Dealing with Tenant Issues - The Good, The Bad & The Ugly!!

Real estate investors and property managers can improve their tenant relations by dealing with tenant issues quickly and fairly. Whether times are good or bad, the cost to re-let a vacant unit can frequently make it a far better investment to retain a tenant who pays their rent on time and is, in all other ways, a good tenant. Tenant issues can involve complaints on their part, or can require that the property manager or owner deal with the tenant's activities or payment patterns in a way that keeps things on track and rents paid.

The Good: If you have a tenant who is always on time or early with their rent payments, follows all the rules, and is a good property citizen, then you might want to show them that they are valued. Perhaps a coupon to a local restaurant or other small gift now and then would make them feel that they are appreciated. It could make the difference in keeping them when lease expiration rolls around. At the very least, jump right on their maintenance problems and handle their concerns with respect and interest.

The Bad: This could be a tenant who is a chronic complainer or one who annoys their neighbours on a regular basis. Or, they may pay the rent late frequently. For whatever reason, you will want to document all interaction with them. If there is a neighbour complaint, document it in writing and provide any warnings or other notices in writing as well. If the situation escalates to "the ugly," you'll want to have a record of all your communications with the problem tenant. Always act according to the terms of the lease, as the rules work both ways.

The Ugly: We've now reached the stage where the tenant is not paying rent, or their rule-breaking behaviour has become a huge problem. We have decided that we want them out of the unit and a new less troublesome tenant in the unit as soon as possible. Hopefully, you have thoroughly prepared for this eventuality with your attorney's guidance. Eviction is a relatively speedy process in most cases, but that speed is based on the landlord or owner doing everything right and in the correct time frame. 

1. Have you issued the proper notices to the tenant per your guiding principles and by-laws?
2. In most places, you cannot in any way disturb the property of the tenant, even if they have disappeared.
3. If there is no tenant to dispute eviction, or if they lose the dispute, then you will be granted an order of eviction by the court.
4. Normally, the order is served after notice by the local authority. Again, you cannot open the unit and remove their belongings on your own without having a warrant from the local authority.
5. Be sure to follow the letter of the lease and by-laws as to how any deposits will be handled, retained or refunded.

Dealing with tenant issues is part of the job of property manager or real estate investor/owner. Preparing for eviction with strong lease documents and the advice of an attorney will make the process run smoother. And, if they are a good tenant, find a way to make them feel appreciated. It could increase your return on investment a lot. From James Kimmons

Unfinished House is Looking for a Potential Developer in Mtwara

A fantastic two storey building is looking for a potential developer who wants to invest on a semi-finished residential property. The building is located at Shangani West and is close to Ocean Secondary School. The building is erected on a plot of 450 Sqm with approx. 50 metres from the newly developed Chuno road. Its Architectural designs are inspired by a true meaning of a modern urban generation especially for the young and middle aged professionals or people aspiring to be that who like the finer things in life. 

The interior design includes 2 lovely master bedrooms each with private toilet and bathroom, and spacious balcony for each room on the upper floor, and the ground floor is designed with 1 public toilet, kitchen, dining, living room and huge indoor garage, with ample space (6metres) left on the real side and 12 metres fronting the house for gardening and other outdoor amenities. This property can be used as an office/home or mainly executive residential house. Any questions are welcome!

 

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Surveyed 162 Acres of Beach Farm is Available for US$ 600,000

Fully surveyed and spectacular 655,000 Sqm (approx. 162 acres) of the upper hilly sea view farm is located on a very desirable area ideally suited for industrial development. This property is surrounded by the lower flat salt marsh of Mtepwezi suburb area, and it is strategically situated close to the Municipal industrial area, about 4 Km South East of Mtwara Port (TPA) with few metres away from the Power way leave and Gas pipeline from Mnazi Bay Gas Facility. The property also offers a perfect location for a modern housing complex or large hotel development with options for the development of warehouse or construction and civil engineering yard. Asking Price US$ 600,000

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Why Buying A Home May Be More Advantageous Than Renting?

Although some people find renting a more convenient option, real estate experts still recommend home ownership because of its many advantages. Consider the benefits and risks of home buying vis-à-vis renting. Especially when you think about your retirement years, you will realize that investing in a home will be the smartest decision you will ever make in your life.

