Smooth Moves That Save Landlords Money

Move out time can blow up, draining precious time and money.  That’s usually because the current tenants tend to put everything off until the last minute.

Do you compound the problem by doing the same thing?

Smooth moves require a plan of action, and that starts when the tenant first moves in.

Keeping up with repairs and noting damage throughout the term of the lease can speed up turnaround time, and make it easier to find a new tenant.

Other cost-saving steps include:

Doing a pre-walk thru with the tenant about a month before the move. Note any items that would be deducted from the security deposit if not fixed. Also note wear and tear items, and set up contractors for the move out date.

Supply tenants with a cleaning checklist so they know what must be accomplished prior to move out. The more detailed the list, the better the results. Include phone numbers for trash hauling companies, donation centers, and preferred vendors. List trash collection times. Also, remind tenants of any applicable house rules, like how to take large items out of a unit.

Ask for the tenant’s forwarding address before they move out.

Set a walk-thru time in advance.

Leave a copy of the Move In/Out Checklist. Fill out the “Out” portion during the walk-thru, with the tenant present.

Take pictures or video of the condition of the property.

Have a list of items to check after every turnaround — checking batteries on the smoke and carbon monoxide detectors, checking water pressure and looking for leaks, for example.

Inventory any damage and create an accounting for the security deposit.

Mortgage Rates Roiling From Taper Talk

According to Freddie Mac’s most recent Primary Mortgage Market Survey® (PMMS®), average fixed mortgage rates jumping along with bond yields amid recent Fed remarks that it could begin tapering its bond purchases later this year.

“Following Fed chief Bernanke’s remarks on June 19th about the possible timing of reduced bond purchases, Treasury bond yields jumped over the week and mortgage rates followed. He indicated that the Fed may moderate the pace of its buying later this year and end the purchases around the middle of 2014,” says Frank Nothaft, vice president and chief economist for Freddie Mac.

“Higher mortgage rates may dampen some housing market activity but the effect will be muted by the high level of buyer affordability, and home sales should remain strong, ” Nothaft adds. “For instance, existing home sales in May rose to its strongest pace since November 2009 and new home sales were the most seen since July 2008. In addition, the 12-month growth in the S&P/Case-Shiller® 20-city home price index for April of 12.1 percent was the largest since April 2006.”

The average 30-year fixed-rate mortgage rose from 3.93 percent last week to 4.46 percent this week; the highest it has been since the week of July 28, 2011. This represents the largest weekly increase for the 30-year fixed since the week ended April 17, 1987.

Despite the recent gains in mortgage rates, homebuyer affordability remains strong for the typical family in most parts of the country, which should help fuel the ongoing housing recovery.

30-year fixed-rate mortgage (FRM) averaged 4.46 percent with an average 0.8 point for the week ending June 27, 2013, up from last week when it averaged 3.93 percent. Last year at this time, the 30-year FRM averaged 3.66 percent.

15-year FRM this week averaged 3.50 percent with an average 0.8 point, up from last week when it averaged 3.04 percent. A year ago at this time, the 15-year FRM averaged 2.94 percent.

5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.08 percent this week with an average 0.7 point, up from last week when it averaged 2.79 percent. A year ago, the 5-year ARM averaged 2.79 percent.

1-year Treasury-indexed ARM averaged 2.66 percent this week with an average 0.5 point, up from last week when it averaged 2.57 percent. At this time last year, the 1-year ARM averaged 2.74 percent.