There are now eight million landlords in the US. Have you joined their ranks? Becoming a first-time landlord can feel daunting in today's competitive real estate market.
Instead of going in blind, use these tips to set yourself up for success as a real estate investor. Covering everything from tenant screening to rental analysis, these tips can give you an edge! Start managing a property with confidence today.
Obtain Landlord Insurance
Cover your best interests by purchasing landlord insurance. Insurance can protect you from damage caused by unreliable tenants.
This type of insurance won't cover the tenant's personal property. Require tenants to obtain their own renter's insurance when they sign their lease agreement.
Consider obtaining insurance that covers you from damage caused by natural disasters. In a single year, 97.7% of homeowners insurance losses were for property damage. A policy can cover fire, theft, or water damage.
Having insurance will give you peace of mind. If there's an incident, you won't have to pay entirely out of pocket.
Market Different Types of Properties
Your marketing strategy will vary based on the types of properties you own. Take the time to research your target audience. Recognize their needs and interests.
Make informed upgrades to the property based on the audience you're trying to reach. Optimize your real estate listing to appeal to your target audience.
For example, parents may want a rental near parks and other family-friendly venues. Highlight similar areas to appeal to parents.
Use a combination of traditional and digital marketing strategies to reach San Antonio renters. These include:
- Content marketing
- Social media marketing
- Email marketing
- Paid advertising
- Search engine optimization
- Video marketing
Outsource Tenant Screening
Failing to screen applicants can leave you with troublesome renters. About 90% of landlords use tenant screening reports to choose applicants. However, the information isn't always accurate.
Outsource this process to a property management company. Their tenant screening services will ensure you choose the best renters.
Create an Emergency Fund
You can't predict your success as a real estate investor. To prepare for emergencies, create an emergency fund. Use these funds to cover property maintenance and other expenses.
Don't delay fulfilling a tenant's request. Instead, schedule property inspections and complete preventative maintenance. Keep the property in good shape to save money.
Complete a Rental Analysis
Don't set your rental rate before completing a rental analysis. Research similar properties in San Antonio. Make adjustments to your pricing to remain competitive.
If you need help, hire a property manager. They'll use professional tools to set fair prices.
Hire a Property Management Company
Partner with a full-service property management company. They can streamline managing a property using state-of-the-art technology.
They can provide your renters with access to an online portal. Use the portal to track maintenance requests, accept rent payments, and more.
Become a Great First-Time Landlord
Don't let your first year as a landlord wear you down. Instead, use these tips to become a successful real estate investor. Complete a rental analysis, market your listing, and start gaining tenants.
Remember, you don't have to do it alone. Our team at PMI San Antonio uses proven strategies and state-of-the-art technology to maximize profitability. Contact us today for a free rental analysis.
