Who Gives Xmas Cards/Gifts for their PM/Tenant?
- Thread starter chilliblue
- Start date
You could give a gift to a tenant which is specifically for the house. That way you could claim it on tax and be nice all at once
We claim all our gifts we give, which are business related, on our taxes.
Mostly for tradies, in the past...and our H & R Block tax preparer..who goes beyond her job to help...
Whether it be chocolates or gift cards..we just save the receipts.
Wasn't there an article in either Your Investment Property magazine or API recently discussing which gifts were tax deductible and which aren't? Does anyone know which issue it was in?
From memory (don't quote me on this) it goes something like...chocolates, wine, hampers etc are ok, but things like movie tickets are deemed 'entertainment' and thus aren't deductible.
Angela
From memory (don't quote me on this) it goes something like...chocolates, wine, hampers etc are ok, but things like movie tickets are deemed 'entertainment' and thus aren't deductible.
Angela
No Gifts for tenants
Friends and Business dont mix
i do something for all my customers.
to my business customers i give big gifts based on their value to me. some gifts are large but secure their business in the future. to my ip customers i give them something and usually receive something in return. it's not really a gift but a commercial arrangement.
everyone gets a card.
We received a handwritten card from our PM.
She also called Friday to inform us of the holiday operating schedule of the agency and to follow up on anything that was outstanding and to wish us a safe and happy festive season.
It was actually lovely to be thought of so personally even though she is busy tying up loose ends before the holidays.
We have sent her flowers as a token of our appreciation for her care and attention to detail for our properties.
I will drop off a gift voucher and card this week- we really appreciate the effort and consideration she gives our IP's- Definitely over and above expectations.
I also feel that in a role that must be full of problems and complaints- a small token of appreciation goes a long way!
Lizzy
She also called Friday to inform us of the holiday operating schedule of the agency and to follow up on anything that was outstanding and to wish us a safe and happy festive season.
It was actually lovely to be thought of so personally even though she is busy tying up loose ends before the holidays.
We have sent her flowers as a token of our appreciation for her care and attention to detail for our properties.
I will drop off a gift voucher and card this week- we really appreciate the effort and consideration she gives our IP's- Definitely over and above expectations.
I also feel that in a role that must be full of problems and complaints- a small token of appreciation goes a long way!
Lizzy
a small token of appreciation goes a long way!
Lizzy
it certainly does!!!!!!!!!!
I voted "no" and never will. If my PM's do a good job they get a positive testimonial from me as their client.
I did however receive a card from them which I think comes under the statement,postage etc cost they charge me each month!!
As far as tenants go I am already giving them a place to live and looking after most of the outgoings so a xmas card/gift just shows some desperation.
I agree with Nathan and propertunity. My xmas present is I don't increase their rent.
I did however receive a card from them which I think comes under the statement,postage etc cost they charge me each month!!
As far as tenants go I am already giving them a place to live and looking after most of the outgoings so a xmas card/gift just shows some desperation.
I agree with Nathan and propertunity. My xmas present is I don't increase their rent.
My tenants gift is they dont recive a rent increase in December.
Januaray is another story though!
My tenants gift was a rental increase in December!!
She signed the lease just a few days ago! hahaYey my 1st rental increase
Oh dear I must be as "mean" as Skater and Kathryn as I have given a rental increase AND a notice to leave so far this december ! But somehow non-payment of rent makes me have very little xmas spirit I feel like going into the bank with the same whinges my tenants have "how can I pay the mortgage? I have to buy presents for my kids" as my manager says "yeah, how about you get them a roof over their heads"
I have given my manager a pressie before but it was after a particularly aweful tenant that took weeks and weeks in the courts to get rid of (the axe guy) she earned THAT box of choccies!
I feel like going into the bank with the same whinges my tenants have "how can I pay the mortgage? I have to buy presents for my kids" as my manager says "yeah, how about you get them a roof over their heads"I have given my manager a pressie before but it was after a particularly aweful tenant that took weeks and weeks in the courts to get rid of (the axe guy) she earned THAT box of choccies!
I am giving a rental increase next week.
