Whether you own a duplex, tri-plex, or large apartment complex, demonstrating pride of ownership can make a difference. Yes, curb appeal in the world of real estate investing does mean something. As the proverbial saying goes, “A picture is worth a thousand words.”

Why, because when you take pride in the appearance of rental income property you own, you show respect for the property you own. Translation: If you care for those things that show from the curb, you might also care about those things not visible from the curb. Further translation: People who drive by the property (potential renters or buyers) will want to see more—and whenever you are able to get someone to do more than merely drive by your property, it can translate into dollars for you.

Here are some suggestions; all rather basic, but a quick and easy way to demonstrate a pride of ownership that can reel in potential customers and ultimately add value to your property overnight.

1. Landscape: A well-maintained lawn and shrubs, perhaps spreading some bark dust, can make a world of difference to the curb appeal.
2. Clean: Regularly pick up trash—discarded debris or cigarette butts in flowerbeds or parking areas scream messy. Pressure washing the exterior walls, windows, walkways, decks, and parking areas can turn a drab property into a fresh vibrant one that seems to beckon new renters and buyers.
3. Fix: Repair broken gates and fences, guardrails, and gutters. When fixing, just be sure to do it right and to use quality material.
4. Paint: Freshly painted front doors and touch up paint for nicks and stains on the exterior walls give an overall impression of quality throughout.

Common sense, of course, should tell you that it does little good to attract customers with great curb appeal only to lose them once inside the units. The inside of your real estate investment property should also display pride of ownership.

Moreover, remember (for a buyer) the appearance of too many needed repairs typically gets reconciled with either a low-ball offer or no offer at all; and you lose, either way.

As good as real estate valuation software is for rental analysis, no real estate feasibility software or real estate software solution has been made that can to read the fine print inside documents connected to the property you are purchasing.

Here are 7 things that, if not understood, examined, and dealt with, can easily turn any real estate opportunity into a real estate pitfall.

1. Accrued Interest: This represents unpaid interest, either in agreement or in default. When buying real estate investment property obtain an estoppel letter from the lender that indicates the status of the mortgage and shows the outstanding principal and any unpaid interest or other charges.
2. Adverse Possession: A claim someone else might have to the property resulting from actual, hostile, notorious, exclusive, continuous, and under claim of right– locations of buildings and possible encroachments from neighbors, for example. Though the claim is difficult to impose, absentee owners who might not be aware of what is going on have had it raised.
3. Cloud on Title: This results from an unsatisfied lien or improperly executed document from a prior sale, mortgage satisfaction, or other legal action in the chain of title (or history of ownership). These items represent a cloud (or title defect) that you should remedy prior to taking title.
4. Due on Sale Clause: Lenders insert this clause into a mortgage when they want the seller to pay off the loan in the event of a sale. Unless the lender agrees to some other circumstance, as a buyer assuming the obligations of that loan, you must satisfy the lender’s requirements.
5. Grandfather Clauses: Changes in local rules and regulations cause some properties to become nonconforming but allowed as a grandfather right. Always discuss the use and zoning of a prospective property with the local planning department. If a grandfather clause affects the property under consideration, be sure you understand what the restrictions are, and, especially in the event of a fire, whether you can rebuild and use for the property for the purpose you are purchasing it.
6. Peculation: This refers to water drainage. If a property requires a septic tank or green areas to absorb rainwater, problems and unanticipated expenses could arise due to poor peculation.
7. Subordination: A provision that allows a lien to become payable ahead of one already recorded. For example, you sell a property and hold back a mortgage, and then later agree to subordinate it to another loan obtained by the buyer. In this case, you allow that new mortgage to become payable ahead of your mortgage and thus, make yourself vulnerable: Should the buyer default on the new first mortgage and the property goes into foreclosure, you might not be able to collect anything owed to you.

This is by no means a complete list; however, they do address terms that any prudent real estate investor should be acquainted with and understand. Calling attention to only the tip of the iceberg at least cautions real estate investors not to sail real estate investment waters with their eyes shut.

Any real estate investor who has purchased or sold real estate has undoubtedly heard at least one of the following terms and not understood what it meant. It happens.

As part of the ongoing investing tips our real estate investment software blog offers to real estate investors, we offer a brief summary.

1. Annual Cap: This sets the annual or even a maximum cap under which the rate of adjustable rate mortgages can adjust upward.
2. Blanket Mortgage: This signifies a mortgage that covers more than one property resulting when a real estate investor borrows against a new acquisition and the lender wants to lower the loan-to-ratio and insists on other property added as security.
3. Graduated Payment Mortgage (GPM): This mortgage provides payments that start lower and graduate upward over the term of the loan. Real estate investors should understand, however, that this method generally causes the mortgage amount to grow over time because unpaid interest adds to the principal due until the payment is high enough to reverse the trend.
4. Installment Sale: This is when a seller holds a purchase money mortgage. Often used by a seller facing a large tax on a gain because the IRS allows the seller to spread the gain over the principal amount received by the seller annually, and not in one lump sum at the point of sale.
5. Kicker: Something a party to a contract wants above the terms offered. Lenders may want a percent of income over and above a certain payment; sellers may want to remain on the property for a time rent-free; and so on.

Note: Be sure to check out our real estate investor software before you make any decision to purchase or sell rental income property. Our real estate software enables you to do cash flow, rates of return, and profitability analysis on rental income property in minutes.