I've been a landlord for over 30 years. He's right on this stuff and it's all pretty common knowledge in the industry but I will give you two words that are FAR more important than any of this stuff. Quality Tenants.
Landlord of 30 yrs. Use high quality fixtures. Don't paint all the walls white. I mixed in a nice yellow on some walls and white walls with white trim. An easy way to update a room is change the ceiling fans and light fixtures. Makes things look current and in style. I had a budget of $750 per year for upgrades. Also, screen your own tenants. Don't use a manager to do it. They really don't care about your investment. One bad tenant can cost thousands trying to get them out. I only had one bad tenant in 30 years. Also, I set up a separate checking account where the tenant deposited directly into my account. I could see exactly when they made the deposit. I also picked s bank near the property to make it easy Remember they are your customers. Keep them happy and they will stay and have less turnover. Turnover is costly so I charged just below current rates. Made people think twice about moving out.
@joe verna Very good idea with having the rent getting deposited directly to the bank.…. I’m just curious how do you prevent them from just taking money out such as them simply using the account # and routing number to make a purchase online or something like that?
Sorry, but just gotta call something out on the painting recommendations. Satin/semigloss paint is more durable/washable than a flat paint, but it is NOT easier to touch up. That is actually one of the benefits of a flat paint, because of the lower sheen it is easier to touch up and not notice as much of a difference with the previous coat of paint. And it covers imperfections in the wall better. I go with eggshell on my walls since most of my rentals are plaster which isn't in pristine condition. If I had a place with all new drywall I'd consider satin though. Semigloss on the trim though.
Yea, I've had issues trying to get flat paint to look good on a flat ceiling. And that was as a licensed painting contractor. Now, for my rentals I do 2-tone paint wherever possible (same color/sheen on walls and ceiling) and avoid ceilings that aren't textured. In fact I try to avoid smooth walls and ceilings altogether. The holysmooth texture looks nice and hides a lot of dings and imperfections almost magically.
I love this school of thought! Being cheap works at first but eventually catches up with you. You can be budget conscious while still having a quality property.
Everyone seems to be using LVP lately. I use wide-plank pine for floors. It goes down fast compared to other smaller boards, it has flex and will bend to the contour of an uneven or sagging floor, it’s relatively cheap, prospective tenants love the look and if it’s a small unit, a natural finish makes the space feel bigger, and if it gets damaged…a little sanding and fresh poly usually get the job done. Oh, and it lasts forever. My first property was over 150 years old and had original floors. They were shot, so I went over them with new subfloor and sound-proofing underlay. I probably could have pulled up the boards and reuse the old, but they were just over $1/sq ft at the time (20 years ago). Maintenance only involved abrading the floor and putting fresh polyurethane down.
This notion of LVP being waterproof is untrue. Any pipe burst or flood destroys phony wood floors as well as real ones. The water seaps underneath the material and becomes heavy mold, requiring the whole floor to be thrown out. Wood? It breaths. Sometimes you can get by with it getting damp. Even if it potato chips some, it can be sanded hard and even if warped is still often viable snd nice looking.
These are the BEST tips for my rental property. I’m starting rehab next month and I will be implementing your strategies! Thanks please do more of these quick videos.
One of the best videos on the internet when it comes to real estate. 1st property is almost paid off in which I plan on putting in new flooring and renting it out...thank you.
This is great information. Thank you for sharing! I made the mistake of allowing my "handy" tenants to make repairs and upgrades with little to no oversight while I traveled... they absolutely destroyed some features of the house: garage door, outlets, baseboards, carpet, faucets, showers.... I quickly learned that when a tenant says they are "handy" you should really verify if that is the case, and require approval before anything is "fixed" or "upgraded"
yeah, and never allow them to ''trade work for rent," because somehow, the amount they think is fair compensation is curiously just about the same as the rent they owe!!
Great Vid! I like the fact you are concentrating on cash flow by eliminating future costs. People use all the formulas and tricks to come up with good rentals but cash flow is my go-to. Cash is king!
Mitch the plumber here. Antifreeze spigots are a waste of time. If they're not graded properly or the Tennant leave the hose attached they still freeze and eventually break when the steel gets thinner. Not only are these higher end fixtures more expensive but they're also more difficult to replace than a standard hose bibb..... But that's just my opinion ;)
You are correct. Learned this the hard way this spring… it is as installed without the proper angle. Now it won’t work and it’s in such a tight spot I can’t get to it. Argh!
I now send messages out to Tenants when cold hits, to unhook all outside hoses and why. Had this happen in the past, so want to avoid it happening again.
I made the faucet mistake. That plumber charge taught me. I wish you liked your favorite faucets or tiles. I also checked out by putting carpet in the bedrooms. I’ll have to replace it in a few years, even though I have had good tenets. It was only a 2k additional cost and now I have to re-do it eventually. You live and you learn.
