Anonymous
07/21/2025 10:25
Subject: New to being a landlord - what haven't I thought about/considered?
It depends on the tenants. My rental I have not been there since 2018. My tenants if something breaks texts me, for instance Fridge broke. I order new one Home Depot or Lowes on line to be intalled with takeaway, confirm date and time with them and they are home and it is installed. Sometimes I make them measure. But thats not a big thing.
So far since 2018 my old washer dryer went, my old fridge went and my somewhat older oven went. They must be honest as my microwave, Dishwasher were new when moved in. So I had no concerns all older stuff.
So far since 2018 my old washer dryer went, my old fridge went and my somewhat older oven went. They must be honest as my microwave, Dishwasher were new when moved in. So I had no concerns all older stuff.
Anonymous
07/21/2025 09:16
Subject: New to being a landlord - what haven't I thought about/considered?
It's really a math problem.
Figure out how much equity you would clear if you just sell and invest in either a market index fund...or if you don't want the market risk a 10 year treasury.
For the rental, figure out a reasonable rental rate, less all PITA and then also budget a reasonable annual maintenance expense.
Also, figure out the tax benefits you may receive from a rental property.
If the rental produces far superior returns, then you can go for it.
No idea where you are, but your other option may be just use it as an Air BnB. You could probably make a ton renting it around football weekends (if that's relevant), parents' weekend, reunions, graduation, etc.
You probably need to be near a big sports college for this to work.
Figure out how much equity you would clear if you just sell and invest in either a market index fund...or if you don't want the market risk a 10 year treasury.
For the rental, figure out a reasonable rental rate, less all PITA and then also budget a reasonable annual maintenance expense.
Also, figure out the tax benefits you may receive from a rental property.
If the rental produces far superior returns, then you can go for it.
No idea where you are, but your other option may be just use it as an Air BnB. You could probably make a ton renting it around football weekends (if that's relevant), parents' weekend, reunions, graduation, etc.
You probably need to be near a big sports college for this to work.
Anonymous
07/21/2025 08:34
Subject: New to being a landlord - what haven't I thought about/considered?
People are too litigious these days. Landlording needs corporate level economies of scale and vicious legal teams.
Anonymous
07/21/2025 08:27
Subject: New to being a landlord - what haven't I thought about/considered?
I bought multiple college rental houses early in life. They had great cash flow because at the time the location was great and college students wanted the "animal house" experience with house parties etc.. houses just needed to be sturdy and generally safe. High rents (followed the youth gouging massive inflation rates of big education). 20 years later parents and kids were way more persnickety, allergy laden, life skills of toddlers and litigious. Became life running a 4 star hotel with all the associated time/cost issues so I sold them all. Over the years the cash flow was great till the end. The one thing I didn't anticipate that really sucks is when you sell you have to sell all at once and it's a huge capital gain plus the depreciation you took over the years makes your cost basis practically zero so the taxes are massive. Unlike stock where you can manage the amount you sell for tax strategy. With real estate you have to sell the whole thing and the fed and state taxes at the highest level...this is why the big landlords say "swap till you drop" and don't sell till your kids inherit tax free.
Anonymous
07/21/2025 07:15
Subject: New to being a landlord - what haven't I thought about/considered?
Anonymous wrote:Ugh... good luck. never again for me.
Same. My last tenant looked great in paper, but spilled a whole bottle of nail polish on the floor, and had a cat in there which was forbidden under the lease. No pets at all. Not exceptions. Make it an immediate lease termination if you find one.
Anonymous
07/21/2025 07:10
Subject: New to being a landlord - what haven't I thought about/considered?
Anonymous wrote:This is OP: really that bad? We are NOT in DC - I would never do this in DC. It's a very landlord-friendly red state. I'm in a college town with an abysmal rental market for professionals, with a small house in a very desirable neighborhood/good school district.
Y'all are scaring me
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.
Anonymous
07/21/2025 04:21
Subject: New to being a landlord - what haven't I thought about/considered?
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
07/21/2025 02:10
Subject: Re:New to being a landlord - what haven't I thought about/considered?
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.
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
07/20/2025 21:39
Subject: New to being a landlord - what haven't I thought about/considered?
Anonymous wrote:I have been a landlord for 15 years. 5 tenants during that time period across two units. 4/5 were fantastic tenants. The last one took 10 years off my life and I have stopped renting the property after finally getting her out. It’s great when it’s great and an absolute nightmare when it isn’t.
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
07/20/2025 12:59
Subject: New to being a landlord - what haven't I thought about/considered?
Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:This is OP: really that bad? We are NOT in DC - I would never do this in DC. It's a very landlord-friendly red state. I'm in a college town with an abysmal rental market for professionals, with a small house in a very desirable neighborhood/good school district.
Y'all are scaring me
No. And I’m a landlord in DC.
