If you’re ready to move into a new place, you are likely facing a big decision: should you sell or rent your old home? It’s popular nowadays for homeowners to maintain a second property, leasing it out in hopes of earning some extra income. While the additional money sounds good, it’s important to understand the responsibility that comes with it. Be sure to understand the following things before becoming a landlord.
- Screen Potential Tenants
It’s not just about finding clients with money. You want to locate people who are likely to keep the place in good condition, respecting your home and you. Have a background check run on anyone before handing over the keys. This report should detail income information as well as personal information such as arrests. Use it to gauge whether the tenant can afford the home and is likely to treat it well.
- Find a Management Company
One property is work. Two is a new ballgame. As a landlord, you could receive calls at any time notifying you of broken appliances or household issues. To avoid being swept into constant calls, look for a management company that assists homeowners with various needs.
The experts are likely to understand real estate insurance accounting Casselberry FL, so you can have someone keep tax records, collect funds and deal with home projects for you.
- Be Open to Updates
Renters are looking at lots of property, and they want something that looks good and costs the right price. You may not want to sink money into fixing or updating, but a few upgrades could gain you more in lease and strike more interest with prospective renters.
Having a bit of extra cash is nice, but remember that it comes with additional responsibility and work. Try to network with a management group to minimize the stress and work, and check tenants out before moving in.