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Protect the Rights of Tenants to Build Trust and Reduce Turnover

Protect the Rights of Tenants to Build Trust and Reduce Turnover

The relationship between landlords and tenants can make or break the success of a property investment. Understanding the rights of tenants is not just a legal requirement; it’s a strategic move that can lead to lower turnover rates and a more positive rental experience for both parties involved. 

What do you know about the intricacies of tenant rights? Continue reading to discover tenant rights when facing eviction, living without a lease, when the landlord decides to sell the property, and actions tenants can take against landlords. Understanding and respecting the rights of tenants helps property owners, managers, and residents build a trusting relationship that keeps occupancy rates high. 

An overview of Texas renters’ rights

In Texas, as in many states, tenants have certain protections that landlords must adhere to. Texas renters enjoy a set of rights and protections designed to ensure fair and lawful treatment by landlords. Some fundamental rights include:

  • Right to a habitable property. Tenants have the right to live in a property that meets basic habitability standards, such as working utilities.
  • Right to privacy. Landlords must provide reasonable notice before entering a rental unit, typically 24 hours. 
  • Protection from discrimination. Tenants in Texas are safeguarded against discrimination on the grounds of race, religion, gender, national origin, disability, or familial status.
  • Right to notice of sale. When a landlord decides to sell the property, tenants have the right to receive written notice of the sale, including the new owner’s information.

These rules ensure that renters get a fair deal, privacy, and peace of mind in their rental homes and make for a solid landlord-tenant relationship. Let’s dive into some more essential protections that tenants can count on.

Understanding the rights of tenants facing eviction

No property owner wants to handle a situation where a tenant is facing eviction, but knowing tenant rights in such a situation can be crucial. 

  • Proper eviction procedures. Landlords in Texas must follow proper legal procedures when evicting a tenant. This includes providing written notice and allowing a reasonable amount of time to address the issue.
  • Retaliation protection. Texas law prohibits landlords from retaliating against tenants who assert their rights. If a tenant makes a legitimate complaint about the property, the landlord cannot evict them in retaliation for the complaint.
  • No “Self-Help” evictions. Landlords can’t take matters into their own hands by forcibly removing a tenant or changing the locks without a court order. Self-help evictions are illegal in Texas and can lead to serious legal consequences.

Knowing what you can and can’t do as a landlord during an eviction process is crucial. Property owners must follow the rules when dealing with eviction. Your property manager should be knowledgeable about lawful procedures to navigate any situation without violating any rights of tenants. 

Navigating the rights of tenants without a lease

Knowledgeable property owners and managers will always ensure every property has the appropriate lease paperwork for every tenant, no matter the rental situation. If you’re considering purchasing a new investment property, you might encounter situations without a formal lease agreement. There are rights tenants in Texas can rely on, even without a lease agreement.

  • Implied warranty of habitability. Landlords in Texas are legally obligated to provide habitable living conditions, regardless of whether there is a written lease. Examples of habitability include working plumbing, heating, and electrical systems. 
  • Notice requirements. Proper notice must be given to the tenant before a landlord or property manager enters the investment property. The right to privacy still applies, even without a formal agreement. 
  • Protection from discrimination. Even without a lease, tenants have protection against housing discrimination. Landlords cannot refuse to rent or renew a lease based on protected characteristics.

In these scenarios, landlords need to grasp that even without a formal lease agreement, there are regulations in place to ensure fairness and prevent any potential abuse or misunderstanding with tenants.

Tenant rights when the landlord sells the property

Change is inevitable, and that includes changes in property ownership. When a landlord decides to sell the rental property, tenants have the right to protect themselves during this transition.

  • Notice of sale. Texas law requires landlords to provide tenants with a written notice of the sale of the property. The notice should include the new owner’s name and address.
  • Lease continuation. In most cases, the lease agreement remains valid after the property is sold. The new owner must honor the terms of the existing lease until it expires, including rent amounts and lease duration.
  • Security deposit transfer. When the property changes hands, the new owner assumes responsibility for the tenant’s security deposit. Inform tenants of this transfer and provide the new owner’s contact information.

