A Guide to Property Management
If you are, or are thinking of becoming, a property landlord, (not to be confused with a community association manager – see this Florida cam license online course for more info) there is much to consider. Rental properties can offer a steady income, yet there are many responsibilities for a landlord and it is important that any would-be landlord understands what is involved with rental properties. Property management is just one responsibility you have to accept, and most rental property owners will outsource the property maintenance and management to an established local provider.
Finding the Right Tenants
This is very important, and you do need to screen applicants to ensure that they are suitable tenants, and while you can do this yourself, a company such as Rise Property Management can handle every aspect of your property, including finding suitable tenants. If you decide to manage your rental property yourself, you will need to have a lot of free time and patience, as there is much to do, and by outsourcing to an experienced property management company, they can screen potential tenants on your behalf. Finding a good tenant is half the battle when renting out property, and any established property management provider would have extensive networks to assist with sourcing suitable tenants, and some will even receive rental payments on your behalf and forward them into your bank account.
Regular Property Inspections
Ideally, the property should be thoroughly inspected every 6 months, which is something a property management company would undertake on your behalf, and, of course, any issues should be addressed sooner rather than later. In the event the tenant informs you of any issues, it is your responsibility to investigate and remedy anything that requires attention, and as the tenant is paying considerable rent, he or she will expect prompt repairs in the event they are needed.
Legal Issues
Of course, as a property landlord, you have legal obligations, and your tenants do have rights, and in some cases, a property landlord might break a law they didn’t know about. It is important to understand fully the obligations you have as the owner of a rental property, and rather than having to learn about the laws, if you outsource the property management to an established provider, they will ensure that you always remain on the right side of the law. A property management company can also handle disputes with the tenant on your behalf, and if you have no working experience as a property landlord, you are advised to outsource the management to an experienced property management company.
Property Insurance
While you are not legally required to have property insurance, it is most certainly advisable, and this is something a property management company can help you with. They would have connections with all the major property insurance providers and may even be able to secure a lower premium than you, which really does help. As a property owner, it is your responsibility to try to minimise the risks, and by taking out the right property insurance, you will be covered for many eventualities.
Legal Advice
If this is your first time as a rental property owner, you should talk to an experienced property lawyer, who can make you aware of your duties and liabilities, plus they can help you to minimise taxation. There are property management companies that offer a comprehensive service that includes just about everything regarding the management and maintenance of a rental property.
Prior to purchasing real estate with a view to letting, it is important to fully be aware of both the costs and the liabilities you will face as a property owner, and only then can you make an informed decision regarding the best way forward.