The idea of renting out apartments, a home or even holiday rentals is an exciting one for many. Rentals are a unique way to make money after investing in a property. To make it a success however, it’s important to not be too naive about the challenges of this role. 

For many landlords, it’s wise to have expert consultants like The Knowles Group on speed dial for anything from tenant disputes to liability cases or an insurance claim on your property. However, there’s also a lot you can do to prevent bad situations. By keeping to a few simple rules, being a landlord can be your dream job. 

Inspections Are Non-negotiable

You may feel you’re invading someone’s privacy by walking into their home while they rent from you, but you need to know how they’re treating your property while they’re there. A smart way to conduct inspections is to discuss inspection dates with occupants when they move in; just remember to get this agreement on paper. Alternatively, know that you’ll need to give tenants notice that you’ll be coming by. The guidelines for these timelines are unique to each state’s privacy rights. 

Review Contracts On a Regular Basis

You may become relaxed when everything is going well with managing your property, but that’s bound to change. One thing you can be sure will change over time is the legislation pertaining to rentals. Once a year, do the necessary research or ask experts to make sure you’re compliant and that there aren’t any loopholes in the agreements that could harm either party. Be sure to check each rental agreement you have in place and confirm that it has the current contact information of tenants. Update where necessary so you’ll never struggle to get hold of someone. 

Get It All In Writing

The quickest way you’ll get sucked into a dispute with a tenant is when you have different recollections of a discussion. Never rely on your memory or someone’s good will when it comes to renting out space. Whether you’re agreeing to a temporary arrangement, communicating the guidelines for repairs in the building or dealing with a complaint, get everything in writing and make sure all relevant parties sign the document that describes the details of the matter. Even when it comes to your tenants’ responsibilities in the building, don’t assume everyone will do their share. Make it clear what tasks they must perform without expecting you to foot the bill. 

Never Deviate From Your Tenant Screening Process

If you have a tenant screening process in place, make sure to follow your guidelines. It only takes one bad tenant to ruin the business by not paying rent or causing others to move out. Make sure to conduct criminal background checks, credit checks and take feedback from previous landlords to avoid any potential issues. 

Endnote

You have a lucrative business opportunity on your hands, but just because you won’t be in an office every day doesn’t mean that being a landlord won’t require a big chunk of your energy. These tips will simplify the process and safeguard your interests. If you have experience in this field of property management, please share some tips with others below.