We Make It Easy to Sell Your Rental Home-Even While It’s Occupied!
At Specialized Property Management, we make real estate investing in Dallas a simple process. We continue to be rated #1 because we love what we do, and we’re good at doing it. We help you buy and sell rental properties and manage them for you so you don’t have to. We have the lowest eviction rate in the DFW Metroplex, with less than 1% of our rentals resulting in an eviction. With over 30 years of property management experience, we want to save you time and money. Our strategies and proven processes can’t be beat!
You can waste a lot of time and lose months of rent money if you wait to sell your rental property until the current tenants have moved. So why wait? Specialized Property Management Dallas allows your tenants to stay where they are so that you don’t have to worry about wasted vacancy days. We focus on marketing your property to investors throughout the country who are interested in purchasing multiple single-family rental homes. Investors understand that wear and tear is normal with a home that has long-standing tenants, so you won’t need to spend weeks repainting and repairing the property, getting it ready to show to prospective tenants.
Our extensive network of investors will also view your home online and decide if they want to purchase it, without interfering with your tenants’ day-to-day lives. Only one in-person inspection is conducted throughout the whole process, so tenants don’t have to worry about leaving the home every day while realtors and buyers survey the space.
Let SPM Help You Find Potential Rental Investments in Dallas
Do you want to buy a rental property, but don’t know where to start looking? With Specialized Property Management Dallas, we help you find rental properties that meet your criteria and your budget. We’ll point out the best cities and neighborhoods for a rental property to help you find an investment that will increase in value over the long-term. We’ll give you access to research trends and real estate market data that shows you where the hot properties are. You can also view new construction and multi-family homes in the area in which you’re interested. There’s no need to wait for the property to be vacant, and you don’t have to quit your day job. We do all the work and research so you don’t have to!
Advantages of Real Estate Investing in Dallas
“Buy and Hold” Strategy Benefits
Still not convinced that investing in single-family homes is a good business move? Here are a few strategies that really work and the benefits that come with each.
Long-term Passive Income
Feel like you’ll never be able to afford that long-awaited trip to Hawaii? When you invest in a real estate property, you’ll reap the benefits of a long-term passive income, which means your one-time Hawaii trip can turn into an annual one! Of course, flipping homes is a great way to make a large profit at once, but buying and holding allows you to move a renter into the house you bought and let that same house pay you monthly for years and years over the long-term.
Did you know that most of the expenses incurred from owning rental properties are tax-deductible? Things like property management fees, maintenance and rehab on the property, and interest on debt financing can all give you much-needed tax breaks.
Avoid Market Crashes
It’s hard to know what the housing market will do. In 2008, no one expected the mortgage crisis and the following recession to take place. Investopedia reports that “Homeowners were defaulting at high rates as all of the creative variations of subprime mortgages were resetting to higher payments while home prices declined. Homeowners were upside down – they owed more on their mortgages than their homes were worth – and could no longer just flip their way out of their homes if they couldn’t make the new, higher payments. Instead, they lost their homes to foreclosure and often filed for bankruptcy in the process.”
The “American Dream” of buying and owning a home is not always feasible, and a lot of people now find that renting instead of buying is less risky in the long-run. In fact, the Washington Post reported that “This is especially true for baby boomers and millennials, two of the fastest-growing groups of renters. Whether just starting out in their career or settling into retirement, both generations are seeking a lifestyle that offers mobility, convenience, and community.”
By holding onto one of many rental investments in Dallas, you have a product to offer people who choose to rent instead of own, or to those who can’t afford their own homes just yet, but still want the lifestyle that a single-family rental home can provide.
Getting to Set a Competitive Rental Rate
Zillow shows that the median price of homes currently listed in Dallas is $399,900, while the median rent price in Dallas is $1,705, but owners of single-family rental homes can often charge more than the going rental rate to stay competitive within hot areas. Rent rates do not necessarily follow home prices, due to the amount of rental homes listed in a neighborhood and the requests for them. As long as you give your tenants plenty of notice, one of the advantages to real estate investing in Dallas is that you can increase rent prices annually to match the growing demand.
Easy Retirement Money
At Specialized Property Management Dallas, we’ll teach you how to maximize the profit on your rental properties so the mortgages can be paid off more quickly than normal. More profit for you means a steady cash-flow you can enjoy in retirement and beyond.
Advantages of Turning Your Home Into An Annuity
When it’s time to move out of your current home, consider renting it out instead of selling it. With SPM Dallas you won’t have to deal with daily tenant interaction, and you’ll get the benefits of the extra monthly rental income. Once you’ve moved into a new home, you can continue to search for other rental investments in Dallas. The more homes you own and rent out to tenants, the more benefits and income you’ll accumulate.
