Do you want to become a landlord? It is an excellent idea if you’re looking for another source of passive income. If so, we recommend you hit the pause button and ensure you’ve taken time to learn about the landlord responsibilities that come with overseeing various properties.
Time is of the essence, so the quicker you can make this decision, the closer you get to managing your first property. We’ve gone ahead below to create a list of some of the responsibilities you take on when you enter the property management space.
Continue reading our comprehensive guide.
Types of Landlords
There are several types of landlords, and it’s crucial to understand the kind you want to be. The first type is the new landlord, who has decided that property management is for them.
If this sounds like the landlord you are, the first thing you should do is throw out your attachment to the property you’re managing. It also helps if you utilize a management company at first because you might make some mistakes that cost you a lot of money down the road.
Another type of landlord has a hand in managing their property. They not only go as far as to ensure that everything on the property is taken care of, but they also pride themselves on creating strong relationships with tenants and those hired to manage the property.
Other types of landlords include:
- Hands off
Before becoming a landlord, you’ve got to determine the kind of landlord you want to be for your tenants. This can significantly influence future tenant retention and other factors that could help to increase your monthly cash flow.
The better you are as a landlord, the more satisfied the people that rent your properties will be.
Responsibilities of a Landlord: No Discrimination
There are several responsibilities. The first and most important is not to be discriminatory towards any potential tenant that fills out a rental application. It is wrong and against the law to discriminate against people, whether based on their ethnicity, sexual identity, and more.
If it is found that you have discriminated against someone that has applied for a rental property, you can be sued and risk future penalties and consequences. Thus, the best way to mitigate this is to comply with all the anti-discrimination policies and laws in your state.
Maintain Habitable Rental Properties
Another responsibility is to ensure that the properties you’re renting out are habitable. You should perform regular maintenance to upkeep the properties and provide things like the roof are solid, and there is no mold growing within the home.
Turning a blind eye to these things can cause stress for tenants and affect their health. Not to mention you lose tenants, money, and in some cases, your property when it’s not up to code.
A home that is not up to code can cause you to pay fines until you’ve done what it takes to get it to a level where it can be habitable by tenants.
Follow the Eviction Process Correctly
As a landlord, you have to follow the proper procedures for evicting a tenant.
You can’t kick them out just because they get on your nerves. You have to follow the process laid out by the court regarding eviction. This is the legal and rightful way to have a tenant terminated.
Keep Tenants Safe
No one wants to live in an area where they are worried about their safety and the safety of their families. Thus, as a landlord, you must ensure your tenants are kept safe when renting your properties.
This means ensuring that all doors and windows within the home have secure locks. It can also be beneficial to install security lights on the surrounding exterior of the home to ward off potential burglaries and other criminal acts.
If your property is a collection of apartments, consider entering a contract with local police enforcement to hire a few officers to patrol the area around the clock. The presence of law enforcement can deter criminal acts at times before they have the chance to happen.
Landlord Qualities to Have
Now that we’ve listed some of the most common landlord responsibilities, here are some qualities only the best landlords have. The first quality you should have is being organized and keeping accurate documentation.
As a landlord, you deal with multiple people that fill out a vast amount of paperwork. If you aren’t organized, finding the information you need could be challenging when required.
Not only does this cause problems with tenants, but it can also cause documentation issues when it’s time to pay things like taxes or go to court to evict a tenant. Another useful quality to have is the ability to communicate quickly.
For example, if maintenance will be spraying and providing pest control on a specific day, this is something to communicate to tenants ahead of time just in case they have pets or children that might be playing around the areas the chemicals are sprayed.
It’s also important to communicate because you simply want to keep tenants in the know and not leave anything out. Effective communication shows tenants that you care about them and their well-being.
Lastly, you need to be reliable and trustworthy. Tenants are providing you with sensitive information, and they trust you to protect it and only use it how you’ve agreed to use it.
Being trustworthy and reliable is essential as a landlord.
Landlord Responsibilities, Qualities, and More
There are several landlord responsibilities you take on when managing properties. From needing to provide maintenance and comply with anti-discrimination laws, there are several things to follow.
If you want access to more property management resources, contact Reedy & Company for assistance today. We know properties and want to help you.