CT Real Estate Today - November 2022 Edition

In This Month’s Edition Pg. 8 - When, Where and How to Vote

Pg. 24 - The Importance of a Lease Agreement When Leasing a Property

Pg. 10 - Rising Interest Rates Are Causing a HUGE Shift in the Real Estate World of Supply and Demand

Pg. 30 - Why is Tenant Screening Important?

November 2022

Published by:

Table of Contents Publisher’s Message A Message From Bob DeCosmo, President Of CTPOA

News And Views From The Capitol When, Where and How to Vote

Realtor Report Rising Interest Rates Are Causing a HUGE Shift in the Real Estate World of Supply and Demand

Insurance Insights 10 Things You Should Know About Purchasing Home Insurance

Property Management Tips & Tricks Top 10 Fall Maintenance Tips for Landlords and Property Managers

Helping Property Owners Since 1994

Published by: CTPOA

CTPOA’s Mission:

Financially Speaking 5 Tips for Buying a Home With Mortgage Rates at 20-Year Highs

Get Energy Efficient 7 Energy Saving Tips for the Fall

The Legal Corner The Importance of a Lease Agreement When Leasing a Property

Educate our members on the Best Practices.

Increase profitability.

Provide access to Core Services.

Advocate for Property Owner Rights.

Meet Our Team:

Vendor Spotlight New England Residential Finance, LLC - A Mortgage Brokerage Firm Here to Serve Your Lending Needs!

Carmine DeCosmo

Tenant Screening Tips & Tricks

Chelsea Sayegh

Bob DeCosmo Melissa DeCosmo Paul Jenney

Why is Tenant Screening Important?

PO Box 4795 Waterbury, CT 06704 800-369-6153 info@ctpoa.com

By Bob DeCosmo Advocate For Property Owner Rights Why It’s Important To Vote On Election Day Every election is important but this year it seems to carry greater weight than normal, especially for the future of Connecticut housing. I need to stress all real estate professionals vote and make sure your family votes as the future of your business is at stake.

We have a long-standing battle in the legislative arena over housing and the future of landlord / tenant policy is up for grabs. Many progressive Democrats want to see an end to private ownership of rental property and replace it with non-profit owned or government owned operations. Their motto is “Housing for the people, not for profit” Just from sheer experience, their idea is a non-starter, it won’t work. I ask this question. Has anyone seen a housing authority complex that you would want to raise your family in?....Probably not because of a number of reasons including; there is a lack of pride of ownership, there’s no financial gain to pass down to your next of kin and no reason to go above and beyond from your efforts, it’s just a job.

At a recent “Meet and Greet” the candidate event at the Greater Hartford Association of Realtors sponsored by TenantTracks it became apparent of the divide between the Republicans and Democrats that participated at that event. The Republicans want to downsize government and let business happen on its own course and the Democrats believe that a larger role is needed by government to help people with their lives; it’s truly a remarkable divide and I wonder if it can ever be bridged?

People think politics is about good government, the sad reality is today it has evolved into the adjudication of power and the fight to spend the taxpayers’ dollars. I am an advocate for private property owner rights and seeking to grow a trade association for property owners but more and more housing providers tell me they are afraid to get involved because they fear retaliation by their local elected officials….this is an amazing rationale and fits the definition of tyranny!

Politics is now a full contact sport and I believe that it’s a 10-80-10 equation with the extreme elements from both sides driving the car! Yet 80% of the public is near the center of the debate, but the tail wags the dog today in politics…this needs to change.

So make sure you cast your ballot on Tuesday for the sake of your business interests and vote for the candidate that most closely resembles your philosophical position…political parties mean nothing, its about the candidate’s position on the issues.

04 / Publisher’s Message

ctpoa.com/events

ctpoa.com/events

Register at CTPOA.com/events

When, Where and How to Vote From: cbia.com Connecticut voters go to the polls on Tuesday

If you’re a first time voter, you must present

November 8, 2022 to vote for the state’s

current valid photo identification that shows your

next governor, all statewide officers, one U.S.

name and address; or a current utility bill, bank

Senate seat, all five members of the U.S. House statement, government check, paycheck, or of Representatives, and all 187 members of the

government document that shows your name

General Assembly.

and address; or cast a provisional vote.

Where Do You Vote?

All other voters must present their Social

Use the Secretary of State’s online locator to find your local polling place.

Security card or any pre-printed identification showing name and address; or name and signature; or name and photograph. If you

Connecticut polling places are open from 6 am

cannot present identification, you can sign a

to 8 pm on Election Day (November 8, 2022).

statement acknowledging your identity.

Any voter standing in line at the polls at 8 pm will be allowed to cast a ballot.

Voters in Connecticut have certain rights—know your rights before you vote.

Voter ID Requirements You will be asked to provide identification

How Do You Vote?

An optical scan machine is used by most inperson voters.

A vote-by-phone option is available at every polling place for voters with disabilities or for any voter who prefers this option.

when checking in at your polling place before you vote.

08 / News & Views From The Capitol

Absentee Voting If you can answer yes to any of the following

For an emergency ballot within six days of an

questions, you are eligible to case an absentee

election, please use the Emergency Application

ballot:

for Absentee Ballot:

•

•

Are you an active member of the armed

Application for

forces of the United States?

