RentWise Property Management

TENANT PORTAL
OWNER PORTAL
MAINTENANCE
(208) 949-3083

      

What is a Reasonable Accommodation Request

What is a reasonable accommodation request? By definition, under the Fair Housing Act, the housing provider is responsible for the costs associated with a reasonable accommodation unless it is an undue financial and administrative burden, while the tenant or someone acting on the tenant’s behalf, is responsible for costs associated with a reasonable modification.

What does this mean for you as an investor?

It means that to be in compliance with ADA we must consider any and all requests for modifications or accommodations to a premises that a tenant makes either before or during their tenancy. Such as a ramp, safety bars, change in administrative accommodations or other physical modifications to a property.

Who pays for the modification?

This depends on the request. Typically a homeowner would pay for a physical modification UNLESS it would be deemed an undue financial burden. For example: A disabled applicant in a wheelchair wants to rent a particular home due to it’s location to his medical providers, he will need ramps installed at least one doorway for access to the home. The owner of the property would be responsible for that cost. Another example, a current tenant had a medical issue during tenancy that requires additional support rails installed in the bathroom.

What do you do if you receive a request for a reasonable accommodation or modification?

This answer is not just black or white. There are several factors to be considered and each request needs to be reviewed carefully. Our recommendation is to speak with either your attorney or your property manager. You can review more information and guidelines on this by clicking here.

If you are interested in learning more about our services. Please visit our website at www.RentWisePM.com. Ready to start living with LESS HASSLE? MORE HAPPY! give us a call today 208-949-3083

Application Fee Cap in Boise City

The city of Boise has passed a new city ordinance applying a cap on application fees. This ordinance was passed just a few days ago and property managers across the Treasure Valley are processing how to proceed on this front.

You can read more about the ordinance in its entirety below. Here at RentWise, we know that properly screening potential tenants is one of the largest concerns for all investors so we want to assure you that we plan to continue screening applicants with the same standards as we always have regardless of the cost or fee changes. If you have any questions, we are always here to help answer them.

