Property Management Services
Exclusive Leasing Service Includes:
§ Establish/monitor property lease value
§ Provide promotional advertising (as needed, per manager)
§ Screen/qualify prospects and show the property
§ Obtain lease application and deposits
§ Process application for credit, income, rental and criminal histories
§ Execute lease agreement and required addendums
§ Collect first month’s rent and additional security deposits
§ Give tenant an information/move-in packet with utility contact information, policy and procedure guide and move-in inventory form
§ Give complete tenant file and tenant funds to owner if required/requested
§ Collect professional fees from owner for the above service
Our leasing fee for “Exclusive Leasing Service” is the 1st month’s rent of a 12-month lease. This is 1/12 or 8.33% of the total lease income, payable @ move-in.
Turnkey Leaning/Management Service Includes:
§ Exclusive Leasing Service
§ Periodic on-site inspection of the property, as needed
§ Receive/collect rent each month
§ Eviction proceedings, when needed
§ Screen repair request and maintenance of the property
§ Pay required repairs/maintenance from owner’s funds
§ Monthly cash-flow reports to owners (mailed or emailed on or about the10th of each month)
§ Annual cash-flow report for tax purposes (January)
Our fee for leasing (marketing to secure a qualified tenant) is the 1st month’s rent of a 12 month lease. (1 of 12 = 1/12 = 8.333%).
Our fee for management (the tenant deals with us rather than the owner on all matters) is 10% of each month’s rent, as collected.
Our fee for “Turnkey Leasing/Management Service” is 16%* of each month’s rent, payable from the 1st month’s rent payment and continuing monthly. (*rent of $1000+ per mth))
If you choose “Turnkey Leasing/Management Service” you will save over 2%, annually. over using only one service.
What Happens To Money Collected In
Property Management
The Security Deposit is collected from the tenant at the time of application. The security deposit is the tenant’s money held in our account for the owner. The security deposit is a pledge of faith by the tenant that indicates he/she will follow the terms and conditions of the lease contract and vacate the property in the condition he/she received it, less normal wear and tear.
Disbursement of Security Deposit: (Owner’s account must have sufficient funds)
Tenant must give proper written notice and furnish forwarding address to Property Manager. Then, within 30 days after the property is vacated and the keys are turned in, the security deposit will be refunded, less any repairs for damage and cleaning needed to return the property to the condition it was delivered to the tenant, less normal wear and tear.
The Repair Allowance shall be a minimum of $500.00. Any expenses above that will be presented to the owner for approval. If the owner’s cash account does not have a balance equal to the needed expense, the owner shall fund money to the Property Manager prior to repairs being done.
The Property Management Fee will be paid to the Property Manager each time the tenant pays the rent. This fee shall be paid prior to any other expense being paid for or any funds paid to the owner.
The Owner’s Money and Report shall be mailed or emailed to the owner on or about the 10th of each month.
No expenses can or will be paid on behalf of the owner or owner’s property if the owner’s account balance is less than the said expense.
Manager shall receive all late fees, returned check fees and any other special collection related fees.
If the owner has been funded rent from the Property Manager and the tenant’s check is returned, the owner shall refund money to the Property Manager (within 5 days) to bring the owner’s account into proper balance.
Compliance Information For The Security Devices Statute and Safety Requirements That Affect Landlords
And Managers
Marketing Plan
When your property is entrusted to our company under and exclusive listing agreement, our firm assures that we will:
§ Place a Pilkenton Real Estate or Keller Williams Realty sign on the property
§ Utilize an electronic key box or combination lock box (on vacant properties) to facilitate ease of showings
§ Enroll the home in the Multiple Listing Service (single family homes only)
§ Market the home on the internet with photos
§ Notify area agents about the property
§ Promote the home to agents at meetings and their offices
§ Monitor leasing activity to maintain a competitive position in the marketplace
§ Advertise as needed in one or all of the following publications: McKinney Courier Gazette, Plano Star Courier, The Penny Saver
§ Follow-up on all showings to obtain prospects’ feedback
There are 6 reasons for a property leasing or not leasing…
Price
Security Deposit
Restrictions
Location
Condition
Marketing
The agent controls the marketing.
The owner controls all the others!
Price Your Home Properly From The Start
When a home first goes on the market, excitement and interest soars among prospects and within the real estate community.
Because of this, it is vital to price your home at the right price from the very first – while the interest is high.
Don’t set the price of your home too high; thinking you can reduce it later. As indicated by the chart above, interest peaks when your home is new on the market.
