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Managing properties during COVID

Jacqueline Little • Nov 03, 2020

The pandemic has left no stone unturned when it comes to disrupting traditional processes of rental property management and real estate. From tenants struggling to pay rent to safely organizing showings, property managers are facing new, unprecedented challenges in light of COVID-19. We’re unpacking the most common issues our Royal Realty agents and managers are experiencing. 


Rent payment

With unemployment continuing to rise, tenants are simply unable to pay their rent on time or at all. To help combat this problem we contact impacted tenants on a case by case basis on the rental due date. We assess their situation and ask how things are going for them or if they foresee challenges on paying the current month’s rent. If there are challenges, we make it a point to discuss a rental rate and terms they can accommodate. We also contact the homeowner to discuss the tenant’s circumstances and to offer professional advice, if necessary, on how to move forward. The expectation is on Royal Realty to play the role of mediator. If there is a change in rental terms or agreement, we’ll execute paperwork to finalize the changed terms so that the homeowner can be compensated in some way, and the tenant can gain peace of mind knowing that they are doing everything they can do despite their financial struggles.
In addition to assisting with circumstantial tenant/owner payment agreements, we have been facilitating rental assistance payments for tenants that qualify. As soon as external rental payment options are available, Royal Realty has been informing tenants as approved by owners. Many thanks to multiple government officials that have helped facilitate this additional help.
 
Marketing vacancies

Vacant properties have been much more difficult and challenging to fill, and require much more time to market than normal since we are planning the most efficient way to stagger showings to follow the current City and County mandate, which is allowing a maximum of 4 people, excluding the agent, at once. Pre-COVID we could meet prospective tenants and show multiple groups at one time and showings could take less than an hour. With having to space out and separate groups/showing plus additional cleaning time, we are now budgeting 30-45 minutes per group.  
 
Complete and thorough ads, good photos, video tours, utilizing Matterport, or anything leveraging technology has been helpful with alleviating some of the barriers. Some agents have found that digital signatures are more welcomed these days. With digital signatures, prospective tenants, current tenants, clients, and agents are able to sign and deliver documents more efficiently and conveniently. As the agent, it also adds another layer of bookkeeping, because all signed documents go through a third party and are emailed, producing a trail of helpful recordkeeping.  
 
Overall, dealing with people in person is still preferable in order to assess, interview, experience, and screen qualified tenants. Even through a pandemic, most prospective tenants prefer to see a rental in person whenever possible. It provides them peace of mind in order to make the decision to proceed, what the rental expectations are, and knowing they are working with a verifiable professional company/agent.  
 
Activities with current tenants on site

At Royal Realty rental properties are put on the rental market as soon as we receive notice from the current tenant. This means there will most likely be an overlap of showing properties while the unit is still occupied. We’ve encountered tenants not being comfortable with in-person showings so we extend the virtual showing services to those properties. To help alleviate these concerns, masks are required for prospective clients, they must look not touch, and hand sanitizer is provided throughout the showing. Plus, people viewing the property are asked to cancel showings if they are experiencing any possible symptoms of COVID.
Another instance requiring active tenant participation is conducting semi-annual inspections. In March and September, agents visit all their rental properties to ensure the property is in good condition and their tenants are comfortable. However, during the CIty and County shutdowns, tenants were uncomfortable with having agents enter their unit. With patience and communication between tenants and the property owners, as well as proper precautions taken on behalf of the agents, inspections continued with the understanding that it is an essential service. 

We’re all in this together

At the end of the day, we are all facing challenges whether it be physical, emotional, or economic. Property Management includes all of the above and although our company has been faced with those problems exponentially, we are grateful to be of service to people to help make those problems more bearable. 