Tenants also reap the benefits of moving into rental properties owned by investors and managed by rental property management companies such as SPM Dallas. Renting used to be only for those who didn’t have the credit to purchase their own homes, but now renting instead of buying has become a lifestyle choice. Because of this trend, renters now have higher standards and seek out single-family rentals that have updated appliances, high-end finishes, and are just well-kept all around. While you might have to invest a little more in a higher-end home to keep it competitive, the demand for the homes is there and you can benefit from renting it out to tenants in the long-term.
The BRRRR Method
If you don’t want to mess with frequent tenant interaction for long periods of time, then you might want to consider the BRRRR (Buy, Rehab, Rent, Refi, Repeat) process. This method is only effective if you purchase undervalued or distressed houses that are well below market value.
“When you refinance an investment property the bank will usually only refinance 75 percent of the value. If you buy a property at full retail value and then try to refinance it, you won’t get much money back out. If you get a great deal, you could get most, all, or even more money back than you spent to buy and fix up the property.” – from InvestFourMore
Once you buy that home, you should plan on repairing it (rehabbing it) with cash. Sometimes repairs can be much more expensive than you originally expect, so it’s important to hire people you trust who can make the repairs and stay within your budget. When the repairs are completed, you need to find a tenant to rent out your home. Again, this can be easier said than done. If you don’t have a lot of experience finding tenants, this would be a good opportunity to use a property management company to help. After the tenant is settled in, you need to find a reliable lender to walk you through a cash-out refinance so you get your money back to continue succeeding in real estate investing in Dallas.
“Many banks will require a 6 month or year-long seasoning period to complete a cash-out refinance. That means they will not lend you more money than the most recent appraisal or sale of the house, whichever is lower, within their seasoning period.” – from InvestFourMore
Homes don’t always appraise for the amount that you think they should, so keep that in mind when you are considering this process. Here’s an example from InvestFourMore on how the BRRRR can work effectively:
- Buy a house for $100,000 that needs $15,000 in repairs.
- The house will be worth $155,000 once those repairs are made.
- When you refinance the house you can get a loan for $116,250.
- The new loans pays off the first loan you got when buying the house plus all the repairs.
For this method to keep bringing in cash for you, you should always keep your eyes peeled for the best deals in the area you’re looking to invest.
How SPM Helps With Real Estate Investing in Dallas
If you’re new to investing in rental homes, Specialized Property Management Dallas is here to help! We have the local expertise to help DIY investors make smart purchases in their desired area. With SPM, not only can we suggest potential homes to invest in, but we can also take care of the repairs and make your life a little easier. Our team members are familiar with the implementation of all the above strategies, and we can make the BRRRR method work to your advantage.
If you don’t live in the Dallas area, but are still interested in rental investing, we are experts at recommending homes all over the country – you won’t even have to leave the couch! These types of purchases come with warranties on the house and can still produce a monthly cash-flow for you. You can even hire us to manage the rental property and take care of daily affairs. At Specialized Property Management Dallas, we also offer full-service portfolio management for large personal, institutional, or family trust investments with several rental homes.
Now is the Time to Invest!
“Regardless of what individuals believe or chose to do, eventually single-family rental homes provide the small investor the ability to diversify and deliver sold gains that may yield significantly larger profits than alternative investments.”- from Forbes
Investing in single-family rental homes is a smart business move. Much like the stock market, real estate investing in Dallas can make you a profit and help you get ahead when your portfolio is professionally managed. Though self-managing is doable for some rental property owners who have a lot of experience in the industry, most make a lot of common property management mistakes such as:
- Leasing delays and extended vacancy
- Poor rental property selection
- Inadequate tenant qualification
- High tenant turnover
- Inadequate rent collection processes
- Costly regulatory violations
- Neglecting inspections
- Inefficient or overlooked maintenance
You can save time and money when you hire a professional, qualified property management company to assist you throughout every step of the process. At Specialized Property Management Dallas, we want to minimize your hassle and maximize your profits! But don’t just take it from us! Here’s what some of our satisfied customers have to say:
“They are thorough in vetting potential renters and take the worry of owning a rental property away. The maintenance staff is top notch.” — John L.
“I highly recommend Specialized Property Management (“SPM”). I managed a rental property in the DFW metroplex, myself, for close to 3 years. After SPM took over, that property’s revenue generation increased significantly; I no longer had the burden of maintenance and tenant calls; and SPM’s online portal made bookkeeping/tax prep a breeze. But what really distinguishes SPM (and prompted me to write this review) is their customer service. It. Is. Excellent. My account with them was for a SINGLE property. They treated me like I was their largest account, and I always felt like they were on top of even the smallest issues. SPM didn’t ask for my trust … they earned it.” – Google review from Steve Pocsik
Interested in real estate investing in Dallas? Put us to work for you today! Complete the below form for a personal consultation on your investment strategy!