If you’ve unsuccessfully tried to sell your home in today’s difficult real-estate market, you might be wondering how to rent your house. With increasing mortgage rates stalling the housing market recovery, current homeowners are learning that becoming a landlord is a viable option.
Learning how to rent your house is an important step if you are seriously considering renting your property. The process can be long and complex. We’re providing a basic guide on how to rent your house, but if you have more in-depth questions about the process in Kansas City, contact National Property Management Group at (913) 766-2302.
How to Rent Your House
Learning how to rent your house involves knowing what updates are necessary for your home to make it comparable to other rental properties in the area. You want your home to be an attractive, safe option for your tenants, so be sure to complete health updates like replacing old fire alarms or carbon monoxide detectors and adding fire extinguishers, plus aesthetic renovations like improving the kitchen. Click here to read more about making the right renovation decisions for your rental.
Updating your home will not only help you rent your house by making it more appealing to potential tenants — it will also help you pass necessary inspections and improve the value of your home, meaning you can charge higher rent.
Alert Your Mortgage & Insurance Providers
The next step in how to rent your house? Notifying your mortgage provider to let them know you are not occupying the home. You need their permission to rent the home, and you might have to pay a small fee. In addition, you’ll need to alert your insurance company and get landlord property insurance for your rental. This special coverage will probably cost more than your current homeowners insurance policy.
Determine Who Will Manage Your Property
A big step in how to rent your house is deciding who will manage your property. By hiring a qualified property management group to handle the job, you’ll save yourself the time and stress it takes to be a landlord. A property manager can do the difficult work of advertising the property and finding tenants, collecting monthly rent, and managing necessary property maintenance and repairs. You will obviously pay them a fee, but their services may prove invaluable — and they will know all the details about how to rent your house.
Decide What Rent to Charge
When approaching how to rent your house, you’ll need to determine what rent you’ll be charging. It’s a Goldilocks dilemma: charge too high and you may not find a tenant, too low and you may lose money. You need a rent that’s just right.
If you hire a property management company, they can help you select a reasonable rent for your property. If not, you will need to complete exhaustive research on comparable rental properties in your area to determine an appropriate price.
The next step in how to rent your house? Advertising your rental property! If you work with a property management group, they can handle this process and publicize your property widely. If you go it alone, be sure to take many pictures of your home, as well as room dimensions and notable features to include in your descriptions. Make your listings thorough and include lots of pictures.
Find Tenants & Complete Showings
Once you advertise your property, the final stage in how to rent your house is screening applicants, interviewing the best potential tenants, and completing any property showings. If you are acting as landlord on your own, you will complete background checks on all applicants, verify their employment, and investigate their financials. A property management group can handle these important steps if they seem too overwhelming, along with drawing up the necessary legal contracts that your chosen tenant will sign.
Follow the steps above and you should know how to rent your house firsthand! Before you do so, be sure that you are ready for the time-consuming, stressful tasks you may take on as a landlord, plus the financial obligations. Another important thing to do is to familiarize yourself with landlord tenant law. One mistake can cost you thousands. Remember, you can always seek help from a seasoned property manager who knows how to rent your house, like National Property Management Group in the Kansas City area.
If you have more questions about how to rent your house, feel free to contact us at (913) 766-2302!