City of Boise Ordinance

City of Boise Ordinance
City Code Amendment
Council Office
150 N Capitol Blvd
Boise, ID 83702
(208) 972-8531
TO: Mayor and Council
FROM: Lisa Sánchez, Council Office
NUMBER: ORD-56-19
DATE: November 13, 2019
SUBJECT: Amending Title 5, Adding New Chapter 16, Residential Rental Application Fees
BACKGROUND:
As you are all aware, the vacancy rate for apartments and rental units in the City is at an all-time low, and our residents, especially our low-income residents, are struggling to find housing. The Grow Our Housing program is working to increase the number of units that are available, but the City is precluded under Idaho Code from placing any kind of caps or limits on rental rates.
Despite our limited tools, the City does have the capability to manage residential rental application fees. This would provide relief to residents who are searching for a new rental home who often pay high application fees for each rental-unit application they submit.
Currently, there is no limit in Boise on how much a property manager or management firm can charge a potential renter to apply for a unit. There are no criteria on how the applications will be judged, no designation for what the application fee is going toward, and not even an assurance that a unit is actually available.
Anecdotally, we are hearing that some property managers are charging up to $100 and are accepting far more applications from prospective tenants than they have units available. Some residents are paying even greater amounts applying for units that, by number of applications alone, they have no chance of getting. I have also been told by the Boise City Ada County Housing Authority that there is a risk to their federal voucher funds if the voucher holders are unable to obtain housing. The application fee costs are very much a barrier for these housing seekers. This makes an already tenuous and stressful financial situation even worse, especially for those among us who can afford it the least.
UPDATED PROPOSAL
After conversations with impacted parties, the Office of the City Attorney, the Director of
CITY OF BOISE
Community Partnerships, and the discussion that was had at the City Council Work Session on September 10 and the Public Hearing on October 29th, the ordinance has been updated and now includes: Require that, before an application can be taken or accepted, the criteria on which the application will be judged must be disclosed, along with the amount that will be charged for the application fee. If a property owner or management company is not charging an application fee, they are exempt from the requirements of this section. Require that property owners shall only advertise, take applications and screen applicants for units that will be available within a reasonable time period. If an applicant has been screened, the unit has been offered, and a deposit has been placed, it will no longer be considered available and no other applications will be allowed. If a unit is not available, the applicant will have the option to consent to be screened and placed on a waiting list. Designate that the amount that can be charged by any property management company for a unit in the City of Boise shall not exceed the actual cost of the screening process or $30, whichever is lower. The actual costs that are allowed are only hard costs for items such as background checks, credit report, etc. as written in the ordinance. Soft costs such as labor may not be charged as part of the application fee. The time frame in which application fees can be charged is defined as a reasonable time period before the unit will be available. An explanation and receipt detailing how the fee was used, and any copies of paperwork or correspondence that were generated as a result of the screening must be provided to the applicant. Stipulate that current tenants of a unit shall not be charged an application fee to move to another unit under the control of the same property owner. Further stipulate that violations would be an infraction, punishable by a $100 fine. Second or subsequent violations would be considered a misdemeanor and would also be punishable under those guidelines. Complaints of violation must be filed within six months.
I believe that this is a small but meaningful step to assist those in our community, many of whom are low income, who are in search of a place to live. I ask for your support in making this change.
FINANCIAL IMPACT:
CITY OF BOISE
Minimal. Some police enforcement action.
CITY OF BOISE
Ordinance NO. ORD-56-19
BY THE COUNCIL CLEGG, LUDWIG, MCLEAN, SANCHEZ, THOMSON AND WOODINGS AN ORDINANCE AMENDING TITLE 5, PUBLIC SAFETY, BOISE CITY CODE, BY ADDING A NEW CHAPTER 16, RESIDENTIAL RENTAL APPLICATION FEES – REQUIREMENTS AND PROHIBITIONS; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City of Boise believes that everyone one of its citizens deserves safe, affordable and stable housing; and WHEREAS, the City of Boise is dedicated to ensuring that citizens of all incomes have adequate access to housing and are not having to overcome significant financial and regulatory barriers to achieve that access; and WHEREAS, special considerations must be given to the population pursuing rental housing, due to the barriers to that housing that historically and currently make it more difficult for citizens to secure suitable living arrangements; and WHEREAS, one such barrier is the rental application fee that a renter must submit along with their rental application. BE IT ORDAINED BY THE MAYOR AND COUNCIL OF THE CITY OF BOISE CITY, IDAHO:
Section 1. That existing Boise City Code Title 5 shall be, and hereby is, amended to add a new chapter, 16, Residential Rental Application Fees – Requirements and Prohibitions, to read as follows:
Chapter 16
RESIDENTIAL RENTAL APPLICATION FEES – REQUIREMENTS AND PROHIBITIONS
5-16-1. Purpose. The City of Boise City, Idaho (“City”) finds that residential rental application fees should be regulated to protect applicants from unnecessary and predatory collection practices. The purpose of this Chapter is to establish rules and regulations for the collection and return of residential rental application fees within the City.