Hazards Of Overpricing Include:
§ Lowers the response of tenants and agents
§ Minimizes offers
§ Lengthens marketing time
§ Reduces net profits
§ Causes frustration, false hopes and inconveniences
Factors In Fair Market Value
A number of factors are considered to arrive at
Fair Market Value:
§ Location: Proximity to recreation, shopping, schools, etc., and desirability of surrounding community
§ Condition: How well the property has been maintained
§ Cleanliness
§ Improvements and additions: Structural features, amenities, house and lot size
§ Market direction
§ Price trends
§ Year-to-date trends
§ Current market conditions
§ Total number of homes on the market
§ Number of homes for lease in the neighborhood
§ Average neighborhood price range
§ Number of nearby competing properties
§ Average list-to-lease price ratio
§ Average market time
§ Supply and demand
Your Property’s Value Is Determined By:
§ The general economic condition in today’s marketplace
§ The competing properties available to the tenant
§ The tenant’s perception of your home’s overall condition and appeal
§ What tenants have been willing to pay for like properties
§ Supply and demand factor
§ Location
Your Property’s Value Is Not Determined By:
§ What you have invested into the home
§ What you need or want out of the property
§ A tax appraisal
§ What you heard a neighbor’s home leased for
§ Insured value
§ The cost of the home you wish to purchase
Warning Signs That A Property Is Not Priced
Or Conditioned Properly:
Warning Sign #1: If Realtors® are not previewing your home, or if they preview and do not show it, it could be that it is being eliminated because of price or condition.
Warning Sign #2: If tenants are being shown your home with no results, the tenants are finding more appealing properties to lease. They are eliminating your home from consideration because, in their opinion, it is not competitive in the marketplace.
How Do You Make Your Home A “10” In The Marketplace?
§ Make it sparkle. Make it the most appealing home in the market.
§ Offer the best terms possible
§ Price it competitive with like properties
§ Minimize restrictions
Home Improvements That Add The Most Value To A Home’s Value
Painting
New Carpeting
Updated Wallpaper
Decorating
Bathroom Remodeling
Kitchen Remodeling
Landscaping
New Flooring
Cleaning In and Out
Questions That Help Your Property Lease Faster
(Answers to these questions help you get more cash for your property in a shorter period of time, and with the greatest of ease.)
§ What is the prospect’s first impression of the exterior of our house? What can I do to improve it?
§ Shall I reseed the lawn and get my landscaping in top shape?
§ Does the any part of the house need painting?
§ Should I replace the doormats with new ones?
§ What about the window screens? Any holes? What about the windows? Do they work well or do they have any broken seals?
§ What are prospect’s first impressions as they step inside my house? What can I do to improve it?
§ Are pets under control at all times?
§ Does the carpet need cleaning? How about replacing?
§ Are all appliances in good working order?
§ Can I take items from the kitchen cabinets to make them appear more spacious?
§ Do any cabinets need to be touched up or refinished?
§ Is there any furniture I could store or dispose of to make the rooms appear larger?
§ Since a tenant will be looking in the closets, should I take some of the clothes out to make them look roomier?
§ Should I remove any items that a tenant may want as a part of the house? For example, a special chandelier? Or a wall system?
§ Are the garage and storage areas as clean and neat as they should be?
§ Should I stay out of a prospective tenant’s way?
§ Should I ask my Pilkenton Real Estate associate for a list of recommendations prepared specifically for helping market my house?
§ Is the price going to appeal to most of the prospects looking in my price range?
§ Do I need to be aware of other houses similar to mine also being offered for lease?
§ Before spending needless time and money, should I consult my Pilkenton Real Estate associate?
Preparing Your Home For Lease
A few great tips on creating an atmosphere that will charm tenants and make them want to lease your home. Remember, you will never get another chance to make a first impression, and first impressions are what count! Follow these simple tips and create the competitive edge that may help you lease your home more quickly.
Dive-up Appeal
- Trim trees and shrubs, keep the yard mowed and edged, clean out flowerbeds and invest in a few flats of seasonal flowers.
- Paint the front door, make sure the doorbell and front light are working properly, and wash the mailbox.
§ Keep the front porch swept and get an attractive mat for people to wipe their feet.
Absolute Basics
- Start by airing out the home. Most people are turned off by even the smallest odor
- Wash all the windows in the home, inside and out.
- Walls should be clean and free of smudges, fingerprints and dents.
- Have the carpets professionally cleaned, bare floors should be waxed or polished, replace any loose or cracked tiles.
- Put bright light bulbs in every light socket. Prospects like bright & cherry.
