When you decide to go for buy and hold investing, your tenants play major role to your business. the better the tenants, the easier the experience you get in handling your rental property.
One of the most important factors to find good tenants is being a good landlord first. However, it is also challenging especially when you have no prior experience of being a landlord, let alone knowing how to be a good one. Being a good landlord isn’t always about giving everything the tenants want. In simple word, being a good landlord means you have to run your properties with efficiency.
How to optimize your rental portfolio
When you have rental property, the one thing that keeps in your mind is how to keep the leases and how to find new tenants once the lease is over. When you find good tenants, your rental will be running smoothly.
You will earn monthly income and save up for your next investment perhaps. That is why it is important for you not to slack off in optimizing your portfolio in the first place.
You need to constantly managing your business properly optimizing every potential and defining the system. Here are some tips to optimize your rental portfolio:
- The key of successful rental property is the tenants. It works just like how the successful of business can be determined by how good the employees are. Thus, you need to focus on your good tenants. Find the one that fits perfectly with you. To find good tenant, you need to do your due diligence such as screening, so that you will find out whether or not the tenants are good for your rental property. Make sure that you find tenants who are able to take care of your property as well as pay on time.
- Running rental property will make you deal with various issues. To optimize your rental portfolio, you need to handle all issues efficiently. Make sure to take immediate action when the issues arise. There is no benefit at all by procrastinating. If there is something that needs to be fixed, fix it immediately. Many landlords think that it is such a hassle to deal with things in their property. However, it not a hassle but more of responsibility of you as a landlord. It is also a great way to show your tenants that you take care of the property properly. They will do the same in return.
- Make sure to set policies containing guidelines, rules, as well as expectation especially before they move in. You can make policies as you wish but make sure they are good for you and your tenants. After setting the policies, you need to stick with them. It is not good to easily bend the rules you have made on your own. You can be flexible to some extent but not you have to be strict while enforcing them as well. You can also apply reward and penalty system to motivate your tenants to follow the rules.