Residential rental application fees have recently become unduly expensive and not reflective of the actual costs of performing background and credit checks on potential renters. High application fees act as a barrier to segments of the population seeking to secure suitable housing.
CITY OF BOISE
All Boise residents should have access to housing without having to overcome excessive financial and regulatory barriers to achieve that access.
5-16-2. Legal Authority. Idaho Code sections 50-301 and 50- 302 authorize the City to exercise its police power for the protection of the public welfare, prosperity, health and peace of the City, its residents, and the community. The prohibitions set forth in this Chapter are intended to supplement and enhance, and not supersede, State landlord-tenant law and the Idaho Consumer Protection Act, as set forth in Idaho Code Title 48, Chapter 6.
5-16-3. Scope. This Chapter shall apply to all Residential Rental Units, as defined herein, within the boundaries of the City.
5-16-4. Definitions.
A. Applicant: A prospective tenant for a residential rental unit, who signs or intends to sign a lease or other contractual agreement in relation to the unit.
B. Rental Application: The written document used by a rental property owner to determine if an applicant is qualified to become a tenant of a residential rental unit.
C. Rental Application Fee: Any cost, payment, charge or any other kind of expenditure or renumeration, including administrative costs, that a residential rental applicant is required to pay in order to have his or her rental application considered by the rental property owner.
D. Rental Property Owner: The legal owner of a residential rental unit, and his or her agent or representative, including a property management company or its representative.
E. Residential Rental Unit (Unit): A building or portion of a building used as a dwelling for one or more persons that is offered for rent or lease for periods of time greater than thirty (30) days.
5-16-5. Disclosure of Application Criteria. Before accepting a rental application, a rental property owner must disclose to the applicant, in writing, the criteria on which the application will be judged.
5-16-6. Disclosure of Application Fee. Before accepting a rental application fee, a rental property owner shall disclose in writing to the applicant the rental application fee amount. The applicant shall not be charged more than the disclosed rental application fee for that application.
5-16-7. Availability of Units. Rental property owners shall only advertise rental units, receive applications, screen applicants, and accept application fees for rental properties when such rental properties are actually available and ready for occupancy or are expected to be available for occupancy within a reasonable time period; provided, however, that an applicant may consent to be screened and placed on a waiting list. For purposes of this Chapter, a rental unit is no longer considered available if a different applicant has been screened by the rental property owner, has been offered the rental unit and accepted it, and has placed a deposit on the rental unit. A rental unit may be considered available if a tenant of a unit has declared they will not be renewing a lease or have otherwise vacated the
CITY OF BOISE
property. Rental property owners shall document the date and time that deposits are placed on rental units.
5-16-8. Application Fees. Application fees for rental properties shall not exceed the actual cost of the screening process or thirty dollars ($30.00), whichever is lower. The actual cost of the screening process includes only the hard costs associated with a background check. Labor costs and other soft costs associated with application process must be excluded. Hard costs may include, but not be limited to, the following: national, state and local criminal background checks, credit reports, rental history records and/or reference checks, eviction records and/or employment verification. Each adult who intends to reside in a residential rental unit may be charged an application fee.
5-16-9. Disposition and Use of Application Fee. Within ten (10) days of receipt of an application fee, a rental property owner must provide an explanation for the disposition and use of the application fee and provide a receipt to the applicant detailing how the application fee was used. An application fee shall be refunded in its entirety if a rental property owner does not incur hard screening costs. A rental property owner shall also provide the applicant with any paperwork or copies of electronic correspondence generated as result of the screening process, to the extent permitted by State and Federal law.
5-16-10. Current Tenants. A current tenant of a residential property unit shall not be charged an application fee to move to another rental unit owned by the same rental property owner.
5-16-11. Penalty. A violation of this chapter is an infraction, punishable as provided in section 1-4-2 of this Code. A second or subsequent violation within one year of a prior conviction shall be a misdemeanor, punishable as provided in section 1-4-1 of this Code. A complaint filed under the provisions of this Chapter must be filed within ninety (90) days of the alleged violative conduct.
5-16-12. Exemption. The provisions of this Chapter shall not apply to any Rental Property Owner who does not charge a Rental Application Fee.
5-16-13. Private Right of Action. There is no private right of action that is created by this section or money damages available to any person based on this chapter.
Section 2. That this Ordinance shall be in effect immediately upon its passage, approval, and publication.
CITY OF BOISE
ADOPTED by the Council of Boise City, Idaho, on December 17, 2019.
APPROVED by the Mayor of the Boise City, Idaho, on December 17, 2019.
APPROVED:
David H. Bieter, Mayor
ATTEST:
Lynda Lowry, Ex-Officio City Clerk