I didn't want to do it in December as it only creates resentment in my opinion, and I dont want resentful tenants - simple
And for those of you bragging about giving your tenants a xmas present of a renat increase - please go and bag to all your friends and family and work colleagues - you will not be a liked person.
I try and do alll my financial planning in January and July of each year, I find it is clean and simple and arent to occupied with work etc.
I didn't want to do it in December as it only creates resentment in my opinion, and I dont want resentful tenants - simple
And for those of you bragging about giving your tenants a xmas present of a renat increase - please go and bag to all your friends and family and work colleagues - you will not be a liked person.
I try and do alll my financial planning in January and July of each year, I find it is clean and simple and arent to occupied with work etc.
Tenants have no qualm about breaking their lease at Xmas.
I had one tenant who planned on doing a midnight runner..except our supers noticed something strange going on, as they were attending a repair at another property just down the road from this property.
Another tenant who left the place a month her lease was over in December, really dirty, and they had painted two rooms, which we had to repaint.
I had another one decide to break her Fixed term lease in December.
Lots of tenants who ask to pay their rent late in january (about 6 of them)
Believe me, if I was to increase rent, or evict in December it wouldn't bother me a bit..or care if they liked me.
I am not their friend.
Generally we have our increases July 1, as we try to have most leases finish June 30 (end of school year in Canada)
A couple of years ago, a family left an apt, owing rent. We still had a cheque tht we hadn't cashed. We waited until the family allowance had gone into her bank account on 13 Dec. We cashed it..and shortly after she called screaming and crying how we stole her Xmas present money for their kids. No..we took our rent money.I hung up when her husband got on phone and started swearing at me.
Ive got one rental property rented to the same family since I bought it when i was 22 I havent experienced what yuo have yet.
What i find distasteful is people bragging about how there giving there tenants a xmas present of a rent increase. These people on here bragging about that should go out a brag publiccy - they would get the same reception that gerry harvey got.
People expect things to go up every year, I find January and july perfect timing fo it as its expected.
With all due respect, Shaneelastic, you will find that the more properties you have control of, the more problems you will get. It is, afterall, a numbers game. It stands to reason that if you have 20 properties you have 20 times the probability of having a problem tenant than the investor that only has one property.
As for myself, I review my properties and increase rents where possible at regular intervals. I don't take into account what time of year it is, only what the market is doing. Because the reviews are regular, the increases are usually smaller than the investor who does irregular reviews and the longer term tenants expect regular rent rises. They only get a rent rise, if the market has risen in the last six months. If it has not risen, they get a letter letting them know they have had a rent review and there will be no increase.
Should I defer putting up my rent by a couple of months just because it is December? Would any other service provider? The answer is no! Resi landlords are a Business just like any other Business out there, and like it or not, all the other Businesses increase prices at Christmas (if they are able to), so why should we be any different? So long as the ask price we are charging is in line with the market, why should I have to not receive what is rightfully mine just because of the Month the tenant's review falls into.
I have a classice example of a huge bill that fell due for me on 24th December from my electricity provider. I had had solar connected and because of the time that the panels went in I didn't receive one bill at the scheduled time, instead I received this nice little love letter which was for six months instead of three. The cost was around $1350.
Did they send an appology notice with it? Did they extend the due date, so it would be easier to pay? Did they say, "Hey, we know it's Christmas, just pay a bit off each month and we'll be sweet"? NO! They sent it out the same as any other bill and I paid it, the same as any other bill.
As for myself, I review my properties and increase rents where possible at regular intervals. I don't take into account what time of year it is, only what the market is doing. Because the reviews are regular, the increases are usually smaller than the investor who does irregular reviews and the longer term tenants expect regular rent rises. They only get a rent rise, if the market has risen in the last six months. If it has not risen, they get a letter letting them know they have had a rent review and there will be no increase.
Should I defer putting up my rent by a couple of months just because it is December? Would any other service provider? The answer is no! Resi landlords are a Business just like any other Business out there, and like it or not, all the other Businesses increase prices at Christmas (if they are able to), so why should we be any different? So long as the ask price we are charging is in line with the market, why should I have to not receive what is rightfully mine just because of the Month the tenant's review falls into.