•

Absentee

Will you be out of town during all the hours of

Ballot (English)

voting on Election Day? •

Does illness prevent you from voting in

person on Election Day? •

Emergency

•

Solicitud de Emergencia para Obtener Papleta

Do your religious beliefs prevent you from

para Voter en Ausencia (Español)

performing secular activities like voting on

You should return your completed absentee

Election Day?

ballot application to the municipal clerk in the

•

town in which you are a registered voter in

Will you be performing duties as an election

official at a polling place other than your own

Connecticut.

during all the hours of voting on Election Day?

Absentee ballots will be mailed to approved

•

applicants beginning 31 days prior to the date of

Do you have a physical disability that

prevents you from voting in person on Election

the general election. If your application is received within 31 days of the election, your

Day?

ballot will be mailed to you once your application

The Connecticut Secretary of the State’s office will mail absentee ballot applications for the November election to the state’s more than 2.1 million registered voters 31 days before the

is processed.

Complete the ballot, carefully following the enclosed instructions and return it by mail or in person. Only complete absentee ballots

election date.

received before the close of polls on the day of You may also download and use the following

the election will be counted.

absentee ballot application: Application for Absentee Ballot (English) Solicitud de Boleta Ausente (Español)

09 / News & Views From The Capitol

Rising Interest Rates Are Causing a HUGE Shift in the Real Estate World of Supply and Demand By: Michelle Lorenzetti, Investment Broker Rising interest rates are causing a

When rates rise, purchasing power of

HUGE shift in the real estate world of

borrowers shrinks. The average loan

supply and demand. No one has a

amount in September was $305,550 –

crystal ball but all signs appear to be

way lower than the February peak of

pointing towards a recession, even

$340,000.” Many sellers are still not

though reports on gross domestic

comprehending this – and still think they

product looked positive for us last week. can get a number they are wanting – just The 30-year fixed rate mortgage is at

because that is the number they need!

7.08% - 20-year high - since April 2002,

Not the case! Sellers need to

and really contributing to slowing in the

understand the facts of the market, and

housing market. On top of this, there

if they want to take advantage before

are higher costs all over, which means

rates go higher they should do so now.

low consumer confidence. Many buyers It helps we have a huge amount of are “waiting” and the decrease in

closed data on the books with the higher

demand has shrunk buyer pool and real

purchase numbers due to the sellers’

estate prices even further down.

market we’ve enjoyed over the past year

10 / Realtor Report

and a half, and still kind of a low

not had a chance to compete for some

inventory. We are still seeing people

time. Just keep in mind this shift is

buy – even multiple offers - when a

not “instant” or “overnight”, so again

property is priced right. Definitely

just keep a close eye of what is going

NOT at the same velocity we had a

on out here and how it affects you.

few months ago for sure, still moving, just slower. The overpriced listings will not be moving anytime soon – that is for sure.

I have also seen many deals that are in process just “fall apart”. Even to the point of buyers just forfeiting their deposits. As they have explained; they just cannot afford the payment and have to walk away.

About Michelle Lorenzetti CT Real Estate Broker, Investor, Wholesaler.

Agent to Investors.

So, what can we do about this? Stay

Expert in

informed and aware of what is going

locating off

on – and make the best decisions for

market deals & passing them on to my

you! It’s also VERY smart to have

Investors. Specialties include

funds in reserve, just in case! And if

significantly discounted single family

you were one of the lucky people who rehab projects, commercial & multi sold at the top of the market and made family projects with owner financing.

a good profit congratulations! (I was

Many of my clients offer package

one of them too!) And a little good

deals. To learn more about my current

news for buyers – I feel they will be

off market deals please e-mail

able to start presenting offers with

michellelorenzetti@sbcglobal.net or

terms that sellers may consider given

call 860-335-0681

the way things are going. They have

11 / Realtor Report

10 Things You Should Know About Purchasing Home Insurance From: insureonline.org 1. You Need Home Insurance Homeowners

each claim and applies only to coverage on

need to purchase home insurance to protect

your house and personal property. Make sure

their homes and personal property. Those who

when choosing a policy that you are

rent need insurance to protect their furniture

comfortable paying the deductible if you make a

and other personal property. Everyone needs

claim. Remember, a policy with a $100

protection against liability for accidents that

deductible will cost more than one with a $250

injure other people or damage their property.

deductible. Higher deductibles may be available

2. Decide How Much Coverage You Need

at a reduced price.

The better your coverage, the less you will have 4. Replacement Cost or Actual Cash Value? to pay out of your own pocket if disaster strikes. You have the option to choose to insure your In some cases, your lender decides how much

home and belongings for either replacement

coverage you need and may require you to buy cost or actual cash value. Replacement cost is the amount it would take to replace or rebuild a policy that covers at least the amount of the mortgage. It is important to note that the

your home or repair damages with materials of

amount of coverage you buy for your house,

similar kind and quality, without deducting for

contents and personal property will affect the

depreciation. It is important to insure your home

price you pay.

for at least 80 percent of its replacement value.

3. Compare Deductibles The deductible is the amount you have to pay out of pocket on

12 / Insurance Insights

Actual cash value is the amount it would take to repair or replace damage to your home after depreciation.

5. Shop Around Before You Buy You are not required to purchase insurance from the company your lender recommends. There are a number of unbiased sources available to find out what different insurers charge for identical products and services, including your state insurance department, consumer publications and your public library.

