Are you considering becoming a landlord? Here are five things you should consider before jumping into the investment-property world.
Follow the rules – Being a landlord can be a legal headache. There are numerous federal Fair Housing Laws, local and state housing laws as well as health and safety codes you must abide by. And if it ever comes to pass—and let’s hope it it never does—there are laws that apply to evicting tenants.
On call 24/7 – A landlord’s responsibilities never fits neatly between 9 a.m. and 5 p.m. Tenants can experience all kinds of emergencies—everything from leaky pipes to power outages to broken toilets and appliances—and they’ll call YOU to fix them. Immediately!
Who will live there? – One of the most strategic jobs a landlord must face is finding qualified tenants. Owners may advertise on Craigslist or employ a local apartment hunter or real-estate agent. Friends and family also get the word out and advertise your property for free. Depending on how far the property is from where you live and how busy you are, you might also consider a property manager or management company. The management companies do charge a fee based on their level or service-either just screening applicants to actually overseeing the full time management of the property and forwarding you the difference monthly.
Gotta tool belt? – If yes, then great! You’re one step ahead of the game. If being handy isn’t exactly your strong suit, you’ll have to hire someone to fix things when they break and those costs can add up.
The other stuff – There comes a time you just won’t be able to repair or do no matter how handy you are. Air conditioner goes out in the middle of summer? Call the A/C repair guy. Cockroaches decide your property is an excellent new home? Get that exterminator on speed dial.
Tripp Jones Real Estate for Santa Clarita and San Fernando Valleys, Call 661-733-4555 or 818-527-6292