As somebody that rents out a property or as a landlord, your main goal is to make as much money as you can, right? Well, you can do this, or you can simply make more than you currently do, by making sure to follow the money-making advice below.
Minimize vacancy and turnover time on your properties
As somebody that rents out a property, the single best way to ensure that you are always making money on it is to ensure that it is never vacant. So, minimize vacancy when it comes to it! To do this, the first thing that you should be putting all your efforts into is finding yourself a tenant that you know will be long term and won’t be leaving you or your property for a good while. When you do this you will instantly cut out the need in having to deal with the turnover of a leaving tenant and a new one coming in, and all the stress that particular time can bring. Or, if you do have to deal with this turnover time, then just make sure you are doing all you can to keep this time to minimum — the longer it lasts, the more money you will lose.
Rent mindfully and strategically
When you are mindful and strategic with the way you rent your properties, such as taking the aforementioned precaution of only renting to people you are sure will stick around and can trust to do so, then you will find your renting venture to be easier than you ever thought it would be. More to the point, you will find making money out of it to be easier than you ever thought it would be, too. And, if you are not experienced enough in the renting or landlording game to be able to rent in this smart manner, then make sure you have no qualms in seeing how it is done and finding inspiration in successful real estate investment trusts (REITs) such as Invitation Homes. By studying how REITs like this made their billions in the renting game, and then translating the knowledge you gain on how they did so to your own work, you will find yourself making more money than you lose.
Be attentive when it comes to late fees and fines
As a landlord or a renter of a property you are going to have to be very attentive when it comes to late fees — and this means on both ends of the spectrum. Yes, you are going to have to dish them out to your tenants if they are late in paying their rental fees in order to recuperate the money you lost at that time and in order to not show yourself to be a pushover. However, being too strict or too forthcoming with late fees can scare tenants off, and if this is an otherwise trustworthy tenant that you do not want to lose you could sour the relationship between the two of you and force them out. So, read the situation of having to dish out late fees and judge how serious they need to be taken at a given and specific time and find that all important balance.