6. Ask Your Agent About Discounts In some states, insurers offer lower prices for such things as insuring your home and car

9.

Read Your Policy Carefully You

with the same company, installing deadbolt

should be aware that a home insurance

locks or alarm systems or replacing the roof. policy is a legal contract. It is written so that 7. Basic Coverages Available Whether you own or rent, there are different packages of home insurance offered to

protect your home and belongings. Each package protects against a specified number of events that cause damage to property. Three examples are fire, windstorm and theft. In addition, each

your rights and responsibilities as well as those of the insurance company are clearly stated. When you purchase home insurance, you will receive a policy. You should read that policy and make certain you understand its contents. Keep your policy in a safe place and know the name of your insurer.

package policy usually contains four

10.

additional types of coverage: property

Needs Every Year Check with your

damage, additional living expenses,

insurance agent at least once a year to

personal liability and medical payments.

make sure your policy provides adequate

8. Where to Shop Check the newspaper and yellow pages of the telephone directory for companies and agents in your area. In addition, ask your neighbors, relatives and

Review Your Home Insurance

coverage. The addition of a room, new insulation or remodeling add value to your home and therefore may increase replacement cost.

friends for recommendations on insurance companies and agents. Remember to shop around to get the best price and service.

13 / Insurance Insights

Top 10 Fall Maintenance Tips for Landlords and Property Managers By: Alecia Pirulis, from apartments.com In many parts of the country, when

Consider getting gutter guards, but choose

temperatures cool and the leaves start to fall,

wisely. Installing gutter guards can keep out

deep freezes and piles of snow aren’t far

leaves and debris, but be wary of wire mesh

behind.

guards. They may keep out large debris, but

To prepare for winter’s annual assault on roofs, siding, and walkways, do these 10 fall maintenance tasks to get your rental property ready, and ensure your tenants stay warm, dry, and happy.

the pine needles and small leaves they allow to pass can block water flow. Mesh guards prevent you from reaching into the gutters, which complicates the task of cleaning.

Alternatives include micromesh guards, which keep out pine needles and even shingle grit,

1. Clean the roof and gutters

and hinged guards that you can lift out of the

Gutter cleaning may not be a fun job, but it’s

way when cleaning.

something you need to do every year. While

2. Trim overhanging branches

you’re at it, use a rake and leaf blower to get the leaves off the roof. Clogged gutters and piles of leaves and twigs in roof valleys are the main reasons ice dams and icicles form.

Besides creating extra weight for the roof to support, these freezing weather hazards eventually melt to form pools of standing water that cause leaks.

Ice storms happen, and iced-over branches that overhang the roof can snap off and damage the roof. Even if that doesn’t occur, overhanging branches are sources of roof debris that can cause ice dams, and they provide a bridge for rats, squirrels, ants, and other pests onto the roof and into the attic. Getting rid of them is an

14 / Property Management Tools & Tips

important part of fall maintenance.

days of harsh, foam-degrading summer

Branches that can potentially interfere with power lines should be the first to go. Working

sunlight are over and before the cold winds blow.

around power lines is hazardous, so this is

You can control drafts coming through window

probably a job for a pro.

and door casings by removing the casings

While you’re cleaning up the branches, don’t forget to prune back ivy and other creeping vines that have reached roof height.

and spraying foam insulation in the gap between the window or door frame and the studs. It will probably take a pro about a day to do this to all the doors and windows. If you

3. Rake the leaves

pay the heating bills, you’ll recover the

Autumn wouldn’t be as beautiful without falling expense by saving 10 to 15 percent in energy costs over the course of the winter. leaves, and raking them up is a fall maintenance job that every property owner should do. If you haven’t already assigned this job to your renters in the lease, you might want to offer them a nominal rent reduction so you won’t need to do it yourself. You might

also consider hiring a landscaping contractor or a local teenage entrepreneur. Removing and properly disposing of leaves protects the lawn and garden, prevents slipping hazards when the rains start, and keeps the homeowner’s association and neighbors happy.

5. Clean or replace HVAC filters Cleaning and replacing HVAC filters is a routine task that you should do every year, and ideally it should be part of your fall maintenance regimen. Central heating systems work 24/7 during the cold months, and they run more efficiently when the filters are clean. Replace all the return air filters as well as any filters on the heater housing itself.

6. Patch holes Small animals see your basement, attic, and

4. Check weatherstripping and insulation

Drafts coming through unsealed doors and windows drive up the heating bill and can make tenants uncomfortable and even unhealthy. Foam weatherstripping lasts from five to 10 years, depending on quality, and should be replaced when it cracks or shrinks.

The best time to do this is in the fall, after the

the insulation in your walls as refuges from

the cold winter winds. Some critters can get in through holes as small as 1/4 inch in diameter. Patch smaller holes with caulk or foam spray, and use wire mesh, sheet metal, or plywood to cover the larger ones. Be sure to check the attic vents for holes or frayed edges. Do you have rot in the eaves or foundation? Dig it out and fill it with epoxy filler

15 / Property Management Tools & Tips

to prevent rodents from eating their way into

If your property has a wood stove or a fireplace,

your property.

yearly chimney maintenance is a must.

