Considering becoming a landlord to make some extra money?
Owning real estate is a great long-term investment strategy.
In fact, at Better Together Properties, that’s what we do — we buy properties, fix them up, and either flip them or rent them out to tenants.
And we thought we’d share a few tips from our own toolbox of real estate investment strategies for those of you who are looking to become a landlord and build passive income…
Here you go!
Do The Math — Before you become a landlord, it’s important to do the math on how much you stand to make per month from the rental property. How much is the monthly mortgage payment? How much should be set aside every month for maintenance and repairs? Subtract those numbers from the rental amount to figure out how much profit you’ll make every month.
Get Insurance — It’s important for landlords to have insurance on the properties that they own, which typically includes property and liability coverage. Need to keep yourself protected!
Find Tenants — Tell friends and family about your new rental, put a sign in the yard, and maybe even pay for some advertisements in the local newspaper. The more marketing you do, the faster you’re going to find high-quality tenants. And make sure to ask potential tenants for references and rental history before signing any papers!
Maintain The Property — It’s your job as the landlord to maintain the property. So make sure you have some money saved up for unexpected repairs.
And here’s a complete guide on how to become a landlord in 2021! Hopefully, that gives you an idea of what it takes to rent out a property.