After years of contemplation, you've decided to take the plunge and buy your first rental property in Melville, NY. Congratulations! You're on the fast track toward steady pay, tax payments, and investment portfolio diversification.
However, it's not all rainbows and butterflies. Landlords have plenty of struggles they have to overcome. Throughout the years, you'll face problem tenants, vacancies, and financial risks.
We can help you keep potential issues to a minimum. Check out this guide to learn everything you need to know before becoming a landlord.
Hire a Property Manager
Real estate investing means taking on a large number of responsibilities. You'll need to screen tenants, maintain your homes, schedule vendors, market your vacancies, and more.
It's not uncommon for new landlords to become overwhelmed by the workload. That's why many decide to hire a property manager.
A property management company can handle most of these tasks, allowing you to focus on other duties.
Refinance Your Properties
Buy properties and refinance them when you get the chance. Doing so will give you the cash to invest in other properties.
You'll be able to grow your investment portfolio by placing your eggs in several different baskets.
Keep Yourself Educated
Part of becoming a landlord involves keeping yourself educated. Research investment strategies. Stay on top of all the latest real estate news and housing market trends.
When it comes to real estate investing, cash flow is of the utmost importance. Be sure you familiarize yourself with the ins and outs of it. Taxes are something else you'll need to understand.
Again, all of this is something that a property manager can help you with. It's their job to know everything about real estate so they can keep you updated and help you maintain your properties.
Screen Every Tenant
Screen every tenant who puts in an application. Running a background check will tell you everything you need to know about their credit history, criminal activity, and past evictions.
If they've been evicted from four properties within the span of a year, it will come up in the background check.
You could also ask any potential tenant to supply references. You can learn a lot about a person's character by talking to past employers, previous landlords, and friends.
Don't Neglect Property Maintenance
The last tip we have for you is to stay on top of your property maintenance. If a tenant has to wait several months for you to fix an appliance in their home, there's a good chance they won't renew their lease.
Scheduling inspections will bring small maintenance problems to your attention before they become large ones, saving you money.
Tips All First-Time Landlords Should Know
There are a lot of issues landlords face every day. They have to work hard to maintain their properties, screen tenants, and stay current on all the latest real estate news. That's why the biggest tip we can give to you is to hire a property management company.
PMI Lighthouse is part of the fastest-growing property management franchise in the industry. We have extensive experience helping landlords like you in the Melville, NY, area. Contact us for a free rental analysis today!
