You’ll find our blog to be a wealth of information, covering everything from local market statistics and home values to community happenings. That’s because we care about the community and want to help you find your place in it. Please reach out if you have any questions at all. We’d love to talk with you!
Though this blog is coming out a bit late, it’s time for March’s tidy house drawing! Watch the video above to see me fairly choose a winner from our Guardian Realty bucket. Drum roll please… and the winner is Charne from Rawhide Court—congratulations! It’s such a pleasure to be able to reward our tenants who are taking excellent care of our houses.
If you ever have any questions or want to learn more about our benefits program, please give us a call or send an email. We’d love to help you.
Rents have skyrocketed across the United States, and Nevada is no exception. I’ve been raising rents at a much higher rate than I ever have in the 10 years that I’ve rented out properties. The idea of rent control is altruistic, but the reasons that we’re in this so-called rent bubble are inflation and continued government interference in a market that should be left to work itself out.
Rent control has the opposite effect of what legislators intended. Places where rent control has been implemented, like San Francisco and New York, have the highest rents in the country—and it’s because of rent control. Fewer people move into these areas because the people who got a great deal on rent decades ago have no motivation to move, which reduces the supply of available properties. That, in turn, increases demand.
"Rent control has the opposite effect of what legislators intended."
That has the effect of drastically increasing the prices of those properties that do end up on the market. When I lived in San Francisco, a little studio apartment that might just have a kitchenette and bathroom could cost as much as $5,000 or $6,000!
Hopefully this has inspired you to do your research on the effects of rent control. If you have any questions or would like to talk about this in more detail, feel free to give me a call or send me an email. I look forward to having an open and honest dialogue with you.
It’s time for another Tidy House drawing! Before I choose February’s winner, I have some really cool news to share about our tenant rewards program.
Today I got an email from Piñata, the rewards company we use, saying that one of our tenants also won their drawing and will be issued $1,000 today. Just know that when you're a tenant of ours, we take good care of you. We’re happy to reward tenants who are taking care of our properties and paying their rents on time.
Without further ado, the Tidy House winner for February is Robert at Park City. Congratulations, Robert! You have a $250 gift card on the way.
If you have any questions about our rewards program or anything else, don’t hesitate to reach out via phone or email. We look forward to hearing from you soon.
A few years ago, my husband and I sat down to solve a problem. Every six months, we would visit all the rental properties we manage and do preventative maintenance, but the tenets weren’t always complying with the scheduling. We realized that they didn’t have any incentive to schedule a time to change out the air filter, spray for bugs, check the smoke detectors, etc.
We came up with the tidy house drawing. When we see a house, it is entered into the drawing if it meets the six criteria for a tidy house. Those criteria use the same verbiage as our lease agreement on what is expected to maintain the property. Every month, we hold a drawing, and a tenant will win $250. The tenets now pay a small fee toward preventative maintenance to essentially fund this rewards program.
We started doing this before COVID, but it was harder to get into the houses safely during the pandemic. We started looking into other ways to reward the tenants, like encouraging them to pay the rent on time. We signed up with a company called Piñata. They get a monthly report that lets them know which tenants have paid on time, and those tenants get points on their app. As they build up their points, they can get gift cards to Target, Walmart, restaurants, and all sorts of other places.
After each drawing, we usually tell the owner that their tenant won. We’ll also call the tenant, post the drawing results on our Facebook, and set up a time to bring them their gift card. Coming out in person gives us more time to talk with the tenant and walk the house in a more leisurely fashion and see if there’s anything that needs a little more attention.
The winner for January is David at Red Oak Canyon. Congratulations, David! This drawing is always one of the best parts of my job. I love being able to reward people for just being good tenants. If you have any questions, feel free to call or email us. We would love to hear from you.
I manage a couple of high rises, and they require a certain amount of insurance, particularly for plumbing because if it’s not done right, it can flood multiple units. There are many plumbers out there who like to gouge people with their prices.
The other day, I had a plumber that I worked with a couple of years ago come out to a high rise to replace a garbage disposal. He quoted me $450, which is a little high for a garbage disposal, but you sometimes have to take what you can get for a high rise. However, last night he sent over the invoice that now says it’ll be $635, which is beyond what I’m allowed to spend without owner approval.
When I questioned him about it, he said that there’s a diagnostic fee of $185, but when I broke down the math with him, the disposal costs $100, the diagnostic fee is $185, which means he’s charging me $450 for his labor. His labor took less than half an hour, which means he’s making two times “per hour” more than an anesthesiologist, who makes $198 per hour. I told him I’d be paying him $450 since that’s what he originally quoted me, and we would no longer be doing business together. I have to find another plumber who is willing to work on high rises.
The lesson to take away from my story is that it’s crucial to ask plumbers what the full cost will be (even though I did ask that), to ensure they don’t add extra fees. If I hadn’t asked that originally, I may not have known how much I was being gouged by this plumber. It’s also critical to have a professional property manager working for you who understands the cost of materials, knows the time it takes to repair things, and can navigate vendors and push back if needed so you’re not taken advantage of in any situation.
Feel free to contact me via phone or email if you have any questions or concerns about this topic. I would love to speak with you.
When we go to the gas station or the grocery store, it’s easy to notice that inflation is causing prices to increase, but we tend not to think about the fact that inflation affects every part of our lives. That includes investors and their repair costs. Our vendors are experiencing the same thing, as the cost of materials like paint, garbage disposals, and wood have risen.
