Just as anything else, figuring out the proper way to lease your property out to tenants can be a huge learning experience that takes time. You will lose money and make mistakes at times, but you will also learn from those mistakes so that it won't happen again. Here are a few tips we've come up with to get you started:
If You're Going to Do it, Do it Right
Do not make the mistake of going into this without a plan. Making the rules as you go will only get you in a world of chaos. Do your research, make the rules and write them down. Not only for your tenants, but for yourself. Leasing out your property is having your own little business. Therefore, invest time in it weekly, have a separate Google number for business calls, be knowledgable, and overall, just be organized.
Always Charge Late Fees
You don't have to have an uninviting spirit to lay down some ground rules. Your time and hard work is valuable and should be treated as such. Always put you first. Just be sure to make it extremely clear to tenants about your policies so they aren't overwhelmed and surprised when the rules come into play.
Know When to Outsource
Many minor damages can be easily fixed by doing a simple Google or Youtube search. Although this is true, many damages cannot be fixed this easily. In order to save yourself time and stress, always have some cushion saved in your account for those times you need to hire someone out. Most of the time it's much more painless than trying to do it yourself. The money will come back.
Don't Lease to Family or Friends
This is the biggest mistake most people make in the beginning. Business and pleasure have a way of making things messy. You will more than likely either lose a relationship or live with the stress of things not going the way you planned. People can get too comfortable in situations like these and take advantage. Don't let it happen to you.
You Get Out What You Put In
This means, in order to get quality tenants, you must provide a quality product. This not only means providing a home that is up to par or better than the rest on the block, but also goes into the service you're providing. Always remain professional, organized and prompt.
For more information on the home buying process, call one of our experts today!