@@davidlindgren9735 Water is not going to get under them and the "hollow floor" feel due to air pockets underneath is also eliminated. Glue down is common in commercial floor application because of the longevity. Supermarkets, office buildings, hospitals etc have these type floors installed for several reasons and by now it should be known why the reasons are obvious!
Thanks for tuning in BiggerPockets viewers~ James here! 🖐 I hope this video helps you in making your Rentals less of a headache! Let me know if you have any questions 📢
On grout the new high performance poly and epoxy grouts kick ass and never have to get sealed. The price of them is the same has a good quality sealer snd cement grout. I like laticrete spectralock for my showers. No one ever keeps up on the sealing maintenance
Real plumbers are $100. A lot of property owners use the $50 an hour guys. The kinda guys that cut corners and just patch. They are also the kinda guys that a lot of property owners want...
Even these landscape companies charging an arm and leg for a few hours work. $400 to trim a few trees and done in an hour...I tell them to take a hike or $100 and a few bottle of water!
i disagree on the tub surround....i think they look cheap....yea tile is more expensive up front but a quality tile job can last 30 years easily with upkeep and a steel tub can last basically forever..
I think the advice in here is mostly good... I will say I've personally replaced way more "expensive" door handles than cheap ones. But that may be a fluke thing. My only major concern is how frequently you seem to be bringing up security deposits "not covering" replacement of carpet or paint. Please don't put the idea in landlord's heads that they should be reclaiming security deposits for normal wear and tear. If someone lives in your apt for any length of time, you're probably going to have touch some things up. That's no reason to keep a deposit.
Right, there's a thing called fairness, not being a D, and realizing that time ages, temperature change and humidity do too. However, I don't expect people walking allover everything repeatedly and touching/rubbing and bumping into surfaces shouldn't have any effect at all, no matter if they're there 20 years... Just joking, as long as there isn't obvious destructive behavior and/or huge messes I would be grateful!
i dont even bother with security deposits anymore....always turns into a battle....i just tighten my screening process that much more and do rental increases when needed..
What did you paint it with? I have a bathroom with pink tile (think Barbie Dream House) that I am reluctant to replace because it will likely involve drywall damage in the process. Hoping for a better (more economical) solution.
@@ProjectRE bull crap. Show me any lease that says tenant is responsible for normal wear and tear of a carpet,and if it does, a judge won't allow it if the tenant sues the landlord for improperly using a security deposit to pay for wear. If it's damage, that's another story.
I have! You need to hire the right company so it lasts. It is expensive for a good guy. Typically we like to replace because it handles wear and tear better.
Love your videos! Current LC here at a luxury high rise in Pentagon City. I have learned more in your videos than in the one year of employment at a major REIT. Thank you.
I've heard, and also just from my experience of having an all-tile downstairs as a primary residence, that sealant on grout or things like granite counter tops wear down within half a year easily. Personally, I hate grout now as sealing is time-consuming and expensive, and the benefits only last half a year. Maintaining sealant in ~500 units biannually sounds like a nightmare. Appreciate your advice, tho. Had a rental flood so now water damage scares the crap out of me.
Sealing helps. I agree with the low maint aspect. One reason we also do tile is the product that we own, we want a little higher end finishes for our prime location rentals.
Use a common paint meaning you stick with one color and brand that you can remember through the life of the property. You'd be amazed how many "bone white" exist for every paint company has their own formula and they don't match 100%.
Only put the water proof flooring in wet areas, also have at least a 4x4 tile section at the entry and give them a welcome mat no need for expensive flooring in bedrooms.
Those 4x4 entry tiled sections are a site for sore eyes and certainly a thing of the past. Go with the same flooring right up to the door...trust me on this one!
I'd be scared of a $50/hr plumber here! That's about 1/2 the going rate in most of VA unless you are hiring low quality people. All the more reason to spring for better fixtures.
even if it did cover the cost, legally you have to depreciate the carpet, so if it's an older carpet but in good shape and tenant kills it, you can only charge a small portion of what you paid back in the day. Even more reason to stay away. Even though many people do prefer carpet in bedrooms.
@@jimmyday9536 you can only deduct a percentage of 5 year deductible life span of carpet based on time occupied. Same goes for paint, (7 years) and drapes (5 years)if you have in Lux rentals
I'm about to rent out my first house that I moved out of and had to go with carpet because of initial costs. Totally going to replace it with LVP after the first tenant turnover, so that I've had some time to save up cash from the rental income. Already onboard with the better faucets, door locks and handles.
i have those carpet tiles in some of the living rooms in my units.....pull up the stained piece throw another one down....i tend to get families with the kids wreaking havoc on everything.....ill never do wall to wall carpets again..
