlord can also sue a tenant for losses caused by your failure to cooperate.

How to Protect Yourself and Your Investment

Always make sure to use written notices and proper forms as much as possible. This communicates when and why you will be in the unit, as well as leaves a paper trail of consent and notices. Make sure to understand the laws that dictate the landlords and tenants Acts. By doing this, you are protecting yourself from making any legal mistakes that could be costly.

Finally, the best way to make sure that you follow the laws and are doing things by the book is to hire a professional property management team. Centurion Property Management is always in compliance with local laws and takes pride in providing top-notch services for you and your properties. Reach out to Centurion Property Management today. 

• If you have an amazing property with terrible tenants, it decreases everything about your property: the profitability, the value and the desirability of your property are impacted. 

• If you have a less-than-stellar property with amazing tenants, everything about your property will increase. The profitability is higher. The desirability of your property increases. Also, while the value of your property won’t increase because of great tenants, it is more likely that it will be in better shape when those tenants leave than if you had terrible tenants. This means it is easier to rent again with less associated repair costs. 

All of these facts point to one logical conclusion. It is extremely important, even critical, to select the best tenants right from the beginning. It is so important that if there were no quality applicants for the unit, it may make more sense to wait for the right tenant than to rent it to just anybody.

How Do You Choose the Right Tenants?

If it is so critical that the right tenants move in, what is the formula? How do you attract the right type of tenant? How do you reach them? When they come in for a viewing and apply for the unit, how do you know if the applicant is the right person? 

These are important questions and they deserve thorough answers. When you buy a real estate investment property, it doesn’t come with a handbook on how to screen the right tenants or how to make sure that your investment property is profitable. You have to figure it out yourself… unless you hire a professional property management company like Centurion Property Management.

Leveraging our years of experience and our knowledge of the proper tenant/landlord dynamic, we know how to choose the right tenant. Here is the 5-step process to choosing a great tenant.

5 Steps to Choosing the Best Tenant for Your Property

1. Prepare the Property

• Making sure you put your best foot forward will help ensure that you attract the best tenants possible. If your unit looks like a place that is welcoming and would make a great home, you have a better chance of finding a great tenant.

• Curb Appeal. How does your unit look from the outside? How does it make you feel when you look at it? These are important factors for people and the first impression can make or break the deal for a great tenant.

• Making sure the interior looks great and smells great. Freshly cleaned and vacuumed with a hint of a candle of some fresh baking. These are the smells that make people think of home and will help them picture themselves living in your unit.

• You could even take the extra step and stage the unit with some home decorations, shower curtain, rugs, plants, etc. The idea is that the applicants who will be great tenants are looking for long term rental properties. Seeing the potential of a unit can help them picture themselves enjoying that place as their home.

2. Advertise the Property

• Attractive pictures and good ad text placed in the right advertising medium will ensure a strong call volume. Quantity will lead to quality… if the advertising is in the place. Make sure people understand what is available and want to come and see it for themselves.

• It is also very important to accurately set your rental rate to ensure it is rented quickly…this can be done with a comparative rental market analysis.

     3. Thorough Screening of Prospective Tenants

• Check the identification to make sure they are who they say they are. This is critical to protect yourself against fraud or damages.
• Complete a thorough background check.
• Complete an in-depth check into their credit history and creditworthiness. Any major hiccups in this area should be discussed thoroughly with the applicant to understand the situation.
• Take a look at the state and national data banks. If there are any red flags, they need to be discussed.
• Consult with their previous landlords and make sure you ask the right questions. This process will let you know how they have treated other rental properties in the past.
• Check their record for recent evictions.
• Are they registered as a sex offender?

4. The Move-In Process

• A complete move-in packet with all the required and appropriate forms is essential. All the proper documents and legal forms should be included, as well as any unit-specific information.

• Going over the forms and especially the “Expectations” with the tenants is a must. They must understand what you expect of anyone renting your property. Clarity around expectations is what leads to a healthy tenant/ landlord relationship.

Now that you have successfully found a great tenant, now things shift to maintaining the property and managing the tenant to ensure a good relationship which leads to a long tenancy.

Great Tenants Lead to Great Properties

Rental properties and tenants can be a challenge. That is why having a great property management team on your side is crucial to making your rental property journey enjoyable.

Centurion Property Management has the processes and the proven track record to make sure that you get the best possible tenants for your property. Partner with Centurion Property Management and get the best of the best results from the best of the best in property management.

Brokers often use an A, B, C style model to break down the different grades of investment when it comes to rental homes. This is a simple system and it makes sense to start here.

People Will Live in Homes that Match Their Stages in Life

It is well known that people live in different styles of homes in different stages of their lives. Young, single adults often bunk up with others of their age group in multi-home dwellings. As people age, get married and start having kids, they tend to move into single detached homes as they focus on raising their family.

Inevitably, as their children grow and move out, older adults move back into smaller dwellings, multi-unit homes, that more closely match their needs. 

Parents raising children will often make decisions about where they will live based on their access to a good school. This is seen in the rental prices near these schools. You can find online rating tools that rank areas based on their proximity to quality schools.

Techniques for Ranking the Quality of Rental Houses

Proximity to schools is important because they play a critical role in determining a home’s status as either an A, B or C property in our ranking model. For a home to become an “A”, it needs to be both ranked as an 8, 9 or 10 on a school ranking site, such as greatschools.org, as well as be listed as at least 100$ more per month than a similar house in the area. A “B” ranked home would be in a good position to a school (over 6) but listed at the average for the area. Anything below a 6 rank for schools and average or less than the average price would be ranked “C”.

The age of the homes is another critical piece of information when ranking your potential real estate investment. This is why. Houses that are younger than 15 years old are less expensive to maintain. Any home that is between 15-25 years old will need the replacement of almost all of the major systems. Think of HVAC and appliances, as well as potentially windows and doors. 

Seek out the information of each system if you are looking at anything over 20 years old. This is the only way to make an educated decision about the home and its expected repair and maintenance costs.

Why Even Quantify the Quality of Different Rental Houses at All?

Why all the fuss about ranking these homes? Two words. CASH FLOW. This is the key to successful rental investing. Here is a simple breakdown of how cash flow works.

 High-quality properties:

• Generate more income

• Cost less to maintain 

• Lose less income due to vacancy 

• Lose less income due to delinquency (people not paying full rent)

“C” level homes will have higher ongoing maintenance costs and higher delinquency and vacancy rates but cost less to buy. Less cash up-front but they generate less income and more consistent costs.

“B” level homes will fall somewhere in the middle with mid-level vacancy, delinquency rates and costs. They will generate more income than a “C” level home and should cost you less in year over year maintenance.

“A” level homes are the costliest to buy up-front due to their superior location, condition and age. This means you can charge more for rent and expect the least amount of maintenance costs year over year.

How to Budget for Your Rental Property?

Calculating your rental property budget is a learning process. It helps to budget slightly more than you expect if that is possible. However, there is no secret formula for finding the perfect budget. Classifying your rental properties by a system like this will allow you to have a more accurate representation of what you will need to budget monthly.

Whether you have purchased an “A”, “B” or “C” level home, look at the systems you will likely need to replace and divide the cost by 12 months. Add 10% as a buffer in case of unexpected costs. This should give you a starting budget. Evaluate often and make changes accordingly. 

As a real estate investor, you will eventually find where you feel most comfortable. There is a balance of potential risk and potential yield from your investments that you must learn. You may prefer to invest in “B” grade properties because of the temperate mix of risk and yield. If you have the budget, you may want to stick with “A” properties. Maybe you value volume and choose to go for more “C” properties to increase your number of separate revenue streams. 

Everyone is different and has a unique level of tolerance for risk and reward. If you are buying rental properties, one thing is for sure. You will need a property management company. Reach out to Centurion today for the best property management services available. Excellence as a habit. Centurion.

While it’s not absurd to think that owning rental properties can be lucrative, the fact remains that the only real solution to make the process truly passive is to outsource the management of owned properties to a property management company.

When real estate is performing, complaints are few and far between. But amidst market and tenant challenges, property management companies often are the first to be blamed for poor performance. And there, in essence, is the disconnect. 

Property management is one of the most challenging aspects of real estate. Most of the time property management firms are burdened by the whims of tenant actions, as well as how the market performs. If the industry itself is experiencing challenges, many clients misplace the fault of underlying property performance on the property management company, and its staff, rather than on the market or tenants.

For example, situations can arise where tenants fail to make timely rent payments. Some clients believe that sending a letter to delinquent tenants, reinforcing the need for them to pay their rent on time, is a simple and effective remedy. But they don’t realize that the property management company is already chasing rent payments on their behalf.

These types of situations are not strictly black and white. Sending a letter may have very little impact and sometimes clients fail to see how little control property managers have in situations like this. Tenants lose jobs, move without notice, and even pass away. It’s not the fault of the management company when a tenant doesn’t pay rent (despite efforts to collect), yet they will often receive the ire from the investor for it.

Similarly, if mortgage rates drop and demand for rentals goes down, it’s not always on the management company if vacancy rates start to slip. Property managers cannot control underlying market trends. They can simply react and mitigate issues as they arise.

Ultimately, good property managers do everything they can to advocate for their clients. The reality is that it is not an easy job. If it were easy, all tenants would pay on time, follow the rules, and nothing would ever need repairs or maintenance.

But tenants don’t pay on-time (and frequently don’t pay at all), they break things, they lie, they fight and play loud music, they have pets even when no pets are allowed, and they smoke even amidst non-smoking policies. 

There is risk with all businesses and real estate is no exception. While property management company’s try to minimize these risks for clients by properly screening tenants, communicating rules and regulations, and ensuring properties are properly maintained, unforeseen things can still happen. 

Furthermore, all these unforeseen challenges come at a cost. For example, capital improvements will always be a necessity – things break down or become obsolete. Owners often misplace frustration toward property managers for having to replace a hot water heater or HVAC system when, in reality, these situations are often outside a property manager's control. 

Honestly, an article like this just wouldn’t be complete without bringing the receipts. When asked for feedback from property managers on the things they find frustrating, they came up with a handful of common challenges faced on a daily basis. 

• Trash Collection – both tenants and non-tenants dumping junk and unpermitted items into receptacles, regardless of when deterrents, including cameras, locks, or fencing, is installed.

• Parking – people parking in tenant reserved spots or public projects restrict street parking during specific dates or times.

• Homelessness – properties may reside in an area with large homeless populations outside a property manager's control. It’s hard to get police to respond and the governor, mayor, or even city council often don’t offer a solution to deal with this out-of-control problem

• Tax Reporting – complaints about the issuance of 1099 reports for prepaid and gross rents are very common, even though the IRS mandates the reporting of these items as a requirement.

• Tenant Screening Laws – certain processes are legally permissible while others are not. Property managers are often bound by what the state deems legally permissible, which can be frustrating. 

• INFLATION – I just had to add this one as more recently, the shock of inflation has caught many of our staff and investors by surprise. With the cost of everything going up so much so fast, it has been overwhelming to say the least.

If these issues sound familiar, that shouldn’t surprise you. Landlords probably have a very similar list of issues frustrating them. The point is that both landlords and property managers are on the same team and need to work together to push through and address these problems.

It’s also important to maintain perspective and have confidence in your property management company, remembering that the value they provide is taking these difficult processes (tenant management, rent collection, marketing, building maintenance, and so much more) off your plate – making the process as passive to you, the investor, as possible. The issues do not go away, the headaches of dealing with these challenges remains an everyday reality that the property management company “manages” on your behalf.

We truly appreciate the clients we manage for and the understanding and trust that they have in us and we will continue to work diligently on your behalf. 

The easy answer is that pest control is a shared responsibility. But like most other laws related to housing, the line isn’t always well defined. 

Here’s what you should know about maintaining a pest-free property.

Tenants’ Role in Staying Pest-Free

The way a tenant lives can sometimes make for an inviting environment for pests. For example, routinely leaving crumbs on counters, tables, and floors is like asking for roaches and mice to invade. Sleeping with the windows open (and no screens) means that bugs and other pests might soon follow. Or in some severe cases, a hoarding-type situation where floors and walls are covered with boxes, trash, and debris can make it harder to find and eliminate pests from the property. 

Tenants bear a responsibility in maintaining a pest-free home by keeping the property clean and free of clutter and debris that might provide a suitable home for pests.

Landlords can ensure properties are being well kept by scheduling routine inspections and addressing potential issues that could be health hazards. For more information on how to properly conduct a property inspection, please contact us.

Landlords’ Role in Creating a Pest-Free Property

Prior to renting a unit, landlords have a responsibility to provide tenants with a pest-free home. This means ensuring small holes or cracks are sealed to limit the ways in which pests can enter. Major known issues, such as termites or a rodent infestation in the attic, should be addressed prior to renting the unit. 

If pests become a problem after the tenant has taken possession of the unit, it can be hard to draw a conclusion between an infestation and tenant behavior. Exceptions would be something like bed bugs, which can hitch a ride on a tenant’s clothing or luggage and would most likely be caused by the tenant or a guest.

And even in cases where landlords believe the tenant caused the infestation or pest problem, landlords must be able to prove so in a court of law. This should always be the final consideration when determining who should pay for the removal of pests. And in the meantime, landlords would err on the side of caution by handling the pest removal themselves and then seeking reimbursement from the tenant if it is determined the tenant contributed to the problem.

Now, let’s look at some common pest problems and the best way to approach them with your tenant.

Bats

Some openings in the upper areas or homes are large enough for bats to enter. Bats are the landlord’s responsibility to get rid of because their entry is very rarely due to the tenant’s behavior. Seal up any entry points and clean up their nest areas.

Bedbugs

Bedbugs are typically caused by tenants, even though it’s not necessarily their “fault.” Bed Bugs attach themselves to luggage and clothing, then catch a ride into a home to proliferate. However, in multi-family units, bed bugs can jump between units through outlets and other crevices. It’s not always easy to find ground zero, and treatment is often provided at the landlord’s expense if the source of the infestation can’t be found.

However, if you can prove with certainty where a bedbug problem originated, you may be able to hold a tenant financially responsible for the treatment. It’s advisable to at least try to find the source, as getting rid of bedbugs can be a months-long, highly invasive, and costly ordeal. It’s also best practice to take charge of the process so that tenants aren’t tempted to take a cheap way out and not fully eradicate the problem.

Bees and Related Pests

Pests of the flying and stinging variety can take up residence at any time. This one is hard to pin on your tenants, as nature typically takes its own course when it comes to nests. This problem can be urgent if your tenant is allergic to bee stings, for example. It’s best to take care of nest removal at your own expense.

Stray Cats or Dogs

Feral animals can be nuisances, especially if they’re begging tenants for food. Some residents may even go as far as removing vents from the home’s exterior so that the animals have a warm, cozy home. If this is the case, then tenants may be held financially responsible for any damage that occurs under the home (e.g., a cat that claws the insulation). However, tenants that complain about feral animals and do not promote the issue by feeding or housing them may be just in asking you to remove the animals from the property.

Cockroaches

Cockroaches can be either a tenant issue or a landlord issue. However, if the home was free of roaches prior to move-in, then chances are good that they either walked in with your tenant or were attracted to the home by tenant behavior. The burden would likely depend on how close to move-in the tenant reports the issue. If it’s within the first couple of weeks, then the issue might be yours to deal with. Again, this can still be hard to prove in court, so it’s usually best to handle the issue yourself.

Fleas

In many cases, flea infestations are caused by tenants and their pets. The exception is fleas that come from rats, which can find their way into your home if you also have a rat problem.

Flies

Flies can be found in nearly every corner of the world and are not the landlord’s problem. Most of the time, flies don’t even warrant a full pest control treatment. The best approach for landlords is to try to prevent flies and flying pests by putting screens on windows.

Gophers, Moles, Voles, and Similar Rodents

Another act of nature, small underground rodents are the fault of no one. And one or two isn’t even a problem to worry about, in most cases. However, keep in mind that several rodents can create environmental hazards, such as the upturning of grass and land that might create trip hazards. 

Mice and Rats

Mice are common enemies of rental units. They can sometimes be the result of a tenant’s living condition, but even clean homes can be targets of mice. Landlords should maintain a mice prevention strategy by using poisons and bait traps. If the tenant has pets or children, you might want to consider a different approach.

Raccoons

These adorable little bandits are notorious for breaking into attics and wreaking havoc. Even worse, tenants that are tempted to feed them only make the problem worse. Landlords will need to call a pest removal service, as trapping raccoons in some areas may be illegal. 

Skunks

Another act of nature, skunks are usually the responsibility of the landlord to remove from a property. They commonly invade sheds, garages, and the space under houses. Make sure entry points are well sealed to prevent skunk activity.

Snakes

Snakes don’t always need to be addressed unless they enter the dwelling or create a nest under the house. When either of these things happens, it falls to the landlord for removal.

Spiders

Another common house pest, a spider here or there would not warrant any major pest control activity. However, repeat occurrences might call for a professional treatment. The same goes for any dangerous spiders, such as a brown recluse. 

Ants

Ants could fall to either party’s fault, but many landlords defer to the tenants. Getting rid of ants can take an exorbitant amount of time and trial and error, and it’s almost always better to hire an exterminator. Because ants can be so complex to get rid of, landlords may find their ant problem taken care of faster by handling it themselves.

Termites and Other Wood-Eating Insects

Termites, carpenter ants, carpenter bees — anything that eats wood is a danger to the dwelling structure. Residents and landlords can reduce their chances by not keeping rotting wood near the home. However, if this isn’t the issue, then landlords will take responsibility to get rid of them.

Preventing Pest Control Issues Before They Happen

Prevention will always be the best defense against pest problems. Here are some things landlords can do to keep their properties pest-free now and over time:

• Trim shrubs and trees away from the structure

• Seal all entry points to discourage pests

• Create a Borax bug barrier across every door and window

• Repair any signs of rot immediately

• Don’t permit residents to compost food waste or keep chickens on the property

• Don’t allow residents to leave pet food outside

• Discourage feeding wildlife or feral animals

• Check foundation vents to ensure they’re firmly affixed

Keeping a pest-free home is everyone’s job, but you as the landlord need to take charge in ensuring tenants know how to do their part.

For more insights, head back to our blog "Let's talk about bugs".

Understanding Communication Conflict

Communication conflict is a common issue in personal and professional relationships. It arises when parties involved have misunderstandings or differing views that lead to disputes. Effective communication is crucial for resolving conflicts and maintaining healthy interactions. Understanding the roots and dynamics of communication conflict can significantly improve how individuals and organizations navigate disagreements, leading to more productive and positive outcomes through communication.

The Roots of Communication Conflict

Communication conflict can stem from various sources, including:

• Differences in Perception: People have unique backgrounds, beliefs, and experiences that shape their perceptions. When these perceptions clash, it can lead to misunderstandings.

• Poor Listening Skills: Failure to listen effectively can result in missing important information, leading to assumptions and misinterpretations of communication.

• Non-Verbal Cues: Body language, facial expressions, and tone of voice can convey messages that are interpreted differently, sometimes causing conflict even when verbal messages are clear in communication.

• Cultural Differences: Variations in cultural norms and practices can affect communication styles and expectations, leading to misunderstandings.

• Language Barriers: Differences in language or jargon can result in miscommunication, with parties potentially misunderstanding key points.

Strategies for Managing Communication Conflict

To effectively manage and resolve communication conflicts, several strategies can be employed:

• Active Listening: Make a conscious effort to listen to and understand the other person's perspective without immediately formulating a response.

• Open and Honest Communication: Express thoughts and feelings clearly and directly while remaining respectful of communication.

• Empathy: Try to see the situation from the other person's viewpoint to understand their reactions and concerns better.

• Seek Common Ground: Focus on areas of agreement to build a foundation for resolving differences.

• Use "I" Statements: Communicate issues personally to avoid placing blame, which can escalate conflict.

• Conflict Resolution Skills: Develop and practice skills like negotiation and mediation to handle disputes effectively.

Role of Communication in Conflict Resolution in Multi-Family Property

Communication plays a pivotal role in conflict resolution within multi-family properties. As a property management company, Centurion Real Estate Management, LLC understands that the close quarters and shared spaces inherent in multi-family living can sometimes lead to disputes among residents. Effective communication strategies are essential in addressing these conflicts, ensuring a harmonious living environment, and maintaining a positive relationship between tenants and management through communication.

Understanding the Nature of Conflicts

Conflicts in multi-family properties can range from noise complaints and parking issues to disagreements over the use of communal spaces. Recognizing the nature of these conflicts is the first step toward resolution. It's important to approach each situation with a clear understanding of the concerns involved, showing both parties that their issues are being taken seriously.

Open Lines of Communication

Maintaining open lines of communication is crucial. Tenants should feel comfortable approaching property management with their concerns, knowing they will be heard and addressed by communication. Centurion ensures this by providing multiple channels for communication, including a 24/7 emergency contact number, email, and an online portal where tenants can submit maintenance requests and concerns.

Active Listening and Empathy

When conflicts arise, practicing active listening and showing empathy towards the involved parties can significantly aid in resolution. By listening attentively to each tenant's perspective, property managers can better understand the root of the problem and work towards a fair solution.

Clear Communication of Policies and Expectations

Clear communication of property rules, policies, and expectations plays a preventive role in conflict resolution. Upon leasing, Centurion provides tenants with a comprehensive guide to living in a multi-family property, which outlines acceptable behavior, noise levels, pet policies, and the use of communal areas.

Mediation and Problem-Solving Strategy

If tenants are unable to resolve a conflict through direct communication, Centurion intervenes to mediate. This involves arranging a meeting in a neutral location, where both parties can discuss the issue and explore possible solutions through communication. Our approach emphasizes problem-solving strategies that aim for a win-win outcome, ensuring that the needs and concerns of all parties involved are taken into consideration.

Follow-Up and Feedback

After a conflict has been resolved, following up with the involved parties is essential. This shows tenants that their well-being is a priority and provides an opportunity to gather feedback on the resolution process. Such feedback is invaluable in improving future conflict resolution strategies and communication methods.

Strategies for Enhancing Communication in Multi-Family Property Management

Effective communication is the cornerstone of successful multi-family property management. It ensures that all parties are informed and builds trust, fosters a sense of community, and significantly reduces conflicts.

• Utilize Technology for Efficient Communication: In today's digital age, leveraging technology is one of the most effective communication methods. Property management software, such as AppFolio, offers various tools for sending mass emails, texts, and notifications to tenants and owners in effective communication.

• Regular Updates and Newsletters: Regular updates or newsletters can inform tenants about what's happening in the community. This could include information about upcoming maintenance, community events, or changes to the property.

• Establish Open Lines of Communication: It is vital to encourage open communication. This means being available and responsive to tenant and owner inquiries.

• Schedule Regular Meetings: For property owners and investors, regular meetings can be invaluable tools for staying informed and involved in the management of their properties. For tenants, holding quarterly or bi-annual meetings provides a forum for discussing community issues.

• Conflict Resolution Protocols: Despite best efforts, conflicts will arise. Clear conflict resolution protocols ensure that issues are addressed promptly and fairly. Transparency in the resolution process can help mitigate tensions and maintain a positive atmosphere of communication within the community.

Closing Thoughts

Effective communication stands as the cornerstone of dispute resolution in multi-family property management. By fostering an environment where interpersonal and empathetic communication is the norm, property managers can resolve conflicts more efficiently and prevent many from arising in the first place. Centurion Real Estate Management, LLC prides itself on employing these communication strategies to ensure a harmonious living environment for all residents.

From simple upgrades that make a big impact to more significant renovations, we'll explore how to increase your home's appeal and market value. Join us as we uncover the secrets to making your property stand out in Oregon's dynamic real estate landscape.

Home Value Boosters for your Property's Worth with these Key Features

In today's competitive real estate market, boosting your property's value is essential. Whether you aim to sell or simply wish to enhance your home's market value, there are various critical upgrades and features to consider. These enhancements can significantly elevate the appeal and value of your property. Here are some top strategies for increasing your home's worth and making it more attractive to potential buyers or renters.

Boosting your property's value is essential. Whether you're looking to sell or just want to enhance your home's market value, some numerous important aspects and upgrades can have a substantial impact. Below are some upgrades and features that can significantly improve the appeal and value of your property.

#1 Enhancing Curb Appeal

First impressions are crucial, and the exterior of your home is the first thing potential buyers see. Simple improvements like landscaping, a fresh coat of paint, and a well-maintained driveway can significantly boost your home's curb appeal, making it more attractive to buyers and potentially increasing its value.

#2 Modern Kitchen Upgrades

The kitchen is often considered the heart of the home. Upgrading to modern appliances, adding new countertops, and ensuring a functional layout can appeal to buyers and add significant value. Even minor kitchen remodels have a high return on investment.

#3 Energy Efficiency Improvements

Energy-efficient homes are better for the environment and more attractive to buyers. Installing energy-efficient windows, adding extra insulation, and upgrading to high-efficiency appliances can reduce utility bills and increase your home's value.

#4 Adding or Renovating Bathrooms

Bathrooms are a vital feature buyers pay attention to. Adding bathrooms or renovating existing ones to include modern fixtures and finishes can significantly increase a home's appeal and value.

#5 Enhanced Outdoor Living Spaces

Creating or improving outdoor living spaces such as decks, patios, and kitchens can extend your home's livable space and attract buyers looking for an outdoor oasis.

#6 Smart Home Technology

Integrating smart home technology such as thermostats, security cameras, and lighting systems can make your home more attractive to tech-savvy buyers and increase its overall value.

#7 Finished Basements or Attics

Converting unused spaces like basements or attics into functional living areas such as home offices, gyms, or entertainment rooms can significantly increase the usable square footage of your home and its value.

#8 New or Refinished Flooring

Replacing old carpeting with hardwood floors or refinishing existing hardwood can dramatically change the look of your home and increase its value. Hardwood floors are highly sought after by buyers for their durability and timeless appeal.

#9 Fresh Paint

A fresh coat of paint is one of the most cost-effective ways to refresh your home and make it more appealing to buyers. Neutral colors are generally preferred, allowing buyers to easily envision themselves in the space.

#10 Updated Lighting Fixtures

Replacing outdated lighting fixtures with modern ones can transform the look and feel of your home. Good lighting can make spaces appear larger and more inviting, attracting buyers and adding value to your home.

Incorporating these updates can make your home more enjoyable and significantly boost its market value.

Cost-Effective Upgrades to Increase Home Value

Investing in cost-effective upgrades can substantially enhance the value of a home. Simple yet impactful changes such as applying a fresh coat of paint, replacing outdated fixtures, and improving the property's landscaping can make a significant difference. These improvements boost the home's aesthetic appeal and increase its market value, making it more attractive to potential buyers or renters. Homeowners can achieve a noticeable upgrade without breaking the bank by focusing on these areas.

Deep Clean and Declutter

Never underestimate the power of deep cleaning and decluttering. A clean, clutter-free home appears more spacious and inviting, making it more appealing to potential buyers. This doesn't cost much beyond time and effort but can significantly affect how your home is perceived.

Update Window Treatments

Old, heavy draperies can make a room feel dated and dark. Replacing them with light, airy curtains or modern blinds can let in more natural light, making the space feel brighter and larger. This relatively inexpensive upgrade can significantly impact a room's aesthetic.

Key Elements That Significantly Enhance Property Value

When it comes to increasing the value of your property, certain key elements play a pivotal role. At Centurion Real Estate Management, LLC, our expertise in the property management industry, particularly in Salem, OR, and surrounding areas, has shown us that strategic enhancements can lead to significant value appreciation.

First and foremost, curb appeal cannot be overstated. A well-maintained exterior, landscaping, and clean façade immediately increase attractiveness. Inside, updated kitchens and bathrooms often offer the highest return on investment, as they are critical to a tenant's or buyer's first impression.

Energy efficiency is another crucial factor; modern, energy-saving appliances and windows appeal to environmentally conscious individuals and offer long-term cost savings, making the property more attractive.

Smart home features and high-speed internet access have become increasingly important, especially in today's digital age. By focusing on these critical areas, property owners can significantly enhance the value of their real estate investments.

Conclusion

Enhancing the value of your home involves a combination of strategic upgrades and aesthetic improvements. Each step can significantly impact your home's market value, from the transformative power of a fresh coat of paint to the undeniable appeal of modern, energy-efficient appliances. Remember, investing in your home is investing in your future. By incorporating these top 10 value-adding strategies, you're not just upgrading a property but enhancing your quality of life and financial well-being.

Don’t be fooled by the idea that a minor leak or a slow drip can’t cause major devastation. They absolutely can and often do! It is easy to underestimate the destructive power of what can seem like a minor water issue. How devastating can it be?

Aesthetic and Surface Damage

Whether the slow leak or drip is under a sink, in the void between the first and second floor or a wall somewhere, it will inevitably show its face. Aesthetic and surface damage may seem like the easiest to repair but that isn’t always true. A slow leak can drip onto antique furniture, precious family heirlooms or discontinued and exotic flooring or molding. 

This damage may not structurally affect your home but it can be extremely expensive and sometimes impossible to repair. It can create permanent damage that can make a room or area of your home less inviting and appealing to be in.

Structural Damage

Structural damage is possible if a slow drip or leak is unattended or unnoticed for a long time. Since the majority of homes in North America are wood frame buildings, this is a real threat to the integrity of the home. Walls can become weakened if studs are rotted from exposure to water. A steady drip of water will also eat away at structural support beams. 

If this happens to a support beam that is part of the structural core of the home, it could mean major renovations to make the home livable again. This damage can easily extend from floor to floor and into the basement as well. For example, say a small leak in an upstairs bathroom goes unnoticed. This leak goes from under the sink and makes its way into the wall cavity where it travels through the floorboards and down the next stud wall and finally into the basement. 

This leak, if left long enough, could lead to repairs to the framing, flooring, insulation, drywall and paint spanning three floors of your home!

Mold Growth

Water damage is most often associated with mold growth but that is widely considered to only happen after large floods or disasters. Not true! Mold can grow anytime if the conditions are right. All it needs to survive is moisture and a surface to grow on. 

Mold if left unchecked can be deadly. Particularly for young children and older, more vulnerable adults, mold can be a very serious problem. It is easy to miss and you don’t have to be in direct contact with mold for it to harm you. If a leak causes mold near the ventilation system in your home, the spores and bacteria can spread throughout the entire property through the movement or air alone.

Fire Hazards

Rarely do you connect water damage and fire risks, but they are indeed connected. Water and electricity together create a recipe for disaster. Shorted wires can easily lead to fires and water, when given the chance, will work its way into outlets and electrical boxes. 

These situations are serious and can lead to major injuries and even death. If you see water near an outlet or a power box, call an electrician to handle the situation.

How Do You Mitigate the Risk of Water Damage?

When you own a rental property, it is critical to take all the precautions necessary to make sure the unit is safe. The best way to mitigate the risk of water damage in a rental property is to use a professional property management service. The maintenance team that is in your unit when repairs are needed can make sure that no evidence of water damage or small leaks and drips exists.

Centurion Property Management has the knowledge and expertise to make sure that your rental property is well maintained and safe. Reach out today and contact Centurion Property Management to discuss your property management needs.

Welcome to our latest blog post, where we delve into adjusting budgets to align with market conditions, particularly within the property management sector. Understanding the intricate relationship between organizational goals and budget planning is paramount for successful operations. Aligning your budget with these goals enhances financial stability and operational efficiency. This post will explore how strategic budget alignment supports and amplifies property management operations' success.

Why Should the Budget be Aligned with Organizational Goals?

In the dynamic world of real estate, aligning the budget with organizational goals is not just beneficial—it's essential. This alignment ensures that Centurion Real Estate Management, LLC, remains competitive and responsive to market conditions in areas like Salem, Corvallis, Albany, and beyond. Here's how this alignment can be achieved effectively.

Analyzing Current Market Trends

The first step in aligning the budget with organizational goals involves thoroughly analyzing current market trends affecting the real estate industry. This includes:

1. Market Demand Analysis: Understanding the demand for rental properties in various areas served by Centurion Real Estate Management, LLC, helps set the correct rental prices and identify where to focus marketing efforts.

2. Competition Survey: Keeping an eye on the competition allows for adjustments in pricing, services, and marketing strategies to stay ahead.

3. Financial Indicators: Factors like employment rates, population growth, and financial forecasts for areas like Salem, Corvallis, and Albany provide insights into potential market shifts.

The Importance of Flexibility in Budgeting

The real estate market is susceptible to changes due to financial factors, seasonal trends, and shifts in consumer behavior. Therefore, flexibility in budgeting is crucial. This flexibility allows Centurion Real Estate Management, LLC, to:

1. Adapt to Market Changes: Quickly adjust to unforeseen market downturns or capitalize on sudden upswings.

2. Optimize Resource Allocation: Redirecting funds to more profitable ventures or cutting back on expenses in less lucrative areas.

Adjusting Rental Pricing, Maintenance Budgets, and Marketing Expenses

Based on the analysis of market demand and competition, and with a flexible budgeting approach, the following adjustments can be made:

1. Rental Pricing: Adjust rental prices to reflect current market rates, ensuring properties are neither overpriced nor undervalued. This helps in attracting and retaining tenants.

2. Maintenance Budgets: Allocate funds for maintenance based on the properties' current condition and anticipated repairs. This proactive approach can prevent considerable expenses and keep properties in top condition, appealing to potential renters.

3. Marketing Expenses: Invest in marketing efforts that yield the highest return on investment. This may involve shifting funds toward digital marketing strategies or local advertising in high-demand areas.

Centurion Real Estate Management, LLC, can ensure financial stability and growth by aligning the budget with organizational goals and staying adaptable to market conditions. This strategic approach allows for the maximum utilization of profits while maintaining high-quality service and property standards, ultimately leading to sustained success in the competitive real estate market.

How Do You Align a Budget to the Market?

In the ever-changing landscape of property management, aligning your budget with market conditions is crucial for the sustainability and growth of your real estate investments. This process involves a meticulous approach to financial planning and analysis, emphasizing maintaining detailed financial records. These records are the backbone of strategic decision-making, enabling property managers and owners to effectively adapt to market financial fluctuations.

Importance of Detailed Financial Records

The foundation of any successful budgeting process is the maintenance of detailed financial records. These records clearly show your property's financial health, encompassing income, expenses, and cash flow. By keeping accurate and up-to-date financial data, you can identify trends, forecast future performance, and make informed decisions. This level of detail is beneficial for internal analysis and essential for compliance with property management regulations, ensuring that your operations remain within legal and financial guidelines.

Tracking Budget Performance Against Market Conditions

Once you have established a comprehensive financial record-keeping system, you can track your budget's performance against current market conditions. This involves comparing your actual financial performance with the budgeted figures, taking into account changes in the market, such as shifts in rental demand, property values, and operating costs.

Written records play a pivotal role in this process, as they allow you to pinpoint discrepancies, assess the effectiveness of your budgeting strategy, and adjust your financial plans accordingly. By closely monitoring these metrics, you can optimize your budget to reflect the realities of the market better, ensuring your properties remain competitive and profitable.

Strategic Decision-Making and Compliance

The strategic value of detailed financial records extends beyond budget alignment. These records are instrumental in guiding strategic decisions that can shape the future of your property management endeavors. Whether deciding on capital improvements, exploring new investment opportunities, or adjusting rental rates, having a solid financial foundation lets you weigh options and choose the best course of action.

Moreover, adherence to property management regulations is simplified when you have a well-documented financial history. This helps avoid legal pitfalls and enhances your reputation among tenants and stakeholders as a reliable and transparent operator.

What is the Benefit of Having Written Records of Financial Transactions?

In the ever-evolving real estate market, maintaining written records of financial transactions is not just a best practice—it's necessary for property management companies like Centurion Real Estate Management, LLC. These records are crucial for adjusting budgets to align with market conditions, ensuring financial stability and growth. Here are several key benefits of keeping detailed financial records:

1. Enhanced financial oversight

2. Improved financial budgeting accuracy

3. Streamlined tax preparation

4. Easier dispute resolution

5. Facilitated financial reporting

6. Long-term financial planning and investment

Final Thoughts

Adjusting financial budgets to align with market conditions is crucial for property management companies like Centurion Real Estate Management, LLC. By staying informed about the dynamic real estate market in Salem, OR, and surrounding areas, we can make informed decisions that protect our clients' investments and maximize their returns. As we continue to serve the diverse communities of Salem, McMinnville, Albany, Corvallis, and beyond, our focus remains on delivering value and peace of mind to our clients.

In multi-family property management, quickly and fairly resolving tenant disputes is crucial for community integrity and harmony. It requires balancing legal obligations with compassion and fairness, ensuring a positive atmosphere, protecting property values, and building trust among residents. This blog will discuss the importance of this balance in dispute resolution for tenants.

What Are Tenant Rights and Responsibilities in Multi-Family Properties?

When living in multi-family properties, it's crucial to understand both your rights and responsibilities as a tenant. Basic tenant rights include the expectation of privacy, ensuring your home is safe, and the property's overall habitability. These rights are protected by law to ensure tenants can live peacefully and securely.

On the flip side, tenants also have certain responsibilities to uphold. Key among these is showing respect for neighbors, which involves minimizing noise levels and ensuring common areas are clean and unobstructed. Additionally, property care is a significant responsibility; tenants must maintain their living spaces, avoiding damage beyond normal wear and tear.

By understanding and respecting these rights and responsibilities, tenants contribute to a positive living environment in multi-family properties, fostering a community where everyone can enjoy a high quality of life.

Common Tenant Disputes in Multi-Family Properties

Managing multi-family properties comes with unique challenges, among which tenant disputes are particularly common. These disputes can involve tenants and range from noise complaints to disagreements over the use of common areas, and effectively handling them is crucial for tenants to maintain a harmonious living environment.

Here's a closer look at some of these disputes involving tenants and strategies for their resolution.

Noise Complaints

Noise complaints are perhaps the most frequent issue in multi-family living situations. To address and mediate these disputes, it's important to have clear noise policies in place. These policies should outline quiet hours and acceptable noise levels.

Property managers can mediate when a complaint is made by reminding the offending tenant of these policies and, if necessary, arranging a meeting between the parties to discuss the issue. Consistent enforcement and open communication with tenants are essential in resolving noise disputes.

Maintenance and Repair Issues

Clarifying the responsibilities for maintenance and repairs can prevent many disputes. Generally, landlords are responsible for ensuring the property is habitable and taking care of major repairs. At the same time, tenants may be responsible for minor repairs and maintaining the cleanliness of their units.

Providing tenants with a clear breakdown of these responsibilities upon move-in can preempt many issues. Additionally, having a straightforward process for reporting and addressing maintenance issues is crucial.

Parking Conflicts

Parking is a limited resource in many multi-family properties, leading to tenant disputes. To manage parking spaces fairly, property managers can assign specific spots to tenants or implement a permit system.

Clear communication of parking rules to tenants and swift resolution of conflicts can help maintain order for tenants. In cases where parking is extremely limited, exploring options for off-site parking or negotiating shared parking arrangements with nearby facilities might be necessary.

Pet Policies

Pets can be another source of tenant disputes, particularly if one tenant's pet is causing noise, damage, or safety concerns. A detailed pet policy that includes

• restrictions on types

• sizes, and

• number of pets

Pet behavior and waste disposal requirements can mitigate these issues. Enforcement of these policies and regular check-ins can ensure that pets do not become a point of contention among tenants.

Use of Common Areas

Disputes over common areas can arise when tenants feel these spaces are not being shared fairly or misused. To prevent these disputes, property managers should establish clear rules regarding common areas, including schedules for shared facilities like laundry rooms or gyms and guidelines for behavior in these spaces.

Regular monitoring and maintenance of common areas can also help ensure that all tenants have equal access and remain a benefit rather than a point of contention.

Effective Communication: Key to Dispute Resolution in Multi-Family Property

Effective communication in multi-family property management is crucial for dispute resolution and maintaining a positive living environment, as issues can arise unexpectedly.

Importance of Clear and Open Communication Channels

Maintaining clear and open communication with tenants through various channels, like newsletters and digital platforms, ensures their concerns and feedback are heard in real-time. This transparency builds trust, allows for early issue identification, and makes tenants feel valued and informed.

Tips for Proactive Communication to Prevent Disputes

Establishing clear, open lines of communication with tenants from the outset can significantly reduce the likelihood of misunderstandings and disputes down the line.

1. Regular Updates: Keep tenants informed about any changes or updates to the property. This includes maintenance schedules, policy updates, or community events. Regular updates prevent misunderstandings and ensure that tenants feel included in the community.

2. Feedback Mechanisms: Implement a system for tenants to provide feedback easily. Whether through suggestion boxes, online forms, or community meetings, giving tenants a voice can highlight potential issues before they become disputes.

3. Conflict Resolution Policies: Communicate the property's policies on conflict resolution from the outset. This sets clear expectations and provides a structured approach to resolving disputes.

4. Personalized Communication: Tailor communication strategies to meet the diverse needs of your tenants. This could mean offering translations for non-English speakers or using various communication platforms to reach different age groups within the property.

5. Active Listening: When disputes arise, practice active listening. Understand the tenant's perspective fully before responding. This approach demonstrates empathy and can de-escalate potential conflicts.

6. Prompt Responses: Address tenant concerns and disputes promptly. Delayed responses can exacerbate issues, leading to increased frustration among tenants.

7. Mediation Services: Offer mediation services for more severe disputes. A neutral third party can help facilitate discussions and reach a mutually agreeable solution.

8. Educate Tenants: Regularly educate tenants on their rights and responsibilities. Knowledgeable tenants are more likely to adhere to policies, reducing the likelihood of disputes.

By implementing these proactive communication strategies, property managers can foster a positive living environment, reduce the frequency of disputes, and resolve them more effectively when they do arise.

Summary

Effectively handling tenant disputes is key to a peaceful community, legal adherence, and fairness. Property managers are crucial in resolving issues and promoting positive environments through clear communication, empathy, and legal knowledge. Building a respectful tenant culture strengthens community bonds, ensuring long-term property management success. Contact us for effective guidance.