Several studies show that having your own home can indeed be beneficial in various ways such as lower chances of teenage pregnancy, better education for your children, and more annual income for your children. But these are just some of the advantages of owning a home. Here are more reasons why you should buy yours now:

1. Housing expenses are more stable with mortgage payments than rental payments.
When you buy a house, your mortgage payments are most likely to remain as they are throughout the home loan period. In contrast, rental fees usually increase each year. Especially during inflation, when prices of goods go up, people who rent are bound to lose more money than homeowners.

2. You get large tax savings. Since mortgage payments consist mostly of property taxes and interests in the first few years, you can expect huge savings when you deduct these fees from your local income and national income taxes-that is, if you decide to purchase your own home.

3. Home ownership allows you to consolidate your other debts. You can do so if you need to refinance your mortgage loan and get out of debt faster. The interest on your debt consolidation can be deducted from your tax as well. You won't get this benefit from renting an apartment, house, or condo unit.

4. You can build equity in your own home. When you rent, the money you pay monthly goes only to your landlord. But when you buy a home, your mortgage payments become your real estate investment. How does it happen? Generally, the value of properties increases over time. And when your property gets more value, you can earn money by selling it. Paying your mortgage loans is like investing your money for future use such as for your retirement fund or for the education of your children.

5. The house is yours! Because you own the house, you have full control over everything that concerns it: the interior design, colour of the walls, the number of guests you can accommodate, gardening and landscape design, among many others. You can have as many pets as you want. You won't need to ask permission from the landlord about changing the look or remodelling the house. No one will force you out of your house or engage you in a violent altercation if you simply want to change the kitchen wall's colour from white to neon green.

Remember, a home is the single biggest purchase that you might make in your life. Before you get a home, you have to know the responsibilities that go with it. The common risks involved in buying a real estate property include decreased value of the home, foreclosure, and increased expenses of maintenance and/or renovation. Thus, weigh all the benefits and risks to be able to arrive at a wise decision.

Author Peter Jordan is a realtor with Prudential NJ Properties in Westfield New Jersey. For more information, visit http://www.livinginwestfieldnj.com 

A Beautiful 50,000Sqm of Beach Farm for Sale at Msanga Mkuu

This beautiful unsurveyed and unserviced beach farm is on the amazing white sand beach of the East Coast of Msanga Mkuu in Mtwara with an area of approx 50,000sqm. The coastal zone has been earmarked for touristy development and is perfectly suitable for the development of a high class Hotel or luxury Holiday Villas. It has a stunning stretch of approx 130m beach front. The plot is on a small hill ensuring that from every spot you have an amazing sea view, and the beach front has a gentle slope with a  nice flat plain down to the fine white sandy beach of Msanga Mkuu. This is one of the most beautiful plots that is left on the famous East Coast of Msanga Mkuu in Mtwara. Price on request!!

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Two Merged Commercial Plots are Available for Immediate Disposal

Two beautiful merged commercial-residential plots each measuring approx 2200Sqm, located along Shangani Road. The plots have three semi finished properties with a fore building designed for trading/shopping activity and a cottage pub for recreational with unfinished public toilet and one big bed room. Its strategic prime location from the Indian Ocean approx 300mts, and from the central town area gives its wealthier suitability and ideal for developing a small housing/shopping complex, but also suitable for multi-storey office building and/or hotel apartment. The property is now available at a reasonable disposable price of TSh.500 Mill.

 

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5 Factors Affecting Real Estate and Property Development in Kenya

As HomesKenya magazine sat down with Mr. Daniel Ojijo, the Executive Chairman of Mentor Holdings, to speak about what to expect in the real estate sector in 2013. The following are five key factors that he believes will affect the growth and development of the sector this year.

1 Housing Demand
Despite challenges that began in late 2011 owing to a weakened shilling, the prospects for the real estate sector in the long-term appear promising. For investors who are eyeing the market now, it is always safer to conduct thorough due diligence on properties of interest so as to avoid fraudulent cases. Nevertheless, the huge demand for housing will continue in 2013, owing to the fact that there is still a huge housing deficit in this country. The mortgage market is set for tremendous growth over the next decade, both in Kenya and the region. The key factor is the rates of interest charged

2 Government Incentives
So far, the incentives introduced have not been sufficient enough to make housing affordable to the lower income group where the demand is high and the supply is critical. As was the case in 2011, the government has plans to offer more incentives in 2013, to accelerate growth in the property market. Budgetary allocation will be enhanced as well as sourcing of funds from development partners to assist in providing cash needed to stimulate construction of affordable houses to meet growing demand.