Never rent to anyone with less than 5 years simultaneous job experience.. never rent to less than 680 credit score.. Never rent to people who need roommates.. Never rent to anyone that has a dog.. never rent to a family with more than 2 kids.. If you live by this your rental property will stay nice. I have been doing this for 18 years
A new grad with a Stem degree v a 6 year grocery store clerk? Agree with the credit score. My tenants with dogs pay a dog fee and do what they have to in order to not move so very stable. More than 2 kids? Depends on the parents and the kids.
James, always great tips and advices. I have two questions regarding finishes and maintenance. Have you notice your rental with black finishes start to peel off or wear off? Secondly, I can’t come to a decision to either require my tenants that it’s their responsibility to change their furnace filters or continue to let my handy man come on a time scheduled usually every two months to change the furnace filter. I would like to keep my mechanicals run smooth and have a long life.
Two great questions: ...following. I'm thinking get it done yourself with your handyman or management... OR I do have tenants that I may trust to do this sort of thing and take me photos for a small discount.
@@ProjectRE James, okay I have started to use brushed nickel too because all of my black finishes are starting to wear off on fixtures. I used to do it every 3 months , but my HVAC contractor advised to change it every two months. I live in Chicago btw if it makes a difference.
pretty good info here, tho i think paint is cheap/quick when you roll a light cover-coat (gloss walls look bad, imo)... and a natural looking quality tile floor will easily outlast these clicky floors that sound hollow to walk over & are still affected by moisture. the two biggest keys for myself have been: 1-no renting to people you know, 2-incentivise (carrot) on-time monthly payment (keep penalties [stick], but make incentive big enough & focus on it). my biggest disappointment here is your 500 home portfolio. most of us want the same thing you mentioned; to retire on passive income -and that doesn't take a massive portfolio. there's a worldwide issue of financial accessibility in the housing market, caused by a number of things, & greed investing is part of that. hope everyone, incl James here, finds a healthy balance they can take personal pride in, instead of pressing for endless Jones'-ism. people who continually strive to be better are impressive, opulence is FAR LESS so.
Good feed back. It’s 500 doors, not homes. To be fair, we buy the heavy lifting major construction projects that the masses don’t want. It’s usually 2 years to stabilize them. We take the left overs, someone has too!
This is really good information. I put brand new carpet into one of my rentals in 2018 prior to the current tenant moving in. He literally called me Tuesday & asked if he could put new carpet in because his grand children I am assuming must have stained the carpet. Maybe I will look into the luxury vinyl flooring you mentioned instead of carpet. This rental is two story. Is it idea to put luxury vinyl flooring on the stairs too or do you use carpet?
Carpet is nice because it’s affordable and often times can clean up - but after a few years it can needed to be swapped out. The LVP has been really helpful on our apartment turns so we can release quicker and save the damage deposit amount to apply towards different issues of the tennet is rougher on it.
PM... I am a lousy manager and I love my PMs. They're the best... Professional, hard working, honest and they really look out for my interest. Additionally, I'd rather be doing something else like travel, enjoy my family, pursue avocations rather than screen tenants and deal with maintenance
I have Palm Trees in the backyard of one of my Rentals! I have to monthly trim them and I wear gloves! Towards the middle of the tree they are like spikes!
@@workingshlub8861 I painted for 12 yrs and I agree with the bathroom, but everywhere else flat paint on walls looks great with a gloss, semi gloss, or eggshell trim. It's all about contrast, flat walls and shiny trim is a better contrast for me. If walls have imperfections, hands down flat covers those best.
@@ProjectRE I'll check lumber liquidators. Cheapest I found at the big box stores was $2.50. sometimes $2 but then it's usually junk and breaks apart during install. Thanks for the info!
lets address the elephant in the room for investors who think rental porperties are a good idea. buying property is a good idea, yes but u need to understand you are not investing in a property u are investing in a complete stranger who doesnt get 2 sh-ts about u, ur property or ur financial obligations. I am a property mgr for investors and people have changed for the worse over the last 5 yrs. It is hard to find someone who cares about anything or anyone but themselves. Even if I had a trillion $ I would never own rentals. Good luck to anyone considering it, dont say u were not warned.
No such thing as waterproof flooring. Any flood or pipe burst will dampen the backing of the flooring and cause mold. It invariably has to come up and be thrown away.
I've been a landlord for over 30 years. He's right on this stuff and it's all pretty common knowledge in the industry but I will give you two words that are FAR more important than any of this stuff.
Quality Tenants.
Thank you!
YEP! Trouble is, they're like 1 in 10 at least!
Also, Bullet-proof lease!
