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 and allow you to buy back your time faster. Please feel free to contact me with any questions – happy to provide insight.
The Landlord Report – September 2017
This month had two minor items to mention.
The first was a small repair or rather an odd occurrence at rental property #3.
The second, was a house keeping item at rental property #1.
September in general was an uneventful month and only a few hundred dollars shy of a marked another perfect month (a month with no expenses or repairs) for my rental portfolio.
Full disclosure – October (next month) will be juicy. A sneak peak – vacancies, leaky faucets and raccoon invasions!
Digressing back to September…
The table below outlines all my income and expenses for the past month month:
As you can see, September was another great month for my rental property portfolio. Rental property #2 had a perfect month. Being a landlord is great. Rental property #1 and rental property #3 had minor expenses (see below for details).
Rental Property #1
Rental Property #1 Summary
In summary, rental property #1 – earned $81.76 and I spent 15 minutes of my time collecting the rent. This is $300 less than the previous month since I had to pay $300 for some significant landscaping.
The current tenants have not been the most active in maintaining the back yard. Weeds, trees and other vegetation were starting to take over the backyard.
The backyard actually looked more like a jungle. Unfortunately, I did not take a picture before the guys cleaned the place up. Total time spent for the backyard took about 15 minutes worth of phone calls.
My mortgage debt dropped by $734.79 from my monthly mortgage payment. When considering principal reduction, I came out ahead $816.55; not bad for 30 minutes of time.
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 may think. Damn, it feels good to be a landlord.
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!!! September 2017 was a
great awesome PERFECT month for rental property #2. Does this income beat your day job?
My mortgage debt decreased $716.29. When factoring paying down my debt, rental property #2 made me $2,307.72.
**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 third full month for rental property #3. The utilities were $280.21 this month, which was about the same as last month. This includes water and gas for the entire building along with electricity for one of the units.
One of the tenants accidentally locked themselves’ out of the kids bedroom. This resulted in about an hour of my time and $8.97 for a new doorknob.
Also, I had to drill through the existing lock, stop by Home Depot and install a new doorknob. Fun fact, I installed a doorknob that does not lock. This will not be an issue moving forward.
In summary, rental property #3 – earned $1,526.74 and I spent only an hour of my time managing this property.
Rental Property #3’s mortgage debt also decreased $402.23. When factoring paying down my debt, I earned $1,928.97
In summary, I spent about 2 hours of my time maintaining my portfolio of rental properties.
The landscaping expense at rental property #1 was mildly annoying but manageable and worth the expense.
The minor repair expense at rental property #3 was less than $10.
Overall, I was very happy with my rental portfolio
In September, my rental properties provided me with $3,199.93 in cash flow. There is nothing like (mostly) passive income.
My mortgage debt decreased $1,853.31 last month which further increased my net worth.
Factoring in repayment of debt and cash flow, my rental properties earned me $5,053.24.
What else can you do for 2 hours and make this kind of income? Being a landlord and owning rental properties sounds pretty good, right?