Landlording & Rental Properties

3 Ways to Reduce (& Potentially Eliminate) Property Expenses

Expertise: Real Estate Investing Basics, Real Estate Deal Analysis & Advice, Mortgages & Creative Financing, Landlording & Rental Properties, Business Management, Personal Development, Flipping Houses, Commercial Real Estate
161 Articles Written

As investors, we know there are two main ways to put more cash flow in our pockets. We either need to increase income or reduce expenses. This is simple, but not always the easiest to do. Whether you are just starting out with one property or you are managing over 100 properties, reducing expenses becomes critical to your success and growth. In today’s video, my goal is to stimulate your thinking about your property expenses.

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Related: 3 Rental Property Expenses Investors Should Always Anticipate

I share three ideas to reduce (and potentially eliminate) your expenses, which include:

  1. Question each expense.
  2. Use efficiencies.
  3. Ask yourself, “Are the ‘fixed’ expenses really fixed?”

As always, let’s get some discussion going. What clever ways have you reduced your expenses?

Thanks for watching! Be sure to leave a comment!

Matt Faircloth, co-founder and president of the DeRosa Group, is a seasoned real estate investor. The DeRosa Group, based in historic Trenton, New Jersey, i...
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    Frank Woodin Investor from Crystal Lake, Illinois
    Replied over 4 years ago
    If the tax bill is intimidating you can have a tax attorney look at it – my tax attorney is only paid if he reduces my tax bill and I pay him one third of one year’s tax savings – so if he reduces my bill by $1000.00 I pay him $333.33. So far every time I send him one of my new properties to review he is able to reduce the bill. Easy money with essentially no work on your part.
    Matt Faircloth Rental Property Investor from Trenton, NJ
    Replied over 4 years ago
    Hey Frank, I’m glad you brought that up, because we didn’t get into the actual process to appeal the taxes. In some areas you can do it yourself but it is recommended to consult with an attorney or have them handle it for you, especially if they will do it on commission as yours did. Great point! Matt
    Pyrrha Rivers Investor from Yokosuka, Japan
    Replied over 4 years ago
    Matt, I love the video delivery you chose. It is very personable, clear and comfortable. In education we are always required to consider learning styles and for some people auditory is very strong and often underutilized as much information comes almost exclusively in written form. Your tips are great and I will be using them to review my holdings. Fixed expenses are not always really fixed!
    Matt Faircloth Rental Property Investor from Trenton, NJ
    Replied over 4 years ago
    Pyrrha, I’m so glad that you enjoy our chosen medium! I am really enjoying creating the videos and find that I can shoot in many locations including the field to show physical examples of the point I’m trying to make. Thanks!! Matt
    Susan Maneck Investor from Jackson, Mississippi
    Replied about 1 year ago
    I’ve thought about solar panels, but my tenants pay the electric bill, not me. Still I’m thinking about it because the lower the light bill the more likely they can come up with the rent.