If you’re about to become a landlord, congratulations! Owning property is one of the best ways to get ahead, especially if you can get other people to pay off your mortgage. But there are a few things you need to know before you begin your adventure as a landlord.
It’s important that you’re on top of your obligations as a landlord. That means understanding your responsibilities for your tenants, like keeping your property free from health hazards and safe, and giving them enough notice before you inspect the property.
Before you even think about renting out your property, it’s important that you know your market. Consider the type of tenant you want to attract, how much they earn, where they are in life, and where your property is located. You also need to make sure that your property is actually fit to be rented. That means checking that everything is in working condition, the property is safe, and things like the boiler have been recently serviced.
It’s also a good idea to figure out how the property will be managed. You’ll need to decide if you’ll be doing the property management yourself or outsourcing it to a property manager. This will depend on both your budget and how much free time you have when to manage the property yourself.
One of the most important things you’ll need to do? Ensure you have the right type and level of insurance. The insurance needs to cover the right number of rooms, the tenants, and the right type of property. The last thing you need in the event of a fire or flood is to find out that you don’t have the correct insurance and can’t make a claim.
When you’re looking for landlord insurance for properties, it’s a good idea to compare multiple insurance policies using a comparison website. This will ensure you’re choosing the best insurance to meet your needs while also choosing the best value policy for your property.
When choosing your insurance, it’s crucial that you know what your policy covers. You’ll need to understand whether you’re covered for water and fire damage, theft, and any other unexpected occurrences. It’s also a good idea to consider getting buildings and contents insurance. Another key thing to remember? Make sure you’re not invalidating your landlord’s insurance by letting your tenants sublet the apartment without letting your insurance company know.