Hello there – welcome to another “Landlord Report”. This monthly report will share my experiences as a landlord. The report will show EVERYTHING related to my rental properties and life as a landlord.
I will discuss the rents that I collected, mortgage payments, and other ‘landlord items’. Other topics may include repairs, finding new tenants and any other items that might randomly pop up. The report will also share how much money I made and the amount of time (hours) it took. I want to show the world being a landlord is a wonderful thing.
Throughout this process I aim to be as transparent as possible. Being a landlord and owning rental property is a wonderful way to earn (mostly) passive income. Please feel free to contact me with any questions – happy to provide insight.
The Landlord Report – July 2017
This month was rather uneventful. I was one plumbing problem away from a perfect month (a month with no expenses and repairs).
The major highlight revolves around being the ‘Midnight Plumber’. Ok, the phone call came in at 10:30pm but midnight plumber sounds cooler. One of my tenants called me because the apartment’s plumbing was backed up and water was flooding into the kitchen sink.
Reluctantly but willingly, I got out of bed and drove 20 minutes to rental property #3. A few minutes with the plunger fixed the toilet.
The kitchen sink still filled up if water was running for an extended period of time. I took apart the P-trap and cleaned out debris. The problem was still not fixed. The plumbing for the kitchen sink needed to be snaked.
The next morning I gave a quick phone call to my handyman. He went over to snake the drain. Problem solved
The table below outlines all my income and expenses for the past month:
As you can see, July was a great month for my rental property portfolio. Rental property #1 and rental property #2 had perfect months. Rental property #3 took still had a great month despite the plumbing problems.
Rental Property #1
Rental Property #1 Summary
In summary, rental property #1 – earned $481.76 and I spent 20 minutes my time collecting the rent on my way home from work. My mortgage debt dropped by $787.57 from my monthly mortgage payment. When considering principal reduction, I came out ahead $1,269.33
Rental Property #2
The tenants paid their rent of $4,000 in full and on time. Rent collection required me walking downstairs to get my morning cup of coffee. There were no repairs or expenses this month, which is AWESOME! And something that happens more frequently than you might think.
Rental Property #2 Summary
In summary, rental property #2 – earned $1,591.43**. I spent maybe 10 minutes of my time depositing the checks with my smart phone. As a result, I earned $1,591.43 for 10 minutes of effort!!! July 2017 was a
great awesome PERFECT month for rental property #2. Does this income beat your day job?
My mortgage debt decreased $711.64. When factoring paying down my debt, rental property #2 made me $2,303.07.
**I also live in the house and get paid to live here. Pretty sweet right? House Hacking is awesome.
Rental Property #3
This was the first full month for rental property #3. As I previously mentioned, we had a small plumbing problem at rental property #3 this month.
The repair took an hour of my time and also a phone call to my handyman. He was kind enough to snake the drain for free since I recently referred him a lot of work.
One of the units utilities are included in their rent. This expense costs me $80.40.
In summary, rental property #3 – earned $1,735.52 and I spent only an hour of my time managing this property.
Rental Property #3’s mortgage debt also decreased $398.50. When factoring paying down my debt, I earned $2,134.02
In summary, I spent 1 hours and 30 minutes of my time maintaining my portfolio of rental properties. Rental property #3 is FINALLY up and running. And guess what? It’s kicking butt!
In July, my rental properties provided me with $3,808.71 in cash flow. There is nothing like (mostly) passive income. My mortgage debt decreased $1,897.72 last month which further increased my net worth. Factoring in repayment of debt and cash flow, my rental properties earned me $5,706.42. What else can you spend an hour and a half on and make this kind of income? Being a landlord sounds pretty good, right?