More and more jobs and tasks are going digital. If you own properties and are the acting landlord for each property, you might be wondering what it takes to become a digital landlord.
We’ve created a comprehensive guide detailing how to become a digital landlord and the best landlord you can be. By the time you’ve completed this guide you’ll be able to determine if bettering the digital landlord career path is something you want to do.
Our guide just made finding a job much more manageable. Read on now.
What is a Digital Landlord?
Before you can become a digital landlord, it’s essential to understand what it is and what some of the duties of a digital landlord are. In simple terms, when you’re a digital landlord, the difference between yourself and traditional landlords is that you utilize various technologies to manage each of your properties.
Several types of technology you use, from property management resources to security practices, make it easier to secure each of your properties when they are vacant and occupied. More people are labeling themselves as digital landlords because these technological advancements are making it easier for landlords to do their jobs from the comfort of their homes.
More people are finding it easier to connect with their tenants using online resources. If we’re being honest, digital communications have become the easiest and quickest way for people to connect and get the answers they receive from one another.
Reasons People Become Digital Landlords
There are several reasons that people become digital landlords, with the first reason being that it makes communicating with tenants and other business partners much more straightforward. When you think about the number of platforms you can communicate with others on is unlimited.
Therefore, you’re able to pick a communication form that truly fits the needs of you as a landlord and your tenants. Another common reason people are becoming digital landlords is because of how easy it is to access the information they need to better serve their tenants.
Everything you need to know and could want to know as a digital landlord can be accessed on the internet because you have all the knowledge at your fingertips. You simply have to know what you’re searching for and start typing it in.
Becoming a digital landlord also makes it easier for you to manage each of your properties. You can find property management software that works properly and makes sense for your tenants and conduct tasks such as background checks.
The software you choose should act as a one-stop shop for all of your property management needs. Lastly, when you become a landlord in the digital space, you can become a master online marketer.
No more for rent signs; instead, you can list your property on a variety of websites, including social media.
Types of Landlords
As mentioned, digital landlords are just a subsection of landlords. Most people only know the typical landlord, but several other types of landlords might not have crossed your mind.
We’ve detailed some of them for you with some brief information about what makes one different from the others. The first is the local or small-town landlord.
These landlords will have a smaller collection of properties listed in their portfolios. Most of these small-town or local landlords will often rent rooms out in their homes and are driven by the fact that they don’t want to make major changes like downsizing or moving out of their homes.
Negotiating changes with a small-town landlord can be challenging, but if done right, it can happen. The next type of landlord is going to be classified as the developers.
These are people who work within the real estate market and are in charge of various property renovations that take place from beginning to end. They are brought in to see a design based on cotton specifications, and they expect to see a return on the investment they put into the project.
Another branch of real estate investors includes companies that own and operate properties that generate a source of income for them. These are typically properties that are being used on an ongoing basis and include:
- Shopping malls
- Self-storage center
- Operational warehouses
These are just a few functions for their properties, but the goal for these types of landlords is to increase their security through predictable real estate purchases.
And you’ll find they don’t often have to manage these properties themselves because the businesses that are operating in them will bring in their own cleaners and maintenance companies to take care of potential issues that arise.
A property management company can come in when people have several properties but don’t have the time to oversee all of them. They will step in to handle things like:
- Tenant complaints
- Collect monthly rent
- Handle ongoing property maintenance requests
- Pursue necessary evictions
They have a wealth of knowledge about real estate and can help make the life of a real estate investor run much smoother than it would if they had to manage each property on their own.
How Do Your Digital Assets Create Income?
When you become a digital landlord, it’s understood you’re going to have a variety of digital assets. Each of these assets will create income that you can use as additional funds or money that goes back into investing in other properties you have your sites set on.
One way that you generate income as a digital landlord is obviously through renting, which could mean charging people for living in your various properties and the use of online resources you offer. Another way to generate income is through various advertising tasks.
Depending on your marketing strategy, you can make money based on the number of clicks and views each of your advertising posts receives. You can also generate income by selling any assets you own.
