The most vital rule is, price it correct from the beginning. We wont get long winded on this (but we could easily) but there is a certain "energy" about a property when it first goes on the market, the excitement is at its peak and buyers that it appeals will want to see it right away. Heres the problem most people face (agents and FSBOs alike)... Greed. If you overprice the property and it sits, it developes a "whats wrong with this place" terror in buyers. If you drop the price to a bargain basement price, and its sat for months, people will wonder why it hasnt sold at that price (as they will assume its been that great price all along).

Next- Get a lawyer! This will cost about $400-$600 depending on what you use them for. Even if you have an agent, a lawyer is 100% for you and you only.

Now- Get an agent OR sell it your self, there are pros and cons to both decisions, some say you save the commission and thus make more money others say you can get a higher price with a realtor. Its your decision, we are here to help you either way :) If you chose an agent, make sure your place is clean and tidy, push them hard to sell sell sell (you are paying them a lot of money and you need to make them work for it).

For the FSBOs- Hit the ground running and running fast. Take photos of the interior, blow them up and make a For Sale sign with the photos on it along with price, your name, phone number and a breif description. Go to Staples or any print house and have them print it to an 18" x 24" size and laminate it. This will be a huge help to you. Place it in front of your home.

Have open houses every weekend for the first few weeks, then go every other weekend. Make everyone that comes in sign in with contact info and follow up with them. Ask them questions like "what did you like, didnt you like, what would you change" etc. Keep notes.

Think about offering discounts like paying closing costs or condo fees or taxes for a duration of time.

Using MPFH will be a huge help in that we offer support, advertising, open house listings and much more.

Do not start your search until youve been preapproved for a loan amount. We recommend places like Lendingtree.com, local brokers etc.

Once you have a price in mind... Start looking. Make sure to take notes on things you like, things to ask sellers/agents some good questions are:

• What are the taxes
• What are the condo fees
• Will the buyer helps with closing costs
• What are the utilities
• How old are the appliances
• What type of heat/hotwater
• Why are they selling
• How old
• How many square feet
• With they offer partial owner financing
• Is there parking
• How old is the roof, heating system, siding etc.

Once your find a place you like make an offer. Either by using an offer to purchase form, or verbally. At this point be prepared to put down a small deposit sometimes even a large deposit of 10%.

Once a price has been agreed to, get the P&S from the seller, have your lawyer review it, sign it and bring it to your lending instiitution to get financing started.

Congradulations!

Do your homework! Find out what other rents are going for that are similiar to your property (Location, size, # baths, quality, amenities, yard size, garage, basement and are you including any utilities).

Now, make sure that you have at least the following two forms: Rental Application and Rental agreement. The rental application will provide you all the information that you will need to find out who the renter is. Make sure they give you their social security number and sign off on allowing you to pull their credit.

Now check the following things:

• Pull the credit report
  • What is the credit score
  • Are there any deliguencies
  • Do they have a lot of debt and not enough income to make you feel comfortable.
• Contact their previous landlord
  • Ask about payment history
  • Ask if there were any issues with the tenant
  • NOTE: Some landlords who have bad tenants will not tell you because they want to get rid of them, this is wear the credit report can fill in some blanks
• Contact their job for employment history
• Dont hesitate to ask for W-2s from previous years

Payments:

If you have found that the tenant has a good good record and you feel comfortable letting them enter your property and use if for 6 months, 1 year 2 years etc. you make not need to ask for the big 3 (First, Last, Security deposit) all up front. You may even want to ask for First month and 2-months of security (which is a security deposite equivalent to two months rent). If payment is due on the first make sure you are RECEIVING it by the first not post marked etc. Dont hesitate to put in your rental agreement that if payment is not received by XX days after due there is a penalty of $xx each day thereafter.

Bad Tenants:

Golden rule #1. Always make sure you have a lawyer prior to any rental agreements etc. They will be useful should an issue arise such as bad tenants. Typically if a tenant has checked out on paper (meaning you checked credit and did all your homework) they may have fallen upon hard times and this is not like them. These tenants should not be delt with harshly at first rather try and figure out what has happened, see if you can work with them (discount rent until back on their feet then they can make it up). Odds are if you try and work with them during hard times you have much more success in keeping the property at least partially paid for. It can be very difficult to evict someone in many states not to mention costly, especially if they have no money. Youll be hard pressed to convince a court to make someone homeless. However some states are easier going on landlords, so make sure to check with your local lawyer.

Answer these questions to yourself:

• How much can I afford
  • Determine what your monthly costs are prior to rent
    • Car payments,
    • Food
    • Loan payments
    • Credit cards
    • Estimate utilities
    • Fun
    • Set aside for savings
    • Travel costs
    • Add a Miscelaneous fund too!
  • Now take these fixed costs and subtract from your monthly income. TRICK: If youre paid weekly dont just multiply by 4 but by 4.3 (months are not 28 days long) and if your bi-weekly multiply by 2.15. This can add hundreds of dollars to your income.

Once you know how much you can afford, start looking. Visit several places and take note on pricing, size, location, quality, utilities included, ask for past utility bills if available as this will tell you if the place has heating, cooling issues etc.

Once you decide on a property be prepared to pay 3 months worth of prepaids up front. Sometimes you can get away with less and sometimes you may need to pay more.

You may want to take photos of the property prior to moving in. Sometimes over long periods of time, landlords may forget about the stain in the carpet, the crack in the wall etc. and make sure to print these out and have both of you initial each drawing.

We always recommend you have a lawyer on your side to review forms and should an issue arise. Make sure to NEVER pay in cash without a signed receipt. Oh, and always pay on time, this will be your best defense should any issue arise, most landlords will over look minor issues if you have been a good paying tenant.