What if there were tips or tricks to help make your job as a landlord easier?
Being a landlord is a lot of work, but it's a rewarding job: When you have a desirable property in a good rental market, you attract excellent tenants. When those tenants take good care of your property and pay the rent on time, the hassles of being a landlord pale in comparison to the profit you see as the return on your investment.
How do you find such tenants? How do you make sure they pay the rent on time? Here's where a few tips and tricks come in handy when managing your Concord rental property.
Price Is EVERYTHING
Finding the right tenants starts with the right price for your rental property. If your property isn't listed for the best price that fits your rental market, you'll work harder than you need to in finding the perfect tenants.
Do your research when it comes to finalizing the rental price. It doesn't matter if you already have a monthly amount in mind: market research should be your guide to setting the price for your rental property.
- Look at other rental properties in your market that are similar to yours. Use these prices as a baseline for your property.
- Research the number of rental properties similar to yours.
- Evaluate a reasonable adjustment for amenities specific to your property.
Proceed with caution when adding to your price because of a specific amenity: make sure it's something renters want enough to pay more for it.
If you price your property too high, you'll struggle to find tenants willing to pay that price; without tenants, your property sits empty, losing income. Pricing your property too low is just as detrimental.
Pre-Fab Forms Are Not Fab(ulous)
When creating your lease document, don't settle for a standardized form you can download from the internet. Pre-fabricated forms don't provide adequate protection for yourself and your property with a rental agreement.
Be sure you include standard requirements and information. However, make sure you also include specifics that apply to your property:
- Include the address, your name, and the name of the tenants.
- Detail the specific dates of the lease term.
- Make sure the guidelines and rules for your property are clearly outlined in the agreement. Your tenant shouldn't have to wonder when rent is due, if smoking is allowed, or if they can have pets.
- Clearly document penalties for violations of the agreement (including late fees).
If you need to use a template to begin, that's okay! Do your research and include details and legal wording to complete your lease agreement.
Screen Your Tenants Like Your Property Depends On It!
Even if your new potential tenants seem like the perfect fit for you on the application and in person, screen them. Failing to screen a tenant opens you and your Concord rental property up to unnecessary risk.
Every applicant should follow your pre-determined screening process:
- Apply a set list of criteria to each applicant for fairness.
- Run a credit check to evaluate employment history and any evictions.
- Check prior residences and speak with past landlords.
- Don't be afraid to ask questions. However, be cautious with the questions you ask and how you use that information.
Avoid any appearance of discrimination for race, gender, or disabilities. When you use that set of criteria you set up before screening, you're less likely to let any of those qualities influence your choice to accept or deny a tenant.
This person (or people) will live in your rental home. Do your "home" work and make sure you know who will be living in your property.
You're Not Friends
While it's critical to keep a friendly relationship with your tenants, you're not their friend.
You have a business relationship with the people who live in your rental home. You provide the property; In return, they pay you for the freedom to live in that home.
Be kind to your tenants, but remember: at the end of the month the rent is due on time, and they must follow the rules of your lease agreement.
Let the Professionals Help You Master These Tips and Tricks
It's not easy to manage all the nuances of being a successful landlord: from setting the right rental price, to making sure you keep a professional relationship with tenants, you might find it easier (and more profitable) to hire a property management company.
In the Concord, CA area, All County Heritage Property Management is the best resource you have on hand to master these landlord tricks. Start with a FREE quote and find out what we can do to help your business grow!