Top 9 Mistakes New Landlords Make
Congratulations on building your property portfolio and we hope you’re enjoying growing revenues and profit.
There’s plenty of perils ahead that can erode profit and make rental property investment unsuccessful. You definitely should be constantly aware of anything that erodes your profit. Then you can focus on the path to profitability.
PM Software Will Help You Avoid Trouble
A simplified, scalable, and cloud property management software (i.e., ManageCasa) is designed to help you focus on what works and to avoid profit eating problems. Simple means easy to learn, easy to use, and stressless tenant management while you manage your rental properties.
Take a demo of the ManageCasa platform if you haven’t already. Its features save you time and money, and that’s how you can make yourself profitable for the next decade.
Problems You’ll Face for Sure
While you can manage a few properties yourself and get by without too many incidents, you’ll no no doubt see escalating costs and problems with added properties.
Top 9 most troublesome issues new landlords need to anticipate:
- tenant screening – focus on past rental history, credit check, landlord interview while assessing tenant applications. Conducting screening well helps you verify the quality of the tenant, intent, and habit of paying rent, along with their ability to weather any financial setbacks they could suffer (your cash flow).
- don’t advertise on low quality rental listing sites – you are where you get your property management leads so write great ads and advertise on sites where quality tenants go. Advertising on low quality websites might be faster but you’ll no doubt regret the outcome in the year ahead.
- write your leases well, not scripted – rewriting leases you find online could lead to disaster. Take time writing leases well. This means ensuring all lease provisions are covered in the appropriate legal language and no loop holes exist.
- start using a property management software – given all the demands and legal requirements in effect today, a good property management software streamlines work processes, avoids paper errors, and let’s stay on top of everything that’s happening with your properties.
- respond to tenant complaints quickly, don’t let them go — not responding to tenant reports or complaints makes them feel invisible, taken for granted, or even unwanted. Tenants feelings may run deeper than you think and those reports may forewarn of costly future repairs.
- continuing tenants off lease – when leases expire, you may have no agreement and legal issues can probably only be settled in costly court visits.
- over leveraging your rental property value – leveraging your equity through financing is all part of big financial success. But if interest rates should jump, or rent controls come in, or you suffer more turnover than expected, your profit disappears.
- collect rents with an online payment system – help your tenants pay regularly and on time and be in better control of your cash flow
- self-managing too long – when you’re getting behind in maintenance and bookkeeping, it’s just a hint of what’s coming soon. When you have many properties, you need gravitate to a good property management software solution.
And in future, when you need to hand it over to a full time property manager, they’ll love that you’re using ManageCasa.
There’s good profit in single home rentals and multifamily units and the best way to manage your portfolio is with ManageCasa. See more of the key features of this flexible yet powerful suite of platform. Make your property management work easier in 2020 and beyond.
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