A lot of people are itching to get into the real estate market, whether that is working for a real estate company or becoming a landlord. Getting into a real estate may be time-consuming but can be extremely rewarding once you get the hang of the industry. Once you become a landlord, you will face a large amount of responsibilities that you may have never even thought of in the past! If this is something that interests you, look no further! We have pulled together some of the initial, topline steps of how to start being a landlord, and what you must do in order to be successful:
- Screen your tenants. This is important as it will nearly make or break the entire rental process if you do not fully screen your tenants prior to them moving in. If this is not something you are comfortable with, you can hire a real estate agent to help. If you are comfortable, screening your tenant includes running a background check. Ultimately, you want to be sure that they have a steady income and no past evictions on their record.
- Set clear expectations. From the beginning, upon move-in, you must set clear expectations with your tenants so that they know what is expected of them while they are living there. If pets are not allowed, make that clear to your tenants. Remind them of the no-smoking policy, when rent is due, and what happens if they do not pay. Also, give tenants a clear direction on how they can best contact you if needed.
- Develop a protocol. If rent is not paid on time, or if rules are broken, you must have a protocol set of what needs to happen. It is also important that you make sure that your tenants are aware of this protocol. Often, landlords will include this information in the lease contract that is signed.