Education and news for smart DIY landlords!
The world has started to return to its pre-pandemic state. Schools are opening, more companies are going back to on-site work set-up, and people accumulate in parks and malls. This is excellent news for landlords as more individuals look for places to stay.
But don't be complacent, as there's a rise in regulation and taxes for house rental businesses. To help you succeed in your rental business, here are 5 goals to consider in the next year.
Find a tenant who treats your property as their own. This is to avoid damaging your property and lowering its market value.
While there's no way for landlords to be sure that a person is going to be the perfect tenant, you can look for strategies to increase the odds. For example, consider looking at their credit score, resident score, address history, and social media profiles. Then, when you find great renters, think of ways to keep them as long as possible.
A lease is a document that lists the agreement between a tenant and a landlord. With this, reviewing the property policies is easier if your tenant ever needs clarification or misses any details.
This agreement protects the rights of both parties, so make sure to make a solid lease agreement. This should cover the rent due date, rent value, lease duration, policies on accessing your property, and the tenant's responsibilities. Don't forget to include the necessary signatures to signify the full agreement to the terms and conditions.
As a landlord, you can manage your own property. But as you grow your investments and expand your portfolio, you may be unable to do it alone. So most landlords build a team that assists with managing multiple properties.
Hire individuals who already have experience in the rental business. They should also have excellent communication skills as they're the point of contact for both tenants and landlords. Property managers should be organized and have strong references from previous landlords or renters.
Don't stop with a single rental property. It would be best to expand your business and do it as early as possible since the demand for rental properties is increasing. This means that the price of properties will continue to increase with the new year.
To grow your property portfolio, set your investment goals and create a strategy to achieve those goals. Consider buying a property that has already been rented, but it's okay if there's no such property. Just focus on the quality of the rentals rather than the number of rentals.
A great landlord should know the latest trends in the rental and house marketplace, especially now that inflation and the number of individuals seeking rent are at an all-time high. You should know what works for your business and what doesn't. More importantly, you should be prepared as challenges may emerge anytime.
Another year means another opportunity to grow and succeed. But like every other year, your rental business journey in 2023 will not always be positive. You may experience problems along the way. So start preparing by setting goals and looking for strategies to achieve them.
Read more articles below!