Have you ever thought about entering the lucrative property rental market? If you’re in the process of moving, don’t sell your home—rent it out instead!
There’s always a huge demand for rental properties, for the short or long-term, as individuals and families will always need somewhere to live. A rental property can bring in income each month, a reliable investment for your future.
But to be successful when renting, you need to know what you’re in for. There are plenty of apartments for rent, so you want your home to stand out.
Ready to get started? First, keep reading to find five key things you need to know before renting out your property.
1. Before Renting, Do Your Market Research
How much can you rent your home for? To figure this out, you need to first do market research to help you price your home for rent correctly.
While real estate agents can help with this, it’s also a good idea to look for similar homes for rent to yours and see what they’re going for. Consider their location, size, age, amenities (with new appliances, swimming pools, or new bathrooms, you can rent for more), when pricing.
Keep in mind that most houses for rent are leased through an agent, so when pricing your home, know that a percentage of the rent may go to covering agent fees.
If you price too high, you may not get any takers, but if you price too low, you’re missing out on valuable investment income.
2. Make Any Necessary Structural Repairs
Renters expect the property they rent to be in the best possible condition. This means you should take care of any structural repairs before putting the property on the market.
It’s a good idea to bring in an experienced inspector who can assess the home and let you know what needs to be repaired. Landlords need to ensure the property they provide is safe for their tenants, so this is an essential step of the renting process.
In the home’s exterior, check for loose railings, deck boards, loose electrical wires, or uneven ground or holes in the backyard that could be a tripping hazard. Any swings or play areas for kids should also be secure, safe, and free from rust.
Inside, also look for loose floorboards, plumbing or electrical issues, mold damage, and make sure all windows and locks are secure. It’s also nice to provide curtains or blinds for all the windows.
3. Give the Interior a Makeover
For your home to appeal to potential renters, it needs to stand out. One way to do this is by giving a makeover to your home.
An easy way to add charm to your home is with a fresh coat of paint. When renting, you want something that will have broad appeal, so whites or neutrals are usually your best option.
You can also repaint trim, polish floorboards, or install new carpeting, helping your home look newer. It doesn’t need to cost a fortune, but it can be a big help when it comes to helping your home rent out faster.
4. Move Your Belongings to Storage
Are you renting your home out furnished or unfurnished? While vacation homes are often rented out furnished, longer term-rentals are usually unfurnished, as the tenants will want to bring their own belongings.
In this case, you’ll want to remove everything from your home and place it in storage, so that it’s vacant for the new tenants. Having the home open and empty when you’re trying to rent also makes it look larger, and lets prospective renters imagine what the home would look like with their own furniture.
However, sometimes large appliances will be included in the rental, such as a fridge, washing machine, and a dryer. Of course, the stove, oven, and dishwasher will stay in the property as well.
If you’re focusing on short-term rentals and want to rent out the property with furniture, invest in solid, quality pieces that are durable over time. Darker colors can be a good idea as well, in case of any accidental spills or stains.
5. Know What’s Required of You as a Landlord
If you want to rent out your place, this makes you a landlord—a role with legal obligations. Make sure you’re comfortable with everything that’s required of landlords before you sign up for the task.
Landlords may need to manage a bond or security deposit, maintain the property in safe conditions, looking after any repairs, and meet all obligations of landlord-tenant law.
You may also want to take out additional insurance to cover your property while it’s being rented out.
We recommend reading up on the laws and requirements within your state for landlords before getting started. If you’re managing your property through a rental agency, they should be able to assist with this.
Find the Right Tenants for Your Beautiful Property
Renting your property can be a fantastic way to bring in some extra income, but you need to be sure to do everything correctly. Use the suggestions above to get ready and prepare your property for rental, taking your time.
Patience pays off, as your beautiful property is sure to attract lovely, reliable tenants who will look after your home as if it were their own. If your tenants are happy and enjoying the property, then they’re likely to stay for years to come.
Get started today and start reaping the benefits of real estate investment!
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