You have done the hard work of picking a good property and gone through the entire process of financing and closing the deal on the property. Now comes the exciting time to find a potential renter for the property or making it available for vacation home depending on which type of property you have purchased.
This is a very exciting yet responsible part of the process. You need to do due diligence in picking up reliable, long-term renters with whom you can easily work. You can handle the entire process yourself or you can hire a property manager. It all depends on whether you are ready to do the work and if so, are you living in the same place where your rental property is.
It is certainly advisable to buy a rental property near where you reside but it is not always possible. If you are new to the process, it may be better to hire a property manager, at least for your first rental property. Once you have learned the process, you could do it yourself.
Property management for single family homes
There are different aspects of property management ranging from arranging an open house to renting the property to discussing lease agreement with your renters to maintenance of the property once it is rented. The process repeats itself once a renter leaves or his lease expires.
During this entire process, one important thing to keep in mind is that customer or renter is the king, treat him like one! Listen to their needs, desires and be understanding. For example, if there is a leak in the house reported by your renter, get to it right away. Put yourself in their shoes and do the right thing. As in any other business if the customer is treated right they will be loyal to you.
If you are working with a property manager they will do the advertising, get rental applications and qualify the tenants. They should work closely with you throughout this process and provide you with regular updates. At the same time you should remember they are working on many different properties simultaneously so you should be proactively interacting with them from a review perspective.
On the other hand, if you are managing the property yourself, you have lot more flexibility as well as responsibility. You can advertise your property in Craigslist and other internet sites. These days most of the business is done online so that is where you should advertise. It is very important to be truthful in your advertisement and not oversell the property. Doing so will only hurt you. You can get the renter to come see the property but you won’t get them to rent it. It is also about your reputation. Much like any other business, building a solid reputation goes a long way. Say it like it is, show it like it is. Tell your renters what they are in for and they will be loyal to you. If you price your home competently you should be able to get interest in your property soon. Make the house ready as if you are going to sell it prior to showing it to prospective tenants. You want your house to look the best possible when you show it.
