Should You Become A Landlord?
Do you have what it takes to be a landlord? The daily life of a landlord is a spontaneous one as being a landlord is somewhat considered a non-traditional job, i.e. not your typical 9-to-5. However, with excellent financial and lifestyle benefits, it is no wonder many are considering a career as a landlord. Understand that becoming a landlord is not for everybody, therefore ask yourself these questions first before taking the plunge into the rental property business.
1. Do You Like to Deal with People?
In order to become a successful landlord, first of all you will need the ability and patience to deal with people of different personality types. Some tenants are affable, whereas the others are just plain difficult, you will not know until you are in the tenant-landlord relationship with them.
2. Are You a Do-It-Yourselfer?
Broken pipes can happen at any hour of the day or night and seeing that you are just starting out, 24-hour handyman is not an option to be considered as it might be too expensive. To turn your rental income into a long term investment, you will have to do the work as well as handle other 24-hour responsibilities yourself to save money.
3. Do You Like Technicalities?
Tenant-landlord provisions involve understanding local laws in order to prevent and resolve differences with tenants. You need to be clear on the legal side of things such as collecting rent, security deposits, evicting tenants and etc. Remember, the rental agreement is actually in place to protect the landlords, and not the tenants.
4. Are You Able to Manage Your Finances?
As a landlord, you will need to learn to manage your finances in times of good and bad. It is essential for you to go with the flow and be ready for the unexpected as a landlord will have fluctuating income. There is no guarantee that you will have full occupancy, rent paid on time, and zero repairs every month.
5. Are You Able to Keep Your Property Safe?
As much as you would love for your tenants to care for your properties as much as you do, it is not going to be like that. Homeowners will always have the duty to properly maintain your properties and make sure that they are always in good working order. Should there be any mishaps, chances are you could become embroiled in some legal actions. Therefore, do check on your properties regularly to avoid a costly legal battle.