Rental property income is anything but passive income, as many landlords will attest. Indeed, it is hard work that requires time and dedication, not something that all rental properties have at their disposal. There are many challenging aspects to rental property ownership that put potential landlords off even entering the market.
However, additional knowledge and the capacity to work smart takes the stress out of the process. Here are some rental property management tips that landlords might find helpful:
Hiring a property manager
By far, one of your best options is finding a company specializing in rental property management in Denver, Atlanta, Jackson, Fort Collins, etc. These companies devote themselves to managing rental properties on behalf of clients and act as a middleman between landlords and tenants. Many out-of-state property owners have no choice but to secure such services. They can choose between multinational rental giants like Pinnacle and Alliance Residential or local companies such as Queen City Property Management and Evolve Real Estate and Property Management.
Evernest is a rental property management company with an established presence in the Denver area and a stellar reputation for taking the hassle out of rental property ownership. Even local Denver landlords find it expedient to use a property management service such as this one. It leaves them free to continue their daily lives without worrying about untimely calls or payment problems from tenants.
As a rental property owner, you need to advertise when you need tenants. Finding the correct places to advertise can be challenging when you are not au fait with the market. Most people look for rental properties online, and you should list yours with a credible website. You could consider Zumper, which is active in Denver and has an Instarent process that allows potential tenants to view your property online and place a reservation on a listing at a small fee to take it off the market while they engage with its owner.
The downfall of many rental listings is failing to fill out all the information required by a listing site. Another pitfall is poor photography. For the best chances at success, get a professional photographer to take pictures of the house and its features to make it look as attractive as possible.
Repairs and maintenance
Tenants tend to be quite hard on rental properties being less inclined to take care with the structure as it does not belong to them. The results include emergency repairs to damage and a long list of maintenance tasks that need attending to. As a landlord, you need to establish a network of Denver-based contractors that can manage these jobs at short notice and on a budget, as your rental agency property insurance company may not cover everything.
As a landlord, you need to be on standby to receive calls about problems at your property and deal with them 24/7. This can become disruptive when you have other commitments to keep, such as going to work. It is even worse when you live far away and cannot drop everything and be there within a matter of a couple of hours.
When you find potential tenants, vetting them is an essential process. You can check their financial history to ensure they have a past that reflects responsible behavior. Another step is verifying a prospective tenant’s employment and salary to ensure they will afford your rental charge.
Many rental property owners also insist on references from previous landlords. They may contact them to get a clear picture of what to expect from their new tenants. Undoubtedly, this is an onerous process that many landlords hate, preferring to delegate it to a property management company.
Another task landlords are saddled with if they do not outsource their property management is rent collection. In some cases, this means chasing tenants down and getting your money, something you might not have time for. Another challenge of going it alone is that landlords develop personal relationships with renters and fall for long sob stories about unpaid or late rental payments.
If rent is not paid or a tenant continues to pay late, eviction becomes an option. However, it is a complicated legal process that few landlords have sufficient knowledge to manage alone. Property management companies know the processes and systems in Denver and can implement them with minimal fuss.