There are several reasons why a homeowner would choose to rent out their properties rather than selling them, which all depends on a homeowner’s personal situation. If you are a local Erath area homeowner looking to rent your property for the first time, consider these five ground rules.
1. Always run a thorough check of a potential tenant’s rental references. Make sure to take a close look at credit scores and avoid any renters who have caused property damages to others properties in the past.
2. When renting out your property, the goal is to earn enough money to be able to pay for the home’s monthly mortgage payment. Make sure to set a realistic rental price that is comparable to other homes in the area.
3. Make sure to properly insure your property to avoid angry tenants or lawsuits in the future. Protecting your home’s systems and appliances will save you time and money spent on pleasing a potential tenant who complains about any damaged appliances. As a landlord, if you do not replace or repair your home’s damaged component, a renter has the right to file a lawsuit for violating a lease agreement. Avoid this hassle by safeguarding your home.
4. Hire a lawyer who specializes in reviewing property leases before constructing anything for a potential renter. Most homeowners will use a standard lease template that is specific to their state and will then add their own requirements later on. Remember to include all your rules and regulations on a lease, because many times if it is not in written form, then it is not legally binding.
5. Though a property manager charges a finder’s fee and a monthly ten percent commission on property rents, hiring a trustworthy property manager will make it easier to deal with your tenants.
Looking for a great property in Erath County or Stephenville? Please contact us with all your real estate questions.