I have a classice example of a huge bill that fell due for me on 24th December from my electricity provider. I had had solar connected and because of the time that the panels went in I didn't receive one bill at the scheduled time, instead I received this nice little love letter which was for six months instead of three. The cost was around $1350.
Did they send an appology notice with it? Did they extend the due date, so it would be easier to pay? Did they say, "Hey, we know it's Christmas, just pay a bit off each month and we'll be sweet"? NO! They sent it out the same as any other bill and I paid it, the same as any other bill.
Of my 3 rental properties, I buy one tenant a $100 gift voucher each christmas. All my tenants are paying rent at about 20% discount to the market rate.
All my tenants so far are long term. They contact me direct if they need any repairs (7 days a week) and I immediatley visit the property and try to fix the proplem if I can.
Funnely, they only ring me if its a major problem like a water heater. My current tenants have never been in arrears and they voluntarily do things like painting and gardening.
My RE agent tells me Im crazy and pesters me about increasing the rent.
But hey, I give cheap rent and the tenants look after me and they stay there for years ( my longest current tenant has been with me for 6 years and wants to sign up for another year).
I see it as good Karma.
All my tenants so far are long term. They contact me direct if they need any repairs (7 days a week) and I immediatley visit the property and try to fix the proplem if I can.
Funnely, they only ring me if its a major problem like a water heater. My current tenants have never been in arrears and they voluntarily do things like painting and gardening.
My RE agent tells me Im crazy and pesters me about increasing the rent.
But hey, I give cheap rent and the tenants look after me and they stay there for years ( my longest current tenant has been with me for 6 years and wants to sign up for another year).
I see it as good Karma.
You are crazy!
Let's look at some numbers, shall we?
Presume that the average market rent for your IP's is $300pw each. To be 20% below market, the rent would be $240pw, so you are behind by $60pw for each property. You have three of them, so that is $180pw you are losing. Now, multiply that by 52 weeks in the year gives you $9360pa that you are subsidising your tenants living standards by.
Let's take that one step further, shall we? Fast forward ten years and, presuming you have kept rents at 20% below market, you will have lost $93600. However, I am presuming that you won't give them regular increases and that 20% will slowly creep to 30% or more.
Now, as far as long term tenants are concerned, you really don't have to go to those extremes. I have long term tenants too. I have ones who look after the property like it's their own. Fact is, if the tenant likes the house and the area, the landlord fixes things promptly and does not impose excessive increases, and they have no need to move - babies, job loss, relocation etc - they will stay. If you charge them market rents, even if they don't like the increases, when they look at what else is available, they will see there really is no benefit in moving.
Moving is inconvenient. Moving costs money. I don't know one person that likes moving just for the sake of moving.
I have nil vacancy rate. you have to factor that in your calculations. Also no malicious damage which can run into thousands of dollars. No tribunal costs also.
Just long term tenants with no headache, and the money just rolls into my bank account which keeps me happy.
If you keep rents at market rate (or higher) you know there are headaches. Rents at the moment are sky high and this puts presssure on tenants. They fall one, two, three or four weeks behind and then they have to play catch up. And the tribunals are all on the tenants side - I know from past experience ( Ive been in this game a long time).
Just play the psychological game and keep the tenants TRULELY happy!
Just long term tenants with no headache, and the money just rolls into my bank account which keeps me happy.
If you keep rents at market rate (or higher) you know there are headaches. Rents at the moment are sky high and this puts presssure on tenants. They fall one, two, three or four weeks behind and then they have to play catch up. And the tribunals are all on the tenants side - I know from past experience ( Ive been in this game a long time).
Just play the psychological game and keep the tenants TRULELY happy!
you beat me to it, i was going to say the same.
market rent around 300, current rent 290 then i can understand leaving it at 290 and waiting for the next review to see if it is market or not. it's actually hard to determine market rent to 10%, but 20% ffs get with the program and increase the rent.
maybe there's some 'cash' rent coming in here.