Welcome to our latest exploration into the world of property management, where the focus is squarely on maximizing property value through strategic management. In the ever-evolving real estate market, the importance of a well-thought-out approach to managing properties cannot be overstated. It's not just about maintenance and tenant relations; it's about enhancing the value of your investment in a competitive landscape. Enter Centurion Real Estate Management, LLC, a beacon of excellence in the property management industry.

What Increases Property Value the Most?

When it comes to real estate, the value of your property is influenced by a myriad of factors, some within your control and others subject to the ebbs and flows of the market. Understanding what boosts property value the most can empower homeowners and investors to make strategic decisions, ensuring their real estate assets appreciate over time. Centurion Real Estate Management, LLC, with its deep roots in Salem and the Willamette Valley, leverages this understanding to maximize the value of the properties it manages.

Significantly Boost Property Value

Several key elements play pivotal roles in enhancing the value of a property.

1. The location of your property is paramount. Properties situated in desirable neighborhoods or areas with rising economic prospects typically see a significant uptick in value.

2. The condition of the property is crucial. Regular maintenance and timely upgrades can not only preserve but also increase a property's worth.

3. The property's amenities, such as modern appliances, energy-efficient systems, and attractive outdoor spaces, can make it stand out in the market, thereby boosting its value.

Market Trends in Salem and the Willamette Valley

The real estate market in Salem and the broader Willamette Valley is dynamic, with trends that shift based on economic indicators, consumer behavior, and technological advancements. Recently, there's been a growing demand for properties that offer sustainable living options and smart home technologies. Homes that provide these features are seeing an increase in value as they cater to the environmentally conscious and tech-savvy buyers prevalent in today's market.

Moreover, the shift towards remote work has heightened the importance of having functional and comfortable home office spaces. Properties that can accommodate this need are becoming more valuable as they align with the evolving demands of the workforce.

How Centurion’s Strategic Approach Aligns with These Factors?

Centurion Real Estate Management, LLC, understands the intricacies of the local market and the broader factors influencing property values. Our strategic approach to property management involves a proactive stance on maintenance and upgrades, ensuring that the properties we manage not only meet but exceed market standards. By staying ahead of market trends, such as the integration of green technologies and the creation of versatile living spaces, Centurion positions its managed properties as attractive options for potential renters and buyers, thereby enhancing their value.

Furthermore, Centurion leverages its extensive knowledge of the Salem and Willamette Valley areas to advise property owners on the best times to invest in improvements or consider strategic market moves. This tailored approach ensures that each property is positioned to capitalize on market trends, maximizing its potential value.

Top 10 Things That Add Value to Your Home

When it comes to increasing the value of your home, strategic improvements and additions can make a significant difference. Whether you're looking to sell your property or simply enhance its appeal, here are the top ten enhancements that can boost your home's worth, especially in areas like Salem, Albany, Keizer, Corvallis, and other regions served by Centurion Real Estate Management, LLC.

1. Kitchen remodel

2. Bathroom renovation

3. Energy efficiency improvements

4. Outdoor living space

5. Landscaping

6. Flooring upgrades

7. Fresh paint

8. Smart home features

9. Roof replacement

10. Accessory Dwelling Units (ADUs)

How to Increase Home Value Before Selling?

When it comes to selling your property, the goal is not just to sell but to sell at the best possible price. Preparing your property for the market is a crucial step in this process. Here are some tips and insights into how strategic property management, like the services offered by Centurion Real Estate Management, can play a pivotal role in boosting your property's value before it hits the market.

Preparing Your Property for the Market to Achieve the Best Sale Price

First impressions last. This adage holds especially true in the real estate market. Enhancing curb appeal, making necessary repairs, and ensuring the property is clean and decluttered can significantly impact potential buyers' perceptions. Small improvements such as painting, updating fixtures, and landscaping can yield substantial returns. It's also beneficial to conduct a pre-sale home inspection to identify and address any potential issues that could deter buyers or decrease the property’s value.

Property Management in Maintaining or Increasing Property Value Pre-sale

A professional property management company like Centurion Real Estate Management plays a critical role in preserving and enhancing the value of your property. Regular maintenance and timely repairs prevent minor issues from becoming major, more costly problems. Additionally, property managers can provide valuable advice on market trends and cost-effective improvements that increase value. Their expertise in handling tenant relations also ensures that the property remains in optimal condition, which is crucial for showcasing it to potential buyers.

Centurion’s Services That Directly Contribute to Enhancing Property Appeal and Value Before Listing

Centurion Real Estate Management offers a range of services designed to maximize your property's appeal and value. Our comprehensive property evaluations identify areas for improvement and recommend enhancements that boost marketability and sale price. Our maintenance team ensures that all aspects of your property, from landscaping to structural integrity, are in top condition. Furthermore, our market analysis tools ensure your property is priced competitively, attracting a wide pool of potential buyers.

Final Thoughts

Strategic management plays a pivotal role in maximizing property value, ensuring that every decision made contributes to the financial well-being and growth of your real estate investment. we understand the importance of this approach and are dedicated to partnering with property owners in Salem, OR, and beyond, to achieve their financial goals through expert property management.

Landlords and managers know that effective budgeting and cost control are essential for maximizing property ROI. In this blog series, we will delve into the importance of these practices and how they directly impact the return on investment for landlords. From understanding the significance of effective property management budgeting to exploring how cost control measures can significantly impact property ROI, this series will provide valuable insights and strategies for optimizing financial performance in the property management industry. Join us as we explore the key elements of property budgeting and cost control to achieve superior ROI.

Cost Control Techniques

When maximizing property ROI, mastering budgeting for cost control is crucial. Here are some cost control techniques to consider:

1. Cost Accounting: Implementing cost accounting practices can help track and control expenses related to property management. Analyzing and allocating costs to specific activities makes it easier to identify areas for potential cost savings.

2. Activity-Based Costing: This method involves identifying all activities within property management and assigning costs to each activity based on its use of resources. This detailed approach provides insights into where costs are being incurred and allows for targeted cost control measures.

3. Earned Value Management: This technique integrates cost, schedule, and scope to track the progress of a property project. Property managers can effectively monitor and control project expenses by comparing the budgeted cost of work performed to the actual cost.

By incorporating these cost control techniques into property management practices, it becomes possible to optimize spending and enhance the overall return on investment.

To delve deeper into these cost control techniques and their application in property management, continue reading here.

Budgeting for Property Maintenance and Repairs

Budgeting for property maintenance and repairs is crucial for property management. It ensures that properties are well-maintained, essential for tenant satisfaction and retention. By setting aside funds for regular maintenance and unexpected repairs, property managers can avoid costly issues and maintain the value of the property turnkey.

Budgeting for Marketing and Tenant Acquisition

Allocating a marketing and tenant acquisition budget is essential for maintaining a steady rental income stream. Property managers must invest in effective marketing strategies to attract and retain quality tenants. This may include advertising costs, property showings, and tenant screening expenses.

Budgeting for Property Upgrades and Renovations

Setting aside a budget for property upgrades and renovations is essential for keeping rental properties competitive. Upgrades such as modernizing amenities, improving energy efficiency, and enhancing curb appeal can increase property value and attract higher-quality tenants.

Budgeting for Administrative and Operational Costs

Property management involves administrative and operational costs, including staff salaries, office expenses, legal fees, and software subscriptions. Budgeting for these costs ensures that the management operations run smoothly and efficiently.

Importance of Contingency Fund in Property Budgeting

Maintaining a contingency fund within the property budget is essential for handling unforeseen expenses and emergencies. This fund acts as a financial safety net for unexpected repairs, economic downturns, or other unanticipated costs, providing landlords and managers stability and peace of mind.

Budgeting Strategies

Mastering budgeting for cost control in property management is essential to maximizing property ROI. Here are a few key strategies to achieve this:

1. Standard Cost Accounting: Implementing standard cost accounting helps set cost standards for various activities and compare actual costs with the standards to identify variances.

2. Analysis of Variance: Regularly analyzing variance provides insights into the differences between planned and actual costs, enabling proactive measures to control expenses.

3. Cost Control Techniques: Familiarizing yourself with various cost control techniques, such as process automation, resource optimization, and efficient procurement, can significantly impact cost management.

4. Cost Control Examples: Understanding practical examples of cost control, like energy-efficient upgrades, preventive maintenance, and strategic vendor partnerships, can offer actionable insights for effective expense reduction.

By integrating these strategies into your property management approach, you can achieve a more streamlined and efficient cost control process, ultimately enhancing your property's financial performance and ROI.

How Can Budgets be Adjusted to Align with Market Conditions?

When managing properties, it's crucial to adapt budgets to market conditions. This means staying informed about the local real estate market, rental rates, and property values. By understanding these factors, property managers can adjust budgets to ensure that properties remain competitive and profitable.

1. Property-specific budget adjustments

2. Maximizing ROI through strategic budgeting

3. Balancing cost-efficiency and tenant satisfaction

4. Proactive budget reviews and adjustments

5. Leveraging technology for budget management

Final Thoughts

Mastering budgeting for cost control is crucial for maximizing property ROI. By implementing effective cost-control techniques, landlords can minimize expenses and increase profitability. This includes proactive maintenance, thorough tenant screening, and prudent financial management. Landlords can ensure a healthy return on investment by staying informed about expenses, setting realistic budgets, and closely monitoring spending. It's time to take action and prioritize cost control to achieve optimal financial outcomes. By partnering with a professional property management company like Centurion Real Estate Management, LLC, owners can benefit from expert guidance in budgeting and cost control to enhance their property's financial performance.

To buy or not to buy? Is that the question that real estate investors grapple with on a regular basis? Yes, but there is more to it. The real question isn’t simply about whether to buy or not to buy. It is about where to buy or where not to buy. That is the real question!

The saying “Location, location, location!!!” is popular for a reason. Knowing where to buy a real estate investment property is key to being able to create a strong return on your investment. It is one of the key factors in deciding whether to buy a property.

If this is such a critical issue, how do you make sure that you are making the right choice when you are buying a real estate investment property?  There are a few questions that you should consider asking yourself before making a final decision.

Questions to Ask Yourself About Buying Investment Properties

1. Are you planning on managing the property yourself

This is such an important question because it will determine in what areas you can buy a rental property. If you are going to be managing the property yourself, you will want to buy something close to or within a reasonable commute of where you live. That way, when it comes time to do maintenance, show the unit to prospective tenants or anything else related to the rental, you are not far away.

However, if you are planning on using a professional property management service, the options for investment opportunities increase dramatically. By not needing to personally attend to all the matters that are relating to your rental, you can look at buying in a different area. One that may be more desirable or profitable.

2. What is the local economy of the area?

Knowing the market factors in the area you may be buying a rental property is critical to understanding many aspects of your rental journey. The type of tenants you will be seeing in your property, the average rent prices that you can charge and the potential return on investment are all relative to the local economy and market factors.

3. Are there unique and desirable features in the area?

Having interesting and unique attractions or locations in the area are always welcome when looking for a rental investment property. If there are tourists or if an area is world-renowned for some reason, the average price of a property is likely to be higher. There is also a good chance that there will be an industry built around these aspects of the area, tilting the economy and market factors in your favor.

Salem, Oregon

Let’s consider Salem, Oregon as a potential site to buy a rental property using the questions listed above.

• Salem is the Capital City of Oregon. This means that there will always be a large number of government workers living in the area. There will also be a lot of through-traffic of other local, state and federal government agencies as they do business with their counterparts in the Oregon offices.

• Capital cities often have a large and diverse base of companies that are founded in the area and operate the majority of their work out of the capital city. It also isn’t uncommon for companies to transfer offices and move into a capital city as they grow to be closer to the center of state commerce.

• Salem is only 46 miles to Portland and 66 miles to Eugene. The proximity of Salem to these cities as well as the proximity of the I-5 is a very positive economic factor. Being close to other major urban centers and being close to a busy and well-traveled highway are all good signs when considering buying a rental property.

• Salem is also centrally located within the world-famous Willamette Valley. World-class wineries and thousands of acres of vineyards are found here. You will also find some of the best farming soil known to man as well as beautiful rivers and tributaries, making this valley one of the most beautiful valleys to see in Oregon state.

• The Pacific Northwest is known to be one of the best places in the world to live and Salem is in the heart of it.

When taking into consideration all the available factors, Salem, Oregon (and the entire mid-Willamette Valley area) are perfect examples of great places to invest in real estate. You have the desirability factors and the economic factors that you would want to have. 

You also have professional property management companies like Centurion Property Management to do the managing for you. This means that you can invest and buy in the area even if you don’t live close. Centurion takes pride in providing only the highest quality services and exceeding the expectations of the owners they partner with every day. 

Reach out today and contact Centurion Property Management to discuss your property management needs.

Understanding the legal responsibilities involved is crucial for both landlords and property managers. From fair housing laws to maintenance and repairs, a myriad of legal obligations must be adhered to. In this blog, we will delve into the legal responsibilities in property management, shedding light on the crucial aspects that both property owners and managers need to consider. Whether you're a property owner seeking professional management or a property manager looking to ensure compliance, this blog will provide valuable insights into the legal framework surrounding property management.

Fair Housing Act Compliance

The Fair Housing Act, also known as Title VIII of the Civil Rights Act of 1968, is a federal law prohibiting discrimination in housing rental, sale, and financing based on race, color, national origin, religion, sex, familial status, or disability. The Act applies to all housing types, including single-family homes, apartments, condominiums, and mobile homes. It covers various housing-related activities, including advertising, financing, and providing services and facilities.

Understanding the Fair Housing Act

The Fair Housing Act ensures fair and equal access to housing for all individuals. It prohibits discrimination in housing-related activities, including the refusal to rent or sell housing, the imposition of different terms or conditions, and the provision of various housing-related services or facilities. The Act also prohibits discriminatory advertising, the denial of housing-related financing, and the harassment or intimidation of individuals based on their protected status.

Implications for Property Management

Property management companies must comply with the Fair Housing Act and other fair housing laws and regulations. This means they must ensure that their policies, procedures, and practices do not discriminate against individuals based on their protected status. Property managers must also ensure that their employees are trained on fair housing laws and regulations and understand their obligations under the law.

Importance of Adhering to Fair Housing Laws

Adhering to fair housing laws is a legal requirement and a moral and ethical obligation. By adhering to fair housing laws, property management companies can help create inclusive and diverse communities where individuals are treated with respect and dignity. Compliance with fair housing laws also helps to reduce the risk of legal liability and reputational harm. It fosters a positive and inclusive environment for residents and contributes to the community's overall well-being.

How to Navigate Legal Obligations Effectively?

Navigating legal obligations in property management is crucial for ensuring compliance with laws and regulations and mitigating legal risks. Here are some insights and tips for effectively managing legal responsibilities:

• Compliance with Laws and Regulations: It's essential to stay informed about federal, state, and local laws about property management. This includes fair housing laws, landlord-tenant laws, and property maintenance regulations. Regular updates and training for staff on legal requirements are essential to ensure compliance.

• Tenant Screening and Lease Agreements: Implementing thorough tenant screening processes by fair housing laws is critical. Additionally, ensuring that lease agreements are legally sound and include all necessary clauses and disclosures is vital for protecting the rights of both landlords and tenants.

• Maintenance and Safety Compliance: Property managers must adhere to safety and maintenance regulations to ensure the habitability of rental units. Regular inspections, prompt responses to maintenance requests, and compliance with health and safety codes are essential for legal compliance.

• Risk Mitigation Strategies: Developing risk mitigation strategies such as obtaining comprehensive insurance coverage, conducting regular property assessments, and proactively addressing potential liabilities can help minimize legal risks.

• Legal Documentation and Record-Keeping: Maintaining accurate and detailed records of all transactions, communications, and property-related activities is crucial. This includes documenting maintenance activities, lease agreements, tenant communications, and financial transactions.

• Legal Consultation and Professional Support: Engaging legal counsel or professional property management services can provide valuable guidance in navigating complex legal obligations. Seeking expert advice when dealing with legal matters can prevent potential legal disputes and ensure compliance with all legal requirements.

By prioritizing legal compliance and implementing effective strategies to manage legal responsibilities, property managers can uphold ethical standards, protect the interests of property owners and tenants, and maintain a positive reputation in the real estate industry.

Resolving Tenant Disputes: Legal Responsibilities and Fair Practices

Resolving tenant disputes is vital to property management, requiring a comprehensive understanding of legal responsibilities and fair practices. As a property owner or manager, navigating tenant disputes can be complex, involving various legal and ethical considerations.

• Legal Expertise

• Open Communication

• Conflict Resolution

• Documentation

• Mediation Services

Conclusion

Property managers must master legal responsibilities in property management, ensuring compliance with regulations and maintaining positive landlord-tenant relationships. By understanding and proactively managing legal obligations, property managers can mitigate risks, protect their investments, and provide tenants with a safe and secure environment. Adhering to legal duties, from upholding fair housing laws to addressing maintenance issues promptly, is essential for success in property management. Contact us today to experience the exceptional property management services Centurion Real Estate Management, LLC offers.

I take pride in my roots. Growing up in Albany, Oregon, I fell in love with every aspect of the Pacific Northwest. The natural beauty, the people and the culture all shaped me as a person. The West Albany High School led to many good-natured competitions.

Being so close to the Pacific Coast, surfing was a huge part of my life growing up. The Oregon coast is one of the most beautiful and peaceful places to get away and enjoy yourself. As a local, we knew all the great spots and took the time to appreciate how lucky we were.

Our proximity to so many amazing hiking trails gave us ample opportunity to explore everything the Mid-Willamette Valley had to offer. Here are some of the best things to do and the most exciting places to go and visit while in Oregon.

1. Oregon Garden

Tips and advice for excelling in a property manager interview

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2. Silver Falls State Park

Waterfalls are easy to find in the valley but if you want a nice trail and waterfalls together, go to Silver State Park. Different length trails give you options as to the extent of your state park adventure and are a must-see if you are in the area.

3. The Oregon Coast

Packed with historical sites, including Fort Clatsop and Astoria, the oldest American settlement west of the Rocky Mountains. If road trips are your thing, there are nine historic lighthouses along Oregon's coastline and plenty of scenic views in between.

4. The PCT (Pacific Crest Trail) 

A continuous path along the spectacularly scenic crest of the Pacific Mountain ranges between Mexico and Canada - Not to mention hundreds of other amazing trails around Oregon.

5. Bend, OR and Mt. Bachelor 

With over 410” of snowfall each season, Bend has the best of both worlds. In the warmer months, the region is highly sought after for its cycling, hiking, rock climbing, paddling, golfing, and fishing. During winter, the area turns into a snowy playground with some of the best skiing and riding in the PNW, XC-skiing, snowshoeing, and sledding.

6. Mt. Hood 

11,239 feet above sea level Mt. Hood is the tallest mountain in Oregon and the second most climbed mountain in the world. This so-called mountain is actually a dormant stratovolcano in the Cascade Volcanic Arc.

7. South Sisters 

Hike to the top of this amazing peak. Don’t forget to bring lots of water, sunscreen and snacks. You will get an amazing view as a reward. 

8. Sunriver 

Equally perfect for snowy ski excursions and sunny summer holidays. Just a few minutes from Sunriver is the Lava Lands portion of the Newberry National Volcanic Monument, where you can access family-friendly hikes through the Lava Cast Forest and the Big Obsidian Flow or head underground into the Lava River Cave. A great getaway for a vacation! 

9. 45 minutes from Oregon’s largest university, Oregon State University

10. Detroit Lake

The nine-mile-long lake is a popular destination for fishing, boating, and other water sports.

11. Mt. Hoodoo 

Hoodoo is home to 32 runs on 800 acres of skiable terrain. It has been a favorite of winter sport families. Hoodoo has a full-service restaurant on the first-level of the lodge as well as lodging options

12. Any vineyard!

Hundreds of vineyards reside in the valley, giving you dozens of opportunities to visit, enjoy and appreciate Oregon. The wineries are amazing and so is the food. Make sure to leave your house hungry and thirsty if you are going to make a day out of your vineyard adventure.

13. Berry Picking

A favorite of many locals and tourists alike, berry picking is a fun and interactive way to get out of the house, meet the community and get a tasty treat at the same time! From May to July, U-pick farms all over the valley give you access to seasonal berries, ripe for the picking. 

Managing Properties in Salem, Oregon

I am proud to have the privilege of working with the community and taking care of people’s investments. Managing our client’s properties gives me a way to give back to the community that I love so much. 

Centurion Property Management is proud to call Salem, Oregon our home. There is nowhere else we would rather add value. I get to interact with members of the public, the local government and the business community, giving me an even broader appreciation for the area.

We are happy to serve you and be a productive and active member of this community. Reach out to Centurion Property Management today to see how we can help you with your real estate investment properties.

Ensuring a sustainable and prosperous future requires adept property management services in today's dynamic real estate landscape. This blog series delves into the intricate world of wealth management, offering insights into the fundamental principles and strategies that underpin financial health. From comprehending the Three Pillars of Wealth Management to exploring innovative approaches and key principles, this series aims to empower owners with the knowledge needed to optimize their financial well-being. Whether you're a seasoned investor or new to the world of property management, this comprehensive guide is designed to provide valuable information and actionable strategies for sustainable wealth creation and long-term success.

Maximizing Rental Income

Setting optimal rental rates is crucial for maximizing rental income. It requires a strategic approach that involves regular market analysis and property evaluation. Here are some strategies and best practices for setting optimal rental rates:

• Regular Market Analysis: Regular market analysis is essential for understanding current rental trends and pricing in the local area. This involves researching comparable nearby properties to gauge rental rates, amenities offered, and overall market demand. Property managers can make informed decisions about setting competitive rental rates by staying informed about the local rental market.

• Property Evaluation: Conducting a thorough evaluation of the property is equally important. Factors such as property condition, amenities, location, and market demand all play a role in determining the optimal rental rate. Property managers should assess the property's unique selling points and consider any necessary improvements or upgrades that could justify higher rental rates.

• Importance of Market Trends: Staying abreast of market trends and economic indicators is crucial. Property managers should be aware of any shifts in demand, changes in local employment, and other factors that may impact rental rates. By understanding the broader economic landscape, property managers can make informed decisions about adjusting rental rates to maximize income.

• Tailored Pricing Strategies: Each property is unique, and a one-size-fits-all approach to rental pricing may not be effective. Tailoring pricing strategies to the specific property, amenities, and target demographic can help maximize rental income. Offering flexible lease terms, incentives, or value-added services can also contribute to optimizing rental rates.

Maximizing rental income requires a proactive and strategic approach to setting rental rates. Regular market analysis, property evaluation, and an understanding of market trends are essential for ensuring that rental rates are optimized to attract tenants while maximizing income for property owners.

Cost Control Measures

Managing property management costs effectively is crucial for property owners and managers. Here are some effective measures for controlling property management costs without compromising quality.

Proactive Maintenance

Proactive maintenance is a cost-effective strategy that prevents costly repairs in the long run. Regular inspections and maintenance can identify potential issues early, allowing for timely and cost-effective repairs. This approach saves money and ensures that the property remains in good condition, preserving its value and appeal to tenants.

Efficient Vendor Management

Careful selection and management of vendors can significantly impact costs. Working with reliable and cost-effective vendors for maintenance, repairs, and other services can help control expenses without sacrificing quality. Negotiating favorable terms and rates with vendors can also contribute to cost savings.

Technology Integration

Utilizing property management software and technology can streamline operations and reduce administrative costs. Automation of routine tasks, such as rent collection, maintenance requests, and communication, can improve efficiency and reduce labor costs. Additionally, technology can provide valuable insights into cost-saving opportunities and performance metrics.

Budget Planning and Tracking

Developing a comprehensive budget and closely monitoring expenses is essential for cost control. By setting clear financial goals and regularly tracking income and expenses, property managers can identify areas for improvement, avoid overspending, and make informed decisions to optimize resources.

Tenant Retention Strategies

High tenant turnover can result in significant expenses related to marketing, vacancy periods, and turnover maintenance. Implementing effective tenant retention strategies, such as proactive communication, responsive maintenance, and value-added services, can help reduce turnover costs and maintain a stable rental income stream.

Cost control measures in property management require a proactive and strategic approach to ensure financial stability and long-term success. Property owners and managers can optimize costs by implementing these strategies while delivering exceptional service and maintaining property value.

Maximizing Property Value Through Strategic Management

To maximize the value of your property's value, a deep understanding of the local real estate market is crucial. By staying informed about market trends, rental rates, and property values, property managers can strategically position your property for optimal financial health.

1. Proactive maintenance and upkeep

2. Strategic tenant screening

3. Rent optimization

4. Financial management and reporting

5. Property marketing and promotion

6. Risk management and legal compliance

7. Long-term asset planning

Final Thoughts

Centurion Real Estate Management, LLC offers comprehensive property management services to clients in Salem, OR, and throughout the Willamette Valley. Their expertise in cost control measures and property investment ensures owners can maximize their returns while maintaining their investments. Additionally, the company provides additional services, including after-hours emergency support and thorough tenant screening processes. Centurion Real Estate Management, LLC is dedicated to helping clients achieve sustainable wealth through their property investments by serving a wide geographical area and offering diverse services. Whether it's managing single-family homes, commercial properties, or apartment complexes, Centurion Real Estate Management, LLC is committed to optimizing the financial health of its clients.

Cost control is a critical aspect of property management that directly impacts the bottom line. Effective measures optimize returns on turnkey properties and enhance overall operational efficiency. In our latest blog, we delve into the importance of cost control in property management and how it contributes to maximizing returns.

From proactive maintenance strategies to prudent financial planning, understanding these measures is key to achieving long-term success in property investment. Join us as we explore the intricacies of cost control and unveil the strategies that can elevate the performance of your investment properties.

Cost Control Techniques

Cost control techniques are essential for property management companies to maintain profitability and ensure the financial health of their properties. Here are some cost control techniques that Centurion Real Estate Management, LLC employs to manage expenses and optimize property performance effectively:

1. Preventive Maintenance Programs: A proactive approach to property maintenance helps identify and address potential issues before they escalate into costly repairs. Regular inspections, servicing mechanical systems, and promptly handling minor repairs can prevent significant and more expensive problems.

2. Vendor Management: Negotiating competitive rates with reliable vendors and contractors is crucial for controlling maintenance and repair costs. Centurion Real Estate Management, LLC carefully selects and maintains relationships with vendors who provide quality services at reasonable prices.

3. Energy Efficiency Measures: Implementing energy-efficient solutions, such as upgrading to LED lighting, installing programmable thermostats, and improving insulation, can significantly reduce utility expenses. Centurion Real Estate Management, LLC explores opportunities to enhance energy efficiency in their properties.

4. Budget Planning and Monitoring: Developing detailed budgets and monitoring expenses are fundamental cost control techniques. Centurion Real Estate Management, LLC meticulously plans and tracks financial activities to ensure expenses align with budgetary targets.

5. Technology Integration: Leveraging property management software and technology solutions can streamline operations, enhance efficiency, and reduce administrative costs. Centurion Real Estate Management, LLC utilizes advanced property management software to automate processes and improve cost-effectiveness.

6. Tenant Retention Strategies: High tenant turnover can increase vacancy and turnover costs. Centurion Real Estate Management, LLC, focuses on tenant satisfaction and retention strategies to minimize turnover and associated expenses.

7. Compliance and Risk Management: Adhering to legal and regulatory requirements is crucial for avoiding potential penalties and legal expenses. Centurion Real Estate Management LLC prioritizes compliance with fair housing laws, building codes, and safety regulations to mitigate risk and associated costs.

8. Benchmarking and Performance Analysis: Regularly benchmarking property performance against industry standards and conducting thorough financial analysis enables Centurion Real Estate Management, LLC, to identify areas for improvement and implement cost-saving measures.

By implementing these cost control techniques, Centurion Real Estate Management, LLC effectively manages expenses, maximizes property performance, and ensures the financial well-being of the properties under their management.

Financial Management in Property Management

In property management, financial management plays a crucial role in ensuring the success and profitability of real estate investments. It involves various strategies and methodologies to control costs, track project performance, and manage expenses. Here are some key aspects of financial management in property management:

Understanding Cost Accounting in Property Management

Cost accounting in property management involves the process of recording, analyzing, and tracking all costs associated with property operations and maintenance. This includes expenses related to property upkeep, repairs, maintenance, utilities, and other operational costs.

By implementing robust cost accounting practices, property managers can gain insights into the financial health of the properties they oversee, identify areas of excessive spending, and make informed decisions to optimize cost efficiency.

Implementing Earned Value Management to Track Project Performance

Earned Value Management (EVM) is a project management technique that integrates cost, schedule, and work performance data to assess project progress and performance. In property management, EVM can be applied to construction projects, renovations, or property improvements to track the value of work completed against the planned budget and schedule.

Using EVM, property managers can proactively monitor project performance, identify potential cost overruns or delays, and take corrective actions to ensure projects stay on track and within budget.

Activity-Based Costing for Effective Cost Management

Activity-Based Costing (ABC) is a method used to allocate costs based on the activities that drive those costs. ABC can be employed in property management to accurately assign costs to specific property management activities such as maintenance, tenant services, marketing, and administrative functions.

By understanding the true cost drivers within property management operations, property managers can make informed decisions to streamline processes, optimize resource allocation, and enhance overall cost management effectiveness.

Financial management in property management encompasses various methodologies and practices to ensure sound fiscal oversight, efficient cost control, and informed decision-making.

By leveraging tools such as cost accounting, EVM, and ABC, property managers can enhance their ability to manage finances, track project performance, and optimize cost efficiency, ultimately contributing to the long-term success of the properties under their management.

Mastering Property Management Budgeting for Cost Control

Budgeting is crucial in property management, allowing for effective financial planning and control. Standard cost accounting ensures accurate budgeting and cost control, providing a clear understanding of income and expenses.

When managing turnkey properties, creating and managing a budget involves assessing potential income, estimating expenses, and allocating funds for maintenance and unexpected costs.

It also involves monitoring the budget regularly to ensure that expenses align with projections and making adjustments as necessary to maintain financial stability and maximize profitability. Effective budgeting is essential for successful property management and long-term financial sustainability.

Conclusion

Implementing strategic cost control in property management is crucial for maximizing returns and ensuring sustainable profitability. Proactive maintenance and vendor partnerships enhance financial efficiency and overall investment value. By embracing these strategies, property owners can confidently navigate the complexities of property management and achieve long-term financial success. Call us to learn more.

- Our Maintenance Team Motto

Have you ever had to pull off what seemed like an impossible task? Where time is against you and your resources are tight? These situations stretch your skills and creativity, forcing you to combine all your years of experience and your determination to get the job done.

To be able to do this is the hallmark of a master. It is one thing to get things done with an abundance of resources and time. It is quite another to do it under pressure. This is what makes the maintenance department in any property management company so special.

What You Need to Do It Right

Running a maintenance crew for a property management company, particularly one that prides itself on its reputation for excellence in all aspects of its operations, is no easy task. You essentially need the patience of a saint, the skills of a grandmaster, the determination of a god and the thriftiness of your grandfathers’ grandfather.

This is why our maintenance team motto is “Do what you can, with what you got, where you are.” It encapsulates the spirit with which these dedicated men and women go about their work, making the best of every situation.

They know that they play a critical role in the value of the properties the maintain. They are the team that makes sure the properties shine and sparkle for new tenants. Making sure that current tenants are getting the most value out of their rental units is also their domain. Most importantly, they are the frontline crew that manages and maintains the investments of our clients, ensuring continued value for years to come.

Consider this list of what a maintenance team routinely takes care of.

• Lighting issues (replacing bulbs)

• Plumbing problems

• Ceiling repairs and roof repairs

• Replacing doors or dealing with any entrance problems

• Trash removal

• Night porter

• Painting

• Keeping shared / common areas tidy

• Broken locks or lost keys

• Flooding or blockages

• Fence or boundary repairs

• Pest control

• Drywall repair

• Ground keeping in outdoor spaces

• Electrical issues such as short-circuiting, climate control, power switches, and plug sockets

These are the types of recurring tasks that are expected. It’s the unexpected that really tests the team’s ability to make things happen. Everything from the routine calls that you can expect to the most bizarre and unfamiliar tasks, the maintenance team is ready to take it on. Even with an excellent crew, some factors can make what seems like a routine job extra challenging. 

Emergency Repairs

Late at night, outside in the cold or right in the middle of a holiday dinner, disasters and emergencies don’t care about your plans. Emergencies tend to put people on edge so not only do the repairs need to be made, special considerations for the tenants might be in order.

Authorized Repair Limits

There is never a blank check. Never. Being thrifty while producing high-quality work is a significant skill set to have.

Resource Shortages

There isn’t always the option to get exactly what you want to get the job done. That means being resourceful, all day, every day.

Labor Shortages

You have heard the saying, “It’s hard to find good help!”. That is never truer than on a maintenance crew. You always seem to be one person short of a fully stacked team.

Managing Priorities in Real-Time

Managing your resources and time is all fine and dandy when the phone doesn’t ring to divert your attention somewhere else. But does the phone ever stop ringing? Managing your priorities in real-time is a test of any maintenance teams’ abilities.

Record Keeping and Retrieval

Maintaining your records isn’t what it used to be. An old shoe box with pink slips may have been cut years ago but not today. The expectations are high so the maintenance teams’ standards have to be even higher.

Safety Concerns

Not all calls are created equal and occasionally, safety becomes a major concern. Whether working from heights or in a crowded environment, the maintenance team needs to be ready for anything.

Communication

Communication is the lifeblood of any organization. This is true for the maintenance department as well. Who is where, doing what and where they are going next are all important and need to be communicated clearly and often.

In the end, the maintenance team is extending the lifespan of the assets that the property management company is handling. They play one of the most vital roles in the proper management of any property. And they will get it done. 

Centurion Property Management is there for you. Making sure your investment is properly protected and nurtured, they make managing your property easy and simple. Reach out today to see how they can help you maximize the potential of your home.

In the competitive world of multi-family apartment ownership, effective multi family management plays a pivotal role in maximizing asset value. From tenant satisfaction to property maintenance, every aspect of property management contributes to the overall success of a multi-family apartment complex. In this blog series, we will delve into the importance of effective property management and the strategies that can be employed to ensure the long-term success of multi-family apartments. Join us as we explore the key elements that make effective property management a crucial factor in the success of multi-family apartment investments.

#1 Attracting Quality Tenants

When it comes to attracting quality tenants, it's essential to highlight each property's unique features and benefits. Professional photography and detailed, engaging property descriptions can help showcase the property in its best light. Additionally, promoting the property on various online platforms and social media channels can expand its reach to a broader audience, increasing the likelihood of attracting quality tenants.

#2 Retaining Quality Tenants

Retaining quality tenants is crucial for maintaining a stable rental income and minimizing turnover costs. Providing excellent customer service, addressing maintenance requests promptly, and fostering a positive living environment can contribute to tenant satisfaction and retention. Offering lease renewal incentives and maintaining open communication with tenants can also help retain quality, long-term renters.

#3 Efficient Maintenance and Repair Services

At Centurion Real Estate Management, LLC, we understand the importance of maintaining your property in top condition. Our professional maintenance department and experienced technicians ensure that all maintenance and repair needs are promptly and effectively addressed.

• Proactive Approach to Property Maintenance: We take a proactive approach to property maintenance, conducting regular inspections to identify potential issues before they escalate. We aim to ensure that your property is well-maintained and that any necessary repairs are promptly addressed.

• Quality Repairs and Timely Service: When repairs are needed, our team is dedicated to providing quality workmanship and timely service. Whether routine maintenance or unexpected repairs, we have the expertise and resources to ensure your property is well cared for.

• Emergency Maintenance Services: We understand that emergencies can happen at any time. That's why we offer 24/7 emergency maintenance services to address urgent issues promptly, ensuring the safety and well-being of your tenants and the protection of your property.

#4 Transparent Communication

We maintain transparent communication throughout the maintenance and repair process, informing you about any maintenance issues and the steps taken to address them. We aim to give you peace of mind, knowing that your property is in good hands.

#5 Cost-Effective Solutions

We strive to provide cost-effective maintenance solutions, ensuring that repairs are conducted efficiently and within budget. Our focus is on maximizing the value of your investment by maintaining your property to the highest standards.

#6 Partnering with Trusted Vendors

In cases where specialized repairs are required, we have a network of trusted vendors and contractors who provide reliable and professional services. We carefully vet and oversee these partners to ensure they meet our high standards of quality and professionalism.

#7 Property Preservation

Our commitment to property maintenance goes beyond repairs. We prioritize property preservation, ensuring that your investment is well-cared for and that any necessary maintenance contributes to its long-term value and appeal.

By entrusting us with your property management needs, you can be confident that maintenance and repairs will be handled with expertise, efficiency, and a commitment to preserving the integrity of your investment.

#8 Financial Management for Your Property

Centurion Real Estate Management, LLC has you covered when it comes to managing your property's finances. Our financial management services are designed to provide peace of mind and ensure your property's financial health is in good hands.

• Rent Collection and Processing: We handle all aspects of rent collection and processing, ensuring you receive your rental income promptly. Our streamlined rent collection process ensures that your cash flow remains consistent and hassle-free.

• Expense Management: Our team efficiently manages all property-related expenses, including maintenance, repairs, and other operational costs. We work to minimize expenses while ensuring that your property remains well-maintained and attractive to tenants.

• Financial Reporting: Centurion Real Estate Management, LLC provides detailed financial reports regularly, giving insight into your property's financial performance. Our transparent reporting helps you make informed decisions and track the financial success of your investment.

• Budgeting and Forecasting: We create comprehensive budgets and forecasts to help you plan for your property's financial future. Our team leverages industry insights and market trends to develop accurate financial projections and strategies.

• Tax and Compliance Management: We stay up to date with tax regulations and compliance requirements, ensuring that your property meets all financial obligations and remains in good standing with relevant authorities.

• Financial Consultation: Our experienced team is available to provide financial consultation and guidance, addressing any questions or concerns you may have about your property's financial management.

At Centurion Real Estate Management, LLC, we are committed to delivering professional and proactive financial management services for your property. Let us handle the financial aspects so that you can enjoy the benefits of property ownership without the stress of financial management.

What Are the Legal Responsibilities in Property Management?

As a property management company, Centurion Real Estate Management, LLC adheres to all relevant legal requirements and regulations governing the rental and management of properties. This includes compliance with federal, state, and local fair housing laws and landlord-tenant laws. Our team is well-versed in the Fair Housing Act, which prohibits discrimination in housing based on race, color, national origin, religion, sex, familial status, or disability. We ensure that all our practices, from tenant screening to lease agreements, align with these laws.

1. Tenant screening process

2. Property maintenance and compliance

3. Lease agreements and disclosures

4. Eviction procedures

5. Accounting and financial compliance

Final Thoughts

Effective property management is crucial for the success of multi-family apartments. It ensures that the property is well-maintained, tenants are satisfied, and rental income is maximized. A professional property management company like Centurion Real Estate Management, LLC can handle tenant screening, lease enforcement, maintenance, and financial management, allowing property owners to focus on other aspects of their investment. Get in touch with us for any information you may require.

Maintaining and increasing rental value is crucial for financial health in property management. It ensures a profitable investment, attracts quality tenants, reduces vacancies, and enhances property appeal. Effective strategies for maintenance and enhancement are imperative. In this blog series, we will explore the significance of rental value in property management and provide actionable insights to optimize real estate assets.

Expert Strategies for Boosting Property Value

Rental value is a critical factor for homeowners and investors. Increasing the value of a rental house can lead to higher returns and better marketability. Here are some expert strategies for boosting rental value:

Curb Appeal

Curb appeal plays a significant role in shaping the first impression of a property. It is the first thing potential buyers or tenants notice, greatly influencing their perception of the property's value. Curb appeal can be enhanced through various methods, such as maintaining a well-landscaped front yard, ensuring the property's well-maintained exterior, and adding attractive outdoor features like a patio or garden. Investing in professional landscaping, exterior painting, and modernizing the front entrance can enhance curb appeal, thereby increasing the property's value.

Interior Upgrades

Interior upgrades and renovations are essential for increasing the value of a property. Modern, updated interiors attract potential buyers or tenants and can significantly increase the property's perceived value. Upgrading key areas such as the kitchen and bathrooms, installing high-quality flooring, and adding modern fixtures and finishes can greatly enhance the property's interior appeal. Additionally, creating open floor plans, maximizing natural light, and ensuring efficient use of space are essential considerations for interior upgrades that can positively impact the property's value.

Energy-Efficient Features

Enhancing a property with energy-efficient measures can significantly affect its value. Energy-efficient improvements raise the total value of the property and save on utility bills. Examples of these upgrades include installing solar panels, energy-efficient appliances, and high-quality insulation. Buyers and tenants increasingly prioritize energy efficiency, and properties with sustainable features are perceived as more desirable and valuable. Highlighting the long-term cost savings and environmental benefits of energy-efficient features can further enhance the property's appeal and value.

Amenities and Community Features

Amenities and community features boost rental value, especially in multifamily residential properties and planned communities. Property values can be considerably raised by having access to recreational facilities, fitness centers, swimming pools, and community parks. Additionally, rental value may be significantly impacted by a property's closeness to public transportation hubs, necessary services, and appealing local amenities like restaurants and retail areas. Emphasizing these amenities' convenience, lifestyle benefits, and community features can enhance the property's overall value.

By enhancing curb appeal, investing in interior upgrades, incorporating energy-efficient features, and highlighting desirable amenities and community features, owners and investors can strategically boost the value of their properties, making them more appealing to potential buyers or tenants and maximizing their long-term investment potential.

Effective Financial Stability in Property Management

Effective financial stability in property management ensures real estate investments' long-term success and profitability. Several vital strategies contribute to achieving and maintaining financial stability in property management.

Effective Rent Pricing

Strategic rent pricing is essential for maintaining financial stability in property management. Setting the right rental price for a property is crucial to attracting and retaining tenants while maximizing income. It requires a deep understanding of the local rental market, including supply-and-demand dynamics, comparable property rents, and economic trends. Managers can set competitive yet profitable rental rates to ensure consistent cash flow, minimize vacancies, and optimize the property's financial performance. Regular rent reviews and adjustments in line with market changes are vital to sustaining financial stability.