Now that we’ve covered all of the initial information you would need about what being a digital landlord is and the different types of landlords, we can move on. Here are some actionable steps you can take to become one yourself.
Steps to Becoming a Digital Landlord
Much like other things you choose to do in life, there are going to be steps you need to take to ensure you reach your goal. The way you begin any new career path will aid in setting you up for future success.
If you wish to be a digital landlord, you’ve got to understand there are some things you can do to ensure the journey works for you. It will take some work on your end. However, the payoff is getting to reap the benefits of your new career.
Get ready to start managing your properties without having to travel to each destination in order to do so. Not only will you enjoy what you’re doing, but you’ll be able to serve each of your tenants better than if you spent a significant amount of time traveling from one place to another.
The steps you’ve been waiting for are listed below for you to check out.
Learn the Tenant-Landlord Laws
The first thing you need to do as you become a digital landlord is learn the tenant-landlord laws. These are important because even though you’re occupying the digital landscape, it’s essential you still remain compliant; otherwise, you risk facing several penalties.
Not to mention, when you don’t adhere to these laws, it can cause you to lose tenants because you’re not treating them right. We recommend searching the laws in the states that your properties will occupy.
These resources should be readily available for you to access on the internet and keep in files for you to reference every now and then.
The next thing you need to do is buy property because, without it, you’re not actually considered a landlord. Before you buy property, ensure you’ve taken the time to complete an in-depth analysis of each property.
This will help you to determine the true value of a property and whether it’s going to increase your ROI in the way you’d hoped. If you’re a beginner to real estate investment, you’re going to want to ensure you don’t bite off more than you can chew.
Start with one property, and as you become more comfortable with investing, you can acquire more properties in the future. By doing this, you’ll continue to increase your profit over time.
Next, take some time to secure insurance for your properties. While you hope that nothing happens to them, you can’t account for damage caused by tenants or the visitors they have or a natural disaster.
But, you want to be prepared for anything that comes your way, ensuring that if there is damage or issues that arise, you have the insurance needed to cover these things and take care of them moving forward.
If you’re unsure of what type of insurance you’re going to need as a digital landlord, you can set up a meeting with an insurance provider. They can detail what would be the most effective for you and the properties you’re managing.
There are some types of coverage you don’t want to miss out on. And there are other types that are more specific to the area where your properties are. For example, if you are renting out a home in Florida, it’s essential to have flood insurance because there is a chance that your home can face significant water damage, especially if it’s along the beach or close to it.
Market Your Properties
Now, you get to put your digital landlord skills to work and begin marketing your properties. There are several property listing websites you can use to attract potential tenants to move into your property.
When you’re marketing the properties, there are several things you’re going to want to include in the listing. These are things that potential tenants want to know and will help them make the final decision about whether they want to tour the property or move on with their property hunt.
Some things you need to include in a property listing include:
- The monthly price of the rental
- Terms of the leasing contract
- Whether pets are allowed or not
- Number of bedrooms and bathrooms
- Amount of security deposit
- Amenities and upgrades that have been made to the property
These are just a few things that should be included in the listing. There are other things you can add, but ensure the listing is engaging and attractive to people who are going to see it.
Download a Management Portal
This portal is going to help you become a digital landlord even more easily because you’ll be able to do things like collect rent and deploy various notifications using the platform. It also makes it easier for you to keep accurate records and documentation that is necessary as a landlord.
You want to be organized just in case you have to default to legal proceedings. You’ll need to prove that you have spoken to the tenant to provide them with reminders and other notifications needed to keep their files up to date continually.
We recommend that once you choose a tenant portal, you set it up to send you notifications. This will help you to check when tenants are attempting to correspond with you or if there are system updates that need to be made to keep things on track.
How to Become a Digital Landlord: The Only Guide You’ll Ever Need
We understand you were asking yourself how to become a digital landlord. You asked for a guide, and we’ve provided an in-depth one above for you to reference and use along your land-lording journey.
Ensure you take the time to learn the different types of landlords out there and don’t forget insurance coverage for each of your properties; you’re going to need it. Contact Reedy & Company for more help and resources today.
We understand real estate and want to be of service.