Ever wonder how to avoid running into mortgage problems as a landlord? Do you think it’s only the tenant who has a hard time paying the mortgage. Did you know that as a real estate investor or landlord, there may be times when it’s hard to pay the mortgage on your end as well. Here are some things you can do to avoid facing difficulty in paying your mortgage each month.
The first one might sound simple, it’s keeping it occupied. I know what you’re thinking ,is that it you make it sound so simple. We’ll its because it’s the most obvious. Think about it, this method ensures you’ve got rent money coming in each month to cover your property mortgage payments. Don’t give up on running advertising for new tenants.How else is anyone going to know what you have available. And please don’t put off screening applicants or filling your properties because you get busy or overworked. You must recognize that filling your vacancies is a major aspect of your REI business success and you have to deal with it quickly and efficiently every time.
Do your best to find quality tenants. Let’s face after a mot]nth or two of no rents coming you can get desperate and impatient. And while you want to keep your properties full, finding good quality tenants is key. By “good” it means they pay their rent on time, keep the property maintained and don’t take advantage of the lease. By using background and credit checks, you can find the best tenants available and thereby do what’s possible to keep your rental fees coming in regularly, which will help you pay the mortgage when it comes due.
Try and Look for longterm tenants. Don’t just assume that quality tenants will necessarily be longterm ones. Some good renters may know they can’t stay over a few months at most. They may be students or working a temporary job. They may just be living in an area waiting to move or retire somewhere else. Whatever the situation, opt for longterm renters when the choice is available. Doing so will make tenant turnovers less likely to happen as frequently as before.
It’s best to Keep the property well maintained. If you want good tenants, longterm tenants and tenants who pay their rent on time, do your part to keep them. Deal with maintenance issues quickly. Make repairs as necessary. Upgrade appliances or at least ensure the ones you provide are in good working order. Respond to your tenants’ calls quickly, or if you can’t be sure they know you’ll be unavailable for awhile.
Being a good landlord will go a long in way in developing lasting relationships with your tenants, which will in turn, help you keep them in your property longer. Often a tenant and landlord relationship can turn an average tenant into a great one simply because they want to keep that relationship intact.
In a tough economy, it’s important to do all you can to avoid facing the difficulty of paying the mortgage. That applies just as much to an REI professional as it does to the average renter. I hope these simple tips can help you work on ways to develop lasting, longterm, rent paying tenants to keep your properties bringing in the income you need every month.