Whether you want to earn a full-time income or you’re in search of a lucrative side hustle, you should consider becoming a landlord. One thing is for sure; if you take this type of venture seriously, there’s a lot of money to be made from it!
If you to make a lucrative income from renting out properties, you should put the advice laid out below into practice. Over this course of this article, we will go through five steps to should take if you want to become a successful landlord.
Take care when scheduling your leases
Tenant traffic ebbs and flows throughout the course of the calendar year. If you take care when scheduling your leases, you could end up appealing to a wider range of prospective tenants. If you can, try to schedule your leases around June 1st, as this is generally regarded as being a convenient move-in date.
Treat it like a business
Even if being a landlord is only a side hustle to you, you should still treat this endeavor like a business. The more serious you are when it comes to this venture, the more money you will be likely to earn from it.
Here are a few things that you can to treat your landlord endeavor like it is a business:
- Never work for free
- Set aside at least 10% of your rental income to cover repairs and maintenance issues
- Put weekend plans on the back burner
- Draw up a plan for financial stability
Screen potential tenants
You don’t want to make like unnecessarily difficult for yourself, do you? No, of course, you don’t, which is why you must screen potential tenants before handing them the keys to your property. This entails checking to see if their income is at least 3x the rental amount that you are going to charge them. Also, you should run a background check to ensure that you do not end up renting to a person that is going to, quite literally, bring trouble to your door.
Keep your tenants happy
It’s cheaper to retain current tenants than it is to go out and find new ones. Keeping your current crop of tenants happy should, therefore, be one of your top priorities. The longer they stay with you, the more money you will save in the long run.
One way to keep your tenants happy is to simply charge them fair prices. To ensure that you never ask your tenants to pay rental charges that are way over the odds, you should uncover the true worth of your property using a free valuation service. Henley Charles is a letting agents Erdington based that offers this type of service expertly on their website.
Reward good behavior
If your tenants treat your property with respect, you should go out of your way to reward them for their good behavior. This will reinforce the notion that they are expected to act in a certain way, and acting in this way will benefit them.
Follow the five simple steps laid out above, and you’ll find success as a landlord in no time.
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