Life tends to be unpredictable. And sometimes, it can be in a bad way. You could lose your primary source of income or encounter financial difficulties. That is why it’s best to be prepared and have a source of passive income to give you more financial stability.
One popular form of passive income is renting out your property. However, property management isn’t as easy as it seems. And as a new landlord, you must have a clear idea of what you need to do before you can get that steady stream of passive income.
Understand the Responsibilities of a Landlord
Before you decide to rent out your property, you must understand that being a landlord is more than just collecting rent once a month. Unlike a typical office job, the hours aren’t set when you’re a landlord. Although the flexibility in the schedule is a plus, there’s the downside of your tenants calling you after hours.
When your tenant has an emergency regarding the property, such as water leaks and fire, you must respond and deal with the situation accordingly. And even if it’s not an emergency, you still need to fix some issues in your property. You also have the responsibility to stay on top of maintenance and keep an eye on housekeeping.
Make the Necessary Repairs
Before you can put your property up for rent in the market, you must ensure that everything is in tiptop shape. You need to make the necessary repairs, such as patching up cracks in the walls and ensuring that all the piping is good.
It’s also wise to spruce up the place to attract potential tenants. You can give the walls a fresh coat of paint and update old fixtures. And of course, don’t forget to give your property a thorough cleaning before the tenants come in.
Ensure You Meet Regulations
As a landlord, you must follow the appropriate property laws and regulations. Check with an attorney to see if you meet the landlord-tenant regulations and follow the local property rules, tax laws, and zoning ordinances. It’s also best to hire an inspector to check the structural integrity of your property, including the water and electricals.
Market Your Property
Once you’ve ensured your property is good to go, you can now put it up for rent on the market. Assess the property and determine a reasonable rent. Create an engaging description of your property in the listing and include photos to help attract tenants. And make use of property websites and physical advertisements to get the word around.
Screen Tenants
As a landlord, you’d want to be careful of who you rent out your property to. You want to prevent renting your property to individuals who might conduct illegal activities on your property. This is why it’s crucial to screen your tenants.
Make sure you can trust your tenants to abide by the rules and take care of your property while living in it. It’s also important to ensure your tenants can pay the rent on time. Conduct a background check, ask for references, and check their credit history to determine whether you should proceed with the contract.
Conclusion
Renting your property out is a good way to receive a steady stream of passive income. However, there’s more to property management than meets the eye. Before you get into it, you must understand the responsibilities of being a landlord. You should also prepare your home, making sure everything is fixed and meets the appropriate regulations. And when your property is good to go, make sure to market it properly and screen the tenants.
For more help with property management in Ocoee, FL and other areas in Central Florida, you can count on Orlando REO Professionals. Our wealth management team has the staff and the systems in place to care for your property the way you would expect and as if it were our own. Call us today to know more!