7. Drain exterior faucets

Creosote builds up quickly. Not many landlords or property managers are equipped with

Burst pipes are a perennial winter hazard, and

chimney cleaning equipment, so this is another

they often occur in pipes feeding hose bibs on

job for a pro. Don’t forget to check the damper

the side of the house or in the garden. Prevent

and clean the spark arrestor.

burst pipes by turning off the valve to these faucets, then opening each one to allow water

10. Do a fall maintenance safety inspection

to drain out. It’s a good idea to leave the

Loose decking boards and rotted stair treads

faucets slightly open to ensure that any ice that

are irritating in the summer, but they become

does happen to form in the pipes has room to

hazardous in the winter when buried in ice and

expand.

snow. When you’re replacing popped nails or

8. Turn off and drain the sprinkler system

rotted boards, pay special attention to the railings, especially on outdoor staircases. You

Most sprinkler systems have a drain valve

want to make sure they can support someone

located at the lowest point in the system; if you

who loses their footing. Applying a non-slip

can’t find this valve, you may need to get one

coating to the treads may prevent that slip from

installed. To use this valve effectively, you first

occurring in the first place.

need to turn off the main water supply, then open the valve for each zone while the drain valve is open. This allows the water backed up behind each zone valve to flow out through the drain.

9. Check and clean the chimney

Preparing your rental for winter protects your investment and minimizes the chances of getting emergency calls in the dead of winter. It reduces the chances of an accident on your property. You’ll sleep better at night, and so will your renters.

16 / Property Management Tools & Tips

For More Information Visit Our Website: landlordcollections.net Give Us A Call: (800)-369-6153

5 Tips for Buying a Home With Mortgage Rates at 20-Year Highs By: Ellen Chang, with finance.yahoo.com Buying a home as mortgage rates continue

Redfin. The dip is the largest annual decline

to increase has become more challenging.

and the fewest homes under contract in any

Some potential buyers have retreated to the sidelines and are taking a break until mortgage rates start declining again or for

October since at least 2015 when Redfin began its weekly housing market records.

"Until this month, the pullback in the housing

home prices to fall to a level they can afford. market could be described as something of Home prices have not declined year-overyear because the number of listings have fallen as potential sellers concerned by high mortgage rates decide to stay in place.

a return to pre-pandemic conditions before sub-3% mortgage rates ignited a home buying frenzy in 2020 and 2021,” said Taylor Marr, deputy chief economist for Redfin, a real estate company. “But now both

Even as the sales of homes declined by over mortgage purchase applications and 30% from a year ago, new listings are down pending sales are below 2018 levels. A fournearly 20% because many prospective

year setback is a serious correction. With

sellers balk at giving up a 2% or 3%

mortgage rates still elevated, we are in for

mortgage rate.

further sales declines, but those should

Pending home sales declined by 35% year

eventually bring price relief to those who

over year during the four weeks ending

need to move this winter.”

October 23, according to a report from 18 / Financially Speaking

Some potential homeowners either can not

many homes are staying on the market for a

wait or need to move now. Here are five tips month or two. While mortgage rates are for buying a home as mortgage rates

much higher now, buyers have the

exceed 7%.

opportunity to negotiate. We've gotten

Look For Homes on the Market Longer Consider looking at homes that have been on the market for 30 or 60 days and making a lower offer, Marr said.

“Not everything is dictated by asking prices, buyers should account for the fact that home values are likely about to decline when determining their offer price,” he said.

One strategy is to offer $475,000 on a $500,000 listing, Marr said. If you like a home and can comfortably afford paying

sellers to agree to a lower price and to provide a credit, which enables the buyer to buy down their mortgage rate to below 6%."

Pay Discount Points Some mortgage lenders offer discount points which are fees you pay now in order to lower your interest rate.

When you pay for points, you receive a lower interest rate and pay less over time, according to the Consumer Financial Protection Bureau.

$475,000 for it and believe home prices will

“Points can be a good choice for someone

decline by 5% in the next year, you can

who knows they will keep the loan for a long

factor that into your negotiations.

time,” said the federal consumer protection

“When prices were soaring at the height of

agency.

the pandemic and expected to grow 10%

The points are calculated in relation to the

year over year, buyers often priced that into

loan amount - each point equals one

offering over asking price, and it also works

percent of the loan amount.

the other way around,” he said.

“As in other times of higher rates, mortgage

Some sellers are also willing to help buy

companies are getting creative with the

down your mortgage rate, which would

products they offer,” said Bill Golden, a real

mitigate some of the impact of higher rates.

estate agent and associate broker with

"Every set of market conditions comes with its own tradeoffs," said Sacramento real estate agent Michael Cendejas. "Today

Keller Williams Realty Intown Atlanta. “You can often pay some discount points upfront to buy the rate down.”

19 / Financially Speaking

There are products out there like the 3-2 “We have a saying in the real estate -1 buydown loan where the homeowner

business - you marry the house, but date

pays a buydown fee at closing and your

the rate,” he said. “We all know that

rate is 3% less for the first year, 2% less

rates fluctuate over the years,so buy the

for the second year, 1% less for the third house year, and then remains at the full rate for you want the rest of the life of the loan, he said.

Refinance Your Mortgage Later

and just know you can

Most people will refinance their

always

mortgage within the first three years

refinance

during this current environment, Golden

when

said.

rates come back down, which they will.”

Refinancing does mean starting over on

Mortgages With Lower Down

a mortgage and resetting the clock on

Payments

the payoff date and paying closing costs again, but a lower rate means more of your payments will go towards the principal amount.