Cost-Effective Maintenance

Cost-effective maintenance plays a pivotal role in preserving rental value and financial health. Proactive maintenance safeguards the property's physical condition and mitigates the risk of costly repairs and potential depreciation. Managers should implement preventive maintenance programs to address issues promptly, minimize operational disruptions, and extend the lifespan of building systems and components. By prioritizing cost-effective maintenance practices, managers can uphold the property's appeal, tenant satisfaction, and overall financial stability.

Tenant Retention Strategies

Tenant retention significantly impacts financial stability and rental value. High tenant turnover can lead to increased vacancy periods, turnover costs, and potential income loss. Effective tenant retention strategies, such as responsive communication, timely maintenance, and personalized tenant services, foster long-term tenant satisfaction and lease renewal. Sustaining a stable and satisfied tenant base is instrumental in maintaining consistent rental income, reducing turnover-related expenses, and enhancing the property's financial stability and reputation.

Financial Planning and Budgeting

Proactive financial planning and budgeting are integral to property management's financial stability. Managers should develop comprehensive financial plans and budgets encompassing revenue projections, operating expenses, capital improvements, and contingency funds. Managers can make informed decisions by forecasting income and expenses, identifying potential financial risks, and allocating resources effectively. Moreover, prudent financial planning enables managers to anticipate and address financial challenges, capitalize on investment opportunities, and maintain the property's financial resilience and long-term stability.

In essence, ensuring financial stability in property management demands a multifaceted approach encompassing strategic rent pricing, cost-effective maintenance, tenant retention strategies, and proactive financial planning. By prioritizing these essential elements, managers can optimize financial performance, mitigate risks, and sustain long-term profitability and value of real estate assets.

Sustainable Wealth: Property Management Strategies for Optimal Financial Health

The synergy between rental value and financial health in property management is undeniable. Rental value and financial health are intricately linked in the real estate industry.

• Enhancing rental value through strategic investments and improvements benefits the property's aesthetics and functionality and contributes to long-term financial stability.

• Investing in rental value additions, such as renovations, energy-efficient upgrades, and landscaping, can yield significant returns in the form of increased rental income, higher property appreciation, and improved tenant retention.

Consequently, this enhances the entire financial well-being of the property, guaranteeing owners a consistent and profitable revenue stream and cultivating a sought-after and competitive real estate portfolio.

Summary

Maximize your property's potential with Centurion Real Estate Management, LLC. Call us today for a comprehensive suite of property management services, expert strategies, and industry-leading know-how that ensure long-term financial success and peace of mind. Trust Centurion for excellence in Salem, OR.

Living in a multi-family apartment community unites diverse individuals. The keys to harmony and quality of life are rules, preventing conflicts, boosting security, and promoting respect. Property management companies like Centurion Real Estate Management, LLC, play a crucial role in developing and enforcing such rules, ensuring all residents adhere to community standards for a peaceful, enjoyable living experience. Let's delve deeper into this topic.

How Does Effective Property Management Play a Crucial Role in Multi-Family Apartments?

Property management is the overall supervision of real estate properties, and in the context of multi-family apartments, it becomes even more crucial. Effective property management ensures the smooth operation and financial stability of these apartment complexes.

Managers have various duties and responsibilities, acting as the middleman between landlords and tenants. They are tasked with setting, collecting, and adjusting rents to attract tenants and maximize profitability. They are also responsible for finding and screening tenants, managing leases, and handling tenant complaints or emergencies.

Additionally, property managers oversee all maintenance and repair work to ensure the property is in excellent condition. They are also in charge of understanding and complying with pertinent legislation, such as the Fair Housing Act. In summary, effective property management is integral to preserving the property's value while generating income.

Understanding and Respecting House Rules in Multi-Family Apartments

Living in a multi-family apartment often means sharing common spaces with others. It's essential to understand and respect the house rules to maintain harmony among the residents. Here are some of the common house rules:

• Noise Control: According to our rules, it's crucial to maintain minimal noise levels, especially during designated quiet hours. This rule encompasses loud music, parties, or any other activities that might cause disturbance to others.

• Pets: If pets are allowed, there are often specific rules regarding their behavior, leash requirements, and waste disposal. Some complexes may also have restrictions on the breed or size of the pet.

• Parking: Parking spaces are usually assigned in multi-family apartments. Using someone else's spot can create unnecessary conflict.

• Garbage Disposal: Proper waste disposal is essential for maintaining cleanliness and hygiene. Trash should be disposed of in designated areas, and recycling guidelines should be followed.

• Use of Common Areas: Common areas such as gardens, rooftops, laundries, or gyms have specific usage rules. These include operating hours, guest policies, and cleanup responsibilities.

The Importance of Respecting House Rules

Understanding and respecting community rules ensures peaceful coexistence. It promotes harmony, reduces conflicts, and enhances the quality of life for everyone. Respect for rules reflects respect for others and contributes to a thriving community. Respecting house rules is vital for several reasons:

• Peaceful Coexistence: Following house rules ensures a peaceful living environment where everyone's rights are respected. It helps avoid conflicts and promotes good neighborly relations.

• Safety: Many house rules are established to ensure the safety of all residents. For instance, restrictions on barbecue grills on balconies help prevent fire hazards.

• Property Maintenance: Adhering to house rules helps maintain the property's condition, which can positively impact its value and appeal.

• Community Building: When everyone follows the rules, it fosters community. It shows consideration for others and contributes to a friendly and respectful atmosphere.

In essence, understanding and respecting house rules in multi-family apartments is vital for maintaining a peaceful, safe, and friendly living environment. It's part of being a responsible and considerate neighbor. Remember, a harmonious community is built on mutual respect and understanding.

How Good Multi-family Property Management Aids Coexistence?

Good management is significant in fostering a peaceful and harmonious living environment, particularly in multi-unit residential properties. Property management companies like Centurion Real Estate Management, LLC, are instrumental in ensuring all residents abide by the established rules and regulations, creating a sense of order and tranquility.

Role of Property Management Companies in Rule Implementation

Property management companies are tasked with enforcing the rules and regulations set forth by the property owners or the homeowners' association. These rules may pertain to noise control, waste disposal, pet ownership, parking, and property maintenance, among others.

• They ensure all tenants are well-informed about these rules upon signing their lease agreement.

• They ensure consistent enforcement of these rules to prevent favoritism or bias.

• They address any concerns or complaints from tenants regarding rule violations.

Dealing with Rule-Breakers

Despite clear communication and enforcement of rules, instances of non-compliance will inevitably occur. Handling rule-breakers professionally and effectively is integral to maintaining harmony among occupants.

• When a violation is reported or observed, the property management team verifies the claim.

• Upon verification, they communicate with the offending party, often through a formal notice detailing the violation and the necessary corrective action.

• In cases of repeated non-compliance, property managers might have to impose penalties as outlined in the lease agreement. This could range from fines to eviction for severe or persistent violations.

• Property managers also mediate disputes between tenants over rule violations to ensure issues are resolved amicably.

Benefits of Professional Property Management in Maintaining Harmony

Professional property management companies bring numerous benefits to maintaining harmony in a residential community by implementing and enforcing rules effectively.

• Expertise and Experience: Professional property managers have extensive knowledge and experience handling different situations, including conflict resolution and rule enforcement.

• Impartiality: As a third party, property managers can enforce rules impartially, preventing disputes arising from perceived bias or favoritism.

• Conflict Resolution: Property managers are skilled at mediating conflicts between tenants, ensuring disagreements are settled amicably and do not escalate.

• Communication: Property management companies serve as the primary point of contact for all tenants, ensuring clear and consistent communication.

Good management is crucial to creating and maintaining peaceful coexistence among property residents. Through rule implementation, dealing with rule-breakers, and professional handling of tenant relations, property management companies like Centurion Real Estate Management, LLC, ensure a harmonious living environment for all occupants.

Conclusion

Multi-family apartment rules are essential for harmony and property preservation. Centurion Real Estate Management enforces these rules, fostering safety, security, and a pleasant living environment. Adhering to these rules contributes to community well-being. Let's uphold respect and comfort in our apartments. Contact Centurion for more on maintaining a harmonious living environment.

Understanding that rent increases can be a sensitive topic, at Centurion Real Estate Management, LLC, we strive to ensure the value of our tenants is always evident. We believe that satisfied tenants are more likely to accept reasonable rent increases. So, what additional value can we offer you when there's a rent increase? And how do we maintain occupancy without compromising our excellent service standards? In this blog post, we will explore these questions and delve into our dedicated approach to balancing property management, tenant satisfaction, and financial viability. Let's unpack how we at Centurion go about this unique challenge in the property management sector.

What Value Additions are the Most Effective During a Rent Rise?

As a landlord, increasing rent can be a sensitive issue. However, with the right approach, it's possible to justify this increase by adding value to your property. Here at Centurion Real Estate Management, LLC, we have mastered several strategies that not only make rent increases more palatable but also enhance tenant retention. Here are seven value-addition strategies:

1. Upgraded Amenities: Consider upgrading common areas or providing in-unit amenities that increase convenience and comfort for your tenants. For instance, installing washer-dryer units, dishwashers, or modern HVAC systems can justify a rent increase.

2. Property Renovations: Regular renovations can keep your property in top shape and appeal to tenants. This could include new flooring, bathroom or kitchen upgrades or energy-efficient windows. Not only does this justify an increase in rent, but it also reduces the need for future repairs and maintenance.

3. Improved Security: Security features such as CCTV cameras, secure entry systems, and effective outdoor lighting can make tenants feel safer and more secure. This enhanced sense of security can validate a rent increase.

4. Enhanced Outdoor Spaces: Creating attractive outdoor spaces like well-maintained gardens, BBQ areas, or playgrounds can increase a property's appeal. Tenants often see great value in these communal spaces and are usually willing to pay a premium for them.

5. Regular Maintenance and Quick Repairs: Maintaining a responsive maintenance team can greatly enhance tenant satisfaction. Ensuring that all repair requests are handled promptly and efficiently shows that you value your tenants and their comfort.

6. Technology Integration: Integrating smart home technology like programmable thermostats, smart locks, and energy-efficient appliances can offer convenience to tenants and justify a rent increase.

7. Community Building Activities: Organizing regular community events, such as holiday parties or summer BBQs, can foster a sense of community among tenants. This increased community feeling can make tenants more willing to accept a rent increase.

Any rent increase should be communicated clearly and with ample notice, ensuring tenants understand the improvements and added value that come with it. At Centurion Real Estate Management, LLC, we can assist you in implementing these strategies, helping to manage tenant relationships and maximize your return on investment.

Property Value Additions and the Financial Health of Your Property Go Hand-In-Hand

Value additions, despite sometimes being costly, play a crucial role in retaining tenants and maintaining a desirable property. At Centurion Real Estate Management, LLC, we believe that retaining tenants is an integral part of successful property management. Long-term tenants provide a steady income stream, reduce vacancy rates, and lower turnover costs. By providing value additions like timely repairs, excellent tenant service, and property upgrades, we not only enhance our tenants' living experience but also cultivate a sense of loyalty towards the property. This approach not only helps in retaining quality tenants but also in maintaining the property’s value and attractiveness in the market. Thus, our emphasis on value addition and tenant retention is not just a service strategy but a significant contributor to the overall financial performance of the properties we manage.

Conclusion

Offering added value to tenants can be a strategic move amidst rent increases. From enhancing property features to providing superior tenant services, these actions can help justify the price increase while keeping your properties occupied. Remember, tenant retention is key to maintaining steady rental income. Centurion Real Estate Management, LLC, is here to assist with all your property management needs in Salem, OR, and the Mid-Willamette Valley. Our experienced team strives to exceed expectations and ensure occupancies remain high. Reach out to us for comprehensive, cost-effective solutions today. Let us help you manage, grow, and protect your real estate investment.

Maintaining sound financial practices is essential for a property manager. This protects investments, ensures seamless operations, and builds trust with clients. So, whether you are an experienced property management expert or a beginner, this guide will equip you with the essential knowledge to make sound financial choices. Join us as Centurion Real Estate Management, LLC explores this vital aspect of property management!

Understanding Turnkey Investments

Turnkey investments are popular for investors looking to expand their portfolios with minimal hassle. But what exactly are turnkey investments, and how do they work in the property management industry?

It is when an investor buys a property ready to rent out immediately. The term "turnkey" derives from the concept that the investor only has to "turn the key" to start renting the property without needing significant repairs or upgrades.

Such properties are usually bought from companies specializing in renovation and management, like Centurion Real Estate Management, LLC. We handle every aspect of property management, from acquisition and refurbishment to tenant procurement and maintenance.

Turnkey investments are attractive for those interested in real estate but lack the time, expertise, or desire to manage daily operations. They allow investors to reap the benefits of owning rental properties, such as consistent rental income and property value appreciation, without the headaches of being a landlord.

Role of Financial Planning in Property Management

Financial planning is a crucial element in the realm of property management. It forms the foundation of every successful property management strategy, providing a pathway for income, expenses, and potential profit. Financial planning includes evaluating the current financial state of the property, setting financial objectives, and devising strategies to reach these objectives.

Property management isn't just about collecting rent and responding to maintenance requests. It's a complex process requiring a deep understanding of financial concepts, market trends, and real estate laws. Therefore, having a well-planned financial strategy can be advantageous in numerous ways.

• Financial planning enables property managers to forecast income and expenses accurately. This includes rent collection, maintenance, property taxes, insurance premiums, and other operational expenses. By doing so, property managers can ensure that the property generates a positive cash flow.

• It aids in identifying potential risks and opportunities. This is particularly important when dealing with turnkey investments. Turnkey properties are fully renovated homes or apartments that investors purchase to rent out immediately. While they offer the advantage of being rental-ready, they also come with their own set of challenges.

For instance, turnkey properties often command higher prices due to their ready-to-rent status. Therefore, investors must ensure that the rental income covers the mortgage payments and other expenses. A detailed financial plan can help investors evaluate the profitability of such properties.

Key Guidelines for Prudent Financial Transactions

Certain guidelines can help maintain transparency, minimize errors, and ensure compliance with legal requirements when managing financial transactions. Here are some essential guidelines:

1. Maintain Detailed Records: Maintaining meticulous records of all financial transactions is essential. This includes all income and expenditure records, receipts, invoices, and bank statements. These records prove invaluable during audits and when resolving any financial disputes.

2. Use Reliable Accounting Software: Reliable accounting software like AppFolio can significantly simplify managing financial transactions. Such software can automate many tasks, provide real-time financial reports, and ensure accuracy in accounting.

3. Follow Legal and Regulatory Requirements: All financial transactions must comply with the Fair Housing Act and other relevant laws and regulations. This includes laws related to rent collection, security deposits, and late fees.

4. Ensure Timely Transactions: Timely collection of rent and payment of bills is crucial in maintaining good cash flow. Property managers should have systems to ensure tenants pay their rent on time and vendors are paid promptly.

5. Maintain Separate Accounts: Keeping funds belonging to the property owner separate from the operating funds of the property management company is crucial. This ensures clear responsibility for finances and prevents potential conflicts of interest.

Let's evaluate how these guidelines can be executed:

Take, for instance, a scenario where a tenant doesn't pay their rent on time. The property manager can quickly pinpoint this issue with an in-depth record-keeping system. They can then apply the procedures detailed in the lease agreement and legal rules to resolve this issue, ensuring that the property owner's and the tenant's rights are safeguarded.

In another instance, consider the end of a lease term when the tenant vacates. The property manager must accurately account for any deductions from the security deposit for property damages beyond normal wear and tear. By keeping detailed records and using reliable accounting software, the property manager can ensure that this process is handled transparently and fairly, minimizing disputes.

Closing Thoughts

We encourage you to implement these above-discussed guidelines within your property management measures. They will enhance your financial dealings and instill confidence among your clients. Remember, prudent financial management forms the backbone of successful real estate operations. Apply these guidelines today for a more efficient and profitable property management business. To know more, connect with our experts today!

“So, how much money did you lose… I mean think you were going to save?”

Have you ever met anyone so inclined to save money that they will take on projects that they have no business doing just to save a few bucks? It seems that there is always one person in every family that is like this.

Everyone wants to spend the least possible to get the highest return possible. While this, on the face, seems like a smart strategy, in real estate, it does not pay off. Oftentimes, getting the professionals to do the job and be done with it is the best way to go.

Rental properties, if they are not managed by a professional property management company, can attract this type of thinking and behavior. The reason is simple to understand. These are large investments and the owners want to maximize the profit available.

Spending Money Will Save You Money

What if I were to tell you that to maximize your profit, you shouldn’t worry about pinching pennies and trying to DIY everything? Would you believe it? Would you believe it if you were told that, in some circumstances, you have to spend money to save money?

You may say, “What? Spending money will save you money? How is that possible? Outgoing expenses that I reduce by doing repairs myself will lead to more dollars in my bank account. It’s simple math”

That may seem like the right answer to a novice but to a professional or a seasoned veteran in the real estate rental business, the answer couldn’t be further from the truth. Here is a breakdown of the costs of DIY Donny vs getting the professional to do it.

DIY Donny vs Professional Property Management 

DIY Donny owns a rental property and there is a repair that needs to be done before new tenants can move in. He looks at the cost of a professional but he believes that he can save the money and get it done himself. They don’t call him “DIY Donny” for nothing!

Since he works a full-time job, Donny is only able to work in the evenings and on the weekends. He is occupied a few of these evenings and weekends but he figures he is doing the repair himself so he can take a little bit of extra time because he is “saving money”.

This is how the costs break down.

DIY Donny:

• Cost of repair is $1200

• Mortgage cost monthly is $1100

• Water and Sewer monthly is $50

• Electric while vacant $30

• Rent amount is $1300 

• 2 months later the problem is finally fixed and a new tenant is in place

This means that Donny spent:

Repair the damage for $1200

2 months mortgage payment at $1100

2 months water and sewer at $50

2 months electric at $30

Total costs = $3560

He also missed out on two months’ rent which is $2600 in lost revenue.

Net results= $6600 in costs and lost revenue

Professional Property Management

• Fixed the problem with a professional in 72 hours. 

• Rented the property shortly after the repairs, closer to the “actual market rate” $1400

• Total rent loss of 7 days. 

The property management company calls a professional and has the issue resolved in days. For argument’s sake, say that the repair is double the cost. This means that the property management company spent:

• Repair the damage for $2400

• 7 days water and sewer = $11.66

• 7 days power = $7

• Lost 7 days rent: $1400 divided by 30 days= 47$ x 7 days= $329

• The cost of the property management rate monthly

Net Result: $2747.66 in costs and lost revenue (plus the cost of the property management company)

The Numbers Don’t Lie

Not only does DIY Donny take more time, lose more revenue and cost more money, the job still isn’t done by a professional! That means that the repair will not last as long and need to be repaired again sooner. Also, if it is a visible repair, it will reduce the value and potential rent of the property. 

Instead of trying to save money his way, DIY Donny should have had a team of professionals at his side to help guide him through the situation.

This is a prime example of why it pays to have a professional property management team at your side. Centurion Property Management is that team. Reach out today and see how Centurion Property Management can help you maximize your properties potential.

Welcome to our latest blog post: "Harmony in Sharing: Policies in Multifamily Living". Multifamily living, whether in apartments, condos, or townhomes, is a unique blend of community, privacy, and shared responsibility. It's a lifestyle that requires understanding and cooperation for all residents to live harmoniously. At Centurion Real Estate Management, LLC, we understand the complexities of multifamily living, and we're here to guide you through them. In this blog, we'll explore the importance of clear policies, respectful conduct, and communication in fostering a peaceful multifamily environment. Stay with us as we delve into the world of multifamily living policies!

The Unique Dynamics of Multifamily Communities

Multifamily communities have unique dynamics because they involve close living quarters with many different individuals or families. This can create a sense of community, but it also has the potential for conflicts or issues. Some aspects that make multifamily communities unique include shared amenities like pools, gyms, or laundry facilities, which can foster social interaction but also require maintenance and rules to ensure fair use. Property Management plays a key role in maintaining the harmony and functionality of these communities. They handle tenant complaints, enforce community rules, oversee maintenance and repairs, and often organize community events to build a positive living environment. However, to ensure everyone's enjoyment and safety, it is crucial to have rules and regulations in place.

• Swimming Pool Area: The pool area is typically the focal point of any multifamily complex that has one. Rules here usually include hours of operation, no lifeguard on-duty warnings, and guidelines for proper attire. Additionally, restrictions are often placed on food and drink in the pool area, running on the pool deck, and the number of guests one resident can bring. It is important to remember that these rules are set primarily with residents' safety in mind.

• Fitness Center: As a shared space, the fitness center requires certain rules for smooth operation. This can include appropriate behavior and attire, age restrictions, time limits on machines during peak hours, and cleaning equipment after use. This ensures all residents have equal access to the facilities and helps maintain the equipment's longevity.

• Laundry Facilities: If your multifamily apartment complex offers a shared laundry facility, there will likely be rules surrounding its usage too. These could include hours of operation, cleaning lint traps after use, not leaving laundry unattended, and the prohibition of dyeing clothes. These rules help ensure that all residents can use the facilities effectively and hygienically.

• Parking Lots: Parking can often be a contentious issue in shared living spaces. To prevent disputes, clear rules regarding designated spaces, visitor parking, and prohibited vehicle types (such as RVs or boats) should be established. Strict enforcement of these rules ensures that all residents have fair access to parking.

• Common Areas: Common areas such as lounges, courtyards, or rooftops also require rules for smooth operation. These might cover noise levels, cleanliness, maximum capacity, and hours of use. Policies about reserving these spaces for private events might also be in place.

• Pet Policy: If your apartment complex allows pets, a clear pet policy is crucial. This can cover everything from leash requirements in common areas to designated pet relief areas to breed or size restrictions.

Why Should Residents Respect The Rules in a Multi-Family Apartment?

1. Fosters a positive community spirit among residents.

2. Establishes a sense of order and organization within the apartment community

3. Ensures the safety and well-being of all residents.

4. Prevents unnecessary damage to the property, helping to maintain its value.

5. Promotes a peaceful living environment, minimizing disputes and disagreements.

6. Helps to maintain cleanliness and hygiene in common areas.

7. Encourages respect for others' privacy and personal space.

8. Protects the rights of all residents, ensuring fair treatment.

9. Facilitates efficient use of shared amenities and facilities.

10. Enhances the overall quality of life for all residents.

Conclusion

In conclusion, maintaining harmony in multifamily communities requires a strong foundation of clear and fair policies. These policies ensure that all residents understand their responsibilities and rights, promoting a respectful and comfortable living environment. Centurion Real Estate Management plays a pivotal role in this by enforcing these policies, resolving conflicts, and ensuring all residents' needs are met. By doing so, we create a well-managed, peaceful community that residents can be proud to call home. Our commitment to excellent service and adherence to fair housing standards sets us apart in the property management industry.

The Need for Insuring Rental Properties

As a real estate owner, safeguarding your assets is of paramount importance and it can be done with adequate property insurance.

Protection from Financial Loss

Insurance for rental properties provides crucial financial protection for landlords. It safeguards against monetary losses associated with damages to your rental units caused by fire, theft, or natural calamities. Without this insurance, the burden of bearing the expensive costs of repairs or replacements falls solely on your shoulders.

Liability Coverage

Liability coverage is another significant aspect of rental property insurance. If a tenant or visitor gets injured on your rental, you could potentially be held liable for their medical expenses and any legal costs if they choose to sue. Liability coverage can protect you from these potentially substantial costs.

Loss of Rental Income

If your house becomes uninhabitable due to a covered loss like fire or severe water damage, loss of rental income coverage can compensate for the income you'd lose while the property is being repaired.

Customizable Policies

Rental property insurance policies are typically customizable to your specific needs. You can adjust your coverage limits and add optional coverages, like vandalism or burglary, to tailor your policy to fit your risk profile and budget.

Peace of Mind

Beyond the financial protection, rental property insurance provides peace of mind. Knowing that you have a safety net can make the inherent risks of real estate investment much more manageable.

Hiring a professional property management company such as Centurion REM will be a valuable addition to investing in property insurance. It will greatly reduce property management costs as a significant portion of the repair and renovation costs will be covered by the insurance policy.

Different Types of Property Insurance

While the importance of property insurance is universally acknowledged, understanding the different types available can be a complex task. This section aims to enlighten you on various types of property insurance such as home insurance, renters' insurance, flood insurance, and earthquake insurance.

Home Insurance

Home insurance, also known as homeowners' insurance, is a necessity for any property owner. It provides coverage for your structure and the personal belongings within it. The policy typically covers damage caused by incidents such as fire, theft, or storms. It also includes liability coverage, which protects you in case someone gets injured on your property.

Renters' Insurance

While homeowners enjoy the protection of home insurance, renters need their own type of insurance. Renters' insurance covers the personal effects of tenants in case of damage or theft. It also includes liability coverage if a visitor gets injured within the rental premises. It's important to note that while landlords may have their own insurance, it usually only covers the physical building, not the tenant's personal belongings.

Flood Insurance

Standard homeowner's and renter's insurance do not cover flood damage. One needs to invest in separate flood insurance. It is mandatory for properties located in flood-prone areas. This encompasses everything from structural damage to the property to the loss of personal belongings.

Earthquake Insurance

Regular property insurance does not cover damage from earthquakes and not everyone needs earthquake insurance either. It compensates property damage and loss caused during earthquakes. It is crucial for properties located in areas with high seismic activities.

In conclusion, property insurance is not one-size-fits-all. Depending on the location and type of your property, as well as your specific needs, you will need to invest in different types. By understanding these options, you can make informed decisions and ensure your assets are adequately protected. At Centurion Real Estate Management, LLC, we understand the value of thorough asset protection and are here to help guide you through these considerations.

Why Do You Want to Keep Occupancy Rates High?

If you have a high vacancy rate, or high tenant turnover rate, you could easily burn through any profit you have made over the years with your rental property. You could even pay out of your pocket and end up having a negative return, which means it costs you money to have renters. 

Keeping your tenants in your properties allows you to build positive cash flow instead of using that money for the expenses that come along with unwanted vacancies. This includes advertising the property, doing pre-move in touch-ups and or paying the rent yourself when no one is in the unit. That is why it is key to keep your vacancies minimal and tenants in your properties.

Why Do Tenants Move Out?

There are numerous reasons that tenants choose to move out of your property and not all of these circumstances are avoidable. In your time as a rental property owner, you will have tenant turnover. The key is to limit the amount as much as possible. However, people will move out. They may move out because of:

• A new job in a new part of the city or a different city altogether.

• They may be looking to increase the size of their home because they are expecting children or are having a parent move in.

• They may be downsizing because they have had children move out or their income has decreased, making their rent unsustainable.

• They may be moving to be closer to a better school.

• Etc.

These reasons, among others, are out of your control. The truth is, the reasons that are most often given for moving out of a rental unit are these.

• The tenants do not feel appreciated or valued

• Their maintenance requests are not handled to their expectations or are handled late.

These are definitely within your control!

How to Make Sure You Retain A High Occupancy Rate

 At Centurion Property Management, we look at our clients and the tenants as assets. We understand your concerns as an owner. You want to keep your expenses low and limit the amount of outgoing cash flow. Understandably, this is a logical position to take. 

The tenants want to feel like they are valued and want to have their maintenance needs met promptly and by professional and courteous staff. They also expect that their needs will be met to their satisfaction, every time.

How do we manage both of these priorities? 

1. We educate owners on the value of taking care of good tenants and maintaining their property. By maintaining your physical asset (the property) you are maintaining your other asset (the renters). Remember, the cost of having a unit empty for a month or two, coupled with the cost of advertising the property and screening new renters are great. They can easily outstrip the cost of a maintenance request that may have kept the tenant happy and in your unit.

2. We educate the tenants on how and when to reach out if there are issues that they see. We discuss with them what can be done and also make suggestions for them to aid in the maintenance of the property.

3. As the property management company, we respond promptly to requests and we make sure that the tenants are satisfied with the service.

4. We utilize property maintenance and management software to streamline this process so we can be as efficient as possible.

We Value the Process

By ensuring that the tenants are taken care of, Centurion Property Management is taking care of the owner’s interests in the long term. Keeping a safe and well-maintained property leads to consistent and happy renters. This in turn reduces costs for the owners by reducing vacancies and their associated costs.

By treating the tenants like an asset, we make sure that your asset, your rental property, maintains and grows its value in the long run. At Centurion Property Management, we make great decisions today to lead to an even better tomorrow. Reach out today to see how we can help you maximize your rental property.

We explore the myriad benefits of residing in a multifamily property. Multifamily properties, comprised of units that house more than one family under the same roof, are currently popular. Whether it's a duplex, a townhouse, or an apartment building, multifamily properties offer unique advantages over single-family homes. We will delve into the specifics of these benefits and why an increasing number of people are choosing multifamily living. Stay tuned as we unveil the perks of being a multifamily property resident!

Comfort and Benefits for Multifamily Property Residents at Centurion

At Centurion Real Estate Management, we strive to provide a comfortable and high-quality living environment for our multifamily property residents. Here are some of the benefits we offer:

1. Modern Amenities: We ensure our properties are equipped with modern amenities like fitness centers, communal spaces, secure parking, and on-site laundry facilities, making life comfortable for our residents.

2. 24/7 Maintenance: Our dedicated maintenance team is available 24/7 to quickly address any issues that arise, ensuring a hassle-free living experience.

3. Online Access: Residents have online access to pay rent, submit maintenance requests, and communicate with us, making the process smooth and convenient.

4. Neighborhood Experience: Our properties are located in safe and vibrant neighborhoods with easy access to grocery stores, restaurants, parks, and schools.

5. Pet-Friendly Policies: We understand that pets are part of the family. Therefore, most of our multifamily properties have pet-friendly policies.

6. Responsive Management: Our property management team is always responsive to the needs and concerns of our residents, ensuring a pleasant living environment.

7. Community Activities: We organize regular community activities and events for our residents to promote a sense of community and belonging.

8. Safety Measures: The safety of our residents is our top priority. Our properties are equipped with security features like controlled access, security cameras, and well-lit common areas.

9. High Standards of Cleanliness: We maintain high standards of cleanliness in all our properties to ensure a healthy living environment for our residents.

10. Flexible Lease Terms: We offer flexible lease terms to cater to the diverse needs of our residents.

If you are considering moving into a multifamily home, there are a few important things to understand before making your decision.

Understanding the Rules and Regulations

When living in a multifamily property, you will need to abide by certain rules and regulations that are set by the management. These can range from restrictions on modifying your living space to specific quiet hours. It's important to familiarize yourself with these rules before moving in. Consider reaching out to the property management company, in this case, Centurion Real Estate Management, LLC, for a copy of the rules and regulations.

1. Lease Agreement: The lease agreement is the primary document that outlines your rights and responsibilities as a tenant. It includes details like the duration of your lease, rental payments, and provisions for renewal.

2. Quiet Hours: Multifamily properties typically have specific quiet hours to ensure all residents can enjoy a peaceful living environment.

3. Maintenance Requests: Regular maintenance is crucial in a multifamily setting. Residents are typically responsible for reporting any issues in their unit as soon as possible.

4. Pets: If pets are allowed, there are usually specific rules related to pet ownership. This could include restrictions on the type or size of pets, requirements for cleaning up after pets, and potential additional fees.

5. Amenities Usage: If your property has shared amenities like a gym, pool, or laundry facility, there will be specific rules for their usage to ensure they remain in good condition for all residents.

6. Parking: There may be assigned parking spots or specific regulations for parking vehicles on the property.

7. Guest Policy: There are usually rules regarding how long guests can stay and what areas of the property they can access.

8. Garbage Disposal: Proper disposal of trash is crucial to maintaining a clean and healthy living environment. Rules would dictate where and when the trash should be disposed of.

9. Rent Payment: The date by which rent needs to be paid each month will be specified, along with the accepted payment methods.

10. Renewals and Move-outs: The procedure and notice period required for lease renewals or move-outs will be clearly outlined.

Conclusion

Multifamily properties offer residents numerous benefits, from shared amenities, and opportunities for social interaction, to cost efficiency. Such communities can significantly enhance your lifestyle, providing a unique blend of privacy and community. Our team at Centurion Real Estate Management, LLC, is readily available to assist you on your property management journey. Feel free to reach out to us.

Ensuring tenant satisfaction while maintaining profitability can be a juggling act. In this blog, we'll explore how effective communication and thoughtful incentives can be crucial in keeping your tenants happy and loyal, even when rents rise. The journey towards mastering tenant retention in the face of rent increases is an essential skill for any property management company. Stay tuned as we share insights and strategies to help you succeed in this endeavor.

Understanding Rent Increase Laws and Regulations

As a property owner, ensuring your investment is profitable is a key concern. However, when it comes to raising rent, some specific laws and guidelines must be followed to ensure you are in compliance with rental laws. At Centurion Real Estate Management, LLC, we are well-versed in these laws, and we're here to guide you through the process.

• Rental Laws and Rent Increases: According to state law, landlords must provide at least 90 days written notice before increasing rent in a month-to-month tenancy. It's important to note that there are restrictions on how much rent can be increased within a year. As of 2023, the maximum allowable rent increase is 14.6%.

• The Impact of Rent Control: Oregon was the first state in the U.S. to pass statewide rent control in 2019. Under this law, landlords cannot raise rent by more than 7% plus the annual change in the consumer price index. This means keeping abreast of these changes is paramount to maintaining a profitable yet legal rental operation.

Our property management services include setting competitive and legal rents for your properties and handling all rent increases, including providing appropriate notice to tenants. Remember, increasing rent is a delicate process that requires a firm understanding of local and state laws as well as a sense of fairness to your tenants. With property management by your side, you can navigate these waters confidently and effectively.

Strategies for Effective Communication

Rent increases are often necessary due to rising property taxes, maintenance costs, or adjustments to match current market rates. However, we also understand that for tenants, a rent increase can be a source of financial stress. Our approach is designed to minimize this stress and maintain a healthy and transparent landlord-tenant relationship.

• Advance Notice: We ensure tenants receive notice of a rent increase well in advance. This gives them adequate time to adjust their budgets or make other living arrangements. In accordance with Oregon law, we provide at least 90 days' notice for any rent increase.

• Clear Explanation: When communicating a rent increase, we clearly explain the change. We believe it's important for tenants to understand that rent increases are not arbitrary but instead tied to specific factors like property taxes, maintenance costs, or market rates.

• Open Line of Communication: We maintain an open line of communication with our tenants. If a tenant has questions or concerns about a rent increase, we encourage them to contact us. We're here to help and to listen, and we work hard to address any concerns promptly and professionally.

• Assistance in Budgeting: If a tenant is concerned about their ability to afford an increased rent, we can offer suggestions and resources for budgeting. We want our tenants to feel secure in their homes, and are here to assist in any way we can.

Our goal at Centurion Real Estate Management, LLC is to ensure that both our property owners and tenants feel heard, valued, and respected. When it comes to rent increases, this means clear communication, advance notice, and ongoing support for our tenants.

Incentives to Enhance Tenant Satisfaction

As a property management firm, Centurion Real Estate Management, LLC understands that rent increases are a necessary part of maintaining the viability of a property. However, we also know this can be a delicate situation for tenants. We've developed strategies to enhance tenant satisfaction during these periods.

• Adding Value: A key strategy is to ensure that rent increases are accompanied by noticeable improvements to the property. This could be anything from investing in energy-efficient appliances, upgrading appliances, adding new amenities, or enhancing common areas. By seeing their rent money visibly improve their living environment, tenants can feel reassured that the extra cost is worthwhile.

• Flexible Payment Options: We understand that a sudden rent increase can strain a tenant's budget. That's why we offer flexible payment options to accommodate individual's financial situations. This can include breaking up monthly payments or adjusting the due date to align with a tenant's payday.

• Offering Lease Renewals With Fixed Rent Increases: Another incentive that can be highly effective is offering lease renewals with fixed rent increases or incentives for long-term tenants. For instance, you might offer a two-year lease with a fixed rent increase for the second year. This provides tenants with financial stability and predictability. Alternatively, you could provide discounts or rewards for those who renew their leases, further encouraging them to stay.

Conclusion

Centurion Real Estate Management, LLC, is committed to ensuring our tenant's satisfaction, even during rent increases. We understand that rent changes can be challenging, and we endeavor to communicate these changes clearly and compassionately. Our goal is to provide exceptional service and support to our tenants through open dialogue and prompt responses to concerns. We believe in creating a win-win situation for everyone involved, maintaining the quality of our properties while keeping our tenants happy. Don't hesitate to contact us with any questions you may have! Your satisfaction is our priority at Centurion Real Estate Management, LLC.

Assessing the Options

The challenge with laying out the options is that every person's circumstances are different. At what point in life did this inheritance come into your possession? What are your life goals? Can this help you achieve those? When you come into a situation like the inheritance of a home, you essentially have 4 options.

1. Leave It Empty

2. Move into the home

3. Sell the Home

4. Rent the Home

Let's break down these options so that if the time comes to decide about such a situation, you have thought out some available options.

#1 Leave It Empty

This may be the most enticing option for some because it takes no direct action, at least not yet. No decisions need to be made about the house, the contents of the house, or anything else. It can stay as it is, and you can come to a decision later.

However, leaving it empty does come at a cost. The ongoing upkeep of the property, as well as the bills such as power, water, and property taxes, must all continue to be paid. If that isn't an issue and you are in no rush to make a different decision, this may be your best choice. Our team of proficient property management professionals ensures that you experience tranquility and peace of mind.

#2 Move into the Home

For some people, this choice is ideal. Moving into your parents' home could be a blessing. Perhaps you were on the market for a home, or maybe you were in the process of selling your own home and this option came up. If this is the case, this works great.

You may be unable to move in for any number of reasons. Perhaps you live across the country or state. Maybe you just bought your own home and have no interest in moving. The house may not suit your family's needs either. In these instances, moving into your parents' home wouldn't work well, and it may become a burden.

#3 Sell the Home

Often, people think this is the only choice. With everything going on in their lives, selling the home is the most suggested option. There would be a windfall of money that could be used for any number of things.

This option has a few potential challenges as well. What if the housing market isn't favorable market to sellers? Would it be worth it to take a hit on the home just to remove the home from your list of to-dos’? Would there be major repairs or any other requirements to get it ready for sale? Do you have the time to deal with real estate agents and showings?

It may be that none of these challenges would be a problem for you. That would be great! If they are a problem for you, then selling the home becomes an undesirable choice.

#4 Rent the Home

Renting a home is the last option on the list and one that isn't often discussed. By hiring a property management company, you can give the responsibility of finding and vetting tenants, setting the rental price, and getting the property ready for the market. This means that you can continue on with life as usual. The interesting point is that renting a home seems to have all of the benefits of the other options with fewer downsides. How so?

• Avoid making any permanent decisions about the property. It is in your name, and you still own the deed. Any of the other options can still apply in the future.

• You don't need to uproot your family and move into another house that may not be suited to your family's dynamics or needs.

• It is possible to create an income stream that is an ongoing source of income. While it may not be a windfall, it will cover the expenses of the home while making some extra money.

Renting out the home may not be the right option for everyone, but it does give you the benefits of all the other options while maintaining ownership of the home. If you are going to be choosing to rent a home, you must have a professional property management company to help you in that process.

How Centurion Can Help

Managing a parent's property after they have moved into assisted living or passed away can be challenging. Centurion Real Estate Management, LLC can help ease this burden. Our team of professionals will assess the property's rental value, market it effectively, and screen potential tenants. We also handle any necessary repairs and maintenance, ensuring your property remains in excellent condition.

Additionally, we collect rent, manage deposits, provide financial reports, and ensure all operations are legally compliant. With Centurion, you can rest assured that your parent's home is in capable hands. Reach out to us for a consultation today.

Turnkey in Property Management

'Turnkey' refers to a full-service solution that covers every aspect of managing a rental property. The term itself originates from the concept of only needing to turn the key to unlock the door to a ready-to-use property. In essence, it embodies convenience, accessibility, and simplicity.

Turnkey property management solutions are designed to simplify the many processes involved in managing a rental property. From tenant screening to maintenance requests, rent collection, and legal compliance, turnkey solutions take care of it all. This comprehensive approach eliminates the need for property owners to micromanage their investments or deal with multiple vendors. Instead, they can rely on a single, trusted entity to manage their property efficiently and effectively.

By outsourcing property management tasks to a professional organization like Centurion Real Estate Management, LLC, owners can focus on growing their investments rather than getting bogged down in day-to-day operational details. Also, turnkey solutions can provide peace of mind for owners. Knowing that their properties are in experienced hands can alleviate stress and offer reassurance that their investments are being well cared for.

Not all turnkey solutions are created equal though. It's crucial to choose a reputable company like Centurion Real Estate Management, LLC which is knowledgeable about local regulations, has a strong track record of success, and is committed to providing excellent service.

What Are the Advantages and Disadvantages of a Turnkey Project?

Turnkey projects within property management have emerged as a popular strategy for investors, landlords, and property management companies alike. These projects pose a unique blend of benefits and challenges for turnkey projects that need careful consideration.

The Benefits of Turnkey Projects in Property Management

Turnkey projects offer the promise of a ready-to-use property that requires minimal effort from the owner. This is particularly appealing to those who prefer a hands-off approach to property management.

1. Ease of Operation: With turnkey properties, all renovations, repairs, and upgrades are taken care of before the property is handed over to the owner. This eliminates the need for the owner to oversee any construction or maintenance work, saving time and effort.

2. Immediate Cash Flow: Once the property is ready, it can be immediately rented out, providing an instant source of income. The quick turnover time is a significant advantage for investors looking for immediate returns.

3. Lower Risk: Since everything is handled by the property management company, like Centurion Real Estate Management, LLC, the risk of unexpected costs or delays is significantly reduced.

The Challenges of Turnkey Projects in Property Management

However, like any investment strategy, turnkey projects also come with their own set of challenges.

1. Higher Initial Cost: Turnkey properties often come at a higher initial cost because all the necessary work has been completed. This could potentially limit your return on investment.

