Rental Housing Journal Arizona April 2016

12
Monthly Circulation To More Than 7,000 Apartment Owners, Property Managers, On-Site & Maintenance Personnel WWW.RENTALHOUSINGJOURNAL.COM • PROFESSIONAL PUBLISHING, INC Professional Publishing Inc., PO Box 6244 Beaverton, OR 97007 PRSRT STD US Postage PAID Sound Publishing Inc 98204 Text 51WAYS to 44222 to receive the FREE e-book 51 Ways to Increase Your Rental Property Cash Flow (And 10 Ways to Ruin It) 2. Arrest Records in Federally Assisted Housing 3. I Won – Now What? 5. Window Film – How Its Proper Use Can Help You Save Money Rental Housing Journal Arizona April 2016 - Vol. 8 Issue 4 Circulated to over 10,000 apartment owners, on-site and maintenance personnel monthly Call 503-221-1260 for more information Advertise in Rental Housing Journal Arizona continued on page 6 continued on page 6 continued on page 4 7. Common Tenant Complaints and How to Handle Them 8. How Wireless Security Transformed the Real Estate Industry Ask the Secret Shopper – Pets & Children Multifamily Housing Update 4Q15 Market Overview Payroll Job Summary Total Payrolls 1,954.3m Annual Change 53.5m (2.8%) RCR 2016 Forecast 41.1m (2.2%) RCR 2017 Forecast 42.7m (2.2%) RCR 2018 Forecast 46.4m (2.3%) RCR 2019 Forecast 38.6m (1.9%) RCR 2020 Forecast 34.5m (1.7%) Unemployment (NSA) 4.7% (Dec.) 4Q15 Payroll Trends and Forecast e Phoenix labor market recorded its strongest year since 2006, adding a monthly average net of 53,000 (2.9%) payroll jobs, a 28% gain over 2014. Likewise, the metro closed the year on a high note, increasing employment at a 53,500-job, 2.8% year-on-year rate in 4Q15, propelled by robust job creation in the construction, trade and services sectors. Of particular note, the largely tech oriented professional, technical and scientific services subsector surged at a 4,900-job, 4.9% annual rate, repre- senting the fastest growth observed in nearly nine years. Seasonally-adjusted data were com- mensurate, recording a net add of 31,300 jobs from October to December; the largest calendar quarter job gain since 1Q06. Likewise, the unemploy- ment rate plunged 110 basis points over the year, dropping to 4.7% in December. Attract Tenants with Simple Eco-Friendly Upgrades By Scott Matthews, Director, Strategic Accounts, e Home Depot T he multifamily housing industry is expected by many to continue growing throughout the year, which means strategic upgrades to your property can help prepare you for in- creased demand and set you apart from competitors. Approximately 65 percent of renters consider energy-efficient features when deciding what apartments to rent, ac- cording to e Center for Climate and Energy Solutions. ese upgrades will also cut operational costs associated with water usage, heating, cooling and other energy, helping both you and your residents save money. Consider these simple, eco-friend- ly upgrades before the summer sea- son begins. Save Energy Seal and insulate: Sealing gaps and cracks will help keep money in rent- ers’ pockets. Maintenance can start by properly insulating needed areas around windows and doors. Seal cracks and gaps with caulk, spray foam and weather stripping. is simple project can reduce energy bills by up to 30 per- cent and ensure that air remains inside the units. Upgrade thermostats: Allow resi- dents to moderate electricity and gas usage by upgrading to programmable and / or WiFi-enabled thermostats. e thermostat can adjust to their schedule manually or automatically through a convenient app on their smartphone. Tenants will save an average of 10 to 12 percent on heating and 15 percent on cooling bills, and you may be able to offset part of your investment by taking advantage of rebates. Are You Investing in Real Estate to Go Green or to Make Green? T here are countless ways to make your rental properties more en- ergy efficient. High efficiency appliances, high efficiency heating and cooling systems, solar, the list goes on and on. Most of you probably did not purchase investment real estate with the intent of saving the planet. One big question that you need to ask yourself when making your property greener is “How is this going to make me more green ($)?” Any money that is spent im- proving your property should increase the overall value or lower your monthly expenses or both. Are you looking to increase the value of your property? According to a repu- 11. Dear Maintenance Men – Maintenance Tools & City Inspections

description

Rental Housing Journal is the business journal for the Arizona rental housing and multi-family property management industry.

Transcript of Rental Housing Journal Arizona April 2016

Page 1: Rental Housing Journal Arizona April 2016

Monthly Circulation To More Than 7,000 Apartment Owners, Property Managers, On-Site & Maintenance Personnel

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Text 51WAYS to 44222to receive the FREE e-book

51 Ways to Increase Your Rental Property Cash Flow

(And 10 Ways to Ruin It)

2. Arrest Records in FederallyAssisted Housing

3. I Won – Now What?

5. Window Film – How Its Proper Use Can Help You Save Money

Rental Housing Journal Arizona April 2016 - Vol. 8 Issue 4

Circulated to over 10,000 apartment owners,on-site and maintenance personnel monthly

Call 503-221-1260 for more information

Advertise inRental Housing Journal Arizona

continued on page 6

continued on page 6

continued on page 4

7. Common Tenant Complaints and How to Handle Them

8. How Wireless Security Transformed the Real Estate Industry

Ask the Secret Shopper – Pets & Children

Multifamily Housing Update

4Q15 Market Overview

Payroll Job SummaryTotal Payrolls 1,954.3mAnnual Change 53.5m (2.8%)RCR 2016 Forecast 41.1m (2.2%)RCR 2017 Forecast 42.7m (2.2%)RCR 2018 Forecast 46.4m (2.3%)RCR 2019 Forecast 38.6m (1.9%)RCR 2020 Forecast 34.5m (1.7%)Unemployment (NSA) 4.7% (Dec.)

4Q15 Payroll Trends and Forecast� e Phoenix labor market recorded

its strongest year since 2006, adding a monthly average net of 53,000 (2.9%) payroll jobs, a 28% gain over 2014. Likewise, the metro closed the year on a high note, increasing employment at a 53,500-job, 2.8% year-on-year rate in 4Q15, propelled by robust job creation in the construction, trade and services sectors. Of particular note, the largely tech oriented professional, technical and scienti� c services subsector surged at a 4,900-job, 4.9% annual rate, repre-senting the fastest growth observed in nearly nine years.

Seasonally-adjusted data were com-mensurate, recording a net add of 31,300 jobs from October to December; the largest calendar quarter job gain since 1Q06. Likewise, the unemploy-ment rate plunged 110 basis points over the year, dropping to 4.7% in December.

Attract Tenants with Simple Eco-Friendly Upgrades

By Scott Matthews, Director, Strategic Accounts, � e Home Depot

The multifamily housing industry is expected by many to continue growing throughout the year,

which means strategic upgrades to your property can help prepare you for in-creased demand and set you apart from competitors.

Approximately 65 percent of renters consider energy-e� cient features when deciding what apartments to rent, ac-cording to � e Center for Climate and Energy Solutions. � ese upgrades will also cut operational costs associated with water usage, heating, cooling and other energy, helping both you and your residents save money.

Consider these simple, eco-friend-ly upgrades before the summer sea-son begins.

