Around 10.6 million Americans make money off of rental properties. Do you want to become one of them?
Being a landlord isn't as easy as it looks. It's not the passive income source that most people expect! When you're first getting started, you're sure to make some rookie mistakes.
We're here to talk about a few common property management errors that new landlords make so you can avoid them. Read on to learn more.
1. Not Keeping Up With Maintenance
Maintenance is one of a landlord's most important tasks.
If you're not maintaining your rental property, you're putting yourself at a disadvantage. It will be harder for you to attract good tenants, you may have to lower your rent, and you may end up spending more money in the future when your property falls into disrepair.
People who only own one property can likely do rental property maintenance on their own, but if you're too busy, establishing a relationship with a local contractor can help.
You also want to make sure you're doing rental property repairs as quickly as possible. This will keep your tenants happy and help you avoid major repairs in the future.
2. Not Screening Your Tenants
You're excited to bring new tenants onto your rental property, but you shouldn't just accept every application. Even if you're in a hurry to fill vacancies so you can start making money, you should screen your tenants.
You don't have to go in-depth with your screening. Make sure the tenant is able to pay rent and run a quick background check. Ask if they have any pets if that matters to you and consider asking for a rental history (though keep in mind that many people are brand new to renting).
3. Not Investing in Marketing
If you're lucky, people will want to rent your property right away. In most cases, however, you'll have to put some energy into marketing.
You need to get your property in front of the eyes of potential tenants. This may require social media marketing, listing your property on popular listing sites, and more.
If you can have an expert handle the marketing side of things, you'll be better off.
4. Not Looking At the Current Rental Market
When you start marketing your rental property, you should also be checking out other comparable rentals in your area. This will tell you what the current market is like, how high you should set your rent, what amenities other properties are offering, and more.
If you want good tenants, you have to make your property competitive.
5. Doing It All Alone
If you only run one rental property, doing it alone is possible. If you run several properties or several units on one property, or if you have a day job as well, it's a challenge.
Working together with a property management company can help. They'll take over a lot of the behind-the-scenes work involved in property ownership so you don't have to.
Avoid These Common Property Management Errors
These common property management errors can stand in the way of your success as a landlord! Keep them in mind when you're getting started so you can avoid them.
Are you looking for a property management team in Nashville, TN? We want to help you! We have experience with property management software, tenant placement, and so much more.
Contact us so we can start working together today.