© 2015 Desert North Realty. All Rights Reserved. 

Info@desertnorthrealty.com


Direct: (480) 405-6464          Fax: (480) 302-7914

3226 N Miller Rd. Suite 7
Scottsdale, AZ 85251
Designated Broker: Jacob Chapman

One may have many questions in their pursuit for a property management company that meets their needs. Below are the most frequently asked questions for your reference. If you have questions that are not listed below, feel free to call or email us and we will be happy to answer them for you.

Frequently Asked Questions




Do I need to hire a property manager?

This depends on the person. If you are have the time to and are experienced in marketing properties, screening tenants, negotiating leases, collecting payments, delivering notices, complying with all local, state, and federal laws, paying sales tax, and handling maintenance issues then you probably do not need to hire a management company. Typically the most expensive decision a property owner will make is to “save some money” and manage the property themselves. By not being able to dedicate a full time effort to your property, it is real easy to cost yourself a month or more in lost rent. In those cases, that is roughly equivalent to the cost of an entire year of management.

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Why choose Desert North Realty to manage my property?

You will have many choices when choosing you property management company but there are two distinct features that set us apart from the next company; experience and technology. In addition to the combined 36 years of real estate experience, all of our team has expertise in related real estate fields such as financing, insurance, and home repair making us a one stop shop for your real estate needs. Desert North Realty has invested in the top of the line technology to keep us on the leading edge of property management. All of our tenants are screened through a state of the art screening system which provides real time data to us on their credit, criminal, and eviction history. They also have the ability to pay their rent online or by auto-debit, free of charge, by utilizing their personal portal which will also allow them to submit maintenance requests online. The owners will have the option of either receiving a check or having their rent directly deposited into their account. In addition to the rent, you will also receive a detailed accounting statement which is also available online through your personal owner’s portal. Our technology allows us to market a home on more than 20 websites to ensure your property is rented as soon as possible.

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Do you charge any up front or setup fees?

Unlike many other management companies, we do not charge a cent until we earn it by either leasing out your property or managing the unit. You will never be charged any up-front fees.

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How much do you charge for your management fee?

We have two fees that we will charge an owner: a flat 10% of the gross monthly rent and a $600 leasing fee even if we have to pay a cooperating agent for bringing us a tenant. You will never be charged a fee other than these two, we have NO HIDDEN FEES!

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Do I pay a management fee if my home is vacant?

No, if your home is vacant, then we haven’t done our job of putting a tenant in the unit. We feel strongly that our fee should only be paid when it is earned.

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What should I look for in a rental property?

This will vary depending on the investor but here are some of important features to consider.
  • Make sure the property cash flows. You want the purchase price of the property to reflect the amount it will earn in rents; the higher the rents in the area, the more you can pay for the property.
  • The size of the home makes a big difference. Buying a house that is too small by square footage or bedroom size will eliminate many potential tenants. Although in the right situation a smaller unit is efficient, we recommend at least three bedrooms and enough square footage to fit a family of four.
  • Consider the liability of the home. Many times features like a pool or spa can be a great addition to a property. However, it can be a huge liability for a landlord. If you have a unit with a pool or spa it is critically important for you to take the steps necessary to provide all of the safety measures available.

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What cities do you cover?

We cover all of the cities in Maricopa County and Queen Creek.

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Can you manage my property if it is already leased?

Yes, we can take over managing a property at any time in the process.

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How fast can you lease out my house?

Every house is different and the marketing time will depend on the home, the neighborhood, and how much rent you want to earn. If the home is priced right, in good shape, and there is not a surplus of rental properties in the area, you should expect your home to lease quickly. We have a strong rental market in Maricopa County.

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How much can I expect to receive for rent?

Rents will depend on a variety of market factors but will be very close to what other properties are renting for in your neighborhood. If you are unsure or want a detailed idea on what you can expect for monthly rent, contact a Desert North Realty agent and we will get you an idea in the same day.

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How much is the rental tax?

The rental tax differs depending on the city your home is in. Typically, the cities in Maricopa County range from 1.5% to 3.0% of the gross monthly rental. This cost is always passed on to the tenant and is included in their monthly rent.

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How much do you collect for a security deposit?

Generally, we collect an amount equal to one month’s rent. In some cases, circumstances are such that we may ask for a larger deposit. However, the Landlord-Tenant Act limits the amount a landlord can ask for in a security deposit to one and one-half times the monthly rent.

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Who holds the security deposit?

All security deposits are held in Desert North Realty’s broker trust account on behalf of the owner.

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Should the tenant purchase renter’s insurance?

