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Rent Prices in Surprise 2015-2019

This comparison looks at Surprise rent prices from 2015-2019.

Real Property Management Phoenix valley has built a chart to show key figures so that you can get a good idea of what is the fair rent in Surprise, AZ and how rental property prices in Surprise compare with the national Consumer Price Index.

The below chart includes the following Surprise rental property data points from left to right– Year, Number of Properties Rented, Average Sq. Ft. of property, Rent Price of Property per sq. ft, Percentage of Rent Price Increase year to year, Average Days on the Market and the national CPI from year to year.

The data was collected from the Arizona MLS for unfurnished, non-vacation, detached homes.

There are some very interesting numbers in this chart. Over the last 5 years, rent prices in Surprise have increased at a rate that is 5x the national CPI (7.6% Average Rent Increase vs. 1.5% Average CPI increase). The rent price per square foot has gone has increased 21 cents from 2015 to 2019. A 2000 sq foot property in Surprise fair rent price in 2015 was $1249 vs. $1673 in 2019. Rental property inventory in Surprise took a 23% decrease in 2016 but has remained relatively stable since then.

If these numbers have motivated you to purchase investment properties listen to our podcast below which includes our property investment purchase cheat sheet

 

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Tenant Repairs

To charge the tenant or to not charge the tenant; that is the question!  Recently we had a local appliance company out to a property we manage in Mesa.  The tenant repair issue was a foul smell from the washer.  The invoice came back and said “washer is working well at this time.  Told tenant to run some citric acid through the washer to help with mildew smell”.  We then charged the tenant for their visit.  The tenant was extremely upset and contacted the appliance vendor directly.  After that conversion suddenly a revised estimate appeared.  The new estimate stated that the cost could be up to $500 to repair.    There was no further explanation so we called the company.  They explained that for this tenant repair they would need to take apart the pump to clean out a build up of soap. We questioned how they had arrived at this diagnosis without going back to take the washer apart.  Turns out Real Property Management Phoenix Valley is one of the only property management companies who will hold a tenant responsible for a repair they cause!  According to the appliance company all of the other companies they work with automatically charge the homeowner.  Here are a few examples of repairs that tenants should pay for:

  1. Putting bones and/or other objects down the garbage disposal that causes it to break
  2. Not aligning garage door sensors thereby the door won’t close
  3. Replacing smoke detector batteries
  4. Replacing air filters
  5. Replace light bulbs
  6. Resetting GFCI outlets and or breakers

If you are unsure if a repair is the tenant’s responsibility you can refer to the AZ Landlord Tenant Act.

 

For all of your Phoenix Property Management & Phoenix Real Estate & Phoenix Property Management Needs Contact:

Real Property Management Phoenix

www.rpmphoenixvalley.com

602-358-8130

info@rpmphoenixvalley.com

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Goodyear Property Manager

Goodyear Property Management
Goodyear Property Management

Real Property Management Phoenix Valley manages rental homes valley wide.  Our Goodyear property management team  just rented a property in Canyon Trails in less than one day!  Canyon Trails is located south of the I-10, east of Estrella Parkway, North of Lower Buckeye and West of Citrus.  It is located in the heart of Goodyear.  Home building started in Canyon Trails in 2001 and continues today.  The homes there range from two to six bedrooms and two to five bathrooms.  The community consists of track homes so the lots tend to be small and are all less than one acre.  Goodyear offers many activities including hiking, biking, relation with spas and Spring Training. .

Our Goodyear property management team first rented this three bed/two bath, single story rental home in 2013 for $895.00 and it took nine thirty five days to place a qualified tenant.  Furthermore, in 2015 we saw the home rent for $950 and took 25 days.  In 2017 the home rented for $995 in 9 days.  In 2018 we were able to get $1095 in 5 days.  Final this month, 2020  we were able to get $1195 in 6 days!  The 2020 rental price represents a 34% increase from 2013.

