Avg rent ready cost (by Nancy [CA]) Oct 14, 2016 8:46 PM
Avg rent ready cost (by Robert J [CA]) Oct 15, 2016 1:19 AM
Avg rent ready cost (by myob [GA]) Oct 15, 2016 4:21 AM
Avg rent ready cost (by nhsailmaker [NH]) Oct 15, 2016 4:42 AM
Avg rent ready cost (by WMH [NC]) Oct 15, 2016 5:29 AM
Avg rent ready cost (by Bill [KY]) Oct 15, 2016 6:31 AM
Avg rent ready cost (by NE [PA]) Oct 15, 2016 6:46 AM
Avg rent ready cost (by NE [PA]) Oct 15, 2016 6:50 AM
Avg rent ready cost (by myob [GA]) Oct 15, 2016 12:41 PM
Avg rent ready cost (by Jim in O C [CA]) Oct 15, 2016 2:40 PM
Avg rent ready cost (by Nancy [CA]) Oct 15, 2016 9:00 PM
Avg rent ready cost (by Ray-N-Pa [PA]) Oct 16, 2016 3:15 PM
Avg rent ready cost (by Nancy [CA]) Oct 18, 2016 8:29 PM
Avg rent ready cost (by Jeffrey [VA]) Oct 19, 2016 6:09 AM
Avg rent ready cost (by S i d [MO]) Oct 20, 2016 1:21 PM
Avg rent ready cost (by Daddy G [CA]) Oct 20, 2016 1:44 PM
Avg rent ready cost (by Dan [OR]) Oct 20, 2016 2:28 PM
Avg rent ready cost (by Angela [OR]) Oct 20, 2016 2:41 PM
Avg rent ready cost (by BRAD 20,000 [IN]) Oct 20, 2016 7:18 PM
Avg rent ready cost (by John [MO]) Oct 21, 2016 7:01 PM
Avg rent ready cost (by Nancy [CA]) Posted on: Oct 14, 2016 8:46 PM Message:
What is the average cost you pay to make a vacancy rent ready? --23.241.xxx.xxx |
Avg rent ready cost (by Robert J [CA]) Posted on: Oct 15, 2016 1:19 AM Message:
It can range from a quality property with good tenants to a bread-and-butter low end unit trashed by evicted tenants. As I say from $600 to $5,000 per unit. --47.151.xx.xxx |
Avg rent ready cost (by myob [GA]) Posted on: Oct 15, 2016 4:21 AM Message:
With normal turn (no carpet or appliance change out) 628.32. Tenants in less than 4 years. --74.184.xxx.xx |
Avg rent ready cost (by nhsailmaker [NH]) Posted on: Oct 15, 2016 4:42 AM Message:
rug cleaning $150, change the lock - easy peezy - add in some cleaning $60 add in some painting $200 change range drip pans, $16 etc etc before you know it there is no security deposit left --96.61.xx.xx |
Avg rent ready cost (by WMH [NC]) Posted on: Oct 15, 2016 5:29 AM Message:
Totally Depends.
For an already-updated place, no flooring or painting beyond touch-ups, no major repairs. Even so, we will probably replace a $6 blind or two, maybe a shower curtain. About 50 bucks max. That was true of most turn-overs over the past few years.
