REAl E-state Today: Landlording: Sharpen Your Pencil!

REAl E-state Today: Landlording: Sharpen Your Pencil!: Are you wanting to put your home up for sale? Maybe you are thinking about becoming a Landlord and rent out the home instead. All the years ...

Landlording: Sharpen Your Pencil!

Are you wanting to put your home up for sale? Maybe you are thinking about becoming a Landlord and rent out the home instead. All the years We have been a property owners we have been a landlord. Most of the time I'm either talking with a renter or cleaning their shit up. Many times becoming a professional rent collector. This was when gas prices were at $4/gal. I think my hairline receded .25 inch that summer! There are business risks that you may want to be aware of: Tenants who are they? ARE THEY GOING TO BE ABLE TO PAY?! Eviction attorneys and costs associated CAN BE BLOATED. Insurance companies cost go up if it is not a owner occupied home. When are you going to inspect the home and are the tenants ok with it? They should be there are laws for that! Are you able to absorb the costs associated with vacancies? Mortgage insurance taxes and these days in Toledo we are charged for water associated costs even if we don't use water. Pitfalls: Not collecting enough rent. Repairs? who's going to handle them? Do you have a handy man on call? Are you going to personally collect the rent or have them send it to a PO Box? Not a permanent family that lives in the house. Recently we had a fellow landlord rent his house out for less than the mortgage balance was so he was unable to cover his costs. WTF!? Upsides: Tax benefits...and those are even dwindling