Save EnergySeal and insulate: Sealing gaps and

cracks will help keep money in rent-ers’ pockets. Maintenance can start by properly insulating needed areas

around windows and doors. Seal cracks and gaps with caulk, spray foam and weather stripping. � is simple project can reduce energy bills by up to 30 per-cent and ensure that air remains inside the units.

Upgrade thermostats: Allow resi-dents to moderate electricity and gas usage by upgrading to programmable and / or WiFi-enabled thermostats. � e

thermostat can adjust to their schedule manually or automatically through a convenient app on their smartphone. Tenants will save an average of 10 to 12 percent on heating and 15 percent on cooling bills, and you may be able to o� set part of your investment by taking advantage of rebates.

Are You Investing in Real Estate to Go Green or to Make Green?

There are countless ways to make your rental properties more en-ergy e� cient. High e� ciency

appliances, high e� ciency heating and cooling systems, solar, the list goes on and on. Most of you probably did not purchase investment real estate with the intent of saving the planet. One big question that you need to ask yourself when making your property greener is “How is this going to make me more green ($)?” Any money that is spent im-proving your property should increase the overall value or lower your monthly expenses or both.

Are you looking to increase the value of your property? According to a repu-

11. Dear Maintenance Men – Maintenance Tools & City Inspections

Page 2: Rental Housing Journal Arizona April 2016

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Rental Housing Journal Arizona

Rental Housing Journal Arizona · April 2016

Crime Free Housing does not necessarily mean housing that is free of crime or persons who

engage in criminal activity, according to a memo from the United States Depart-ment of Housing and Urban Develop-ment (HUD) dated November 2, 2015. See,  http://portal.hud.gov/hudportal/documents/huddoc?id=15-10hsgn.pdf

� at memo requires public housing programs, including Project-Based Section 8 housing, to reevaluate their policies of (1) refusing to rent to all applicants who have been convicted of criminal activity, and (2) automatically evicting tenants who are accused of or arrested for criminal activity.  HUD’s new directive requires properties to make what will necessarily result in individualized assessments whenever an applicant, resident or occupant has been identi� ed as someone who has or may have engaged in criminal conduct.

HUD’s new direction is a progression from earlier guidance given to public housing authorities in 2011 that empha-sized the importance of giving “second chances” for previously incarcerated in-dividuals. It also emphasizes that HUD no longer requires public housing agen-cies and property owners to adopt “one strike” policies to ensure that housing assistance is not provided to persons who engage in criminal conduct.

Under this new guidance, manage-ment has discretion, in most instanc-es, to decide whether or not to deny admission to an applicant with certain types of criminal history or to termi-nate assistance or evict a household if a tenant, household member or guest engages in certain drug-related or other criminal activity.

Information to Consider in Deny-ing or Terminating Assistance

While HUD has not yet proposed ac-tual standards that properties must ap-ply, it has does mandate that they take certain information into account when exercising their discretion to admit or retain an individual or household that has engaged in criminal activity.

Speci� cally HUD has indicated that properties must consider all of the cir-cumstances relevant to the particular admission or eviction decision before taking action. Among other things, properties must evaluate (1) the se-riousness of the o� ending action; (2) the e� ect that eviction would have on the entire household, including family members not involved in that criminal activity; and (3) the extent to which the leaseholder has taken all reasonable steps to prevent or mitigate the crimi-nal activity.

When considering whether to deny admission or terminate assistance or tenancy for illegal drug use by a house-hold member who is no longer engaged in that activity, properties should con-sider whether the household member is participating in or has successfully completed a drug rehabilitation pro-gram or has otherwise been rehabilitat-ed successfully.

E� ect of Arrest Records on Ad-verse Admission,

Termination or Eviction DecisionsLike the Equal Employment Oppor-

tunity Commission (EEOC) before it, HUD has concluded that arrest records, by themselves, do not provide su� cient evidence of criminal activity to auto-matically justify a decision not to rent to an applicant or to evict a current resident or household. Based on that

conclusion, HUD has determined that reliance on arrests not resulting in con-viction or terminating the tenancy of a household solely on the basis of an ar-rest may result in unwarranted denials of admission to or eviction from feder-ally subsidized housing.

Under the new HUD guidance, pri-or to denying admission or evicting a person who has been arrest for criminal activity, the property must conclude, by a preponderance of the evidence, that the person engaged in the conduct for which he or she was arrested.

A crime free slip or noti� cation, in and of itself, does not satisfy this re-quirement. Instead, HUD expects properties to review available evidence, such as police reports detailing the circumstances of the arrest, witness statements, and other relevant docu-mentation, so that the property can in-

dependently conclude that the person who was arrested actually or most like-ly engaged in the conduct for which he or she was cited.

In addition, reliable evidence of a conviction for criminal conduct that would disqualify an individual for tenancy may also be the basis for determining that the disqualifying conduct occurred.

Due Process Rights for Tenants and Applicants

As a general rule, an eviction hearing - where the tenant has been provided notice of the basis for the eviction and has had an opportunity to challenge that basis - will be su� cient due process when a household is being evicted due to criminal activity.

Arrest Records InFederally Assisted Housing

Judy Drickey-Prohow, Esq | Law O� ces of Scott M. Clark, P.C.

continued on page 10

Page 3: Rental Housing Journal Arizona April 2016

PublisherWill Johnson – [email protected]

Designer/EditorKristin Flores – [email protected]

Advertising SalesWill Johnson – [email protected]

Terry Hokenson – [email protected] Surratt – [email protected]

Rental Housing Journal Arizona is a monthly publication published by Professional Publishing Inc., publishers of Real Estate Opportunities in

Investing & Real Estate Investor Quarterly

w w w . r e n t a l h o u s i n g j o u r n a l . c o m

The statements and representations made in advertising and news articles contained in this publication are those of the advertiser and authors and as such do not necessarily reflect the views or opinions of Professional Publishing, Inc. The inclusion of advertising in this publications does not, in any way, comport an endorsement of or support for the products or services offered. To request a reprint or reprint rights contact Professional Publishing Inc. PO Box 6244 Beaverton, OR 97007. (503) 221-1260 - (800) 398-6751 © 2015 All rights reserved.

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Rental Housing Journal Arizona · April 2016

I Won – Now What?Landlords who are awarded a Judg-

ment against their tenants o� en do not realize that this is only

part of the process in recovering money owed them. A landlord may be awarded a judgment in one of several ways: 1) a judgment in an eviction action for rent, late charges, attorney fees, and court costs, as well as removal of the tenant from the rental property, or 2) a judg-ment in civil court (Small Claims, Jus-tice Court or Superior Court) for breach of the lease which can include lost rent until the lease ends or the premises are re-rented, plus property damage beyond normal wear and tear.

What most landlords do not realize is that the judgment is really nothing more than a piece of paper saying one person owes another a certain amount of money. � e courts do not act or have the power to collect the money due or force the losing party to pay. It is up to the landlord to use the procedures available through the courts to collect what is owed. � ere are a variety of av-enues available to a landlord, and some of them are the following.