Parasite for over 30 years. I hope it all burns.
section 8's o_o
Landlord of 30 yrs. Use high quality fixtures. Don't paint all the walls white. I mixed in a nice yellow on some walls and white walls with white trim. An easy way to update a room is change the ceiling fans and light fixtures. Makes things look current and in style. I had a budget of $750 per year for upgrades. Also, screen your own tenants. Don't use a manager to do it. They really don't care about your investment. One bad tenant can cost thousands trying to get them out. I only had one bad tenant in 30 years. Also, I set up a separate checking account where the tenant deposited directly into my account. I could see exactly when they made the deposit. I also picked s bank near the property to make it easy
Remember they are your customers. Keep them happy and they will stay and have less turnover. Turnover is costly so I charged just below current rates. Made people think twice about moving out.
Sounds like you have your processes down!
If only all land lords thought like this!
@ Joe Verna where do you screen future tenants?
a smart manager will care. No rent, no management fee, plus risk of getting fired/sued. I take care of others homes same as I do of my own.
@joe verna Very good idea with having the rent getting deposited directly to the bank.…. I’m just curious how do you prevent them from just taking money out such as them simply using the account # and routing number to make a purchase online or something like that?
Sorry, but just gotta call something out on the painting recommendations. Satin/semigloss paint is more durable/washable than a flat paint, but it is NOT easier to touch up. That is actually one of the benefits of a flat paint, because of the lower sheen it is easier to touch up and not notice as much of a difference with the previous coat of paint. And it covers imperfections in the wall better. I go with eggshell on my walls since most of my rentals are plaster which isn't in pristine condition. If I had a place with all new drywall I'd consider satin though. Semigloss on the trim though.
Yep, semi on the trimmy, flat ceilings and eggshell or satin walls depending on surface and conditions!
Agree!
You can tell he pays someone to paint his houses. You’re right flat is pretty easy to touch up
Yea, I've had issues trying to get flat paint to look good on a flat ceiling. And that was as a licensed painting contractor. Now, for my rentals I do 2-tone paint wherever possible (same color/sheen on walls and ceiling) and avoid ceilings that aren't textured. In fact I try to avoid smooth walls and ceilings altogether. The holysmooth texture looks nice and hides a lot of dings and imperfections almost magically.
Evan, you are 100% right
oh wow this channel does give practical tips on landlording and not just ' make millions with zero dollars' books
It’s all in the details!
I love this school of thought! Being cheap works at first but eventually catches up with you. You can be budget conscious while still having a quality property.
You pay for it regardless!
Everyone seems to be using LVP lately. I use wide-plank pine for floors. It goes down fast compared to other smaller boards, it has flex and will bend to the contour of an uneven or sagging floor, it’s relatively cheap, prospective tenants love the look and if it’s a small unit, a natural finish makes the space feel bigger, and if it gets damaged…a little sanding and fresh poly usually get the job done. Oh, and it lasts forever. My first property was over 150 years old and had original floors. They were shot, so I went over them with new subfloor and sound-proofing underlay. I probably could have pulled up the boards and reuse the old, but they were just over $1/sq ft at the time (20 years ago). Maintenance only involved abrading the floor and putting fresh polyurethane down.
Got to do what works for you! Lvp is good to prevent water intrusion and buckling.
This notion of LVP being waterproof is untrue. Any pipe burst or flood destroys phony wood floors as well as real ones. The water seaps underneath the material and becomes heavy mold, requiring the whole floor to be thrown out. Wood? It breaths. Sometimes you can get by with it getting damp. Even if it potato chips some, it can be sanded hard and even if warped is still often viable snd nice looking.
These are the BEST tips for my rental property. I’m starting rehab next month and I will be implementing your strategies! Thanks please do more of these quick videos.
Thanks Alvin! Good luck!
One of the best videos on the internet when it comes to real estate. 1st property is almost paid off in which I plan on putting in new flooring and renting it out...thank you.
Thanks josh!!
This is great information. Thank you for sharing! I made the mistake of allowing my "handy" tenants to make repairs and upgrades with little to no oversight while I traveled... they absolutely destroyed some features of the house: garage door, outlets, baseboards, carpet, faucets, showers.... I quickly learned that when a tenant says they are "handy" you should really verify if that is the case, and require approval before anything is "fixed" or "upgraded"
I’ve been in that situation before too, it’s great until it’s not.
yeah, and never allow them to ''trade work for rent," because somehow, the amount they think is fair compensation is curiously just about the same as the rent they owe!!
For me now, the minute an applicant says they are handy...It's a NO! 😂
Great Vid! I like the fact you are concentrating on cash flow by eliminating future costs. People use all the formulas and tricks to come up with good rentals but cash flow is my go-to. Cash is king!
Thanks John!!
Best advice from BP. This guy is amazing.
Thank you!!!!
Great tips - I wasn’t aware of the frost proof spigots, gonna use that on my own house.
I learned it the hard way one winter! They cost a little more but are great.
I’m actually planning to shut my spigots off today. I think I’ll consider going with frost proof ones.
Great, straight to the point video of things that make sense. I'll watch more from this channel.