2. Limited Customization: As the properties are already completed, owners have less room for personalization or making changes according to their preferences.

3. Dependence on Property Management: It's crucial to choose a reputable property management company since you'll be heavily reliant on them for the success of your investment.

Mitigating Risks and Maximizing Advantages

Navigating the potential drawbacks of turnkey projects requires a strategic approach.

1. Thorough Due Diligence: Perform a thorough research on the property, the area it is located in, and the property management company handling the project. This helps ensure you are making a sound investment.

2. Realistic Expectations: Have a clear understanding of your financial goals and expectations from the project. Be aware that the higher initial cost might mean slower returns initially.

3. Strong Communication: Maintain open lines of communication with your property management company. Regular updates and transparency can help avoid misunderstandings and ensure smooth operations.

Turnkey projects can be an excellent choice for investors seeking a straightforward path to rental income. By understanding both the advantages and disadvantages that come with this type of project, you can make informed decisions that align with your property management goals. Through careful planning and collaboration with a trusted partner like Centurion Real Estate Management, LLC, you can cultivate turnkey success in your property management journey.

What Does a Turnkey Contract Look Like?

When it comes to seamless property management, a well-structured turnkey contract is the bedrock of success. This contract outlines the roles, responsibilities, and obligations of all parties involved, ensuring that everyone is on the same page from the get-go.

In our example, let us consider a property owner (the client) who decides to engage Centurion Real Estate Management, LLC (the property management company) for turnkey property management services.

• The first section of the contract typically outlines the scope of services provided by the property management company. This may include tasks such as tenant placement, rent collection, property maintenance, and legal compliance. The agreement should clearly state that the property management company is responsible for these tasks and deliverables.

• Next, the contract should specify the obligations of the property owner. This usually involves making timely payments for the property management services, providing necessary permissions or access to the property, and promptly responding to any requests or inquiries from the property management company.

• One of the most critical sections in a turnkey contract is the term of the agreement and termination provisions. This section defines how long the agreement will last (typically a year or more) and under what circumstances each party can terminate the agreement.

• The final sections of the contract often provide details about dispute resolution mechanisms, indemnity clauses, and other legal provisions to protect both parties' interests.

Remember, the goal of a turnkey contract in property management is to facilitate successful, effortless operations between all parties. It is recommended to seek legal counsel when drafting such agreements to ensure all potential scenarios are addressed and all parties' rights are protected.

Mastering the art of effortless property management through turnkey approaches is crucial in today's competitive real estate market. We've explored various strategies, highlighting their importance in achieving operational efficiency and success. Implementing these turnkey solutions not only simplifies property management but also maximizes your investment's potential. As Centurion Real Estate Management, LLC, we encourage you to embrace these strategies for a stress-free, profitable property management journey. Your success is our mission, and with turnkey solutions, it's easier than ever to achieve it.

Navigating the modern investment realm, it's clear that owning rental properties can yield substantial returns. Yet, property management can often present a formidable challenge. That's where effective property management comes into play.

This blog post will explore the importance of property rentals management, key metrics in property investment, understanding real estate investment, and multi-family property management.

How Does Real Estate Investment Work?

Real estate investment involves purchasing property to generate profit through rental income or the property's future resale. It can be a potent wealth-building tool. Also, it offers consistent income flow, tax benefits, and meaningful investment portfolio diversification.

2% rule in real estate: The 2% rule is a popular guideline among real estate investors. It suggests that a property is a lucrative investment if the monthly rent equals or surpasses 2% of its purchase price.

Calculating if a property is a good investment: To ascertain whether it is a sound investment, one must consider various elements such as its location, prevailing market trends, potential rental income, and associated expenses. Key metrics like Return on Investment (ROI), Capitalization Rate (Cap Rate), and Gross Rent Multiplier (GRM) are also crucial in the property assessment.

Potential profit from a rental property: Rental properties can offer a 6% to 8% ROI in a stable market. However, this figure can fluctuate based on location, market shifts, and property management efficiency.

Key Metrics in Property Investment

Understanding critical metrics is crucial to making informed decisions about your real estate investments.

Return on Investment

ROI measures the profitability of an investment. It is a metric that quantifies the performance of your investment. ROI is calculated by taking the net income from the property and dividing it by the total cost of the investment.

Capitalization Rate

The Cap Rate measures a property's potential return in one year, assuming it was bought in cash. It's calculated by dividing the property's net operating income by its current market value.

Gross Rent Multiplier

GRM is a simple tool used to assess the value of a rental property. It calculates the property's price by its gross annual rental income. A lower GRM often indicates a better investment opportunity.

The Significance of Multi-Family Management in Property Investment

As a significant sector of real estate investment, multi-family properties present unique opportunities and challenges. These types of properties, which include duplexes, triplexes, and larger apartment complexes, can yield high returns due to the multiple rental incomes generated by a single property.

The Upside of Venturing into Multi-Family Properties

There are numerous benefits to investing in multi-family properties, particularly compared to their single-family counterparts. These include more predictable income streams, lower risk factors, economies of scale, and so on regarding property maintenance and management.

#1 Predictable Income Streams

Investing in a multi-family property often means a more stable and predictable income. This is because even if one unit is empty, the other occupied units continue to generate income, balancing the temporary loss.

#2 Lower Risk Factors

The risk associated with investing in multi-family properties tends to be lower than that of single-family homes. The main reason is should a vacancy occur. The latter would mean a complete halt of rental income. In contrast, for multi-family properties, revenue continues flowing from the other occupied units even if one or two remain unoccupied.

#3 Economies of Scale

Regarding property maintenance and management, multi-family properties provide economies of scale. Managing multiple units in one location can be more cost-effective and efficient than driving the same number of units spread across various single-family properties.

#4 Appreciation Potential

Multi-family properties often appreciate over time. This means that not only do you benefit from regular rental income, but you also stand to make a profit when you decide to sell the property.

#5 Tax Advantages

Managing multi-family properties can unlock unique tax benefits, setting them apart from single-family homes. These advantageous provisions may include mortgage interest and property tax deductions.

Centurion Real Estate Management, LLC: Your Partner in Multi-Family Management

At Centurion Real Estate Management, LLC, we specialize in multi-family property management. We understand these investments' unique needs and challenges and offer extensive services to manage your properties efficiently.

Conclusion

Investing in rental properties can be a lucrative venture when done right. Understanding key investment metrics and effectively managing your properties are instrumental in achieving success in real estate investment.

At Centurion Real Estate Management, LLC, we provide top-tier property management services to ensure your rental properties are not just competently governed but also profitable investments that contribute to your wealth-building journey.

Connect with us via support@c-rem.com and get top-notch!

We'll delve into how Centurion Real Estate Management, LLC turned a seemingly ordinary property on American Avenue into an extraordinary success story. This tale is about managing a rental property and transforming it into a thriving community where tenants feel at home.

Our approach at Centurion Real Estate Management, LLC is defined by a commitment to providing exceptional service, maximizing returns for property owners while ensuring tenant satisfaction. With years of experience navigating the rental market in Salem, OR, we've honed our strategies and adapted to the changing landscape to consistently meet and exceed client expectations.

This blog illuminates our property management philosophy, demonstrating how we tackle day-to-day challenges and turn them into opportunities for growth. You'll gain insights into our proactive approach to maintenance issues, tenant communications, and regulatory compliance – all crucial to successful property management.

Whether you are a property owner looking for efficient ways to manage your rental property or a prospective tenant seeking a home in Salem, OR, this blog offers valuable insights. Stay tuned as we narrate American Avenue's tale, revealing lessons everyone can apply in their property management journey. We hope this tale resonates with you and provides fresh perspectives on property management.

At Centurion Real Estate Management, LLC, we believe each property has its own story. We're here to tell it right – ensuring success for owners and a sense of belonging for tenants.

American Avenue Leasing SFR3

The Single-Family Rental (SFR) sector is an ever-evolving landscape, with effective management strategies paramount. At Centurion Real Estate Management, we adopted the SFR3 leasing process at our American Avenue properties, and it has significantly transformed our rental management approach.

The SFR3 leasing process is a comprehensive management strategy to streamline property leasing activities. It encompasses various stages, including tenant sourcing, screening, property showing, lease signing, and move-in processes. This innovative approach systematically handles rental properties, ensuring no crucial detail is left unattended.

Our adoption of the SFR3 process at American Avenue has proven beneficial in several ways. Firstly, it has enhanced our efficiency in managing rental properties. The well-defined stages of the process ensure that we follow a consistent and thorough procedure in leasing our properties. This results in reduced vacancies and increased tenant retention rates.

Additionally, the SFR3 process provides a clear framework for tenant screening. This rigorous procedure helps us attract quality tenants who are likely to pay rent on time, take care of the property, and contribute positively to the community.

Moreover, the SFR3 leasing process proves beneficial in terms of legal compliance. It ensures all leasing activities are carried out per the Fair Housing Act and other state and local laws governing rental properties. This mitigates the risk of legal issues that may arise due to non-compliance.

In conclusion, implementing the SFR3 leasing process at American Avenue has positively impacted our rental property management. It has streamlined our operations and improved our overall performance in the real estate industry. We continue to explore more innovative strategies to enhance our services and provide maximum value to our clients.

American Avenue Property Management and Centurion Reviews

Over the years, Centurion Real Estate Management, LLC, has established itself as a trusted entity in the realm of property management, especially with its operations. The company's commitment to excellence and customer satisfaction sets it apart in the ever-competitive real estate industry.

Our journey is marked by numerous positive reviews that reflect our dedication to providing top-tier property management services. Let's delve into an overview of our past and current operations, focusing on how client feedback has refined our services.

Centurion's operations have consistently received commendations for their efficiency and professionalism. Past reviews highlight our unmatched ability to manage rental properties, ensuring owners achieve optimal investment returns. The satisfaction expressed by our clients is a testament to the seamless processes we've established, from tenant screening to rent collection and property maintenance.

But beyond the praises, we've also embraced constructive criticism. We acknowledge that, like any other business, there have been areas requiring improvement. Negative reviews have not been seen as setbacks but as opportunities for growth. For instance, we've had feedback concerning response times and communication. Instead of dismissing these concerns, we took them as vital inputs and have since implemented measures to improve our communication channels.

Our current reviews are indicative of the progress we've made. Clients are now more satisfied with our swift response times and the improved transparency in our communication. Through this open and receptive approach, we've managed to elevate our services.

Centurion Real Estate Management values feedback as it drives our commitment to continuous improvement. Our operations are a testament to this, showcasing how we've harnessed client reviews to refine and enhance our property management services.

Avenue Property Management LLC

At the heart of Oregon, two exceptional companies, Avenue Property Management LLC and Centurion Real Estate Management LLC, have partnered to redefine property management. Together, they harmonize their operations, delivering unparalleled service in the industry.

Avenue Property Management LLC is a dynamic organization with a robust structure that enables it to manage various properties efficiently. Their team comprises skilled professionals who are well-versed in the intricacies of property management. They work diligently to ensure that properties are well-maintained and tenants are happy and satisfied. Their refined operational processes allow them to respond promptly to concerns, providing a hassle-free experience for property owners.

Centurion Real Estate Management LLC shares a similar ethos. With a keen understanding of the Salem property market, Centurion provides bespoke strategies that maximize rental returns and minimize vacancies. Their deep local knowledge, combined with cutting-edge technology like AppFolio, allows them to offer comprehensive management solutions designed to meet individual client needs.

When these two titans collaborate, the result is extraordinary. Their collective efforts streamline processes, eliminate inefficiencies, and create an environment where tenants and property owners thrive. They work hand-in-hand, leveraging each other's strengths to provide top-notch property management services.

Their partnership embodies a shared commitment to uphold the highest standards in the property management industry. Each company brings unique strengths, which, when combined, result in an unmatched level of service that sets them apart in the marketplace.

The synergistic relationship between Avenue Property Management LLC and Centurion Real Estate Management LLC has proven to be a winning formula. Blending Avenue's operational prowess with Centurion's local market expertise has created a property management powerhouse that delivers standout results for its clients.

Centurion manages the heat.

As temperatures rise, so does the intensity of managing a rental property. But the heat of summer doesn't deter Centurion Real Estate Management. We're not just managing properties; we're driving the heat.

We stand as a beacon of calm competence in the sizzling Oregon real estate market. With our years of experience in the industry, we've weathered every season and honed our skills to ensure your investment is protected no matter how high the mercury rises.

Our expertise stems from our deep understanding of the local market. We know Salem, OR like the back of our hand and use this knowledge to provide top-tier property management services. We tackle everything from tenant screening to maintenance and repairs, ensuring your rental property runs smoothly even in the most scorching conditions.

But our services don't end there. At Centurion, we believe in proactive communication, keeping you informed every step of the way. We provide regular updates and financial reports, so you can relax knowing your property is in capable hands.

In conclusion, managing a rental property in the heat of the Oregon summer can be daunting, but with Centurion Real Estate Management, it's a breeze. Our experience and dedication to excellent service protect your investment, regardless of the weather.

The story of American Avenue serves as a testament to our commitment to our clients. It highlights the importance of having a reliable property management company that doesn't back down when things heat up.

We invite you to share your thoughts and experiences. What challenges have you faced in managing your rental property? How have you handled them? Join the conversation, and let's learn from each other. With Centurion Real Estate Management, you're not just a client but part of the family.

Salem, Oregon, offers a unique blend of historic charm and contemporary appeal, making it an attractive locale for real estate investments. Today's blog will delve into the world of Atlas Property Management, a pivotal player in Salem's real estate industry.

Atlas Property Management is renowned for its unparalleled services in Salem, Oregon. Striving to transform the real estate landscape, they ensure that property owners can enjoy the perks of their investments without the common hassles associated with property management.

As we explore Atlas Property Management's services in depth, readers can expect to gain insights into how this company is revolutionizing the real estate scene in Salem, Oregon. From tenant selection to property maintenance and legal guidance, Atlas Property Management covers all aspects of property management with proficiency and professionalism.

In the upcoming sections, we will examine how Atlas Property Management's expertise can help you maximize your rental income, maintain your property's value, and ensure legal compliance. We will also investigate how the company contributes to Salem's growing appeal as a place to live and invest.

Whether you are a seasoned property owner or new to real estate investment, this blog provides valuable information about Atlas Property Management's comprehensive services in Salem, Oregon.

Stay tuned to learn how Atlas Property Management can make your real estate journey in Salem, Oregon, smooth and profitable.

Please note that while discussing Atlas Property Management, Centurion Real Estate Management, LLC is also a trusted name in property management services in Salem, Oregon. We're committed to providing you with the highest level of service and maximizing your returns on investment.

The Top Property Management Companies

The landscape of real estate is vast and complex, and at its core is the pivotal role of property management companies. These organizations are the backbone of any successful real estate venture, acting as the critical liaison between landlords and tenants. They undertake many responsibilities, including marketing rentals, collecting rent, handling maintenance and repair issues, responding to tenant complaints, and even pursuing evictions.

Choosing a reliable property management company can be a daunting task. It requires careful consideration of their experience, reputation, and the range of services they offer. A competent company will transparently communicate with you, promptly address maintenance issues, effectively manage your budget, and ensure a steady ROI.

Centurion Real Estate Management, LLC, based in Salem, Oregon, stands out among property management companies with its unique approach. We believe in offering comprehensive solutions that are tailored to each client's specific needs. Our experienced professionals are committed to providing excellent service, ensuring that both property owners and tenants feel valued and well-served.

We utilize our industry-leading software, AppFolio, to streamline operations, from marketing and leasing to maintenance and inspections. This high-level efficiency, combined with our local market expertise, enables us to maximize the profitability of your investment while maintaining tenant satisfaction.

Choosing Centurion Real Estate Management is selecting a partner dedicated to your property's success. Our commitment to outstanding service, innovative solutions, and local market expertise positions us as a leader among property management companies in Salem, Oregon.

Property Management only in Oregon

Regarding property management, Oregon, specifically, Salem, presents a unique set of circumstances and challenges that Centurion Real Estate Management, LLC is adept at navigating.

The property management landscape in Oregon is distinct, shaped by the state's diverse geography, from the coastal region to the Cascade mountain range, each with its own housing needs. The rental market is dynamic, fueled by a steady influx of new residents attracted by the state's natural beauty and quality of life.

Centurion Real Estate Management, LLC recognizes these unique aspects and tailors its services accordingly. We understand that property management in Salem is not a one-size-fits-all model. Each property requires a customized approach, whether a single-family home or a multi-unit apartment complex.

In Oregon, the legal aspects of property management are stringent and designed to protect landlords and tenants. Navigating through the labyrinth of legal regulations can be challenging for property owners. This is where Centurion Real Estate Management steps in.

Our team stays up-to-date with the latest changes in the law and ensures that our client's properties are always in compliance. From adhering to fair housing laws to understanding eviction procedures, we manage all legal aspects efficiently.

At Centurion Real Estate Management, LLC, we not only conform to Oregon's property management standards but strive to exceed them. We believe in going above and beyond for our clients. Our comprehensive property management services ensure that every aspect of your rental property is handled, from tenant screening and rent collection to maintenance and legal compliance.

Managing properties in Oregon

Managing properties in Oregon requires an in-depth understanding of the local market and regulatory environment. At Centurion Real Estate Management, LLC, we leverage our local expertise to deliver superior property management services tailored to the unique needs of Oregon's rental market.

In conclusion, managing properties in Oregon is a task that calls for an in-depth understanding of both the local market and the regulatory environment. It's not just about collecting rent and handling maintenance issues – it's about maximizing value for property owners while providing excellent service to tenants.

At Centurion Real Estate Management, LLC, we have honed our skills and knowledge in this field over many years. We know the nuances of the Oregon rental market like the back of our hand, and we use this expertise to deliver exceptional property management services tailored to meet this market's specific needs.

Our comprehensive range of services covers everything from marketing properties and vetting potential tenants to handling all aspects of lease administration and ensuring compliance with all applicable laws and regulations. Moreover, we continually monitor market trends and adjust our strategies to provide our client's properties are always positioned for success.

So, whether you are an experienced investor with an extensive portfolio of rental properties or a first-time landlord looking for guidance, Centurion Real Estate Management is your trusted partner in Salem, Oregon. Our commitment to excellence and our local market expertise make us the ideal choice for anyone seeking superior property management services.

To wrap up, investing in rental property can be highly rewarding, but it also comes with challenges. That's where we come in. Let us handle the day-to-day management of your property, so you can enjoy the benefits of owning a rental property without the stress that comes with it.

We invite you to consider Centurion Real Estate Management for all your property management needs in Salem, Oregon. Contact us today to learn how we can help you succeed in the Oregon rental market. Your success is our success.

Effective Property Management by Centurion Real Estate Management

Remembering six crucial steps for effective property management that lead to maximum ROI is essential. Centurion Real Estate Management LLC believes in this approach and has seen strong returns.

Let us walk through each of those steps in detail below:

Effective Marketing and Advertising

We use various marketing techniques to ensure optimal visibility, tenant occupancy, and reduced vacancy periods for your property. Some of our successful strategies include digital advertising, SEO optimization, local networking, and quality customer service. We use professional photography, detailed descriptions, and prominent online listings on our website and popular rental platforms to showcase your property in the best possible light. Our strong connections with local businesses and realtors, and our seamless renting experience, also go a long way toward generating word-of-mouth referrals.

Tenant Retention

At Centurion Real Estate Management, LLC, we trust that property management ROIs and tenant retentions are closely related. Our professional approach to rent collection guarantees prompt payments and efficient handling of any issues that may arise. Also, our proactive communication with tenants helps to build long-lasting relationships, ensuring higher tenant retention rates and reducing vacancy periods. A stable tenant base reduces the costs of cleaning, repairs, remodeling, and marketing associated with screening and selecting the next possible client. Retaining your clients and being reliable enhances your property's ROI over time.

Regular Maintenance and Inspections

A well-maintained property speaks for itself by being in its best shape and preserving its market value. Our team provides extensive, round-the-clock property management services to ensure your investments perform at their peak. We also address significant issues such as servicing heating and cooling systems, checking insulation, and maintaining appliances. Timely inspection and repair of minor problems like a leaky tap can prevent water damage to the property's structure. Regular upkeep attracts quality tenants and encourages them to stay longer, ensuring a steady rental income.

Strategic Pricing

Strategic pricing involves fixing the correct rental price for your property based on current market conditions. We leverage our expertise and market knowledge to employ data-driven strategies and set competitive rental prices. Such pricing considers factors like location, property condition, and amenities offered, attracting quality and steady tenants who value these aspects. A stable rental income can increase cash flow, which can be reinvested into the property for future maintenance or enhancements. Properties with higher rental payments tend to have higher values in the real estate market. We aim to boost your property's ROI and increase its resale value to make your investment journey seamless and rewarding.

Comprehensive Financial Reporting

Centurion Real Estate Management LLC understands the critical role of precise financial reporting in boosting the ROI of your property. Regular financial reporting paves the way for performance benchmarking, helping to identify current trends, monitor progress, and set goals. With a thorough understanding of income and expenditures, you can identify areas of unnecessary spending and streamline operations, thereby increasing your ROI. Our advanced tools, like 'AppFolio' provide detailed insights on accurate and consistent financial reporting, track maintenance requests, and simplify the whole process of rent collection and tenant retention.

Legal Knowledge

Centurion Real Estate Management LLC ensures informed real estate decisions by staying updated with recent laws and regulations, safeguarding you from potential liabilities. We strictly adhere to the Fair Housing Act's guidelines, carefully screening each applicant's credit, employment, and rental history to minimize eviction risks. Through rigorous background checks and credit analyses, we ensure solvent tenants who respect your property, reducing the chances of late rent payments or lease violations. Our transparent approach sets us apart, enabling you to monitor your property's performance and make astute investment decisions.

Your property's ROI is in safe hands with Centurion Real Estate Management, LLC.

Our proven property management secrets, high-quality property listings, and streamlined processes make us the go-to choice for property owners looking to boost their rental income and optimize their investments. We constantly strive to magnify your property's image, minimize costs, secure your returns, and guard your investment like ours. With our team's dedication and experience, you can ensure worry-free property management, leading to the highest benefits. Don't hesitate to contact us with any questions you may have!

When It Comes to Investment Rental Properties, Negligence Equals Risk

NEGLIGENCE. Noun: "Failure to take proper care in doing something."

Having a successful real estate investment property doesn't have to be difficult. It won't necessarily be easy, but it doesn't need to be an extremely challenging journey. The key to avoiding the bad experiences and horror stories that scare people away from real estate investing is to understand a few simple rules. The most important of which is this.

Negligence EQUALS risk.

All other rules fall under this umbrella because negligence can happen on any level. A lapse in judgment, a mistake, or an outright failure to do the basics can lead to catastrophic results. However, you don't need to go down this path and learn the hard way. You can take precautions and understand how to do your due diligence when it comes to your rental property.

What Are the Risks of Negligence?

Negligence means "failure to take proper care in doing something." When it comes to renting out your property, many areas need to be “properly taken care” of so that your property has a chance to be a success. 

Not only that, negligence can lead to worse outcomes than lost income. Your reputation can be tarnished, the safety of your tenants can be put at risk, and your investment can be lost if you don't take proper care and are negligent of the needs of your property and tenants.

7 Negative Outcomes Due to Negligence

Attentive property management mitigates potential negative outcomes, like financial loss or legal issues. This blog delves into seven risks of negligence and how Centurion Property Management's professional approach prevents such issues.

Reduced Safety and Security

By neglecting to properly maintain your property, you are inviting a host of trouble into your life. What could at one point, be a simple and fairly inexpensive maintenance service could eventually become a safety hazard for tenants and visitors. This can include walks not being maintained, flooring repairs that fix tripping hazards, water leaks, and more. The safety of your tenants in your property is partially your responsibility, and you cannot neglect that.

If you don't maintain the locks, doors, and windows, there are potential safety concerns for your tenants. If you refuse to fix a fence or a fence lock, that may compromise your tenant's safety. All of these potential situations have negative outcomes for you as a landlord.

Increased Liability

If you neglect to do the proper repairs or follow proper procedures in your rental property, you may be considered legally liable if there are injuries or financial losses. Even if you are not found to be liable, the cost of court, lawyers, and the lost time and stress are not worth it. Take proper care of your property and your tenants.

Higher Operating Costs

It is well known that high turnover increases operating costs dramatically. The best way to avoid this is to be on top of all the issues that need attention. This helps if you have a professional property management company to do those tasks for you.

Neglecting the areas like tenant screening and inspections can cost you… big time. Avoid these high operating costs by being diligent with your screening and upkeep.

Less Curb Appeal

Negligence to the exterior of your property leads to a dramatically decreased curb appeal. If your home is not appealing, the type of tenants that you want to rent to, long-term tenants, may not want to rent because of the look of the home.

Regular maintenance and upkeep will keep this from happening. A total makeover due to a lack of regular maintenance ends up costing far more in the end.

Reduced Income and Value

A home that is neglected and has potentially had bad tenants will always have a lower value than a home that has been properly cared for. Neglected properties can't ask for top-tier rent due to the state of the place.

Dissatisfied Tenants

Dissatisfied tenants have a multitude of negative consequences for you and your property.

• Bad word of mouth can irreparably hurt your reputation.

• More damage and disrepair to your property. It turns out dissatisfied tenants care less about the rental unit than happy tenants.

• Dissatisfied tenants are more likely to break a lease, have pets when they are not supposed to, or have other people living with them when they are not supposed to. Satisfied tenants follow the rules, and dissatisfied ones do not.

Higher Insurance Premiums

If there are instances that involve insurance companies at your property, particularly if there are multiple instances in one location, you will pay for it in higher insurance premiums. Neglecting to deal with tenant or maintenance issues will cost you more than the cost to fix or replace something. Insurance premiums rise, and your overhead can stay elevated for years after only a few instances that involve insurance companies.

Want to Avoid the Risk that Comes with Negligence?

Using a professional property management company like Centurion Property Management will allow you to lower the risks of negligence by having a team of professionals take care of your property. Centurion Property Management is proud to maintain our client's properties as if they are our own and we strive to exceed the expectations of our clients and their tenants every day. Reach out today to see how we can mitigate these risks for you.

These communities provide a selection of houses perfect for families of various sizes, from lovely single-family or multifamily homes to roomy townhomes. The well-kept parks, playgrounds, and green spaces in the towns promote outdoor recreation and strengthen residents' sense of community.

A critical factor that makes these neighborhoods family-friendly is the access to top-rated schools in the Salem-Keizer School District. Educational institutions in the area prioritize providing a nurturing environment for students while promoting academic excellence and personal growth.

Recreational opportunities abound in Salem, with popular attractions like Riverfront Park, Minto-Brown Island Park, and Gilbert House Children's Museum nearby. Families can also discover the beauty of nature by going to the Oregon Garden, Silver Falls State Park, or the Willamette Valley.

We at Centurion Real Estate Management, LLC are here to assist you in finding the right home in one of Salem's most popular family communities. Our team is committed to giving you individualized attention and support throughout home-buying. We do a lot of work to ensure you find a property that meets your needs and preferences while remaining within your budget.

Family Living in Salem, Oregon: A Great Choice for Raising Children?

Learn about the beauty and charm as a family in Salem, Oregon, a great place to raise kids. This thriving metropolis provides the ideal blend of metropolitan conveniences and suburban comfort for families seeking a secure neighborhood.

The Willamette Valley city of Salem has many neighborhoods with parks, schools, and recreational facilities. The Gilbert House Children's Museum, Enchanted Forest Theme Park, and Riverfront Park are just a few of the city's myriad family-friendly attractions, providing various enjoyment and education opportunities.

Salem's solid educational system and various sports leagues and groups encourage kids to stay active and involved. Families may have the best of both worlds thanks to its convenient proximity to Portland and the breathtaking Oregon Coast: urban living and outdoor activities.

Centurion Real Estate Management, LLC, is your dependable agent in Salem for locating the ideal home for your family. We're dedicated to supporting you while you explore the local real estate market and select a house that meets your requirements and budget. Our staff's services guarantee that your investment is properly cared for and generates regular returns.

At Centurion Real Estate Management, LLC, we prioritize client happiness and adhere to the best standards of customer care. 

Allow us to assist you in finding your family the ideal residence in this lovely city, where unforgettable experiences await, where you can experience the delight of a family living in Salem, Oregon, an excellent choice for raising children and building a future together.

As an investor, one of the most lucrative strategies in real estate is flipping properties, and apartments are no exception. Flipping an apartment involves purchasing a unit, making improvements to increase its value, and reselling it for a profit. At Centurion Real Estate Management, LLC, we understand the potential of this investment strategy and want to share our expertise with you. Here's a comprehensive guide on how to flip an apartment successfully.

Step 1: Research and Find the Right Apartment

The first step in flipping an apartment is conducting thorough research to find a suitable property with growth potential. Analyze the local market trends and identify areas where property values are steadily increasing. Look for apartments that require improvements but are structurally sound. Remember, location is critical, so prioritize neighborhoods with good schools, access to amenities, and low crime rates.

Step 2: Analyze the Costs and Set a Budget

Before embarking on your apartment-flipping journey, it's crucial to determine the costs involved and set a realistic budget. Factor in the purchase price, renovation expenses, holding costs (mortgage, taxes, insurance), and closing costs when selling. Additionally, consider working with experienced professionals like Centurion Real Estate Management to ensure accurate estimates and avoid unexpected expenses.

Step 3: Secure Financing

With a clear understanding of the costs involved, it's time to secure financing for your investment. Options include traditional bank loans, private lenders, or hard money loans. Each has pros and cons, so consider your financial situation and investment goals when choosing the proper financing method.

Step 4: Renovate the Apartment

Once you've acquired the property, it's time to make improvements to increase its value. High-impact renovations include updating kitchens and bathrooms, adding energy-efficient fixtures, and improving curb appeal. Remember that you'll want to balance the cost of renovations with the potential increase in value. Hire a reputable contractor to ensure quality artistry and avoid costly mistakes.

Step 5: Market and Sell the Apartment

After completing the renovations, it's time to market and sell your newly flipped apartment. High-quality photos showcasing the improvements and a well-written property description are essential for attracting potential buyers. Partnering with a reliable property management company like Centurion Real Estate Management can help you navigate the sales process and maximize the return on your investment.

Mastering House Flipping: A Real-Life Example for Success

House flipping, the process of buying, renovating, and selling a house for a profit, has proven to be an attractive investment opportunity for many real estate enthusiasts. However, it can also become a money pit without proper knowledge, skills, and experience. In this blog, we'll look at a real-life example of how an intelligent investor mastered the art of house flipping and achieved success.

Meet Jane, an ambitious individual with a passion for real estate. She had her eyes set on making it big in the property market by flipping houses. With thorough research and planning, Jane began her journey in Salem, OR, where she stumbled upon a promising property listed by Centurion Real Estate Management, LLC. The property was priced below market value due to its outdated interior and need for repairs.

Jane understood that the key to a successful flip was accurately estimating the after-repair value (ARV) and renovation costs. She contacted Centurion Real Estate Management LLC to discuss her plans and seek professional advice. Their experts helped her determine the ARV by analyzing comparable properties in the area. They also provided valuable insights on the necessary repairs and upgrades to make the property attractive to potential buyers.

With a clear plan, Jane hired a reliable contractor to handle the renovation. She focused on improving the property's curb appeal by updating the exterior paint and landscaping. Inside, she made strategic upgrades to the kitchen and bathrooms—areas that typically offer the highest return on investment. Jane also ensured that all structural and safety issues were addressed during the renovation.

The flipping process took about six months, from purchasing the property to putting it back on the market. Jane listed the renovated house with Centurion Real Estate Management, LLC, which used its extensive marketing strategies and networks to attract potential buyers. The property was sold competitively within a few weeks, earning Jane a substantial profit.

Jane's success story is a testament to the importance of thorough planning, accurate estimation, and working with experienced professionals in the real estate industry. Centurion Real Estate Management was crucial to her success by providing valuable insights, resources, and support. If you're considering house flipping as an investment strategy, partnering with a trusted property management company like Centurion can help you navigate the complexities and maximize your chances of success.

In conclusion, flipping an apartment can be profitable when done correctly. By following these steps and working with experienced professionals, you'll be well on your way to a thriving apartment flip. At Centurion Real Estate Management, we're here to support you throughout the process, ensuring your investment goals are met while minimizing risks. Reach out to us today to learn more about our services.

Just as the seasons come and go, so does our conversation around bugs and how to deal with them. It is important to have this discussion at least once a year so that everyone is on the same page.

Bugs are never fun. No one is excited to have to deal with unwanted insects but they are a part of life and understanding exactly who is responsible for what is critical for tenants and landlords alike. Confusion around this subject is common so we ensure that we set the stage every year by discussing basic housekeeping tips.

Who Is Responsible to Make Sure the Premises are Bug-Free?

At Centurion, we have a long-standing written policy on how to assess and address the issue and we make sure to cover this with all new incoming tenants during the move-in process. The responsibility of the Landlord or Agent is to hand over a bug and pest-free dwelling at the time of occupancy and it is the tenant's responsibility to maintain the dwelling in that condition.

As long as the residence was pest and bug-free when they moved in, any bugs after the fact are the responsibility of the tenant. Of course, there are certain situations where this may change. If there is a multi-unit dwelling and the neighbors are allowing bugs to overrun their unit and they travel into another, the responsibility doesn't fall squarely on the shoulders of the tenant. Each situation is unique and must be addressed as such.

Proactive measures are always the best way to minimize the risk of problems caused by bugs. Making sure that you do everything you can to reduce the chances that bugs can or will want to enter your home is the best way to avoid bug problems in the future.

Proactive Measures to Deter Bugs and Keep Your Unit Bug-Free

• Keep Your Kitchen Spotless

Bugs love to eat. They really love to eat and they will make sure to eat the food you leave out, if you let them. Leaving food out for long periods of time on your counters is always a bad idea. Partially empty juice or pop containers, half eaten dinners or anything else can act as a homing beacon for bugs. Especially if it is high in sugar. This is the easiest step in bug prevention. Don't invite the bugs over for a snack!

• Remove Garbage Regularly

If the bugs can't get your food from the counter, they will get it from your garbage. If you don’t regularly empty and clean your garbage cans, they will become a hotspot for bugs. Make sure you don't leave garbage in a bin for days and wash them at least twice a year to make sure bugs don't want to stop by for a bite in your garbage can.

• Clean and Sweep Your Home Often

Little piles of dust and debris often hold tasty little morsels for insects. Instead of sweeping your floor into a pile in the corner to be picked up later, or neglecting to sweep at all, sweep often and throw what you sweep up into the garbage instantly.

• Don't Leave Your Doors Open

An open door is as much of an invitation as you can extend to any insect or bugs and they will take you up on it, every time. Keep your doors closed to minimize the amount of bugs that can get into your home.

• Make Sure the Yard Is Clean

Yard work is never really on the top of the "I can't wait to do this..." list. However, if your yard is a mess, you are more likely to have an overabundance of bugs in it. Keep the grass mowed and the loose bits picked up to maximize your chances of keeping the bugs outside.

• Don't Let Any Areas Stay Damp

If it's wet or damp, clean it up and make sure it's dry. Simple as that.

• When You See Bugs, Kill Them

This is also as simple as it sounds. Don't let bugs feel comfortable in your home. If you see them, kill them.

• Make Sure Door Seals and Screens are Properly Fitted

Big gaps in screens and seals are as much of an open invitation as a wide-open door. If you see seals and screens that need fixing, make a note of it and get them fixed right away.

• Use Natural Repellants When Possible

Bugs hate all sorts of natural scents and oils. Spiders, ants, flies and all others have their own specific weaknesses. It pays to know what they are and use them in the house where possible.

• Don't Let Things Get out of Hand

If you see that an issue isn't going away, make sure to mention it to the right people as soon as possible. It is much easier to deal with an infestation at the beginning of the problem than two or three months down the road.

Centurion Property Management is here for you. We will make sure that you move into a bug and insect-free home. With these tips, you can keep your home or apartment insect free for the entire time of your tenancy. Remember, this is your home, not theirs. Don't let them crash the party.

Reach out today and see how Centurion Property Management can help you maintain and maximize your rental properties.

What is a Turnkey Property?

A turnkey property is a fully renovated home or apartment ready for immediate occupancy. It is often associated with property investment, as these homes require little to no work and can be rented quickly. In property management, "turnkey" refers to a space that has undergone complete rehabilitation, including structural updates and cosmetic refurbishments. The main advantage of investing in turnkey properties is the reduced need for involvement in repair or remodeling, allowing one to focus on other aspects of property management.

What is a Furnished Property?

On the other hand, furnished properties are rental units equipped with essential furniture and appliances, making them suitable for immediate living. Such housing arrangements typically include beds, couches, dining tables, chairs, and kitchen appliances. Furnished units cater to the needs of residents without furnishings or individuals or families needing short-term accommodation. Adding furnishings enhances the property's appeal while offering tenants conveniences during their stay.

Key Differences between Turnkey and Furnished Properties

While both turnkey and furnished properties offer ease of move-in, there are a few fundamental differences between them. The primary distinction is that turnkey properties primarily emphasize the property's condition, while furnished properties focus on including furniture and appliances. Another crucial difference lies in the target market: turnkey properties appeal to real estate investors seeking a hands-off investment, whereas furnished properties target renters searching for temporary or flexible living arrangements.

Which option is right for you?

Choosing between turnkey and furnished properties depends on your preferences and goals as a property investor. If you desire a low-maintenance investment with minimal upfront work or don't have time for renovations, turnkey properties might be an excellent fit. On the other hand, if you're focused on attracting short-term renters or expanding beyond the traditional rental market, a furnished property could be more beneficial.

In conclusion, turnkey and furnished properties differ in property condition and target audience. Property investors can make informed decisions and better align their investments with their long-term objectives by understanding these distinctions. At Centurion Real Estate Management, LLC, we are committed to helping property owners navigate the property management industry successfully. Whether you have a turnkey or furnished property, our expert team provides excellent services to help maximize the value of your investment.

Data from the National Association of Realtors shows that over 93% of consumers check online reviews before contacting a real estate company. More than 87% of buyers contact real estate agents before buying a new home.

Online reputation management is one of the most critical aspects of real estate management because it is where companies get feedback, telling people if they can rely on that company. People believe that they will get a fair and comprehensive view of a company by the reviews the company has.

Why Property Management Reviews Are Important

• Reviews serve as a referral for agents. Negative reviews can discourage a customer from working with a real estate company.

• The more reviews a company has, the more that company will stand out.

• Online reviews help tell people that a company works with real people.

• Reviews can help bring in the best tenants and clients.

Buyers and renters choose to depend on real estate agencies and property management companies because they believe they are trustworthy and more professional with their work, which is also why they want to pick agents with good customer reviews. To stay in the real estate business for long, there is a need to maintain a favorable reputation online.

It is important to remember that even an excellent company will have some bad reviews. Some tenants will write bad reviews no matter what. Even if an issue has been resolved, it was not brought to the company's attention, or there was nothing they could do about the situation, they will still write a bad review.

We want to let our owners know that we are working hard for them and we are not operating outside the real estate laws. It is important to add that, as a property management company, we are not afraid of taking the heat when bad reviews come in. We take the time to read and consider every review we receive, good and bad, so that we can set the record straight when appropriate and get the critical feedback we need to improve and grow as a company.

If you feel we have earned it, please help us by leaving a 5-star review.

One of the hardest jobs on the planet is being a parent. Whether it's changing dirty diapers or getting them to eat their vegetables, there will always be struggles.

However, there is nothing more rewarding than watching your kids grow up, overcome barriers, and develop new life skills. At some point, it becomes more than just keeping your kids healthy and safe.

As a parent, your role slowly shifts from protector to teacher, creating opportunities for your kids so they can thrive successfully on their own. As a real estate investor, one of the best lessons you can give your kids is getting them involved in real estate investing from an early age.

But motivating kids to get involved is easier said than done. If you are struggling to teach your kids about real estate investing, but don't know exactly where to start, here are five great ways to get them engaged.

1. Start With Savings

   Introducing your kids to the value of investing starts with basic financial literacy at a younger age. Setting a solid foundation will prepare them to manage their money later down the road more effectively.

   For early childhood kids, ease into the process by starting with simple savings techniques. Have real discussions about using their money for wants versus needs.

   Whether you use a traditional piggy bank or a custodial savings account, leveraging the concept of delayed gratification will nurture your kid's planning and prioritization skills. It also subtly parallels investing when it comes time to implement more complex concepts.

   Don't also forget to allow your kids to make mistakes. This can be especially important when teaching goal-setting techniques, which they will utilize throughout their lifetime.

2. Make Them Budget

   Obviously, kids don't have the same day-to-day expenses as adults do. For instance, they aren't making mortgage payments or writing a check to the electric company. Nevertheless, teaching your kid about how to budget their money is undoubtedly a valuable life skill that has practical applications with respect to real estate investing.

   Investing in real estate often involves figuring out your gross rent and deducting your applicable expenses to arrive at your final net cash flow. Teaching kids how to responsibly balance their spending will help them understand the movement of money.

   To hammer home this concept, have older kids get a separate checking account with a debit card. Give them an allowance from doing chores around the house and then require they track their spending online or, better yet, have them complete a manual log or check register.

3. Play Educational Games

   Who said teaching your kids about real estate investing had to be boring? A few fun ways to engage your kids while teaching them about investing is simply playing games with them.

   Board games like Monopoly are a great way to empower kids to manage their finances and implement creative property management techniques. Force them to make the hard choice of putting houses on Boardwalk or trading with another player to make a more impactful set.

   Construction and management games, such as the Tycoon series or Megapolis, are also a great way to help your kids understand costs and spatial awareness. It also supports the understanding of systems and reinforces planning techniques.

4. Ask Their Opinion

   When your kids get older, a great way to get them involved in real estate investing is by involving them in some of the decision-making that goes into your own investments.

   For example, if you have a problematic tenant who has trouble paying their rent or is chronically late, ask them what they think they should do.

