If you’re new to the rental property management business, you
should know that there’s something of a learning curve. Not only do you need to
be able to keep your properties in line with code regulations from all levels
of government, you also need to follow some seriously strict rules when dealing
with tenants. Thankfully, there are a wealth of materials out there that
outline your obligations.
There are some things, however, that you
can’t get from simply reading the rules. You need the wisdom that comes with
experience. Here are some of the top tips we’ve found from landlords that have
been in the business for a while:
close attention to discrimination laws. Landlord
discrimination laws can be punished severely, and they can put you out of
heavily on the rental application. Make
sure it’s filled out and complete. Verify the information on the application,
and follow up with references. One of the best ways
to weed out potential problem tenants is by speaking to former landlords. Don’t
base your entire decision on what a previous landlord says, but instead look
for long-term patterns.
a credit check. A credit check tells you whether the
applicant is in the middle of major financial trouble. Don’t turn down a tenant
because of a few late payments, but if they’ve got numerous serious
delinquencies it should send up a warning signal.
tenants a written list of conduct and living rule.
Have a signed copy on file in your office. That way, there aren’t any
as crystal clear as possible. There’s nothing wrong with
being redundant when talking to a client. Make sure they understand repair
procedures, rent payment methods and dates, as well as emergency contact
your property. Nothing will convince good tenants to
leave faster than neglected repairs. Not only does the rental property need to
be habitable and in line with regulations, if you don’t keep it up it will lose
value and you will lose tenants.
the right insurance. Talk to your insurance
agent in-depth about the kind of insurance you need to carry. Make sure you’re
covered against fire, personal injury, theft, and more. Be clear with your
tenants about what is and isn’t covered by your insurance, so that they can
obtain the correct renters insurance.
landlord entry guidelines. While the specifics can
vary from one location to another, most of the time you’ll need to give your
tenants at least 24 hours’ notice before entering the rental property.
everything. Send any important written notices via
a certified carrier and require a signature. If there are incidents with the
tenant not following property rules, document the occurrences as well as any
response you made.
to late fee policies strictly. Don’t forgive late
fees, except in rare or extreme circumstances. Otherwise, tenants will begin to
see them as optional. Make sure to enforce a late fee from the first
raise the rent. Don’t gouge your tenants, but realize
that small increases each year are much more palatable for your tenants than
large rent increases every couple of years.
a professional distance. It’s easy, especially if
you only own a couple of properties, to get attached to your tenants. This
almost always ends badly, and should be avoided whenever possible.
Good luck and all the best in all your rental property management endevours. Don't hesistate to contact Urban City Rental's if you are interested in having your investment property professionally managed to avoid all the above headaches and let us do the dirty work for you!