Video: The Weight of Real Estate
Hi Folks,
I'm not selling anything but am sharing my thoughts on the weight of real estate (aka responsibility). I'd love to hear your thoughts on my comments.
"Have you ever considered the weight (aka responsibility) that comes with owning real estate? In this video, I share a story about my 'weight of real estate'.
I also get into an interesting debate about how tenants are and should be treated. Are tenants simply revenue-generating widgets, or should they be treated like a customer, meaning we're trying to earn and retain their business?
Also, there are many people that like to complain that rent is unaffordable and landlords are just greedy. Is that true? Comment below! "
Awesome video Lionel.
Are tenants simply revenue-generating widgets, or should they be treated like a customer, meaning we're trying to earn and retain their business?
I'm naturally an optimist, but I really do believe that the number of landlords that treat their tenants like they are just numbers on a spreadsheet is much less than people who treat them like humans. With that being said, as we become more removed from our tenants by out sourcing property management, it becomes much easier to forget about the day to day experiences of our tenants. This video might be a good reminder for those landlords who have fallen into this trap.
There are many people that like to complain that rent is unaffordable and landlords are just greedy. Is that true?
People love to complain :) I try not to pay too much attention to these types of comments. Yes, there are some greedy landlords out there. However, you can only be so greedy for so long. If you are demanding significantly more than market rent, or you going cheap on all of your repairs, your tenants aren't going to stay with you for long. Sure some landlords might be able to get away with it for longer than they should, but I believe that treating your tenants fairly, like customers as you put it, is a win for all parties involved.
Unfortunately the 'complainers' are much more talkative than the people who are content.
Awesome video @Lionel Johnston!
Alex, great points. Thanks for taking a lot and adding your own insights. I agree with your point about scalling for sure. We're still small but I can see with hundreds of tenants its easy to lose sight of each tenant's needs. Onward & upward.
Quote from @Alex Gunnerson:
Awesome video Lionel.
Are tenants simply revenue-generating widgets, or should they be treated like a customer, meaning we're trying to earn and retain their business?
I'm naturally an optimist, but I really do believe that the number of landlords that treat their tenants like they are just numbers on a spreadsheet is much less than people who treat them like humans. With that being said, as we become more removed from our tenants by out sourcing property management, it becomes much easier to forget about the day to day experiences of our tenants. This video might be a good reminder for those landlords who have fallen into this trap.
There are many people that like to complain that rent is unaffordable and landlords are just greedy. Is that true?
People love to complain :) I try not to pay too much attention to these types of comments. Yes, there are some greedy landlords out there. However, you can only be so greedy for so long. If you are demanding significantly more than market rent, or you going cheap on all of your repairs, your tenants aren't going to stay with you for long. Sure some landlords might be able to get away with it for longer than they should, but I believe that treating your tenants fairly, like customers as you put it, is a win for all parties involved.
Unfortunately the 'complainers' are much more talkative than the people who are content.
Thanks for watching, Mitchell!
Great considerations @Lionel Johnston. I have often felt into this too!
Are tenants simply revenue-generating widgets, or should they be treated like a customer, meaning we're trying to earn and retain their business?
No, they are not widgets, IMHO. I have always viewed them as partners. I mean, if they don't pay their rent, the responsibility to pay ultimately comes back to me and my business. I make a real and authentic effort to incentivize them to take care of my properties and reach out if something isn't right. I always imagine myself living there with a newborn. If I wouldn't lay my child on the floor, it needs to be remedied before advertising for rent. We have long term tenants who have only left bc of natural death. Like 18 years, 13 years, 7 years, etc. It sickens me to hear when landlords are slumlords treating people as less than human.
In addition, I only invest with people (sponsors of funds) who have proven to treat other people as humans.
There are many people that like to complain that rent is unaffordable and landlords are just greedy. Is that true?
This is also not true. Most landlords I know are willing to hear a tenant out on circumstances regarding rent payment or early lease termination, etc. And they do put a lot of care into maintenance and safety issues. They don't always buy/use the cheapest appliance, handyman, etc. Especially if there is an opportunity for tax incentives IE. with energy efficient furnaces, et al. Or likelihood of incompetence. I learned a long time ago that cheapest is rarely the best option.
There will always be complainers but that is a whole other topic re privilege, politics and maturity to name a few.
Thanks for your detailed response. I like how you think and agree :). We have a suite and I've told renters that we designed it so if we wanted to live in it we would.
Quote from @Shiela R.:
Great considerations @Lionel Johnston. I have often felt into this too!
Are tenants simply revenue-generating widgets, or should they be treated like a customer, meaning we're trying to earn and retain their business?
No, they are not widgets, IMHO. I have always viewed them as partners. I mean, if they don't pay their rent, the responsibility to pay ultimately comes back to me and my business. I make a real and authentic effort to incentivize them to take care of my properties and reach out if something isn't right. I always imagine myself living there with a newborn. If I wouldn't lay my child on the floor, it needs to be remedied before advertising for rent. We have long term tenants who have only left bc of natural death. Like 18 years, 13 years, 7 years, etc. It sickens me to hear when landlords are slumlords treating people as less than human.
In addition, I only invest with people (sponsors of funds) who have proven to treat other people as humans.
There are many people that like to complain that rent is unaffordable and landlords are just greedy. Is that true?
This is also not true. Most landlords I know are willing to hear a tenant out on circumstances regarding rent payment or early lease termination, etc. And they do put a lot of care into maintenance and safety issues. They don't always buy/use the cheapest appliance, handyman, etc. Especially if there is an opportunity for tax incentives IE. with energy efficient furnaces, et al. Or likelihood of incompetence. I learned a long time ago that cheapest is rarely the best option.
There will always be complainers but that is a whole other topic re privilege, politics and maturity to name a few.
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#3 General Landlording & Rental Properties Contributor
- Real Estate Consultant
- Cleveland
Quote from @Lionel Johnston:
Hi Folks,
I'm not selling anything but am sharing my thoughts on the weight of real estate (aka responsibility). I'd love to hear your thoughts on my comments.
"Have you ever considered the weight (aka responsibility) that comes with owning real estate? In this video, I share a story about my 'weight of real estate'.
I also get into an interesting debate about how tenants are and should be treated. Are tenants simply revenue-generating widgets, or should they be treated like a customer, meaning we're trying to earn and retain their business?
Also, there are many people that like to complain that rent is unaffordable and landlords are just greedy. Is that true? Comment below! "
Depending how the tenants treat me and the property determines how they get treated. For the most part, sure a customer, some, a tool to generate income, nothing more. So, each tenant dictates how they will be treated. If always complaining and always late on rent, and not keeping the house nice, well just a tool for income. If nice all around, they get treated much differently
Greedy, no, Tenants need to understand there is maintenance, taxes, insurance etc. If they do not like paying rent ok, then go buy a home. I have many that pay 1k a month when they can buy the property for 80k and pay about 700 with all. They tell me I do not want the responsibility of owning, and are happy paying extra,
All the best