It’s essential to understand the requirements for notifying tenants of property sales, lease continuation, and security deposit transfers during ownership changes. Knowing your legal obligations during property ownership changes is crucial, but what happens if things go wrong? Let’s explore the potential grounds tenants might have to sue a landlord in Texas and what landlords need to know to protect themselves.

Grounds for a tenant to sue a landlord in Texas

If a tenant believes there was a violation of their rights, they may take legal action. In Texas, tenants can sue landlords for various reasons, including:

  • Breach of the implied warranty of habitability. The tenant may have grounds to sue if the landlord fails to maintain habitable living conditions, such as addressing mold, pest infestations, or plumbing issues.
  • Illegal eviction. If the landlord attempts an unlawful eviction, the tenant can take legal action for wrongful eviction, seeking damages for the inconvenience and potential harm caused.
  • Discrimination. Tenants can file a complaint or pursue legal action if they believe they’ve experienced discrimination based on protected characteristics. 

There are other resources they may use to report potential violations before choosing to directly sue the property owner if a tenant feels their rights are in danger.

Tenant reporting resources

If a tenant thinks they are in a situation where they’re dealing with a bad landlord, reporting the issue to the appropriate authorities is crucial. Here are the steps they can take:

  • Texas Department of Housing and Community Affairs (TDHCA). TDHCA is the primary agency responsible for handling complaints concerning housing discrimination and fair housing violations in Texas. Tenants can file a complaint online or contact them directly for assistance.
  • Local code enforcement. A tenant can contact the local code enforcement office if a rental property violates health or safety codes. An officer will investigate and enforce compliance with building and housing codes.
  • Legal aid organizations. If a tenant needs legal assistance, various legal aid organizations in Texas specialize in the rights of tenants. They can provide guidance and, in some cases, represent tenants in legal proceedings.

By choosing to work with an experienced property manager, investment property owners can avoid potential issues and create relationships that build lasting trust.

Building a Positive Rental Experience

Investing in tenant rights is not just a legal obligation for landlords; it’s a strategic move that can lead to a positive rental experience. By understanding and respecting the rights of tenants, landlords can build trust and reduce turnover. Likewise, tenants should know their rights, empowering them to advocate for fair treatment and seek recourse when necessary. By fostering a healthy relationship with your tenants, you can create a win-win situation for everyone.

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Apartment Finders: Strategic Partnerships that Fill Vacancies

Apartment Finders: Strategic Partnerships that Fill Vacancies

In the competitive and ever-changing real estate market, property owners and managers are on a constant quest for innovative strategies to maximize visibility and efficiently fill vacancies. One approach that is gaining popularity is forging partnerships with local apartment finders.

What is an apartment finder?

Apartment finders are professionals – sometimes even Realtors – who specialize in finding rental properties for their clients. Apartment finders act as intermediaries, connecting property owners with prospective tenants. 

Why apartment finders matter

Managing your property’s online reputation and connecting with potential tenants in a vast and diverse metroplex like Dallas-Fort Worth (DFW) is where apartment finders shine. These professionals specialize in understanding the local real estate market, making them invaluable in helping individuals find their ideal rental spaces. 

Property owners can tap into their expertise and leverage their network to showcase available units when they partner with a finding service. With a deep understanding of their client’s preferences and needs, finders give property owners the tools to target their marketing efforts. This targeted approach expands marketing reach and increases the likelihood of finding suitable tenants.

The strategic partnership advantage

Two key advantages to property owners emerge when they choose to work with an apartment finder: 

  • optimizing online presence; and,
  • maintaining an efficient system to keep property availability information up to date.

Optimizing online presence: With more than 70% of renters using mobile websites to find their next home, a strong online presence is crucial. Apartment finders often have well-established websites and online platforms, providing an additional avenue for property owners to showcase their listings and attract a broader audience.

