So, you’ve finally achieved one of your lifelong dreams and become a landlord. Naturally, you want to quickly rent it out and start earning some income on your investment.
But wait, get to know some basic rules and guidelines to help you get maximum yield and avoid common mistakes that could affect your investment.
- Don’t be in rush to let out your property
Typically, you’ll experience some adrenaline to rush and let out to your first tenants. But you need to work out all the necessary documentations and agreements to protect your investment and interest, ad draw up your selection criteria for your prospective tenants.
- Improve the general appeal of the property
Improve the general outlook and condition of the property and make it a tempting proposition, especially if your ideal tenants are parent with young children. However, be flexible with your requirements and conditions and don’t impose unnecessary restrictions on children and pets.
- Get a landlord insurance
Sadly, most landlords are unaware there’s a specialist insurance policy that caters for rented properties. A landlord insurance policy is designed to protect the homeowner and is important for anyone renting out their property.
- Hire a trustworthy estate agent
If you get a trusted and reliable agent, he/she will take away all the tasking jobs of advertising the property in the right place, finding the right tenants and doing the initial vetting to ensure they’re suitable occupants for the property.
- Find and keep good tenants
A bad tenant can be a source of great worry ad potentially cost a landlord valuable income. But not all tenants are bad. Actually, there are good tenants that are worth keeping for the long term. They pay their rents on time and treat the property with care and respect.
If you have the good fortune of having such a tenant, cultivate a healthy relationship with them and make sure to promptly attend to all their concerns and needs. You can be guaranteed they’ll continue to pay your rent without default for years, which will save cost on finding new tenants.
- Get a proper tenancy agreement
Make sure to get a proper and customised tenancy agreement that clearly spells out all the terms, conditions and other details on payments, lease period and maintenance for information and guide for your prospective tenant and yourself as the landlord.