Rental Review March/April 2024

As we work through the winter season, we are looking forward to the spring rental season! The rental climate has certainly changed in the last 6 months, and SDMHA will do its best to inform and educate all of our members to help you navigate our ever-changing industry!

Speaking of change, we want to welcome our newest board member, Steve Michael of Creston Property Management. We are looking forward to working with him and all of the board members in 2024. We also want to give a big thank you to Amy Ibis of Vantis Commercial for her years of service as she has completed her term on the board.

For those in the Sioux Falls area, there has been a change in the rental registry process. All property owners of long- and short-term housing rentals are required to obtain a permit from the City. For those that do not have a license with the SD Real Estate Commissio, some continuing education is required. Further details are on the city website.

Upcoming Educational Opportunities:

We are offering CALP – Certified Apartment Leasing Professional training. This course will be held virtually from April 10th to April 25th. In these competitive times, this training can add an edge to your Leasing performance! Register here: https://www.sdmha.com/events/calp-2024

We are happy to announce a new course, “Managing Your Rentals” that Executive Director Denise will take on the road this year! The schedule and locations of this 3 hour course (3R credits) are being determined. Thank you, Denise, for developing this worthwhile course!

Whether you are a new member or have been part of SDMHA, we need you! Our committees and volunteers are what make our organization grow and succeed. There is a place for you – check out the committees at https://www.sdmha.com/committees. We appreciate all of the volunteers that make this a great association!

Growing together!

LIVABLE SMART TIP

Tenant turnovers are a fact of life, now more than ever. But Rentprep offers some easy ways to reduce turnover, from having a strong screening process to creating positive relationships with residents. Another helpful suggestion is to determine your average tenant turnover rate and the typical cost per turnover. Budget this amount into your bottom line so turnover expenses don’t take you by surprise. Looking for more ways to save? Come save with Livable - learn how we can increase your profit margins today at www.livable.com

WELCOME

NEW

Sioux Falls CHAPTER Black Hills CHAPTER

Kurtenbach Properties

VanderRight Property Management

The Rents LLC

Wizman LLC

MEMBERS: MEMBERS WE ARE SAD TO SEE GO:

Alsen Farms

Hainesway Apartments

Howe Investment Company

Urban Nest

Rensberger Private Investments

Lightning Exteriors

Duemelands Commercials Real Estate

Collective Company

Harmony Heights

Brookings CHAPTER

TB Partnership

H&B Rentals

Maple Pass I

Coatsworth Properties

Country Inn & Suites

Envision Property Management

Stonhard

Country Bluff Apartments

229 Crossing

WE RECOMMEND THIS COURSE for leasing consultants, concierges, and career changers with hospitality, retail, or customer service experience.

Members: $365

Non-Members: $425

Earning the CALP credential, many people’s first industry credential, shows your employer that you’re committed to a career in residential property management.

YOU’LL LEARN ABOUT:

• Using technology to generate traffic

• Measuring and managing your community’s reputation

• Inspecting the leasing center, tour route, model units, and vacant apartments

• Researching the competition and building relationships with competitors

• Compiling a comprehensive community resource tool

• Creating e ective marketing plans

• Relationship sales processes and evaluating your personal sales performance

• Evaluating a prospect’s commitment level and overcoming objections

• Preparing prospects for the next steps in the rental process

• Applying fair housing law and communicating rental criteria

• Qualifying prospective residents according to rental policy

• Preparing and reviewing leases with new residents

• Move-in processes

• Responding to resident issues and maintenance requests

• Building relationships with residents and creating a sense of community

• Reporting incidents, maintaining documentation, and taking corrective action

• Maximizing revenue and operational efficiency

• Securing and processing lease renewals

• Conducting a market survey

UPCOMING EVENTS

MARCH 2024

5 - Sioux Falls City Council Candidate Forum

8 - Merit Awards Luncheon

11-15 - Property Managers Licensing

12-14 - Advocate - Washington DC

14 - Black Hills Meeting

19 - Brookings Meeting

APRIL 2024

10 - Certified Apartment Leasing Professional

10 - Great Shots Extravaganza

SAVE THE DATE

CITY COUNCIL CANDIDATES FORUM

In preparation for the Sioux Falls municipal election, to be held on April 9, 2024, we invite members to join us at the Country Club of Sioux Falls for an informative look at the candidates running for Sioux Falls City Council. At this forum, you'll get the opportunity to learn about the candidate’s backgrounds, goals and vision for serving.

City offices on the ballot include City Council At-Large , Southwest District, Northwest District, and Northeast District. The Forum is being organized by the Home Builders Association of the Sioux Empire, REALTOR® Association of the Sioux Empire and South Dakota Multi Housing Association.

