Rental homes can appear to be a financially rewarding opportunity. However it can also take a toll on the mind and body of the person.
The reason to rent out the home may vary from owner to owner. But there are certain things the homeowner has to take care of before advertising. To become a landlord is not as easy as it appears. It requires strict planning to ensure that you land on a profitable deal.
It would be ideal if you start with state and local regulations. Different states have different laws that specify duties and rights of landlords and tenants. Learning about the law will be beneficial in putting up the rental homes. This way you will understand who will pay for the damages, number of people you can rent etc. Before you commit any tenant to rent your home make sure you know the rules and follow them.
While determining the rent of rental homes, consider the profits. But how would you calculate your profits? Note down your expenses on the property like property taxes, mortgage payments, damage payments etc. It will help you in calculating a rough amount that you spend on your property. Compare them and set a rent that will help you cover the expenses as well as save some out of it. You also need to think if you want to collect a pet fee or refundable safety deposit.
Once you have determined the rent for the rental homes you have to work on the look. Make sure the home neat, tidy and clean. Ensure that the floors are thoroughly waxed, mopped or vacuumed. The windows have to clean. Curtains and blinds have to be changed regularly. Appliances and gadgets have to be checked for well - functioning. Try to make the home free from clutter and appear more spacious.
Think from the tenant's point of view. While looking at the rental homes the tenant will observe it from the outside. Hence if your home has a lawn, clean it immediately. Keep checking if the lawn is mowed and trimmed. If the house has any external defects make sure to fix them. Paint the entire home and offer it a new look.
You can let everybody know about your rental homes in different ways. Post free advertisements on the Internet or talk about it with your friends and co - workers. You can also advertise in local papers or get in touch with real estate agencies. In case you do not want to be disturbed, appoint an hour of the day where you would entertain people. Do not forget to mention it when you are advertising.
You will be meeting lot of people inquiring about your rental homes. But how would you know if the person will be a good tenant? Simply run a credit check on him. Ask him about his profession and monthly earnings. Also ask him if he has any landlords vouching for him. It is important that you check his background and see that he does not have criminal records. Request him to submit a photocopy of his license or any other proof.
The moment you decide on a person to be your tenant, prepare a contract. Do not forget to put all the things that were discussed between you and tenant into the contract.