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Rental property inspections

Rental Property Inspections

Real Property Management Phoenix Valley has been managing Phoenix rental homes for 14 years.  Through our experience we have created the six successful steps of rental property inspections.  We will share those steps with you in this blog.

Step One: Review your lease agreement.  Note how many occupants should be residing in the home.  List the number of minors vs adults and if there are pets.  Also, make note of the responsibilities.  For example is the tenant responsible for the landscaping?  Who is responsible for the appliances?  Lastly note which appliances belong to you versus the tenants.  All of these notes will make your rental property inspection move smoothly.

Step Two: Use a dedicated inspection form.  Break out the form by room and be sure to include the garage, front & back yards.  The more detailed the form the more thorough the inspection will be.

Step Three: If your tenant is home wear headphones.  Don’t let them distract you from the task at hand.

Step Four: Complete the rental property inspection in an organized manor.  In each room take pictures first and then stop to complete your form.  This will help to make sure you don’t miss anything.

Step Five: Be mindful of things that might be strategically placed to make you miss things.  For example, be sure to move a throw rug even if you just fold it in half because it may reveal stains on the carpet.  Also, try to move back sheets that might be covering up windows because you may find broken blinds underneath.

Step Six: Check ALL ceilings as they may reveal roof and/or plumbing leaks.  Check and change air filters and/or smoke detector batteries if needed.  Check the front AND back of all doors to look for any holes and to see what might be hiding behind the door on the paint and/or baseboard.

For an example of an inspection form please listen to our podcast.

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Phoenix property manager success!

Phoenix property manager success!
Phoenix property manager success!

Our Phoenix Property Managers rented a home in the Dynamite Mountain Ranch community in just 2 days!!!  Dynamite Mountain Ranch is a premium subdivision in North Phoenix very close to the I-17 freeway and tons of shopping such as the Shops of Norterra & Happy Valley Town Center!  It is north of Jomax and east of I-17 .  The community consists of 1045 single family homes.  Most homes are between three to five bedrooms  and two to four bathrooms. The square footage of the homes ranges from 1,522 to 4,204 sq. ft. The amenities at Dynamite Mountain Ranch complement the community’s natural environment. There are numerous parks with playgrounds and covered picnic. There is a basketball court and the Sonoran Loop Trail that provides just over three miles of well-kept trails for hikers and horseback riders. For all of these reasons Dynamite Mountain Ranch is a great community for Phoenix property managers.

The home that we recently rented was over 2400 square feet with four bedrooms and two and a half bathrooms. All of the bedrooms were upstairs making the first floor a large main living area.  The home feels very private since it backs up to an open area with no other homes.  This is the first time that the home is being rented.

Dynamite ranch is located approximately 28 miles from downtown Phoenix.

 

For all of your Phoenix Property Management & Phoenix Real Estate & Phoenix Property Management Needs Contact:

Real Property Management Phoenix

www.rpmphoenixvalley.com

602-358-8130

info@rpmphoenixvalley.com
Follow us @RPMPhoenixValley

To become a successful Phoenix Landlord listen to our podcast with our 4 steps!

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Phoenix Rental Lease Agreement

Phoenix Rental Lease Agreement
 Phoenix Rental Lease Agreement

One of the most important items a  landlord will have is their Phoenix rental lease agreement.  The more detailed and specific the agreement the better for both the property owner and tenant.  In this blog we will discuss four important components of the lease including occupant names, late fees, legal notice fees & appliances.  The lease agreement should include all property owner names and the full address.  Additionally, it should include all occupant names include minors.  Real Property Management Phoenix Valley suggests listing minors as well as their date of birth.  We also recommend obtaining that information from the lease holder in writing.  This information will be very valuable for when you complete a property inspection.  We suggest taking this information with you to the inspection so you can verify that only the people on the lease are residing in the home.  This will help you to recognize if there are any unauthorized occupants in the property.