If you are interested in learning more about our services you can visit our website at www.RentWisePM.com.

A Happy New Year and a Wonderful Christmas is upon us….

We want to wish you a very Merry Christmas and the Happiest New Year yet. As we reflect on how lucky we are to do what we do we wanted to share our immense gratitude for your business and your trust. We believe that integrity, honesty, and respect are the core values in any relationship and we strive to meet those expectations at every opportunity we get. We know that when it comes to property management you have choices. We appreciate you choosing us to serve you which allows us in turn to serve our community. We hope this holiday season is filled with laughter and love and we are excited about what’s to come in 2020!

Want to learn more about our services and how owning an investment property can be LESS HASSLE and MORE HAPPY? www.RentWisepm.comhttp://www.rentwisepm.com

Knowing the Financials of your Rental Property

Are your financial statements for your rental property giving you what you need? One of our first questions to new potential clients is “what are your current pain points with your property manager?” One of the answers is always in regard to their monthly financial statements.

Do you have a clear picture of your property’s financials?

Knowing your properties financial health can seem overwhelming and tedious. Having the right KPI’s and property manager can help. From income to expenses, monthly, annual, balance sheets and 1099’s. There is a lot to track when it comes to owning an investment property.

It is important that they are easy to read, consistent and that you have a property manager available to discuss and answer any questions you might have.

How can your property manager customize your monthly statement so that it fits in line with your tracking system?

Maybe you want to track profit between properties? Or how much the market rent has increased? There are several monthly reports we can provide, such as:

  • Account Totals
  • Balance Sheet
  • Balance Sheet – Comparative
  • Balance Sheet – Property Comparison
  • Bank Account Activity
  • Bank Account Association
  • Cash Flow
  • Cash Flow – 12 Month
  • Cash Flow – Property Comparison
  • Cash Flow Detail
  • Chart of Accounts
  • Expense Distribution
  • General Ledger
  • Income Statement
  • Income Statement – 12 Month
  • Income Statement – Comparative
  • Income Statement – Property Comparison
  • Trial Balance
  • Trust Account Balance
  • Trust Account Detail

Monthly statements should be the snapshot of how your investment property is doing, how your money is being spent and how profitable the rental property is.

If you would like more information on how we can help or learn about our property management services just go to our website or call us at 208-949-3083. Less Hassle. More Happy.

How does your property manager handle maintenance?

What happens when your property manager gets a maintenance call at 5:00 PM on a Friday afternoon on a holiday weekend from a tenant that has no hot water! We handle it. With the help of some amazing vendors of course. In this case, the water needs replacing.

Typically, the next call is to the homeowner with the quote to replace that hot water heater. His reply…..”I can purchase a hot water heater at the big box store for $700.00 … why is it so much more than that?”

Property Maintenance is usually by far the top pain point for owners with their property managers.

This question piqued our interest, so we started calling around to different companies and plumbers to see what they charge & if our client is really getting the best bang for their buck.

What did we find when it came to replacing a water heater?

We called 3 well known Treasure Valley HVAC companies and they provided verbal estimates to replace a 40-gallon hot water heater. These prices ranged from $1300 – $1500.00.

All 3 Treasure Valley vendors were all using a plumber’s grade Hot Water Heaters and all 3 include new drain pan, flex piping, expansion tank and disposal of the old unit.

During these calls, we developed a wealth of understanding of hot water heaters.

There are many differences between a plumber’s grade hot water heaters and a box store graded water heater. The plumber’s grade offers better efficiency and is made with better materials that offer a longer life span. A plumber’s grade hot water heater will typically last between 12 – 14 years and the box store one typically lasts 8-10 years. A typical warranty for the plumber’s grade is 2 years standard and then you can purchase additional plans that extend the warranty up to 10 years. A box store warranty is about 6 years, but it is a limited warranty and the items that usually break are not covered so you have to purchase the part and pay labor rates.

