The Trump Blog (Free subscription) | yesterday
by Tina Merritt Offer a contest each month. For all tenants that pay their rent by the 28th of the month before rent is due, they are entered in a drawing for a $50 gift certificate to a restaurant, an itunes gift card or the like....Be sure to announce the winner to everyone who got their rent in early! Send a hand written thank you note when they get their rent in early. Offer a discount...
The Trump Blog (Free subscription) | 12/02/2009
by Tina Merritt 1. Dress professionally. First impressions matter and will set the tone for your relationship with the tenant. 2. Allow pets. Many property management companies will no longer permit pets. Being pet-friendly can set you apart and attract more potential tenants to you. 3. Be organized and have procedures in place. If you are disorganized, it will make the tenants think...
The Trump Blog (Free subscription) | 11/30/2009
by Tina Merritt Effective December 12, 2009, Fannie Mae begins implementing new, tightened lending standards. Among the new guidelines, borrowers who are putting at least 20% down will need to have a minimum credit score of 620 (the current score is 580). The new cutoff for total debt cannot exceed 45% of borrower's monthly income. Why the tightened standards? On average, loans to borrowers...
The Trump Blog (Free subscription) | 11/25/2009
by Tina Merritt Functional Obsolescence, with regards to real estate, occurs when there is a loss of building utility. This can occur with a home that is too lavish or improved for a neighborhood, or on the other end of the spectrum, a home that is much smaller or under-improved for an area. Functional obsolescence can also occur when a property no longer meets the basic needs and wants...
The Trump Blog (Free subscription) | 11/17/2009
by Tina Merritt The thought of reading through a lengthy legislative act is painful to many of us; however, for a real estate investor , this is one that is a necessity. Your State's Landlord and Tenant legislation is something investors must be familiar with and have on hand at all times. Why? Because this legislation dictates how many properties one must own before coming under certain...
The Trump Blog (Free subscription) | 11/13/2009
by Tina Merritt What defines what the investor considers to be a "good deal"? Well, that depends on the goals of the real estate investor . In order to determine what a good deal is, you need to know your expenses, your plans and your time frame. There is no magic formula. Each real estate investor must create their own definition of a good deal. For a buy-and-sell investor,...
The Trump Blog (Free subscription) | 11/09/2009
by Tina Merritt President Obama signed the Homebuyer Tax Credit this week. This new tax credit extends and expands the credit set to expire on November 30th, 2009. The new legislation is effective November 7, 2009 and expires April 30, 2010. Highlights are as follows: The first time homebuyer tax credit remains at: $8000. First time buyer definition of eligibility: must not have owned...
The Trump Blog (Free subscription) | 11/05/2009
by Tina Merritt It seems like there is always some defective construction product in the news. Years ago it was lead based paint and asbestos. Back in the mid to late 90's, it was EIFS, fire retardant plywood and Polybutylene plumbing. Now, it's defective drywall from China. What should you do? Run away like everyone else from these properties or embrace an opportunity for a possible...
The Trump Blog (Free subscription) | 11/02/2009
by Tina Merritt There are many guidelines in the condominium lending world and investors need to know how these changes will affect them. Why? Well, the default rate on condominiums has increased substantially as units have faced foreclosure and associations have gone bankrupt. Now keep in mind, I'm talking about condominium OWNERSHIP here, not necessarily the structure. Condominium...
The Trump Blog (Free subscription) | 10/30/2009
by Tina Merritt For many investors who rely on FHA-approved buyers to purchase their homes, the "Seasoning Rule" can be a big issue. What is the seasoning rule? In a nutshell, with very few exceptions, FHA will not fund a mortgage for a property that has been owned for less than 90 days. This causes many investors to lose money due to holding costs, extended time on the market...