20 / Financially Speaking

There are several types of governmentbacked mortgages that require low or no down payment.

Instead of paying 20% for a down payment for a traditional 30-year mortgage, a FHA loan is backed by the Federal Housing Administration and lets you only provide a down payment as low as 3.5% since the intent was to encourage first-time homebuyers.

Mortgages backed by the Veterans Administration, known as VA loans, don't require any down payment.

They're only available to veterans or active-duty military who meet a minimum service requirement.

The average U.S. fixed rate on Tuesday for a 30-year conforming mortgage was 7.05%, according to Optimal Blue. That same day, the average rate for a mortgage backed by the FHA was 6.86%, while a VA loan was 6.73% and

For people buying homes in rural areas, USDA was 6.92%. there's also the option of a zeroAdjustable Rate Mortgages down mortgage backed by the U.S. Department of Agriculture. The USDA

There are several types of adjustable-

defines "rural" as "any town, village,

rate mortgages, or ARMs, that carry

city, or place" with fewer than 20,000

lower rates.

people that is not located within a Metropolitan Statistical Area.

Typically, the rates for ARMs are fixed for five, seven or 10 years, meaning the

These government-backed mortgages

mortgage rate only resets – with caps

typically carry lower interest rates than

on the interest rate change –after that

so-called conforming mortgages,

time period. They can be a good option

meaning home loans that meet the

when mortgage rates are high.

standards to be purchased by Fannie Mae and Freddie Mac.

21 / Financially Speaking

7 Energy Saving Tips for the Fall By: Santee Cooper, with santeecooper.com After a blazing hot summer, it’s exciting to welcome cooler weather during a transition into fall. The humidity breaks, the landscape changes colors, and holidays begin to arrive.

But if you’re not careful, higher energy consumption can creep into the season, too.

Seal cracks, leaks and drafts Before it gets too cold, check your windows and doors for gaps and open areas that could let heat out or cold in. Using weatherstripping and

caulking before you’re in the thick of winter will contribute to significant savings if you catch the

Fall is the ideal time to switch the energy saving drafts in time. Additionally, you should check tools and habits used throughout your home to

cut-throughs for pipe access, recessed lighting,

make sure you’re set up for savings when your

entries to unfinished spaces and chimneys for

next energy bill arrives. Here are seven ways

gaps that could be affecting your insulation.

how you can save on your energy bills this season: Let the sun heat up your rooms

Reprogram your thermostat During the summer months, we recommend

setting your thermostat at 78 degrees so your

Use curtains to your advantage. During the day, system doesn’t have to work too hard to bring opening the curtains to let in sunlight from

the temperature down. As we move into fall and

south-facing windows will help warm the room

the cooler weather it brings, we recommend

without using any extra energy. In the

reflecting the same idea with your heat.

afternoon, close the curtains to hold in heat and Keeping the temperature set so that the heat keep the chill out. Use the sun’s energy and warmth to your advantage!

22 / Get Energy Efficient

doesn’t turn

on until it’s 68 degrees or lower will help it run

most for a simple

systematically without being overworked or

way to

using too much power.

consistently help

A good practice is to find a temperature you like and leave it there for day-to-day use. If

maintain your energy usage.

you’re going to be away for a while, set it low

Assess your

– 65 or lower – and step up recovery two

fireplace

degrees at a time when you return. A programmable or smart thermostat is a great

way to stay on track as you can set it and forget it.

Service your heating system Transitioning to fall is the perfect time to make sure your heating system is operating properly. Not only should you change the air filter monthly, but you’ll also want to make sure it is functioning properly and using the

right amount of energy for the size of your system and home. If you need to upgrade, it’s best to get it out of the way before it’s an

Your fireplace is a large, but sometimes not obvious, pathway for air to escape. The damper should stay closed unless a fire is burning so that warm air from your heating system doesn’t escape through the chimney.

Check the seal to make sure the damper is as snug as possible. Tempered glass doors and an air exchange system that blows warm air back into the room will also help keep the heat where you want it - inside your home. You can also purchase energy-efficient grates that help draw cool air toward the fireplace and direct warm air back into the room.

emergency and too cold outside for comfort.

Replace your indoor air filter

Reverse ceiling fans

This tip is helpful year-round but is one that

We think of ceiling fans as a tool to cool us down, but they can also work to keep us warm. When you set the direction of the fan to

turn clockwise, it pushes warm air that has risen to the ceiling back down into the room. It also helps to redistribute air so the air coming out of the vents reaches all parts of the room rather than having warmer and cooler pockets

can be easily forgotten. When dust and dirt build up on HVAC filters, it makes the entire system work harder than it needs to, therefore

using more energy. Set a reminder to change your filters monthly or sign up for a subscription so your filters stay dirt- and allergen-free, keeping your system working at an optimal level.

of air in different areas. No ceiling fans?

Consider installing them in rooms you use

23 / Get Energy Efficient

The Important of a Lease Agreement When Leasing a Property By: Bostonapartments.com Signing a lease is one of the most important steps in renting out a property. This protects you from any financial burden that may occur. If you fail to have a proper lease agreement, you may even end up as far as giving up your rental investment. Thus, as a landlord, you have to protect yourself and your property by having a lease agreement.