We require the tenant to purchase renter’s insurance; this is non-negotiable. We are firm on this policy to help protect your home from any damage that may be caused by the tenant.

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How much insurance should I have?

Every landlord will have different insurance needs. Check out our affiliate’s page and contact a recommended insurance agent to discuss your personal needs.

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How do tenants make their payments?

Our goal is to make it as easy as possible for the tenant to make their payment. We offer them the ability to pay their rent, free of charge, through a monthly auto-debit or by visiting our website and making a secure payment through their personal tenant portal. They also have the option of mailing or dropping off a check at our office.

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How and when do I get paid?

You will have the option of either having your funds directly deposited into your account or having a check mailed to you. All of our owner payments are processed on the 15th of every month.

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Who pays for the utilities?

Generally, the tenant is responsible for the utilities. In some cases it makes sense to include the utilities which usually results in a higher monthly rent.

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How much of a reserve do you require for repairs?

$500. This is kept in Desert North Realty’s brokers trust account, on behalf of the owner, and is used for any necessary repairs.

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How do you handle maintenance issues?

All maintenance issues that will cost under $200 will be done using a qualified repairman, at the broker’s discretion. Any repairs over $200 will not be done without the written permission from the owner. In the event of an emergency repair, the broker may, at his sole discretion, authorize a repair over $200 if the repair is necessary to protect the property from further damage.

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Do I get a copy of all the maintenance bills?

Yes! All of the maintenance bills are available to be viewed through your owner’s portal in real-time as they are uploaded. The maintenance bills will also be sent in your monthly owner’s statements.

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What if the tenant causes damage to my home?

Any damage that is the result of tenant negligence is the responsibility of the tenant. If they elect not to pay for the damage, it will be deducted from their security deposits. Also, if the damage is greater than their security deposits, in some cases we can collect from their renter’s insurance. Finally, at last resort, we will pursue legal action against the tenant.

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What if there is an issue late at night or on the weekend?

The tenant will have access to Desert North Realty’s after-hours emergency line. This line will be monitored 24/7 and responded to and made a priority of the Desert North team.

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Can I go inside the property after it is rented?

Although you have to give the tenant the right to quite enjoyment, the property is still yours. According to the Landlord-Tenant Act, we can access the property with two days written notice to the tenant.

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Will the tenants be contacting me?

No, that is what we are here for! We take all of the tenant’s call and handle all of their issues. If you would like the tenant to contact you, we will be more than happy to furnish your information to them.

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Who pays for the HOA?

The responsibility of paying the HOA fees falls on the owner.

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What happens if there is a HOA violation?

If you receive a violation from the association, we ask that you forward us a copy as soon as possible. If the tenant has caused the violation, we will send them a copy with a letter outlining what needs to be done to correct the violation. If the violation results in a fine, the amount of the fine will be billed to the tenants account. If the tenant refuses to pay the fine, it will be deducted from their security deposit when they move out of the property. Important: The owner will need to pay the fine as soon as possible to avoid the HOA from filing a lien on the property and wait for the tenant to reimburse them.

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What if the tenant doesn’t pay their rent?

Rent is due on the 1st of every month and considered late on the 3rd. If we have not received payment by the 5th of the month, we send out a 5 day notice to the tenant as written demand to pay the rent by certified funds or we will begin the eviction process. If rent is still not received after the expiration of the notice, we have our attorney immediately file a motion for a hearing and a judgment against the tenant for non-payment. The tenant has until the hearing to make the full rent payment. If they fail to do so the judge will issue an order to have the tenant removed. Our goal is to have this entire process completed within 30 days in order to get the home rented out again.

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Who pays for the eviction process?

The tenant will ultimately be held responsible for the legal fees incurred. However, the owner will have to pay for the attorney’s fees up front and then be reimbursed through the judgment. The cost of the attorney and any rent still owed will be deducted from their security deposit. If the deposit is not big enough to cover the amount owed, we will utilize the judgment to collect from the tenant through all legal means.

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What happens when the tenant gives notice to vacate the property?

As soon as a tenant gives their 30 day notice to leave the property we immediately move the home into a marketing status. The home will be vigorously marketed, while respecting the tenant’s right, until we find a new tenant. The goal is to move the current tenant out and the new tenant in as soon as possible to limit the amount of lost rent.

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What if I want to sell my property before the lease expires?

Any lease agreement entered into has to be honored until the expiration of the lease. However, you can still sell the home with a current lease. There are many investors in town that find it to be a bonus to have an already in place tenant, it saves them the time and money of finding someone new.  

Owner's faq