� e credit reporting agencies do go to the courts and take the judgment information and place it in the tenant’s credit history. Judgments are enforce-able for � ve years and may be renewed at the end of each � ve-year period. � erefore, if the tenant attempts to buy a home, car, etc., the judgment should show up on their credit report, and they normally would have to pay o� the debt to complete the transaction. You can also record the judgment with the

County Recorder’s O� ce, but this is only bene� cial if the tenant owns real estate. A recorded judgment would have to be paid o� out of any sales pro-ceeds if the tenant’s real estate was sold in the future.

� e two easiest ways to collect are garnishment of wages or a bank ac-count. Garnishment papers are served on the employer or bank branch who must then obey the court judgment. An employer must deduct 15% to 25% (based upon hardship) of the tenant’s wages from each paycheck until the judgment is paid. A bank must release to the landlord all money in the account less a $150 per person exemption. � ere are some notice requirements under the Federal Fair Debt Collection Act as well as court � ling procedures that are too lengthy to discuss in this article but need to be observed. � e major prob-lem with garnishments is once a bank

account is levied upon, the tenant will most likely close the account and go to another bank. With employment there is always the possibility the tenant may lose their job, or if they are self-em-ployed, they will report no income.

Two other means to collect are the judgment debtor examination and the writ of execution, and both of these are available through the courts. A judg-ment debtor examination is a court or-der to the tenant to appear in front of the judge and to bring all documents concerning their assets (income tax re-turns, wage stubs, bank statements, a list of all personal property, etc.). Once in front of the judge, the tenant is put under oath and the landlord can exam-ine the documents and ask questions concerning them of the tenant. � e writ of execution is not an order to kill the tenant, but an order to the Sheri� or Court Constable to go to the tenant’s

new residence or place of business ( if self-employed or if the tenant owns it) and seize and sell any non-exempt property. � e Arizona Statues provide a list of what is exempt, and this covers most necessary furnishings as well as a vehicle. However, if the tenant has col-lections or other non-exempt property, these can be sold.

If all else fails, a landlord can always turn the judgment over to a reputable collection agency and let them pursue the former tenant. � e collection agen-cy generally will take a percentage, usu-ally 40 to 50 percent, of anything they collect. � is is why it is a good idea to have a provision in your lease that the tenant agrees to be responsible for any collection agency fees or costs in addi-tion to what is owed the landlord.

Another helpful tool is a thoroughly � lled out application at the beginning of the tenancy. � e application should have the tenant’s date of birth, social se-curity number, bank account informa-tion, as well as employment. Landlords should keep a copy of each rent check which will have the branch and account information. Keep in mind it is o� en easier to win your case in court than to collect what is due you. � is has been a general overview; you should consult your attorney for your speci� c case.

Andrew M. Hull, Esq.Hull, Holliday & Holliday, PLCwww.doctorevictor.com602.230.0088

Page 4: Rental Housing Journal Arizona April 2016

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Rental Housing Journal Arizona

Rental Housing Journal Arizona · April 2016

4Q15 Market Update ...continued from page 1� e medium term outlook is promis-

ing. � e RED Research Phoenix payroll model projects that 40,000 or more jobs will be created annually through 2018. � e 98.0% adjusted-R2 (S.E.=0.5%) model uses the rate of change of U.S. job growth (+); and metro income (+); home price (+) and lagged GDP (+) growth rates as predictive variables. � e annu-al rate of job creation is expected to re-main above 2% through 2018, at which point each of the independent variables is likely to turn over, yielding to slower net employment gains.

Occupancy Rate SummaryOccupancy Rate (Reis) 95.2%RED 50 Rank 31st

Annual Chg. (Reis) Unch’dRCR YE16 Forecast 93.9%RCR YE17 Forecast 94.0%RCR YE18 Forecast 94.5%RCR YE19 Forecast 94.8%RCR YE20 Forecast 94.8%

4Q15 Absorption and Occupancy Rate Trends

Quarterly apartment demand was constructive, if less than spectacular. Tenants absorbed 1,054 vacant units, according to Reis, down –586 units from the trailing � ve-year 4th quarter average (1,640) and short of our mod-el’s 1,124-unit in-sample forecast. � e model suggests that a combination of faster rent growth and home price ap-preciation in� uenced households to chose owner tenancy at the margin. Oc-cupancy was unchanged sequentially and year-on year at 95.2% a� er delivery of 1,082 new units.

Surveys of 658 large, stabilized prop-erties by Axiometrics found average oc-cupancy of 94.4%, unchanged sequen-tially and 30 basis points higher y-o-y. � is observation was Phoenix’s second highest since 2007. Occupancy was consistent across classes, led by class-B

(94.8%), with classes–A (94.3%) and –C (92.9%) trailing. Demand for new space was moderate: 42 recently constructed or rehabbed properties absorbed an av-erage of 12 units per month.

RCR statistical analysis suggests that changes in the rate of PHX apart-ment demand are attributable to job (+), home price (-), rent (-) and supply growth (+). As our forecast projects that home appreciation and rent growth will decelerate materially, rental demand will tend to rise. A� er a 2016 supply bubble is absorbed, occupancy is likely to recover to the 95% neighborhood in the forecast out years.

E� ective Rent SummaryMean Rent (Reis) $808Annual Change 5.3%RED 50 Rent Change Rank 13th

RCR YE16 Forecast 2.6%RCR YE17 Forecast 1.7%RCR YE18 Forecast 2.4%RCR YE19 Forecast 2.3%RCR YE20 Forecast 2.0%

4Q15 E� ective Rent TrendsReis report that metro average rent

increased 5.3% year-on -year in 4Q15, reaching $808. � e metric represent-ed the fastest annual growth record-ed in nine years, and placed Phoenix among the RED 50 top 15 for only the fourth quarter of the last 60. Valley rent growth was propelled by 6.3% and 2.0% same-store sequential quarter advances in the Gilbert/Chandler and Sunnys-lope submarkets, respectively.

Rents among same-store, stabilized properties surveyed by Axiometrics increased at a 7.6% y-o-y rate, down moderately from 3Q’s nine-year high 8.0% pace. Class-C properties (9.9%) enjoyed the fastest growth for the third consecutive quarter, followed by class-es-B (7.5%) and –A (5.4%). New proper-ties struggled to a degree, as assets with

4Q14 comparisons made only 2.9% gains. Maryvale (10.6%) and Mesa sub-markets (8.6%-10.6%) posted the stron-gest trends; S. Scottsdale (2.5%) and Central South (4.5%) the weakest.

RCR’s 96.4% ARS (SE=0.6%) rent growth model employs metro job (+), personal income (-) and home price (-) growth, and sequential quarter occu-pancy change (+) as independent vari-ables. As payroll and P.I growth rates are expected to decelerate and occupan-cy decline in 2016, rents are projected to follow suit. As metro economic perfor-mance and occupancy regain strength in 2018, rent trends should reaccelerate to the mid– to high 2% region.

