Some More Tips for Landlords
LOS ANGELES PROPERTY MANAGEMENT GROUP
As a property owner in the San Fernando Valley, you will inevitably be faced with challenges on how to manage the property whether it a residential property or commercial property. We have narrowed down a few tips from our experts on property management for your careful digestion. Here are some more tips for landlords.
One crucial tip is setting up renters insurance
This requires tenants to have renters insurance, and this is mostly seen as less critical by landlords. Well, you might be thinking of what will be your faith as a property owner when your tenant’s insurance doesn’t cover the damage involved? The fact that your landlord agreement does not include the extent of the damage doesn’t mean that you cannot claim damages done on your property. Damages can be sought through your tenant’s liability coverage, and in return, your tenant wouldn’t have to suffer the loss of losing personal belongings in paying for damages done to the property.
Register the house as a Business name
As seen in the case of Salomon v Salomon, where it was stated; that a company upon incorporation gets an entity of his own separate from that of the owner. Registering the house as a business name will shield your asset as the landlord from future litigations that might arise from the property.
Make sure you take a picture of the status of your property with cameras that show the record of dates before the tenants move into your property. Open an individual file or better still create a folder on the computer, wherein you save those pictures. When the tenant’s exit the property make sure you also that pictorial evidence of the state of the property as at the time which they are packing out. Make sure you have a whole record of receipts and invoices you have issued with regards to your property.
Make sure you attend to repairs with utmost urgency
Procrastinating on when to carry out repairs on your property do you no good, the more you delay the repairs, the worse the damage gets. Urgent maintenance of damages in the property saves you money with you might have spent if you let the damage escalate with time. Carrying out repairs in time shows the tenant that your value the structural welfare of your property and as a result of which they should do also.
Do you know that you could make a whole lot of money from vacation rentals?
The vast majority of tourist love to savor the culture of the locality which they visit and most believe that living in a house just like the average locals will give them the experience of life is like living in that locality. Since your property is fully furnished, it will naturally fetch a better price for rent for the short period within which they will use to occupy your property.
Pets Clause would be a perfect addition to the rental agreement
Most folks see their pet as an integral part of their family. If you are to allow pets on your property, you will have to be stringent on the term of the Pets Clause you insert in the Rental Agreement. You need to explicitly state if the amount to be deposited and if it is refundable, you also need to indicate the mode of payment whether it is monthly or yearly. This clause should clearly state the kind of pets that are admissible into the property.
Make sure you screen your tenants thoroughly
Most people overlook the screening of tenant as non-important. Many landlords don’t realize the actual cost of tenant turnover which is likely their most significant expenditure right after mortgage interest and property taxes.
Avoid Renting out Properties to Friends and Family
Friendship and family relationship should be held separate from business, especially property business. Yes, it may be lovely in the beginning, those close to you will expect more for less when renting from you. If the friend can’t afford to pay rent for a single month, it will have a telling effect on your cash flow and puts you in an awkward predicament. Let them know it’s nothing personal, it’s just your policy to never rent to family or friends