Renting has a specified length of time. A lease agreement determines this time as well as the terms of the lease the tenant and the landlords have agreed upon. The lease agreement also

1. Determine Rent Details Stating the rental fee explicitly will avoid confusion and helps the tenant determine if the property is within the range of their budget or

not. It's also good to have a specific time for due dates on rentals, so there will be no delays in payment, and the tenant will have properly prepared their finances for each monthly term.

If you have difficulty drafting an agreement, online resources, like iPropertyManagement, can help you.

helps set who's going to be responsible for

2. Clarify Who's Responsible For Repairs

certain events and answers many questions

Repairs of the house may happen. If a lightbulb

during the rental term. It's always a good idea

is busted, usually, it'll be the tenant who'll take

to review the lease agreement with tenants so

care of it. However, for major issues, like

they won't have to come back to you if they

broken doors and windows, which is already

have questions.

part of the physical property, it should be

The following are just some of the importance

specifically stated who'll do the maintenance of

of a lease agreement when leasing a property:

major repairs.

24 / The Legal Corner

Most landlords would be responsible for the

will be staying in a property. This gives them a

functional systems of a rental property, such

clear idea that they have to fulfill the contract.

as plumbing, electricity, heat, and airconditioning, but there has to be a process in place in case tenant needs their assistance.

Some lease agreements will state that a tenant has to stay in a property for two years.

Tenants will know if this fits their needs

For example, will the tenant take care of these because some tenants will only stay in a place major repairs and have the money paid back by the landlord, or will the landlord be responsible for the repairs themselves? The lease should also include the time frame when the repairs should start.

for six months.

Tenants can also encounter personal issues

and may have to move out earlier than stipulated in the agreement. In this case, it should be determined what the penalties are

These terms are important because a tenant

and if the tenant will be agreeing to be

cannot live in a house with repair issues.

responsible for it.

Repairs must be done immediately because it can get uncomfortable living in the property or even dangerous.

3. Determine Which Utilities Are Covered Utilities are almost always the responsibility of the tenant. However, there are some lease agreements that include utilities with the monthly rent.

5. Terms of The Security Deposit A security deposit, or a damage deposit, protect the landlord. This is a deposit that's

paid for by the tenant once the lease starts.

Many landlords will ask for this deposit, and it should be made clear to the tenant when the money will be returned to them and under what conditions. Usually, landlords will only

The tenant will have the chance to know

return the deposit once they've fully inspected

which utilities they have to pay for and which

a property and have seen that it's damage

ones will get covered with their monthly rent.

free. Some landlords, on the other hand, will

It's important to state clearly the utilities that'll be covered. This way, the tenant will know which utility they will have to pay separately for.

4. Specify The Lease Term The lease term is the length of time a tenant

only return the deposit if the rental space has already been cleaned thoroughly.

6. Notification of Events A tenant has responsibilities to the landlord's property, and this should be stipulated. Every action of the tenant affects the property value and insurance of the property.

25 / The Legal Corner

For example, if the tenant goes on vacation, it should be stated that they should inform the landlord. You may also find that you'll have a

percentage which the rent will rise.

8. Know What Types of Pets

guest or non-tenant stay with you for an extended Some tenants will have pets, and it's important for period of time. The landlord should be informed. If a landlord to state explicitly which kinds of pets the rental property is unattended, the landlord

are allowed in the property. For example, can a

should know because it can affect insurance

tenant keep large breeds of dogs? If possible, the

policies in case something happens.

lease agreement should state the type of breeds

Tenants also have a responsibility to the upkeep

allowed.

of the rental property, and it's within the landlord's Pets affect the property due to the noise, smell, and mess they make. Pets also potentially bring best interests to be immediately informed if there's any damage to the functional system of

in allergies, so a landlord should have a

the house, such as plumbing and electricity.

stipulation for pets because it affects the living

These issues should be repaired quickly because conditions of the other tenants as well as the cleanliness of the property. the damage will spread if it's left untouched.

The tenant should know in the lease agreement if Final Thoughts they should inform the landlord if any such issues A property is an investment, and you want to happen. make your property earn money for you.

7. Conditions For Rent Increases If a tenant is only going to stay in a property for a short period of time, rent increases won't be an issue. But, renting for a longer period of time can increase the price of the rent.

The lease agreement should specify the

26 / The Legal Corner

However, renting a property can cause you to lose money if you have tenants that are not aware of lease agreements and do things that are counter to it.

It's important to review the lease agreement with them, so there should be a clear expectation for each party.

We have built a strong reputation as an outstanding mortgage brokerage firm, serving the lending needs of real estate professionals, individual homebuyers and current

homeowners throughout the state.

We're a full service mortgage broker with an experienced staff offering expertise in every area of mortgage lending. We have access to a full range of mortgage sources and all of our lending specialists are dedicated to finding the right loan-with the best rates, terms and costs-to meet your unique needs. But that's just the beginning of our service. Throughout the lending process, we provide regular loan updates and progress reports so you always know the status of your loan.

We provide local customized service and have access to some of the lowest rates and fees in the marketplace while providing transparency, exceptional client support, and a streamlined closing process.

Thank you for visiting New England Residential Finance, LLC. We look forward to putting our mortgage service to work for you!