Trade & Return Summary$5mm+ / 80-unit+ Sales 42Approximate Proceeds $1.32bnAverage Cap Rate (FNM) 5.1%Average Price / Unit $131,221Expected Total Return 5.2%RED 46 ETR Rank 37th

Risk-adjusted Index 3.96RED 46 RAI Rank 26th

4Q15 Property Markets and Total Returns

Investors exhibited tremendous en-thusiasm for Phoenix properties during 4Q15, closing on 42 acquisitions for aggregate proceeds of $1,324 million. Both total sales and sales velocity estab-lished new market records, rising from 31 trades and $759mm of proceeds in the comparable period of 2014. More-over, buyers moved up the quality curve dramatically as the unit weighted aver-

age age of traded properties plummeted from 43 and 27 years during 4Q14 and 3Q15, respectively, to 21 years. � e av-erage unit price soared as a result, rising 45% sequentially to $131,221.

Cap rates declined commensurately. According to CoStar, the average trans-action cap rate fell about 70 basis points to 5.5% from 1Q14 to 4Q15. Going-in yields for trophy asset were materially lower: class-A/B+ assets command-ed prices equating to mid-4% or lower caps, o� en on a pro forma basis for re-cent construction properties. Class-B caps settled in a 5%-5.75% range; class-B-/C around 6%.

RCR lowered the cap rate proxy 20 bps to 5.3% to re� ect current condi-tions. Our outlook for rent growth is somewhat at odds with market expec-tations as the proxy (6.2% terminal) generates only a 5.2% annual IRR on a 5-year hold, ranking 37th among the R46. Below average model standard er-ror boosts risk-adjusted returns, how-ever, as Phoenix ranks 26th among the peer group on this basis.

By Daniel J HoganDirector of [email protected] O� ce1-800-837-5100 Toll Free

continued on page 9

Page 5: Rental Housing Journal Arizona April 2016

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Rental Housing Journal Arizona · April 2016

continued on page 10

Window FilmHow its proper use can help you make money.

It’s somewhat of a secret that window � lm has more than one application. If used correctly and installed by a

professional, window � lm can deliver huge savings to building owners, espe-cially in warmer climates.

Over ten years ago we purchased a small o� ce building to move our busi-ness into. We moved in March, and as spring transitioned into summer and the sun came out more o� en, our space started heating up. � e air condition-ing system (about 6 roo� op and ground based split units), could not handle the load and labored to cool down the building. � e employees complained about the heat, and the high electric bill added insult to injury.

Installing new HVAC units would have been very expensive and the roof was not designed to support the addi-tional weight. We looked for another answer and found one at the booth of a window � lm vendor during a vendor open house hosted by the Institute for Real Estate Management.

� eir display was very simple. It con-sisted of a piece of glass with window � lm on one half of the glass. A heat lamp was positioned on one side of the glass and two thermometers were posi-tioned on the other side, one parallel to the clear glass and the other one next to

the glass covered in the � lm. It became clear in a moment that the window � lm reduced the heat load signi� cantly.

According to tests conducted by win-dow � lm manufacturers, the � lm re-duces heat loads from 25 to 85 percent. (Results vary depending on manufac-turer and type of � lm; research prod-ucts carefully to identify the best � lm for your need.)

� e location of the window � lm is also a factor. Installing � lm on win-dows that face east, south and west are typically more e� ective than on the shady north side of a building, and if your building is already well shaded, window � lm may not help at all.

Of course window � lm can be used in residential (single family and mul-tifamily) applications as well. Say you wanted to renovate an apartment com-plex in Phoenix and the windows are 25 years old. Rather than buy new win-dows, you can use window � lm and market the advantage of lower electri-cal bills to potential tenants. Owners of residential buildings in hot climates are responsible for maintaining the air conditioning units, so reducing the so-lar heat load with window � lm makes a lot of sense since it relieves stress on air conditioners.

Secondary bene� ts of window � lmAlthough reducing a building’s solar

heat intake is the primary purpose of window � lm, it has other advantages as well. It relieves the stress and result-ing wear and tear on the cooling unit, and reduces the need for individual fans, saving energy and money. Most of these � lms also almost completely (up to 99 percent) reject UV rays, extending the lifetime of carpeting and furniture in addition to mitigating the harmful

e� ects UV rays on people. As the tech-nology as developed, many � lm man-ufacturers have marketed other dual bene� ts their product.

Security and windstorms: � e 3M company has developed a � lm se-ries that will work e� ectively in wind storms of up to 185 miles per hour and will resist breaking and entering, if in-stalled by an experienced and certi� ed

By Cli� Hockley, President, Bluestone & Hockley Real Estate Services

Page 6: Rental Housing Journal Arizona April 2016

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Rental Housing Journal Arizona

Rental Housing Journal Arizona · April 2016

Eco-Friendly Updates ...continued from page 1 Are You Investing in Real Estate ...continued from page 1

table local appraiser there are very few green upgrades that will increase the value of the property itself. “Vinyl win-dows may be one of the best upgrades you can make,” said the appraiser “ten-ants like them because it saves money on heating. Plus it will add to the ap-praised value.” I asked her to what lev-el solar panels, tankless water heaters, and high e� ciency furnaces add to the value of real estate. Her answer was “none”. Every buyer expects applianc-es, furnaces, and water heaters to be in working order. It does not matter if they are high e� ciency as long as they work.

Appliances and heating/cooling sys-tems may not add value to your prop-erty at sale but may add value to your bottom line. � e potential savings on owner paid utilities such as gas, elec-tric, and water/sewer might make some “green” upgrades worth the investment. As a landlord you should consider in-vesting in upgrades that either make or save you money. If you are paying the utility bill for units being heated during Oregon winters, putting in a high e� ciency furnace might be a good long term investment for you. If you do not pay for the utilities, you will be spending money on upgrades that will only save tenants’ money unless you plan on passing that expense on to the tenant in the form of a rent increase or utility bill back.

Most small plexes are not separately metered for water and sewer and the owner is likely responsible for the wa-ter/sewer bill. If that is the case making small changes like low � ow toilets, low � ow shower heads, and low � ow faucet

aerators could save you a substantial amount of expense on your water bill over time. Another consideration is low maintenance landscaping. Grass may look good but does come with added upkeep. Look at your annual landscape expense for the last few years. You may � nd that lower maintenance landscap-ing which consists of native plants, shrubs, and trees will save you money over time.

� ink about your short and long term � nancial goals and ask yourself if making “green” improvements to your properties is putting more “green” into your pocket.

Switch to LEDs: Increase savings easily by converting to LED lighting, which uses approximately 84 percent less energy than incandescent bulbs and lasts 25 times longer. Install LED lighting in interior � xtures, pathways, hallways and parking garages. Also consider decorative LED options for communal areas. LED technology is in-tegrated in a variety of lightbulbs and � xtures, allowing for an easy transition and customization for the property.

Invest in HVAC: Switch to high-e� -ciency, ENERGY STAR®-certi� ed units and reduce air-conditioning energy us-age by up to 50 percent. Maintain the longevity by cleaning the evaporator coils and drain channels to prevent po-tential clogging. � ese practices will re-duce unnecessary wear and tear on the AC unit. Take extra steps to improve the air quality for residents by having maintenance change air � lters regular-ly, at least every 1-3 months.

Conserve WaterTend to the bathroom: Reduce wa-

ter usage by updating toilets, shower-heads, faucets and additional bathroom accessories with WaterSense-labeled products, which are approximately 20 percent more e� cient. Excessive water usage can be a sign of leaky plumbing, so inspect plumbing � xtures for leaks annually to avoid water damage and potentially high out-of-pocket costs.

