Thinking of renting or leasing your property? Owning real estate has its financial advantages as an additional source of income and a tax benefit. From vacation homes to job relocation, there are many situations that may make renting your property the right solution. We’ve compiled and answered the most frequently asked questions around renting or leasing your property so you can to reap the benefits of your real estate investment.
Should I use a property manager to care for my rental property?
There’s a lot involved with managing property rentals. Someone needs to do the background checks, day-to-day maintenance, the 2 a.m. emergency calls, required inspections, preparation of tax returns, insurance policy reviews, lease preparation and renewals, advertising and finances.
A property manager can certainly take care of all of that and more, but you’ll have to pay for their services. If you have the time, energy and skills to manage your own property, you’ll get to keep that extra money instead of handing it over to a management company. No one knows you and your investment better than you. Follow the route that gives you the most security and peace of mind.
How much rent should I charge?
The amount of rent you can get for your property depends on market conditions. Research similarly sized and outfitted properties in your neighborhood to figure out the average going rate and you’ll be able to price your property accordingly.
How do I find good tenants?
Background checks on credit score, employment history and income are all great ways to determine whether tenants for your property are appropriate. But, the number one suggestion to finding great tenants? Meet them in person and request personal references. You’ll get a better sense of your tenant in person and hearing from people they know rather than just reading an application.
Do I need rental property insurance?
Landlord insurance is not required, however, obtaining such a policy is highly recommended as it provides extra coverage that regular homeowner’s insurance does not, including liability protection (injury to a tenant and/or their property), fire, storms, and third-party damages to your property. Make sure your investment is protected, even from things you cannot predict.
Do I need an attorney to rent out my property in Pennsylvania?
Although it is not required, a real estate attorney can ensure you properly comply with the law when renting out property in Pennsylvania. If you decide to go at it alone, be sure to familiarize yourself with the Landlord and Tenant Act before drafting and finalizing any lease agreements with a tenant. Some of the Pennsylvania laws cover:
- Security deposit rules
- Lead disclosure requirement
- Prohibition of Landlord Retaliation
- Right to refuse tenants based on bad credit and references
- Pennsylvania Human Relations Act
- Notice to terminate tenancy
- Abandoned Tenant Property
- Tenant’s right to withhold rent if essential services are not provided.
Make sure your lease agreement adheres to the law, and you, your tenants and your investment will be safe and protected for years to come.
Legalty has years of experience protecting landlords and property owners across Pennsylvania. We provide flat-fee and custom plans for any real estate transaction needs. Contact us and let us know how we can help you.