subject: Advice On Renting Out Your Home [print this page] Renting out a property is something that can bring an individual a stable income every month, which makes it a very appealing option to those who are looking for sound investments. While this might seem like an appealing option, it is important for individuals to maintain and manage their rentals efficiently, otherwise they might turn out to be riskier investments than they would like.
Choosing The Right Tenant
A great tenant not only has the potential to increase the value of a property by taking good care of it and informing landlords of problems that arise throughout their lease in a timely manner, but they will also be more likely to pay their rental every month and stick to the rules and regulation set out by the building management. Choosing the wrong tenant could be disastrous; not only are they a risk to the property itself, but they could end up costing owners a lot of money by skipping out on payments or breaking the rules outlined by the lease agreement. It is better to take the time to pick a great tenant than to pay the price after choosing the wrong person; conducting interviews, checking up on references and conducting background checks will all go a long way to helping a landlord pick the right person to fill the position of tenant.
Conducting Regular Inspections
Most landlords assume that once the lease has been signed, they won't see the property again until the tenant moves out, but this could actually be detrimental to the health of their investment. Scheduling timely inspections will ensure that landlords pick up on problems within the building, such as structural or property damage, and generally get a feel for how the tenant is treating the property. Be sure to contact the tenant beforehand, since they are usually allowed to have a certain amount of notice before a landlord's inspection.
Keeping Up With The Maintenance
A building that is falling to ruin can be very costly to fix, and so it's cheaper to resolve any problems with the maintenance as soon as they arise, rather than wait until a fortune has to be invested into the building before it is in a condition to rent it out. Remember, since this is an investment, the more money you put into it, the more you'll get out of it in the coming years, so be sure to set aside a certain amount of the rent for this purpose.
Renovate Where It Matters
Certain renovations will allow landlords to get a lot more out of their rentals than others, and this includes modernizing the bathroom and kitchen, which is where prospective tenants will go first during an inspection, to installing tiles or wooden floors and taking out the carpets, since these will only become damaged over time and can be costly to replace. Focus on areas that tenants find value in; that way, you can raise the rental amount and end up making more on your investment than you initially thought.
