You’ve all heard the stories…..paid the first month’s rent and then never made another payment, trashed the place, couldn’t get him to leave, moved in a dozen of his friends, loud parties, etc. etc. etc. but being a landlord doesn’t have to be scary. Hire a property manager who knows the business and knows how to screen a tenant….it is well worth your money; you will save the stress and aggravation and the complaints from the neighbors. Your investment is too important and property management is affordable.
There is no cost to you until the first month’s rent is paid. Then you will be charged a Leasing Fee which is typically 50 – 100% of the rental price. This is for securing a good tenant for you. After that you will pay a monthly management fee between 7 -10% of the monthly rent or a flat fee but watch out for additional costs: annual contract renewal fees, lease renewal fees, visiting the property fees, etc. You will pay extra to have the property manager secure a rental license for you if one is required but some companies will just nickel and dime you so find out about hidden costs upfront.
Make sure you feel important to your property management company. It’s easy to promise the world and then drag your feet getting the license, getting a great ad with good pictures posted online, getting a “For Rent“ sign out front and being diligent about showing the property. You don’t want to be just another dollar in someone’s pocket; make sure you feel comfortable that you will be well taken care of.
The most important part of the process is finding a great tenant!! At K&K we don’t require a certain credit score because having good credit doesn’t necessarily mean you are a good renter but we do go and visit where a tenant currently lives…..it’s the best indicator of how well they will take care of your property!