- Clean out closets, cabinets and drawers. Closets should look like they have enough room to hold additional items. Get everything off the floor and do not have the shelves piled to the ceiling.
- Make sure there is not too much furniture in a room. Select pieces that look best, and store the rest.
- Keep the kitchen sparkling clean. Make sure all appliances and clean at all times. Straighten cupboards that appear cluttered inside and keep floors shinning.
- Bathtubs, showers and sinks should be freshly caulked. The grout should be clean and in good condition. There should not be any leaks in the faucets or traps.
A Few More Suggestions
- If you have limited counter space in the kitchen, keep unnecessary items put away.
- Keep children’s toys out of the front yard, sidewalks and front porch.
- Recognize the difference between decorator touches and clutter or sterility.
- Clean the ashes out of the fireplace.
- Make sure that the pull-down attic staircase is working correctly. Be sure there is a light in the attic, which is easily accessible.
- The pool/spa needs to be sparkling and free of leaves.
For Those Willing To Go The Extra Mile
- There are some things you can do that will really add flair to your home. If your home is the least bit dated, changing out wallpaper and outdated light fixtures can really make a difference.
- Add a fresh coat of paint on interior and/or exterior of home where needed.
- New appliances in the kitchen can be an exciting feature that can actually make the difference in a prospect choosing your home over another.
Showing Your Home
- When you leave the house in the morning or during the day, leave it as if you know it is going to be shown.
- Keep good scents in the house, such as potpourri or air fresheners.
- Make sure all the lights are on and window treatments are open.
- Turn off the television. Leave soft music playing.
- Keep pets out of the way – preferably out of the house. Many people are acutely uncomfortable around some animals and may even be allergic to them.
- Leave your premises. Take a short break while your home is being shown. Prospects are intimidated when owners are present and tend to hurry through the house. Let the prospect be at ease, and let the leasing associates do their job.
- Never apologize for the appearance of your home. After all, it has been lived in. Let the trained agent answer any objections.
- Remember the Golden Rule. Treat your prospect the way you would want to be treated if you were in their home.
Relocation Client List
A few of the many area companies we have assisted…
E. D. S.
Ericsson
Perot Systems
Raytheon
Texas Instruments
City of McKinney
McKinney Housing Authority
Nortel Networks
Delta Airlines
Burnside Heating and Air
McKinney Aerospace
United American Insurance Company
City of Plano
J. C. Penny
Anna Independent School District
Exxon-Mobile
Farm Bureau Insurance
A. G. Edwards
North Central Medical Center
McKinney Independent School District
City of Irving
Our Pledge of Service
Our efforts on your behalf will be to obtain the maximum market value in the least possible time at a minimum of inconvenience to you. We are committed to the highest standards of professionalism, customer concern and service. To fulfill this commitment, Pilkenton Real Estate pledges to:
Prepare Your Property For Lease By:
- Helping to determine the most likely leasing price based on current market values
- Discussing leasing points and possible improvements to enhance the value of your home
- Explaining your showing options
- Estimating your leasing costs
Attract Tenants For Your Property By:
- Providing detailed listing information to prospective tenants and agents
- Ensuring complete exposure to over 18,600 real estate agents through the Multiple Listing Service
- Placing a distinctive Pilkenton Real Estate sign or Keller Williams Realty sign (homes only) on your property
- Exposing your property to potential tenants through proven marketing programs
- Screening for qualified tenants
- Showing your property effectively
§ Presenting and explaining all written offers to lease
- Negotiating the transaction
- Finalizing the terms of the lease contract
During The Move-In / Make Ready, We Will:
- Schedule all vendors (as needed) for the property (at owner’s expense)
§ Heat/air serviced
§ Pest control
§ Touch-up/full paint as needed
§ Carpet cleaning
§ Roof inspection
§ General maintenance done
§ Interior cleaning
§ Yard care
The leasing of your property will be our prime responsibility, supported by our real estate professionals. Our communication with you will be on a continuing basis. We will listen and pay close attention to your needs at all times. We appreciate your allowing us to help you with the marketing of your property. If at any time you have a question, concern, comment or suggestion, please contact our office at (972) 542-2822.
This Pledge of Service applies to an exclusive right to lease agreement of not less than ninety days. If law prohibits any terms or conditions contained herein, they shall be considered severed from this pledge and of no force or effect. In the event of any breach under the terms of this Pledge of Service, the owner (as a sole and exclusive remedy) may terminate the exclusive right to lease agreement, provided that our office is given ten days written notice of the reason for termination and an opportunity to cure the default during the notice period.
Date
Owner Ken Pilkenton