Next let’s address late & legal notice fees.  Late fees should be specified as a per day amount versus one lump sum after the due date.  This way the tenant has incentive to pay the rent as close to on time as they can.  The daily late fee amount should be somewhat substantial so that the tenant has incentive to pay on time.  Also, we do encourage a grace period of one to two days but not much longer.  This ties into our next component of legal notice fees.  Spell out in the lease agreement that the tenant is responsible for any legal notice fees.  This way if the tenant doesn’t pay the rent you can charge them back for the cost of serving them with the legal notice of an eviction. The tenant will have between 5-10 additional days to pay rent.  For this reason you do not want the grace period to be longer than two days.

Final for this blog we will address appliances. The lease agreement should list which appliances the home owner is including in the property.  It should also spell out which appliances the landlord will fix and which the tenant is responsible for.  Keep in mind that the landlord will always be responsible for the stove, built in micro and dishwasher.  However very often the tenant is responsible for the fridge, washer & dryer as they tend to be optional appliances.

For more information on our lease “must haves” visit our blog/podcast page to listen to our two additional segments.

For more specifics on our Phoenix rental lease agreement “must haves” tune into our podcast below.

 

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Switching Phoenix Property Management Companies

Switching Phoenix property management companies can seem like an overwhelming task.  Additionally, home owners may be concerned that things like security deposits could get lost in the shuffle.  Real property management phoenix valley has created the following check list to assist with a successful change.  The first part of the check list is for before you terminate your current property management contract.  The first thing is to read the terms and termination clause in your current agreement.  This section will let you know how much notice you need to give your current property management company.  Additionally it will let you know if there are any fees association with cancellation.  We recommend starting the cancellation process when you are within 45 days from your current contract ending.  Prior to submitting your cancellation notice make sure you have all executed lease agreements, renewals and addendum.  Next check your records for paid invoices.  Make sure you have copies for new ACs, water heaters and appliances.  Lastly make sure you have your TPT license number and online logins if applicable.  (TPT stands for Transaction Privileged Tax License).  Be sure to terminate your agreement in writing.

The second part of switching Phoenix property management companies are items needed after notice has been given.  These items include all tenant contact information and keys to your property.  Also, ask how they will handle the transferring of the tenant’s security deposit.  Will they send you a check or the new property management company?  Request a copy of the tenant signed move in inspection.  Lastly ask for a copy of the tenant’s ledger.  The tenant ledger will show how much of a deposit the tenant actually paid and whether they have any prepayments of rent on file.  Any prepayments should be sent back to the tenant.

 

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Phoenix Property Management Firm

Phoenix property management firm
Phoenix property management firm

Real Property Management Phoenix Valley is an industry leading  real estate sales firm and Phoenix property management firm.  We offer Phoenix residential sales as well as property management services.  Therefore, our clients are always asking us for what types of properties make the best rentals.  Here are four items to look for in a new rental purchase.

  1. One story home versus a two.  Because of the high heat in the summer Phoenix tenants are very cognoscente of electric bills.  For this reason a tenant will always chose a one story over a two story home.  Additionally, the smaller two story homes only have one air conditioning unit which can lead to the second story feeling very hot in the summer.
  2. A larger home with less bedrooms is preferable to a smaller home with more bedrooms.  For example, most tenants would prefer a 1700 sq ft three bedroom home to a 1700 sq ft four bedroom home.  The reasons are two fold; the three bedroom home will have more living space and each bedroom will be a larger size.
  3. Single family properties are preferable to condos and town homes  A single family home offers a lot more privacy as well as a back yard for kids and pets.  Also, single family homes face less rental competition; its’ only competitor is other single family homes.  In comparison condos and town homes compete amongst themselves and with apartments and single family homes.
  4. Three or four bedrooms is much preferred to a two bedroom even with a den.  Although a den can be used as an office tenants would prefer to have the third full bedroom.  With the third bedroom they have the option to still use as an office or use for a third occupant.

Definitely consult with a Phoenix property management firm if you can prior to purchasing a rental property.  Not only can we provide what to look for but we can also provide a realistic rental range based on tenant occupied rentals in the area.  This range can often be quite different to what a Realtor may state by looking at vacant homes on the market.  View a list of top Phoenix property management firms! 