Thanks Sean!
Sherwin Williams Property Solutions Eg-Shel for everything. All same color. No cut-ins required
Mitch the plumber here.
Antifreeze spigots are a waste of time. If they're not graded properly or the Tennant leave the hose attached they still freeze and eventually break when the steel gets thinner.
Not only are these higher end fixtures more expensive but they're also more difficult to replace than a standard hose bibb.....
But that's just my opinion ;)
Great 2 cents!
You are correct. Learned this the hard way this spring… it is as installed without the proper angle. Now it won’t work and it’s in such a tight spot I can’t get to it. Argh!
I now send messages out to Tenants when cold hits, to unhook all outside hoses and why. Had this happen in the past, so want to avoid it happening again.
I like the glue down plank strips. Many apartments are using them. No clicking out to replace one. Just peel up and re stick.
Agreed! Only negative is the glue costs have spiked
I made the faucet mistake. That plumber charge taught me. I wish you liked your favorite faucets or tiles. I also checked out by putting carpet in the bedrooms. I’ll have to replace it in a few years, even though I have had good tenets. It was only a 2k additional cost and now I have to re-do it eventually. You live and you learn.
You pay for it eventually! Thanks AC!
Go with LVP (glue down / NOT Float) throughout whole house! Its modern, cheap, durable, and easy to take care of.
@@dickhertz8103 why do you like glue down more than float?
@@davidlindgren9735 Water is not going to get under them and the "hollow floor" feel due to air pockets underneath is also eliminated. Glue down is common in commercial floor application because of the longevity. Supermarkets, office buildings, hospitals etc have these type floors installed for several reasons and by now it should be known why the reasons are obvious!
Sounds like great advice for homeowners as well. Thanks for the video!
Works for all property owners!
I switched to Hans grohe bath faucets and am saving overall. Even reliable delta and moens invariably either break, go wobbly, or need new washers.
HG makes great product! Their body sprayer kits for our fix and flip projects are great value.
Thanks for tuning in BiggerPockets viewers~ James here! 🖐 I hope this video helps you in making your Rentals less of a headache! Let me know if you have any questions 📢
On grout the new high performance poly and epoxy grouts kick ass and never have to get sealed. The price of them is the same has a good quality sealer snd cement grout. I like laticrete spectralock for my showers. No one ever keeps up on the sealing maintenance
Can you give us a link to that exterior synthetic plastic overlay for the flooring deck, thanks for these tips!
My aunt Chewbacca always said that the cheapest is the dearest
Here in Tennessee grass growing right up to the foundation is the cheapest landscaping. No trees, no shrubs, no anything just grass.
What plumber do you know charges 30-50 an hour? More like 100/hr
Real plumbers are $100. A lot of property owners use the $50 an hour guys. The kinda guys that cut corners and just patch. They are also the kinda guys that a lot of property owners want...
Minimum $100.00
50$ an hour plumber??? did we go back in time 20 years??
That $30-50 is for a general maintenance guy.
Even these landscape companies charging an arm and leg for a few hours work. $400 to trim a few trees and done in an hour...I tell them to take a hike or $100 and a few bottle of water!
1.) Flooring
2.) Plumbing
3.) Roofing
4.) Painting
5.) Avoid wood fixtures
6.) Roofing
7.) solid surfaces
8.) Seal surfaces
9.) Keep landscaping undercontrol
10.) Think of scalability scaling
P.s your awesome God Loves You!!
🙏🏻
God loves us!!
Porcelain tile is more bullet proof vs LVT. Tenant can always add rug if they are looking for some warmth.
Stay away of anything that needs grout! Go with LVP but install the glued down version versus the float!
Tile tends to be a lot more to install and it reduces maintence for resealing the grout line.
not sure, but there is a question if this presenter ever tried to remove/ replace any LVP
landlord of 20 years here....he is 100% right on target....spend the extra for good faucets.
Thank you!
Most of this is good advice, even though some are very "class" dependent.
Agreed! But general concept is not to go to cheap and pay for it later.
i disagree on the tub surround....i think they look cheap....yea tile is more expensive up front but a quality tile job can last 30 years easily with upkeep and a steel tub can last basically forever..
Nah the "wrench" isnt putting in the wrong materials its putting in the wrong tenants
BOOM💥
Very solid point! Good screening will also help!
amen to that..
Screen the hell out of new tenants lessing a lot of problems
Yep an empty unit is better than one with a bad Tennant.
Gold in this video! Great explanations. Thanks
Thanks Olivia!
I agree! Cheap ain't low cost!
💯
I think the advice in here is mostly good... I will say I've personally replaced way more "expensive" door handles than cheap ones. But that may be a fluke thing.