Update water heaters: Upgrade water heaters to newer units that are compliant with more energy e� cient standards that went into e� ect in 2015 – some of which can have the output

of a 50-gallon unit with the footprint of a 30-gallon unit. � is is an excel-lent option when hot water is needed and space is limited. Insulate the water heater with a blanket for extra savings.

Maintain the landscaping: Maintain a green space and reduce water usage with a low-water-use landscaping or xe-riscaping plan. Mulch and drought-tol-erant plants, such as cone� owers, day-lilies or butter� y weeds, can help reduce and / or minimize excessive watering. Adding decorative gravel and well-aer-ated soil will enhance a walkway or landscape bed, while also conserving water and adding nutrients to the green space. Improve water e� ciency even further with smart irrigation technolo-gy. Smart controllers can reduce annual bills as much as 15 percent by watering plants only when necessary.

By Scott Matthews, Direc-tor, Strategic Accounts, � e Home DepotScott is responsible for man-aging national accounts

and e-commerce while overseeing busi-ness-to-business relationships. During his 25 years at The Home Depot, he has served in a va-riety of roles and capacities, including Regional Pro Sales Manager, District Manager and Store Manager. 

Page 7: Rental Housing Journal Arizona April 2016

7

Rental Housing Journal Arizona

Rental Housing Journal Arizona · April 2016

Being a landlord inevitably in-cludes dealing with tenant com-plaints. Managing those com-

plaints promptly and e� ectively is essential for your relationships with the tenants, the security of your property and last but not least – for your land-lord’s reputation. If you approach the problems in a professional manner, you are de� nitely going to lessen the chance of some legal issues as well.

Here are the 4 most common tenant complaints and a few useful tips on how to deal with them. Some of them can occur during the tenancy period, but others you can easily foresee and han-dle in advance.

The property is not clean enoughAbsolutely no tenant will be pleased

by the thought that they will have to start cleaning the property from the very second they move in. In fact, few people will be willing to rent a place where domestic cleaning hasn’t been done since forever. So it is a great idea for you to give your rental property a good cleaning before the new tenants come and avoid starting your relation-ship making the wrong impression. In case you are not capable of taking proper care of the hygiene, maybe you should hire a professional cleaning company at least a week before the scheduled moving day. Make sure no stains and dust will greet your tenants as they go through the door.

Something does not work properlyAppliances and facilities just stop

working sometimes; it happens no matter that no one wants it. Test all do-mestic appliances in advance to prevent complaints from your new tenants. In case the same person has been renting your property for a certain period of time, make sure you respond imme-diately to their signal. A clogged sink or an oven which cannot heat may be or not be your tenant’s fault, but you have to handle the matter in both cas-es. Check the issue as quickly as you can and make an appointment with an expert if you are not capable of dealing with the problem by yourself. Warn the renter when to expect a plumber for ex-ample and pay for the service. You can � gure out who is � nancially responsible

Common Tenant Complaints and How

to Handle � em

a� er the specialist has done their job and things are under control again.

Pest complaintsRegardless of how clean the tenant

keeps your property, unfortunately pests can always invade it due to many reasons other than irregular cleaning. If the adjacent apartments, for example, have been infested with mice or bugs, this can turn out to be a great problem. As a decent landlord, you should react immediately to such complaints. � e best thing you can do when it comes to pest control is to hire an exterminator to handle the pests in your property. It will be wise of you to schedule a second appointment a� er 7 – 10 days and thus ensure the safety of both your property and tenants.

Inoperative keysIf you are not a � rst-time landlord,

you should not at all be surprised by such a complaint from your tenants. Keep an extra set of keys at your dis-posal for emergency situations. Should you � nd that the lock is hard to open, it would be wise to change it as soon as possible or you may have to change the whole door if somebody gets locked inside eventually. Buying an installing a new lock promptly will make things much easier for you and your tenants. Do not forget to change the locks every time when a tenant ends your contract is an additional security measure.

Doing your best to help your tenants will always be appreciated, so do not hide when they complain about some-thing. A� er all, renting a property is a kind of a job and you will have to do it well if you want to get your rent on time.

Page 8: Rental Housing Journal Arizona April 2016

SK THE SECRET SHOPPERPets & Children

Many apartment communities strive to create a welcoming o� ce environment in order

to put prospective residents at ease. From aromatic scents and freshly baked cookies to a warm � re, these comforts communicate a feeling of “home.” How-ever, when managers have an o� ce con-nected to their apartment or even inside their apartment home, sometimes the lines between the professional o� ce and an employee’s personal space can blur.

QI supervise several apartment build-

ings in which many of my managers work out of an o� ce attached to or in-

When someone is looking for an apart-ment, they do not expect to enter a leas-ing o� ce; which is a “place of business,” and � nd themselves confronted by a dog. � ey also aren’t thinking they have to be prepared with a medication to counteract their body’s response to an extreme cat allergy. � ey are expecting a professional business setting where they plan to get information about rent-ing an apartment.

As with any other o� ce policy or procedure, something in writing re-garding these issues will help your em-ployees know what the expectations are. It might seem like “common sense” to you for your managers to keep their

side their apartment. Some of these em-ployees have young children and pets. O� en when I call these properties, I hear a dog barking or a child crying, and not always in the background. Sometimes I am even put on hold while the man-ager deals with an urgent child-relat-ed matter. I am concerned about these situations and how they are a� ecting residents and prospective renters. How-ever, I’m not quite sure how to deal with this issue since these managers have a personal residence attached to or com-bined with their o� ce.

AYou have a valid concern and it needs

to be addressed. Yet, much respect and consideration are required when deal-ing with people regarding their pets and children. - ESPECIALLY their children! However, your employees must be made to understand you have certain expectations regarding o� ce protocol during business hours. If your employees are regularly allowing their children or pets to be in the leasing of-� ce during these hours, then this is a disruption to the leasing process and an inconvenience to your residents or pro-spective renters.

Regarding pets, this could end up becoming a liability for your company, community and/or owner. Many peo-ple have pet allergies and/or phobias.

personal lives separate from their pro-fessional lives. On the other hand, when people “live where they work,” it’s not always easy to keep the lines clearly de-� ned; these managers have an obliga-tion to their families as well as to their residents and employer.

No matter what type of situation you are dealing with on site, it’s important to keep the lines of communication open. � is will ensure the onsite managers understand your expectations and help reassure them you are committed to providing the support they need. � at way, they can handle their responsibili-ties at work, as well as at home, and put appropriate distance between the two. A� er all, employee turnover can have an even greater impact on the dynam-ics of your community and bottom line, than apartment turnover.

If you are interested in leasing train-ing or have a question or concern you would like to see addressed, please reach out to me via e-mail. Otherwise, please contact Jancyn for your employ-ee evaluation needs: www.jancyn.com

ASK THE SECRET SHOPPER Provided by: Joyce (Kirby) Bica Former owner of Shoptalk Service Evaluations Consultant to Jancyn Evaluation ShopsE-mail: [email protected] © Joyce (Kirby) Bica

Invite us to bid and we’ll show you

8

Rental Housing Journal Arizona

Rental Housing Journal Arizona · April 2016

How Wireless Securityis Transforming the Real Estate Industry

The real estate industry has long been faced with a problem: “You can’t be everywhere at once.” It

feels impossible to monitor your prop-erty and sta� , without forgoing your other tasks. But now, with new wireless technology there is � nally a solution. A professionally monitored wireless secu-rity system gives real estate profession-als essential insights into their units. More and more real estate professionals are using wireless alarm systems, to pro-tect vacant homes, keep an eye on their sta� , prevent water damage and provide extra value to their tenants.