By Engage Team 15 Mar, 2022
From the Big Island to Oʻahu One of the benefits of living in the island archipelago of Hawaiʻi is that the other Hawaiian islands are a short flight away. It was during a spontaneous visit to Oʻahu from the Big Island of Hawaiʻi – where we lived for 6 years – that my partner and I got the idea to switch islands. Although each of the Hawaiian islands has unique merits, we were ready to experience Oʻahu’s convenience, plentiful hiking trails and beaches, and diverse economic opportunities. After landing a job offer based in downtown Honolulu, our relocation planning began. Since we were still largely unfamiliar with Oʻahu, we tailored our apartment search to a few factors, including: proximity to work; walkability to groceries and other necessities; and amenities like air conditioning, a pool, and a gym. Of course, budget was a factor as well, and we set our price range accordingly. Choosing Kakaʻako While the apartment criteria narrowed our search to three Honolulu neighborhoods – Waikiki, Ala Moana, and Kakaʻako – we focused on Kakaʻako because of its newer buildings and walkability to shops and dining. While living in a downtown Airbnb, we cruised sites like HICentral , Zillow , and Craigslist to find leads, and looked at several apartments before securing a 1-bedroom in the recently completed Keauhou Place tower. In addition to our unit having an incredible view overlooking downtown and the harbor, it came with shared amenities like covered parking, a pool, gym, and barbecue grills. As well, we enjoyed access to its ground-level pedestrian mall, which offered a natural grocery store, spa, and spots for dining and takeout – not to mention a short jaunt to even more options at SALT and Ohana Hale Marketplace . Aside from walkability, the location served as a central jumping off point for weekend adventures around the island. Change of Scenery Two years, a pandemic, and one job transition later, we were ready for another change of scenery. Since I switched from working in-person to working remotely, we no longer needed to live close to downtown, and began exploring the idea of moving to Oʻahu’s east side, where we would be closer to some of our favorite hikes and beaches. While the search process was similar, the inventory in our budget range was different, and it took a bit longer to find a suitable home. As opposed to the ample selection of apartment and condo listings in Honolulu’s urban core, the east side neighborhoods of Kaneohe, Kailua, and Waimanalo offered mostly ADU’s (additional dwelling units) or single family homes converted into multiple rentals units – sometimes lacking the privacy or amenities we needed. It took about 3 months to find our ideal rental home in Kailua, a similar 1-bedroom condo within a comfortable walking distance to town and the beach. It took a lot of patience, because the inventory was more limited; but, luckily we had flexibility to keep searching until we found our match.  Urban v. Suburban: Which to Choose? Ultimately, I am glad we got the experience of living in both Honolulu and Kailua. Particularly, the Kakaʻako neighborhood, with its abundant street art, well-maintained parks, and diverse shops and dining options, is a great place to get a feel for Oʻahu’s urban core. On the other hand, Kailua has an intimate, beachy feel, which could be a better fit if you can work remotely – and avoid the driving commute into “town” (local shorthand for Honolulu). Either way, pre-determining your unique home, budget, timing, and lifestyle criteria can help to narrow your search and point you in the right direction. About the Author Ali Slous is the founder of Perspective Media , an Oʻahu-based creative agency whose mission is to empower entrepreneurs and small businesses to channel creativity in ways that generate both professional success and personal satisfaction. When she is not creating Perspective Media, Ali enjoys access to the incredible nature Hawaiʻi has to offer. Resources HICentral: https://www.hicentral.com/ Zillow: https://www.zillow.com/honolulu-hi/?utm_content=319854744|1301821912900950|kwd-81363927204438:loc-190|81363895177301|&utm_campaign=zbw_br_natgeo_usa_x_nat_cities_e_b_1&semQue=zillow%20honolulu&msclkid=330d4f9cfa6b19b9b07d2db5ba061625 Craigslist: https://honolulu.craigslist.org/search/hhh SALT: https://saltatkakaako.com/ Hale Ohana Marketplace: https://www.ohmhawaii.com/ Perspective Media: https://perspectivemediahawaii.com/
By Jacqueline Little 16 Feb, 2022
A new year is upon us, and I must say it feels familiar, yet unpredictable. What I mean by that is, although we’re still dealing with the pandemic, the real estate market is still very dynamic. Mortgage rates dropped to record lows for much of last year, while home values and sales peaked to record highs. Where does it go from here? To say that there will be a housing market cool down is too drastic. Steady buyer demand and low inventory will continue to drive up prices. My insight for 2022 aligns with what most are predicting for the housing market’s future - everything will be high. Demand, prices, home appreciation rates, and eventually home inventory and interest rates will rise too. While some trends from 2021 will continue into the new year, some things will change. This year will be defined as a steady year of (slow) growth. The market will no doubt be in the favor of the sellers for now, but things will start to swing the other way. Because the real estate market is affected by current events, fluctuations are inevitable. If you’re looking to buy, pay attention to interest rates and always be in tune with your own personal finances. If you’re in a position to sell this year, it wouldn’t be a bad idea. The smaller housing inventory fares to your advantage because low inventory creates competition among buyers, essentially increasing your property’s value. If you’re a seller, know that there are options for selling. Whether it’s your first home sale or your fifth, talking to a real estate agent will help you explore your options so you can market your home to a wide range of potential buyers and get you top dollar for it. If you’re a buyer, the same advice rings true here. Talk to a real estate agent who can help you navigate this active housing market and help you find the right situation for you to act on. As always, Royal Realty is here for you and ready to take on 2022 with you!
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