My only major concern is how frequently you seem to be bringing up security deposits "not covering" replacement of carpet or paint. Please don't put the idea in landlord's heads that they should be reclaiming security deposits for normal wear and tear. If someone lives in your apt for any length of time, you're probably going to have touch some things up. That's no reason to keep a deposit.
Right, there's a thing called fairness, not being a D, and realizing that time ages, temperature change and humidity do too. However, I don't expect people walking allover everything repeatedly and touching/rubbing and bumping into surfaces shouldn't have any effect at all, no matter if they're there 20 years... Just joking, as long as there isn't obvious destructive behavior and/or huge messes I would be grateful!
sure, just price the depreciation into your rent
and consider it when building your model before you buy
The major name brands have pretty durable products.
thank you 😘
i dont even bother with security deposits anymore....always turns into a battle....i just tighten my screening process that much more and do rental increases when needed..
I painted one of mines' tub, it was pink. Its been 3 years, thing still looks great.
What did you paint it with? I have a bathroom with pink tile (think Barbie Dream House) that I am reluctant to replace because it will likely involve drywall damage in the process. Hoping for a better (more economical) solution.
If a tenant is long term, Security deposit should not be used for carpet. That is your responsibility.
I don’t dispute that - but it’s what’s in the lease, but we don’t have to worry about it because we don’t do carpet!
@@ProjectRE bull crap. Show me any lease that says tenant is responsible for normal wear and tear of a carpet,and if it does, a judge won't allow it if the tenant sues the landlord for improperly using a security deposit to pay for wear. If it's damage, that's another story.
A tenant placing a large burn 🔥 in carpet isn't normal wear and tear.
such great content, thx James
This was fantastic. Thank you.
Thanks Tracy!
This episode was great
Thanks j!
Great useful info! Thanks J
Thanks!!!!
Super Helpful!
Thank you guys for sharing this
Always looking to improve the rental portfolio stability
We all have to share the knowledge wealth.
have you ever glazed tubs and tiles? If so how did that work out for you?
I have! You need to hire the right company so it lasts. It is expensive for a good guy. Typically we like to replace because it handles wear and tear better.
I need to get your plumbers name. $30 to have a faucet installed is a steal.
It takes them about 20 mins! That’s $90 a hour! Go hourly if your paying more.
Excellent video, thank you!!
Thanks Julio!!
Love your videos! Current LC here at a luxury high rise in Pentagon City. I have learned more in your videos than in the one year of employment at a major REIT.
Thank you.
Thanks Thonas!!!
What about tile for flooring? Any good brands out there
Tile is good, but is more expensive and has grout maint.
I've heard, and also just from my experience of having an all-tile downstairs as a primary residence, that sealant on grout or things like granite counter tops wear down within half a year easily. Personally, I hate grout now as sealing is time-consuming and expensive, and the benefits only last half a year.
Maintaining sealant in ~500 units biannually sounds like a nightmare. Appreciate your advice, tho. Had a rental flood so now water damage scares the crap out of me.
Sealing helps. I agree with the low maint aspect. One reason we also do tile is the product that we own, we want a little higher end finishes for our prime location rentals.
I wish he would’ve addressed Window coverings
Great video!
Use a common paint meaning you stick with one color and brand that you can remember through the life of the property. You'd be amazed how many "bone white" exist for every paint company has their own formula and they don't match 100%.
Yes - same color and manufacture, color matching doesn’t work!
What are your #5 and #6? They got cut out or mislabeled. Please advise. Thanks!
A lot of people from u.s buying airbnb i exuma bahamas...great return on investment
Definitely a trend right now!
Once again great information you guys
Thanks Benny!
which LVP do you buy we were looking at LVP from home depot its about 3.67 .more than you pay
Only put the water proof flooring in wet areas, also have at least a 4x4 tile section at the entry and give them a welcome mat no need for expensive flooring in bedrooms.
Those 4x4 entry tiled sections are a site for sore eyes and certainly a thing of the past. Go with the same flooring right up to the door...trust me on this one!
Have to do what works for you!
I'd be scared of a $50/hr plumber here! That's about 1/2 the going rate in most of VA unless you are hiring low quality people. All the more reason to spring for better fixtures.
As long as we’re not using big companies we can find them for that rate. We tend to use more one man shops.
even if it did cover the cost, legally you have to depreciate the carpet, so if it's an older carpet but in good shape and tenant kills it, you can only charge a small portion of what you paid back in the day. Even more reason to stay away. Even though many people do prefer carpet in bedrooms.
I’m a no carpet guy, keeps it cleaner.
😆. LOL. No landlord in his right mind "depreciates" carpet!
@@jimmyday9536 you can only deduct a percentage of 5 year deductible life span of carpet based on time occupied. Same goes for paint, (7 years) and drapes (5 years)if you have in Lux rentals
Don't forget the Chuck Berry Cams.