   Another example might be finding a new property to invest in. Pull up a lead and have your kid work through the numbers and formulate an opinion if a deal is a good investment or not.

5. Get Their Hands Dirty

   It's important for your kids to realize that real estate investing isn't always clean. Sometimes it requires a lot of grit, sacrifice, and hard work.

One of the best ways to get your kids involved in real estate investing from an early age is to have them get their hands dirty. Take your kids to a newly vacated unit and have them re-paint the walls or clean the rooms.

Other tasks you could have them do include mowing the lawn or shoveling snow. Having them roll up their sleeves and work will give them hands-on experience and a better appreciation for the entire process.

Managing a property can be time-consuming and overwhelming to a novice; simply put, it occupies a lot of your resources. It also doesn't change the fact that the work is daily labor on your mind and finances, especially when growing your portfolio.

For new real estate investors, establishing a diverse portfolio means meeting new tenants, showing available properties, negotiating rental terms, navigating maintenance costs, and so much more. The many tasks that come with a valuable real estate investment can be compared to maintaining a full-time job or running a business.

Investing in property management is the most effective way to free up your time without risking major revenue losses. Property Managers handle the day-to-day operations of your rental properties and ensure these key factors:

1. That your property is rented and stays rented.

2. Ensure renters are vetted, and maintenance is upheld at your property.

3. Handle account billing and communication with renters.

These are not the only benefits of property management. For example, property managers will handle the marketing, vetting, and renting of your property. This alone can save you time going back and forth with different renters and scheduling multiple appointments. This is typically worth the cost.

Dealing with renters and the many personalities can be draining and, overall, can lead to unwanted complications. Property managers can take some of the stress off your hands when dealing with that aspect of your investment.

A Property Manager Means Less Hassle

When adding a property manager to your budget, working with a company that handles rental payments and other accounting concerns on your behalf is extremely helpful. This eliminates the hassle of dealing with evictions, violations, and late payments. This is also true when it comes to how maintenance concerns are handled. The property manager will ensure all repairs are made in an adequate time frame without your input.

They also secure utility bills, HOA fees, and other related costs every month. These fees are typically handled by the renter and can become time-consuming and complicated with the more properties and tenants you take on. It also means more time with your own family.

Marketing Matters in Real Estate

One advantage a property manager has is access to a dedicated network to target. They also have a team available to reach potential tenants for your property. They ensure you get the highest rent possible out of your property. Property management should know the details that help justify adjustments in your rental rate when available to make the most out of your investment. They will also have access to plumbers, electricians, and contractors who are vetted and can complete the work in the needed time frame within your budget.

If your goal is to grow your real estate portfolio, it may be most effective in alleviating some pressure by bringing on a credible property management firm. More time to operate your life and less time hassling with the details of rental properties is the most significant benefit. These benefits tend to outweigh the fees associated with a property manager, especially when you have multiple units or properties. The choice is yours; we hope that we can help you identify the things you'll need to see success in your real estate investment, and if bringing on a property manager is the best choice for you.

Property Manager Insight:  As a professional investor for more than 20 years, I have come to think that if property management did nothing else but buy back your time, it would be worth it. However, because I understand that it helps the investor avoid costly liability, add leverage to their investment strategy, increase the long term value of their rental property...I could go on and on...well, the value that a property management company brings is worth every penny!!!

It is saddening that property management companies are often at the receiving end of negative comments and feedback because they are the ones delivering the bad news. Investors and property owners can enjoy getting rent from tenants but can turn a blind eye when it comes to repairs and maintenance.

We have heard many investor owners say that they want their rental to be at the level of their own homes, but property owners often do not stick to this when bills start coming in.

To understand this dilemma, here are three things that property managers wish investor owners understood:

1. As property managers, we want to provide our clients with the best customer experience, so we always listen to what our tenants want and work towards achieving that. When we have happy tenants, they are more likely to keep paying rent and re-renting, which generates a high return on your investment.

2. Aside from getting rent on time from happy tenants, the tenants also become loyal to our company and have every likelihood of recommending friends and family to us. The enhanced public image of the company, the unit, and the rental protects the image of the company and the rental, which shows competence and professionalism in the service we offer.

3. There are many types of tenants with different desires. Whenever we come to a property owner with complaints or requests, we hope they understand that we are trying to find a happy medium with a good experience for everyone involved.

Property management companies are only messengers. They try to do all they can for the property owners and the tenants.

From the Property Manager: I can't tell you how many conversations I have had to have with owners simply telling them some bad news about the property, like a hot water heater going out and needing to be replaced, only to get an earful, yelling, and sometimes some very colorful language.  I have had staff quit because of it.  I have had some really hard days and had to develop some very thick skin.  But the more I think about it, the more I understand it.  Nobody likes bad news.  However, when we get the clients that refrain from yelling at us and see that we are just the messengers there to help them take care of the problem...it makes our day.

Hoarding poses risks to everyone involved. Hoarding behavior results in poor sanitary conditions and restricted living space which poses risks to the health and safety of the affected person and all the other residents of the building.

While accidental property damage and neighborly disputes are the main problems landlords typically deal with, certain troublesome situations can occasionally present much greater challenges. Addressing a tenant with a hoarding problem, for example, is quite a tricky business that has to be approached in a very delicate and thoughtful manner in order to avoid confrontations and legal issues. Difficult as it may be, you need to take immediate measures as hoarding behavior may compromise the health and the safety of the affected person, as well as the well-being of other residents in the building and even the integrity of the property itself.

Things to Consider When Dealing with Hoarder Tenants

When faced with the problem of what to do about a hoarder tenant, you need to take into account several crucial factors:

• Hoarding is an officially recognized mental disorder. Hoarding is found to be a subtype of Obsessive-Compulsive Disorder (OCD) that is characterized by excessive acquisition of worthless items, strong emotional attachment to possessions, inability to discard items, severe indecisiveness, organizational difficulties, and poor socialization skills.

  Ever since its official recognition by the American Psychiatric Association, hoarding qualifies as a disability under federal and state anti-discrimination laws, so hoarding tenants are protected under the federal Fair Housing Act. This means that landlords and property management companies have the duty to offer adequate help to the hoarder and to make a reasonable accommodation before taking extreme measures, such as eviction;

• Hoarding behavior poses a variety of risks. Compulsive hoarding often results in poor sanitary conditions and restricted living space which causes various problems: increased fire hazards, obstruction of emergency exits and passageways, pest infestations, the easier spread of contagious diseases, etc. All these conditions are not only dangerous but also in direct violation of state sanitary, electrical, or building codes, as well as different local regulations and animal care standards;

• Hoarders have often been through traumatic events. Hoarding is usually triggered by a very stressful or traumatic experience, and more often than not, the person involved may have suffered a bitter loss which explains the fear of parting with personal possessions, however worthless they may be.

  Hoarder renters are usually long-term tenants who pay rent on time and don't engage in hostile activities. So, being compassionate and helping the hoarder resume a normal lifestyle will be a much more humane and efficient solution to the problem than threatening an eviction.

Take Precautions When Drafting the Lease Agreement

To be able to handle a tenant with a hoarding problem without triggering a Fair Housing complaint or being accused of taking discriminatory actions, you need to be very careful when drafting the lease agreement:

• Include a clause about housekeeping standards to let the potential tenants know your expectations and to have legal grounds on to base your statements and requests should a dispute arise;

• Include a provision allowing you access to a unit with reasonable notice to the tenant;

• Provide firm guidelines about what your tenants are not allowed to do - piling too much stuff near windows, doors or stairs, as well as near air ducts and appliances; storing flammable, explosive or perishable items; cluttered living spaces to the extent that regular everyday activities are prevented (especially cleaning and cooking); housing animals without taking proper care of them; failing to dispose of garbage properly; etc. - whatever is relevant in your particular case;

• Put stress on safety concerns and health issues to help your tenants understand why it will be beneficial to keep their rented homes neat and tidy and encourage them to comply with the rules for their own sake.

Including a hoarding clause may seem a bit excessive, but you need to provide maximum protection for your property and guarantee all tenants' rights and well-being.

Adequate tenant screening (reviewing records of past problems, property damage, living habits, and housekeeping issues before leasing your property to a specific person) may also help you avoid the troubles of dealing with tenants who hoard.

Watch Out for Warning Signs of Hoarding

Early recognition of the hoarding problem will help prevent many bothersome issues, so you should keep your eyes open for the first indications of hoarding behavior. The first step is to get familiar with the typical telltale signs of hoarding tenants:

If you recognize the typical signs of hoarding early enough, you may be able to prevent greater troubles.

• Pest problems: A sudden infestation of insects and/or rodents means that there is enough clutter in the building to provide safe hiding places for the pests to take shelter and to breed undisturbed, as well as plenty of improperly stored perishable food, leftovers, or empty food containers that attract vermin. Such conditions are typical for hoarders' homes;

• Distinctive smell: The strong odor resulting from the poor sanitary conditions in the hoarder's home is often the first issue that disturbs the neighbors and attracts their attention to the problem;

• Cluttering of common areas: Cluttering of hallways and staircases presents increased risks of tripping and falling, not to mention the inherent inconveniences. What's more, it is a clear sign that the property of the suspected hoarder is so full of clutter that the latter cannot accommodate any more acquisitions inside;

• A large number of pets: Although the number of animals people keep in their homes is not necessarily indicative of animal hoarding, if a tenant has more than several pets, alarm bells should start ringing. Chances are the person in question won't be able to take proper care of his/her animal companions (to provide adequate food and sanitary living conditions, take them to the vet whenever necessary, or play with them, etc.). As a result, the animals may suffer from malnutrition and various illnesses, which inevitably results in great sanitary problems and raises several ethical issues;

• Denied access to residence: Denied access to a rental unit is a key indicator that you are dealing with a serious problem. When a tenant never has people over for a visit, refuses to allow maintenance workers in his/her home, or finds excuses not to let the landlord inside, he/she is trying to hide something. More often than not, the reason for such reclusive behavior is a hoarding problem - the person in question is embarrassed by the great clutter in his/her home and is also afraid of being forced to get rid of it, so he/she prefers to live in complete social isolation and denies access to the residence.

Keep in mind that even if you suspect hoarding behavior, you don't have the power to force entry unless there is an emergency situation (tenants should be given prior notice before a landlord enters their homes, whatever the reason). However, pay prompt attention to complaints of other tenants concerning a particular unit (odor, vermin, or cluttered access areas) and make every effort to discover and investigate potential hoarding as quickly as possible.

Hoarding Disorder Is Sometimes Difficult To Define

Some situations are really difficult to interpret - is the person who has created this mess actually hoarding or just packing for a move?

Verify Your Suspicions

Before taking any further steps, you need to make sure you are dealing with a case of hoarding. It is possible to have misinterpreted the situation and to be wrong in your assumptions - the tenant may be simply reorganizing (which can explain clutter in the common areas) or feeling depressed (which will account for social withdrawal), etc. So, you need to get a better idea of what's going on in your property without violating the tenant's privacy in the investigation process. Inform the tenant in question that you must visit his/her place but be careful not to trigger anxiety, fear, or embarrassment. If you are denied access, make it clear that you will resort to legal measures if necessary - you can seek assistance from the local board of health or fire department in order to access the unit.

Once you enter the residence of the suspected hoarder, take lots of notes and take plenty of photos to properly document the condition of the property. However, avoid confrontations and do your best to establish trust and gain cooperation. Refrain from words like "junk," "garbage," etc., and don't insist that the tenant should immediately dispose of all the accumulated items. Point out health and safety issues instead and show compassion and respect for the feelings of the hoarder.

How to Deal with Hoarding Tenants

Since hoarding is a mental disorder, in most cases, the hoarding tenant won't have the capacity to resolve the problem without help - not only psychological help but also professional help for cleaning and organizing the premises. It is your responsibility as a landlord to help the hoarder improve the condition of his/her home. You need to offer the tenant reasonable accommodation to address the situation, including a viable plan to declutter and clean the unit.

Reason with the hoarder tenant. Identify the most pressing issues and convince the tenant to take proper care of them first. Discuss simple strategies to reduce fire hazards, get rid of vermin, clear blocked passages, and tackle any other dangerous issues that pose a risk to the health and safety of the hoarder and all the other residents of the building. Allow sufficient time for the requests to be accomplished and then suggest other relevant measures to slowly improve the overall condition of the property;

• Provide the hoarder tenant with a written plan for decluttering and cleaning. It is a good idea to break the plan into multiple small and easy tasks. Start with the least sensitive issues, such as removing food leftovers and empty food containers from the kitchen and decluttering the bathroom (disposing of actual garbage is least likely to present sentimental challenges for the hoarder and will result in quick improvement of the sanitary conditions in the home) and slowly move on to larger decluttering and cleaning projects.

  Set appropriate time limits for each specific task (remember that a hoarder needs much longer to deal with a certain issue than other people would need, so allow the tenant sufficient time to restore the good condition of the property). Make sure the plan also includes all the code violations at issue, as this may help the tenant better appreciate the gravity of the problem;

• Take advantage of professional counseling and cleaning. Typically, hoarders see nothing wrong with their behavior, so they refuse treatment. However, you can consult a professional and come up with efficient ways to help the hoarder overcome his/her anxieties and resume a normal lifestyle. Hiring professional cleaning and organizational services may also prove to be quite beneficial for everyone.

  Such a thoughtful approach will provide further evidence that you did everything possible before resorting to eviction. You are advised to keep detailed records of all the actions you have taken to reasonably accommodate the hoarder, as well as of the time and expenses spent on the process;

• Get legal advice and give the hoarder tenant an eviction notice. If the tenant refuses to comply with your requests despite your considerate approach and the offered help, you have no choice but to proceed with eviction. Consult a lawyer and be careful not to make statements or take actions that could be called discriminatory. Focus strictly on the actions you have taken to help the hoarder and the various code violations that necessitate eviction for breaching the lease contract (see above).

A Rental Tenant Is Hoarding: Final Steps

When dealing with tenants who are hoarders, there are two possible outcomes of the situation:

• The hoarder tenant has brought the unit up to compliance. If the tenant has complied with your requests and has met the required health and safety criteria, the problem is solved - just be sure to provide adequate support and encourage the person to maintain a neat and tidy environment. Pay the tenant brief friendly visits every now and then to ensure compliance and to offer additional help if needed. Continuous monitoring will help achieve efficient and sustainable results;

• The hoarder tenant has been evicted. If the hoarder tenant insists on maintaining his/her lifestyle and ignores your warnings and your attempts to help improve the situation, you will have to evict the affected person as his/her actions are violating the other tenants' rights by posing various risks for their well-being.

  The premises that have been inhabited by the hoarder will require thorough cleaning before you can lease them out again. The clean-up process usually includes professional removal of all the garbage and clutter from the apartment, the extermination of rats and other vermin, air-duct cleaning, repainting, carpet cleaning or replacement, etc. (You may have or may not have the right to bill the hoarder tenant for the cost of clean-up and damages, depending on the relevant provisions in the lease agreement.). Professional hoarding clean-up will allow you to restore the good condition of your rental unit quickly and efficiently and guarantee the best possible results.

Dealing with a hoarder tenant is quite a delicate matter - you need to be patient and compassionate to help the affected person and also very careful not to trigger Fair Housing complaints in case you have to evict the hoarder. Consult the above tips for handling a tenant with a hoarding problem to find the best solution for your particular case and avoid further troubles.

By: Luke Armstrong

This is a true story of a product manager who tells a story about his time at Procter & Gamble…

"Here's a curious fact about human beings: we have a really hard time realizing that something isn't there.

When I worked in P&G's Home Care division, one of my first projects was testing the viability of a product that prevented things from getting dirty. You still had to clean, but it took more time for things to get dirty again, so the product saved the user significant time and effort.

Once the product went into testing, however, it was apparent that the idea wasn't feasible. The product genuinely worked, but users didn't realize it‐‐ they had a hard time believing the product worked, since they couldn't see anything happening. After the test phase was complete, the project was canceled." – Josh Kaufman.

This is what's called Absence Blindness.

Absence Blindness is a cognitive bias that prevents us from identifying what we can't observe. Our brains have developed to perceive what is in our environment… not what isn't. It is much easier to perceive things that are present than to notice things missing from our environment.

Another example of this phenomenon is soap. Dish soaps and shampoos are cleaning products that we interact with daily, and we know they work because of the bubbles they produce… right? Wrong! The active ingredients in shampoo and dish soaps do not need to create bubbles, and the ability to make bubble-less soap that cleans effectively has been around for years.

The challenge for product companies is that no one buys soap that doesn't seem to work. People assume that the soap is "working" because of the bubbles. The same is true of toothpaste. If you don't "see" it working, you assume it isn't. This couldn't be further from the truth.

Excellent Property Management Can Be Hard to Notice

On the face of it, that seems like a foolish statement. Of course, you would notice a high-quality property manager! What may be noticeable, if it is seen, is a lack of problems that need your attention. Those who are aware of this are those who have other experiences to compare to. If you have had to manage your own properties or worked with a property manager who didn't do their job, you know the difference.

Great property managers are extremely effective at resolving issues before they become a problem that needs your attention. Some of the best managers in the world look like they're not doing much, yet everything gets done under budget and on time.

What most people don't see is what an effective manager prevents from happening. While other managers may look busier, many of those problems may be avoidable with better management skills. If one manager spends all day putting out fires, they look like they are working hard. Another manager who prevents those fires from happening not only does that manager's job but also frees up time to notice and act upon other potential issues or challenges.

Here at Centurion, our property management team strives to prevent problems before they arise so that your property is a blessing, not a burden.

Pro Insight:  One of the challenges I see after 20+ years in the business is that most of the time we are calling the property owners to report an issue.  We actually talk about this at staff meetings and look for ways and reasons to reach out to the clients to let them know "good news".  It can be pretty hard some days when most of your conversations are relaying bad news to clients.  It is one of the harder parts of the property management business.

Here is a VERY SHORT LIST of what property management companies can do:

• Determine what to repair and assist in carrying out the repair.

• Determine the rental rates to ensure the rental is rented quickly.

• Help find the correct rental rates. These help with the advertisement and financial responsibilities that relate to tenants.

• Handle rent collection and eviction of tenants. A good property management company ensures that evictions are based on a mutual agreement.

• Carry out frequent visits and inspections of the property to stay up to date on the state of the property.

Just about everything under the sun except picking up your dry-cleaning.

Knowing which property management company to hire is one of the most important decisions an investor-owner can make. The owner must consider what company their property will be managed by and who the people managing it are.

Choosing the wrong property management company might mean more work for the owner than if they had not hired a property manager in the first place. Handing over the management of the rental to a company is a huge step, and before making the decision, it is essential to understand the following:

• The implications of self-owned management

• The pros and cons of outsourcing property management

• The options if you do not want to outsource

The Implications of Self-Owned Management

There is a clear difference between owning a rental property and managing it. All too often, property owners make the mistake of buying a property without knowing how to manage it.

Before purchasing a rental unit, it is important to understand the following:

Landlord-tenant law: If you are an investor owner, you must be familiar with the state law that governs the relationship between landlords and tenants. Little or no knowledge about this could expose the landlord to lawsuits and fines.

Be familiar with the state law and be on the safe side.

Time and expense spent visiting properties: It is important to always check in on the rental property regularly for proper maintenance, emergency maintenance, and awareness of the status of the rental. If you own more than one rental and are far away from each other, you will spend a lot of time going from one property to another. As an investor-owner, spending all your time performing this task at the detriment of your primary job is not advisable.

Time is money; save time and channel it towards earning more money by outsourcing.

Repair and maintenance responsibilities: A landlord must have a diverse range of skills if the landlord wants to pick up the maintenance tasks. The landlord must have carpentry, plumbing, landscaping, and electrical skills for proper maintenance. If the landlord is not versed in these skills, there will be a need to spend more money on repair services.

You need to have a diverse range of skills if you want to maintain the property.

How to screen tenants: Weeding out problem tenants during the screening process is a skill that every landlord needs to have.

Problem tenants can cause damage to your property and reputation.

Good Landlord-tenant relationships (especially with difficult tenants): No matter how perfect the tenant screening is, there are chances that you might still end up with unruly and unhappy tenants. As an owner/landlord, you need to stand firm in the face of adversity and ensure the tenants strictly adhere to the rules guiding the lease.

Professionalism and diplomacy are very important.

Good software for property management: If you are managing a large number of units, having property management software yields more efficient results by:

• Decreasing costs to be spent on ads by posting units automatically on popular listing sites

• Accepting rent online

• Carrying out credit and criminal background checks with ease

• Auto reminders to the tenant on when they need to pay their rent

• Using preexisting data to create letters and tax forms automatically

• Getting rid of poor records by automating certain processes

A good property management system can be useful, especially for novice property owners.

The Pros and Cons of Hiring a Property Management Company

Pros of Hiring a Property Manager

A property owner who has hired a property management company should expect the following:

• Increase revenue generation: A property management company is more experienced and has access to larger potential renters, which makes advertising easier. Additionally, property management companies understand the local rental rates, which helps them maximize the amount they charge per rental unit.

• You are in control of your time: When you hand over your rental to a property management company, you have extra time to handle other businesses. Being in control of your time is the most obvious and enjoyable benefit of hiring a property management company. YOU ARE BUYING TIME AND PURCHASING YOUR FREEDOM!

• Reduction in direct cost: Preventive maintenance can be performed by the property management company, which helps reduce the direct cost to the owner. It is also essential to add that property management companies have an in-depth understanding of local landlord/tenant laws that help protect the landlord from lawsuits and fines. Avoiding one lawsuit may help pay for property management services for years. The property management company will also help with tenant screening to help reduce poor tenants.

Cons of Hiring a Property Manager

Some risks must be considered when outsourcing. A property management company that does not understand the gritty details of the job could cause more harm than good. Here are the most common downsides:

• The cost: A property management company charges between 6%-12% of the property's gross monthly rent. For properties with large units, this will come to a significant sum.

• Management fees are not the only fees to consider: Property management companies also charge for maintenance, advertising, and creating or renewing leases.

• There is a chance of developing a bad reputation: The unhappy tenants are always the most vocal. Unfortunately, more and more tenants leave bad feedback online about their experience.

• Inadequate record-keeping: Most of the time, when a property management company is hired, they take charge of the record-keeping (accounts payable and receivable, tenant complaint records, service records, etc.). Any mistake or poor job keeping a record on the part of the company means the property owner may be completely lost once they part ways. Inadequate record-keeping can put the property owner in a bad position if a tenant files a legal complaint.

• Vulnerability to lawsuits: As stated earlier, good property management companies can help the owner avoid a lawsuit; however, a poor property management company could cause a lawsuit. A poorly managed company that does not keep track of changes in landlord/tenant law or does not have an understanding of the law can cause harm to the owner because a single lawsuit can be very costly.

A property owner must weigh the benefits of hiring a property management company. Hiring a property management company is a good step if the benefits justify the expense. Owners should also ensure they are outsourcing to companies that are effective and ready to help them grow their businesses. If an owner considers these two factors and the pros of hiring the company outweigh the cons, then property owners should consider hiring a property management company.

What if You Do Not Want to Outsource Your Property Management Responsibilities?

If, when reading through the pros and cons, you wish there were some kind of middle ground, there is! Hire a residential property manager. This means you must be ready to become a boss, handle payroll, train, supervise, etc.

A residential property manager is a person who occupies one of the units of the rental and is assigned the role of carrying out the basic tasks of property management.

The basic tasks that can be performed by the residential manager include:

• Carrying out light maintenance and clean up.

• Taking prospective tenants through the vacant units at the property.

• Working with repair persons to solve and fix maintenance issues.

Hiring a Property Manager Is Your Decision

Whatever choice you make, a firm understanding of what property management truly is crucial to the success of your rental.

For owners who choose to manage the properties themselves, they will need to hone their property management skills.

Property owners that outsource but have little or no understanding of the industry might send the trouble down the road to be dealt with later.

The bottom line is that every property owner should know the ins and outs of the business, no matter who oversees management.

Real World Feedback:  As a professional investor for more than 20 years, if you want real estate to be a passive endeavor, you MUST outsource it to a professional property manager.  And as for the most common "con" about property management that I hear, "the cost"...it just doesn't hold water.  The lifetime value that a property management company can provide simply can't compare to self-management.

Do you own a rental property? Have you owned one in the past? If yes, you will understand that the process of managing a rental can be financially rewarding while also requiring a tremendous amount of effort and time.

Doing all the management tasks might make sense for you if you are a handy type of person that likes projects, you live close to the rental unit, or you do not mind spending hours carrying out tasks properly.

If you hire a property manager, the following ten items will be off your to-do list:

1. Setting a good rental rate: An excellent way to get the right rental price is to study the market before setting the rental price. Learning the rental price of other similar properties is a time-consuming task, but when you hire a property management company, they handle it – which means you will maximize your resources.

2. Collecting and depositing the monthly rent: If you have ever been responsible for securing payment, you know how difficult it can be. A property management company will handle the work efficiently to maintain cash flow.

3. Property marketing and advertising: Experience has shown that property managers know how to develop compelling ads, the mistakes that can be made in marketing a rental, and the best places to advertise your rental.

4. Finding the right tenant: Property managers have experience finding good tenants by carrying out background checks, employment verification, credit reports, etc.

5. Tenant management: Aside from finding a good tenant, a property management company will oversee all tenant-landlord relationships, emergencies, maintenance, conflict resolution, and inspections.

6. Vendor relationship management: Maintenance projects are part of the role of the property management company. A sign of a good property management company is good relationships with workers, suppliers, contractors, and vendors.

7. Compliance with regulation and property law: There are various laws that investor owners need to know. Some of these laws include local, state, and federal regulations and fair housing regulations. If any of these laws are violated, this can result in lawsuits and fines that can cripple investor owners.

8. Freedom to invest in a different geographical location: If you oversee your property management, you must invest close to where you reside; however, with a property management company, you can invest anywhere you wish.

9. Make good use of your time: A property manager oversees the rental, runs the rental, and gives you the time to spend with your loved ones, hobbies, or other investments.

10. Maximize the value and return on your rental property.

Pro Insight:  "Institutional Knowledge" - don't forget that the longer you have a property manager, the more valuable they become.  They develop a deep knowledge of you and your property.  The value of the right relationship compounds over time.

While many of us don't want to admit it, winter is well on its way. Most homeowners learn from experience that it's essential to prepare their homes for the colder months well in advance, but many others, such as renters, haven't yet learned.

It's important as a landlord to properly prepare your rental property before the snow starts to fall. Why? Because it could save you from water damage, frozen pipes, and other costly repairs.

Tenants will also benefit from the process by learning what they should do when they own a home of their own and ensuring that they are protecting the property from damage to the best of their abilities.

If tenants and landlords work together in creating a winter-ready home, both will have an easier winter overall and less to attend to when the snow eventually melts.

Where to Start: Talk to Your Tenant

The best place to start is by having a conversation with your tenant. Aside from the things you know you should look at, your tenant may have input on any areas that may need to be looked at, such as drafty windows and doors and issues with plumbing or drainage.

They'll be able to offer insight into any problems inside and outside of the home that you may want to repair before the cold sets in.

It will also be an excellent chance to talk to your tenant about what they need to do to winterize the home, inside or out, and what you would like to do around the property. Having an open conversation will keep you both on the same page and help to define which responsibilities are whose.

Helpful List To Provide Your Tenants To Prepare for the Cold

Water Lines

• To prevent water lines from freezing and bursting during cold weather: Allow water to trickle, especially at night when the temperatures drop. Do not leave the water trickling if you are going out of town. Let the property management know, so they can take the proper precautions if the weather turns bad.

• Disconnect and drain and garden hoses from outside faucets.

• Always know where your water main is located in case you need to shut it off in emergencies.

• If you go on vacation, leave the heat on, and set it to at least 55 degrees.

• Open all cabinet doors to allow warm air to circulate and warm the pipes.

Gutters and Downspouts

• Make sure that these are clear with no leaves or debris.

• Wet leaves and debris remaining in the gutter over winter adds significant weight and volume to the gutter when frozen and increases water build-up on the roof.

Chimneys and Fireplaces

• If using a wood burner fireplace or vented gas logs, get a cap or screen for the top of the chimney to keep out birds and rodents.

Heating and Cooling Systems

• Inspect the fireplace damper for the proper opening and closing.

• Replace the a/c and furnace filters EVERY 45-60 days.

• This ensures the most efficient economical operation of your system. Clogged filters can inhibit the operation of the system and cause costly repairs.

• Clean the registers throughout the unit.

• Clear obstacles from the vents so air can flow freely.

• If you have baseboard heaters, do not have any furniture next to them.

Prepare an Emergency Kit

Buy flashlights or battery-operated lanterns for use during power shortages. Water in case the pipes freeze for drinking and flushing toilets.

Let your property manager know if you plan to be gone for more than three days or more, so they can monitor your properties in case of a freeze.

If your tenant plans to decorate for the holidays, let them know what they can use and where it is safe to put up lights or hang wreaths. It's OK to be festive, but if they're using a staple gun on the eaves troughs or in the siding, they may do damage that will cost you both.

Sit Back and Enjoy the Season!

Now that you and your tenant have prepared the property for winter, it's time to sit back and sip some hot chocolate. Taking care of your rental property before the cold weather hits means that you can relax and spend time doing what you want to instead of caring for property issues caused by the cold.

When it comes to rental properties, it is well known that long-term tenancies and good tenants are assets. The cost and the headache of vacancies and high turnover are well documented and are major determining factors in the profitability of your units.

So how does taking care of your tenants take care of you in the long run? You can see this by breaking down the costs associated with a unit with tenants that don't care. Tenants that don't care lead to more costs than the damage they create in the unit.

Here are six specific areas that showcase why it pays to care for your tenants.

6 Major Costs That Come with Vacant Units

1. Property Rehabilitation Costs

Rehabilitating your property after a tenancy can be very expensive. Even in units that don't have a lot of significant damage, there are lots of small and medium costs that add up… quickly. If you have a lot of turnover in your rental property, these costs compound.

If a unit has one tenant for five years and another has five different tenants over five years, the cost of operating the unit with a high turnover will be much larger than that of one tenant. If you were to keep one tenant for over five years, the money you would save by not having to incur the turnover costs could even pay for an upgrade that could dramatically increase the value of your rental property.

Consider this list of expenses that come with rehabilitating your property.

• Clean the carpets

• Professionally clean the entire unit

• Paint and repair any chips or damaged paint

• Repair any holes or dings in the drywall

• Door and window seals or screens

• Minor repairs like closet doors or hardware for drawers and the cupboard.

• Whatever else makes it on your punch list of items to complete before the unit is ready

2. Ongoing Carrying Costs 

   For every property, there are carrying costs associated with the unit. These expenses don't fall on the landlord when the unit is rented because these costs belong to the tenant. When a vacancy occurs, the only person left holding that bill is the landlord, and these bills can also add up quickly.

• Utilities such as gas, power, and water are still ongoing expenses.

• Any lawn care and yard maintenance need to be kept up to date (especially since the units will have viewings with potential tenants).

• Cleaning is another expense if it is needed. This is particularly important in areas with a lot of wind or dust.

• Upkeep and oversight of a vacant unit also carry a price tag. This is for security guards or maintenance crews that check on the unit. If your unit is somewhere that has freezing temperatures in the winter, this is critical.

3. Hidden Costs

Other ongoing costs come with an empty unit. The rent covers these costs when tenants are in the unit, but when there is a vacancy, these costs fall back on the landlord. These costs can include the following:

• Mortgage Payment While Vacant

• Insurance

• HOA Dues

• Taxes

• And more!

4. Cost to Find New Tenants 

These costs can spiral upwards very easily. The amount of time, effort, and actual money that goes into procuring new tenants is, at the very least, significant, and they can be astronomical. These costs can be divided into two groups. The Monetary Cost and the Time Cost.

• The Time Cost: This is all the time you spend finding a new tenant. Interviews, viewings, administrative time processing applications. All of this time costs money.

• The Monetary Cost: These include procurement costs, rekeying the locks, paying for inspections, logging inspection photos, etc.

5. Catching Up on Deferred Maintenance

There are always hidden and unexpected costs related to deferred maintenance issues. Instead of being able to pass these costs along to the tenant (if they were their fault), these costs are now the landlord's.

6. Danger and Stress of Unoccupied Property

Some dangers are more likely with an empty unit. Vandalism is more likely, as well as the chance of a break-in or theft.

Other costs come with applicant denials, tenants that fail to move in when they were supposed to, new tenants that are not as good as the previous ones, or administrative mistakes during the application process.

Lastly, the stress of dealing with a vacancy and filling it is not comfortable or healthy for anyone. It is best if you can avoid that as much as possible.

How to Avoid These Additional Vacancy Costs

You will never be able to avoid all of your tenant turnover. However, by taking care of your tenants, they will take care of you by helping you avoid the cost of unit vacancies. A professional property management company can help reduce turnover by ensuring your tenants are cared for. This is what Centurion Property Management does for you.

Professional Real Estate Investor Thoughts: When you stop and think about it...taking care of your property and your tenant is kind of like taking care of your "golden goose".  Just like it does not make sense to kill the golden goose, it doesn't make financial sense to neglect your property nor your tenant.  Too many investors see this as a "cost" rather than a long-term investment to ensure the "golden goose" aka the rental property, keeps producing for years to come.  Don't be penny-wise and pound-foolish.

As a tenant, you may see renter's insurance as just another bill to pay and wonder why it would be beneficial to have. After all, your owner is insured, right? Usually, but… accidents happen!

1. Did you know that if you are at fault for causing a fire or otherwise damaging your rental property, you may be held financially liable?

2. Did you know that if your rental home burns in a fire, the owner's structure is covered, but your belongings are not? The owner is only required to refund your security deposit and prorated rent but is not required to find substitute housing for you or pay for it! How will you pay to replace all of your belongings? Find a new place to live?

3. Did you know the same is true for a catastrophic Act of God? A freak power surge that fries your electronics? A tree that falls on the house? A burst water pipe?

4. Did you know you can be held financially liable for your owner's insurance deductible if their claim is related to damage caused by you or a guest? From minor accidents like the classic baseball through the window to major damage such as a kitchen fire, did you know that the insurance company may pursue you for the damage claim, resulting in a huge potential debt or judgment on your credit?

5. Did you know thefts are the most common claim on renter's insurance policies? Did you know that if your home is broken into and valuables are stolen, or you have valuables stolen from your car without Renter's Insurance, your loss is not covered?

6. Did you know that you can be held financially liable if your child leaves their bike or skateboard on the sidewalk and someone trips on it and hurts themselves? What if your dog bites someone? What if you accidentally collide with a friend in your kitchen, and they get burned? The liability portion of your policy will kick in, hopefully covering in full any expenses related to the accident.

7. Did you know that Renter's Insurance (usually includes premises liability coverage of $100,000, $25,000 coverage for theft or loss of personal property, and coverage for loss of use of the dwelling unit) only costs about $10/month?

8. Did you know that while your landlord may only require a maximum of $100,000 in liability coverage for your policy, you can increase that amount? Also, that the purchase of a personal liability umbrella will cover you above your liability limits in an auto crash where you are at fault?

9. Did you know that if you are sued for negligence for something that occurs away from the rental premises, your liability umbrella could provide for your legal defense?

10. Did you know that a one-million-dollar liability umbrella costs only a few hundred dollars annually and may be tax-deductible?

You are strongly encouraged to purchase and maintain in force a Renter's Insurance policy for your own benefit, regardless of whether it is required by the rental owner or property management company. Please choose to protect yourself.

Post Note: Under Oregon Revised Statutes (ORS) 90.222, a landlord may require a tenant to obtain and maintain renter’s (liability) insurance if the requirement is included in the rental agreement.

In this blog post regarding property management, we will look at the fundamentals of investing in stock and real estate. After dissecting them separately, we will look at the similarities, expectations, and realities of the two.

Stocks

Buying shares of stock is a fancy way of saying, "you are buying a piece of a company." That company sells a service/product, and you are entitled to a cut of the profit for every share you own. If a company has 1,000,000 shares outstanding and you own 10,000 shares, you own 1% of the company.

Everyone knows that stocks go up and could have historic highs; on the other side, they can have historic lows. When purchasing stock, it is a given that they understand it is a risk and must be prepared for ups and downs.

Real Estate

Purchasing real estate is straightforward: you buy a property, fix it and collect the rent checks, right? I wish! On the contrary, there are expenses that occur ALL the time. You must plan ahead and save for repairs, upgrades, and property malfunctions. There are NO surprises here. If you're ever to the point where something catches you "off guard," then you weren't prepared. There is no such thing as an unplanned expense in real estate, just like there is no such thing as a random drop in the stock market.

Whether you're a seasoned investor or a first-time real estate investor, don't get caught with your pants down. I wrote an article a few months back that gives you a good idea of what to save and how much to save given the property you own.

Invaluable: "extremely helpful; indispensable."

Did you know that rental properties often represent the largest investment the owner has ever made? They are a critical step in many people's retirement plans and help build generational wealth that can be passed on. Understandably, there is a strong desire to ensure that these investments are not only properly maintained but are nurtured and protected so that they can continue to perform for decades to come.

That is why using a quality property management company is invaluable to that investment's growth. Not just valuable. Invaluable. The right property management company will not only do the mundane tasks that come with renting. They will go above and beyond, finding problems before they appear and making suggestions to save time and money.

For many rental homeowners, their properties are part of their income but not all of it. They have other concerns that need to be addressed with their valuable time. For larger landlords with multiple rental units, there are even more demands for their precious time.

By partnering with the right company, you are not simply paying for the tasks that are done daily. You are paying for the peace of mind that comes when you know that the job is being taken care of by professionals.

What Does a Property Management Company Take Care Of?

What makes a great property management company indispensable to its clients? What makes their services invaluable? Consider this list of tasks that would be on your plate if you were managing your property on your own.

• A professional property manager manages the day-to-day needs of your rental property as well as minimizing vacancies and maximizing income.

• Rental property managers handle the marketing of your property and screen for the best possible tenants to fill those vacancies. This is a skill that is developed over time. Having the right tenants makes or breaks the profitability of any rental property.

• They coordinate routine and emergency repairs, negotiate trash removal, and handle security, groundskeeping, and janitorial contracts.

• Property managers solicit bids from prospective vendors and recommend an appropriate vendor to the property owner or landlord.

• Property managers handle rental agreements, collect rent, and respond to requests from tenants. This task is not to be minimized! It takes years of experience and the right temperament to do this well. The rental agreements must be done properly and according to all local regulations. Collecting and managing rent needs to be done safely while at the same time protecting the sensitive information of all of those involved. Responding to tenant requests is often a full-time job all on its own!

• Property managers often double as real estate managers. Based on their years of experience, they make suggestions and offer advice to maintain and improve the property's value over time.

• They are familiar with local, state, and federal laws. This is not only for rental agreements. These laws affect every aspect of the property, including taxes, waste management, by-law compliance, and much more.

• They perform background checks to prevent bad tenants from renting your property and can help you evict a problem tenant if needed. This is one of the most critical tasks of your property management company. The best way to protect your rental asset is to do it proactively through an effective tenant screening process.

• Property managers handle payables, ensuring that rent is collected, insurance premiums are paid, and mortgages, taxes, and payroll bills are handled on time.

• Property management companies are often located in the vicinity of your property. This is especially valuable if you no longer live in the area yourself.

What truly makes a property management company invaluable is the proactive measures they take to ensure your property is maximized and protected. It is one thing to manage the day-to-day duties of a property. Avoiding foreseeable problems, such as pests, bed tenants, or major repairs due to negligence, makes services such as those provided by Centurion Property Management truly indispensable.

Contact Centurion today to see how we take your property to the next level through excellent service and future-focused suggestions. Partnering with Centurion Property Management will take care of not only today's needs but the needs of the future as well. We look forward to chatting with you.

"Excellence isn't a zero-sum game." That saying holds true in every field of endeavor and every free market worldwide. Excellence will, in fact, demand excellence from its competitors, making the world a better place for everyone.

When it comes to the property management industry in Salem, OR, there are a lot of great companies that operate here. If you need a company to manage your property, there are many high-quality options to choose from.

Centurion Property Management serves Salem and the mid-Willamette Valley, and over our years of adding value to the community, we have seen and competed against some great companies. Working in a community that has access to other great companies is actually a blessing.

As the saying goes, "Excellence is not a zero-sum game." This means that being excellent doesn't diminish anybody else. At Centurion, we believe we offer the best service available and are proud to support our claims. But that doesn't mean we don't acknowledge other great companies when we see them.

You need to know your craft well to appreciate when it's being done well by others. There are many facets to the property management business, and they must all be handled correctly if you are to make a name for yourself in the space. These are the hallmarks of a great property management company.

The 7 Hallmarks of a Great Property Management Company

A commitment to excellence with a track record to prove it

"We are what we repeatedly do. Excellence, therefore, is not an act, but a habit." Excellent service is not a one-time event. It is a consistent and ever-present set of circumstances when you do things right. Excellence is a feeling your clients should know well.

A commitment to continuing education

The world is running at break-neck speed into the future, and those that don't proactively and aggressively expand their knowledge are left in the dust, wondering "What happened?”

Focus on customer service

Customer service is no longer simply getting the job done. It is going above and beyond, day in and day out.

A commitment to technology and changing with the industry

As with continuing education, there is a need to learn and adapt to new and emerging technologies as they improve and innovate the property management industry.

Access to resources

Having what you need when you need it is key to remaining excellent.

Full-service property management

A top-to-bottom, full-service property management experience is what people want and expect today. A one-stop-shop that provides effective, efficient, and comprehensive management services that leave no questions unasked and give a sense of peace about the properties being managed.

Great Staff

Great staff is vital. They are the hands that make the introductions. The feet that show tenants their new homes. The smiles that greet your clients and the warm goodbyes that see them off. Your staff is how you turn your company's vision into a reality.

Centurion Real Estate Management

Premium Property Management

Northwest Pacific Property Management

Duerksen & Associates Property Management

These are the companies that are doing it well in Salem, OR. They exhibit the seven hallmarks that make a property management company stand out from the crowd. So, what makes Centurion stand out, head and shoulders above the rest? What is the distinguishing factor that sets them apart?

