Have you decided that it’s time to rent out your property?
That’s an excellent idea, especially in this market – where inventory is low and demand is high for well-maintained homes in good neighborhoods. If you have one to rent out, you can expect high rents, a large pool of well-qualified tenants, and a generally profitable rental experience.
It’s a good idea, but it’s also a challenging one, especially if you’ve never rented out a home before and you’re not sure what’s required of landlords today.
As professional property managers in Ormond Beach, Daytona Beach, and the surrounding areas, we’re prepared to help.
Let’s get started with these first steps.
Make Your Home Move-In Ready
First, you need to stop thinking about this property as your own home and start thinking about it as a business that’s going to earn you income.
Clear out all of your own possessions and completely clean out the home. The walls need to be painted in neutral colors, you need to ensure the floors are clean and the appliances are in good shape.
Make sure everything is functioning and clean. Perhaps that wobbly step never really bothered you while you were living in the home, but tenants are going to notice it and possibly trip on it, which is a liability risk. Check all the faucets and the doors and windows to make sure they lock. Everything has to be working before you rent the home out.
Can tenants imagine themselves moving right in? If so, your property is ready for the rental market.
Switch Your Homeowners Insurance to Landlord Insurance
Before you rent out your home, you’ll have to change your insurance policy.
If this is a home you’ve been living in yourself, you likely have a homeowner’s insurance policy in place currently. As you know, it covers the structure of the home as well as the contents.
To rent out a property and keep yourself covered, you’ll need a landlord policy. This will cover your structure and you’ll have additional liability coverage. However, the furniture, electronics, and personal possessions of your tenants will not be covered under a landlord policy. It’s a good idea to require that they have renter’s insurance. This is for their protection and yours.
Budget for Maintenance and Repairs
You’ll be earning money when you rent out your home, but you’ll also be spending money. Things are going to break in the property when you have a tenant living there, and you’ll need to have cash on hand to pay for these minor and major repairs. Consider a maintenance reserve where you’ll save a percentage of the rent you collect each month. That will provide peace of mind when something does go wrong.
Pay attention to those minor repairs and don’t put them off. When you respond quickly, you can prevent those bigger, costlier repairs that are frustrating to you and your tenants.
Consider Professional Ormond Beach Property Management
Finding a tenant, executing a lease agreement, gathering a list of preferred vendors and contractors to take care of maintenance, and protecting yourself from expensive legal mistakes can often be a full-time job. You’re probably not renting out your home in order to work more. You’re renting it out in order to let your asset grow in value and collect some rent.
A professional property manager has the systems in place and the experience to effectively lease, manage, and maintain your home. Don’t waste time making all the mistakes we’ve already made. You can access our expertise and our tools and resources, making this a better experience for you and your tenants.
Let’s talk about how best to rent out your home. Please contact us at Oceans Managing Group at (386) 255-8585, or visit www.oceanspropertymanagement.com.
