Tips for Residential Landlords

Some of us fall into being landlords by renting out a second apartment. Some of us have multi-tenant properties and plan to purchase more and treat our landlord duties as a full-time passion. However we ended up here, most of us could use some tips on how to attract and keep tenants that treat our units well and pay the rent on time.

Do Renovations with Target Tenants in Mind

First of all, ask yourself who your target tenants are. Are they young professionals? Are they retired singles? Are they blue-collar workers? Install appropriate appliances and features that will attract the people that you want to your units. Young professionals will appreciate green building efforts, where a blue collar family will prefer stainless steel appliances and easy-clean surfaces.

Check Out Potential Tenants

Check your potential tenants very carefully and thoroughly. Spend the time required to do so. If you do not, you will be sorry down the road. Credit and employment checks are necessary. Renters may not have top of the line credit scores, but a bad credit history will tell you that they may not pay the rent.

Work on Tenant Retention

Once your tenants get in there, don’t be an “absentee landlord”. While a bit above and beyond, one of my landlords brought us a bottle of wine on Christmas Day. Efforts like that do not go unnoticed and you will retain tenants by simply being there when needed and doing a little extra now and then.

Get a Longer Lease on Life

Tenants are usually unwilling to lock in a tenancy longer than a year because of the uncertainty of life. Some are hoping to buy a house and some are younger people that don’t want to be tied down to a particular city. You can offer perks for tenants to lock into longer leases, such as minor upgrades. While some laws are against any lease longer than one or two years, you can include a clause that the lease is month-to-month but the intention is for the tenant to remain in place for the desired amount of time. Consult a lawyer for the best wording.

Schedule a Yearly Meeting

Have a casual meeting with your tenants once a year in which you go over their concerns and renew the next year’s lease. This way tenants are more likely to air any concerns rather than simply moving to a place where their current problems don’t exist. People don’t like to complain, but they will talk to you about their issues if asked.