Below are some of the more frequently asked questions clients/property owners have for Pacific Property Management (PPM):
How fast can you rent out my property?
We maintain the fastest attrition rate possible with the shortest vacancy periods in the industry, with two to four weeks vacancy on average. Using the latest marketing techniques and resources we are able to collect and review applicants with our very thorough screening process. This provides our clients the best and most qualified tenants.
How do you screen prospective tenants?
Our tenant screening services are the most effective and efficient in the industry. We process the tenant’s application by running a complete credit report, and then we perform a country wide eviction check. Based on the results we proceed with processing further provided information including employment verification, income verification, and the rental history of the applicants. We believe that our thorough and efficient tenant screening process is the most important way that we can help you protect your investment and ensure a steady income.
How do you determine how much rent to charge?
We have compiled a comparative rental analysis using information from multiple sources and propose a rent range based upon those findings. Usually we suggest advertising a property at the highest rent rate possible for the market, and then we adjust it based upon response received after starting the marketing process. As with the real estate sales market, it is imperative to find the optimal range for pricing to ensure the shortest vacancy period. Owners following our professional recommendations have statistically achieved low vacancy rates while recognizing their maximum income potential.
What is a reserve? How is it funded and what is it used for?
Your account reserve is an amount of money that is held in Pacific Property Management’s trust account for issues that might arise on your property. The reserve account is typically funded by the initial payments made by the tenant. The reserve is kept so that owners don’t have to send emergency money to fund repairs or other issues on their property.
Should Landlords Supply Appliances?
Ultimately the answer to this question depends on the landlord and their desire to offer more value to their tenants than the average rental property in the area.
I have insurance through my HOA, Why do I need a separate policy?
The HOA’s insurance covers items in your associations documents (Roof, exterior walls etc.) Each HOA is different with what it covers. A private Home Owner’s policy covers the interior contents of the property (cabinets, appliances etc.). A Landlord policy covers owners for many different issues including liability issues.
What does “habitable” mean?
As per the definition, it means that the property has working plumbing, heating, and electrical. The home must also be weather resistant, pest free, and move in ready when the tenant rents it.
How many people are allowed to live in a house?
Two people per bedroom plus one additional person may live in a home – for more specific information please visit www.dca.ca.gov
Why do I need to add PPM as an additional insured to my insurance policy?
Let’s say a tenant trips at the property, breaks her leg, and sues. That tenant is probably going to sue you and the management company. Your insurance should step in and defend you. Since we are acting as your agent, we need that same protection. Our management agreement, like all management agreements, has an indemnification clause that says you agree to indemnify PPM, unless we are found to be negligent. This means, if your insurance does not cover us, we have to hire an attorney on our own. Then our attorney will be fighting your attorney and the tenant. If we are found not guilty, our attorney will come after you for the attorney fees. Had we been added as additionally insured, your insurance company would defend us both equally. Most major insurance companies do this and for no additional charge.
How often should inspections be done?
Inspections are completed at move-in with the tenant is present, two weeks before the tenant vacates to determine what repairs are needed, and again when the tenant is fully out. Additional inspections may be requested.
What type of properties do you manage?
We manage single-family homes, condos, and multifamily homes.
Are you a licensed property manager?
What areas do you manage?
We currently manage properties in San Diego and Temecula. San Diego areas include: Encinitas, Cardiff-by-the-Sea, Carlsbad, Oceanside, Escondido, Solana Beach, Del Mar, Rancho Santa Fe, San Marcos, Carmel Valley, UTC, Clairemont, La Jolla, Pacific Beach, Mission Valley, Linda Vista, Mission Hills, Bankers Hills, Little Italy, Downtown San Diego.
How do you increase my investment opportunity?
Reduce Vacancy Time: Once a tenant submits their 30-day notice we begin showing your property to find a replacement tenant to move in as soon as possible after the current tenant moves out. The average vacancy period is only seven days which significantly reduces vacancies and maximizes your return.
Reduce Maintenance Cost: We work with a network of vendors and handymen that provide us a discounted rate which we pass along to you. The relationships we have with our vendors allows us to ensure that repairs are done quickly and properly so the tenant can continue enjoying your property.
Why Should I use you?
We will provide you with the very best management solutions by increasing your returns, making every effort to earn your trust through complete transparency and guarantee legal compliance without you having to worry about your San Diego property. Our experience gives us expertise in local rent structures, lease agreements, maintenance needs, insurance requirements, and landlord-tenant law.
What Information will I need to provide my Manager?
If your property is located in a HOA, you will need to provide copies of the Rules and Regulations, a blank tenant registration form (if tenants are required to register.) The names of your HOA Manager, Management Company and telephone number. If you have vendors that work at the property, we will need a list of any and all contractual service items and/or vendors, including their representatives names and telephone numbers (e.g. landscaper, pest control service contractor, Home Warranty or appliance warranty provider (s) etc.) If your property is currently rented, we will need a copy of all current rental agreements as well as any other relevant and pertinent documentation such as credit applications, correspondence, notices sent to tenants etc.
How much should I charge for a tenant security deposit?
One month’s rent for qualified applicants. Security deposits may increase depending on the applicant’s credit or if they have a pet.
When will I receive my statement?
Financial statements are sent monthly and organized so your accountant can clearly see the performance of your property.
How do I prepare my property to rent it out?
Once our management agreement is signed we will complete a full assessment of your property and recommend any necessary repairs or improvements that will make your property more appealing to the best tenants. Our assessment and recommendations are to help you get your property rented faster and maximize your income.
Can I do the repairs myself?
Yes, if the property is vacant and the repairs are completed within 3 days. Once occupied, we highly recommend using our vendors to ensure the work is completed within 24-48 hours and because we recommend owners not introduce themselves to their tenants as this can create confusion.
Should I pay for a gardener?
We recommend owners pay for a gardener and roll the cost into the lease price. Hiring a gardener guarantees the landscaping will be maintained.
Should I pay for a pool man?
Absolutely. Pool equipment is expensive and should not be maintained by the tenant.
How long of a lease should I have with the tenant?
We generally do one-year lease terms, however the time of the year can change that. For example, if the property is rented in December, a 12-month lease would end the following December. If the tenants do not then renew the lease, the property owner is looking at filling a vacancy in the worst possible month. Because the time of year affects the pool of tenants so drastically we suggest ensuring that a lease term expires any month other than November, December, or January and we adjust the lease term accordingly.