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Unfortunately I've had to learn the hard way with flooring. Now I don't touch anything that's not 100% waterproof and I don't even bother with carpet
I'm about to rent out my first house that I moved out of and had to go with carpet because of initial costs. Totally going to replace it with LVP after the first tenant turnover, so that I've had some time to save up cash from the rental income. Already onboard with the better faucets, door locks and handles.
Agreed!
i have those carpet tiles in some of the living rooms in my units.....pull up the stained piece throw another one down....i tend to get families with the kids wreaking havoc on everything.....ill never do wall to wall carpets again..
@@nova31337 STICK to your plan...that's the way to do it!!! Bravo!!!
Thanks.
🙏🏻
Can you name the solid metal faucets?
A bath faucet that moves like that is an invitation to running water over the counter top and onto the floor. May need to tighten the lock ring.
Good eye!
Hey James, what has changed in the marketplace in terms of new durable products to use since publishing this video?
Changes every month with supply chain issues! But still the same concept, buy durable.
Luxury Vinil Planks
Never rent to anyone with less than 5 years simultaneous job experience.. never rent to less than 680 credit score.. Never rent to people who need roommates.. Never rent to anyone that has a dog.. never rent to a family with more than 2 kids.. If you live by this your rental property will stay nice. I have been doing this for 18 years
All good rules of thumbs!
So not true.
A new grad with a Stem degree v a 6 year grocery store clerk? Agree with the credit score. My tenants with dogs pay a dog fee and do what they have to in order to not move so very stable. More than 2 kids? Depends on the parents and the kids.
@@mapuche888 there is NO way to know what type of parents and kids they have.. NEVER rent to friends. I learned that the hard way.
James, always great tips and advices. I have two questions regarding finishes and maintenance. Have you notice your rental with black finishes start to peel off or wear off? Secondly, I can’t come to a decision to either require my tenants that it’s their responsibility to change their furnace filters or continue to let my handy man come on a time scheduled usually every two months to change the furnace filter. I would like to keep my mechanicals run smooth and have a long life.
Two great questions: ...following.
I'm thinking get it done yourself with your handyman or management... OR I do have tenants that I may trust to do this sort of thing and take me photos for a small discount.
We require our tenants to change the filters stated in their lease. We will do a quick check as part of any inspection.
We usually stick with brushed nickel finishes because they always stay in style and I do think they show less wear and tear vs black or even chrome.
I like to do my mechanical services. Every 2 months seems like a lot of service. How dirty is it when your changing it?
@@ProjectRE James, okay I have started to use brushed nickel too because all of my black finishes are starting to wear off on fixtures. I used to do it every 3 months , but my HVAC contractor advised to change it every two months. I live in Chicago btw if it makes a difference.
Is it good idea to keep one LLC for all the rental properties or multiple LLCs? Example one LLC for couple of properties and so on
We do 1 LLC unless it’s a syndication deal or if we bring in another partner. Most asset guys will suggest multiple to isolate each property.
@@ProjectRE I understand One LLC for each state you have property in, I don’t think you can span multiple states with one LLC
Were we supposed to watch another video to get numbers 5 & 6? I think it just skips from 4 to 7....Maybe those are the most important. Hmmm??
Do you have a recommend brand for the one piece bath tub combo?
Where are you finding $30-$40 quality faucets?
Furgusons plumbing supply! Builder account
pretty good info here, tho i think paint is cheap/quick when you roll a light cover-coat (gloss walls look bad, imo)... and a natural looking quality tile floor will easily outlast these clicky floors that sound hollow to walk over & are still affected by moisture. the two biggest keys for myself have been: 1-no renting to people you know, 2-incentivise (carrot) on-time monthly payment (keep penalties [stick], but make incentive big enough & focus on it).
my biggest disappointment here is your 500 home portfolio. most of us want the same thing you mentioned; to retire on passive income -and that doesn't take a massive portfolio. there's a worldwide issue of financial accessibility in the housing market, caused by a number of things, & greed investing is part of that. hope everyone, incl James here, finds a healthy balance they can take personal pride in, instead of pressing for endless Jones'-ism. people who continually strive to be better are impressive, opulence is FAR LESS so.
Good feed back. It’s 500 doors, not homes. To be fair, we buy the heavy lifting major construction projects that the masses don’t want. It’s usually 2 years to stabilize them. We take the left overs, someone has too!
@@ProjectRE ...right-on man, appreciate taking the time to read & respond. best of luck :)
This is really good information.
I put brand new carpet into one of my rentals in 2018 prior to the current tenant moving in.
He literally called me Tuesday & asked if he could put new carpet in because his grand children I am assuming must have stained the carpet.
Maybe I will look into the luxury vinyl flooring you mentioned instead of carpet.
This rental is two story. Is it idea to put luxury vinyl flooring on the stairs too or do you use carpet?