Keep an Eye on Vacant Properties:When you’re not around, what’s hap-

pening to your properties? You hope that the answer is “Nothing”, but you worry. What if someone has broken into your home? Between squatters and copper thieves, there are many reasons to be concerned. Copper the� can cause tens of thousands of dollars in damage. In the old days, a wired security system was the only option, but the contract and need for a landline phone usual-ly made this a non-starter for a vacant property. With a professionally mon-itored wireless security system at the property, you can keep this worry at bay. When your property is monitored, if you ever have a break-in, the police will be on their way immediately. � e siren will sound, and the would-be-bur-glars won’t have time to steal from you.

And when you’re selling the proper-ty, a security system is an easy way of letting realtors in and out. You can set up a speci� c PIN for them, and you’ll be able to see when they come, and how long they stay! With a home security system, you’ll know that the property is protected by more than just a lock box and a lock.

Know when your maintenance sta� comes and goes:

With an alarm system, you can cre-ate custom PINs that will let you know when contractors enter and exit. Many of the property managers we spoke with told us that they use this feature to make sure work that needs to get done

gets done. Know who has come and gone from what apartment or home easily. You can make sure that your maintenance needs are addressed, that your sta� is doing its diligence, and just in case, you have a record of it all!

If you and your renters agree, you can also set up a speci� c maintenance PIN. � e maintenance PIN can be added for all units and will not be able to be seen by the tenants. Consequently, you can use the same number for each proper-ty, without security risk, by adding a maintenance PIN.

Stay on top of your pipes and plumbing:

New wireless security systems, let you monitor the environment in your prop-erties. Worried about freezing pipes? No need with a freeze sensor. You’ll be able to access the temperature at the property remotely, you never need to stress, or get in your car and drive down to check the property out. Assurance at your � ngertips.

And it’s not just the freezing pipes that a security system helps you com-bat. Never worry about whether or not the pipes burst, or if a washing machine is leaking. To the average apartment, water can cause $11,000 or more worth of damage. Water damage is expensive and time consuming to repair, but water sensors let you know as soon as they de-tect even a small amount of water. � is way you can prevent any damage from happening and move on with your day.

Provide Extra Value to Tenants:With wireless security systems, once

you buy your system, they belong to you. � erefore, you can do anything you’d like with them. � is includes providing systems to your tenants. It’s easy to transfer ownership. Alterna-tively, many property owners and land-lords rent the security system as part of the apartment. You can either have the tenant subscribe to the monitoring service, or you can take care of this for them! Your tenants will love the extra security that comes with your homes!

Page 9: Rental Housing Journal Arizona April 2016

� e information contained in this report was prepared for general information purposes only and is not intended as legal, tax, accounting or � nancial advice, or recommendations to buy or sell currencies or securities or to engage in any speci� c transactions. Information has been gathered from third party sources and has not been independently veri� ed or accepted by RED Capital Group. RED makes no representations or warranties as to the accuracy or completeness of the information, assumptions, analyses or conclusions presented in the report. RED cannot be held responsible for any errors or misrepresentations contained in the report or in the information gathered from third party sources. Under no circumstances should any information contained herein be used or considered as an o� er or a solicitation of an o� er to participate in any particular transaction or strategy. Any reliance upon this information is solely and exclusively at your own risk. Please consult your own counsel, accountant or other advisor regarding your speci� c situation. Any views expressed herein are subject to change without notice due to market conditions and other factors.

9

Rental Housing Journal Arizona

Rental Housing Journal Arizona · April 2016

4Q15 Market Update ...continued from page 1

Page 10: Rental Housing Journal Arizona April 2016

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Circulated to over 10,000 apartment owners,on-site and maintenance personnel monthly

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Rental Housing Journal Arizona

Rental Housing Journal Arizona · April 2016

Window Film ...continued from page 5 Arrest Records in Federally ...continued from page 2

When a property is denying an appli-cant an opportunity to reside in pub-lic or other federally assisted housing, properties are also required to ensure that the applicant’s due process rights are protected. Under these require-ments, if an applicant is being denied the right to rent federally assisted hous-ing due to an arrest or other evidence of criminal conduct, that applicant must be noti� ed of the reason why the ap-plication is being denied, and must be given an opportunity to refute the evi-dence relied on by the property and to show why he/she should be permitted to rent there.

Implementation of ProtocolsIn order to ensure that applicants and

residents are not refused housing or evicted from federally assisted housing, HUD is also requiring the property to establish protocols to ensure that any screening, eviction or termination of as-sistance policies and procedures comply with the Fair Housing Act (FHA) and this memo. To that end properties are expected to institute protocols to assure that their procedures and standards are consistently applied and that decisions are based on accurate information.

Best PracticesFinally the HUD memo identi� es sev-

eral practices that it considers appropri-ate for screening for criminal activity. Among other things it endorses policies that enumerate the speci� c factors that will be considered in decided whether to exclude an applicant, including:

1. Whether the applicant’s of-fense bears a relationship to the safety and security of other residents.

2. � e level of violence, if any, of the conviction for which the applicant was convicted.

3. � e length of time since the applicant’s incarceration.

4. � e number of convictions that appear on the appli-cant’s criminal history.

5. If the applicant is now in recovery for an addiction, wither the applicant was under the in� uence of al-cohol or illegal drugs at the time of the o� ense.

6. Any rehabilitation e� orts that the applicant has un-dertaken since the time of conviction.

Similarly, criteria that should be eval-uated in determining to evict include:

1. � e seriousness of the o� ending action, espe-cially with respect to how it would a� ect other residents.

2. � e extent of participation or culpability of the lease-holder, or other household members, in the o� ending action, including wheth-er the culpable member is a minor, a person with disabilities, a victim of domestic violence, dating violence, sexual assault, or stalking.

3. � e e� ects that the evic-tion will have on other family members who were not involved in the action or failure to act.

4. � e e� ect on the commu-nity of the eviction or fail-ure to evict the person.

5. � e demand for housing by eligible families who will adhere to lease responsi-bilities.

installer. � is micro layered technology is typically blast and tear resistant (see their website for examples).

Anti Gra� ti / Surface Protection Se-ries: 3M also o� ers products that are gra� ti and scratch resistant. � ey can be either 4 or 6 millimeters thick and o� er protection from taggers in high risk areas by using an invisible sacri-� cial layer to protect glass from acid etchings, scratches and tagging. � is layer can also protect window surfaces from regular wear and tear.

� is product solved a recurring tag-ging problem we had at a commercial building we manage in a high risk area. Vagrants had repeatedly defaced the windows using keys and other mate-rials. We replaced the windows twice before discovering this window � lm. � at was eight years ago. � e surface is scratch resistant and has held up well. � ough there is evidence of attempts of attacks to the surface since the in-stallation, the perpetrators eventually became frustrated by the lack of results that they stopped attacking the build-ing altogether. If, perchance, they have some success, we can always strip o�

the � lm and replace it rather than in-stalling a new window.

