Common Unreasonable Landlord Behaviors You Should Avoid.

The returns you receive as a landlord are greatly dependent on your property management. In some investments such as shares and bonds, you can get returns without getting much involved as an investor. However, rental property investment is not 100% passive. Before you get your rental income as the landlord, you to do some work and use some skill. Without proper knowledge, you can jump into rental property investment thinking it is a walk in the park only to make costly mistakes that may ruin your investment. You don’t your investment to get into ruins because of some avoidable mistakes. Rental property management is one of the aspects that determine the success of your investment as a landlord.

Here are the common unreasonable landlord behaviors you should avoid.

Landlord Pocketing All the Cash Flow

Basically, everyone needs a cash reserve, commonly referred to as an emergency fund. While the cash reserve is a necessity for everyone, a landlord should have a more cash in the reserve. Note that landlord expenses are never uniform for each month. From turnover expenses to utility bills, there are many things that require cash from the landlord monthly. To help facilitate these large and irregular expenses, a landlord should set aside an amount of cash from the monthly rental income in a separate account. If you don’t set aside the money from the rental income, you’re will in for a crisis.

Putting Off Property Repairs Needs

Failure to have a rental reserve fund as a landlord will cause you to put off repairs. The more time you take before doing repairs the more expensive they’re likely to become. Property repair problems tend to get worse with time. Some repairs such as leaks can cause severe damage if left unattended to for a long period of time. Asking your tenants for the repairs they need during semi-annual inspection will also help reduce turnover.

Not Inspecting the Rental Property

A landlord should visit and inspect the property at least once a year. However, it is better to inspect the property 2-4 times a year. This is one way to find out any needed repairs and hold your tenants accountable as well. You will be able to find out and deter any lease violations among the tenants. Moreover, when your tenants notice that you’re a landlord who cares about the property, they will have no option but to take good care of the property too.

Deducting Normal Wear And Tear Costs from the Security Deposit

While it is normal to deduct damage repair costs from the security deposit, the cost of normal wear and tear should not be deducted from the security deposit. For example, you can’t charge a small nail hole in the wall from the security deposit. To avoid issues with your tenants, you should have a detailed move-in and move-out walk-through report with complete photos of the rental unit.
Not Allowing Pets
While it may sound controversial, it is still a fact. Many landlords don’t allow pets into their rental properties. Though pets cause more wear and tear on rental properties, this is not reason enough turn away tenants with pets. According to statistics, more than 65% of American households own a pet. This means that if you don’t allow pets as a landlord, you will be closing doors on about one-third of prospective tenants even before checking their credentials. If your greatest worry is pet wear and tear, you can charge a non-refundable pet fee or a refundable pet deposit to help you reduce on your expenses.