Becoming A Landlord
What You Should Know
As an Airdrie REALTOR ® and a landlord myself, I can tell you being a landlord isn’t always a walk in the park. You’re always on call, your tenants and the home are your complete responsibility. However, if you’re well prepared for becoming a landlord it will be a rewarding and positive experience! Purchasing an investment property is an activity that I encourage, as Mark Twain said:
Let’s dive into the 6 major factors that I have learned in my experience to not just becoming a landlord, but also to be successful at it!
As the owner of the home, you will need to care for all the yard work, the plumbing, any mishaps, etc. When your tenants are locked out, you will need to head over and let them in. Living in close proximity to your rental property will ease a lot of these nuisances. You’ll be able to whip over and complete whatever it is your tenant needs. It’s also possible to hire a property manager to care for the property if you’re not able to be on call. Living close to the property also means that you can check on it from time to time to ensure everything is in order.
Know The Law
It’s incredibly important to know tenant-landlord laws. From provincial security deposit laws to federal anti-discriminatory laws, you should know them all. As a landlord, you need to know how much notice is needed for tenants to move out, for you to show the property, etc. These laws are great general knowledge, and they’re quite straight forward. If you have questions please contact me so I can advise you!
Enforce Rent To be Paid On Time
This seems an obvious step, but it’s important not to get too friendly with your tenants. If you do, you might just let a late payment slide which can turn into another, and then before you know it you’re a full month’s rent behind. Being too friendly isn’t a great idea, but you should still have a solid relationship with your tenant built on respect. You are trusting someone to live in your property, therefore you should trust them to get the rent paid on time. The next tip ties into this one…
Screen Potential Tenants
When choosing someone to become your tenant, you MUST choose someone you are comfortable with. It’s standard for a potential tenant to apply for the property by answering personal questions. These questions will ask about the applicant’s employment, yearly salary, pets, relationship status etc. It’s also common to perform a background or credit check. When showing the property, ask the potential tenant questions and get to know them a little bit. You will feel much better about a stranger moving into your property if you can have a pleasant conversation with them.
Customize Your Lease
Your lease should be customized to fit your unique requirements. These requirements will include details such as if you allow pets and how many. Other aspects include details on the utilities, for example if the tenant will have to pay any of them separately. A common utility for the tenant to pay in Airdrie is electricity. Another example of something to specify is repairs. If a window breaks, what is the process of getting it fixed? As a landlord it’s important to ensure your tenant knows all the details of living there, so customize the lease with everything you think is relevant.
Inspect The Property Regularly
A huge part of being a landlord is trusting your tenants. However, this doesn’t mean you can’t inspect the property from time to time. It can be daunting having someone else live in your property – especially in the first few months. Do a drive-by to make yourself feel better. Remember though that you can’t just show up unannounced and waltz into someone else’s home. Because yes, your property is now someone’s home – remember that!
There you have it, 6 tips to becoming a successful landlord! As your preferred Airdrie REALTOR ® and a landlord myself, I can give you unique advice from both perspectives. If you have any questions, please fill out the form below.