Our goal is to rent your property within 30 days. By following our pricing strategy that should be achievable. An overpriced property may never rent. Your property manager is the best person to talk to about how to get the job done in 30 days. Talking your property manager into a higher rent to better cover your costs will probably result in a longer vacancy.
We require a detailed application from each adult and photo identification. All applications are carefully screened for credit, rental and ownership references, and income. A credit check will reveal hidden addresses and pay history. If the credit history passes our requirements we will verify all addresses lived at and talk to the owner about those previous tenancies. Our access to tax records will allow us to verify ownership. We will also verify employment and income levels. No applicant will be approved until all questions are answered to our satisfaction. In some cases we may lower the standards on a particular property in order to be realistic about getting the property rented in a reasonable time frame.
We start the marketing process at the time we receive a 30-Day Notice from your resident or at the time we sign you up for management. Your property will appear on our vacancy list that is posted at all of our offices as well as on our website. We will also advertise your property online through multiple rental databases. The cost for internet databases is much less than you would pay if you did it yourself as we pass much of the discounts we receive for annual contracts on to you. Most owners can budget to pay approximately $125 per year.
After price, the most important controllable factor in renting a property is condition. The walls should be freshly painted (or appear freshly painted), carpets clean with no tears or loose areas, clean appliances, clean kitchen and bathrooms, and clean or new blinds. Finally, the yard should be in good condition in both front and back. We are happy to inspect the property for you to help get the most out of your renovation dollars. Our company is full service and can provide all vendors needed to get your property “rent ready” quickly and for a great price.
We normally recommend a six month lease to start. Understand that a lease benefits the resident more than it benefits the owner of the property. If the resident causes you problems or you want to move them out it is very difficult to get them out with a year lease. However, if the resident needs to move, they can do so no matter how long the lease and you will still have to re-rent the property. With a six month lease you have more bargaining power if the resident causes you problems in that you can tell them that the lease will not be renewed if the problems persist. After the initial six months, it would make sense to sign up a good resident for a year lease now that you know more about them. Some owners prefer a one year lease and we are happy to accommodate those requests.
Residents are instructed to call, email, log into our website, or write to us with their repair requests. We will then compare the request to our history of maintenance on your property. We also keep on file your dollar limits for repairs as well as your contact information. Most callers need routine assistance and we are able to help them either by walking them through a simple procedure or by scheduling one of our vendors. Both of these complimentary services allow us to quickly address most of your property’s needs without having to make a phone call to a 3rd party vendor.
Our Property Managers take the residents’ calls. We talk directly with the resident to determine how to proceed. Many times we solve a problem over the phone or by simply calling one of our plumbers, electricians, etc. whom we have access to 24 hours a day.
They are requirements that all owners of residential rental property must adhere to. They are enforceable by the local city or county building department. Failure to maintain your property to these standards may subject you to fines, lawsuits, or the shutting down of your rental. Here is the law: A dwelling shall be deemed untenantable for purposes of Section 1941 if it substantially lacks any of the following affirmative standard characteristics: (a) Effective waterproofing and weather protection of roof and exterior walls, including unbroken windows and doors. (b) Plumbing or gas facilities which conformed to applicable law in effect at the time of installation, maintained in good working order. (c) A water supply approved under applicable law, which is under the control of the tenant, capable of producing hot and cold running water, or a system which is under the control of the landlord, which produces hot and cold running water, furnished to appropriate fixtures, and connected to a sewage disposal system approved under applicable law. (d) Heating facilities which conformed with applicable law at the time of installation, maintained in good working order. (e) Electrical lighting, with wiring and electrical equipment which conformed with applicable law at the time of installation, maintained in good working order. (f) Building, grounds and appurtenances at the time of the commencement of the lease or rental agreement in every part clean, sanitary, and free from all accumulations of debris, filth, rubbish, garbage, rodents and vermin, and all areas under control of the landlord kept in every part clean, sanitary, and free from all accumulations of debris, filth, rubbish, garbage, rodents, and vermin. (g) An adequate number of appropriate receptacles for garbage and rubbish, in clean condition and good repair at the time of the commencement of the lease or rental agreement, with the landlord providing appropriate serviceable receptacles thereafter, and being responsible for the clean condition and good repair of such receptacles under his control. (h) Floors, stairways, and railings maintained in good repair.
If your resident does not pay rent as agreed we will make contact with them soon after the rent due date. Our due date is normally the 3rd of the month, but an existing lease may be later. If we cannot get a satisfactory answer we will make arrangements to serve a 3-Day Notice To Pay Rent or Quit. Once the three days pass we will submit the notice along with the existing rental agreement to a local attorney. This will start a process known as an unlawful detainer. It may include a court trail, but normally does not. The resident may move at any time, we may obtain a court order to move the tenant with the assistance of the local law enforcement, or we may obtain a stipulated judgment where the resident is ordered to pay back all monies owed, including future rents, or face an eviction without another judgment. While we take all measures possible to avoid legal involvement, you are responsible to pay for all legal costs.
As soon as we determine a rent check has bounced we will process it and notify the resident that the rent is now owed along with a processing fee and a late fee. If necessary we will serve the tenants a Three Day Notice to Pay Rent or Quit. Most residents end up clearing the check but it may delay your statement and funds.
