Things Landlords Should Be Doing Every Year But Probably Aren’t

Managing a rental property can be as time-consuming as a full-time job. Landlords have many tasks, from marketing their rental and screening potential renters to addressing tenant requests and collecting rent. Some tasks should be done on a yearly basis, such as pest prevention and tenant evaluations. 

With so many things they must do daily, it’s easy for landlords to forget these essential yearly tasks. Doing so can lead to costly problems down the line, such as emergency repairs, pest infestations, or even evictions.

To help you stay on top of things, the experts at Halcyon Real Estate Services have written this article. Keep reading to discover some essential things landlords should be doing every year to keep their rental investment profitable.

Inspect Your Rental Property

Conducting at least one extensive property inspection a year is crucial for landlords. Checking in your rental property can help you ensure that tenants are complying with the terms of the lease when it comes to property maintenance. Additionally, it can help you spot problems, such as pest infestations and water leaks, before they become big, costly repairs. 

However, it’s even better to inspect your property several times a year. If you don’t have the time, though, don’t worry. One full-property inspection a year can go a long way in ensuring your investment is in good shape. 

Adjust Your Rental Rates

Rental properties are a great way to earn a steady passive income. However, this is all dependent on charging the right price for rent. After all, if you charge too little, you might be able to fill your vacancies quicker, but your profits will be lower than what you need. On the other hand, charging too much can drive prospective tenants away.

To ensure you get a good return on your investment, you must evaluate your rental prices at least once a year. Do some market research to know how much other similar rentals in your area are charging for rent. Then, change your rental rates accordingly. 

Conduct Lease Renewals

The best way to earn a steady rental income is to find reliable, long-term tenants. You can end up keeping the same tenants for years and years if everything goes according to plan. However, it’s also important that you take preventive measures to ensure the safety of your investment.

Typically, long-term leases are signed on a yearly basis. If a tenant wants to stay for longer, request them to sign a new lease. Otherwise, you run the risk of having to deal with holdover tenants.

It’s also a good idea to conduct renewal screening checks. With these checks, you can ensure that your renters are still responsible and have the means to pay rent, which will help to keep your investment profitable.

Check Your Finances

Owning a rental property is a huge investment. That’s why it’s important to check your ROI at least once a year to make sure it’s still where you want it. Reviewing your financial records can help you understand how your investment is performing and whether you need to make any adjustments for the next year.

Conduct Safety Inspections

As a landlord, you’re legally required to keep your rental in a safe, habitable condition. Safety hazards are a risk to your tenant’s well-being that can cost you a lot of money and even your reputation as a landlord.

It’s important to conduct a safety inspection at least once a year. This includes ensuring carbon monoxide detectors are working, staying up to date on fire prevention, and ensuring that there are no faulty or exposed wires on the property, among other concerns.

Pest Control

Pest infestations are every landlord’s worst nightmare. After all, pests can scare away your renters and cost you thousands of dollars in exterminator fees and emergency repairs.

Pest control inspections should be annual as well. Whether you conduct them yourself or hire a reliable exterminator, inspections can help you spot signs of infestations before it’s too late. This will help you keep your renters happy and your investment protected.

Evaluate Your Insurance

Investing in landlord insurance is a must when renting out your home. Not only can it help you cover the costs of property damage caused by tenants, but it also keeps you protected from liabilities. 

To ensure you and your property are properly protected, it’s good to make yearly checks of your insurance. You want to make sure that the coverage hasn’t changed, as you wouldn’t want to pay the same price for less benefits. If you’re not happy with the cost or coverage of your current insurance, shop around! You can certainly find cheaper insurance that will cover all of your rental property’s needs. 

Check in with Tenants

The key to a successful, stress-free tenancy is to build a good relationship with your tenants. Keeping open lines of communication at all times is key, but it’s also important that you check in at length with your renters at least once a year. 

This is when you can inform them of changes to the lease agreement or the price of rent, along with addressing any inquiries or concerns they might have. This can go a long way in preventing misunderstandings!

Invest in Upgrades

Investing in upgrades for your rental property can make its value go up. More importantly, it can make your rental more attractive to prospective renters. That’s why it’s highly advised that you create a yearly budget for renovations and upgrades. Small upgrades every year can contribute greatly to your property appreciating in value.

Bottom Line

There are many essential tasks landlords must do on a day-to-day basis, such as addressing tenant complaints, dealing with repairs, and collecting rent. But there are tasks, such as pest control, safety inspections, and rental rate adjustments that must be performed at least once a year and are often overlooked.

Now that you know which are the top annual tasks a landlord should do, you are better prepared to keep your rental property in good condition and your renters happy. Do you need help managing your Poway rental? Contact Halcyon Real Estate Services! We offer a wide range of property management services to help you maximize the return on your investment and keep your renters happy for the long term.