Being a landlord is more than just finding and securing excellent properties, then collecting rent payments. There are several essential factors to take into account to make money and keep good renters longer, including understanding your tenant's needs, setting up and managing your property correctly, and creating a solid business strategy. Some tasks can be quickly done on your own, while others might require the help of the best property management Jacksonville has to offer.
This comprehensive guide will outline everything you need to know to become a successful rental property owner. Read on to learn about different aspects of real estate, set yourself up for success, and maximize your investment.
What Does It Take To Be a Great Landlord?
A great landlord can identify potential issues with a property and take appropriate action before losing good renters or income—such as hiring a property management company or conducting repairs quickly. However, they must also be able to keep up with changing trends in the market, make informed decisions about what properties to invest in, and be aware of renters' needs.
What do property owners need to know to get started on the path of being an excellent landlord? We’ve outlined a few things below.
Focus Heavily on Your Education
Education is crucial to being a good landlord. You will need to understand the laws and regulations governing the rental industry and your business strategies. Many resources help you learn about the Jacksonville area and some property owner basics, including books, online courses, and seminars.
Learn How to Create (and Enforce) a Good Lease Agreement
Learning to draft a rental lease agreement is essential for being a successful property owner. In a good lease, tenants should fully comprehend the terms and conditions outlined by the property owner. With a strong rental contract, property owners are more likely to enjoy a smooth tenancy since a renter will be fully aware of their rights and obligations, such as monthly rent payment, house rules, security deposit, move-in date, and other rules in the contract.
While you can find a free lease agreement online, we always recommend customizing them on a case-by-case basis. Trusting a generic lease agreement to cover the ins and outs of your specific property may lead to vulnerabilities and income loss.
Screen Tenants Properly
Screen potential tenants carefully and review their rental history, credit score, and references. Do not rent to them if you cannot verify a tenant's qualifications. It can be challenging to find quality tenants, but you can avoid evictions and revenue loss down the road by taking the time to screen all applicants properly.
Learn About Marketing and Advertising
Marketing and advertising can be essential tools for landlords. You can find tons of marketing ideas online and use these strategies to attract prospective tenants, increase rental rates, and build your brand. In addition, the right Jacksonville property managers can help you list and market properties to minimize vacancies.
Have a Make-Ready Process in Place
It is essential to have a make-ready process to get rental properties ready for new residents. This includes preparing the property for the move-in inspection and making any necessary repairs. By having a move-in checklist in place, you can also help new renters move in and feel welcomed into their new homes.
Stay Up-To-Date on Changes in Laws
Property owners must be aware of any changes in laws that could impact their rental property business. Failing to do so could lead to costly violations. There are many resources available to help you stay up-to-date on the latest changes in landlord-tenant law, including online resources and newsletters.
A property manager can help you stay updated on changes to rental property regulations, including local, state, and federal laws. As new laws are enacted, you may need to update policies and procedures to comply.
Don’t Fear Numbers
To succeed in rental real estate investing, a good landlord must be on top of their finances. Therefore, it's essential to understand all costs, market research, competitive rental rates, and formulas to evaluate returns.
The right property management company can help you manage costs, reduce expenses, and target the ideal rental rate to maximize returns. Keeping up with regular maintenance and repairs can save you money in the long run. Make sure to budget for roofing, painting, and plumbing repairs, and keep accurate records of what was done and when. Be sure also to have a cushion in your budget to cover these costs.
Partner With the Best Property Management Jacksonville Has to Offer
To maximize your rental income and be an excellent landlord, partner with a professional property management company! Spectrum Realty Services provides experienced services to help property owners serve renters well, avoid costly mistakes, and see excellent ROIs.
Learn more about what it takes to be a good rental property owner. Download our free “Expert Guide to Rental Property Management.”