Are you looking to make money as a landlord? Before you become a landlord you have several things you need to think about. You also may want to look into Airbnb as an option as well.
Finding the Right Property
Your first step will be to find the right property for your needs. In the ideal situation you want a newer property so you don’t have to spend a lot of time with repairs. If it’s an older unit all the repairs can quickly eat into your profits.
Getting the Units Ready
Make sure all the units are already setup before you rent. You may find that some of them need new paint or carpets. Do this prior to renting as it will save you hassles latter on. If the units look great, you’ll quickly attract tenants. If your handy, so all the repairs you can yourself as you’ll save a lot of money this way.
In cities where rental space in scarce, you should have no trouble getting tenants. In other areas use small advertisements online or in newspapers to get more tenants. You should screen and do a credit check on tenants or at least get solid references. Those that have rented before and have positive feedback make great first tenants.
Make Money with the Basics
It’s better to start with something basic that is already setup so you don’t have to do a lot of work. You could also buy a cheaper unit and have your renters pay off the mortgage on the property and then sell it later for a profit. Make sure you don’t go too cheap as you want to minimize repairs and other expenses.
Another way to make a lot of money as a landlord is to use Airbnb. In this case, you’re just renting out a room in your home for people that need a place to stay when traveling. If you’re out of town a lot or have a mortgage to pay off, this can be a great source of income. You get to decode what to rent the property out at and the listing with Airbnb is free.
Make sure you have a nice space that looks great so you attract guests. Having a good image of the space will do wonders for getting gusts to your property. Describe it well and mention what is nearby such as buses or shopping so people can get around. Make sure you have adequate insurance and Airbnb provides up to $1 million in insurance coverage for property damage. When your guests arrive, you get aid by Airbnb within 24 hours.
You can make money as a landlord as long as you’re careful about the properties you rent. For those just starting out, Airbnb can be a good solution as you don’t have the huge expanse of buying a property to rent out to tenants. They will pay you quickly and you’ll have a steady stream of renters to your home.