Efficient tenant search: Property owners typically manage inquiries, schedule viewings, and conduct background checks, making the tenant search a time-consuming process. A finder service streamlines this process by pre-qualifying potential tenants, ensuring property owners can invest time in qualified inquiries. This efficiency markets your property in the right places and translates to increased occupancy rates and reduced vacancy periods. 

Apartment finders and property management work together to attract and keep ideal tenants

Apartment finders can benefit from leveraging advanced search algorithms and machine learning to streamline the property search process for potential renters. Their user-friendly interfaces and mobile applications enhance accessibility and user experience, which makes your property easy to find.  

On the property management side, data analytics helps property managers make marketing decisions based on current rental market trends. A great property manager takes the time to analyze trends on what tenants want and communicate with the finding service to ensure all vacancy information is current and speaks to prospective tenants’ wants and needs.

If you’re ready to elevate your property’s online presence so you can find your ideal tenant, it’s time to look into creating a listing with an apartment finder.

Dive into Dallas-Fort Worth apartment finder services

To kickstart your journey into strategic partnerships, here’s a list of reputable Dallas-Fort Worth apartment finder services:

The real estate market is constantly evolving, and strategic partnerships are becoming essential for success. Partnering with a local DFW apartment finder will expand your reach and help you fill vacancies efficiently, providing a win-win situation for property owners and tenants alike.

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The Future of Every Property Management Company in Dallas: 2024 Trends

Image of young women using VR goggles to take a tour posted by a property management company in Dallas.

As the housing market turmoil of 2023 continues into the new year, every multifamily property management company will be faced with new challenges. Home ownership is unaffordable, pushing many new renters toward multifamily and single-family rental properties.

While this seems great at first glance, it’s worth noting that property managers will need to meet some increasingly high expectations to remain competitive as more units in large markets are completed and become available.

2024 Multifamily Trends Forecast: What’s next for every property management company in Dallas

While many of these 2024 rental and real estate market trends are universal, the Dallas area multifamily market is unique in two key ways:

With those factors in mind, 2024 could be a roller coaster year for Dallas property management company professionals. Get ahead of, and monitor, the following trends to keep your occupancy rates up and attract the best renters.

Trend 1: Use a Data-Driven Property Management Company Approach

Your Task: Collect and analyze all the data.

To really understand how your property is performing, you need more data. Data tells a story that provides insight into a property’s desirability, so here’s what you need to be doing to collect more data:

  • Tenant satisfaction surveys that address maintenance schedules, amenities, rent rates, and any other possible data point for which you don’t have good intel.
  • New tenant and lost tenant surveys. Why are they moving in? Why are they leaving? You need to know.
  • Quarterly marketing ROI analysis. Are you marketing to the right people, in the right places? Has your target audience changed as demographics have shifted due to local market changes? Keep up or get left behind.

Trend 2: Renter Mobility on the Rise

Your Task: Understand local market migration trends.

Post-COVID, remote work has become a lasting reality that gives many people the freedom to work remotely. That means your available pool of renters is no longer tied to local employers; those workers may choose one of the growing secondary markets, while others who don’t work locally may be looking to move into your area.

Surveying large local employers to learn more about their remote work policies could help inform your marketing and give you a heads-up when you’re about to see a big change, such as an impending return to the office (RTO) policy or a move to permanent remote work.

Trend 3: Cybersecurity and Data Protection

Your Task: Use property management company software and payment platforms with advanced protections.

Since more and more of what we do as property managers includes moving sensitive personal and financial information through the web, we must protect that information from a growing cybersecurity threat. Every day we hear about another major data breach. Does the Mr. Cooper data breach ring a bell?

Don’t leave yourself open to becoming another cautionary tale like Mr. Cooper. Lock down your renters’ sensitive data.

Trend 4: AI, AR, and VR-Driven Property Marketing

Your Task: Find solutions that give prospects access to AI chatbots and enhanced virtual tours.

Your prospects most likely won’t show up to your manager’s office in person to tour an apartment. They expect to be able to take a virtual tour through each of the floor plans on your website, and enhancing your tours with augmented reality (AR) and virtual reality (VR) options will help you stay ahead of the competition.