For more information about our investment property cheat list listen to our podcast:

For more of our podcasts and videos check our our learning center!

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Phoenix HOA Management

There are four types of Phoenix HOA management and deciding which is best for your homeowner’s association may require the community to take a deep dive into their needs.  The four types are self management, in-house management, financial-only management and full service property management.  We will provide a brief overview of each.The first Phoenix HOA management option is Self-management. With this option the community association utilizes volunteers to do all the work.  The board members do everything including collecting dues, issuing and following up on violations, creating the budget, hiring vendors for repairs and planning on meetings.  The benefit from this type of management is there are no management costs however there are several downsides.  High board turnover is very common as board members typically don’t have the time for all that is required.  Also, HOA compliance may be an issue as board members may not keep up on  Arizona HOA legislative changes.

Some associations with many members may choose to retain a property manager directly, meaning the association hires the manager as an employee. This is known as in-house Phoenix HOA management and is done because it is cheaper than paying for full-service management from a property management company.   The in-house management may be a volunteer.  However, in-house management can have its disadvantages. If your manager goes on vacation or gets sick, who will step up to fulfill this person’s responsibilities? Also, who is the manager accountable to?

The third Phoenix HOA management option is financial-only management, where the association’s Board of Directors makes the big decisions, but leaves the financial functions to a management company. Tasks such as pulling reports for financials,  processing HOA dues, and paying bills are all handled by the financial management company. They can also offer guidance on decisions and direction for a Board of Directors.  This is a great option for an HOA that is transition from self-management as it offers an introduction to professional property management.

The last Phoenix hoa management option is Full Service Property Management which removes as much of the burden off the Board of Directors as possible, making it the most expensive type of management. Will full service management, the management company does all the same things they would under financial management, plus much more. They help enforce violations, find and coordinate with vendors to complete maintenance issues, create budgets, assist with planning meetings and work very closely with the board to assist with voting measures. As an added bonus, a professional HOA management company has a check and balances system that strongly inhibits theft from the association.

In review; most Phoenix HOA’s utilize full service property management especially for the larger communities.  The really small communities (10 homes or less) tend to use self-management as the work load is manageable.  Interestingly a lot of HOAs that are struggling financially use financial-only management in an effort to save money however full services can really assist in getting things like an HOA dues increase passed which in the long run can help the HOA far more than the cost savings.

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Avondale Property Manager Success!

Avondale property manager success!
Avondale property manager success!

Our Avondale Property Managers rented a home in Avondale’s Crystal Garden community in just 1 day!!!  Crystal Gardens is a premium subdivision in Avondale located south of Thomas, north of McDowell, west of Avondale Blvd and east of 107th.  The community offers lake view homes, walking paths, fishing, bird watching, two playgrounds and bike lanes.  The community consists of 905 homes and 27 acres of wetland.  The homes within the community have between three to four bedrooms on average and two to three bathrooms.  The square footage of the homes range from 1283 – 2893 and were built between 1998 – 2003 and as a result this neighborhood is perfect for those seeking single-family investment homes.  Additionally,  Crystal Gardens is a desirable area for Avondale property managers.

Our Avondale Property Managers first listed  the single level single family home which is 1240 square foot home in 2011 where it rented for $820, it then rented again in late 2012 for $845 and was rented until a new tenant was placed in November 2019.  In 2019 the home rented for $1095 and took just one day to rent.  The 2019 rental price represents a 34% increase from 2011.  This is a substantial increase for a two bedroom rental home.

Avondale is located approximately 18 miles west of downtown Phoenix. For more information please visit here.

 

For all of your Avondale Property Management & Phoenix Real Estate & Phoenix Property Management Needs Contact:

Real Property Management Phoenix

www.rpmphoenixvalley.com

602-358-8130

info@rpmphoenixvalley.com
Follow us @RPMPhoenixValley

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