� e � lm o� ers the added bene� ts of heat load protection (these windows are on the south side), and privacy. � e window � lm is dark and re� ec-tive which makes it di� cult to look into the space, (preventing a thief from “casing the joint” by looking through the windows.)

Saving you moneyIn select situations, window � lm can

be used to reduce heat load, the stress on HVAC systems, electrical bills, glare and crime. It also distributes light bet-ter in some applications. As you trou-bleshoot operational problems and/or attempt to reduce energy needs, consid-er the use of window � lms as an eco-nomical alternative to window or cool-ing unit replacements.

Note: � ere are any more uses of window � lms. In a future article we will address how window � lms can be used decoratively or to increase pri-vacy in the interior of buildings with glass walls.

DEAR MAINTENANCE MEN:

Page 11: Rental Housing Journal Arizona April 2016

Circulated to over 10,000 apartment owners,on-site and maintenance personnel monthly

Call 503-221-1260 for more information

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CHECK-IN/CHECK-OUT CONDITION REPORTTENANT(S): __________________________________________________________________

ADDRESS: ________________________________________________UNIT: ______________

CITY: ___________________________________ STATE: ________ ZIP: _________________ellent (VG) Very Good (G)Good (F)Fair (P)Poor

Rating Scale = (G)Good (F)Fair (P)Poor

Rating Scale = (E)Exc (G)Good (F)Fair (P)Poor

Rating Scale = (E)Exc

P)Poor

Rating Scale = (E)Excellent (VG) Very GoodP)Poor

Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor

Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor

Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor

Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Out

In OutBEDROOM 3

Walls

Windows

Blinds/Drapes

Rods

Floor

Light Fixtures

Doors/Woodwork

LocksLocks

CeilingsCeilings

Electric OutletsElectrical Outlets

Smoke DetectorsGarbage Cans

TV Antenna/Cable

BATH ROOMFireplace

Towel BarsCleanliness

Sink & Vanity

ToiletBEDROOM 1

BEDROOM 2Tub/Shower

Walls

Walls

Fan (Exhaust)Windows

WindowsFloor

Blinds/DrapesBlinds/Drapes

Electric OutletsRods

Rods

Light FixturesFloor

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Light FixturesEssential ServicesEssential Services

Doors/WoodworkDoors/Woodwork

PlumbingLocks

Locks

HeatingCeilings

CeilingsElectricity

Electrical OutletsElectric Outlets

Hot WaterSmoke Detectors

Smoke DetectorsSmoke Detectors

WA-RTG-20 Washington

©2009 NO PORTION of this form may be reproduced without written permission.

TENANT(S): __________________________________________________________________

ADDRESS: ________________________________________________UNIT: ______________

CITY: ___________________________________ STATE: ________ ZIP: _________________ (G)Good (F)Fair ( (G)Good (F)Fair (P)Poor

Out

BEDROOM 3

Walls

Windows

Blinds/Drapes

Rods

Floor

Light Fixtures

Doors/Woodwork

Locks

Ceilings

Electric Outlets

Smoke Detectors

(G)Good (F)Fair (

48-HOUR NOTICE OF ENTRYTENANT(S): ____________________________________________________ DATE:________

ADDRESS: ____________________________________________________ UNIT: _________

CITY: _________________________________________ STATE: __________ ZIP: _________48-HOUR NOTICE OF ENTRY

Pursuant to RCW 59.18.150, this is your 48 hour notice that your landlord or their agents will be

entering the dwelling unit and premises located at (Address)______________________________________________________________________________on between the hours of and . (Date) (Time) (Time)The entry will occur for the following purpose:______________________________________________________________________________

______________________________________________________________________________

Landlord Phone

Method of Service: Personal Service: Post and Mail: ** Add one additional day for compliance if served by post and mail.

WA-RTG-40 Washington

©2009 NO PORTION of this form may be reproduced without written permission.

48-HOUR NOTICE OF ENTRYTENANT(S): ____________________________________________________ DADDRESS: ____________________________________________________ UCITY: _________________________________________ STATE: __________

48-HOUR NOTICE OF ENTRYPursuant to RCW 59.18.150, this is your 48 hour notice that your laentering the dwelling unit and premises located at (Address)______________________________________________________________________________ between the hours of (Date) (Time)

The entry will occur for the following purpose:______________________________________________________________________________

______________________________________________________________________________ Landlord Phone

Method of Service: Personal Service: Post and Mail:* Add one additional day for compliance if served by post and m

48-HOUR NOTICE OF ENTRYTENANT(S): ____________________________________________________ DADDRESS: ____________________________________________________ UCITY: _________________________________________ STATE: __________

48-HOUR NOTICE OF ENTRYPursuant to RCW 59.18.150, this is your 48 hour notice that your laentering the dwelling unit and premises located at (Address)______________________________________________________________________________ between the hours of (Date) (Time)

The entry will occur for the following purpose:______________________________________________________________________________

______________________________________________________________________________ Landlord Phone

Method of Service: Personal Service:

* Add one additional day for compliance if served by post and m

CHECK-IN/CHECK-OUT CONDITION REPORTTENANT(S): __________________________________________________________________ADDRESS: ________________________________________________UNIT: ______________CITY: ___________________________________ STATE: ________ ZIP: _________________Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor IN Out In Out In OutLIVING AREAS KITCHEN BEDROOM 3Walls

WallsWindows

WindowsBlinds/Drapes

Blinds/DrapesRodsRods

FloorFloor

Carpet/Vinyl/WoodLight FixturesLight FixturesDoors/WoodworkDoors/WoodworkLocks

LocksCeilings

CeilingsElectric OutletsElectrical Outlets

Garbage Cans

TV Antenna/CableBATH ROOMFireplaceTowel BarsCleanlinessSink & Vanity

ToiletBEDROOM 1 BEDROOM 2 Tub/ShowerWalls Walls Fan (Exhaust)Windows Windows FloorBlinds/Drapes Blinds/Drapes Electric OutletsRods Rods Light FixturesFloor FloorLight Fixtures Light Fixtures Essential ServicesEssential ServicesDoors/Woodwork Doors/Woodwork PlumbingLocks Locks HeatingCeilings Ceilings ElectricityElectrical Outlets Electric Outlets Hot Water

Smoke Detectors

OR-RTG-20 Oregon

©2011 NO PORTION of this form may be reproduced without written permission.

