Being a landlord might sound like an easy way to earn money: buy a home, find tenants and watch the money roll in. However, being a landlord isn’t that simple. Becoming a landlord requires a great deal of time and cannot be achieved without critical thought and analysis.
There are six things prospective landlords should remember before they dive in, so, let’s go over the.
1. To be a landlord isn’t a work of 9 to 5
Landlords don’t work like they are in an office, but at any time of the day, as the need arises. While it might be fair on certain days, some can be time-consuming and stressful.
For example, when you find a neighbour with a minor plumbing leak unexpectedly, you might choose to disregard their condition, address the issue directly, or call a plumber to evaluate the concern.
2. There are also obligations for a landlord.
The duties of a landlord can be large and complex. There are many things that you are responsible for as a landlord. For example, it is your job to ensure that your property is fit for human habitation and ready for tenants. You must ensure that the property is safe and that all repairs are handled in a timely and effective manner.
It is also your responsibility to ensure that all legalities are met when it comes to your property and your tenants, such as having the property landlord’s insurance, seeing to it that the communal areas of a property (such as shared gardens or stairless if the property is a block of flats) are taken care of and that you are storing a tenant’s deposit legally.
3. You will obey clear guidelines
There are laws to be observed by landlords or property managers. These are a tenant’s right when they are living in your property lawfully. For example, just a few of the many legal guidelines you must follow are as follows:
- Deposits must be stored in a government-approved tenancy deposit scheme
- You must give reasonable notice of any rent increases (one month for a weekly, fortnightly or monthly tenancy and six months for a yearly tenancy).
- You must give the tenant reasonable notice of any visit to the property
- You must attend to emergencies or repairs in a timely and professional manner
Landlord insurance will also compensate you from any unanticipated dangers that might happen to your home.
4. A Learning Curve is necessary
When it comes to becoming a landlord, knowledge is no substitute for experience. There is a learning curve with anything in life; however, as with all things you will improve with practice and experience. Once you have been a landlord for a while, you will get a better feel for how things work, and this will help you to streamline your process.
There is a lot that goes into being a successful landlord. In addition to having the financial resources to purchase a property, you must be will to take on board the things outlined above as well as other advice in order to become a successful landlord.