How To Avoid Common Pitfalls With Managing Rental Property
Just purchased a property and thinking about managing it yourself? Or maybe you just started a new career as a property manager. Regardless, this article will give you insight on how to avoid common pitfalls with managing rental property.
When I first got started, I had no idea what I was in for. I always heard about nightmares experienced by other property managers. Some of those nightmares included, having to evict a tenant, receiving calls for toilets at odd times and tenant property damage. However, I didn’t think I would face those same problems–boy was I wrong.
I quickly learned that I needed to educate myself and develop processes that would make management easier. With that, below are what I consider very important aspects of managing rental property and the associated pitfalls.
- Tenant Screening
- It’s important that you screen your tenants. Moreover, poor screening can result in severe property damage and loss of rents.
- Quality Vendors
- Make sure you choose quality vendors as they can save you from a lot of headaches. You should ensure they are experienced and carry all of the proper licenses and insurance.
- Deferred Maintenance
- Deferred Maintenance is the postponing of property maintenance. Often times, I find it best to stay on top of maintenance items as they occur. This practice can save you thousands of dollars further down the road.
- Tenant Rapport
- Having a good relationship with tenants is always ideal. You should strive to be fair and reasonable. Tenants should also know that the lease in place will be enforced.
- Always keep good records of your communication with tenants as you never know when you may need them.