But now I'm thinking of the last long term tenant to leave. She took care of the place, we were sorry to see her go, but after 7+ years the place needed work. We replaced flooring (change from laminate to Allure) all-new paint (from off-white to grey) new cabinet hardware etc. We also made the choice to do a major change to the crappy ceilings, from drop to tongue & groove. We spent about $5k, and it was only a studio. But we totally chose to do most of those things - we could have spent much less but when a place is empty (and paid for - we had the time as she had pre-paid for that last month) then we tend to keep improving so we don't have to do it again for a long time ;)
And just evicted a guy. The place had been painted and cleaned before he moved in, in May. We had to replace a few light bulbs, a shower curtain, and of course a kicked-in door. Plus another deep clean, trash hauling, mowing. But even counting eviction costs, well less than $500, to put a number on it. --173.22.xx.xx |
Avg rent ready cost (by Bill [KY]) Posted on: Oct 15, 2016 6:31 AM Message:
$1000, which is mostly the cost to re-paint ($200 materials, $700-$800 to paint a 3BD/1BA house). I really struggle with what's considered normal wear & tear when it comes to paint and it seems I take a tremendous hit to repaint at turnover, which is usually every 12 mos. The walls have nail holes to patch, scratches from pictures, marks from couches, move in/out marks from carrying furniture, etc. and general touch ups are not good enough to land a new tenant, who doesn't want any signs of the last tenant. Is it realistic to expect zero marks, scratches, grime, etc on the walls after 12 mos? Am I a moron for not taking 100% of the tenants sec deposit to repaint? --24.26.xx.xx |
Avg rent ready cost (by NE [PA]) Posted on: Oct 15, 2016 6:46 AM Message:
No clue. It's not something I have tracked or cared to track. When a unit comes vacant, it's gotta be turned. So whatever the cost is, that's what it is. Has to be done.
Any average I may get wouldn't be a fair representation of a "per unit" cost anyway. I may get an average on paper, but it isn't fair to compare the cost of my 350 sq ft turnover to the cost of my 2,000 sq ft house. Unless your looking for a sq. ft. turnover price. But then, who's got the time?!?! Haha --50.107.xxx.xxx |
Avg rent ready cost (by NE [PA]) Posted on: Oct 15, 2016 6:50 AM Message:
Bill, if your renting C grade apartment and the prospects are picky about blemishes in the paint, pass on them. If you HAVE to repaint a whole unit after a year, you bet I would charge. If I'm touching up, it's on my. If I have to repaint the majority of a wall, I will charge per wall. --50.107.xxx.xxx |
Avg rent ready cost (by myob [GA]) Posted on: Oct 15, 2016 12:41 PM Message:
We have a clause that if the lease isn't to term the FIRST YEAR we charge 600.00 for repaint. --74.184.xxx.xx |
Avg rent ready cost (by Jim in O C [CA]) Posted on: Oct 15, 2016 2:40 PM Message:
I use $1000 if there 5 years reducing $200 a year toward only 1 year. If major improvements like carpet , appliances or windows then that changes the calculation.
I get 5 to 12 years and on occasion more for carpet life. I do have the carpet cleaned at my expense annually .
--108.89.xxx.xx |
Avg rent ready cost (by Nancy [CA]) Posted on: Oct 15, 2016 9:00 PM Message:
Thank you everyone for your responses. Robert J.(CA), your response helped me a lot. I got a bid for $3500 to make a vacant unit rent ready after tenant lived there for 6 years. It's about 1000 sq. ft. unit, 2 bdr, 1 bth. They are painting the entire unit, removing popcorn ceiling, patching holes, new granite countertops, new cabinets in kitchen, new blinds throughout, deep cleaning carpet (recently installed).
I initially was freaking out because of the cost (in addition to the lost rent from the vacancy) but seeing the range in the amounts people spend has helped to calm my nerves. --23.241.xxx.xxx |
Avg rent ready cost (by Ray-N-Pa [PA]) Posted on: Oct 16, 2016 3:15 PM Message:
Getting rid of popcorn and putting granite....those are couple of big ticket items. $3,500 for a California unit isn't that bad.
The rule of thumb I use is about 50% of 1 months rent per year that they were there if they are good tenants.
So if your rent is $1,000/ month, I would be setting aside about $500 per year. --24.239.xx.xxx |
Avg rent ready cost (by Nancy [CA]) Posted on: Oct 18, 2016 8:29 PM Message:
Ray-N-Pa, I love your formula!!! Thank you so much! The rent was $1200 and the tenant lived there for 6 years so when I apply your formula I get $3600. I guess the price is right! ;) --70.211.xxx.xx |
Avg rent ready cost (by Jeffrey [VA]) Posted on: Oct 19, 2016 6:09 AM Message:
NE, one of the advantages of tracking rent ready costs for many landlords, including myself, is so that once you have broken down the various components (i.e., painting, flooring, wall damage, blinds, etc) you can periodically review each component and see which aspects of the rent-ready process/system you can fine-tune and reduce.
