Proactive Maintenance Can Help Maximize Your Rental Property Income
If you own a rental property, chances are that you rely on your tenant to do most of the basic upkeep on the property. So, when your tenant does call, it’s probably something bad - and something that will be expensive to repair. It’s a vicious cycle, and an all too common one for rental property owners.
But what if it doesn’t need to be that way? One of the best-kept secrets about owning a rental property is that proactive maintenance can help keep your repair costs down. Proactive maintenance is an approach to managing rental properties that anyone can use. Basically, it is a system that relies on regular property evaluations to help spot and address maintenance and repair issues before they become a big problem. In this article, we’ll discuss several ways that using proactive maintenance can add value to your property and actually help you keep more of your rental income every month.
Tenants Who Stay Longer
It seems a bit obvious to say that your rental income depends on having a tenant. But to keep that rental income coming in every month, that takes a bit more. That takes having a tenant who wants to stay in your rental home. When your tenants experience major problems in the home, they may quickly become dissatisfied and start thinking about leaving.
The more often this happens, the more likely they will be to start looking for a new place to live. If your tenant leaves, you then have to start the process of acquiring a tenant all over again, with advertising your property, cleaning it and the lost rental income while your rental home sits empty. But performing proactive maintenance tasks can help you avoid all of that. When your tenants stay longer, your turnover costs go down, saving you money.
Not only will satisfied tenants stay in your rental home longer, but they may even be willing to pay a bit more for a rental home that is well-maintained. We’ve all heard the horror stories of cheap landlords who simply won’t fix things. Well, those landlords probably have a hard time getting and keeping tenants, not to mention charging a competitive rental rate. When your tenants see you taking good care of the property, they will not only appreciate your attention, but also feel like the higher rent you charge is justified because the home is well maintained.
Related Topic: The Effect of Maintenance (or Lack Thereof) on Home Value
Lower Long-Term Maintenance Costs
At first, it may seem like paying for proactive maintenance would only add to your overall maintenance and repair costs. But when you own a rental property, it’s important to think about costs over the long term. By being proactive with your property maintenance, you will have fewer major repairs to pay for. Your appliances will last longer. Your tenants will be happier, and may even take better care of the property, too. What all of this adds up to over time is lower maintenance costs and more rental income in your pocket.
Regular Property Evaluations
The key to effective proactive maintenance is to give your rental home regular property evaluations. A property evaluation is a lot like an inspection, where a professional comes and does a detailed examination of every part of your rental property. The major benefit of knowing the exact condition of every part of your rental home is that you can catch problems when they are small and less expensive to address.
Replacing a few roof tiles, for example, is a lot less expensive than fixing a major water leak. While you can do evaluations yourself, did you know that regular property evaluations are something that professional property management companies do? It’s part of why so many rental property owners choose to hire a professional property manager: you get so many valuable services for a relatively low monthly cost.
Professional Property Management
At Neighborly, we help rental property owners like you get started on the proactive maintenance you need to maximize your rental income. Our property management professionals have the resources to handle everything, from property evaluations to hiring qualified home service professionals to do all required maintenance and repairs. To learn more about our many great services, visit us at this link.