New to being a landlord - what haven't I thought about/considered?
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Anonymous
You sound ok then. Just vet any potential renters really well. Dig into their social media and what not. If they have it blocked, tell them to unblock it or you won't even consider them. |
Anonymous
That is psychotic. |
Anonymous
Everyone loves a blue state until housing rights are protected. SMH. |
Anonymous
Don't forget to consult your psychic, who may be able to tell you how reliable and trustworthy your tenants will be over time without regard to what they seem like at the moment they sign a lease. |
Anonymous
Where are you located and are you renting below market that you have so many BS applications? People don’t usually like to go that extra step of filling out an application and providing forms for BS reasons. They could contact you for showings and waste time though, but I could never imagine anyone charging people just to see the place. Showings can be a PITA though if you rent in a transient area and potential tenants are out of town and everyone wants a virtual walkthrough with you on the phone. I don’t feel comfortable renting to people who cannot show up in person to truly get a feel of the place, as this may invite future problems with them not likening a place |
Anonymous
| Trust your gut instinct if you are remotely suspicious of anyone. Also, keep a mental note of the questions they ask during the tour. If they are asking unusual or annoying questions, they are probably not worth renting to. Also if they mention anything they want repaired, don't like, or want you to change during the tour, don't rent to them. They are probably not worth it. I made this mistake once and will never do it again. Any potential renter that requests changes before they even sign a lease will be a total PIA. |
Anonymous
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Thanks everyone - this is OP.
Given the desirability of the neighborhood, dearth of *quality* rentals in this town (and specifically this area), and particularly a dearth for young professionals/young families, I am confident we can find a good renter in short order. BUT we can easily afford the mortgage & fees even if it takes a little while to find them. It's mostly for this reason that I don't feel disincentivized from renting. I think my greatest fear - as outlined in some PPs - is getting a problem renter. I will plan on thoroughly vetting and reading between the lines as we show the place etc. Also, yes, background check, credit check, and references. Our new house is half a mile from the rental, and we'll plan on keeping an eye on things in addition to doing a thorough walkthrough when the renter moves in, and doing 6-month inspections. I appreciate everyone's advice, thank you. |
Anonymous
| Having a property manager has been great for us and other landlords we know. |
Anonymous
| There are tax implications if you sell a house you’re using as a rental. I think you need to live in it for 2 of the last 5 years. So, try for a few years and if you think you might sell, check out the tax ramifications for waiting. |
Anonymous
Your choice. I'll reject your application. Next. I never had any problems finding good tenants. Applicants who are not willing to pay an application fee are more likely to default on rent payment. |
Anonymous
ahhahahah yes, people who let some sleazy pervert in his 50s "examine" their social media and give him $50 in cash "for background checks" are definitely much more willing to keep paying rent in your dumpy apartment. |
Anonymous
This. It can work out very well and be totally fine. Or you can have really bad tenants and not get paid rent for months on they end up destroying your home or you’ll end up in court trying to get them out. It’s really a gamble. When it’s bad it’s really really bad. I hope it’s good for you. |
Anonymous
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I've rented out a single family home in DC for 20 years that we previously lived in.
Getting the required licenses was a bit of a hassle in DC. Mostly I've had great tenants including one that I went years from having to do anything aside from depositing the rent every month. I also had to evict a tenant which took about 6 months and in net cost me about $15K in lost rent and repairs - the eviction process in DC is absolutely ridiculous aided by a tenants rights office that basically tells tenants to file frivolous claims that they know aren't true to drag out the process. Having said that I paid the mortgage off a couple of years ago - my rent was always only a bit above the mortgage so it was mostly cash flow neutral but I stupidly didn't think about two things - first a good portion of the mortgage (in DC at least it is about 30%) goes towards the taxes and property insurance but more importantly we are making a lot more money than we ever expected to make so at this point a significant portion of the rental income is now paid in DC and Federal taxes. So we will mostly make money on the house when we sell which has more than doubled in value since we bought but of course we long ago lost the $500,000 Federal tax exemption on the sale. So we will net some nice money over the life of the rental and the sale but I'm not really sure I'd do it again given where we landed financially. |
Anonymous
| Do not underestimate the wear and tear on your property. Renter are not as invested in maintaining it and things will break or wear out with use -- they may not tell you in a timely manner and that can cause repair or replacement issues. Also, do a thorough walk through before your tenant moves in (with photos) and have them do the same so you have a baseline of the state of the property for when they move out. If your tenant brings up a maintenance issue such as leaking pipes or an appliance that stops working be mindful that they are still living there and need to have full use of the property (for example, if the washer stops working because it's 20 years old don't wait three weeks to replace it - how are they going to do laundry in those three week, especially if it's a family). |
Anonymous
I have been a landlord for a long time. The thing to realize is it's a job, one with irregular hours, and things will arise at the least convenient times. For example, when you're on vacation, and you have to spend hours coordinating the fixing of a broken pipe. My experience is that it's fine until you get one bad tenant and then it's terrible. I probably wouldn't do it over. But now we are in a situation where we'd have to pay a lot of tax if we sold so we are stuck. |