Also, more importantly, by knowing which aspects or components of your rent--ready generate the most cost, you are alerted to fine-tune your preventive maintenance checks during the rental term so as to check for the condition of those same components. My goal is to reduce my rent ready expenses by charging the residents while problems are still small (and don't get worse) and while residents are still IN the property.
NE, reminder, your goal as a "business owner" (not just someone who manages rentals) should be about improving your "systems" not just getting the work done! --72.214.xx.x |
Avg rent ready cost (by S i d [MO]) Posted on: Oct 20, 2016 1:21 PM Message:
Paint and carpet are the ONLY two things we seem to agonize over regarding whether or not we charge. Unless your state law requires it, BILL FOR DAMAGES! Paint, if not struck with some object, will last FOREVER! I have NEVER seen paint that was properly applied just randomly start to peel or flake off.
Does paint fade? Does carpet eventually get matted down when people walk on it? Yes, and those are examples of normal wear and tear.
Did little Johnny drive his Matchbox cars all over the place and scratch it up? Did Bubba whack the rocker recliner into the wall when he came home from work and flopped down to watch football? Is there a big black smudge behind the wall where the bed mattress pressed against the wall? Did Sally hang 50 pictures on her bedroom wall with push pins? Those are examples of damages, so you need to charge for those.
My average make-ready is about $400 per unit, 2 bed, 1 bath, 800-1000 sqft. This includes filling holes and dings in walls, touch up and full wall repaints where needed, replacing broken blinds, cleaning lady, and professional carpet cleaning for those units that still have carpet. I bill all of those charges against the Tenant's security deposit, as per our lease. Some tenants have whined, but when I invite them to take it court, I never hear another word. They KNOW these are damages! --173.19.xx.xxx |
Avg rent ready cost (by Daddy G [CA]) Posted on: Oct 20, 2016 1:44 PM Message:
Provide the departing tenant with the list of things for them to do and/or clean, and then be sure to tell them that you would love to write them a check for their full deposit.
You'll be surprised how little it will cost you to turn.
It doesn't get any easier than that. --70.181.xxx.xxx |
Avg rent ready cost (by Dan [OR]) Posted on: Oct 20, 2016 2:28 PM Message:
I put together a written property condition report depicting a room to room walk-through, and I myself take about hundred and 80 pictures of the unit inside and out including the flowerbeds and the overall unit condition.
Upon move-in, I explained to the renters that in 30 years I've seen just about every thing that could go wrong and I welcome them to take additional pictures, I also encourage them to tell me of items that are of a concern within the first 15 days by written report only. My agreement encourages them to send that by certified mail so they have the documentation or they can simply drop it by my 24-hour depository slot in my garage door. Either way works for me.
I further explained to them that I'm learning them something worth for example a $100,000 apartment or a $250,000 home, and in exchange I collect a security deposit that is unbelievable but when somebody moves in, they are taken back by the overall condition.
I explained to them that it's their job to clean the property to the standards written on the property condition report and when they are ready to move they should have the property looking just like the pictures except for ordinary wear and tear.
I explained to them that their deposit is based on the property and I'm not shy in spending on bringing the property back to the condition that it was in when the pictures were taken and when they moved in.
I know that there are a lot of landlords that might be unhappy because for these guys to get their deposit back this place has to look just like it did before. I always hire a professional, and they tell them that I'm going to be spending their money. After all you give them a copy of the check and the issues hardly ever comes up...
I worked for a property management company could quite often ask me how I worked my business. We shared ideas back and forth and one of the things I learned from a 30 year veteran at that company was on larger jobs like a rotted bathroom floor, she always wanted the materials segregated and separated from my labor.
Her explanation was very clean and clear, we cannot charge for the materials that we can charge for the labor. We have never had a contentious move out when we charge for the labor only.
