Securing the ideal tenant is every landlord’s dream, and achieving this dream means treating the role of a landlord as a professional endeavor. Here’s how you can ensure a smooth rental process:
- Know the Law: Make sure you are well-versed in your area’s landlord-tenant laws.
- Fix What’s Broken: Address anything that’s broken or hazardous and make sure you have the appropriate number of working smoke and carbon monoxide detectors. Pro tip: swap the batteries every daylight saving time.
- Set a Fair Rent: Research comparable properties in your area to determine a fair rent, factoring in all your property-related expenses. Adjust the rent annually to stay in line with the market.
- Use a Professional Lease: Utilize a government-issued lease agreement template and include any additional rules you have. Consider having a real estate lawyer review it.
- Screen Your Tenants: Conduct interviews, credit checks, call work and landlord references, and check work history to ensure you’re renting to reliable tenants.
- Insure Your Property: Ensure your property is insured and encourage your tenant(s) to get their own insurance.
- Report Income: Report rental income on your taxes and take advantage of relevant tax credits.
- Check Condo Rules: If you’re renting a condo, make sure it’s permitted and familiarize yourself with the condo rules.
With these steps and due diligence, you’ll be well on your way to enjoying a hassle-free passive income!