Lunch: $10

Date: Wednesday, March 6

Where: Country Club of Sioux Falls

When: 11:30am - 1pm (registration - 11am)

MEMBERS: REGISTER WITH YOUR ASSOCIATION (SCAN OR CALL BELOW)

Accelerate Your Leasing

NAA Click & Lease is an online leasing tool designed to enhance compliance and accelerate the leasing process. NAA Click & Lease combines legal expertise with easy-to-use technology.

Features

We Put Ease in Leasing

Compliant Documents

Lease forms are automatically updated through an annual review process, and are reviewed for compliance with landlordtenant laws and regulations at the local, state and national levels.

PMS Integration

The multi-user platform integrates with most property management software.

Online & Paperless

Web-based software to streamline your leasing operations with E-signatures.

Simple Application

A simple, online rental application helps keep information in one place and optimizes the application process for prospective residents.

Customizable Lease Package

Add custom documents or language within documents, and configure your lease package to have the documents and information you want in your preferred order.

Litigation Defender Insurance

Triggered whenever a resident challenges a provision of the NAA Click & Lease Form.

(Contact NAA for Terms and Conditions.)

New Reporting Requirement for Business Owners

What you need to know about the rule impacting nearly every company operating in the United States.

On January 1, 2024, the FinCEN Beneficial Ownership Information (BOI) Reporting rule took effect and the agency’s filing portal went live. The BOI reporting rule will require nearly every business entity operating in the United States—including many in the rental housing industry—to register and report specific beneficial ownership information of companies like limited liability companies (LLCs).

Background and Scope

The BOI reporting rule - which covers most business entities - requires the disclosure of specific identifying information about the beneficial owners, individuals who directly or indirectly own or maintain ‘substantial control’ over a reporting company or an individual that directly or indirectly owns more than 25% of the ownership interests of the reporting company.

There are 23 categories of exemptions from the reporting requirement, including this non-exhaustive list, which may cover some rental housing operators :

• Public companies

• Tax-exempt companies within one of four specific categories, including 501(c) organizations and 501(a) companies

• Large operating companies: Any company that employs more than 20 full-time employees in the US, generates more than $5,000,000 in gross receipts or sales in the US, and has an operating presence at a physical office in the US

• Business entities engaged in private equity and venture capital activities, including investment companies, investment advisers, pooled investment vehicles, and venture capital fund advisers

• Subsidiaries of exempt entities like those listed above

Reporting Deadlines

As previously reported, FinCEN considered and implemented updated reporting deadlines, which are as follows:

• For reporting companies created or registered before January 1, 2024, the original January 1, 2025 filing deadline remains

• Reporting companies created or registered in 2024 now have 90 calendar days to file the required BOI report

• Any reporting company created or registered on or after January 1, 2025, will have 30 days to file from actual or public notice that its creation or registration is effective

FinCEN has produced this Small Entity Compliance Guide and FAQs to assist individuals and companies in their reporting and compliance activities, but entity-specific questions should be directed to your attorney.

The National Apartment Association (NAA) will continue its federal regulatory advocacy and has worked with industry partners to amplify your voice with key regulatory decisionmakers, including the Department of Treasury’s Financial Crimes Enforcement Network.

Ifyouwouldliketolearnmore,pleasecontact Joe Riter,NAA’sSeniorManager,PublicPolicy

Washers & Dryers

This was sent out by the South Dakota Department of Revenue on November 1 st, 2023 in regard to Washer & Dryer licenses.

It is time to renew all coin-operated washer/dryer licenses for the coming year. Coin-operated washer & dryer license fees are due annually.

The South Dakota Department of Revenue is excited to offer online renewal of your licenses. Online renewal may be completed now by clicking here. You can also use this link to create an EPath account or make a payment by ACH Debit, ACH Credit, or credit card.

The portal opens up for renewals on November 1st. You will need your EPath Username and Password that was created when the license was issued to renew your license. Recovery links are available if you have forgotten your Username or Password. Upon logging in, you will use the File and Pay your Return option on your EPath account to report the coin operated washers and dryers for all locations, and to pay the annual license fees. The 12/2023 return will be used to pay the license fees for the 2024 calendar year.

All washer/dryer license renewals must be completed before December 31, 2023. License fees that are paid late will accrue penalty and interest.

If you have any questions, please feel free to contact our office at 1-800-829-9188 option 1, or via email at SpecialT@state.sd.us.

The message above was sent out by the South Dakota Department of Revenue in regard to renewing Washer & Dryer licenses. Any machine that requires payment in any form needs a WD license with the SDDOR. https://dor.sd.gov/businesses/taxes/coin-operated-washers-dryers/

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