Being a landlord comes with both excitement and challenges, especially if you are a first timer. Finding the right tenants, coming up with rental agreements and staying on top of ever-changing legislation is no walk in the park. Therefore, you need to know how to go about everything related to your rental property.
In this article, we discuss some property management tips that will help you as a landlord get returns that meet your expectations without the stress.
Your rental property is a business and therefore, should be treated with all the professionalism required of a business. This involves handling your tenants professionally, keeping thorough records of rental income and expenditure on the property, and scrutinizing those who want to rent your property. It is important to follow up on reference checks for prospective tenants, including calling their place of work to confirm their current employment status & income, also making a call to the landlord or property manager of their current & last rental properties which may indicate how an applicant occupy your property. This will help you iron out any tenant who may cause trouble and stress.
Several factors influence rental price, with location being the most influential. This is why you should research and compare rental properties with similar characteristics to your own in your local area when determining a price. Setting a fair price will mean your property will likely be occupied more quickly, reducing the vacancy period. It is important to calculate your property expenses such as yearly council rates, water rates, insurances, property management fees and property repairs. Remember, your rental property is a business and as such you need to know how much money is going in and coming out.
Every state has laws that govern landlords and tenants. These laws are diverse and include areas such as dispute resolution, tenancy information, notices, contracts, tenancy requirements and support laws. As a landlord, you must understand these laws and follow them. This will help you handle your tenants properly without violating their rights and being persecuted as a landlord.
Being a landlord is time consuming and can be stressful, and that’s why you should consider hiring a property manager. This is more so if you have other engagements that are more demanding and time-consuming. A good and honest property manager will come in handy for rent collection and handling tenant issues, but most importantly, when something doesn’t go to plan, a property manager knows exactly where you stand and will have your back from a contractual point of view. A good property manger will give you peace of mind knowing your property is being maintained & looked after professionally.
Be smart with your investment, invest the necessary time or outsource to a property manager to avoid stress and tenancy disasters. Remember, your rental property is as a business, set a fair price and adjust as necessary with the market. This will ensure your property is rented more often than not and thus generating income. Also, consider doing a course which will teach you about residential legislation, this is essential if self-managing. The above tips will ensure that you will be at peace, and your property will be managed without sacrificing too much of your time and money, all while keeping your tenants happy and co-operative.