What Makes Centurion the Best Property Manager in Salem?

Centurion is not only a great property management company. We are also seasoned experts in the acquisition and disposition of investment properties. Numerous clients have grown and expanded their portfolios under Centurion's guidance.

Mendell Gosnell, the owner of Centurion Property Management, is also an active real estate investor and stays plugged into the local real estate investor community. Going far beyond just property management gives Centurion its edge in the industry.

As the industry begins to move toward conventional asset-style property management, Centurion is already there – offering our investors the resources and insight into the local and national economic factors that affect real estate and investment property. Centurion prides itself on staying current on the ever-changing trends, laws, and technology that drive the success and failure of the turbulent waters of investment real estate.

Centurion Property Management continues to strive to be excellent. We are constantly evolving, adding more value and providing our clients more than they expect, exceeding expectations as a rule of thumb and making excellence a habit, not a one-time act. Reach out today!

When it comes to excellence, it seems as if the world is out to distract and deter you from your goals. Staying focused on the most important matters for long periods is crucial to becoming and staying excellent.

Stephen Covey is attributed with coining the phrase, "The main thing is keeping the main thing, the main thing!" While he was the first to put it down to paper, the sentiment has been around for decades, if not centuries. Organizations and individuals that learn to harness the power of this concept reap great rewards.

Property Management is the Main Thing

If property management is the main thing that needs to be kept at the forefront, what exactly is it? According to ProSchools, property management is this.

"Real estate property management is an organized profession dealing primarily with the management of buildings. Property management attempts to balance the needs of a property owner with those of a tenant. The basic goal of a professional property manager is to return to the property owner in the long term, the highest possible net return on their equity.

This results in a dual responsibility of:

1. Maximizing the income by renting or leasing space at a rate that will cover operating and fixed expenses (e.g., property taxes, property insurance, and mortgage indebtedness) and providing a profit.

2. Protecting the condition of the real estate to preserve the owner's investment.

The goal of a tenant is to rent or lease space at a rental rate that is affordable, or that will allow them to utilize the space at a profit.”

How Does Centurion Keep the Main Thing the Main Thing?

At Centurion, we pride ourselves on our commitment to property management. Our dedication to providing superior service and top-of-the-line experiences for tenants and owners alike is our "Main Thing." There is nothing else we strive to do.

By breaking down the definition given, you can see the key elements that lead to great property management.

Real estate property management is an organized profession dealing primarily with the management of buildings.

We are dedicated to the proper management of your real estate rental properties. We do this through preventative maintenance measures that remove the need to pay for expensive, preventable repairs. When there is maintenance that needs to be done, it is done with the utmost care and pride. If major repairs are necessary, the process is thoroughly communicated to the client and is performed by trained professionals. This makes sure that the building themselves stay as pristine as possible, aging gracefully.

Property management attempts to balance the needs of a property owner with those of a tenant.

We understand that the needs of the tenant and the needs of the client are intertwined. Making sure the tenant is satisfied and wants to continue renting is in the best interest of the owner. Having long-term renters is always the best strategy in the long run. We work with tenants so that they are content and work to make sure owners are getting the return they are looking for. This is a balancing act we are proud to do with excellence.

The basic goal of a professional property manager is to return to the property owner in the long term, the highest possible net return on their equity.

This is done through a combination of customer service, maintenance work, and reducing vacancies to a minimum. Customer service increases tenant retention. Proper maintenance work increases the property's longevity and makes it more attractive to tenants. Reducing vacancies adds to the bottom line, creating a more profitable property.

Maximizing the income by renting or leasing space at a rate that will cover operating and fixed expenses (e.g., property taxes, property insurance, and mortgage indebtedness) and providing a profit.

We are always increasing our knowledge base through ongoing education programs. This allows us to be on the lookout for ways to reduce costs while increasing revenue to deliver the most amount of profit possible while maintaining great tenant relationships.

Protecting the condition of the real estate to preserve the owner's investment.

Preserving the condition of the real estate is a priority. We treat the tenants with respect and value them so that they treat the property with respect and value living there. Proactive maintenance measures and vigilance on behalf of our maintenance crews also help make this a reality.

Your Property is the Main Thing

At Centurion Property Management, maximizing your rental property in every way is what we keep at the forefront of our thoughts and actions. When it comes to keeping the main thing the main thing, Centurion has your property and its potential covered.

Reach out today to see how Centurion can make you and your property part of it's pursuit of property management excellence.

Responsibility. Part of what makes the pursuit of success in life amazing is the willing adoption of responsibility. It grows you. It develops you. It shows you where your strengths lie and where you need to be better. The willing acceptance of responsibility builds skills, confidence, and trust.

The word responsibility stems from the Latin verb "respondere," which means "to respond." Taking responsibility is a response, providing a solution to an ever-present need. This is how we view responsibility at Centurion. Our responsibility to our clients is our opportunity to build trust, gain respect, and deliver on our promises.

We look at it as a way to grow and sharpen our skills so that our clients are always getting the best of the best. We believe that our responsibility is not only to meet and manage expectations but to exceed them and provide more value than our clients expect. How do we do this?

Be A Leader, Not A Manager

Managing is about today, and leading is about today and tomorrow. At Centurion Property Management, we look to tomorrow while taking care of the needs of today. We take action today to limit your exposure to liability in the future.

Managers are great at properly executing current systems and managing the tasks of today. Leaders project themselves into the future and forecast potential issues that may arise, and take care of them before they ever happen.

At Centurion, that means we maintain and manage your properties today but mitigate future concerns.

• We do this by making sure your tenants are happy and satisfied with the situation today, and we probe their expectations for tomorrow.

• We regularly inspect your property to ensure its safe and effective operation for your tenants.

• We use our years of experience and knowledge to make decisions that are future-focused.

This is what leaders do. We manage and maintain today, but we prepare and adjust for tomorrow. This saves you time and money by proactively resolving potentially costly issues and avoidable mishaps with tenants and your property.

Property Managers Have a Fiduciary Responsibility

Although we are often referred to as the "property manager," we have a fiduciary responsibility to our owners that goes well beyond just carrying out simple duties. What is fiduciary responsibility?

It is key to understand that a fiduciary relationship involves trust and confidence. It requires that the fiduciary (the party entrusted with taking care of another party) acts honestly, in good faith, and strictly in the best interest of the other party (the beneficiary).

This is why the way we see our obligations to our clients is so important. We don't see our work as a simple functionary responsibility. It is our duty to go above and beyond to act in the best interests of our clients. These are the main differences.

• Instead of simply completing the tasks that are required, we own the results. Our work, our responsibility.

• A fiduciary responsibility demands a self-directed approach as opposed or waiting for others to direct you. We see opportunities to be better, and we take those opportunities.

• We have a big-picture focus as opposed to a narrow focus. The future demands a comprehensive and nuanced approach that takes a big-picture focus.

• Instead of simply delivering information, we advise and consult. The reason you hire a professional property management company is to benefit from their experience and knowledge.

• Anticipating needs is the primary way we act with your best interest in mind. Instead of responding to needs as they arise, we anticipate them. This way, you can solve problems before they happen.

• We only hire those with exceptional skills to manage and maintain your properties.

• A dedication to high-level service proves that we take our responsibility as the caretaker of your property seriously. Low-level service is not an option at Centurion.

• Low-level thinking doesn't plan for the future or prepare for upcoming challenges. Using high-level thinking allows us to mitigate any future risks with actionable steps today.

• Dedication to exceeding expectations is a bedrock of Centurion Property Management's culture. Meeting expectations without exceeding them is considered a failure in our books.

• All of these aspects of our responsibility to you makes Centurion Property Management and its relationship to you and your properties irreplaceable. 

At Centurion Property Management, we thrive on responsibility. We enjoy exceeding our client's expectations. Our goal is to treat our client's properties as if they are our own and act in a way that adds value today, tomorrow, and for years to come.

Contact Centurion Property Management and see how we can be a valuable asset today.

Keeping your property in top condition takes a lot of work and is an upfront investment but one that pays great dividends. As you consider upcoming projects at your property, take a minute to consider how it not only maintains the physical integrity of your investment property but also maintains and improves its overall value.

Your property is meant to deliver positive financial results for you over the life of that investment. One way you can be sure this will happen is by understanding this philosophy.

The Economics of Tenant Retention: Happy Tenants Drive Profit

You may be asking yourself, "Happy tenants drive profit? How is that possible?" When it comes to profitability on a real estate investment, one of the key metrics to understand is your NOI (Net Operating Income).

According to Investopedia, Net Operating Income is defined as:

"Net operating income (NOI) is a calculation used to analyze the profitability of income-generating real estate investments. NOI equals all revenue from the property, minus all reasonably necessary operating expenses."

Not All Rental Property Expenses Are Created Equal

When looking at the upcoming expense of a project that is meant to keep your property in premium condition, remember that the costs of your maintenance can save and even make you money! Why is that? That is because tenant retention is one of the best cost-effective strategies to boost your bottom line.

Happy tenants rent longer, pay more and take better care of the property than unhappy tenants. This is why the Lifetime Value of the tenant is more important than the Month-to-Month value.

A tenant's month-to-month value is measured in the profit generated from their rent each month. Their lifetime value is measured in the monthly profit they can generate and all the cost savings that come with a long-term and happy tenant. The cost of retaining tenants is far less than gaining new tenants.

On average, a vacancy costs 1-2 months' rent. Keeping vacancies low is key to adding to your bottom line.

A Tale of Two Rentals

Imagine owning two different rental properties in different cities, run by two different management companies. These properties are in similar neighborhoods, with similar rent, and are in similar condition.

Company "A" believes in the economics of tenant retention and works at fostering that positive relationship with the tenant. Company "B" is concerned with simply doing the minimums, fixing things only when necessary, and engaging in poor customer service.

Over 5 years, Company "A" has had 1 vacancy. This vacancy is filled quickly due to their reputation in the community as a great place to rent. The property needs no major maintenance work because of the vigilant eye of the maintenance crew. It also helps that tenants with Company "A" always feel valued by the property management company, so they maintain the homes as if they are their own. This vacancy costs approximately 1-2 months' rent.

Company "B," over the same 5 years, has 3 vacancies. These 3 vacancies each cost 1-2 months' rent, and there are the additional costs of major maintenance work for two of the vacancies. When tenants feel like they aren't valued, they don't love the property they are renting, which leads to more damage that needs to be fixed.

The Cost of Treating Your Tenants Poorly

Over those 5 years, both units had some turnover. There was maintenance needed on both units. However, the fact that Company "A" had only one vacancy compared to Company "B," which had 3, means that the cost to operate Company "B" s unit was at least 3.5 times more! This could mean the difference between turning a profit or running a deficit.

Not only does it cost more financially, but the damage that bad word of mouth does to your reputation is hard to quantify. If people are known to leave your units because they are treated poorly, and the units are poorly kept, you will only attract unsavory tenants. This will lead to even worse outcomes for your properties!

Why It Pays to Invest in Your Investments

If you are considering a big project that will boost the value of your property and add value to your tenants, remember this. While it may seem like a cost now, you may save time and money in the future. The Net Operating Income of rental properties that maintain good tenant relationships is always better.

That is where a good property management company comes in. At Centurion Property Management, we take care of your properties. We take care of your interests. We take care of your future. Reach out today and see how we can help you care for your interests.

The issue of handling landscaping at your rental property often arises. Over the years, we have tried several approaches to achieve the best result for our clients. After years of dealing with landscape challenges, we always recommend that our clients hire professional landscape maintenance for their rental property, especially for homes.

There are several reasons we recommend this approach. Unfortunately, the majority of tenants will not take care of the landscape in a satisfactory and consistent manner. Many tenants do not even have a lawn mower, let alone other necessary lawn and landscaping tools needed to do the job correctly. Maintaining the curb appeal at your property is a big deal. It ensures your property always looks its best, avoids complaints from your neighbors, and greatly benefits the tenants. Often this additional expense can be offset by setting the rental rate accordingly. It really becomes a win-win at this point.

The alternative is to try and have the tenants handle it (which, again, history shows they don't do it or they do a substandard job). Then, our only recourse is to send them a notice warning them to take care of it, or we will have to have it done professionally and then try to bill them and/or move to evict if they continue to fail to perform.

It becomes a challenge when the property owner is unhappy that their landscaping is not being maintained. We, the property management company, have to be the bad guys to try and get the tenants to comply, and it becomes a messy situation.

Don't get me wrong; some tenants do an adequate job, and a few do a great job. However, this is not the norm and through experience, we have found that everyone is happier and better off if the landscaping is outsourced to professionals. In the event that we have an owner opt to try and have the tenants be responsible for the landscaping, then we advise the owners to set their expectations at a reasonable level.

Every property manager has heard this phrase many times. As a property owner, you may have experienced these words first-hand from a resident yourself, and no one ever wants to hear it because it often means there's trouble directly ahead.

Three things can lead to this scenario. First, there are times when tenants actually do deliver a property in better condition even though the property was clean when they took possession. They are simply meticulous people – this does happen.

Second, the majority of tenants who make this statement are trying to put you on the defensive because they want their security deposit back in full—even though they know the property is not as clean as when they moved in. The third and last scenario is that it is actually is cleaner because the property was in poor condition when they moved in.

The first scenario is the one you cross your fingers and hope for. The second is manageable with good documentation and common sense to dispute the tenant's claim. The last one is the trickiest.

This is why it's essential to have the property in the best condition when a tenant takes possession. As Stephen Covey teaches in The 7 Habits of Highly Effective People, "Begin with the end in mind." In order to have the best possible ending with that tenant, you have to be well-situated at the beginning of the tenancy.

Having the property clean and in good condition gives you the best chance of attracting the right tenancy. When the property is clean when they move in, you send a message that this is what you expect when they move out. You also set the stage for a good landlord/tenant relationship. Otherwise, residents become dissatisfied, and the tenancy can deteriorate from there.

Cleaning Requirements Our Property Management Company Upholds

As your property management company, we want to avoid unpleasant and costly problems for your investment, so we have certain requirements when properties transition between tenants.

• We have the same "clean" standards for all properties and require vendors to follow these standards. This applies to both the inside and outside of the unit.

• Unless unnecessary, we have a professional cleaning of properties to have documentation to support the security deposit disposition when the tenant moves out.

• We use reliable vendors to complete professional cleaning.

• We document the property's condition before the tenant moves in and again when the tenant moves out.

• We notify tenants when they move in what the expectations of cleanliness are when they move out.

You don't want a security deposit dispute when they move out, particularly one that can lead to legal issues. A simple answer is to have the property clean when residents move in. Then you are on solid ground when the tenants move out.

No rental property investor wants to hear about a possible or definite lawsuit to defend. Although there are situations where you cannot avoid legal actions, most of the time, property owners can be proactive. Here are seven positive steps to follow to reduce your risk.

1. Never ignore necessary repairs. Habitability is at the heart of landlord/tenant law. Failure to provide a tenant with a safe and clean environment is NOT an option. Repairs are necessary for all rental properties; handling them quickly and effectively is the best and often the least expensive approach.

2. Never ignore Fair Housing laws. A definite pathway to a costly lawsuit is to discriminate. There are many Fair Housing laws and many ways to break them. Some may not even be obvious. This concerns just about every area of renting – advertising, showing, tenant selection, handicap tenancy, maintenance, etc.

3. Never retaliate against your tenants. You may feel you have the most irritating and frustrating tenants on the planet, but retaliation is not the way to handle any situation. Identifying the heart of the problems and settling issues without giving a tenant the right to scream "retaliation" to a judge is essential. Even if they follow this course, they must prove it happened.

4. Never ignore the Right to Enter laws in your state. While you may own the property and pay the mortgage, it is the tenant's residence. Every state has laws regarding this issue. Most of the time, it is easy to set up an appointment with the tenant by making a simple phone call or sending a request by letter. If the tenant is not cooperative, following the law is definitely the best course of action.

5. Never ignore lead-based paint laws if appropriate for your investment. It may seem silly to pay a certified lead-based contractor to do lead-based work, but it is a minuscule amount compared to the significant fines levied for not using the right workers and procedures to handle this issue. This is a health and safety issue for residents.

6. NEVER avoid a mold issue. Not all molds are toxic, but if they are, property owners can be subject to settlements in the "millions" if they ignore a mold issue. Taking immediate action to discover the mold complaint's nature is the only way to handle this problem. Using qualified mold contractors for toxic mold is a legal requirement. In addition, it is imperative that action continues until it is resolved for all parties.

7. Never ignore illegal activities. The saying "what you don't know won't hurt you" does not apply to investment property. In today's world, meth and coke labs abound, large marijuana farms are common, identity theft rings are prevalent, and more. This applies to all levels of personal income. You can find crime in the worst and best of neighborhoods. If we notify you of any possible illegal activity, work with us to investigate and eradicate the problem. It may not be easy, but burying your head in the sand can be very costly.

The best course of action for property owners is to avoid any activities that will incur more liability. As your property management company, we will work for you and with you to avoid risk whenever possible to protect your investment.

Should you try to manage your property yourself or hire a professional property management company? Watch our YouTube video to find out what's right for you!

Some thoughts to consider when figuring out how much maintenance will cost on your rental property. Have more questions? Feel free to reach out to the property management team here at Centurion!

How much to set aside for maintenance expenses for your rental property? Have more questions? Feel free to reach out to the property management team here at Centurion!

Tenant appreciation is huge! Interested in learning more? Reach out to the property management team at Centurion for more information!

A professional property manager can handle the day-to-day needs of your rental property. They can help by minimizing vacancies, minimizing expenses, and maximizing income. Rental property managers handle the marketing of your rental and screen for the best possible tenants to fill your vacancies. They can coordinate routine and emergency repairs, handle trash removal, and handle security, groundskeeping, janitorial contracts, and the list goes on and on.

Property managers solicit bids from prospective vendors and recommend an appropriate vendor to the property owner or landlord. Property managers handle rental agreements, collect rent, and respond to requests from tenants and other housing authorities – not to mention stay current on all the changing industry-specific laws.

Property managers might also be called real estate managers or asset managers since they help owners to optimize a significant investment. They are familiar with local, state, and federal laws. They perform background checks to prevent bad tenants from renting your property and can help you evict a problem tenant if needed.

Property managers handle payables, ensuring that rent is collected, insurance premiums are paid, and mortgages, taxes, and payroll bills are taken care of. Usually, a property manager is located near your rental, so they are available to show your property to potential tenants. This is an advantage if you are no longer living in the area. An effective local property management company is proactive, identifying and correcting problems before they impact your bottom line.

"If you want to go fast, then go alone – if you want to go far, then go with a team."

Here at Centurion, we do move fast, but we have decided that we can do more, do better and go further with a great team. That is why so often when I am writing emails to prospective clients and owners, I use the words "we" and "us" so much.

It has become second nature to what "we" do and has become infused into the company's DNA. Property management takes a great team…(not to mention a great family that is very supportive!)

Our newsletters cover many issues, but we want to review twelve practices that we, as your management company, use to protect your investment.

1. Comply with Fair Housing Laws

   This is crucial to successful property management. This covers a wide range of activities, including advertising, showings, tenant selection, equal opportunity practices for the handicapped, and much more. We always work to avoid Fair Housing complaints, but if they occur, we move to settle them swiftly and efficiently.

2. Screen for good tenants

   We continually strive to improve screening practices. Choosing the right tenant is more cost-effective than quickly renting to someone who will become a problem tenant, even if it means a longer vacancy.

3. Good documentation

   Another key area to reduce risk and keep tenant problems at bay is using good rental documents. This encompasses rental agreements, addendums, property notices, communications, etc. Setting up the right agreements, in the beginning, can help prevent future disputes.

4. Maintain the physical property

   We continually work to use competent vendors to maintain your property. We probably sound like a broken record on this subject, but preventative maintenance is a big key to reducing many maintenance issues. Whether small or large, it always pays to address a problem as soon as possible and resolve it before it escalates.

5. Resolve mold issues

   Ignoring mold issues has produced some of the largest settlements against investors in the United States. We may discover that it is not a toxic mold, but it is better to clean up any mold before it can become a real issue.

6. Take tenant safety seriously

   Addressing anything that could endanger tenant safety is an absolute necessity. The courts have zero tolerance for a property owner who ignores maintenance that endangers a resident. This can include unsafe electrical, flooring, plumbing, door locks, walkways, lighting, landscaping, and more.

7. Respect your tenant’s privacy

   Even the most basic landlord/tenant law provides for a tenant’s right to privacy. Therefore, we contact tenants in advance and serve the proper notices when necessary if we want to enter their residence. You may own the property, but it is the tenant’s home, and most states have specific laws to address the “right to enter.”

8. Tenant retention

   For obvious reasons, it can increase the return on investment (ROI) to keep a good tenant. There are many ways to encourage tenant retention, and it pays to show residents that we appreciate them.

9. Address security deposit issues

   Tenants do move, and when they do, the security deposit can become a battleground. Although we try to avoid this, a dispute can arise. We settle any deposit issue as quickly as possible.

10. Keep accurate bookkeeping records

    It is important to provide you with an accurate accounting of funds for your property at all times. When you have questions on our bookkeeping, we provide answers to them.

11. Stay current with new or pending legislation

    We cannot provide the best service if we do not keep up with legislation or rulings that affect the management of your property. There are many ways to do this throughout the year, such as reading publications and attending seminars, workshops, and conferences.

12. Keep clients informed

    Keeping you informed on what is happening with your investment is always important. We use various means to do this, such as email, telephone calls, letters, bookkeeping reports, our website, etc. This newsletter is a vehicle for sharing our property management knowledge; we hope you find it useful.

Call us if you have any questions. As your management company, we are here to protect your investment and help you when you need assistance.

The economy can certainly become very volatile from time to time. However, there are opportunities in every market, and for some, now is an excellent time to buy an investment property (time of writing was 2/15/202). Unfortunately, it can be easy to forget to watch for investment pitfalls. If you are considering purchasing more rental property, avoid making the following mistakes.

Purchasing a Property Without Educated Research

Consult the professionals - a knowledgeable real estate agent, your property manager, a reliable mortgage banker, and any other party that can give you realistic values. However, you need to do your own research to ask intelligent questions and know when you are receiving bad information.

For example, consulting a real estate agent unfamiliar with the current rental market is a disaster waiting to happen. It's easy to project a positive return on paper when using inflated figures! Ask us, your property management company, to investigate rents and expenses before you purchase the property.

Continuing To Wait for the Market to Bottom

You can miss opportunities if you're in a perpetual holding pattern, and you can make intelligent investments in any market. Unless you have a crystal ball, there is rarely a way to know when the market will bottom out or rebound. Even when market prices increase, you can still purchase a good investment – you just need to research every potential investment.

Not Planning on Holding a Rental Property as a Long-term Investment

This isn't a realistic investment strategy. It is possible to buy a property and flip it quickly, but it often takes holding the property for at least ten years or longer to realize the full benefits. One long-term benefit is the yearly tax benefits you have while owning the property. One short-term penalty is that unless you reinvest profits from a short-term rental, there may be heavy tax consequences.

Investing With the Wrong Financing

Beware of balloon payments or bad financing that can easily turn a solid investment into a nightmare. Consult a mortgage professional who has experience with investment financing and can counsel you on the different programs available. As asset managers, we are well-equipped to help you understand and navigate these issues.

Underestimating the Cost of Maintenance and Capital Improvements

Every property needs maintenance! Consider how much maintenance goes into your residence, and remember that rental property goes through the same wear and tear. You may have the best tenant on the planet, but your investment will suffer unless you maintain the property.

Remember, this is usually a long-term project, and many items like roofs, fences, paint, and carpet have their own projected life. When planning an investment budget, consider how you will cover maintenance and necessary replacement costs.

Working Without Good Insurance, Reserves, or a Contingency Financing Plan

Between possible vacancies, maintenance, emergencies, or disasters, plenty of troubles lurking can sink your investment, so foregoing emergency planning is like walking a high wire without a net.

Landowner policies are available to assist with vandalism or an emergency/disaster, so talk with an insurance agent who knows what policies will help you in times of distress. In addition, build your savings for unknown factors, such as a long vacancy or major repair, and contact financial institutions in advance about emergency funding.

Not Treating Investment Property as a Business

This is the biggest mistake of all. This is a business; you must approach it as a business. Like all businesses, there are ups and downs; accepting this does make a difference in your relationship with your investment.

As your property management company, we are here to help you with any questions on potential rental property. The real estate market has proven itself time and time again. In any housing market, investors have opportunities as long as you apply sound practices for buying.

Professional Thoughts:  We are not only property managers many of the staff at Centurion are also real estate investors.  We speak with deep knowledge, understanding and first-hand real-world experience.

Carbon monoxide is an area of risk management that has been the focus of new laws in many states. Currently, at least twenty-five (25) states have legislation on carbon monoxide detector requirements. State laws vary in their specifics, and federal agencies are working on legislation encouraging all states to require carbon dioxide detectors in homes.

Why Carbon Monoxide Occurs

There are over 500 reported deaths and over 10,000 cases of carbon monoxide poisoning each year in the United States. Therefore, states must take regulatory action. Carbon monoxide legislation will protect owners from more liability—as well as from potential tragedy.

What is Carbon Monoxide?

Carbon monoxide (CO) is often called the "silent killer" because it is a colorless and odorless gas. It forms when carbon-based fuels, such as propane, charcoal, or wood burn with inadequate amounts of oxygen, creating a condition known as incomplete combustion.

Early symptoms can be nausea, headache, dizziness, and flu-like symptoms. However, most of the time, it is not detected, and death can occur without any noticeable warning. It is one of the leading causes of accidental death in the United States and one that is preventable.

Where Does Carbon Monoxide Come From?

Carbon monoxide can stem from faulty fireplaces, water heaters, gas appliances, space heaters, charcoal-burning devices inside buildings, running car engines in an enclosed garage, and more.

Preventing Carbon Monoxide

Installing an inexpensive battery-operated carbon monoxide detector that meets the requirements of the current UL standard 2034 or the IAS 6-96 standard, which can detect the gas and emit an alarm, is the easiest way of exposing this deadly gas. However, certain states are now requiring hard-wired detectors. There are also combination detectors for both smoke and carbon monoxide available.

However, relying on a CO detector is not the only solution.

Owners can take preventative measures such as ensuring gas dryers and other gas appliances are well-ventilated to the outside and checking fireplaces for proper operation. It is essential for residents to avoid using charcoal devices or camping equipment inside or leaving their car running inside a garage and to notify the gas company if they detect any indication of a gas smell.

As more deaths occur, more legislation is to be expected. Meanwhile, the answer to the "silent killer" is prevention. You should check carbon monoxide legislation and specific state requirements. You can research carbon monoxide using the United States Environmental Protection Agency's website.

As an investor, we want you to be aware of what can affect your investment. Our property management company is always prepared to keep up with state and local legislation, oversee important maintenance, and educate tenants whenever possible to protect your investment.

There are many reasons to maintain a clean, neat, and attractive landscape on an investment property. When a unit is vacant, it helps to attract good tenancy. While occupied, it helps maintain neighbor relations and reflects the tenants' care. Later, when it is time to sell, the property looks well-kept instead of like the local derelict.

So why do many properties turn into eyesores? While residents want to rent a nice-looking home, they often have no interest, time, or knowledge of maintaining the property. They may agree to landscape maintenance in the rental contract, but it can be difficult for a property manager or owner to enforce.

You can charge the tenant for maintenance or include landscape maintenance. Still, it is not always practical to increase the rent for the full cost of the work, particularly if the landscaping on the property is extensive.

In addition, water is a key element of landscape maintenance. Many properties that are eyesores do not have an irrigation system. In a dry climate, water can simply be the issue, but even wet climates can suffer a drought. And if a tenant is not diligent in watering, the landscape suffers or dies despite a working irrigation system or the climate. It is even more difficult to maintain watering when a property is vacant.

Neither you nor the tenant wants high water bills. When the property is vacant, you'll want to minimize the cost to maintain the property and yet keep it looking its best. When occupied, the tenant may reduce watering to avoid the expense, stressing the landscape in the process. During drought conditions, the utility company may charge a penalty for too much water usage, causing you or the tenant to curtail irrigation.

What can help solve this issue? Installing a low-maintenance landscape whenever possible. That keeps the property easy for tenants or landscapers to maintain, water-wise, and looking good.

9 Tips for Landscaping Your Rental Property

How can you provide an attractive, low-maintenance landscape? We're not looking for a gravel pit that will be a neighborhood eyesore or discourage any possible renters. It does take thought and planning, but the results are worth it in aesthetics, ease of maintenance, and water conservation. Here are some tips for an attractive, low-maintenance landscape.

1. Plan an irrigation system that is appropriate for the landscape and the native area. Today's systems are cheaper and easier to install than old systems.

2. Be sure the watering system has a programmable timer system so it can be set to water automatically and adjust to the seasons and water needs of the landscape.

3. Plan a natural landscape instead of a formal one. This will require less trimming and pruning.

4. Use plants indigenous to the area, and when possible, use those that require very little water or maintenance. Succulents can often be a good choice.

5. Use shrubs, small ornamental trees, and perennials for color instead of flowers. When possible, plan for color in different seasons.

6. Plant ground covers to reduce weeds or eliminate grass areas.

7. Avoid plants that need major pruning or extensive deadheading.

8. Avoid plants that can cause serious allergies and difficulties with tenants.

9. Consult with area nurseries for practical suggestions, or hire a company that knows how to plan and install a low-maintenance landscape.

Planning and installing a low-maintenance landscape requires an up-front monetary investment, but the return on your investment will be positive and long-lasting. Are you interested in learning more about upping your rental property game? Reach out to the Centurion property management team today!

In a perfect world, all tenants would stay for their full lease term, give proper notice as their lease is about to expire, and satisfactorily complete the agreement.

But the reality is that even the best tenants can want or need to be let out of a lease. Although it's not ideal for you as the owner, it is important to take a common-sense approach to the tenant's request because telling them, "too bad, you are obligated to the lease," generally solves nothing.

Find out why. It is critical to ascertain the underlying reason WHY the tenant wants out of the lease. Many scenarios can cause a resident to make this request, from an unexpected job transfer to buying a home, financial difficulties, a divorce, etc. Show them compassion on a personal level.

Check the lease. It is important to have a frank discussion with the tenant on the terms of their lease. This is a contractual agreement, and it is important for residents to understand what this means financially and legally. If they have a clear understanding of their obligations, this can assist both parties in working out a solution.

Avoid confrontation. It is easy for emotions to cloud the issues. The tenant feels they have justification for the termination, and you feel they are legally bound to the contract, but a shouting match about who is right will solve nothing. Instead, set up a road map to resolve the problem.

Take a calm and reasonable approach. There are important steps we take as property managers with the tenant to resolve the situation.

• Although the owner cannot prevent residents from moving, we discuss with the resident that they have an obligation to the lease until we can re-rent the unit. We do this verbally and in writing whenever possible.

• We counsel the tenants on their obligation to continue rental payments until the property is re-leased. If the reason for terminating the agreement is due to financial difficulties, we endeavor to set up a payment resolution. It is also important to review the disposition of the security deposit. Moving out does not absolve them from the terms of the lease.

• We set up an agreement with the tenant that they cooperate with marketing and showing of the property. If they are moving out early, we strive to set up a walkthrough and obtain possession to re-rent the property as quickly as possible.

• We remind the tenant that the property's condition while it is being shown or when they move out is a key factor that can affect both their financial obligations and possibly their credit and rental history.

• We also make clear to the tenant that the property management company, on behalf of the owner, will rent the property and they are not to "sublease" the property according to the terms of their agreement. If they do know of any party that is interested, we ask them to contact us as soon as possible so they can make an application to rent the unit.

There is no "one" answer to a request from a tenant to be let out of their lease agreement. Every situation is different. What is important is to have open communication and, whenever possible, have both sides working toward a peaceful and successful resolution.  This is a great time to have a knowledgeable and professional property manager in your corner.

A rental property is an important part of your financial portfolio, and obviously, maintenance costs will affect your return on investment. Therefore, property owners often wonder, "Why use licensed contractors when you could use non-licensed parties at a lower cost?”

Let's think of this problem in medical terms. You may be able to solve small issues by consulting a pharmacist or a nurse practitioner, but for more significant issues, you want the advice and expertise of a licensed and experienced physician. Likewise, some problems can be easily handled by a handyman, but sometimes you need the expertise of a licensed contractor.

Just as you should seek more than one opinion for a major medical problem, a common-sense approach to property maintenance is to obtain more than one bid for extensive work. It is normal to want to pay the lowest price possible. However, it is essential to compare qualifications, particularly if one bid is much lower than the others.

Oregon Contractor License: What You Need to Know

Non-licensed laborers or companies can generally offer much lower prices because they are not bonded or insured or paying into a contractor's recovery or worker's compensation fund. Many do not meet state and federal requirements regarding their workers and/or employees. They often do not have the capital and experience for the job. Since they do not have a solid financial background, they do not have the resources to pay for damage or additional costs if the job goes awry.

Licensed contractors and/or companies know that it is important to have the proper licensing, insurance, and expertise, and they take responsibility when using other laborers. They understand that underbidding the work can lead to financial disaster and continuing problems. Does a non-qualified party still seem like a good idea?

Another consideration for hiring a licensed contractor is the state or federal government requirements. Most states require licensed contractors for the majority of property repairs. Often state and federal legislation mandate the use of specialized contractors, for example, to work on lead-based paint. It is crucial to your investment to follow state and federal laws and regulations. There have been many penalties issued to property owners for non-compliance.

Using a Licensed Contractor For Your Rental Property: The Bottom Line

The bottom line answer to the question of why you should use a licensed contractor is to avoid liability. Investors have incurred great financial losses by not using a licensed contractor. There have been many lawsuits against property owners because of unlicensed contractors. This is also why there is increased state and federal legislation concerning contractors. The individuals and/or companies working on your property must have the qualifications and insurance and meet the state's requirements for any work performed on your rental property.

As your management company, we cannot contract for work with a non-licensed party if a state or federal agency dictates that a licensed contractor is required or the company is not "accountable." In short, we would not be performing our best management for you and your investment. If you have questions on this important subject, the property management team at Centurion would be happy to help!

As an investor, you want to take advantage of as many tax deductions as possible to increase the return on your investments. Maintenance on your property is a viable tax deduction. However, there is a difference between how you are allowed to use repairs and improvements in your tax returns.

The Internal Revenue Service has defined the difference between repairs and improvements in Pub.527. In general terms:

A repair is what you do to maintain the property. Examples are fixing leaks or faulty electrical, replacing a broken window or lock, cleaning, carpet cleaning, and touch-up painting. During the course of the tax year, you can deduct repairs from your income tax statement.

An improvement adds to the value of your property, prolongs its useful life, or adapts it to new uses. Instead of deducting an improvement during the current tax year, you must capitalize and depreciate it over time. Here are typical examples of improvements.

• Complete flooring or roofing replacement

• Complete replacement of an air-conditioning and/or heating system

• Major remodelings, such as the renovation of a bathroom, kitchen, or other major building projects

• Additions such as a deck, garage, porch, patio, or family room

The size of the expenditure can trigger a closer look by the Internal Revenue Service to determine whether it is a repair or an improvement. This is not a universal rule but simply common sense, making it even more important to justify the cost of the item if you have an audit.

The timing of any maintenance that takes place on a property is also crucial. If you contract any work that takes place before any attempt to rent, consider it an improvement, not a repair. However, the consensus of tax advisers is that if you have the property on the rental market while doing normal repairs, you can deduct them as ordinary maintenance.

The key here is to document that you actively marketed the property while repairs occurred. Otherwise, all repairs before establishing the property as a rental are improvements to capitalize on and depreciate.

A natural disaster may affect the types of expenses you may claim. The same definitions of a repair or replacement still apply, as well as whether you market or continue to rent the property. If you are fixing the property to sell, the use changes.

Keep thorough records of all repairs and/or improvements. Again, the best course of action is to consult a reliable tax consultant. They can also advise you on how long you need to keep the records for any possible audits.

As your property management company, we want to bring this important issue to your attention, but remember that we are not dispensing tax advice. If you need to determine the fine line between a repair and improvement, we urge you to talk to an expert on tax law and investment property.

One of the most critical steps you must take to ensure the success of your rental property is getting the right property insurance.

As your property management company, we cannot advise you specifically on what insurance policy to purchase. This article aims to make you aware of common insurance facts and important questions to ask your provider because failing to understand your coverage could lead to devastating financial loss in the future.

Does My Property Have the Right Insurance for a Rental Property?

This is THE key question to ask. Many people do not realize that a normal homeowner's insurance policy is generally invalid within 30 days after you vacate the property and convert it to a rental property. You should put a different policy in place as soon as possible.

In addition, the best insurance for a rental policy will give you additional coverage, such as loss of rent. The type of insurance for property owners generally falls under the umbrella term "property and casualty insurance."

What Type or Types of Insurance Do I Have On My Rental Property?

You always need building coverage, hazard and fire insurance, and liability insurance. However, there are additional insurances that you can carry, depending on the location of the property, its age, and other extenuating factors. Other insurances to investigate are flood insurance if you are in a flood plain, sewer backup insurance, workers' compensation, terrorism insurance, and loss of income insurance.

Question your agent on your current insurance and what other policies would be appropriate for your investment and worth the cost.

A big key to obtaining the right insurance is to provide your agent with ALL the facts – age of the property, condition, area problems, special use, etc. It is very important to be specific on what "type" of investment property you have (for example, horse property, condominium, single-family, apartment, etc.). Most landlord insurance policies are for 1-4 units; larger units have a different basis for insurance policies.

Are the Outbuildings on My Rental Property Covered?

Most policies generally do not include additional structures unless specified. This is another reason to disclose all the information to your insurance agent and obtain quotes.

Is Loss of Rent Covered?

Covering rental loss under the right circumstances (such as a building fire) is one of the pressing reasons for obtaining a good landlord/rental policy. There is no coverage for tenants giving a standard notice to quit and vacate the premises. However, it may cover vandalism during an eviction or vacancy – but you need to ask. Have your agent discuss in detail the paragraphs in your insurance paperwork that pertain to vacancies/income loss and your actual coverage.

Are Disasters Such as Fire, Tornado, Hurricanes, Tsunami, Flood, and More Covered?

Normally, most natural disasters are not covered. However, the insurance company may determine that many damages are covered. For example, although a flood is not covered, there may be coverage for water damage. Also, a policy normally covers damage from a house fire as long as the property owner has not shown neglect that caused the fire. The insurance company will have a list of criteria for what is or is not covered for extreme conditions under the existing policy. Again, find out the facts and ask questions.

How Can I Reduce the Cost of My Landlord Policy?

Landlord insurance is more expensive than a homeowner's policy, primarily because the property owner does not have any control over a tenant's actions, implying additional risk.

Despite the higher cost, landlord insurance can be made more affordable through discounts for security alarms, especially monitored ones, burglar alarms, deadbolt locks, and fire extinguishers. Ask your agent for recommendations on cost-saving items you can do. Remember, landlord insurance IS worth the cost. Sometimes, increasing your deductible can significantly lower your monthly premium as well.

It is of utmost importance, and it's your responsibility to consult your insurance provider regarding your coverage. It is also part of your contract that you provide our company with proof of insurance.

There are many insurance companies and plans available, and it pays to compare coverage. If your agent cannot spare you the time to answer your questions, seriously think about shopping for another agent and/or company. Review your policies at least once a year, require that your agent provide you with the facts, and take out the best possible policy for your specific investment property to protect your investment.

The last thing you might consider is an Umbrella Policy.  

As the saying goes, "it takes years to build a reputation but just moments to ruin." This statement highlights the importance of having and maintaining excellent service.

Since the value of good service is the term you will come across when you want to promote or purchase a product, this article will explain what good service is and how it brings value.

Service is the way your business attends to its' customers and how it indirectly reflects the value of your business.

When something has value it is important, worthy, or useful. A customer is happier with a product that adds value to their life.

Cost is simply what you pay; value is what you get.

Low cost does not make you the preferred product choice. Research shows that over 60% of people will choose value over cost.

The focus of businesses has shifted from strictly having a solid product to having good service and reflecting the values of your business through that service. Hiring the right people with job-related skills and professionalism to help customers should be a top focus of any business that wants to offer great value.

Value Helps You Retain Your Customers

Customer retention is less expensive than customer acquisition because it is difficult for people to trust new companies or services easily. Once someone trusts you and what you offer, you must keep your service and product excellent. You do not want what makes you the preferred choice to dissipate, which can result in a loss of value and market share.

Good Service Results in Referrals

When you offer value and your customers are happy, they are more likely to tell people about their experience. Think about a time you had a remarkable customer service experience with a company. If that experience was remarkable, you probably discussed it with friends, co-workers, or family.

Good Service Brings More Happy Customers

Referrals simply mean you have more happy customers who are also willing to pass your brand message across to their friends, partners, business partners, and relatives.

To offer excellent service, it is important to be happy and content with what you do. You can only get quality service from someone who is happy and enjoys what they are doing. A happy person makes your customers feel respected and appreciated. This will help them find an intrinsic motivation to come back to you.

In conclusion, nothing beats getting value for what you pay for. There is an old adage that says, "Time, price, and quality… Pick 2!" Regardless of the two you pick, value is what you want.

As a property management company that always wants to add value, one of our goals at Centurion is to continue pushing our limits in what we can offer our clients and customers. It is a tough job as it is never-ending, but when we get to manage such wonderful clients, it makes the job feel easier and certainly more rewarding. With all sincerity – from all of our staff – thank you for your business and the opportunity to serve you. We hope you see the value Centurion brings.

Investors know that a good and wise investment pays off in the long run. But have you considered more specifically the investment that you are making in your kids? If you have ever tried to explain real estate investing or other investment strategies to a young mind, you might see how many challenges there are. Having good resources, a hefty dose of patience, and a long-time horizon is an excellent recipe for success.

