Being a landlord is a complicated job and the responsibilities seem endless. But being a great landlord is key to your success as an entrepreneur and investor. So what does it take to be a successful landlord? While every person and situation is different, there are a few things all successful landlords have in common.
1. The Business is Treated Like a Business
The first step to being a great landlord is understanding and being fully committed to running a business. You must be able to put emotions and politeness aside for the benefit of your business and understand that being "too nice" may not allow you the respect you deserve. Every step and action you take must be in the best interest of your business; managing properties, tenants, and more.
2. Tenants Are Treated with Respect
Just because you should be firm and business-minded, that doesn't require you to be rude or disrespectful to your tenants. In fact, good tenants may turn bad quickly with a landlord they dislike. While you don't have to like or be friends with your tenants, you should always speak to them and treat them with the respect they deserve.
3. Strategies and Target-Marketing Are Implemented
To be a good landlord, you must be business-minded. This means staying organized and implementing business strategies in your finances and other areas of the business. As a landlord, you will also want to find your target market for your properties, based on rent-price, location, amenities, and more. By targeting a certain demographic or tenant-group, you can increase your chances of landing (and keeping) the right tenants.
4. Tenants Are Thoroughly (and Properly) Screened
Once you've discovered your target market, you need a process in which to "weed out" tenants which are not suitable. Create thorough applications and questionnaires, and always be sure to check references. Use the information you collect to decide if the tenant is the best choice for your property and your future goals.
5. Leases Are Solid and Rules Are Solid
Rules, regulations, and expectations should be obvious and discussed thoroughly before any tenant signs an agreement. Both parties must understand what the other is expecting and what the consequences would be for breaking this agreement. To be a successful landlord, you need to have a solid lease that protects you and your business.
For financing or more on managing your properties and investments, to help you become the best landlord you can be, contact us today.