Support NeoGAF

[HammerOfThor]

Long story short, my dad and I inherited my grandmas house 6 or so years ago. I'm doing some remodeling and thinking of renting it out. Its just a bungalow with an unfinished basement and a detached garage.

I'll probably use a realtor to help me find a tenant, but after that I'd manage it myself. I don't want to lose 7-15% of the rent for someone else to manage it. Aside from checking local laws and regulation, you guys have any advice? What are your experiences from rental properties?

 

[Jezbollah]

Photograph everything.

 

[malfcn]

Allowing pets? Cats can pew. Dogs can chew everything. Smoking also permitted?

Photograph everything.

And definitely this.

 

[Meadows]

Don't be their friend and keep stuff above board and legit.

 

[turtle553]

You don't need a Realtor, it cuts down on the pool of tenants. Use craigslist and just screen people carefully. You can also set the price a little low to make sure you get the choice of better tenants.

 

[Saya Brea]

Photograph everything.

THIS.

Use a realtor and make the tenant fill out a condition report.

 

[DeaconKnowledge]

Smoke alarms on every floor, Carbon Monoxide detector in the home.

Make sure if there's an entrance from the garage to the home the door is properly fire rated and has a door closer. Check your local regulations for the accepted fire door ratings.

Charge rent in relation to what your neighbors are charging. Easiest way to do this is check the nearest listings around your zip/postal code.

Credit check, credit check, credit check. CREDIT CHECK. CREDIT CHECK! It's the easiest way to screen potential problem tenants. Well worth the 15 bucks.

A realtor is only necessary if you can't be bothered with craigslist. It's quick and easy to find a tenant yourself. Go online and download a few interview forms for prospective tenants, and a rental agreement, and check out a credit check company. What you're paying a realtor for is the MLS which prospective renters only check when they're looking with a realtor. Save that first month's rent and do it yourself.

Oh, also, get everything in writing, especially when money changes hands. Buy a receipt book, give receipts for every transaction - they are instant win buttons for money disputes.

Log any maintenance you do on the property before and after your tenant moves in, and save receipts. Handy for tax time, and also to remember the shelf life of your upgrades.

edit: I keep remembering things!

Change the outlets in the kitchen and bathrooms (and any other outlet near water) to GFCI outlets.

 

[turtle553]

Smoke alarms on every floor, Carbon Monoxide detector in the home.

And fire extinguisher in kitchen.

 

[Romars202129]

Whoever you rent to, make sure they aren't bigger than you. You don't need anybody giving you the tough guy act when the rent check goes overdue.

 

[NuclearSpy]

Save yourself headaches.

Get a management company. Seriously.

 

[MjFrancis]

Just put the house up on craigslist, know renter's law inside and out, get a credit check from them and still be extremely selective in your screening process. Once a renter is in they can be a total fucking pain in your ass and make your life a living hell, so be very strict in your screening.

If the law allows, get a first, last AND deposit. Many places only allow a last and deposit or a first and deposit. Photograph everything on the property and have an airtight lease written up. Six months is nice because if you get a bad one you don't have to deal with them as long. If they are good then you can offer a longer lease next time.

Be very strict on payment. The lease says payment is to be postmarked or delivered by the first of the month, keep them to that. You probably have to accept payment with no late fees by the fifth, so don't let them dodge that late charge if they are trying to pay you on the sixth. They will never pay you on time again if you do that. Never accept partial payment.

Don't rent to your friends, that won't end well nine times out of ten.

I've seen enough to know I'd never rent my own home out to anyone. If you're going to do it, do your research, do things by the book and choose your renters wisely.

 

[HammerOfThor]

Thanks for all the tips guys. I'll probably contact my attorney to help draft a solid agreement within the bounds of the law. Then I'll most likely hit up craigs list and other services to help find some tenants and be sure to do some strict screening. Also I like the idea of only 6 months to start, so I'll stick with that. I'll also photograph every single thing and keep track of all the improvements I've been making.