It's estimated that there are nearly twenty million rental properties in the United States. If you're a first-time landlord who recently bought their first investment property, you might be eager to find tenants.
However, during your first rental, it's important to take things slowly and do your research. You're inevitably going to make mistakes during your first year.
However, by following tips like the ones in this article you can minimize any damage caused by your learning. This guide will discuss how things like rental analysis, tenant screenings, and property management services can make your first property a success.
Research Local Laws
Different states have different laws surrounding landlord and tenant rights. You should make sure that you familiarize yourself with them before finding a tenant.
These laws tend to cover things like rent increases, security deposits, evictions, and lease renewals. If you live in New Bedford, Massachusetts, you can learn more about these laws through this resource here.
Get a Rental Analysis
One of the biggest problems that new landlords encounter with their first rental property is figuring out how to price it. There are a lot of factors that you need to consider, from the neighborhood to the property itself.
For this, we recommend you get a rental analysis like the kind we offer here at PMI Spruce Tree. We'll look at a variety of housing market conditions to help you decide on the perfect rental price for your specific circumstances.
Hire Tenant Screening Services
When you're a first-time landlord, it's easy to feel trusting of prospective tenants. Unfortunately, this trustworthiness can be a major liability. If a potential tenant is good at lying, they can hide poor financial records, spotty rental histories, and criminal records.
This, in turn, increases your chances of needing the dreaded eviction. One way you can avoid evictions at all costs is through the process of tenant screening.
However, these services can be expensive on their own so we recommend you work with a property management company. They can also help you learn how to attract tenants through property marketing.
There are two types of insurance you should get as a landlord. The first type is (you guessed it) landlord insurance. This type of insurance works a lot like homeowner's insurance in that it protects your property against damage from the elements and other types of perils.
However, it also provides you with liability insurance if a tenant is injured on the property or sues you. In addition to this type, you should also require your tenant to get renters insurance.
This type of insurance provides them with liability coverage and protects their belongings in the event of theft or damage.
Want to Make Renting Easy? Contact PMI Spruce Tree
We hope this guide helped you learn some essential tips for being a first-time landlord. Here at PMI Spruce Tree, we know how stressful your first New Bedford, MA rental property can be.
That's why we do everything in our power to make it easier for you. That starts with a free rental analysis and extends to any management service that you want outsourced.
Want to learn more about the specific ways we can help you? Get in touch with us today and we'll answer any questions you might have.