The most important thing is to screen your tenants thoroughly. Meet them and require an application (including income and rental history) and a small fee (shows interest/they’re not wasting your time). Full background checks, credit checks, require first month’s rent and deposit, etc etc. Look at the law in your state on what you may request and consider; every state/city is different.
Make updates/small improvements to your place BEFORE a tenant moves in. These are things like touch up painting, replacing light bulbs, considering replacing any appliance that seems like it’ll go soon, etc. It is easier to do all that without working around a tenant. And don’t cheap out; it’s better to do these things now instead of getting a call at 11pm that the fridge broke.
Know that stuff will break and that’s okay. Don’t get too attached. It’s a rental now. But treat it and your tenants with respect— fix things ASAP, keep big ticket items serviced regularly, and keep in touch with the tenants (but not too much). Don’t assume tenants (esp if they’re younger) to know anything about home maintenance. If you expect some, discuss and put it in the lease. Some tenants literally will not figure out how to replace a lightbulb even if one is provided for them, so have a plan for things like that in advance. This includes things like gutters etc. Deferred maintenance can lead to big problems like leaks so don’t just “forget” about your rental. Have someone on standby who you can call and send over about little and big home maintenance issues.
Price your place appropriately. Look at comps in the area and try to match them. In a good market, you should get interest within a few weeks; if you’re not, it’s either a dead time (what that means depends on the place, but generally mid-summer or mid-winter) or it’s too pricey.
Also, I’ve never found a property manager I like, fwiw. Some people really rely on them. But often they take quite a bit off the top and don’t earn it.
A fee is a sign of a seriously sketchy landlord... you may not be one, but you're just asking for trouble w/that... the kind of people you're going to attract are not good.
Always the armchair idiots chiming in with uselessness.
As a fellow highly successful landlord definitely have the fee. 1) it cuts back on BS applications and 2) it costs about $60-$150 to pay to run a background + credit check on tenants.
I used to rent and I never paid a fee, never would pay a fee and wouldn't let my kids rent from anyone who asks for a fee. I pay rent, you pay your expenses.
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.
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
07/20/2025 12:57
Subject: New to being a landlord - what haven't I thought about/considered?
Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:Anonymous wrote:This is OP: really that bad? We are NOT in DC - I would never do this in DC. It's a very landlord-friendly red state. I'm in a college town with an abysmal rental market for professionals, with a small house in a very desirable neighborhood/good school district.
Y'all are scaring me
No. And I’m a landlord in DC.
The most important thing is to screen your tenants thoroughly. Meet them and require an application (including income and rental history) and a small fee (shows interest/they’re not wasting your time). Full background checks, credit checks, require first month’s rent and deposit, etc etc. Look at the law in your state on what you may request and consider; every state/city is different.
Make updates/small improvements to your place BEFORE a tenant moves in. These are things like touch up painting, replacing light bulbs, considering replacing any appliance that seems like it’ll go soon, etc. It is easier to do all that without working around a tenant. And don’t cheap out; it’s better to do these things now instead of getting a call at 11pm that the fridge broke.
Know that stuff will break and that’s okay. Don’t get too attached. It’s a rental now. But treat it and your tenants with respect— fix things ASAP, keep big ticket items serviced regularly, and keep in touch with the tenants (but not too much). Don’t assume tenants (esp if they’re younger) to know anything about home maintenance. If you expect some, discuss and put it in the lease. Some tenants literally will not figure out how to replace a lightbulb even if one is provided for them, so have a plan for things like that in advance. This includes things like gutters etc. Deferred maintenance can lead to big problems like leaks so don’t just “forget” about your rental. Have someone on standby who you can call and send over about little and big home maintenance issues.
Price your place appropriately. Look at comps in the area and try to match them. In a good market, you should get interest within a few weeks; if you’re not, it’s either a dead time (what that means depends on the place, but generally mid-summer or mid-winter) or it’s too pricey.
Also, I’ve never found a property manager I like, fwiw. Some people really rely on them. But often they take quite a bit off the top and don’t earn it.
A fee is a sign of a seriously sketchy landlord... you may not be one, but you're just asking for trouble w/that... the kind of people you're going to attract are not good.
Always the armchair idiots chiming in with uselessness.
As a fellow highly successful landlord definitely have the fee. 1) it cuts back on BS applications and 2) it costs about $60-$150 to pay to run a background + credit check on tenants.
I used to rent and I never paid a fee, never would pay a fee and wouldn't let my kids rent from anyone who asks for a fee. I pay rent, you pay your expenses.
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
07/20/2025 10:37
Subject: New to being a landlord - what haven't I thought about/considered?
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
07/20/2025 09:00
Subject: New to being a landlord - what haven't I thought about/considered?
Having a property manager has been great for us and other landlords we know.
Anonymous
07/20/2025 08:55
Subject: New to being a landlord - what haven't I thought about/considered?
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.
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
07/20/2025 00:34
Subject: New to being a landlord - what haven't I thought about/considered?
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.