Whether you’ve recently inherited a new house or find yourself with an empty bedroom you’d like to fill, renting out property is an excellent way to pad your wallet with some extra passive income.
That said, even though renting out your property might sound good on paper, getting started, especially if you’re new to the game, can be quite a challenge. Fortunately, renting out property is not a new concept, so there is plenty of information out there to help you navigate your first rental property.
Are you ready to get started? Here’s everything you need to know about how to rent out your house.
Prep the Space
Before you even list your space, you need to ensure it’s ready to receive new tenants. Prepping your property could mean making simple adjustments like caulking the tub or slapping on a fresh coat of paint. However, depending on the state and age of your home, you could need to undertake much more extensive repairs and renovations to get it renter-ready.
Make sure to check local codes and property laws to ensure your property is safe enough to rent.
Do Your Homework
Odds are unless you’re planning on investing in real estate with the intent of renting it out, you’re not going to have much say in how much you can charge your renters. That said, making sure you do your research ahead of time will ensure you don’t wind up losing out on any potential cash.
Before you list your rental property, make sure to shop around and see how much similar properties are going for in your area and if you can offer any amenities that would allow you to up the price.
Lay Some Ground Rules
Whether you’re renting out a home or renting out a room, when you invite a stranger into a space, you’re taking on a level of risk. One of the best ways to protect yourself and your property from any potential damage is by figuring out a few hard and fast rules ahead of time and having all of your tenants sign off on your policies when they sign their lease.
These rules can include factors like whether or not you allow pets, smoking, or even large gatherings on your property.
As we mentioned before, owning rental properties comes with some unavoidable risks. While creating a lease can help protect you a little, finding a good insurance policy will make sure you can cover any unexpected damage or repairs.
Expect the Unexpected
Unless you want to have to drive out to your rental property at 3 a.m. with a plumping snake in hand, you’re going to have to plan for emergencies long before they happen.
As a landlord-to-be, it’s your job to anticipate any emergency scenario your renters may encounter and take the necessary steps to rectify those problems before they pop up. This step includes finding an emergency plumber your tenents can rely on 24/7.
While you could handle this side of renting yourself, there are plenty of property management companies out there who will take care of the emergencies for you.
How to Rent Out Your House
Now that you know how to rent out your house, it’s time to get to work preparing your property to earn you some extra cash!
Are you looking for more advice on how to get the most out of your rental properties? We’ve got you covered! Check out the rest of our blog for more helpful articles today!