Contact us: 203-441-4716 Apply NOW for a Better Mortgage Experience

28 / Vendor Spotlight

MICHAEL ROUSSEAU NMLS ID #36474 Michael has been in the mortgage lending business for more than 20 years, he is an experienced loan professional that is dedicated to providing honest and straightforward guidance to those looking to purchase, renovate or refinance their home.

Michael has worked in many areas of the mortgage business and has an expansive knowledge of the loan process from application to closing.

Michael is the owner of New England

Residential Finance, LLC located in Wolcott, CT where he manages the daily operations of the business, assists clients through the entire loan process as well as lead a successful sales team of mortgage originators.

NICHOLAS MINICUCCI NMLS ID #741584 With more than 20 years in the mortgage industry, Nick has a extensive knowledge of all aspects of the mortgage business. Before joining New England

Residential Finance, LLC (NERF, LLC) in 2015 as a Mortgage Processor, I was a Mortgage Loan Originator for Webster Bank for 13 years. I then became a licensed Senior Mortgage Loan Officer for NERF, LLC in November 2016. I am knowledgeable in both conventional and government lending and I am committed to helping all clients achieve the dream of home ownership or refinancing their current home.

When I am not working which isn't often, I am a proud father of 2 boys. I spend my free time I have raising my two sons. I have a 20 year old son who is currently in college at Johnson & Wales in Rhode Island studying to become an anesthesiologist. My youngest son, who is 10 years old is in 5th grade. He keeps me busy with doing anything outside sports related and when not outside we are usually off to arcades, trampoline parks or playing video games.

29 / Vendor Spotlight

Why Is Tenant Screening Important?

By: pendo.com One thing most landlords can agree on

Running a credit check is important for a

is the tedious task of searching for

multitude of reasons. A credit check

tenants. It’s grueling, time-consuming

reveals a person’s current financial

and if you’re not a property manager,

situation and their credit history going

overwhelming. The idea of ditching

back as far as 7-10 years. Do they have

tenant screening might seem like a good a history of paying bills on time or have idea in the heat of the moment but don’t

they had accounts sent to collections?

even think about it. There’s a reason

Are they currently in debt and if so, what

tenant screening is a standard industry

kind of debt? Have they gone bankrupt

practice.

before?

Searching for reliable, trustworthy

tenants is a short-term undertaking but with long-term returns. Part of a good screening includes a credit check, criminal check, and their previous tenant history. What do these things tell you about a potential tenant?

30 / Tenant Screening Tips & Tricks

This kind of information can give you

Have you contacted their previous

good insight into the type of tenant a

landlords yet? Then it’s time to pick up

person can be. If their debt is

the phone and start calling. This is an

connected to a student loan rather than important step in figuring out whether a credit card, it may be easier to

they’re in the habit of paying their rent

overlook or forgive. If they have fully

on time. Be forgiving, though — we’re

maxed credit cards, this person may

all human and if they’ve paid their rent

have problems paying rent on time.

late once or twice, know that no one is perfect. It’s important to specify when

Another important element of a background check is looking into their criminal history. A person with a criminal history could put you or your

asking previous landlords if they have a history of late payments. Also, do they still owe money to them?

neighbors at risk. Not all criminal

This is also the time to uncover any

convictions carry the same weight,

previous evictions!

though. Anything in their youth or minor traffic violations may not be dealbreakers but it’s important to see if there’s a pattern to their behavior. Any serious or lengthy records could be a red flag you shouldn’t ignore. Not only is there a possibility of putting you,

other tenants, and neighbors at risk, you put your property at risk, too. No one wants to field calls from angry neighbors or periodically check your property to uncover serious damage.

When you conduct a thorough tenant screening, you’re taking time early on in your tenant-landlord relationship to uncover what kind of person they are.

By discovering their trustworthiness from the start, you can eliminate stress and headaches later on. Good tenants

are likely to stay longer when treated well, and keep your investment (i.e. home) in good condition when they do decide to leave.

31 / Tenant Screening Tips & Tricks

What’s Happening Near You? The Statewide Events and Meetings calendar is a resource for local landlords and property owners to meet up, network and grow your real estate opportunities.

Get Involved, Stay Informed.

November 2022 Sun

Mon

Tue

Wed

Thu

Fri

Sat

1

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5 Premier Real Estate Investment Group

6

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CTPOA

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CTREIA

CTREIA GAR

CTPOA

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Events & Meetings & Networking

Premier Real Connecticut Estate Investment Property Owners Group Alliance a (CTPOA)

Connecticut R Estate Invest Associatio (CTREIA)

Next Meeting: Nov. 5th

Next Meeting: Nov. 9th

Next Meeting: Nov. 1

Time: 11:00 AM - 2:00 PM

Time: 1 PM EST

Time: 5:45 PM - 9:00

Where: Testa’s Ballroom 26 S Center St. Southington, CT. 06489

Where: Zoom Link

Where: Sheraton Roc 100 Capital Blvd.

Rocky Hill, CT. 06067

Contact: 800-369-6153

About: Presentation by John Contact: 860-265-441 Fisher, Fair Housing About: Think real estate is Coordinator, Author and 50 About: Create Massiv a man's game? NOPE! 64 Year Landlord Cash Flow and Wealth percent of all real estate Serving Property Own • Occupancy Limits pros are women. Come to Affected by Covid, Infl • Section 8 / Fair Market this unique WOMEN'S and Distress Rents ONLY event and join us for At this meeting, you w • Tenant Screening and a Saturday afternoon of learn how to serve se Discrimination fun, networking and with a quick exit, cash • Applicants with Criminal inspiration! them out to move on, Records Now Protected Sorry fellas, ladies only! leveraging

by Law little known debt sourc • Marijuana & Smoke-Free Register here! that require zero cred Environments capital of your own.

