4 TIPS ON RENTING OUT YOUR HOME
SCREEN YOUR TENANT. Your tenant will either make you, or break you. You need to do your homework upfront to ensure a great tenant. You can have an agent do it or you can do it by placing ads, run a background check using rent prep or Cozy, and make sure they have stable income and no evictions. Don’t try to just use your gut or how you feel about them. This is not a hobby. This is someone will be living in your home.
SET CLEAR EXPECTATIONS WITH YOU TENANT. Clarity is power. You need to lay out clear expectations on how this business relationship will look like. You need a solid lease agreement. Let them know what an Emergency is and is not., when and how they should contact you, what the expectations are for rent, and what happens if they don’t pay. Taking time to set expectations UPFRONT will save you years of headaches and any potential unfortunate events.
HAVE A SOLID SYSTEM. Every successful business has one. How will you implement your system as a landlord? Do you know what to do when your tenant is late on their rent payment? What does this system look like? How will your tenant be paying rent? Develop a system so everything works like clockwork.
KEEP RESERVES. Things break, roofs eventually need replacement, HVAC, Water Heater needs to be replaced, plumbing needs attention, etc. Do you have money set aside to fix these items? What if your tenant decides to stop paying rent and is still using your utilities? Can you cover those costs while you evict them?
DELEGATE. Delegate the things you don’t like to do. Do you like dealing with tenants, making phone calls and scheduling repairs? If not, hire a property manager who will take that load off your back so that you can focus on the things that bring you more income. Focus on what you’re good at and delegate the rest.
If you have any more questions or need any real estate assistance, please contact us!
Sell your home for a flat fee of $1,995 and keep more profit in your pocket! 303-910-2552