You purchased an investment property because you wanted to earn extra income. The only problem? You didn't anticipate how stressful being a landlord really is.
Duluth has a higher percentage of renters than Minnesota as a whole, but that doesn't mean local landlords are consistently thriving. Property damage, evictions, and high tenant turnover are just a few issues we hear about often.
How can you find some landlord stress relief in Duluth? Read on for our top tips to cut down on stress and boost profits at the same time.
Get Serious About Tenant Screening
Few things are as stressful for landlords as evicting a problem tenant. If you keep finding yourself in the position of going to court over unpaid rent or lease violations, it's time to assess how you're screening your tenants.
Tenant screening should include collecting a thorough credit report on all applicants. This will allow you to verify an applicant's:
- Income
- Debt-income ratio
- Credit score
- Criminal history
- History of evictions
You can also ask applicants for referrals from previous landlords. This allows you to find out about any issues a landlord had with a tenant that didn't result in an eviction, but could still be a red flag.
Take a Good Look at Your Accounting
As rental property challenges pile up, you may find yourself avoiding your bank accounts. While you may not want to confront a harsh reality, you need to see where you're losing money to start making money.
Rental property accounting requires an assessment of fixed costs, like property taxes or mortgage payments, and estimated costs. How much are you spending on things like maintenance and marketing? You may need to adjust your rental price and the way you spend money on your property to start turning a profit.
Approach Maintenance Proactively
Does it seem like maintaining your property is costing a fortune lately? The cost of home maintenance has reached an all-time high, putting landlords in a tough spot.
The best way to cut maintenance costs without neglecting your property is by taking a proactive approach to maintenance. Provide a tenant portal that makes it simple for tenants to report problems as they notice them. Inspect your rental property at least once per lease term to check things tenants haven't reported.
By catching problems early, you can often invest in smaller repairs. This costs a lot less (both in money and in stress) than responding to emergency situations.
PMI Lakeshore Provides Stress Management for Landlords
Landlords in Duluth may have a good-sized pool of renters to choose from, but that doesn't mean they're stress-free. These tips can promote landlord well-being, but they're not all that PMI Lakeshore has to offer.
At PMI Lakeshore, we use time-tested methods to support landlords and tenants. Our tenant portal keeps communication simple while our real estate experts keep rental properties in great shape. With years of experience in Duluth, we know the market in and out and can give you the hands-off rental experience you deserve.
Contact us to learn more and reduce your stress with PMI Lakeshore.
