All Forum Posts by: Dan Marl

Some agents here are just trying to mislead newby investors. It is totally legal that your agent refunds a portion of his/her commission to you, at least in Washington state! Department of Justice even has a memo on it. For residential property, most if not all information is public on MLS or redfin. If you as an investor need to rely on an agent to find a deal for you, you have not done your homework and need to rethink your career. Agents, pls don't over emphasize your capabilities. Investors can do all searching, pricing, valuation, and even more. We just don't have time to get the realtor license, which only requires a high school diplomat btw.

After interviewing with several brokers, I picked one broker who only retains 1% up to $6,000 and refund the remaining commission to me as rebate.  The rebate can be used to reduce closing cost, purchase price, loan amount.  So for a $400k property, if the buyer agent commission is 3%, I will receive 2% or $8,000 as rebate, which is sufficient to cover my hard money lending cost and even lower the purchase price a bit by using the rebate.

I have done several deals with the agent.  It's not just fee.  This agent is very professional, knowledgeable and spontaneous.  She can reply to my email 24/7, which is a blessing for me as the timing is the key to find and negotiate a deal.

I don't want to make this as an ad.  Just want to let every investor know that you can request rebate from your agent.  If you want the contact of my agent, please pm me.

@Dan Marl

Yes mid-month (usually starting on the 16th) is the easiest, you just split the rent in half. It’s easier for the tenant to not have to rush into moving all in one day. If you are advertising now for a vacancy from January 1st, just say it’s available now because you never know some may be open to renting right away.

I have rooms I rent to students and when vacancies come up mid-year, usually from students graduating early, I usually advertise at least 3 months ahead of the vacancy. I have two moving in January 1st -well, renting from January 1st but moving in a couple days.

Typically if someone is looking to move right now this is a red flag hand I expect it to sit vacant for a month.  I try to minimize it though and am up front in the beginning there is a lot of interest.  Typically I offer to split the difference and have them move in mid month which gives me 2 more weeks of occupancy and then time to move their stuff and not have to be in a rush.  A lot of people appreciate this and take me up on it.  Once you scale this may not work as well but I have had a couple tenants who just paid on the 15th and I loved it.  It takes Zillow a few days to clear funds so I always had the funds by the first.  

This is your rental; you set the rules.

My policy is that I will hold a vacant unit for ten days. After that, they have to start paying rent, utilities, maintaining the lawn, etc. If someone applies January 1st but doesn't want to occupy until February 1st, I tell them they have two choices:

1. Rent the unit early on January 10th; or
2. Wait until February 1st and see if the unit is still available

Most of them rent it early. I'm not willing to hold a unit vacant for an entire month waiting for a renter when there's a very good chance I can find a different renter during that month. I disclose this policy before they apply which helps soften the blow.

If you are just listing it now, you are likely going to lose a month's rent.  Tell them it is available immediately.  Most will move in Feb 1, but some may want to move in a bit earlier in which case charge them for that amount of time.  Start the lease when they move in, but have it go until Jan 31 2023.

Go for the best applicant that can move in Feb 1 (or sooner), not the person who can move in first.  You are better off losing a bit of money on rent than taking a bad tenant.

If my tenant asks to pro-rate the rent, I collect the full first month + deposit and give the credit for the second month.

For example, let's say the rent is 600. You meet the tenant and they sign the lease on the 10th. You collect 1,200 and a signed lease at the same time. Next month, they pay 426 (credit of 174 for Jan 1 - Jan 9) and they pay the full amount thereafter.

Hi Dan

Winterize the property.  Dallas doesn't get that cold, but last year it took us by surprise..  exterior garden hose bibs need to be covered etc.   You will need everything on for the inspection,  after than you can set you water heater to vacation mode but leave utilities on.  Yes, no need for internet.  Your bill should be minimal.