If you’re a property manager looking to create VR and AR tours, here’s a step-by-step guide to help you get started:

  1. Determine your objectives: Identify why you want to incorporate VR and AR tours into your marketing strategy. Whether it is to attract more tenants, enhance brand visibility, or stand out from the competition, having a clear objective will guide your decision-making process.
  2. Research available technology: Evaluate the VR and AR tools and platforms available in the market. Look for software that suits your needs, offers user-friendly interfaces, and provides the features required to create engaging tours.
  3. Gather the necessary equipment: To create VR tours, you will need a 360-degree camera capable of capturing high-quality images and videos. Additionally, ensure you have a stable tripod, a microphone for audio, and a computer powerful enough to handle VR content rendering. Grab a ring light to address low-light areas while filming.
  4. Plan and capture the property: Choose the areas and features you want to highlight during the tour. Begin by capturing high-resolution, 360-degree photos and videos of each room or area. Pay attention to lighting, angles, and staging to showcase the property in the best possible way. While we hope it doesn’t have to be said…make sure your property is clean.
  5. Create a storyboard: Before diving into the editing process, create a storyboard to outline the flow and narrative of your VR or AR tour. This will help you organize the captured content and ensure a smooth and engaging experience for your viewers.
  6. Edit and enhance the content: Use VR and AR software to edit and enhance the captured content. This might include adding interactive elements, integrating features like hotspots, annotations, audio descriptions or closed captioning (TikTok style), and fine-tuning the visuals to create a seamless and immersive experience.
  7. Test and optimize: Once you have created a VR or AR tour, test it thoroughly on your website to ensure everything functions as intended. Fix any technical issues or bugs that might hinder the experience. Additionally, optimize the content to ensure fast loading times and compatibility across various devices and platforms, especially smartphones.
  8. Publish and promote: Once your tour is ready, decide on the platforms where you will host and distribute it. You need it on your website (that’s a given), but you should also upload it to popular virtual tour hosting platforms and real estate listing sites. Promote your tours through various channels, such as social media, email newsletters, and local Realtor email services.
  9. Gather user feedback: Encourage viewers to provide feedback on their experience with the VR and AR tours. Analyze the feedback to identify areas for improvement and continuously enhance the quality and effectiveness of your future tours.

Trend 5: The Housing Affordability Crisis Remains an Issue

Your Task: Deliver a rental experience that meets the needs of those priced out of the buying experience.

Home prices and historically high-interest rates are expected to normalize slowly throughout 2024, but many people are still priced out of the dream of home ownership. Like remote work, this is leading some to migrate to more affordable secondary markets. For those who choose to stay in Dallas, a great property management company can get on board with their dream and still keep rents and occupancy rates up:

  • Reach prospects through Realtors, who continue to help clients find great rental properties.
  • Jump on the MLS-style listings for apartments, led for now by Bright MLS and RentSpree. Get your property listed.
  • Offer credit-building options for renters who pay on time. For many would-be homeowners, their credit score needs work before they can buy. Help them remove that barrier to finally owning a home of their own by participating in Freddie Mac’s rental credit reporting partnership with Esusu. As a bonus, participating multifamily property investors can get help with closing costs from Freddie Mac on new property purchases.

The Bottom Line: 2024 Looks Like Work and Opportunity

It might not be pretty, but this year has a lot of opportunities for improvement and growth for rental properties and their management companies. Take a proactive look at what you’re delivering and how your property is preparing for what’s to come, and then make a plan to lead the Dallas rental market from the front of the pack. Class A Management can help, so reach out to learn more about our revolutionary Dallas rental property management company.

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Top 4 renter incentives for property managers in Fort Worth

Property managers in Fort Worth brace for a tough 2024 market; image of Fort Worth Stockyards iconic sign.

Fort Worth property managers employ incentives to make their properties more appealing to prospective renters and differentiate their rentals from the competition. With careful planning and a little research, we’ve found four incentives to help attract and retain DFW-area apartment renters.

