The decision of renting a property may be difficult one for owners but all said and done it’s a profitable proposition. Owners not only make money with their property but also add to its value. Renting out a property is not an easy job to begin with. Before renting a house and being dubbed a landlord, there are a lot of factors one must consider. Some important tips for successfully renting out your house are given below:
- The local state rules and regulations should be reviewed carefully, since every state has its own set of laws for landlords and tenants. Some basics clauses to understand include the number of people you can rent to, who is responsible for taking care of the damages of the house, limitations on rental increase if any and so on.
- Before renting your house prepare a rental budget for getting maximum profit. The rental charges must cover up the recurring expenses of the property like the mortgage payment and property taxes as well as unusual expenses like furnace replacement, flood damage etc. Make an estimate of the expenses that will be spent on maintenance of the house. Compare these expenses with the estimated rentals and then fix the appropriate rent. Also compare the rental charge of other similar properties and make sure that the rent is equivalent to the market rate.
- Using the services of a property management company would be advantageous. They will help the landlords by providing emergency repair services, collecting rent and cleaning vacant units. Hiring a property management company will keep you from any worries regarding your rented property. The expenses of a property management company can be added to the rental budget.
- Advertise the property in the "Houses for Rent" sections of the local newspapers. This will help the homeowners to find people who are looking for a property on rent. An advertisement on the local online sales website would also be beneficial. This must include the house features and rental rate. Also reveal that from when the property will be available for rent. Along with that also give a deadline for the rental applications in order to get an appropriate tenant after reviewing the applications thoroughly.
- Once the tenant is selected prepare a rental contract, which has its basis on the state rental laws. The contract will include the tenants’ rights, the notice amount that they will have to pay the landlord when they want to leave the house and what are they required to do in case of any repairs of the property.
For more information, visit us at Lone Star Realty & Property Management Inc. We are located at 1020 W Jasper Dr, Killeen, TX 76542.