In regards to resources, books can help speak to kids at the level they are and lay the groundwork for some bigger conversations down the road. Books also help to act as a starting point or a springboard into questions and offer some much-needed structure to the learning process. Here are a couple of great books to incorporate into your toolbelt or resources in training your children and investing in a bright future:

1. "Investing for Kids – HOW TO SAVE, INVEST AND GROW MONEY”

   Age Range 8-12

   This book by Dylin Redling and Allison Tom is worth the time investment in reading. You will find practical advice with a kid-friendly focus. Schools do not put much focus on teaching these topics, so this book is a great supplement to your teaching resources.

2. "The Kids' Money Book – Earning, Saving, Spending, Investing, Donating”

   Age Range 8+

   This book by Jamie Kyle McGillian is another good option to get your kids learning about investing. You will see a brief history of money, such as bartering, coins to cash, etc. Get your youngster thinking about earning, budgeting, and spending, and dive into some great discussions with some real-world examples.

As a final thought, re-read some of the books you have read that have shaped your outlook on money and investing, and share some of the highlights with your kids. Remember, investing is a journey, and how we learn, think, and grow is a process that takes time but one we need to nurture and develop – especially in kids! We may be a property management company, but we know a thing or two about investing and teaching children about it!

Owning a home is amazing. It is a big part of the American Dream, and as a homeowner, you want to protect that investment. That is where homeowner's insurance comes in. For many people, their home is the biggest purchase they will ever make, and it is the biggest asset they own. It makes sense why you would want to protect it with a robust and solid insurance policy.

As the world recovers from the Covid-19 pandemic and all of the downstream effects of shutdowns continue to be felt, the costs of goods have gone through the roof. Property value and housing markets nationwide continue to see increases year over year. These changes have many people wondering, "Do I have enough insurance?" and "Should I look at changing my policy?”

These are important and relevant questions, and it matters no matter the type of home you have. If you are living in a multi-family home, this is important to know. If you have a condo or a rental property, it is critical to understand if you need more insurance. To properly answer these questions, you must understand what your homeowner's insurance covers and how that is calculated. From there, you can ask the right questions to determine if you need to increase your policy coverage.

What Does my Homeowners Insurance Cover?

Homeowners insurance is a safety net that will reimburse you the cost of your home in the event it is destroyed or made inhabitable. There are other benefits, like liability and theft or damage coverage, but the primary purpose is to protect you against the destruction of your home.

However, not all insurance policies are created equal! There are a few different ways that the value of your home can be calculated. According to Investopedia, there are three main types of coverage for home insurance.

1. Replacement Cost

   Replacement cost is determined by the value of your home and all of the belongings inside of it without taking into consideration depreciation. This is meant to give you coverage that would provide you with enough money to replace the home you have with the same or a very similar home with similar belongings. This is the most common type of home insurance.

2. Actual Cash Value

   Actual cash value is coverage that calculates the value of your home and its belongings based on their purchase price and factoring in depreciation on everything. These policies are cheaper to purchase, but they will result in a lesser amount of coverage in the case of a disaster because of the inclusion of depreciation.

3. Extended Replacement Cost

   Extended replacement cost is the most comprehensive and thorough of the different types of home insurance because it insures you for the replacement of your home as it was, regardless of the costs to rebuild it. That means you can get your home rebuilt exactly as it was, even if the costs to do so equal more than the home's value. This type of insurance is the costliest but provides the most protection.

Do I Need to Increase My Insurance if My Property Value Goes Up?

Having an investment appreciated in value is always a good thing. That is why real estate is often touted as one of the best investments you can make. As a homeowner, it may be difficult to know when it makes sense to increase your insurance coverage, particularly if your property has gained significant value. Do you need to adjust your home insurance based on the value of your home?

Not necessarily. Your home insurance covers the replacement cost of your home and does not consider its "value" as it increases with real estate trends. If it costs you $300,000 to build your home, even if the value of that property increases 5x, the replacement cost of that home most likely will not increase 5x.

What Would Cause Me to Need to Increase My Insurance?

Since it is the replacement value of your home and not the property value that determines the amount you should be covered for, the most important aspect to consider when evaluating your insurance is the cost of rebuilding your home.

Due to labor shortages, supply chain issues, and other factors, the cost of replacing your home may have drastically changed in the last few years. The cost of raw materials for buildings alone has increased significantly. Also, the lack of workforce and skilled tradesmen has made the demand for homebuilders higher than the supply.

This is the crux of the question. In some areas, the cost of replacement may not have changed significantly. In others, it could have increased by as much as 20% or more. To understand what this means for you, you can talk to a local builder and ask about the replacement cost of a home like yours by the square foot and determine if your insurance is adequate. Make sure to include any additions or unique and expensive add-ons or belongings in your home, as that could drastically affect the replacement cost.

Check with Your Insurance Provider to Determine Your Coverage Needs

To ensure you are adequately covered, check with your insurance provider to determine your coverage needs. Protecting your assets is essential, and having the right amount of insurance coverage is a critical part of that protection. Feel free to contact the property management team at Centurion if you have any additional questions!

If you have plans to sell your investment property, you can get the best deal by planning ahead. We generally recommend 1 to 2 years to our clients in order to build a great financial picture of the property and to get the property into the best condition possible for sale to maximize investor returns. The state of the property needs to be assessed and cleaned up (that is, ensure the "curb appeal" or the external visual appearance is top-notch). Before you think of selling your investment property, it is essential to determine the work to be done so that we can determine the best selling price. 

For the purpose of this article, we will be looking at what should be done for a single-family investment property and a multi-family investment property.

Key Factors to Consider Before Selling Your Investment Property

Assess the State of the House

The first and most crucial step is the assessment. Full internal and external inspection (not just visual inspection) should be done by a licensed home inspector to give the accurate state of the house. The buyer will ask you to repair or give repair credit for any significant repair items. Taking preemptive measures can address these issues on your own terms and create better leverage in the sales process. A home inspection ascertains that your house is a solid investment and points out the areas that might need to be addressed.

Assess the Need for Repairs

After the inspection, you will get an inspection report. Ensure you address every big issue in the report to command a higher selling price.

On the contrary, you can also decide not to make repairs and sell the house "as-is." This will not command the highest price, but you have less work on the property.

Clean the House

The interior and exterior of the property need to look great. Clean properties sell faster and for more money than untidy properties.

Coordinate With Your Tenants

Your tenants need to be on the same page as you if you are selling a rental. It will be more challenging if you have a contentious relationship with them because you might have to wait till their lease expires before you can sell the property.

If you have a good relationship with your tenants, explain why you are selling the house and ask them when they will be available so you can show the property to potential buyers.

Look for a Great Real Estate Agent

Find a great agent that is professional and experienced at selling the type of property you want to sell. Your property management company can be a great asset in this process, and if they are licensed agents as well can be a great option to hire as your sales agent. Many times, they can give you a better rate and even help to cut down on some additional transaction costs.

• Take excellent pictures that convey the true home and highlight the best features

• Gather documents

• Have your agent run a comparative market analysis to determine the best-selling range for your property

Gather every document pertaining to the property (repair receipt, rent records, tenant rental agreements, warranties, and security deposits).

What Should Be Done for a Multi-family Investment Property?

The major difference between selling a single home and a multi-family is the complexity of selling the latter. One of the primary reasons for its complexity is that it involves more people, perhaps commercial lending options and an overall larger scope, and the price is based on the market cap rate.

Additionally, certain rules and regulations need to be followed to avoid any issues.

Review Occupancy, Leases, and Tenancy Rights

This is the first and most important step before listing the multi-family. There are frequently asked questions you will need to answer during the sale. Below are some of the questions:

• How much is the rent amount for each unit?

• Are any of the rents subsidized?

• What is the term of any/ all leases?

• What does the rent of each unit cover?

Get the Property Prepared

Preparation is essential when selling an investment property. Investors/ buyers always look out for well-maintained properties. Here are some of the areas you need to prepare:

• The curb-appeal

• The common areas

• Parking areas

• Garbage and Recycling Areas

With proper planning, you can tackle several of the projects well in advance and even help reduce ongoing expenses while ensuring your rents are at or near the market rate. By presenting a solid financial track record to prospective buyers with a great history of two years' income and expenses and showcasing a beautiful property that you have already dealt with headaches and repairs – you will be able to command top dollar in your rental market.

The bottom line: ensure the multi-family is prepared for the market.

• Hire an experienced agent (Again, your property manager could be the best option to help you prepare and sell your property).

Get the Required Documents Ready

Gather all important documents pertaining to the multi-family (financial documents, warranties, current leases, etc.)

Selling an investment property can be overwhelming, but preparation and understanding what should be done will make it easier.

Most of all, having real estate professionals like Centurion in your corner is a must.

Security deposit accounting is one of the more disputed aspects of property management. Landlords and tenants often get it wrong due to little or no understanding of the true concept of the security deposit. 

This is an in-depth look at what security deposit accounting is all about and essential tips that will guide landlords and tenants in this area.

What Is a Security Deposit?

A security deposit is money a tenant gives to the landlord of a rental property as proof of the intent to remain in the house, move in, and care for the unit. The security deposit is refundable. The purpose of the security deposit is to serve as a measure of security to the recipient and can be used to pay for property damage or loss.

How Does a Security Deposit Work?

A new tenant pays an amount of money before taking possession of the property. This amount is determined by the market, tenant credit, rental history, and the results of their background check and screening results. Typically, the security deposit amount starts at around one month's rent. The money serves as security and something to bank on if there are repairs and replacements needed when they are caused by the renter, as assessed after the tenant vacates.

For example, if a renter breaks a window or damages an infrastructure, the landlord will channel the money towards repairing the damaged infrastructure or property when the renter moves out. On the other hand, if the renter moves out without causing any damage to the property, the security deposit will be refunded.

Important things to note:

• A security deposit serves as money to fix and replace any damaged, lost, or stolen things in the rental unit.

• Upon the renter's departure, there is a need to refund the security deposit if the renter leaves the property in reasonably good condition (Like they received it minus normal wear and tear).

• Payment of the security deposits should be made before moving into the property and returned within 31 days after vacating with an account of any charges made against the security deposit.

What Is the Requirement for a Security Deposit?

The typical amount a renter pays for a security deposit is about a month's rent. Although we recommend not having it be the same exact amount as rent, there are times when the security deposit can be higher, such as the tenant has a low credit score or if the rental rate increases, the security deposit escrowed might not be sufficient.

Security deposits are not taxable income, and most local laws treat security deposits as trust funds.

Note: If there will be reasons to use the security deposit as final rent, it must be claimed as advance rent and are taxable when paid.

Security Deposit Special Considerations

Some states allow the landlord to apply the security deposit as rent from tenants who cannot pay or use the security deposit for the repair of the damage that the tenant has caused.

The state law of different states determines if the security deposit can be used for payment of monthly rent when the rent of the property comes to an end. Some states have laws because there might be a difference between the final month's rent and a security deposit (this means they need to be accounted for separately). The landlord might require written approval from the renter to use the security deposit for final rent.

Some cities and neighborhoods have a landlord that charges higher security deposits which can affect low-income earners to find houses in those areas. There might be the enactment of local legislation that will limit how large a security deposit may be about the amount charged for renting the property.

The landlord is obligated to account for any deposit made by the tenant within 31 days before the termination of tenancy.

Things to Note:

When the landlord regains possession of the property, they must complete a security deposit disposition statement covering security deposit accounting and refunds. The refund, total owed, and security deposit information should be placed in first-class mail and sent to the tenant within 31 days of transferring possession of the property. According to the law, documents must be mailed no more than 31 days after the tenant has moved out. The landlord can get proof of mailing.

Any deposit that is labeled security deposit can serve as a remediation fee for any payments, which can include: unpaid rent, noncompliance fees, utility bills, late fees, damage to the premises (damage does not include normal wear and tear), carpet cleaning, and cleaning fees.

Any deposit made that is labeled as last month's deposit, such as pet deposit, key deposit, carpet cleaning cost, last month's rent deposit, etc., must be used for that purpose. If there is an unused amount, the landlord must return the money to the tenant immediately, even if the tenant owes money for something else.

Damages, depreciation, and normal wear and tear tend to cause great conflict when the tenancy is coming to an end.

• Damages can be holes in the walls, gouges or scratches on counters or flooring, urine damage to the floor and subfloor, unauthorized painting, etc.

• Remember to keep depreciation in mind by thinking about the age and lifespan of the damaged item.

• The length of tenancy determines normal wear and tear. A tenancy of eight years is allowed more wear and tear than a tenancy of two years.

• Mold, filth, neglect, and waste are not normal wear and tear.

Charging for Time, Labor, and Unrepaired Damage

Any damage caused by the tenant is not the landlord's responsibility and can be charged against the security deposit. The labor cost assessed by the landlord under cleaning and repairs is generally at an hourly rate. Also, the law states that you do not have to repair an item to charge for it.

How Is the Charge for Carpet Cleaning Done?

Here are the reasons provided by statute for charging for carpet cleaning:

• Carpets were cleaned or replaced after the previous tenant vacated and before the new tenant took possession of the property.

• There is a written legal agreement that the landlord may deduct carpet cleaning costs regardless of whether the tenant cleans the carpet before delivering the possession.

• The carpet is cleaned by the landlord, who uses a machine specifically designed for carpet cleaning and shampooing.

Charging for Loss of Use:

The landlord can also charge daily rent for loss-of-use of the property during cleaning or repair performance, for which the tenant is responsible as long as the repairs and cleaning are done in a timely fashion.

How is daily rent calculated?

The standard calculation of the daily rent of a property is the monthly rent divided by thirty. You can calculate other monthly rent by dividing the monthly rent by the number of days in the specific month or the monthly rent multiplied by twelve divided by 365. Whatever method you choose - you must be consistent.

Whose name is on the refund check?

Everyone involved in the rental agreement at the time of termination or the "last man standing." If the landlord does not release the tenant or other parties involved and the tenant moves out on the lease, their names are entitled to be on any refund, but they remain liable for the damages.

In naming parties to a refund check, ensure each person is named. Make sure to use the word "and" to indicate the last-named party, which is to provide every party involved gets their refund. Any tenant could cash the check if the word "or" is used. However, if all the tenants cannot be together to cash out the check, the landlord may issue the check in the name of one or two tenants with the written permission of all others. If permission is denied even by one person, the landlord may not do this and can be liable to refund other tenants.

What can be done in cases of incomplete accounting?

It sometimes occurs that the landlord does not finish the work on the property before the deadline for mailing the accounting. There might be a need to send incomplete accounting to inform the tenant about the charges to that point and state clearly that there will be a finalized accounting in the future.

What happens if the tenant fails to provide a forwarding address?

Send the accounting copies to their property address or any other address on the file, such as the emergency contact address or work address. Best practice is just to mail it to their last known address, which is the residence they just vacated.

The Millennial entrepreneur boom is also sparking a generation of entrepreneurial children. Kids today have more resources than their parents did when it comes to learning about business, and many have already dipped their toes into the money-making world.

One area that deserves some attention is real estate for kids. Granted, kids can't apply for mortgages or sign real estate contracts just yet. But they're at a prime age for learning how the real estate industry works so they can start filling their piggy banks for a down payment and potentially set themselves up for a lucrative life.

To show your kids the possibilities, we recommend these four money and real estate books for kids.

1. Investing for Kids: How to Save, Invest, and Grow Money

   Age Range: 8-12 years

   The sooner kids understand the concept of money, the sooner they can start making financial decisions of their own. The book Investing for Kids by Dylin Redling provides young readers with a solid foundation they can build on. They'll learn key financial terms in a language they understand and specific action steps on how to create a savings strategy and put money in the bank.

2. Rock, Brock, and the Savings Shock

   Age Range: Preschool to Grade 3

   Kids with foundational knowledge about how money works can level up their intel with this lesson in investment growth. The book Rock, Brock, and the Savings Shock by Sheila Blair follows two twins who are each given the same allowance, with a catch: their grandpa will match their savings, but only if they don't spend any of it. Rock and Brock must decide whether to spend or save their money, and the outcome paints a clear picture for kids.

3. How to Turn $100 into $1,000,000!

   Age Range: Grades 4-8

   A penny saved is a penny earned. But if you want to turn one penny into lots of pennies, you need to invest. That's the lesson in How to Turn $100 into $1,000,000: Earn, Save, Invest! by James McKenna, Jeannine Glista, and Matt Fontaine. The numbers sound fantastic, but this is exactly what real estate investors are doing every day. It's an excellent book to showcase the real potential of investing, as well as help kids build resilience if their first attempt at making money fails.

4. Riley the Real Estate Investor

   Age Range: K through Grade 3

   When it comes to making money with real estate investing, kids not only need to learn how money works but also how the real estate industry operates. This book, Riley the Real Estate Investor by P.E. Barnes, is written from a real estate investor's point of view. It shares industry information about house-flipping and other basic principles on how to make money with real estate. Maybe after reading this, your child will be interested in property management!

You're never too young to learn the value of a dollar — or how to turn one dollar into many.

Want to do your kids a financial favor? It's time to add real estate investing to your duties as a parent.

When you become a parent, your first goals are simply to invest in your child's health and well-being. You feed and clean them. You help them fall in love with the right foods. And later, you teach them to be kind to others and the world around them.

As your child grows, so will your role as a parent. Eventually, you will need to show your children how to be functioning members of society and make a living for themselves. And it's never too early to start learning the value of a dollar. Here's why you should share the journey of real estate investing with your kids:

Real Estate Investing Holds Big Career Potential

Many people choose to invest in real estate as a way to earn extra income. Others make it their entire career. In either case, real estate investing holds a lot of potential.

Real estate is one of the top ways to build wealth. Most notably, it's one method to generate passive or mostly-passive income. Generating wealth at an early age sets a strong foundation for the rest of your child's life and can help them provide financial security for their own families.

As a teacher and parent, showing your children about real estate investing allows them to help themselves when they're ready. You're supplying them with the knowledge and tools they need to make sound investment decisions and showing them the ins and outs of how real estate builds wealth. A high-paying "regular job" can achieve financial goals, too, but with real estate investing, the potential lies in their own hands.

Apply Real Estate Investing to Other Major Money Choices

What your children learn in real estate investing can be applied to other types of investing. They'll learn about risk and ROI and how to spot a good deal when they see one.

Once they understand the value of money and how it grows (or shrinks, in some cases), they can use this knowledge to invest beyond real estate.

Be the Family that Invests Together

If you're into real estate investing yourself, including your child in your deals can help them learn more and learn faster. They can soak up how you conduct conversations and how you make new connections, even if they're not actively participating. And later, as they age, you can start delegating tasks that give them hands-on learning. They become ingrained in the industry and learn through first-hand experiences, not anecdotes and textbooks.

One of the greatest gifts you can give your child as a parent is to help them set themselves up for a prosperous life early on in adulthood. The cost of living continues to rise, and young adults are in more debt than ever. When they can start life on the right foot, they can stress less and enjoy more of what life has to offer.

For more tips on young real estate investing, reach out to the property management team at Centurion!

So, how can we get our kids interested in real estate investing? Let's break it down by age group.

Elementary School-Aged Kids

When introducing the idea of investing in real estate to your young child, the key is to keep it simple and fun. You could start by showing them how to invest their allowance instead of spending it all on toys. Show them how an investment today means more toys in the future.

As your kids get older, you can introduce them to games related to real estate investing. The obvious choice is the classic real estate investing game, Monopoly. Your kids will learn the importance of having cash on hand and the importance of choosing properties with positive cash flow.

You could also find lessons in games your kids are already playing. One example is Fortnite. This game has many moving parts and receives a lot of criticism, but if you do it right, this can be an excellent way to teach your kid about budgeting. The game requires what's called V-bucks to buy different items, and they cost real dollars.

This may not be the same as investing in real estate, but only allowing your child a set amount of money will show them the basics of managing money. This will become a helpful skill when they are older and ready to make real investments.

Teenagers

Once your kids reach an age where they have more of an understanding of money, it is time to do some hands-on work and put together a plan. You should introduce them to different types of real estate investment strategies. Do they want to buy and hold? Do they think owning a short-term vacation rental looks like something they'd be good at? Or maybe they prefer something more passive, like investing in a REIT.

Taking your kids to real estate investing seminars in your area is another must-do activity. Your teenager could hear first-hand success stories from real estate investors and possibly meet people who could act as mentors as they get their foot in the door.

Bottom Line

Introducing your kids to real estate investment at a young age is a great way to set them up for future success. Even if they do not want real estate to be their primary occupation, it is smart to show them how to get into their first investment property at a young age to reap the benefits as they grow older. If they do it right, the cash flow from a rental property or two could cover a lot of their college tuition costs should they go that route. If you're interested in further exploring this, feel free to reach out to the property management team at Centurion; we are here to help!

How much do property managers charge? This is the number one question I get from investors who call inquiring about management services. It's not a straightforward answer, and today we're talking about why. 

Property Management Fees and Costs

Asking how much we charge is like walking onto a car lot and asking how much a car costs. You need to know what vehicle you want and what options you'll need in the vehicle.

We consider between 17 and 20 different criteria in evaluating how much it will take to manage your property. These are the cost drivers, like the location of the property, proximity to our office, the number of units, and the rent being charged. All of those things and many other factors affect setting the management price. We must also consider the resources needed to manage a property and drive revenue effectively.

Salem Property Management Costs

Some management companies go with a flat rate or a per-door rate; sometimes, that fee is charged regardless of whether a property is occupied. Others will charge a percentage of the incoming rent. If you do a simple Google search, you'll see that the national average for management fees is 8 to 12 percent. That usually holds true, but on larger properties, it may be a little less depending on things like price and location.

With property management fees, those who charge a percentage of gross receipts may include all their services in that cost, or you'll have to pay additional for some of the one-time expenses like evictions. Sometimes, an all-inclusive rate is the best way to go, and sometimes using services only as needed is more cost-effective. It depends on you and your property. However, shopping around with these factors is essential when evaluating property management companies.

Management Company Reputation

The other thing to consider is the company's reputation and the services they provide. There are a lot of smaller companies that can offer low fees because they have low overhead. But, they don't necessarily have the resources to manage effectively, so they don't drive a lot of results. You may be paying less in management fees, but you'll face higher vacancies and poor tenant screening.

At Centurion, we don't aim to be the cheapest. We want to be the best. Driving results is the most important part of what we do. We want to take care of our owners. We know this is one of your most valuable assets, and we want to provide cash flow in the short term and drive appreciation in the long term.

Enjoy life and leave the management to us. If you have any questions about property management fees and costs, please get in touch with us at Centurion Real Estate Management. Happy investing!

Bottom Line: It is not what you pay but what you get.  As a real estate investor you should be focused on the not just the cost but the service and value and ultimate results that are provided.

Besides having a great mentor that taught me everything I know about Real Estate Investing, reading many books on the subject has been invaluable. Below are a handful of books I have read personally and deem worthy of investing valuable time to read. Even if you are not a big reader, many books can be found in an audio format on such sites as Audible.com (my favorite) and many other sites. Audiobooks are also a great way to consume more content in a shorter period – especially if you drive a lot.

One quick warning, though:  If you do not put into action the things that you read you will not grow as an investor.

Enjoy and Happy Investing!!!

• Rich Dad Poor Dad - by Robert Kiyosaki

• How to be a Billionaire: Proven Strategies from the Titans of Wealth – by Martin S. Fridson

• The ABCs of Real Estate Investing – Ken McElroy

• Cash Flow Quadrant – by Robert Kiyosaki

• The Millionaire Real Estate Investor – by Gary Keller

• Trump Strategies for Real Estate – Billionaire Lessons for the Small Investor – George H. Ross

• Multi-Family Millions – by David Lindahl

• Buy it, Rent it, Profit – by Bryan M. Chavis

• Investing in Apartment Buildings – by Matthew A. Martinez

Other great books (indirectly related to Real Estate Investing):

• Basic Economics – by Thomas Sowell

• The 21 Irrefutable Laws of Leadership – by John C. Maxwell

• The Richest Man in Babylon

• The Total Money Makeover – by Dave Ramsey

  Interested in learning more about real estate investing and property management? Connect with the team at Centurion!

Worried about bugs in your rental properties? Contact the Centurion property management team today to get professional help!

This episode of Landlording for Life is brought to you by our good friends at audiblebooks.com. Get a free audio book download and 30-day free trial at www.audibletrial.com/landlordingforlife with over 180,000 titles to choose from for your iPhone, Android, Kindle, or MP3 player. You'll find the perfect real estate investment book for you. Now on with this week's podcast.

Podcast Transcript:

This is the Landlording for Life Podcast where landlords explore their success and stories of failure while building a foundation to improve upon. Here's your host; Sean Morrissey.

Sean: Hey, everybody welcome to the Landlording for Life Podcast for this week. This is your host Sean Morrissey and as always thanks so much for tuning in. Now today, we have on the line with us a gentleman by the name of Mendell Gosnell out of Salem, Oregon. Now Mendell I would say is an all-around entrepreneur. But he has a particular special focus in real estate in that he has his own real estate brokerage and property management firm.

I had a chance to meet him a few weeks ago and thought he'd be a great candidate to be on the podcast. So with that in mind, Mendell's going be on today just really providing tips for landlords from a property manager’s perspective. So Mendell, welcome to the podcast.

Mendell: Hey Sean, thanks for having me.

Sean: You betcha. Thanks again for being on. So wanted to have you tell our listeners a little bit about your background. Perhaps how you got into the arena of real estate over the course of time.

Mendell: Yeah I'd love to. So it’s kind of an interesting story. I think I call it fate or destiny. I happened to have the right landlord in college. And I think it was a little bit luck and a little bit hard work on my side. But as it happened, we were living in college in a house with about seven other guys; pretty typical I’d imagine. And everyone moved out the end of the year and it was kind of incumbent on me to turn in the keys to the landlord. And I felt a little bit like, “Man, the guys left a lot of junk here. They didn't leave in very good shape.” And I kind of felt bad giving the keys back to the landlord. And so, when I dropped off the keys with him I said, “Hey you know, I feel really bad. I want to offer my services to help clean this place up and make it right with you.”

And I think he was a little taken back. He invited me into his house and said, “Hey, I'll pay you to help me. I'm going to be getting that place ready to sell.” And so, he offered to pay me and kind of began the journey into real estate and for about three months, I worked with him. He taught me a lot about real estate and the trades and he wanted to continue that. But our paths kind of went in different directions for several years but crossed again. And I looked him up and sure enough he made good on his word of taking me under his wing and teaching me about real estate. And so, I showed up and he put a shovel in my hand so to speak actually, and literally and kind of began the process of learning about real estate or as they say working to learn instead of working to earn. And so that's the story of how I got into real estate.

Sean: Wow! So you kind of walked into a situation in which you actually were really provided a mentor per say.

Mendell: Yes, so I mean very fortunate. He is just an amazing guy, very successful in real estate, and just a wealth of information and was connected to a lot of other people in the industry. And just really opened up his life to me so that I could get a start in there. I eventually got my broker’s license. His wife was a licensed agent. And so she became my principal broker and I started off on the selling side as an agent. But I quickly just really got drawn to the property management side of things.

And I would definitely attribute a little bit to my work ethic. I mean I worked really hard for him and he saw that and it was obviously valuable for him to put me to work but it was also really valuable for me to gain a really up close look at real estate from a lot of different perspectives. So yeah, very fortunate and as they say “it's amazing how lucky hardworking people are”. And so I think work hard, be ready, and wait for luck to strike.

Sean: All right, you mentioned that you're kind of drawn to property management. And I tend to feel the word on the street is no oh my goodness I don't want to be a landlord, I got to deal with tenants or from a property management perspective really the same thing. Why do you think you were drawn to property management? What kind of opportunity did you see there?

Mendell: Yeah that's a good question and so for me… I mean no doubt when I got my first commission check, it was definitely the biggest check that I had ever gotten at that time you know I was young 20s and here I got a check for six grand and change. And I'm looking at this check and I'm calculating in my head going wait a second there's got to be a mistake. I'm thinking of myself. I'm like kind of like getting anxious here. I'm thinking, “Oh, oh this is got to be a mistake. Something's wrong here.” And I'm calculating in my head about how many hours I've worked on this deal and I'm thinking it can't be more than ten hours. But so it’s good money.

But I kind of look at it as the quality of life is what really attracted me to the property management side of things. I just felt like I was able to manage a little bit of property for my mentor at that time and I was really attracted to the system side of things. And then also I wasn't very attracted to working weekends and evenings which if you're an agent especially on the residential sales and being a buyer's agent stuff, you're going to be working a lot of weekends and evenings and I knew the quality of life that I wanted to have is I wanted to have a little bit more flexibility with my time. I didn't want to be working weekends and evenings at least not forever.

Although I worked a ton of weekends and evenings for the first three years as the property manager. But my mentor really forced me to ask a lot of tough questions because before I went into real estate, I was pursuing a career in law enforcement and he had a lot of buddies that are in law enforcement and he set me down and said, “Well what do you want in life” and he forced me to answer these tough questions and he began to really show me that what I wanted or what I said I was wanting wouldn't really get fulfilled with what I was pursuing. And so I think just self-evaluation and asking those tough questions and seeing myself more on the property management side if that makes sense.

Sean: All right, I totally does and being somebody who's experienced both the residential real estate broker side and the property management side and looking at the big picture. I think what you stated, you hit the nail on the head right. Like real estate brokerage activities look like they're easy money but at the end of the day, you're sacrificing lifestyle for that.

And with property management comes systems that ideally you know evolve into (and assuming that you can manage those correctly), it becomes a fairly passive activity or not that fully passive. But you know it's all relative to how clients you bring on in the systems you get in place. So yeah well stated. Now how did you eventually evolve in owning your own real estate brokerage and then forming your own real estate team from there?

Mendell: So I cut my teeth working for slave wages in the beginning. But I was so glad to do it, so glad to get the opportunity to manage some of the rental property for my mentor again. And then he encouraged me to get my property management license. I had my broker's license and I gave that up so I didn't have to have a principal over me and I just got my property manager’s license and I began to take on additional clients. So some of like his friends or he would sell a deal and I would pick up the management. And it just began to grow organically with word of mouth and advertising it in the streets and just put my name out there. And then as I say overnight success it takes about ten years and about a decade and a half.

And so again, I think I mentioned the first three years were pretty difficult. That was probably the biggest shift that I went through in my life of moving from an employee to an employer. It was brutal. I mean it was a lot of hard work and it was a lot of days. I mean almost every day I got up and I was just like what I do today? I mean I don't have anybody telling me what to do and I'm like okay I guess I just answer the phone, respond to emails. And a lot of days they were challenging and I was like I just don't know if I want to do this. And so having pressed it I would never want to go back. I mean I wanted to do it but it was a difficult challenge but and then I love the quote that Tony Robin says: He says that a lot of people overestimate what they can do in a year but they underestimate what they can do in ten years”. And now with the ability to add hindsight and look back in to see like all the hard work. It was just one step at a time and like I like to share with a lot of people and I don't feel like I had any home or I just feel like it was a lot of tiny victories day after day and implementing a lot of great wisdom that I gained from my mentor and others things like do something every day, do a little bit every day and just make sure that you're focused and being able to say no to a lot of distractions and also reading a ton.

I am very fortunate to have developed a love for reading from a young age and I think that's helped me a lot to gain a lot of good insight by reading. Associating with the right people and then writing down my goals. I think those are the things that really helped grow this process from just incubation to morphing into a brokerage company. It's like for me at least it was just a very slow process of starting one step after another. And my mentor early on said he thought I was like a wild mustang. You know just going in every direction and not getting anywhere very fast you know and he said Mendell if you focus in one direction, you can do whatever you want. And so he said, “I think you should focus on real estate and here's why.” And he convinced me into seeing real estate as a great vehicle for... Well not only wealth creation but lifestyle creation. Like just decide what you want out of life and being able to build that and have the resources to do it and create options for yourself and flexibility and so that’s the long answer to the question but.

Sean: No that's fine and it's funny the more we chat here, the more I'm like boy this mentor of yours is unbelievable.

Mendell: yeah

Sean: Like he’s one of those where I think many of the listeners will say boy when I was in my 20s I could have used a guy like that by my side. So very blessed for sure. Now what about the real estate investment side? How did that evolve over time?

Mendell: The real estate investment, so that's another strike and it comes back to my mentor. I was renting a house at the time and I was reading all the books and trying to figure out how to buy my first investment and here comes my mentor Jeff and he comes… You know we're having this conversation. I remember very vividly he said… in our kitchen he looks up at the white board and there's the name of our landlord and his phone number for paying rent and stuff you need to call the landlord. And I'm just complaining how I can't find any deals. He's like well why don’t you buy this place. And I'm like it's not for sale and whatever he says is this or the landlord and the owner and I'm like yeah that's him.

And so he literally pulled out his phone right there, calls the guy, asked if he wants to sell the place, sets up a meeting for the following week and it turns out that he does want to sell… he helps me negotiate a lease option whereby I tie up the property and one year later, I essentially buy it and sell it in the same day and make pretty decent profit and was what around 27,000 dollars which you know amazing. And so that kind of was my first deal and it just began. I was able to use the lessons that I learned and apply them in real world scenarios by finding properties and getting good financing and leveraging and managing them well and just growing it slowly one door after another.

Sean: Oh I hear you and you know what I tend to find from a property managers perspective is as you hone your property management systems, you're in essence using them for your own buy and hold investment inventory which the right hands help the left hand out in that case which is a beautiful thing.

Mendell: yeah

Sean: So moving right along. So many of our listeners are landlords that are just starting out, might have a few properties. What pointers might you provide them to assist them in scaling their business over time. Be it their real estate investment portfolio.

Mendell: Yes, so yeah that's great. So I think if I'm hearing the question correctly, how to help beginning landlords? Is it for like property managers or is it people that are managing…

Sean: Let’s just say…

Mendell: … some portfolio?

Sean: Yeah just managing their own portfolio. They may own two or three properties as they'd like to be at ten properties in five years. What advice might you give to get to that point?

Mendell: Yeah for me, I come back to starting with why. Like that was something I learned early on and I applied it and I actually I wrote down my goals. I wrote down kind of like what I called my exit strategy and just wanted to essentially create a roadmap in advance. And like if I want to put in all this hard work, I want to know now what the goal line is or what am I trying to accomplish. And you hear these people who have achieved a lot of talk about understanding your why. Like what is going to motivate you. Like what's going to get you up early, what is going to help you push through the difficulties. And so that I think it's so simple but yet, people don't take the time to sit down and put pen to paper and do it, really ask themselves and like they say go six or seven levels deep.

Like so why are you doing this? And then you answer the question and then you ask why and then you answer the question again and then you ask why. And you begin to get to this place where at the core with the real reason, the real driving motivator. I think that's super important. So I think that that would be probably my big takeaway. Like if there is somebody starting out and wants to accomplish like lookout, would write down like and if I can't overstate enough. Like really write it down, physically write it down. I know that people use technology now so put in the cloud; Google Docs, whatever. But definitely, get it out of your brain and on to some sort of paper or in the cloud writing it down super, super huge.

Sean: Well and it seems too like having that posted where in a location where you are every day. Be your office or by the kitchen coffee maker or something where it alternately is in your face all the time and it's embedded in you seems important as well, right?

Mendell: Yeah, totally and then I'll add a couple things. I think we talked a little bit… you mentioned systems with property management. And so even if you're a do-it-yourself landlord developing systems because here's one thing that I always come back to like from being a property manager is like I see one of them. The number one reason people say they get into investment real estate is have an income or quality of life. It's something around that.

Sean: yeah

Mendell: However, if you continue to manage the property or sell and you don't have good systems and or good people that run those systems, you’re just changing your career. You're just getting a new job. And so whether you're outsourcing it to a professional partner managing it or you're creating good systems to do it yourself so that you can free up that time it's kind of negating a lot of the reason why you know people get drawn into real estate which there's passive income.

This lifestyle is freedom that people talk about. And I think it again just really getting that long game mentality of okay it's going to take a while. The more I apply myself in a focused direction, the quicker I'm going to get there and preparing yourself for failure having thick skin and just being ready to persevere. I think those are really important to be top of mind as you're pressing on towards the goal.

Sean: Yeah, yeah well said, well said. So I'll tell you what, I'm going to move on to our next question here and I'm going to ask you to put your property manager hat on here rather than the investor hat. So from a property manager perspective, what tips might you provide landlords that are screening at tenants? Is there a particular website that your office likes to use? Do you like to take the application a little deeper than most I suppose or what tips might you have?

Mendell: Sure, well the interesting thing about property management is you really have two kinds of customers. You've have the clients; the owners of the property, and then you have your tenant. And I think in property management, the tenants really get relegated to kind of like the stepchild. They don't get the attention that they should and I really think that you… whether your landlord has one rental or you’re a big property management company or you’re a big investor that's got a bunch of rentals. You know having a strong customer attention you know, customers service towards the tenants first and foremost and so that comes into play when you begin to screen them. Having a good interaction with them so that if you have a good tenant there, they're going to want to continue to rent with you.

So I think that's like first thing first. But then when it comes to continuing that screening process, there's certainly something you can do and we really recommend having good forms and you can use your own. But we think that using the best forms… and each states a little bit different but we use some out of Portland. They're just great. They're vetted by a team of lawyers. They stay up to date. They’re legal and then we have internal policies as far as how we screen and we just train on those. We do those the same so that we're avoiding any liability any issues, any discrimination type issues.

And then there are several agencies out there and you can go to a website and get information. But unless you're an actual company and get audited and get screened and are allowed to get like some of that… the background information on those tenants. You know that's one of the things that a property management company is really going to shine with. This is I'm going to get information on a tenant that anybody off the streets is going to be able to get.

There certainly a site that you can put their information and they kind of like give you a rating. But they're not gone give you the granular detail unless you can show that you have an office that’s separate from your house and then are established there you know so and then they come out. And they make sure that you have… that you're a legitimate business that you've got safeguards in place filing cabinets and stuff. So I think that that's what I’ll probably say in regards to screening, but yeah.

Sean: Yeah no that's perfect. And it's funny because the more I listen to others talk about this topic, the more the words that are emphasized or be consistent, right. I mean know your fair housing laws but be consistent applicant to applicant. And I think so long as landlords use that as a foundation, it will take them far. And then have procedures in place actually written down if you were to be audited by HUD. But at the end of the day, it's the consistency portion. So other than that, staying on the whole documents side of things. I guess when there comes to like provisions in a lease that you like to see as a property manager which are some of those that you might see as being fairly effective but you know maybe a little bit creative in this day and age.

Mendell: So it's so funny when I first started looking back. I'd be happy to get… If we took over management on a property, I'd be happy to see a lease that was legible. But like for us here in Oregon, we use a third-party provider called Tenant Tech. They integrate with Metro multifamily housing forms and they just do an incredible job. And so they take care of just keeping you legal and up to date. I think that when you're talking about documentation again consistency or if you're talking about leases, you want to have the most up to date forms.

And now with everything being in the cloud it's great because you can do e-signings. Well there's so many millennials out there being able to send that information via their e-mail. They can sign, it comes back. It's all digitized. There's no question about if the box checked or not. There's no question about being able to read their handwriting. So I think that when it comes to leases, those are the things are great. It's standardized as you can get safe and this society that we live in is so legalized that anything that you can do to add that additional buffer layer protection you know it's worth the money.

Sean: Yeah, yeah for sure, for sure. Okay so from a property manager perspective, how often do you think a rental property should be inspected? Some landlords for instance push us to do them quarterly, some say once a year, some just never check in. What are your thoughts on something of that nature?

Mendell: As a property manager, my answer would be as often as the owner wants. But realistically, I think once a year is our standard for our company and or up to two if you've got some reasons. A good way to set it up is like on a house if the tenant moves in do an inspection within the first three to four months. You're going to be able to see things and then just set it annually after that really good internal and external. The problem that you get with doing to them more frequently is that you begin to infringe on the peaceful quiet enjoyment of the tenants which isn’t allowed.

Sean: exactly

Mendell: So we kind of discourage owners from like you know, because sometimes they're like I want to see it every month or every quarter. And I'm like okay well you can do that first you'll definitely want to have that conversation upfront before you sign the lease agreement or rental agreement so that the tenant’s incoming, they kind of know what they're going to be expecting otherwise, you might have a problem with it. But the other thing that you can do which you don't have to, you know can be very non-intrusive is just doing a drive by inspection of the property. You're going to be able to tell quite a bit and we catch a lot of issues.

And then the last tip that I would give for landlords is send out what we call good neighbor letters and we send them out to a few of the homes in the area. We just pull the addresses and we just send them a letter saying hey we're managing this home in this area here and we just want to introduce ourselves to you. We want to be good neighbors, we want to find good tenants that will be your neighbors. If there ever happens to be any issues with the property or whatever we can be a great point of contact. We'd love for you to just let us know and we would love to try and make this a great experience for everyone in the neighborhood.

Sean: Oh I love that idea.

Mendell: Yeah.

Sean: Yeah, I mean just not only from a good neighbor perspective but just a fantastic way to really like brand your company and brand yourself as a property manager who cares. That's fantastic.

Mendell: yeah, yeah

Sean: What about management's inspections software? Is there any particular software you like this day and age for inspections?

Mendell: Yeah that's so funny. For inspection yeah, we have used a lot and we recently have gone to like just in the last three years everything in our company we're pretty much completely cloud based which is great. And so we use snap inspect. So if someone is looking for a good option for inspection software but they've got so many that are out there, this is it. And it really comes down to finding one that works well for you and the price point, right. But like you can even just go on the app store if you are an iPhone user and if you're not an iPhone user, you should be an iPhone user and so.

But yeah there's just there's some that are very inexpensive like a one-time fee or there are some that are a little more expensive of better ongoing and it gives you just cloud access our whole team has access to the data and I mean we love it. And in regards to that, I'll say this is a pretty good check for doing move in a move out inspections. Not only having a good inspection software that streamline the process, it just gives you… you don't have to think about checking everything. You just work to your checklist. But about six years ago, we moved to video inspections. And so we do an inspection when the move out happens and then we do have to make ready getting the unit ready to re-rent.