But first, a property manager’s word of caution

Determining which renter incentive your property will offer should account for current market conditions, your target demographic, and the specific needs and preferences of renters in the area. While there is no one-size-fits-all answer, some incentives tend to be more popular in certain markets.

Here are the top four incentives we’ve found to be most effective in Dallas-Fort Worth area markets

Incentive 1: Discounts on rent

Offering discounted rent for a specific period or initial months can be a powerful incentive in any market. Renters are often attracted to cost savings, and promotions such as “first month free” or “half off the first three months” will quickly grab their attention.

Need to keep valuable renters? Consider implementing a referral program and rewarding current residents with a rent credit or similar perk when they refer a friend who signs a lease.

Incentive 2: Waived fees

Dallas-Fort Worth has a competitive rental market outlook, and waiving certain costs like application fees, security deposits, or pet fees (especially pet fees) can help separate a property from the competition. Lowering up-front costs is appealing to many renters, especially recent college graduates moving to a new city for their first real job.

Incentive 3: Upgraded amenities or services

The local population appreciates high-quality amenities and services and has come to expect them. Highlighting upgraded features like a modern fitness center, rooftop lounge, or convenient package delivery system can attract renters looking for a more luxurious living experience.

Incentive 4: Flexible lease terms

Shorter lease durations or month-to-month options are enticing as well. This offers renters greater flexibility to suit their needs and lifestyles.

How do I choose an incentive for my property?

You’ll need to do market research to understand what your competitors offer, and what your average (great) renter wants in an incentive.

Property managers can ask questions like these to fine-tune incentive offers:

  1. Why did you decide to check out our apartments today?
  2. Have you heard about our current special? Does that interest you?
  3. What other apartments will you be looking at? (Then research what those properties are offering.)

Start with research

The answers to those questions will provide some context for the rest of your research, which should include:

  • Outline target audience demographics. Use tenant data to determine who is in your target audience: age, income level, lifestyle, and priorities when renting a property.
  • Research current local market conditions. You need to understand current rental market trends, demand, and competition. Then you can tailor your incentive to address gaps and/or opportunities.
  • Survey current tenants. Use your annual tenant survey to gather information about incentives from people who have signed a lease and are in your target audience. Are they considering a move? What would entice them to stay? Do they have friends who are looking at apartments? What would help their friends choose your property?
  • Research competitors. Analyze what your competitors are offering in terms of renter incentives. Check their websites, social media, and advertising materials to see if they provide any unique or effective incentives and how they market them.
  • Evaluate costs and benefits. Assess the costs associated with the different incentives you are considering and compare them against the potential benefit they may offer. Consider factors such as initial costs, ongoing expenses, and the potential return on investment (ROI) of increased occupancy and tenant satisfaction.
  • Align with marketing strategy. Ensure the chosen incentive aligns with your overall marketing strategy and property positioning. Consider incentive promotion, how well it aligns with your property’s unique selling points, and how it fits into your overall branding.
  • Test and monitor. Once you have selected an incentive, implement it on a trial basis and monitor its effectiveness. Track metrics such as the number of leads generated, conversions, and overall occupancy rates. Adjust or fine-tune the incentive if needed based on the collected data.

Seek professional advice from property managers in Fort Worth

If you are unsure about which incentive would be most effective, consider consulting with professionals in the industry who have experience in your specific market segment. They can provide valuable insights and recommendations based on their expertise.

Remember, choose renter incentives strategically and tailor each to meet the needs and preferences of your specific target audience and local market conditions. Continuously evaluating and adapting your incentives based on feedback and market trends will help ensure their effectiveness in attracting and retaining tenants – especially the most valuable tenants who pay on time and contribute to building a community that feels like home.

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Rental property management companies: 2 critical ways to increase occupancy in 2024

Rental property management in DFW will look different in 2024; blog post image depicting Dallas skyline at night.

As rental property management companies nationwide brace for what could be a volatile year ahead for rental properties, occupancy rates are still a concern for the current year.