So what can be done about it? Sadly, there’s not much I can do about inflation, no matter how much I wish I could! However, one of the ways we’re combatting it is through rental increases. Bear in mind that there’s a fine line between increasing the rent and ensuring that our tenants stay in place. We’ve been evaluating every rental to see what we could get away with in terms of increasing the rents so that it could help cover the cost of materials and repairs while also ensuring that the tenants stay.
It has been an interesting balancing act, but many tenants understand what’s going on. We’ve been able to get increases on anywhere between 100 and 250 tenant’s properties without much pushback.
Here at Guardian, we look at the big picture. We’re doing everything that we can to protect your investment and help you deal with this new economy of inflation. If you have questions or need any assistance, feel free to give us a call or send an email. We’d love to hear from you.
Yesterday, Chanel 3 here in Las Vegas reported that mom-and-pop landlords have a 56% delinquency rate since the eviction moratorium ended. Today I want to discuss this report and find out what’s happening.
When this report first appeared, it had a lot of property managers upset because it didn’t seem to reflect their reality. Today I was able to read a study commissioned by the Nevada Association of Realtors on delinquency rates that tracked the stat from March 2020 to February 2021. This time frame is important because most property managers haven’t seen any rental assistance money until the last few months.
The total number of self-managed landlords in this study was 22, while the total number of property managers was 118. The landlords represented 1,144 units while the property managers represented a little under 21,000. These two groups were then broken up into different groups by size. Out of the landlords that qualified as mom-and-pop’s, there were only six units.
These numbers prove that property managers help you run your rentals better.
This means that the 56% delinquency rate number we keep on hearing is coming from only six units. We can see that self-managed landlords with over 100 units only had a 9.7% delinquency rate. The numbers are even lower for property managers.
The takeaway is this: When you have professionals managing your units, you have better tenets, you’re more prepared for changing mandates, you’re more prepared to receive rental assistance, you’re better educated on your properties, and you can get everything organized sooner. These numbers prove it.
So yes, small mom-and-pop landlords have been greatly affected by the pandemic and eviction moratorium. However, the number of evictions since the moratorium was lifted has only been 3.3%. It looks like landlords and property managers have handled the situation well considering the circumstances.
Today’s topic was pretty complicated, so if you have any questions, please reach out to me. I would be happy to answer any of your concerns.
Something interesting happened recently with AB 486, so today I’d like to explain what exactly is going on. In my last video, I talked about how landlords must accept CHAPS and cannot evict tenants for two months after receiving CHAPS money. We’ve filed evictions and asked for mediation to get tenants connected to CHAPS money faster, but we’ve found that many tenants had nearly used all 12 months of their allotted rental assistance. So, some tenants are six months behind and already got 10 months of rental assistance, and now they only qualify for two months.
I’m going to court on August 9 to see if I can get a judge to make a ruling and interpret the law.
So, if landlords must accept CHAPS and cannot evict for two months after receiving it, when does the clock start? I’ve asked several judges, the Department of Social Services, and legal counsel, but nobody knows. I read through the CHAPS guidelines and it appears to state you can evict two months after the last date that rent is covered. However, I’m still not sure whether AB 486 changes this.
It’s an example of how legislators take zero time to understand programs, rules, and guidelines before making laws. Essentially, the federal government offered 12 months of assistance but state legislators extended the eviction moratorium beyond what assistance will cover.
I’m going to court on August 9 to see if I can get a judge to make a ruling and interpret the law. I’m doing this to make sure my landlords and I are protected and won’t have any illegal evictions coming our way. I’ll let you know the results as soon as I do.
If you have any questions or would like more information, feel free to reach out to me. I look forward to hearing from you soon.
We’ve finished the legislative secession here in Nevada, so today I wanted to share an update.
Around 10 days to the end of this legislative session, we thought that we were going to come out pretty well. We knew AB141 was going to pass, which is a piece of legislation that revises provisions relating to the sealing of records for summary evictions. We weren’t too concerned about that because we haven’t been able to evict for more than a year.
AB308 also passed, which requires that late fees could be charged after the third of the month. This also wasn’t an issue, as I charged late fees on the fifth of the month. Additionally, NVR and the National Association of Regional Property managers successfully killed AB218, which was set to be a very bad bill.
So with 10 days before the end of the session, we thought everything was pretty good. Then AB486 dropped.
There are many unanswered questions about AB486 at this stage.
AB486 essentially provides another extension of the eviction moratorium. It’s not stopping the evictions, but it is slow-walking the eviction process even more. For example, if a tenant says that they’re getting rental assistance, then the courts have to stay the eviction. The bill doesn’t really stipulate how long they have to stay the evictions, which is frustrating for the judges involved in these cases since they don’t have a lot of guidance.
Another effect of the bill is that if a landlord does get an eviction and the tenant later finds out that the property owner received rental assistance, the tenant could then sue the landlord for wrongful eviction. Under AB486, landlords could be civilly liable for a judge’s ruling. The bill doesn’t outline how a tenant can pursue such a case, nor whether it’s civil or criminal. There are many unanswered questions about it at this stage, and we hope that the Supreme Court will issue an opinion and provide some guidance.
I can tell you my plan, however. I’ve filed evictions this week, and we’re counseling tenants to file an answer with the courts and request mediation to have the eviction stayed for 30 days. The mediator has a direct line with CHAPS, and they’ll be the one to confirm if CHAPS’ money is coming or if the tenant is ineligible. The mediator will then report that to the judge, who will make a ruling. My hope is that having an impartial third party involved will help circumvent some issues down the road.
If you have any questions about today’s update, don’t hesitate to reach out to me. I’d love to help you.