In 2010, the Ministry of Housing revised the incentives although this may not have been enough. Talks on how to provide more incentives in the sector have been held with Treasury and there’s hope that this will be captured in 2013. Current incentives should be expanded to cover more areas. This is geared towards stimulating more investments as well as taming imbalances in the market.

3 Interest Rates
The interest rates are expected to reduce as pressure is put on the Central Bank and other banks , investors, developers, bank customers and other stakeholders. There is a lot of competition that banks are facing from SME financiers and money-lending is becoming a popular business outlet at lower interest rates than the mainstream banks have been offering. Co-operative Saccos are giving banks a run for their money and Chama Accounts are opening everywhere in the country. With this kind of healthy competition, interest rates cannot remain high much longer.

4 Land Regulations
There is plenty of lobbying by non-government bodies and the CIC is in the process of implementing the land regulations. We expect the changes to come gradually and even though it has taken more time to make the bills into Acts of Parliament for some of the land bills and hence the implementation of the same, we consider the timelines earlier set to have been too short because they did not give ample time nor the necessary release of funds for the grass root awareness movement. We believe that laws are made for the people and that the people should have a chance to understand what they entail. We also agree with CIC that rushing to meet a deadline will not necessarily ensure that good laws are created. The regulations are necessary but all possible input from stakeholders must be collected and analyzed thoroughly before they are made into law.

5 Rates of Inflation
Recent reports indicate that the rate of inflation has also started to reduce. According to the Finance Minister Uhuru Kenyatta, Kenya plans to cut inflation to five percent by 2014/15 through austerity measures to reduce its budget deficit, accompanied by a tight monetary stance.

Statistics show that year-on-year inflation rose for 13 straight months to peak at 19.72 percent last November, before easing to 18.93 percent in December after the central bank raised rates aggressively and good rainfall pointed to an improvement in harvests. The shilling fell against the dollar for most of last year mainly due to a widening trade gap, amplified by global increases in fuel prices and a drought that ravaged the Horn of Africa, feeding through to higher inflation rates in the region. The government aims to lower its budget deficit to 5.1 percent by 2014/15 from this fiscal year’s 6.1 percent. The decrease in cost of fuel should see the cost of inflation also come down considerably.

Eremi Investment House; Office Space for Lease in Mtwara

A contemporary modern building comprising three storeys each measuring approx 260Sqm, located at Raha Leo Street along Tanu Road. The building is adjacent to Camel Oil Station and opposite to Tanzania Revenue Authority (TRA) Regional Office. The premise is ideal for office space with a ground floor suitable for Banking. It is situated at the inner CBD area with only 10 minutes drive from the Airport. Each floor is adaptable for 5 or 6 smaller self-contained office suites or as 1 large office area, all standing on a prime 1 acre property. Its architectural and strategic position gives a rewarding emphasis of the supreme panoramic views of the main road, the upper scenery and the spectacular view of the town area. The lettable space has its unique features and value added services which include: A generous parking space, water reserve, private toilets, security guards with provisions for air conditioning and back up generator. Eremi house is now on the final completion stage but ready for occupation. Rent $15/Sqm/Month.

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Agave Sleepwell Lodge: Where Serenity and Comfort Converge..!!

This is a coolest place surrounded with comfort and peace of mind while you think of lodging in Mtwara. It is one of the lodges in town located at Indian Quarters Street with 10 beautiful rooms each equipped with AC, TV, Telephone, WiFi and private bath plus other services including Laundry as well as Breakfast, Lunch and Dinner. The lodge is also providing drive-inn parking space with security and small venue for business meeting and private functions. For Reservations: Tel: +255232334161 Mob: +255784772702 Email: agavelodge@gmail.com

What is Population and Housing Census with its Key Importance?

The Population Census provides the fullest and most reliable picture of the country's population and its characteristics at the “Determinant Date” (a particular point in time to which the census relates). In the census, data is collected at a specified time from the entire population; in contrast to other surveys, in which information is collected from only a small part of the residents, and from that conclusions are reached regarding the general population.