So not completely satisfied with that information, I reached out for a few other options outside of an HVAC company:

  • One plumbing company will come out and install a hot water heater for $450.00; however, they will not pick up or dispose of the old one. This means I would have to arrange for the water heater to be delivered to the property and then picked up once it has been replaced.
  • One box store will install a water heater through a contracted plumber. However, there is a $45 consult fee and a basic install starts at around $239; the turnaround time is 7 – 10 days which is not feasible in an occupied rental in Idaho.

So how does a big box store compare to a local HVAC company?

So, let’s just put some prices together if we had the plumber install the hot water heater. I go to the big box store, and I purchase the hot water heater for $700.00

What else do I need:

Expansion Tank – $30

Flex Piping – $30

Drain Pan – $30

Plumber to Install – $450

Handyman to dispose of old hot water heater $90

Disposal Costs – $100

Permit – $55

That all totals $1490

Did you know a permit is required in the state of Idaho for water heaters to be installed?

  • Ada County and costs $55
  • Canyon County it is $40

An expansion tank, new flex pipe/fittings and a new drain pan are required in the state of Idaho if not already present or damaged which costs roughly around $100.

Our HVAC vendor installed a plumber’s grade 40-gallon hot water heater with all parts, materials, permits, disposal, and labor (including the initial work order for the diagnosis) for $1390.00. (this is not a set price, just an example and varies depending on materials needed) Plus, we know that we used a trusted, locally owned company that has been in business for 30+ years and they will continue to be around if any issues arise.

At RentWise Property Management, we promise that we make every effort to act in our client’s best interest in every front.

Interested in learning more about our services and how we can provide you with this type of service? RentWise Property Management. Less Hassle. More Happy.

Does your Property Manager require Renters Insurance?

Most people don’t really think about insurance when it comes to tenants renting and property management. Most of us have more insurance than we know what to do with. Life, home, auto, the list goes on. It provides us protection and peace of mind. Renters Insurance is no different, just not as widely known. At RentWise we REQUIRE every tenant to carry renters insurance with minimum liability coverage and a recommended personal property coverage. We audit and monitor this coverage twice a year and have policies in place to secure coverage when a tenant fails to. Why is this so important?

A real story about how renters insurance changed a family’s life. 

Once upon a time, there was a yellow 2 story house where a young family lived with 2 kids under the age of 10, Mom & Dad and their faithful companion animal at the end of a cul-de-sac in Canyon County. On July 3rd, Dad was excited about the upcoming holiday. Like most Dad’s, he couldn’t wait to see his children’s eyes light up with wonder as he lit off a few fireworks before the big day. Getting close to bedtime, Dad made sure to fill up a bucket full of water and place those burnt fireworks inside to make sure they were “out”. Off to bed, they all went until they were awoken by the screaming of the smoke alarms in the middle of the night. The house was on fire.

This really happened to one of our tenants. One of those fireworks was not submerged fully and the house burnt down almost entirely. I was made aware of what had happened the next morning and immediately called the tenants to see how we could help. By the time I spoke to them they had already spoken to their insurance carrier and had an appointment to meet him the very next day.

They lost everything, including their dog. As I walked up to the house to meet with all parties, fire department, mitigation company, insurance adjustors and the tenants I tried to imagine how overwhelming this all must be for them. We exchanged a few words and then……their agent just handed them a check for $30,000.

How does renters insurance protect the tenant AND the owner?

Less than 48 hours later these tenants walked away with a check for $30,000 to start again. That’s not all, they had liability insurance to cover the owner as well, our clients paid NOTHING out of pocket for this accidental tragedy, they barely even had to sign anything. The home was sold, to the mitigation company actually, then rebuilt and sold again!

The entire experience was both difficult, heartwarming and educational for everyone involved but the truth is, there is no such thing as having too much insurance. I am a believer.

We take managing properties very seriously from onboarding to exit for clients and tenants alike. If you would like more information about our services visit our website or give us a call! Less Hassle. More Happy.