If you bought a home or condo at some point and are now thinking of renting it out, the passive income from real estate is highly beneficial. However, it’s important to think about different aspects of renting your place before you decide to do so and sign a lease with any tenant. Here are some things to think about:
Think about making it pet-friendly
In this day and age, many people are now proud pet parents, which means that there are more people than ever looking for pet-friendly apartments or homes where they can live happily with their pets. However, if you’re going to make your home pet-friendly for tenants, you’ll want to have some things in place.
From asking for a pet deposit to restricting breeds that are known for destroying homes and spaces, there are things that you can do to make sure the pet who lives in your home won’t damage it—or if they do, you’ll be able to make necessary repairs if needed with the pet deposit. \
Always have tenants sign a lease
Say, for example, a friend of a friend may seem like a potentially great tenant, and it can be tempting to leave out the lease signing process. However, this could mean trouble. As honest or as reliable as they may appear, you never know what could end up happening in your space, and it’s best for everyone for a lease to be signed so that you can avoid risks with your rental property.
In a competitive market, it may be tempting to overprice your space, especially if the average asking price is already high. However, if you’re asking for too much for what your space has to offer, that may not be the best idea.
You’ll end up losing out to competition that offers better amenities or space at a fairer price. Price fairly so that you make the money you deserve and don’t lose potential tenants because you’re asking for too much.
Work with a property manager
If you’re too busy, it may be a challenge for you to screen tenants and collect rent on a monthly basis. You may find it hard to keep up with any potential repairs or provide tenants with the support they may need. If this is the case, consider how beneficial it could be to work with a property manager who could help you take care of the ins and outs of renting your space so you can focus on other things.
Just as much as a tenant’s reputation matters for them, so too does your reputation as a landlord matter. If you’re hoping to continue renting your place for years to come, be a good landlord. While you’ll want to always keep things professional in communication and treatment, make sure that you’re attentive and helpful should your tenants need help with repairs or have any other issues. It will pay off.
Many people buy real estate to rent it out or flip for extra income. If you’re someone who is tossing around the idea of renting out your home or condo during a busy real estate market as your city starts booming, you could end up making a lot of money. However, be cautious with the process, so you can be sure to protect your assets and avoid any problems with disruptive tenants.
Screen potential tenants, and always be sure to have a lease with your renters. This way, you can protect your home while making sure you’re renting to people who will treat your space the way you want it to be treated.