The Population Census is unique in that it provides the possibility of examining small and special population groups, and acquiring information on small geographic units (localities or dwelling units and neighbourhoods). In most countries population census is carried once in every ten years. Like in Tanzania to date, the census was carried out five times, at first it was conducted in 1910 and then after the national independence it was carried out in 1967, 1978, 1988 and 2002 plus the current one of August, 2012 (http://www.nbs.go.tz/sensa2012/).

The census is one of the most important sources of information that provides a basis for the official statistics of the country. A population census, by the definition customary today, is a complete process of collection, reception, assessment, analysis, publication and distribution of demographic, economic and social data, which relate, at a given moment in time, to all the residents of a country or of a well-defined partial geographic area; as reflected in the Population and Housing Censuses Handbook of the UN, 1992.

Types of population Census

There are two main types of population census and they are:

1. Defacto Population census: This is the type of population census which involves the counting of only those who are present physically during census. In this group, only those who are present physically or seen are counted.
2. De jure population census: This is the type of population census which involves the counting of people who have been permanent residents of a specific area. It does not matter whether the person is present of not. This is population census commonly referred to as counting by proxy.

Stages of expediting the census, conducting a census is a most complex undertaking, and therefore careful planning of each detail is required in the census process - in the methodological, contents and technological fields, as well as the organizational and administrative aspects. Great importance and a special emphasis are placed on planning and prior preparation when planning the execution of a census, preparation that includes many tests and repeated trials.

Census activities can be divided into three main stages:

1. The planning stage.

2. The stage of data collection.

3. The stage of producing the results.

The first stage - planning and preparation towards data collection, this stage is critical. During this stage, and especially at its beginning, the purpose and methodology of the census are determined, the main strategical decisions are made, and intermediate goals are defined, whose achievement makes the realization of the final goals possible. A great emphasis is put on the development of methods and means designed to achieve the goals of the census.

The second stage - data collection, during this stage data on the census population is collected, by direct contact with the residents and/or through information found in administrative resources. This is the most intensive stage, especially if the data collection in the field is extensive. This stage requires complex logistic preparation and is conducted in a relatively short period of time (normally few weeks to several months). In order to achieve good results during the process of collecting data from the population and a high level of quality of the data collected, there is a need for both a publicity campaign to enlist the cooperation and participation of the public at its fullest, as well as a high level of skills in the field operation is required.

The third stage - producing the results; including receipt, processing, estimation, analysis, publication and distribution of the census data, this stage is long and complex, from a professional viewpoint. During this stage three major activities occur simultaneously: Preparation of the final file of the census data (including receipt of the information, identification and correction of errors, editing of the data collected, imputation of missing data and calculation of estimates). Production of products by which the findings of the census are published and distributed, in the form of various statistical summaries and their analyses, or as files of anonymous individual records. Conducting activities of data assessment, from which a picture results of the extent of coverage of the population and the quality of the information produced.

Importance or Reasons of Population Census

The importance or reasons for conducting a population census as quoted from (Funom Makama in Ezine Articles) include: "aiding the government to know the number of people living in the country and the structure of the population; helping in the determination of taxable adults so as to know the amount of revenue expected from that sector; enabling the country to forecast her future economic needs e.g. housing, food etc. and the provision of statistics to the government to determine the level of unemployment in the country".

Further importance could be: its assistance in the determination of the standard of living of the people in a country through per capital income; using the statistics of the number of people in a country to formulate economic policies e.g. revenue formula is at times based on population figures; the estimation of the number of immigrants in a country, the assistance to the government in the distribution of resources e.g. areas of high population will get more resources than areas of low population; giving the government an idea of the different population in various parts of the country and this can help in the provision of social amenities like housing, water, electricity, roads, schools, hospitals etc. It doesn't just end there, Population census is also very vital in giving detailed information to the government on areas of the country where population per land area is high or low; reveals level of man power by helping to reveal the total number of people who are working, when the level of manpower is high, the economic development of the country is assured and assists international agencies and governments in giving aids and other assistance to countries; assists international investors in making investment decisions. In some developing nations, Population is often used to allocate parliamentary seats. States or regions with high Population are given more parliamentary seats than states/regions with low population.

So all said and done, population census as we can now see is far beyond just counting the population of a particular area at a particular time. It can go a long way in helping an area's or nation's economy to grow even as it varies from one year to another. (www.senicoms.blogspot.com)