Renting your house out is a great way to make extra money if you prefer to not be tied down by a mortgage or perhaps are waiting for the right time to buy. If you have chosen to rent your house out, then it is important that you know how to get the most for your money. 

After reading this post, you’ll have a number of options to consider when dealing with your own rental real estate. 

Thoroughly Screen Tenants

Screening tenants is the most important step for you as a landlord. It can determine your success, or failure. 

Sure, you want your property to be occupied, and you want to get your rental income, but there is the small matter of having a responsible tenant. Tenants who do not pay the rent, trash the place or skip out on month-end payments are a nightmare for any landlord, no matter how good their relationship with the property manager is.

Having a thorough screening doesn’t mean you will avoid bad tenants. It just means that once they are in your house, it will be easier to evict them and more difficult for them to do damage.

Look for Long-term Tenants 

Short-term rentals can be great for a lot of people. But if you want to get the most out of your rental property, you’ll want to attract long-term renters rather than short-term ones. The former will help you build equity and will give you the best chance at gaining income from your rental property.

Finding a long-term tenant means you have the same person paying rent every single month for the duration of the lease, which gives you a reliable income without much work. When you find a tenant that takes great care of your property, paying rent on time, and is easy to work with, it is like finding gold coins.

Get the Right Insurance

In order to have a flawless rental experience you need to secure the right kind of insurance. All insurance is not created equal. With your certain types of home insurance, it’s especially frustrating to pay high premiums for low coverage. 

Rental losses are common and costly; which coverages do you need? Start by getting a quote from a reputable provider such as AMI insurance. It’s quick, easy and free. By answering just a few simple questions, you can quickly see the best coverage for your situation. 

If you don’t have enough coverage for a significant loss, it could mean you are left with substantial debt. In fact, you could potentially owe more money than the value of your home. Fortunately, homeowners and condominium policyholders can “balance” the risk of potential losses through comprehensive insurance packages.

Allow Pets and Charge for Them

The market for renting homes to pet friendly tenants is massive, it’s also a good money maker if you’re an investor and you have the right property.

Pets bring joy to many lives. More importantly for landlords, the presence of a pet can increase a landlord’s monthly rent as much as $100 or more.

Carry out Preventive Maintenance to Lower Expenses

These days house repairs are very costly. Lots of money can be saved by taking preventive maintenance of your house.  You lower your chance of needing a repair because you are proactively addressing any issues you notice. This is the same concept for your home or rental property. If you can get in front of issues before they become expensive repairs, you can save yourself thousands of dollars each year.

That’s where having a good property manager is essential in maximising your house rents. A good property manager will deal with all the day to day tasks of the property, leaving you to concentrate on other aspects of your life. 

Conclusion

The market for a rental property is tough in the best of times, and these are not the best of times, unfortunately. Since the end of 2008, the market has been trending upward but has not yet recovered to previous highs. That doesn’t necessarily mean that you should give up on your dream of earning extra cash from a rental property, though.

There are numerous ways to capitalize on this increasingly attractive market given the rapidly growing population in many parts of the world. The five techniques mentioned above will help you to earn extra cash from renting houses.