Renting out your property surely has its benefits, as well as its drawbacks. There is a notion that landlords earn a hefty sum from the revenues in their rental properties, without having to lift a finger. While there may be truth to this statement, this is not always the case.
More often than not, landlords earn only a meager sum, especially if the property requires immediate attention that boils down to maintenance costs. Nevertheless, here is all the stuff you need to know about being a landlord.
No Regular Work Hours
In contrast to regular 9 to 5 jobs, being a landlord entails the need for you to be available to attend to issues requiring immediate attention concerning your property. For instance, a simple rent collection may turn into a labor-intensive day if a certain leaking pipe is brought to your attention.
While you may disregard the concern, a good landlord will definitely be of assistance, even in just calling a plumber on duty. Nevertheless, most of the time, you will find ample time on your hands.
Jack Of All Trades
Being a landlord requires you to be skilled in various aspects. Apart from superb negotiating skills, there are instances wherein a landlord needs to be a realtor, salesperson, detective, debt collector, repairman, therapist, or even a supervisor, among others.
Nevertheless, being a landlord means that you need to be continuously learning because there will always be a new situation that may be well beyond your field of expertise. Sometimes, what is deemed as a minor setback turns out to be a significant problem.
Legalities Need To Be Followed
Being a landlord means that you are bound by specific laws and legal processes. One of these is securing landlord insurance to guarantee that you and your property are covered in terms of unfortunate events and unforeseen situations. In Northern Ireland specifically, landlord insurance providers need to be licensed by the FCA, or the Financial Conduct Authority.
But apart from this, the landlord insurance NI laws support are those that include coverage on the costs necessary for building repairs that come with alternative accommodation in case the tenant will not be able to use the property for a more extended period while it is under renovation.
Landlord insurance also guarantees that you have the right protection you need from the possibility of the tenant damaging your property. Nevertheless, the insurance coverage commonly depends on your particular concerns.
There are also laws that cover habitual conditions and discrimination. Hence, research on the type of questions that you can ask your potential tenants, as well as on the laws that govern discriminatory behaviors. Furthermore, some legalities need to be followed in terms of security deposits, health codes, and even tenant eviction.
It Is Rewarding
Yes, being a landlord is a satisfying job. Although it is generally a big shoe to fill, being a landlord brings forth the freedom of being your own boss. Additionally, the possibility of building camaraderie and fruitful relationships with your tenants is equally fulfilling. Come to think of it, being able to provide an optimum living condition to another family is in itself an accomplishment.
You can indeed have a consistent and positive cash flow by renting out your properties. However, this entails hard work, coupled with sufficient luck in finding the perfect tenants for your property. Like in any industry and in any business, renting out your property and being a landlord has its corresponding advantages and drawbacks.
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