Posted on: 24 September 2015Share
During your time as a rental property owner, you are going to deal with all types of tenants and situations. Some tenants are going to be great and other may be a bad experience for you. You need to be ready to handle all situations by having the right team members to help you with your rental property business. Here are two team members and how they can help you be a successful rental property owner.
Real Estate Attorney
Although you may screen all your tenants with background and credit checks, there can still be problems that arise. A tenant who stops paying their rent or violates a condition of their lease will need to be evicted from the property. When this happens, you can benefit from the help of an attorney to follow the proper legal steps to file an eviction lawsuit.
First, you need to give your tenant a written notice to pay or vacate, or comply or vacate the premises, which can be handled by you or your attorney. These notices can be anywhere from three to ten days, depending which state the property resides in. After the specific notice time frame has lapsed without any action on your tenant's part, your attorney can start the eviction lawsuit.
Next, your attorney will file a Summons and Complaint with the courts and have a neutral third party, such as a process server or the Sheriff, deliver the Summons and Complaint to your tenant. The tenant will usually have one week to respond to the Summons and Complaint or else they will automatically lose the lawsuit and receive a writ of restitution. A writ of restitution notifies the tenant when the sheriff will come to remove them and their possessions from the property, usually after three to four days. Your attorney will handle hiring the sheriff needed to assist in the eviction activities and any additional court dealings if your tenant chooses to fight the eviction.
Every state can have different regulations to follow during an eviction process. If a real estate attorney handles your eviction lawsuits, you don' t need to stress as much about such details as managing the eviction process, knowing the legal requirements, or filing paperwork with the courthouse.
Hiring a property manager to manage your rental properties can help to free up your time so you can further invest in real estate. It can also help make your rentals more efficient and profitable. The average cost to hire a property manager can be from four to ten percent of the monthly rent. They may also charge a tenant placement fee, usually one month's rent, when they find a new tenant for one of your properties.
The property manager for your rentals can handle the day-to-day activities with your tenants and properties. And, they manage the upkeep and repairs on any of your rental properties. For example, if a water heater breaks in one of your units on a Sunday evening, your property manager can make sure the tenant has a place to access running water and replace the water heater as soon as possible.
Your property manager will advertise and fill your vacant properties. They will show your properties to prospective tenants, screen tenants, and collect application fees for the background check and application process. The property manager will also review the applicant's credit report and make sure the tenant has acceptable credit. They can take the time to call references and verify employment or past rental history. By calling a previous landlord, your property manager may learn important information not showing on the prospective tenant's application and credit to help make a better rental decision.
Your property manager can use their employees to quickly get your property ready for new tenants, which can help save you money. They can make sure any repairs, new paint, and carpet cleaning are all completed in one to two days, versus several days if you did it by yourself.
Use these two tools as a rental property owner to help you be more successful.