Are you new to the world of rental property? If so, you’re in for a wild ride. The rental market is constantly changing, and it can be tough to keep up with the latest trends. More importantly, there are many things that you should avoid doing if you want to gain tenants as well as keep them.
That’s why we’ve compiled a list of essential tips for new landlords in 2022. By following these tips, you can navigate through the stressful yet rewarding role of being a landlord in 2022. Keep reading to learn more!
Try Using a Property Management Company
The first tip on this list if you want to get off on a good foot as a landlord would be to try using a property management company. At first, you might think it isn’t necessary to hire a company to do things that you could do, but the truth is property management companies do a lot more and are perfect if you plan on acquiring more properties.
Not only can letting agents Northampton handle all the paperwork and legal stuff, they can also effectively collect rent from tenants who don’t want to pay. In addition, they will help maintain your property, as well as making suggestions on how to improve it.
Perform a Thorough Inspection
The next tip for new landlords is to do a thorough inspection before renting out your property. This is a mistake that many landlords make, and they are shocked to find damages that the tenants claim were already existing when they moved in. If you didn’t perform the inspection, you have no way of disputing these claims, even if you know they are false.
Instead of doing an inspection by yourself, you should inspect with the potential tenants so they can see everything for themselves. Most importantly, you will need their signature to confirm that an inspection was done and everything was recorded. Also, take photographic evidence so nothing can be disputed with “he said, she said.”
Know What You Can Deduct from Deposit
This brings us to the next tip on the list, and possibly the most important; you need to know what reasons are at your disposal to deduct from the deposit. Remember, the deposit is there if tenants fail to pay rent, disappear, or cause damage to your property and refuse to pay. The good news is that you are only liable to pay for repairs or replacements if things break due to wear and tear, but not everything.
What items are covered by fair wear and tear? This would include things like: curtains that have faded, marks in the carpet from furniture, worn down carpets, dents in the walls caused by door handles, loose doors or handles on bathroom or kitchen cabinets, faded wallpaper or paint, and so on.
Vet the Tenants Properly
One of the most important tips you will need to follow as a landlord is to vet the tenants as rigorously as possible. Remember, not all tenants will be good, and not all will respect your property. While it is true that tenants are obligated to pay for damages, that doesn’t mean you shouldn’t avoid getting bad tenants simply by not vetting them.
Check their credit history to ensure they will pay on time, find out what jobs they have, what their previous tenant history is, if any, what other landlords have to say about them, if they have used real estate agents before, etc.
Set an Appropriate Price for Rent
Finally, the last tip on this list, which should be the first thing you do, is to set an appropriate price for the rental property. This can be tricky because it all depends on the property itself and the other properties in the area. You don’t want to charge too much; otherwise, no one will move in, and you don’t want to charge too little; otherwise, you won’t make money.
It’s always a good idea to charge the average price of rent in the area based on the other properties as long as your property is up to scratch. Don’t renovate the house to the point where it is more expensive than the other houses in the area; you won’t be able to charge the average cost.