Yes. We may have to continue using your lease until it concludes, or we may be able to sign your current resident onto our lease. In cases where the resident is behind in their rent we can take the necessary steps to either get them to pay or evict if we cannot obtain payment. Many residents will suddenly find a way to pay the rent or move as soon as they hear that we are in place to follow through with all collection issues.
After the move-out inspection, we will determine who is responsible to pay the bills to bring the property back to the condition it was in prior the resident moving in. You are allowed by law to charge the resident’s deposit for rent, damages above normal wear and tear, and cleaning. We will charge the resident for everything that they should be charged for. We will compare the move in condition (we do a written move in condition report and include digital photos) to the current condition (we take digital photos to verify our written report upon move out). We want you to know that we consider this an important time in the management cycle, and we will protect your interests. We can use the resident’s security deposit to pay for all or part of the bills. If the resident’s deposit does not cover the costs, then you will have to pay the balance. In that event, we will bill the resident and turn them over to collection if the amount due is not paid promptly.
We can pay bills associated with your property including maintenance bills, utilities, taxes, and insurance. We charge a small additional fee to pay mortgages. After the rents come in we pay mortgages and utilities first. Then we pay any other bills and begin sending owner proceeds checks.
All accounts are required to maintain a reserve amount. This is to cover any charges or maintenance bills that might be incurred when we do not have rents to cover those costs. The amount is determined by mutual agreement and is normally $300.00 or more.
In addition to your emailed owner statements you can access your statements online at your convenience. You may view your monthly statements and reports through our owner portal. You can access the owner portal by clicking on this link: https://island.appfolio.com/portal.
We hold the resident’s security deposit in our trust account until it is paid back to the resident or used for rent, cleaning, or repairs upon their move out.
All rents are due on the first and considered late if received after the 3rd-5th of the month. Most owner statements are sent and electronic payments made by the 10th of each month. Since rent checks must clear the bank, it is not practical to send funds earlier than the 10th. We do offer the ability for you to obtain your statements with copies of available invoices paid online at our website. We encourage all owners to receive their funds via ACH. This allows us to electronically send your funds directly to your bank from our bank. There is no extra charge for this service. If your funds are sent via ACH, we post your report to our website the same day. Note: Weekends and holidays can delay owner proceeds checks to the next business day
As the owner of the property you could be held liable for known and some unknown conditions at the property. In most cases your fire/liability insurance policy will cover you adequately. You should discuss with your insurance company the amount of recommended limits for your situation. Our management agreement with you, which is the same as most other management companies, has an indemnity clause that places basic liability for all acts on the owner. Insurance companies know this and most will willingly name the property manager as either additional insured or name the manager as an interested party to the policy at no extra cost. This is important to do as you want the insurance company to protect us both in the unlikely event of a lawsuit. In most cases, just acting with common sense and acting quickly will lessen the likelihood of a lawsuit.
You will be assigned to an available property manager that knows the area that your property is located in. You may meet with them to sign up your account or by appointment at any time.
During a vacancy we normally show your property 2-3 times per week. While rented, we schedule your property for an annual inspection. This inspection is sometimes called a “leak check”, since we check for roof leaks, pipe leaks, and tub/shower leaks. We also photograph the property and we do provide you with a written report. This inspection normally takes 1-2 hours which includes setting up the appointment, the inspection, writing up the report, and sending it to you. If you want additional inspections they can be arranged. We also suggest you have a “termite inspection” performed at least every two years to check for dryrot, leaks under the house or in the attic, and for infestations.
Hopefully you can see that Island Properties is a great value for you and your property. We use an industry leading technology making things convenient for renters and owners alike. We are dedicated to property management.
We are happy to provide two references upon request. Once we receive your request we will contact two active clients to get their permission to have you contact them.
Costs vary depending upon the type of property you have. You can email us at Admin@IslandPropertiesHawaii.com and we will email you our current rates. All rates are subject to negotiation based on location and number of properties in your portfolio. Our rates are competitive within the industry.
If you currently have a property manager that needs to be terminated:
- Check your current property management contract to see what type of notice is required. It is typical that you will be required to give a 30 day notice. If possible, call the manager to see if they will accept a shorter notice. Many will, especially if they know that you are unhappy. If you do not have a written contract, assume 30 days is required.
- Compose a brief letter as follows: “Please terminate your services on ______________ (property address), effective __________ (date). A representative of Island Properties Sales, Development, Management Corp. will be in touch with you prior to the termination date to pick up keys and any pertinent files. Please send remaining funds in my account directly to me including tenant security deposits.
- Mail or email the letter and send a copy to Island Properties.
Everyone must do this:
- Sign and deliver or mail the Property Management Agreement 3198 Waialae Avenue Honolulu, Hawaii 96816. This document us available in our FOR OWNERS Section within this website.
- If you have a current resident please provide us the current rental agreement. If none is available let us know if you would like one to be completed and signed for the current resident.
- We need to know the current rent rate, deposit amount, and any amounts the resident owes.
- Provide us with keys if available.