For any first-time landlord, there are a lot of things to consider: How should I choose a tenant? How do I list my property? How do I protect my property? Although these are all good questions, the process of managing a property can be boiled down to a list of key steps and processes. This checklist provides the basic steps to guide you towards rental success for your new property!

First-Time Landlord Checklist for Rental Success

Understand Your Property

Knowing what type of property you are renting to a tenant will allow you to identify common areas and specific areas of ownership. Such spaces include laundry rooms, parking garages, and garbage disposals. These are important details any tenant will want to know when renting a property as it will likely impact their stay.

Consider Hiring a Property Manager

How comfortable are you with managing tenant relations, making necessary repairs by yourself, or committing time to managing your property? These are all essential responsibilities for a landlord, so anybody interested in being a landlord should carefully consider these questions. If you feel that you won’t have enough time to directly manage all these responsibilities, consider looking into hiring a property manager.

In addition, this is also important information regarding communication with tenants, as they will likely want to know how to reach out to you for any assistance or if they should reach out to a different maintenance or management service instead.

Purchase Landlord Insurance & Properly Maintain the Property

Make sure to attend to the following on a regular basis:

• Test the smoke detectors and carbon monoxide alarms 
• Clear all vents of any buildup 
• Check internal and external pipes for damage 
• Check all appliances 
• Make sure the property is completely clean 
• Check all utilities (electricity, heating, plumbing) 
• Check all locks work properly 
• Landscape any necessary green areas 

While these are basic considerations, they are all just as important as all the other points on the checklist. If you rent out a property that isn’t safe or clean, tenants will make that known. If your property attains a poor reputation, it’ll only lead to a lack of suitable tenants, which  will inevitably hurt your investment. 

Determine Property Rules for Tenants 

Setting clear, established rules for your future tenants is incredibly important. These regulations will likely evolve over time. However, without firm rules, protecting your property from damages will only be that much more difficult. 

Set a Rental Price 

It’s important to do your research by looking into your surrounding market and determining a fair market price. You should also compare this rental price to your rental expenses, considering this is meant to generate a profit on your investment. Make sure that after all the costs of cleaning, repairing, and mortgage payments you will still make money. 

Advertise Your Property 

In order to find tenants, it’s vital that you advertise your property well across multiple rental websites and platforms. Your property description should include any details a potential tenant might want to know such as the price, address, number of bathrooms and bedrooms, amenities, etc. 

Make sure to upload clear pictures that effectively showcase the highlights and beauty of your space. Don’t mislead tenants, but try to take photos with good lighting and at decent angles. 

Stage Your Property for Showing 

It’s incredibly important to make your property look presentable when showing it to potential tenants. Try to spruce up the exterior if possible, and use some more neutral colors and fixtures to appeal to a wider variety of tastes. If you need help, you can always enlist the help of a professional cleaner or decorator to assist with the set-up. 

Select and screen tenant applicants 

While you might be tempted to accept the first tenant that applies, it’s important to take a step back and double check if they are a reliable renter. An ideal tenant should be able to pay in full each month, doesn’t have a criminal history, and has a positive rental history. All this information should come from the tenant application where they include their name, current address, reason for moving, employer information, income, and past landlord references. Remember to ask any pertinent questions to address all your concerns before accepting their application. 

Complete a pre move-in check 

• Create a lease agreement
• Ensure collection of safety deposit 
• Provide tenants with your contact information 
• Provide tenants with property rules 

After accepting your tenant, make sure to prepare them for a smooth move-in! This should include making sure the property is clean, finalizing the rental agreement, and providing your tenant with any necessary information for a successful rental. Confirm that you have received the agreed safety deposit and any other payment included within the rental terms. 

Enforce your rental agreement 

Now that the preparation is over and your tenants have moved in, all that’s left for you to do is enforce your rental agreement should anything problematic occur. As long as you performed a thorough check on your tenant and property, there should be nothing to worry about! 

Final Thoughts

Stepping into the position of landlord can seem overwhelming at first, but the key to successfully managing your property is understanding your responsibilities and consistently performing them. Don’t hesitate to reach out for help from those with experience in the role and make use of the wide variety of resources available online to assist you.

For more articles and how-to guides for renters and tenants, visit mylighthouse.co.