I will say that for the last 15 years that has worked for me well.
I will typically spend $500-$700 depending on what improvements I want to go into the unit to simply keep it updated.
I always have my pictures on an SD card and the tenant has a copy so if they don't make it look pretty, I collected security deposit based on who they are, where they been, and what they can give in the valid verifiable credible references. If those references are out of town, I double the deposit, and I explained to them that if that doesn't work for them, I'm very sorry.
This is all written on a screening criteria on the back of their application, so when they sign the application they have agreed to that criteria. And one other item, I actually do visit their home and have actually gone and and inspected just how well and how clean the occupants pussycats pan was. Ironically later I hope that tenant get into her first owner-occupied home. We are best of friends today.
The average rent ready cost truly does depend on the landlord, and their management skills. We should all be putting away a little bit each month from those rent payments to upgrade our property, when we feel the time is right.
My cost is between 500 and $700 depending on my upgrades --76.105.xxx.xx |
Avg rent ready cost (by Angela [OR]) Posted on: Oct 20, 2016 2:41 PM Message:
We generally allow for 10 hours of work by maintenance and cleaning at $25 an hour. It's a two year old building so things are new. More than 10 hours and/or purchases or replacements we withhold from the security deposit at our cost. --50.246.xxx.xx |
Avg rent ready cost (by BRAD 20,000 [IN]) Posted on: Oct 20, 2016 7:18 PM Message:
Yikes! These comments are scaring me! So many LLs giving away so much personal time and money!! In the name of "Oh well, cost of doing business." $600, $1000, Deduct for each year...pretty soon it adds up to real money.
People! Why are you taking time away from YOUR family and money out of YOUR kid's college fund to clean someone else's toilet and dirt! They are adults! It's their mess not yours!
When I stopped letting people get away with tearing up my homes our business began to flourish. Take control of the move out process. Treat it as seriously as the move IN process.
Theoretically our turnover cleaning and repair is $0.00.
Any and all work and materials are billed to the resident, $35 per hour, deducted from their deposit, and demand for payment on anything over the deposit. If they don't pay we take them to court.
(start by only approving applicants with jobs that can be garnished)
YES! Residents can return a home spotless and ready for the next move in! when properly oriented and reminded when they give notice.
It does not matter how long they lived there! Clean is clean. Dirty is not. The paint label says 12 year warranty. So residents, stop gouging the walls and smearing your hands on the paint - act like a grown up!
We START with a great home that has been professionally cleaned. We require they have it professionally cleaned on the move out. I they don't do it WE have it done. If tey mess up the walls we charge $250 per room to repaint.
Maintenance and upgrades must be considered separately. Replacing a soft bathroom floor is not "damage". We must set aside money each year for routine maintenance which includes bathroom floors, countertops, roofs, furnaces...
I am totally blown away when LLs ASSUME they must replace carpet! Most say "Honey we did not make any money because we had to replace the carpet this year." Then four years later say the same thing.
I calculate $150 per room per year as the cost of having carpet. If your home has 5 rooms of carpet (3 bd, Lv, Hall) that's $750 per year LESS PROFIT per home. You KNOW that carpet will have to be replaced in a few years, maybe just one year! (been there!) So if you have carpet in your rental, subtract $150 per room from the money you made this year.
End of rant.
BRAD
--73.146.xxx.xxx |
Avg rent ready cost (by John [MO]) Posted on: Oct 21, 2016 7:01 PM Message:
Last unit we completed a major update. Property was 30 years old and needed it. Raised rent $125 per month and rented to a quality resident within the first week. With a pay back in 5 years, that's like getting a 20% return on your money and immediately improved the value of the property by $15,000. We always reserve 10% for maintenance and improvements so we will have the funds when needed. If you repaint with the same color for all your units. Most likely you will only have to repaint what I call the kid zone. Just above the baseboard to about shoulder high. No cut in, just roll it on and feather it out. Quick and easy! --76.228.xxx.xxx |
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