CHECK-IN/CHECK-OUT CONDITION REPORTTENANT(S): __________________________________________________________________ADDRESS: ________________________________________________UNIT: ______________CITY: ___________________________________ STATE: ________ ZIP: _____________Rating Scale = (E)Excellent (V(E)Excellent (V(E)Excellent (V(E)Excellent (V(E)Excellent (VG) Very Good (G)Good (F)FG) Very Good (G)Good (F)FG) Very Good (G)Good (F)FG) Very Good (G)Good (F)F

IN OutLIVING AREAS KITCHENWalls

Windows

Blinds/Drapes

Rods

Floor

Carpet/Vinyl/Wood

Light Fixtures

Doors/Woodwork

Locks

Ceilings

Electrical Outlets

Garbage Cans

TV Antenna/Cable

Fireplace

Cleanliness

PET AGREEMENTTENANT INFORMATION

TENANT(S): ____________________________________________________ DATE:________ADDRESS: ____________________________________________________ UNIT: _________CITY: _________________________________________ STATE: __________ ZIP: _________

DESCRIPTION OF PET(S)

1) Type _______________ Breed _______________ Size ______ Age __ Weight ___ Color ____ Name ________ Vaccinations: Yes____ No____ License Number: ______________

2) Type _______________ Breed _______________ Size ______ Age __ Weight ___ Color ____ Name ________ Vaccinations: Yes____ No____ License Number: ______________

3) Type _______________ Breed _______________ Size ______ Age __ Weight ___ Color ____ Name ________ Vaccinations: Yes____ No____ License Number: ______________

Additional Security Deposit Required:$

AGREEMENTTenant(s) certify that the above pet(s) are the only pet(s) on the premises. Tenant(s) understands that the additional pet(s) are not permitted unless the landlord gives tenant(s) written permission. Tenant(s) agree to keep the above-listed pets in the premises subject to the following terms and conditions:

1) The pet(s) shall be on a leash or otherwise under tenant’s control when it is outside the tenant’s dwelling unit. 2) Tenant(s) shall promptly pick up all pet waste from the premises promptly. 3) Tenant(s) are responsible for the conduct of their pet(s) at all times. 4) Tenant(s) are liable for all damages caused by their pet(s). 5) Tenant(s) shall pay the additional security deposit listed above and/or their rental agreement as a condition to keeping the pet(s) listed above. 6) Tenant(s) shall not allow their pets to cause any sort of disturbance or injury to the other tenants, guests, landlord or any other persons lawfully on the premises. 7) Tenant(s) shall immediately report to landlord any type of damage or injury caused by their pet. 8) This agreement is incorporated into and shall become part of the rental agreement exe -cuted between the parties. Failure by tenant to comply with any part of this agreement shall constitute a material breach of the rental agreement.

_____________________________ ______________________________Landlord Tenant ______________________________ Tenant

OR-RTG-24 Oregon

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• No other colors are acceptable for use for the logo.

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BLACK WHITE (with 40% gray circle)

PMS 280/PMS 7543 over colorBlue PMS 280/Gray PMS 7543

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do NoT put over a busy backgrounddo NoT change the color do NoT alter in any way

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Rental Housing Journal Arizona

Rental Housing Journal Arizona · April 2016

Dear Maintenance Men:I am going to university and want

to use my DYI skills to supplement my income.  Being that I live in a college town, there are a lot of rentals aimed at students.  Since students are sometimes hard on their living quarters and move a lot, I � gured there might be a main-tenance market for repairs and making rooms and rental units rent ready.  I don’t have a lot of money to invest in tools and want your recommendation for the minimum I might need tool wise to get started?

Bryan

Dear Bryan:Good thinking Bryan, you might just

be on to something; students can be a bit hard on rental units! Keeping in mind that as a college student yourself, you have limited funds, so other than a cordless drill, we will leave power tools out of the picture. � e majority of the repairs will involve drywall, plumbing and cleaning. Other than light bulbs, leave the electrical to the pros.

Basic Tools• Retractable utility knife• 5 in 1 paint scraper• Drywall saw• Drywall mud and tape• Bucket• Hacksaw• Claw hammer• Tape measure 25’• Caulking gun• 6 way screwdriver• Adjustable wrench• Channelock tongue & groove pliers • Small hand snake for bathroom sinks. • Toilet plunger• Broom and dust pan• Gloves• Flashlight• Safety glasses• Step stool• Cordless drill/screwdriver

� is is a limited tool set used for light duty work. Try to buy quality tool. Many can be found at garage sales

DEAR MAINTENANCE MEN: By Jerry L’Ecuyer & Frank Alvarez

Maintenance Tools & City Inspections

Rental Housing Journal Arizona

DEAR MAINTENANCE MEN:

for a fraction of the retail price. With these tools, you will be able to change a faucet, repair drywall holes, unclog bath sink drains, caulk bathtubs, haul trash etc.

Dear Maintenance Men,I am planning major remodel work to

my 4plex and need some advice. My con-tractor has told me not to worry and he will have everything under control but I know that city inspections can cause se-rious delays if we are not ready for them or do something wrong. I am not an expert or experienced in construction, what should I watch for as far as the ac-tual inspections are concerned?

Bob-

Bob,It is not o� en we are able to share our

experience on the actual General Con-tracting and building side of our busi-ness so, thank you for your question.

We have listed the top reasons why professionals do not pass inspections taken from a 2015 JLC (Journal of Light Construction) survey.

Foundation: Improper reinforcement or support of rebar

Wall Framing: missing � re-blocks, hold down straps etc.

Floor framing: missing anchor bolts, sheeting nails missing joist.

Trusses: bracing not installed, im-properly connected to wall plate

Roo� ng: over driving of nails in shingles, missing nails, incorrect felt

Window and Door: improper � ash-ing, inadequate � re rating, improper weather stripping

Handrail: Improper height or spacing

Plumbing: missing nail plates, im-proper pipe support

Electrical: missing grounds, GFCI protection, labeling of circuits

Decks: deck not built according to the plans, improper handrail installation

Dear Maintenance Men:I have been contemplating the pur-

chase of a high pressure sprayer for my employees to use in maintaining and cleaning around my apartment build-ings. Because these pressure washers produce a powerful stream of water, I am worried about my employees hurting themselves or damaging the building. What size machine do you recommend and how safe are they to use? Should I rent one � rst?

Julia

Dear Julia:As with any large ticket items it is al-

ways prudent to “try before you buy”. Fortunately there are a variety of rental places to choose from which carry all sizes, makes and models.

A rental yard will o� en use the best and longest lasting machines. Most times these companies can provide you with the best information on the prod-ucts in regards to maintenance, wear & tear, life expectancy and performance.

In regards to workers safety, look at the operators manual for the best ad-vice on personnel safety wear and use. � ese machines can produce a very powerful jet of water capable of ripping through clothing, skin and even break

small bones. You should always wear goggles, leather gloves, and steel toe leather work boots with nonskid soles.

Stucco & wood siding is especially susceptible to damage when using a power washer. Use the lowest setting and wide spray nozzle to avoid damage. Lightly mist stucco surfaces if cleaning is your objective. Keep nozzle adjusted to spray not stream and approx. 2’ to 3’ away from the surface.

As with most things, proper train-ing will help insure safe usage of power tools.

Bio:Please call: Bu� alo Maintenance, Inc for main-tenance work or consultation. JLE Property Management, Inc for manage-ment service or consultationFrankie Alvarez at 714 956-8371 Jerry L’Ecuyer at 714 778-0480 CA contractor lic: #797645, EPA Real Estate lic. #: 01460075Certi� ed Renovation Company www.Bu� aloMaintenance.com www.ContactJLE.comwww.Facebook.com/Bu� aloMaintenance

Page 12: Rental Housing Journal Arizona April 2016

12

Rental Housing Journal Arizona

Rental Housing Journal Arizona · April 2016