1. Gas price went up again. I used to hate high gas prices, but not anymore after having properties in gas producing areas. High gas price means high occupancy, which far overweighs high gas price for me.
2. I cannot believe coal price is going over 200 dollars. The coal town suddenly changed during August. Rent shot up, or back, to be exact. A two bedroom used to rent for 1,200 dollars, and then went down to 900, and then went vacant. Now it goes back to 1,200. The town has zero vacancy, PM told me. Some contractors have to stay in the hotel for 150 dollars per day, and wait for vacancy. PM told me, she has a vacant unit, and told contractors she will clean up the unit so they would have to wait another two days, the contractors said we do not want to wait, and you do not need to clean it, we will clean it, because we want to move in today.
3. One of the most important thing to survive is to keep enough reserve fund for raining days. There have been one problem after another in B town's property for the past year. Had it not been for reserve fund, it could go into receivership. Also, reserve fund has to grow with portfolio size. Cash flow is important for daily expenses, but when big expenses come up, reserve fund is the answer.