And then we do an inspection at the end which shows the owner the work that we've done but it then it also becomes a record for when the next tenant moves in and then moves out. It's the premium becomes essentially a premium an inspection. And a video… if a picture is worth a thousand words, a video is worth ten thousand. I mean it's so amazing you can narrate while you film. I mean you can just film on your iPhone. We get a little bit more technical with lighting and mics and a rig that stabilizes the video and stuff. But I mean in a pinch we still have managers go out. They don't have their equipment and they just film it with their smartphone and it just works so amazing. You can upload them for free to YouTube or a lot of the inspection software snap inspect allows you just didn't get it right in the inspection. So it's just amazing. I mean it's a great one.

Sean: It's funny I mean the inspection software side of things to point out one more thing. I feel like it's evolved so much over the last five to seven years where used to be just a product that was affordable for property managers that had some properties under their belt. But now you can pick up a software that a mom and pop landlord can use and use it right off your iPhone once again and utilize the cloud.

So it's certainly something anybody at any level should be considering at this point instead of using pen and paper and trying to file that moving checklist before the tenant moves out. So yeah, glad we chatted on that. Now three of the questions we ask any interviewee we have on the show, right. The first one is what is one of your favorite real estate books and what might be one that you recommend to our listeners?

Mendell: I wish I could be original on this one Sean. But I'm going to have to go with “Rich Dad Poor Dad”. But I do want to add this. I mean it's an oft quoted book or reference book or on a lot of people say number one recommendation I get that. But I will say that it is for me, it wasn't so much just about real estate although it was great. I mean just the focus on real estate but the difference between the rich dad and the poor dad that analogy spoke a lot to me. Because growing up, I didn't have a lot. It was pretty poor so to speak and understanding that the mentality that you have affects what you do is just so much farther than you can imagine.

So reading that book was like a paradigm shift for me and I think like if you read it a long time ago and it was just about real estate for you going back and just even the title like that “Rich Dad Poor Dad”. I mean understanding… because I think that there's still a lot of people that are pressing on or they've got their goals and they're working really hard and they're not make advancements. But a lot of things that hold us back in life are wrong beliefs and I just like you change your beliefs I mean you're going to change your destiny. That's a fact. So I love that book so.

Sean: Well I mean it's funny. There's a few things I can point out there I suppose. So I recently learned this is the 25th year of the Rich Dad Poor Dad book. So that's kind of exciting stuff. But something else over the weekend we were at a birthday party for one of my daughter's friends. And naturally, we’re in their office chatting and I saw that book on their bookshelf, right?

Mendell: yeah

Sean: And I realized that when you're at somebody’s house right any… you know all but you don't really know. But you see that book on their shelf, you're kind of like these people get it. Because it is a paradigm shift, right?

Mendell: yeah

Sean: So long as you read it and you read it all the way through and you're halfway paying attention, your life is going to change. So I realized this weekend that there is a certain brotherhood to those that have read it and then take action I suppose. But certainly, have read it. So that's always fun. So what would be the one piece of advice you would give to an aspiring real estate investor at this point? What comes to mind?

Mendell: Well I you know, I’ll reflect back to the goals and writing things down and really grasping your why so that so great for the motivation. But in all seriousness, I would really say hire a professional property manager as fast as you can. And I don't say that just because I'm a property manager or if you're not going to… if you're just dead set against hiring a professional property manager create some good systems and hire some people because here's the reality. Unless you really want to achieve what most people are drawn into real estate investing for which is passive income, hands on, not creating themselves another job. You have to outsource it. I mean that is the bottom line.

So either you're going to find a good professional property manager or you're going to create a system and train somebody else to do it for you. Or if you just love it so much that you want to be the maintenance guy, the one that collects rent, and do that, then great. I'm not arguing with that person. But if you're really wanting to be like hey this is why I started this because what my mentor taught me early on was as soon as you can make more doing something else, put down the hammer. And I get it. I lived through that. I had to put down the hammer and it was one of the hardest things because you're thinking to yourself wait a second, I'm going to pay this person this much money to do this.

I can do that. And not only can I do it, I feel like I can do it better. And so but if you really want to get to where you're going and you want to achieve great things, I mean you have to leverage and that's what… You know we see that with real estate. That's a great thing about real estate is it's about leveraging other people's money. But in order to really attain great things or attain your goals in life you have to use leverage in other areas like other people's time and that's what you do.

So I think that would be a real good thing to really get people. Because I think there's a lot of people that just… they're staying in that well. I'm not going to pay somebody else to do something that I can. I don’t want to be like Well as soon as I can make a paying more on something else then I’m going to drop that now and it's like I look forward to turning things over to somebody else they can do it because then I'm expanding, I'm leveraging, I'm using this amazing ability that we have to leverage our resources so yeah.

Sean: Some quality comments there on systems and use of leverage and it's funny. I mean while you're talking there what came to mind is all too often when you ask folks, “What you got to do to get started?” They'll say, “Well you've got to have a team in place. You've got to have your real estate attorney and your home inspector and your real estate broker and on and on. But at the end of the day, the longer I've been in this business, it goes back to what you said; the property management system.

You've got to make sure you've got that in place. If you want to invest out of state or in your backyard, you've got to be confident that property management system is going to work and be in play for the duration and which are going to own that property which is hopefully forever. But at the end of the day, that this system is the most important that's been my thoughts on what you had to say there. But finally, what would be would be the best way for folks to contact you if they are interested in learning more about your services either the north west coast or just learning more about what you're doing on a day to day basis?

Mendell: Yeah perfect. You know they can connect with me on LinkedIn. They can send me an e-mail at Mendell@c-rem.com or you can check out our website at the C-rem.com. And yeah, send me an e-mail, ask me a question, love to engage and help people whenever I can.

Sean: Awesome! And well and you know what? I apologize. I had stated at the beginning of the show you're out of Eugene. You're actually out of Salem Oregon. So my apologies there.

Mendell: Yeah perfect. I was going to bring that up but yeah.

Sean: Yeah please. So yeah, the website again is www.c-rem.com. And Mendell, thank you so much for being on the podcast. We really appreciate it.

Mendell: Awesome! Thanks Sean it was a pleasure, appreciate it.

Sean: Yeah, you betcha. So this is going to conclude this week's edition of Landlording for Life as always thanks for tuning in. We’ll see you next week with the next episode. Until then, keep land lording.

Thanks for listening to another episode. If you like what you heard, leave us a 5-star review and join our Facebook group to share your deals and ideas by searching Landlording for Life. See you next time.

Not only can remodeling your rental property increase the value, but it can reduce the cost of ongoing repairs and maintenance, reduce liability and attract better tenants fast just to name of few of the many benefits.

One of the most significant advantages of owning investment real estate is the potential for passive income that does not need to be earned through ongoing "work". This is one of the many reasons investors are attracted to rental properties. Hiring a property management company is an additional way to make that income even more passive!

However, the benefits of rental properties go much further than just the rental income. This article will focus on the other benefits of rental properties and a few rules that will help you get the most from having rental properties in your investment portfolio.

Rental properties can be a great investment vehicle for the following reasons (among MANY other reasons):

1. Cash Flow

   This is the primary reason investors purchase rental or cash-flow properties. The tenant makes a monthly lease payment that exceeds the expenses on the property. The remaining money is cash flow for the investor. Many investors accumulate rental units with the intention of using that income to pay their monthly expenses or provide retirement income. When these rental properties offer them with enough monthly cash flow that they will no longer depend on having a job, they reach a point when their investments become their job.

2. Appreciation

   Historically, properties have increased in value over time. So if you bought a $100,000 property and put $10,000 down as a down payment, you would have a $90,000 mortgage. Let's say that after five years, the home is worth $150,000. You now have a $50,000 profit for your $10,000 investment. That is a 500% return on your investment over a five-year period, and it does not even include the cash flow received during those five years.

   Even though appreciation rates in many parts of the country have been negative or flat over the last few years, appreciation has still increased over time. This is also not the primary reason you would purchase a rental property. It is just a nice side benefit of owning rental properties.

3. Mortgage Reduction

   This is where you use the power of other people's money (OPM) in real estate. As your tenant makes monthly payments on the mortgage, the mortgage balance will decrease (assuming you have a fixed, amortized loan). As the mortgage balance decreases, you end up with more equity in the property, all at the expense of your tenant.

   It is a great thing to have someone else pay your bills. We know many investors whose retirement plan is to buy a couple of rental properties each year, let the tenants pay the mortgage until the loan is paid off, and then sell the home or use the income for retirement. The possibilities are endless.

4. Depreciation

   Depreciation is an accounting term for letting people take a tax benefit for owning rental property. Depreciation is based on the idea that tenants cause "wear and tear" on the property. Depreciation is a way to reduce your taxable income at the end of the year. This will then provide you with more income because of the reduction in taxes you pay.

As you can see, there are a lot of good reasons to own rental property. Many people invest so that their money will grow so that it will provide income, or take advantage of tax break opportunities. With rental properties, you get the best of all worlds because you can do all three (growth, income, and tax shelter) with the same investment. This is one example of why real estate is unmatched in providing wealth for investors.  These 4 reasons are generally regarded as the income drivers of real estate wealth creation.  There are so many other tangible and intangible reasons that make real estate the best investment vehicle in the world in my opinion.

Advertising your property for rent impacts your vacancy time and the type of tenant you attract. Today, we're discussing some things to consider when you're putting together an advertising strategy. 

Advertise House for Rent: Curb Appeal

In previous blogs, curb appeal is one of the most important things we have discussed. You need to ensure your house looks appealing before advertising it. So, ensure it looks good when potential tenants approach the property and clean up any weeds, debris, or trash outside your home.

Crafting Advertisements

The ad you run should make people want to see the property. Whether it's a yard sign, flyer, or a posting on Craigslist and other online sites like Zillow or Apartments.com, you want to grab the attention of prospective tenants. Talk about the amenities included, the property's square footage, and the number of bedrooms and bathrooms. Paint the best picture you can.

Photos and Videos

We highly recommend good video equipment and excellent lighting. If you have blinds, open them up, and get good light for your pictures. Take enough photos to show the property. If you can, do a video tour of the property. That will mean fewer calls but higher quality calls. The potential tenants already saw the house through the video and remain interested. That wastes less of your time.

Responsiveness and Availability

Have a good contact number and answer any calls and emails promptly. People are in a hurry and will want to see the property immediately. If they can't, they'll move on to the next property so they can move in quickly.

Having everything in place will go a long way toward renting your house and finding a high-quality tenant. Remember to screen carefully and follow all fair housing guidelines. If you have any questions about how to advertise your property for rent or anything pertaining to Salem property management, please get in touch with us at Centurion Real Estate Management. Good luck, and happy investing!

A common question among investors is: should I sell or rent my house? Whether you have a single-family home, townhouse, condo, or apartment complex, one of the questions you might be asking is whether you should hold your property and rent it out or sell it. And, if you sell, what will you do with the money? There are a few things to consider. 

Should I Rent My House Out or Sell It?

As a property manager, asset manager, and investor, this is one of the questions I'm constantly asking. I can always be found running numbers, evaluating goals, and deciding whether I should continue holding property or whether it's the right time to sell. One of the factors to consider is whether you have maxed out the value of the property. You have to think about how the market is performing and whether you can sell for a decent amount. Rotating the sales proceeds is also a good thing to consider, and whether you can do a 1031 exchange. The current inventory is low, so it can be challenging to find something new if you sell what you currently have.

The Benefits of Buying and Holding

Generally, I agree with the Warren Buffett mentality. I believe in buying and holding a good property for the long term. On the investment side, you want to understand your goals. At the beginning of your investment career, your goals might be more aggressive. Or, maybe you're risk-averse, and holding is the correct answer for you.

Risk on Equity

While determining what to do, many investors look at the return on equity, or ROE. This is where you calculate how much equity you have in the home and what that will mean for profits if you sell. Compare that to how much you're making on it as a rental. If that number is low, like three percent, your money isn't working too hard, and it might be best to sell. Look at the market and the available inventory.

Taxes

You have to take taxes into account. You may want to utilize the 1031 exchange or cash out if you sell. Deferring and avoiding taxes is advantageous, so you can consider passing your property on to heirs. Check with your accountant and your attorney. An estate planner can also help. Real estate has a lot of flexibility, and there are options for generating income and creating long-term wealth.

If you are thinking about your primary residence, you can't do a 1031 exchange with that. But you can take advantage of a better tax provision, the primary residence exclusion. Check with your accountant and see if you can qualify. If you've lived there for two or more out of the last five years, you can sell and not pay too many taxes. Some rules go with that, and legislation is constantly changing, so pay attention to the updates to the laws.

Return on Investment

The return on your investment is another standard metric to evaluate whether to sell or rent. Look at how much you're putting into the property and how much you are cash-flowing. Seven percent is not a bad investment, and cash flow at that level probably makes the property worth holding onto.

Decide where you are in your investment career. What you do will depend on your risk tolerance, goals, and the market. One of my main goals for me with real estate is to develop long-term passive income. That's the goal: to generate wealth and cash flow. Holding onto a property for the long term is a great way to go.

If you need help deciding whether to sell or rent or have any questions about property management in Salem, OR, please get in touch with us at Centurion Real Estate Management.

Professional Investor Insight:  You really need to start first by figuring out your end goals and then work backwards from that.  Also, it is important to keep in mind that not every financial decision in life can be decided by an excel sheet. It might financially make short term sense to sell but if that doesn't line up with your long term goals you need to take all those factors into consideration.

When new clients, owners, and investors are looking for professional property management services, they want to know how much we charge, how much we can rent their place for, and today's question – how long will it take to find a tenant? There are a few things that go into that answer.

Renting Out Your Property: Market and Season

One thing we have no control over is the current rental market. In 2017 (at the time of writing), the rental market was excellent in Oregon and nationwide. But that can change. It hasn't always been that way, and market conditions are a huge determining factor. Seasonality is also a factor. Summer is what we call "turn season," and homes are easier to rent. Once the school year starts and the fall arrives with cooler, rainy weather, people move around less, so you'll have longer vacancies.

Renting Out Your Property: Condition and Amenities

The desirability of the property and the price you set are also important. Your home will rent quickly if you have a fair, reasonable price. Compared to other competitive rental units and houses or apartments and townhouses, the amenities you offer will also affect how long it takes to rent your home. The best way to rent a house is with great overall curb appeal. You want to put your best foot forward. If someone sees the house and it's not up to par, it will take a little longer to rent. Generally speaking, you cannot count on getting the best tenants for your property. To attract quality tenants, you have to provide a quality product.

This is relative. A high-end house in a nice area needs to compete with the surrounding inventory. A lower-end rental unit or apartment in a difficult part of town needs to be the nicest property in that part of town. If you can do that, you'll find great success.

Renting Out Your Property: Good Marketing

The ad you're using can help or hurt your rental efforts. Use yard signs with a visible contact number, and create flyers about amenities. Advertise online with Craigslist, Rentals.com, and all the other sites out there. Be careful not to violate any fair housing laws by targeting certain classes to exclude other classes. 

These are the best ways to maximize how quickly you rent your place. If you have any questions, please get in touch with us at Centurion Real Estate Management.

The offer seems innocuous enough… the tenant calls, mentions a maintenance issue on your property, and offers to repair it. While it may sound like an excellent idea that will save you and the tenant money and time, it can lead to all sorts of ugly problems you don't want.

First, determine why the tenant is offering to absorb the time and expense of the work. Some tenants are honest and capable, but often there are underlying motives that you should question.

• A prospective tenant may want to entice you to accept their application

• They may wish for a rent reduction due to financial problems

• They don't want anyone to inspect the upkeep of the property

You must answer some critical questions before accepting a tenant's offer to do maintenance. Do you really know if the tenant is capable of the work? Is it a simple maintenance item or a job for a professional?

The easiest way to approach tenant maintenance is to treat it entirely as a business matter, not a personal or emotional one. The questions to ask are:

• Will this save money?

• Might this create a landlord/tenant issue?

• Does this have the potential to create any liability?

At first, it may seem that you are getting a good deal. The tenant does the work for perhaps only the cost of the materials. If they are capable, this could work out well. But what if they don't know how to do the repair? Different scenarios could develop, and none of them are good.

A Bad Situation

Here is one possible scenario: You pay for materials and possibly reduce the rent. But the tenant never finishes the job or causes new damage in the process. Hiring a competent tradesman requires more money, and any potential savings has now become an additional cost.

Will this now lead to a landlord/tenant issue? The repair has gone sour, more repairs are necessary, you feel the tenant should reimburse you for the damage, and any goodwill in the relationship has now turned to animosity.

It can get worse! The tenant moves out, you deduct the damages from the security deposit, and the tenant sues you.

Or maybe an accident occurs in the process. The tenant is now claiming pain and injury suffered while doing the repair. The court looks very dimly on the fact that you hired an unlicensed person to perform work. Then the insurance company gets involved, and your policy may not cover this issue.

Perhaps this entire scenario seems ridiculous, but this can and does happen. We hear it from self-managed owners, from our property manager peers, and in the news.

Trying to save a few dollars can ultimately cost you more money, not to mention great stress. Therefore, as your property management company, we take steps to Protect Your Investment by providing reasonable repairs with competent vendors and avoiding unnecessary problems.

Mold is neither new nor exciting—it's as old as life itself, yet it has become a critical issue because of its potential danger. That's why mentioning the possibility of mold to any reputable property manager gets immediate and urgent attention. The damages awarded by courts for mold in a property can run in the millions—a situation you certainly want to avoid!

What Is Mold?

You can find mold spores everywhere—they are just living fungi. Although there are thousands of different species, there are generally five types of mold found in homes - Penicillium, Alternaria, Aspergillus, Cladosporium, and Stachybotrys Chartarum, commonly known as "black mold.”

"Black mold" is considered the most dangerous, but no mold should be ignored. To confuse the issue, "black mold" does not necessarily appear black, and any mold can appear dark or black.

Too much exposure to a toxic mold can cause serious health problems such as sinus and nasal infections, coughing, sore throat, skin abrasions, eye irritations, and upper respiratory infections, triggering other health issues such as asthma.

What Causes Mold?

Mold spores are in the air, but they need three things to grow: oxygen, moisture, and a food source. Oxygen and humidity are easy to find in all houses, and the food source can be any organic material, including carpet, carpet pad, wallpaper glue, building materials, and more.

Mold can develop from pipe leaks, standing water, running toilets, condensation, steam, roof leaks, moisture, flooding, poor drainage, poor ventilation, and more. A family of four can contribute 18 gallons of water vapor a week to the air in their home! If all that moisture is not vented or handled correctly, mold will form and become a problem.

How To Prevent Mold?

Keeping the property in good condition at all times is crucial to mold prevention. Preventative measures are definitely more cost-effective than mitigation after the fact. Ensuring plumbing works properly and water is not collecting anywhere can prevent problems.

Having adequate ventilation within the residence is also important. Working windows, heating, and air conditioning are vital factors here. It is much cheaper to retrofit windows than to pay an attorney and a tenant thousands in damages, not to mention many multiples of that awarded in a lawsuit. Hire professionals to do all work and check the heating and air conditioning systems for ducting, insulation, humidifiers, and vents.

What Can You Do if Mold Appears?

First and foremost, do NOT ignore any mold. If notified that a mold situation exists, ask questions and work to resolve the issue. The property owner and the property management company must work together as a team to solve the issue. Generally speaking, if mold is present, you have a water or moisture problem. Solve the water issue, and you have a great start to rectifying the situation.

Next, the extent of the mold must be determined immediately to discern the severity and the treatment. It may be necessary to call a mold specialist for this. There are often simple solutions for cleaning up mold, but a professional is sometimes required to handle the problem. No matter the cause, eradicate the mold quickly.

If the tenant is contributing to or causing the mold problem, counseling with them may be the proper action to take while treating the mold. Tenants must ventilate bathrooms and kitchens to remove moisture and have follow-up appointments to check for further evidence of mold. Removing a tenant who contributes to serious problems may be necessary, but handle it carefully and with plenty of documentation to avoid another potentially dangerous situation – discrimination charges.

Conclusion

Mold is an issue you should never ignore. Use common sense, practice preventative maintenance, and, if there is any evidence of mold, take immediate action. Please work with us, your property management team, to prevent severe liabilities for your investment.

Our goal as a property management company is always to rent properties as quickly as possible to qualified tenants. However, some circumstances can cause an owner to call and ask, "Why is my property still vacant?" when it appears that renting the property should not be that difficult.

Market Factors

The obvious first step is to look at the rental market and review the competition. Perhaps a glut of comparable properties is available, and tenants can be choosy. Sometimes, the market is tighter and the property should rent more quickly, but it's still available despite the advertising and many showings. In either case, you have to look at the same reasons why a property will not rent.

Rent Amount

The asking price is a common problem, so is the rent competitive? For example, if larger four-bedroom homes in the area are $1100 and your property is a three-bedroom for $1150 with less square footage, the property may be overpriced. The more competition in the area, the more critical it is to adjust the rent to entice a tenant. Even when there is minimal competition, a longer vacancy will generally cost more loss of income than adjusting the rent to attract a tenant.

Curb-appeal and Condition of the Property

Is the property in good condition and attractive to prospective tenants? It may be a great house inside, but if a tenant pulls up and sees trash, peeling paint, and a deteriorating roof, getting them inside to look at it could be difficult. They may be concerned about future maintenance issues or just turned off by the idea of living in an eyesore.

Perhaps the outside looks good, but the inside has worn, dirty carpet and dingy walls. Good tenants are not likely to put in an application, especially if there are other available rentals. If either outside or inside conditions present problems, it is time to address them. The longer a property takes to rent, the more costly the loss.

Seasonality - Time of the Year

Of course, every year has events that slow down the market – back-to-school days, Thanksgiving, the December Holiday Season – all these can "slow" the market down and make it a little trickier to rent your property. Still, properties do rent during these periods; fewer people are looking, which can lengthen your vacancy.

Location – Location - Location

One of the more challenging obstacles to overcome when renting can be a neighborhood or area problem. Is the property located where there are recurring burglaries, a listed pedophile, suspected drug activity, or even gang activity? These conditions can happen in any neighborhood, so it may only be a temporary problem. However, it is a severe drawback when it exists while trying to fill a vacancy. It may be that you will need to adjust the rent, offer special incentives, and have extra patience before the property rents to an acceptable tenant.

Death in the Property

This is probably the worst scenario when you are trying to rent a property, and hopefully, this will never happen in your property for many reasons. If there has been a suicide, murder, or other violent circumstance with the previous tenant in the property, the law requires you to disclose it to prospective applicants. Even if you avoid this, applicants or tenants would find out from other neighbors, and many people will avoid the property. When this occurs, the only course of action is to put the property in the best possible condition with reasonable rent and work through applicant concerns until the property is rented.

Unacceptable Applications

If the market is great, the rent is right, and the property looks wonderful, what else could be going on? There could have been applications, but they would not make suitable tenants. It is far more important to have a tenant who will pay the rent and take care of the property than to rent it quickly. It is simply more cost-effective to have a good tenant than a future eviction, despite a longer vacancy.

Whatever the reason for a delay in renting, rest assured it is our goal as your management company to rent the property to the right tenant as quickly as possible at a fair rental price.

The profitable operation of your rental property requires a sensible approach to maintenance services. One of our jobs as a property management company is to see that these services are provided.

Over the years, we have used different types of maintenance vendors. Large specialty contractors include plumbers, roofers, and appliance repair companies. Smaller versions of these same vendors are also available. Then there are general handyman services that are somewhat less expensive. But sometimes, these can be difficult to get a hold of, and it takes a long time to schedule a repair.

Since we are required by law and prudence to use licensed, insured vendors on your property, we cannot hire the $10-an-hour "street corner handyman." Also, these people offer false economy when considering the potential for inefficiency, dishonesty, and liability.

Much experimentation has been done within our industry and our own company regarding the best way to handle necessary repairs. We have found that the best solution is to operate our own in-house maintenance company with salaried employees. This affords us scheduling control and quality control we would not have otherwise. We also gain cost savings over outside vendors, although it is still expensive. The expense comes from wages and a list of other expenses such as:

• Payroll taxes

• Unemployment tax

• Liability insurance

• Worker's compensation  insurance

• Health Insurance

• Truck and travel

• Tools and equipment

• Supplies

• Training

• Vacation

• Cell phone, notebooks, etc…

When the scope of repair warrants, qualified outside vendors are used to keep your property in working order.

Our goal is to provide savings over outside vendors and cover the costs of operating this department.  Maintenance is a cost of doing business, but done right it is a valuable investment in your asset to maintain the value and even see the value increase over time.

All property owners look at the return on investment (ROI) when buying or maintaining rental property. The ideal is a positive cash flow, a tax deduction, and increased property value. An investor certainly wants to realize all three of these advantages and of course the 4th - debt paydown when you have a paying tenant in place. However, there are times when this is difficult.

A long vacancy can reduce a positive return or even produce a negative one. There are markets or other conditions that can create a long vacancy. When this happens, there are pitfalls to avoid, and holding out for sound tenancy can sometimes be the least costly alternative, affecting the bottom line.

A common mistake landlords can make in any rental market is insisting on obtaining an excessive rental price. This alone can increase the vacancy period. Most properties can rent quickly for a higher rent if an owner looks the other way, ignoring sound screening practices. The tenant may be the "ideal" person to rent the property, but it is not likely. What intelligent, well-qualified tenant will pay more rent when similar properties are available at a lower price?

Consider what can happen if you ignore the warning signals. Ignoring bad credit, poor or non-existent landlord history and inadequate income can lead to non-payment of rent, eviction proceedings, drug problems, and damage. That high rental price becomes insignificant if an owner has to pay legal fees, repaint, replace carpets, and do major repairs. It does not take long to have damages that exceed the security deposit, particularly if there is already lost rent and attorneys' fees. Drug problems can have more significant liabilities and can cause serious fines in the thousands now that legislation is becoming tougher on property owners who "overlook" drug trafficking on their property.

What Approach Should an Investor Pursue?

• Look at the market as objectively and unemotionally as possible. It is an investment, and, like the stock market, rental properties have their peaks and valleys.

• Ask for a reasonable rent that will compete with similar properties on the market.

• Make necessary repairs to entice good tenants to want to rent your property.

• Provide incentives, if necessary – they may be less costly than paying the mortgage without the benefit of any rent.

• Rely on your property manager to find the right tenant. Do not panic and give in to renting the property quickly at all costs.

• Be prepared to ride this vacancy out to obtain the right tenancy and protect your investment. It is better to adjust the rent, offer incentives to reduce the vacancy, or even accept the loss of rent rather than suffer through unpaid rent, attorney fees, and damages, not to mention the emotional distress of a bad tenancy.

The property management team at Centurion wants the best tenant for your peace of mind and ours. Call us to discuss reasonable alternatives for renting the property without compromising your tenancy and investment. Remember, the property will rent – it is just a matter of time, and the right tenant really is "worth the wait."

What Can I Rent My House For?

This is the second most asked question we get from owners and investors. The answer to this question is – it depends. It depends on the market, and it is location-sensitive. Even one neighborhood to the next can be different within the same city regarding pricing. The prices can change as soon as you cross a river or even a creek.  Location is a big driver, but condition, time of year and many other factors play a role.  Let's take a closer look.

Location and Amenities

Some things affect the amount of rent you can expect to get in an area of similar houses and apartments for rent. Curb appeal and amenities are essential. Your price depends on whether you have a dishwasher or granite countertops, fresh paint, and a fenced backyard. You need to have the latest and greatest amenities that tenants can't live without if you want to rent for more money. That might be a pool house or a common area. Tenants want to be close to parks and near good schools. That's always a consistent driver of the rent you can get for your property.

How Much Can You Rent Your House for?

A good property management company will drive a lot of value for you. We can stay up to date with current market trends. We rent a lot of units on a daily, weekly, and monthly basis. We know how prices are moving, and we can maximize your value and get you the most rent possible. We like to find the best tenant in the least amount of time to pay the most rent. It's a balancing act. You can try to get the top dollar or ask for market rent. If your property is vacant for a prolonged period, you're incurring opportunity costs and the additional costs of maintaining the home and keeping the utilities on while it's vacant. Renting promptly is essential.

Determining Your Rental Price

A lot of different sources can help determine what the best rental price is going to be. You can check Craigslist and Zillow for comparable properties and look at yard signs in the area, which might include price. At Centurion, we do all of that, and we have proprietary software which gives us insight into the rent amounts in the area. We pay for information from various associations and firms that track the local markets and rent many units. That tells us what properties we should be comparing yours too. We quickly know what the range is going to be.

If something is clean, safe, and habitable in a good location and not renting, it's probably overpriced. You should also check your marketing. Have a good ad and great pictures. Put it out on several different sites. These are all factors to consider when renting out your unit and setting a price.

If you have any questions about property management in Salem, please get in touch with us at Centurion Real Estate Management.

Whether investing in the stock market, real property, or buying gold, there is a continual challenge of when and how to invest because of current world events and economic fluctuations. Buying and selling real estate can usually weather many changes. Although short-term turnovers in real estate can be profitable, investors typically realize large gains over longer periods. The general purpose for holding the property is to have tax benefits while gaining appreciation.

Sometimes, real property tax benefits decrease over the years, or the equity is significant enough to reinvest in another or multiple properties. Then, the 1031 exchange becomes an invaluable tool for investors who want to trade or increase their portfolio.

The primary reason for using this particular tool is that it can be an excellent way to "postpone" capital gains taxes on your real estate investments. However, there are definite rules for using a 1031 exchange during the buying and selling of real property, and you must follow them to qualify for this type of transaction. Here are some of the basic guidelines.

• You can only use a 1031 exchange for investment properties or properties owned for use in business (you can't use a personal residence). You cannot use them for your residence or second home unless you only use the property for rental to third parties.

• All exchanges must be located in the United States.

• You must exchange between like-kind properties. Both properties must be for investment or business purposes, but they do not have to have an exact use. For example, you can exchange an apartment building for a commercial shopping center.

• To meet Internal Revenue Service (IRS) guidelines for an exchange, you must identify the replacement property for the one you are exchanging within 45 days of the initial property transfer date. You can specify up to three properties of like value or as many properties as necessary to total the fair market value of your exchanging property. There is more to the IRS specifications than can be detailed in this article, so be sure to consult an expert in exchange.

• You must close escrow on the replacement property within 180 days from the initial transfer date of your property to the other party. However, IRS regulations now let you buy the replacement property first - a "reverse exchange."

• If the exchange is not simultaneous, you must use a qualified intermediary, such as a bank, attorney, etc. Beware - the Internal Revenue Code describes who cannot be a qualified intermediary – so be careful who you select, and again, consult a professional on exchanges.

• If you end up with cash to balance out the value of the two properties, the money is taxable at current capital-gains rates; this is often termed as "boot."

• If the property you receive in exchange is from a relative and you then sell the property within two years, the original exchange will not qualify for deferred capital gains.

Exchanges are complicated, and this article only outlines some of the significant points of a 1031 exchange. Use professionals who know the requirements, as well as the pitfalls, for this type of transaction. The exchange is a great tool, but if not followed correctly, the IRS could deny the exchange, causing severe tax consequences. In addition, before considering a 1031 Exchange, consult your tax advisor to see if this will benefit your investments and taxes.

The 1031 exchange may be the tool for you. Call the property management team at Centurion if you have questions on the 1031 exchange; we will gladly assist you!

What if you had a great rental property but no tenants? Is it still a significant capital asset? This was a fascinating question posed in a trade article for landlords. What is your biggest asset in regard to your rental property? For many landlords or property owners, their answer to this question would be the physical building.

However, how valuable would the property be without tenants? If a rental property is vacant, then it is what they call in the industry, "an alligator" or a.k.a a "money pit"! It is essential to view residents as the real capital asset.

At Centurion Real Estate Management, our property management team works hard every day to show our tenants that we care about them and that we are here to serve them. Having a tenant appreciation program in place and focusing on the tenants helps us achieve the highest return for our owners.

But is buying a turnkey property worth it? In this blog post, we will explore the pros and cons of purchasing a turnkey and help you determine if it is the right investment strategy for you.

Discover the Benefits of Turnkey Rentals

Turnkey rentals may be the answer if you are tired of managing and renovating real estate but still want to invest in it. A turnkey rental is a fully renovated property ready to rent immediately. The rental is managed by a professional property management company, which takes care of everything from finding tenants to handling maintenance requests.

Turnkey rental properties require a minimal level of obligation on your behalf, eliminating the need to search for potential lessees, vet applicants, or address upkeep matters. The property management company you hire handles these matters (and more).

In addition, turnkey rentals are a great way to invest in real estate in a different city or state. You don't have to be local to the area to invest in it, as the property management company takes care of everything for you.

Risk-averse investors tend to gravitate towards turnkey rentals. Because the property management company handles everything, including renovations, it is often deemed a much lower risk than your typical real estate investment. Just remember that no investment is entirely risk-free!

Turnkey rentals are a great option for investors who want to invest in real estate without having to manage the property themselves. They offer a low-risk, passive income opportunity that allows you to diversify your investment portfolio and invest in real estate in a different city or state. If you want to learn more about turnkey services, contact Centurion Real Estate Management today.

The Ins and Outs of Turnkey Investing

Turnkey investing has become increasingly sought-after as a means of participating in the real estate market without the responsibility of maintaining the property personally; it is an effortless, low-maintenance system wherein investors can procure a pre-refurbished dwelling, which is then leased and overseen by a qualified administration firm. Generally, these turnkey rentals are residential dwellings bought to lease them out to occupants.

Turnkey investing presents a plethora of benefits, chief among them being its passive nature. This means that investors are absolved of the responsibility of overseeing the property's day-to-day operations, including the various tasks of tenant acquisition, rent collection, and maintenance management. Instead, the property management company assumes full responsibility for these multifarious duties, freeing the investor to concentrate on other pressing matters.

Another benefit of a turnkey is the opportunity to expand and enhance one's investment portfolio through diversification. With real estate as a tangible asset, investors can enjoy a consistent and reliable income stream, making it an attractive option to broaden their portfolio beyond traditional stocks and bonds.

Notwithstanding the undeniable advantages of turnkey investing, it is not immune to hazards. The most significant disadvantage is the potential failure of the property to yield the anticipated returns. Hence, investors must perform their due diligence and meticulously scrutinize the investment property and the property management firm before making any purchase.

Moreover, another potential disadvantage is the possibility of unforeseen expenses arising from unexpected repairs or maintenance. Although the management company is primarily responsible for the day-to-day upkeep, investors must be poised to face unanticipated costs.

The concept of turnkey investing presents a compelling opportunity to partake in the real estate market without the arduous undertaking of property renovation and management. Nevertheless, investors must practice due diligence and meticulously scrutinize the rental and property management firm before committing to a purchase. By conducting thorough research and meticulous preparation, turnkey investing can serve as an optimal means of diversifying one's investment portfolio and generating passive income.

A farmer once told me that if you want to be successful in life, you need to make money while you are sleeping. There are many ways to accomplish this feat, and a great one is through Real Estate Investing. Within the field of Real Estate, there are numerous ways to make money; the particular way that I would like to look at for the purposes of this article is rental properties.

Rental property or investment real estate could be anything from a rental house to a large multi-family complex. Investment real estate that is leased or rented out, such as apartments, provides what is deemed by Uncle Sam as Passive Income. The beauty of passive income is that it is taxed at a much lower rate than earned income (the most common type of earned income is the kind that you make from working a 9 – 5 job).

As another great investor and mentor (Jeff Megy) once told me, "look to minimize taxes – they are one of your greatest ongoing expenses." Investment Real Estate does a great job of minimizing taxes in several ways, as we will see shortly. Let's look at some other reasons that Real Estate makes for a great investment.

Real Estate is tangible and controllable. It is not an elusive electronic share in some faraway company that you have little knowledge about and even less control. With Real Estate, you can choose the improvements you want on your property and when to do them. You can make the improvements yourself or shop around to get the best deal. Also, you can even choose the tenants you rent to (assuming you follow the Fair Housing Guidelines and don't discriminate). And you can also outsource all the day-to-day care to a professional property management company and still enjoy all the benefits.

Besides generating a decent return on your money (assuming you got a fair deal on the property you purchased), most real estate deals have the added benefit of using financial leverage. In plain terms, you can finance real estate deals using the bank's money for a large portion of the deal (in many cases, around 70%). 8-14% returns on cash are not uncommon in this industry. But the benefits don't stop there. Not only do you have an asset that you have a lot of control over, that is leveraged and the returns are taxed at a discount…you also have the ability to expense or take a tax write-off against any expenses that are used for the property.

Did I mention that Real Estate also has some risk protection as well…if you finance the deal, your bank will require you to purchase Insurance which is excellent in that it protects your investment against several types of damage and loss. You also have the depreciation tax write-off on the property that provides what is called "phantom cash flow" in the industry. You also have the added benefit of tenants paying your monthly mortgage – part of which is going toward reducing the principal amount you owe and thereby increasing your overall equity in the property, and the other part is going toward the interest, which again is a tax write-off.

One of the last benefits that I will mention brings me to a piece of financial wisdom that gets overlooked way too often and that is inflation. I was taught early on to take into account inflation in any long-term financial projections because inflation silently erodes wealth. But with Investment Real Estate you have yet another amazing benefit: it provides a great hedge against inflation since rents historically go up over time.

We have not even gotten into some of the more exciting topics of how you can use investment real estate to avoid taxes upon selling through what is called a 1031 exchange which allows you to legally trade into another like-kind property and thereby avoid taxes indefinitely.

As you can see, Real Estate provides a myriad of advantages and benefits and offers a wonderful investment strategy for short and long-term wealth building…land is scarce, as they say, God only made so much of it. The best time to buy Real Estate was 20 years ago; the next best time is today. As T. Harv Eker wrote, "don't wait to buy real estate, buy real estate and wait."

Welcome to our Salem, Oregon, commercial real estate management blog! You may wonder, "Why should I invest money in commercial property management?" To guarantee that your investment is as productive and profitable as possible in Salem, Oregon, you must choose the ideal team. To help you make the best decision for your property, we will cover commercial property management from every angle in this article!

Commercial Property Management for Dummies (Not Really)

Commercial property management refers to overseeing the administration of many commercial properties. This category includes office buildings, retail stores, warehouses, residential buildings, industrial structures, hotels, and shopping complexes, amongst other types of buildings. The fundamental goal of commercial property management is to maximize the financial returns for the owners or investors of the property by ensuring that the property's assets are managed and maintained acceptably.

At its most basic level, commercial property management involves a wide range of activities, including lease negotiations and renewals, tenant relations, budgeting, marketing, and property maintenance. Property managers must have an in-depth knowledge of the local real estate market to handle these activities properly. They also need specialized knowledge around each form of property as different investment strategies depend on the subject unit. For example, retail properties provide multiple revenue streams with how leases are structured, which will differ from an apartment complex.

Property managers are accountable for managing their properties' finances in addition to tenant-related concerns. This entails determining the rent levels, obtaining fees, controlling the budget, and keeping an eye on spending. The rules and regulations that apply to the property and its renters must also be updated.

Property managers need to be familiar with the neighborhood market and quickly judge a property's worth. They must be able to see possible issues and counsel their clients on raising their property value. Property managers must be competent in settling conflicts since they mediate between landlords and renters.

Finally, property managers are responsible for maintaining the Last. Still not least, property managers are in charge of maintaining the building, covering everything from repairs and upgrades to landscaping. They must be able to evaluate the property's state and determine what must be done to keep it in prime shape.

Managing commercial properties is a complex and demanding profession. Property managers need to be capable of handling various jobs, have a keen eye for detail, and understand the local market. When done correctly, it is a task that calls for both expertise and experience and may bring owners and investors significant profits.

What is a Commercial Property Example?

Any real estate utilized for commercial activities is referred to as commercial property. Commercial real estate examples include offices, warehouses, shops, dining establishments, and multifamily housing.

The most typical sort of commercial property is an office building. Examples are one-story office buildings, enormous multi-story structures, or even complete office complexes. Businesses frequently rent out these structures to enable them to establish a physical presence for their clients.

Another category of commercial property is retail establishments. This can include independent retailers like supermarkets, convenience stores, and department stores. Malls, strip malls, and retail centers might also be included. Customers can purchase goods and services from retail establishments.

Additionally, restaurants are considered to be forms of commercial real estate. These establishments might range from little coffee shops to large fast-food franchises. The size and atmosphere of the restaurant will be shaped according to the type of cuisine served there.

The fourth kind of commercial property is made up of residential constructions that have many apartments. In most cases, they are residential buildings that provide space for lease to occupants. Depending on the dimensions of the city or town, these constructions may be relatively large or quite small.

Commercial real estate makes up a sizable component of the real estate market. In addition to providing housing for people, it also provides businesses with the space they require for things like offices and retail stores to operate. Commercial real estate, regardless of size or location, is crucial to the economy's operation.

Commercial property management is a fantastic method to increase the value of your business properties and make sure they continue to be a wise investment. Your properties will be expertly taken care of with the correct team of property management experts, allowing you to concentrate on what counts – expanding your company and producing money!

Today we are sharing some of the most important questions you should ask when you’re looking for a professional management company for your rental property. Start by looking for accreditations or designations. Find out what associations the property management company belongs to. National and local organizations can provide great industry resources, so you want a property management company that’s well connected. Other questions you might ask are about the company’s experience and background. Find out what kind of training they have had, how much time they have spent in the industry, what sort of staffing plan is in place and what kinds of properties they manage.

Always ask about a company’s access to resources, and inquire about the services they offer. You’ll need to know what is included in their fee and what might cost you extra. Do a thorough interview and don’t let cost be your sole determining factor. Ask yourself how someone can offer the best service for the lowest price. We like to encourage our owners to not be so hasty to offer their biggest investment to the lowest cost bidder. Instead, you want to hire the best. When you’re interviewing property management companies, you want to look for results.

Again, it’s not the top line but the bottom line that matters. What a company delivers is more important than what they cost. If you have any questions about how to find an outstanding property management company, please contact us at Centurion Real Estate Management.