We can all agree that California has that special something that stimulates people to pack their bags and catch the first flight to San Diego, San Francisco or Lo Angeles. What you may not know is that this sunny state occupies the first position in the Top 10 U.S. States Visted Each Year. According to recent statistics, California attracts more than 6 million visitors each year. Naturally, most of the individuals who get the chance to contemplate the gorgeous surroundings, explore quality entertainment options and enjoy the nice weather will inevitably consider renting or buying a piece of real estate in California. If you own a house in California’s most sought-after vacation destinations, you could always turn yourself into the perfect landlord to make some money. If this possibility appeals to you, here are a few tips on how to survive (and make a profit) as a first-time landlord in today’s market.
Set Realistic Goals. First of all, you should realize the fact that renting out your apartment is a viable strategy that you can implement to supplement your monthly income and cope with expenses. Don’t waste any time daydreaming about things that you want, can’t afford, yet wish to purchase using your rental income. That super expensive Caribbean cruise can wait. In most cases, renting out a property may be labeled as a smart, profitable action, but only in the long term, after you manage to pay off your mortgage.
Factor in Your Expenses. As a first-time landlord, you could be taken by surprise by a great variety of unpredicted expenses that could kill your enthusiasm in no time. For example, you simply have to get an insurance policy to protect your goods and your Californian house or apartment. There are literally hundreds of worst-case scenarios revolving around fires, burglary attempts, floods and acts of vandalism that could wipe off the results of years of hard work and overbalance your already thin budget. Next, you should probably hire an attorney to receive all the information that you need on California’s legal requirements set for landlords, mediate potential disputes with tenants or get the best legal representation, if needed. Last but not least, do remember that you will also have to handle potential repairs and improvements on your own. Yes, you will actually have to pay for such adjustments out of your own pocket; not to mention the fact that you will be forced to take the time to address your tenants’ complaints day and night. The good news is that the Californian real estate market allows you to set rental rates pretty high and cover all your monthly expenses. If you live in an overcrowded, sought-after city like Los Angeles or San Francisco, you could easily ask $3,000 per month for your rental and find a plethora of candidates eager to sign your rental agreement. To avoid overpricing your property, get acquainted with the latest real estate trends and start monitoring the listings brought to you by California’s most renowned apartment finders.
Create a Checklist. As a new landlord, it’s your job to stay organized. Before shaking hands with your first tenant, make sure your house is in mint condition. Mask or correct visible signs of wear and tear, perform repairs if needed (nobody likes the idea of living in a house with leaky pipes and cracked walls), conduct a thorough home inspection and review all the items that could potentially lead to a disaster. Check the stove, fireplace, wires and pipes and also inspect all your appliances. Replace the ones that are no longer functioning properly to prevent hazards and ensure the highest level of comfort for the people who are willing to spend a lot of money to live in your house or apartment. Create and follow a checklist to get things done on time and on a budget.
Surf the Web to Download and Personalize Forms. When it comes to putting all their terms and conditions in writing, most new landlords seem to get stuck. To avoid misunderstandings and keep things clear, go online and download the forms that your tenants will have to fill out and sign. These days, you could easily find various types of sample contracts with a few clicks. Personalize your version of choice by adding as many details as possible. For instance, list your preferred payment methods and highlight some of the most important aspects of the contract that usually lead to misinterpretations and disputes, like late payments and penalty fees, for instance.
Screen Your Potential Tenants. Renting to relatives may not be such a smart move after all, considering the fact that you probably shouldn’t do business with family members. Nonetheless, when it comes to giving the keys to your apartment to complete strangers, you have to be very careful. Be curious and ask a lot of questions. Be picky. If you are the lucky owner of a beautiful property located in Southern California, you can actually afford to be very selective, considering the current relationship between supply and demand. Yes, numerous people are willing to move to California, but affordable, absolutely fantastic rentals are still in short supply. Therefore, ask questions related to your candidates’ rental history, job and income. Get in contact with their previous landlords and check their background. This is a simple, yet incredibly important step that could help you avoid various unpleasant surprises.
Avoid Risks and Reduce Your Expenses by Using an Apartment Finding Service. How could you possibly market your property in the most convenient manner? Naturally, you would like to use a channel that could guarantee the highest level of exposure, while also giving you the opportunity to maintain a deeper connection with the people who may be interested in your Californian house or apartment. If this is what you expect from a platform that could help you meet Mr. Perfect Tenant in no time, use the tools offered by Apartment Hunterz on a silver platter to increase the visibility of your listings, communicate with prospects in real time and submit paperwork online. Apartment Hunterz lets you do all this and more. By posting up to 12 photos of your property and a video tour, you could raise the interest of thousands of people who are actually looking for a new home resembling the property that you are eager to rent out. Count on California’s preferred apartment finding service to find the best tenant for your slice of real estate in less than a week and market your assets efficiently and inexpensively.