Earlier this week, we covered the biggest mistakes new landlords make. Landlords, no matter how many years you have been worked, are still human. Distractions like a a growth in the housing market can trip up the pros. Here are common mistakes by experienced landlords.
 

Confusing Cheap for Good

Just because a rental is cheap does not mean that it is of good quality. Homes in deserted areas are not always appealing to the public. Investigate why that home is in a deserted area. In some cases, you can make those reasons into good marketing tools. But other cases, there’s a good reason why they are abandoned. Other elements to look into are nearby below-quality school districts and unattractive properties. If you find any of these characteristics, it’s probably best to move on.
 

Overlooking Key Costs

Before buying the property, remember to calculate closing costs, which can range from 3 to 6%, repair costs, and holding costs. Then calculate the profit you are predicting to make. Then calculate closing costs. Be as accurate as possible.
 

Forgetting That Time is Money

No matter how successful you are, you have to work efficiently. You lose money when your property is empty. You also lose money when you buy a property, but can’t repair it for quite sometime. In this case, it’s better to accept a lower rent than waiting for a high-paying tenant.
 

Slacking

This may be unintentional, but you can’t sit back and watch your income pour in. Tenant are like homeowners in that they cannot pay to live in their home if they lose their jobs. Other problems like eviction and theft arise as well. You need to pay attention to your tenants or hire someone else to do so. Even after screening your new tenants, you cannot trust them completely after they move in.

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