Carpet is nice because it’s affordable and often times can clean up - but after a few years it can needed to be swapped out. The LVP has been really helpful on our apartment turns so we can release quicker and save the damage deposit amount to apply towards different issues of the tennet is rougher on it.
NO CARPETING...It's a PITA and costly to replace every couple years or months in some cases!!!
@@ProjectRE Thank you for your response. I will look into adding LVP into this house my tenants is renting.
The poured concrete walls lasted for a while but obviously had to put the half inch plate steel over them to hide the damage
Hey Keith! Not following this? Hide damage?
@@ProjectRE the Damage Done to the concrete wall
amazing
thanks for this info!
Thanks!
Tell me Sam Vine's Boots Theory of Wealth without saying Sam Vine's Boots Theory of Wealth.
Jokes aside, good stuff!
Thanks Fred!
Question for this audience. For those of you that are longtime rental property owners, how many of you use 3rd party management vs manage yourself?
We manage ourselves. But if I wasn’t a full time operator I would hire out.
Self
PM... I am a lousy manager and I love my PMs. They're the best... Professional, hard working, honest and they really look out for my interest. Additionally, I'd rather be doing something else like travel, enjoy my family, pursue avocations rather than screen tenants and deal with maintenance
The tile in the bathroom wall is not staggered😂
Sealed is the important part, you want to prevent water damage
Thx!
💪
kudo you got it
Thanks Katia!
What is the best countertop for a rental property a SFH average rent $34300-$3500 ? Thanks
I look for quartz remnants and close out!
correct
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I have Palm Trees in the backyard of one of my Rentals!
I have to monthly trim them and I wear gloves! Towards the middle of the tree they are like spikes!
Is it worth taking down?
Monthly trim? Thank you, noted. No palm trees
It’s giving me an excuse to check up on my investment!
Who put in that bathtub? It's going to fail. The tile goes over that lip... It's going to leak right into the wall.
concrete slab, baby. put your own rug if you want it.
Love it! Durability!
#2, you go over "a good qualify faucet" but don't recommend any brand names? lol
What about eggshell paint?
Eggshell paint can also help prevent wear and tear
Being cheap is expensive
It can be!
You are saying not to go with flat paint, but if your walls are not perfect a flat paint is the only way to go because they don't show imperfections.
Flat pain and putting a light texture on walls helps with this as well.
in my view flat does not look good on a wall.....go with eggshell .....always semi gloss in bathrooms.
@@workingshlub8861 I painted for 12 yrs and I agree with the bathroom, but everywhere else flat paint on walls looks great with a gloss, semi gloss, or eggshell trim. It's all about contrast, flat walls and shiny trim is a better contrast for me. If walls have imperfections, hands down flat covers those best.
This is awesome. I'll pay you to do this for me
We’re for hire in WA state!
Where you finding $2/SQ ft lvp?
Home Depot, lumber liquidators, often times you can get clearance for less than $2psf. We just bought some for $80 cents!
@@ProjectRE I'll check lumber liquidators. Cheapest I found at the big box stores was $2.50. sometimes $2 but then it's usually junk and breaks apart during install. Thanks for the info!
What are you using for countertops?
Quartz and granite.
@@ProjectRE no preference for one over the other? Average cost?
30 / 50 per hour plumber.....you are a good shopper
📱 dialing for rollers!
And we pay them $50 a fixture which is less than a hour (typically).
What happened to the “Gold video” that was great info why did it get taken down? I was right in the middle of that bad boy! Lol
Gold?
"my maintenance guy."
A few of them now of days…
Is water resistant lvp any good?
That’s what I put in!
ALL VINYL is water resistant..that term is used as a sales tactic! Get the Glued Down version (NEVER the FLOAT) and YES ITS GOOD!!!
@@dickhertz8103 thanks
What's up guys, this is James. Where was that 😕 :)
😂
You get a 👍 you. Oprah Winfrey
😂
If this doesn't involve a stick of butter I'm not interested!
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"Vinyl"
Always a great option!
30-50$ PER HOUR PLUMBER LMAO here in CT its 125-300$per hour
lets address the elephant in the room for investors who think rental porperties are a good idea. buying property is a good idea, yes but u need to understand you are not investing in a property u are investing in a complete stranger who doesnt get 2 sh-ts about u, ur property or ur financial obligations. I am a property mgr for investors and people have changed for the worse over the last 5 yrs. It is hard to find someone who cares about anything or anyone but themselves. Even if I had a trillion $ I would never own rentals. Good luck to anyone considering it, dont say u were not warned.
No such thing as waterproof flooring. Any flood or pipe burst will dampen the backing of the flooring and cause mold. It invariably has to come up and be thrown away.
True - nothing is completely safe from water intrusion, but definitely helps with the wear and tear.
Where the hell are you getting a plumber for 30 -50 dollars an hour????
It is 30-50 a fixture install.