Contact: 860-265-4414

Register here!

Register here!

Real Connecticut Real tors Estate Investors n Association (CTREIA)

Greenwich Association of Realtors (GAR)

Connecticut Property Owners Alliance (CTPOA)

14th

Next Meeting: Nov. 15th

Next Meeting: Nov. 15th

Next Meeting: Nov. 16th

PM

Time: 5:45 PM - 9:00 PM

Time: 2:00 PM - 4:00 PM

Time: 6:30 PM EST

cky Hill Where: Keller Williams Where: JANGEORGe 2777 Summer, St. Suite 700 Interiors & Furniture 7 Stamford, CT. 06905 34 E Putnam Ave Greenwich, CT. 06830 14 Contact: 860-265-4414

ve h by ners lation,

will ellers hing by

ces it or

About: Create Massive Cash Flow and Wealth by Serving Property Owners Affected by Covid, Inflation, and Distress

At this meeting, you will learn how to serve sellers with a quick exit, cashing them out to move on, by leveraging little known debt sources that require zero credit or capital of your own.

Register here!

Contact: 203-869-0240 About: Please join us for the second event in the GAR International Committee Pop-Up Series, which aims to highlight international businesses and business owners in our local community. Each event features speakers and discussion topics related to the global real estate and the global business landscape.

Register here!

Where: First and Last Tavern 32 Cooke St. Plainville, CT. 06062 Contact: 800-369-6153 About: Join us for an evening with fellow Bristol real estate professionals: •

Review the state of the housing market

•

Prep for the upcoming legislation session

•

Dinner and discussion with Mayor Jeff Caggiano

Register here!

Support the CTPOA Vendors!

Name

Contact

Service

BestWay Mortgage, Brandon Parenti

Phone: (203) 441-4059

Mortgages & Loans

Website: Click here!

(Professional Services)

Pro Property Management

Phone: (203) 909-6333

Property Management Services

Website: Click here!

(Professional Services) The Law Office of Yona Gregory

Phone: (860) 443-9662

Attorney / Evictions

Website: Click here!

(Professional Services)

The Brodrick Law Firm

Phone: (203) 758-8822

Attorney / R.E. Closings

Website: Click here!

(Professional Services)

Phone: (888) 610-4710

Tenant Screening

Website: Click here!

(Professional Services)

Tammy Enquist Canfield: Comparion Insurance Agency

Phone: (203) 695-3893

Insurance

Website: Click here!

(Professional Services)

ServiceMaster Restore

by Recovery Solution

Phone: (860) 735-4704

Restoration

Website: Click here!

(Maintenance & Tradesmen)

Rentdrop

Email: support@rentdrop.io

Rent Collection

TenantTracks

Website: Click here!

(Professional Services)

Premier Real Estate Investment Group

Phone: (860) 335-0681

Cesar L. Sousa, Real Estate Attorney

Phone: (203) 583-8299

Real Estate Multi-Family

(Professional Services)

Website: Click here!

Attorney / Personal Injury (Professional Services)

PosiGen

Phone: (866) 767-4436 Website: Click here!

Solar Panels/Green Energy (Maintenance & Tradesmen)

Pet Screening

Website: Click here!

Tenant Screening (Professional Services)

Nick Minicucci: New England Residential Finance, LLC

Phone: (203) 509-2717

Mortgages & Loans

Website: Click here!

(Professional Services)

Landlord Collection Agency

Phone: (800) 369-6153

Collection Agency

Website: Click here!

(Professional Services)

Junk Bear

Phone: (860) 378-2801

Rubbish & Hauling

Website: Click here!

(Maintenance & Tradesmen)

First World Mortgage: Jesus A. Carrero

Phone: (203) 715-0961

Mortgages & Loans

Website: Click here!

(Professional Services)

The Miranda Team Home Inspections

Phone: (203) 490-7855

Home Inspections

Website: Click here!

(Professional Services)

P. (800)369-6153

F. (888)900-9773

E. info@ctpoa.com

www.ctpoa.com

CT Real Estate Today allows you to hit your target audience for all things real estate.

Contact us at info@ctpoa.com

ADVERTISE WITH US!

Becom

V

The Conne composed o REALTORS improve the bu

Follo

me a CTPOA Member!

Visit: https://ctpoa.com/

ecticut Property Owners Alliance is of experienced property managers, S and landlords working together to usiness conditions for rental property owners.

ow CTPOA: https://www.facebook.com/CTPOA/

About Us Advocates For Property Owners The Connecticut Property Owners Alliance is composed of experienced property managers, realtors and landlords working together to improve the business conditions for rental property owners. The Alliance saves its members money on essential real estate services, reviews and testifies on pending legislation & law changes and offers its members workshops and meetings on topics that impact landlords.

Why The Property Owners Alliance Was Formed The Alliance strives to ensure your success in real estate by: •

Saving you money on essential real estate services

•

Informing you of law changes impacting your business

•

Providing workshops and meetings to help you become a better educated and prosperous rental property owner.