If you're new to property management, you may find yourself getting excited about all of the potential income you have coming your way. But before you get ahead of yourself, you first need to learn how to be a good landlord.
Working as a landlord can be challenging yet rewarding. While the work can be varied and fun, you'll also have to deal with complaints, repairs, and tenants who don't pay their rent.
But if you're not good at your work, you won't be able to attract quality tenants. Read this guide to learn how to be a good landlord.
1. Find Great Tenants
A landlord is only as good as their tenants. If you sign on loud and irresponsible tenants, you will have trouble maintaining your reputation and attracting prospective renters to your property.
Posting listings online is typically the best way to find tenants. You can use sites like apartments.com or Zillow. Also, make sure to screen your tenants properly. You should run criminal background checks and credit checks on all of your tenants. Additionally, prospective tenants should include their income history and references in their applications.
This is the best way to learn if someone is financially responsible and won't cause problems.
2. Stay On Top of Repairs
Taking forever to make repairs can cause a huge issue with your tenants. When tenants make a repair request, they expect it to be handled promptly, usually within a few days or a week.
Consider using property management software so tenants can put in requests for repairs. It's also wise to separate repairs into non-emergency and emergency ones to help you better prioritize what needs to be done.
Additionally, it's important to stay on top of building maintenance to prevent repairs from piling up.
3. Consider Hiring a Property Management Company
Because landlords are tasked with so many responsibilities, it's often wise to hire a property management company. Property managers can help with marketing your properties, collecting rent payments, and dealing with tenant complaints.
A solid property management company can also help you manage multiple properties if you feel overwhelmed by your responsibilities. Knowing your business is being maintained professionally can give you peace of mind.
If you choose to hire a property manager, make sure to take your time vetting candidates. Generally speaking, hiring a property management company is easier than a single property manager, as companies are easier to vet.
4. Know the Laws
The last thing you want is to get into a legal dispute with one of your tenants. Before advertising your property, it's very important to understand the laws.
Make sure you have a written rental agreement, as this will help you legally protect yourself in the event of a dispute. The agreement should include specifics, such as the lease length, pet policies, early termination policies, and rental payment policies.
How to Be a Good Landlord: Time to Get Started
Now that you know how to be a good landlord, it's time to get started. Working as a landlord can be very fulfilling, and the better you are at it, the more likely you are to earn income from your properties.
If you're considering hiring a property management company, click here to learn about the benefits.