As managers struggle to rise above the DFW average 95 percent occupancy, the question is not what’s going to happen in the new year. It’s how can we increase occupancy right now by attracting and keeping great tenants?

Here are two ways we’ve found to increase and maintain occupancy and, more importantly, create relationships with valuable, long-term tenants.

Rental property management in DFW: Attract and retain great tenants with two essential moves

Move 1: Communicate, communicate, communicate

We really can’t say it enough. If you want to build relationships with people, talking to them and listening to them are essential moves.

By providing excellent customer service and building strong tenant relationships, property managers can enhance tenant satisfaction and retention. Satisfied tenants are more likely to renew their leases, recommend the property to others, and contribute to positive word-of-mouth marketing, all of which can lead to better occupancy rates.

It’s a win-win for everyone, but especially for your property revenue. If your rental property management team lacks communication skills, here’s a game plan to help develop them:

  • Create a communication culture. Encourage and emphasize the importance of open and transparent communication in the organization. Host regular team meetings, set up feedback channels, and create opportunities for apartment managers and staff to share their thoughts and ideas without fear of reprisals.
  • Lead by example. Senior leaders and managers should lead by example and actively demonstrate the value of communication and feedback. By actively listening to their employees, seeking feedback, and acting upon it, leaders can set a precedent for the rest of the organization.
  • Provide training. Rental property management company managers sometimes lack the necessary skills for effective communication and feedback. Provide training programs and resources to help apartment office staff develop these skills. This can include workshops on active listening, constructive feedback, and conflict resolution.
  • Empower and involve employees to empower tenants. Move away from a command-and-control approach and empower employees to make decisions and take ownership of their job responsibilities. Involve them in decision-making processes and solicit their input. This not only promotes communication but also shows that their opinions and contributions are valued. Respect trickles down into every interaction they have.
  • Implement feedback channels that get used! Establish formal feedback options such as regular performance reviews, surveys, and suggestion boxes. This provides employees with a platform to express their opinions and concerns. Also, take action based on feedback to show that it’s valuable and you take it seriously.

Once your team has mastered speaking and listening with an open mind, your next essential tactic is to find prospective tenants.

Move 2: Market your multifamily property in the right places, to the right people

Attracting great tenants is probably the biggest mystery most multifamily properties face, but it doesn’t have to be. What many rental property management companies don’t offer is a thorough market analysis to pinpoint:

  1. A property’s target audience; and,
  2. How to most effectively reach them through marketing efforts.

Here’s how you address both in just about any market:

  • Online advertising. Utilizing platforms such as Google Ads, social media ads, and targeted display ads can effectively reach potential apartment tenants. Not sure about content? Focus on all your in-demand amenities and services!
  • Content marketing. Creating valuable and engaging content, such as blog articles, videos, and virtual tours, can attract and inform potential tenants. Sharing this content through various channels, including social media and email marketing, helps build brand awareness and establish credibility.
  • Referral programs. Encouraging current tenants to refer friends or family members can be an effective way to acquire new tenants. Offering incentives, such as discounts or gift cards, can motivate tenants to spread the word about their positive living experience.
  • Local partnerships. Collaborating with local businesses, community organizations, or universities can attract new tenants. Offering exclusive discounts or perks to their members or students can increase visibility and referrals.
  • Online reviews and reputation management. Monitoring and managing online reviews on platforms like Google, Yelp, or Apartment Ratings is crucial. Positive reviews can greatly influence potential tenants’ decision-making process. Encouraging satisfied tenants to leave reviews and promptly addressing any negative feedback are essential for maintaining a positive online reputation.

Find rental property management companies that do all this, and more

Now that you understand what’s required to attract and keep the best tenants, it’s time to put your plan into action. Whether you’re a property manager, a real estate investor who handles management, or the owner of a rental property management company, we’re here to help.

Class A Management has successfully managed multifamily properties in Texas, Ohio and Oklahoma for more than 40 years, and we’re happy to give back by sharing what we’ve learned. Reach out with any and all questions.