Renting your real estate property may appear to be an easy means of increasing your passive income. However, you may find it more complicated than you thought. Your real estate property may sit on the market for several months without rental applicants if you have priced it above the market rent. Also, bad tenants may even refuse to pay rent, cause a lot of damage to your property, and may resist attempts to evict them.
Is there a way to avoid these difficulties associated with renting your house? The following are some of the things you need to do when renting out your property to reduce the stress and risk of being a new landlord.
Take Photographs of Your Property
You need the photographs of your house for various reasons. For instance, you need them for online advertising. Potential tenants often ignore favorable rental listings that do not have pictures. This is because potential tenants do not want to wait for a property tour to find out that the house does not have the design or layout that suits them.
The photographs can also be helpful when the future tenants are vacating your property. They can be used to determine the property damage caused during the rental period.
Assess Fair Market Rent
Although it is tempting to charge high rent to get a return on your investment, the appropriate thing is to carry out market research. In this case, you should check with the newspapers, rental websites, realtors, local landlords, and property management companies. You should check the rental rates for properties of similar size, location, and the condition of the house.
Create Effective Rental Application
You need an effective rental application that cannot intimidate potential tenants. Instead, it ought to be comprehensive enough for use in tenant screening. If you need extra information from the tenant, it can be included in the lease documents. A proper application should have spaces for items such as name, social security number, date of birth, contact details, and tenant signature.
Hire a Property Manager
Usually, property managers charge a given percentage of the rent collected. In exchange, they take care of various things like looking for new tenants, collecting rent, carrying evictions, and signing leases. You should be careful as this will reduce your profit.
Find Good Tenants
Nowadays, it is not easier to find decent tenants. You may find applicants who are polite and friendly but may create serious problems in the future. Thus, you should carry out background checks on potential tenants.…