It’s no secret that owning rental properties is a stressful business. Maybe you’re thinking of getting into it because you already own property you’d like to rent out. Maybe you have a solid mind for business and you believe it’s just the right step for you. Maybe you’re looking for a smart investment, and the high return on rental properties has you interested.
Regardless of the reasons, renting out property can be a highly profitable career choice, but you’ll need to be absolutely sure you have your bases covered. Read on for some crucial tips for first-time landlords.
Check on the property
This one is hopefully obvious, but you need to constantly check the state of any property you plan on renting out. At the very least, you have a legal responsibility to maintain minimum standards for living. This includes ensuring that all conditions are appropriate for safe living and that all appliances and amenities are fully functional.
These conditions should be checked with inspections, and a failure to live up to any part of this will grant tenants the ability to break their lease. This may also result in additional action.
Treat your property like a business
No matter how well you may get along with tenants on a personal level, it’s important to remember that they aren’t just friends; they’re your means of livelihood. This means that timely rent should be your highest priority since being too lenient here can cost you big in the long run. Be aggressive in pursuing late rent charges, and don’t allow anyone to be exempt from the rules.
Naturally, some people may be going through hard times, and it’s perfectly fine to work with a tenant who communicates with you if you can each establish a plan of action. Otherwise, however, you should be notifying tenants of the possibility of eviction as soon as possible, as this can be a lengthy process that could set you months behind.
Speaking of treating your property as a business, every aspect of it should be as organized as possible. Thankfully, you can get some great help with this through free property management software. This sort of software can store and organize all your data, saving significant costs in hardware and labor.
It also enables easier collaboration with your team and tenants. Your team can all log in and have access to the same documents for information and editing. Additionally, tenants can easily communicate with you about any issues as well as conveniently pay rent online.
Modern management software makes advertising your property easier than ever. With customizable information, the software can post your property on hundreds of sites, greatly increasing your potential tenant pool.
Make your property attractive
Speaking of your potential pool, you’ll need to make your property appealing to turn those lookers into renters. A strong online presence with detailed photos of your rooms and amenities is a good start. You’ll also benefit from being as straightforward as possible about your policies and from making the rental application as painless as possible. Convenience goes a long way, after all.
Showing off the benefits of your location is a smart idea as well. Tenants love being close to restaurants and other points of interest, so this could be a make-or-break factor. Make sure to point out locations that are convenient walking distance from your property.
Having flexible policies also goes a long way to impress potential tenants. For example, allowing larger pets can be a great stand out quality. Being straightforward and strict about limitations can simultaneously protect you and make your property a popular location.