We all know real estate is a significant investment. You are sure to make money off of it, and you often only need to hold on to it for just a few years. The longer you hold on to a property, the more money you will make. A great way to make money off the property right away and while waiting for it to appreciate is to rent the house. This allows you to bring in a steady stream of income and pay the mortgage. If you do it well, you can make money off the rent after you have paid the bills. There are some great tips for making money off rental properties. Keep reading this article to answer the question, can you make money renting houses.
Consider an Inspection
Before you purchase a house, you are going to ask yourself if can you make money renting houses. A home inspection can answer that question for you. When you purchase a house, you are going to want to have it inspected. A home inspection provides you with some comfort in the house that you are purchasing. You will know all the problems the house has. You can choose to negotiate with the seller over fixing the items or giving you a credit to reduce the house price. This also gives you an indication of which items you want to address in the house to make it more compelling for a potential renter. You can get an idea of how long before you have to make any major repairs, such as replacing the roof or windows.
Once you have secured a renter, you want to do continual inspections. Depending on the type of lease you sign with your renter, you may want to do an inspection annually or whenever a renter moves out, whichever comes first. For example, if you are renting your house a week at a time, you may want to perform an inspection every six months. This gives you a good indication of the state of the house. You can also determine if the items you are watching are any closer to needing repair or replacement. This can help you keep the renters you have or quickly find a new one.
Essential Repairs
When you are wondering can you make money renting houses, you should start with the essential items first. Your first priority should be the major systems in the house. These include plumbing, electrical, heating, and HVAC system. You want to make sure that your renters are comfortable while staying in your home. You also want the units to be as efficient as possible. If you are paying the heating and cooling bills, this is going to be important to you.
You want to look at your hot water heater and ensure that it is working as efficiently as possible. There is nothing worse than a renter that cannot get hot water. Make sure you have a qualified plumber check all the pipes to ensure there is no leaking or other concerns. If repairs need to be done to these systems, hire the proper professionals for the job.
Pay Attention to Your Roof
When you are asking can you make money renting houses, you do not want to overlook roof repair. If you do not address roof problems right away, they could lead to even more significant, more expensive problems. You do not want your renters to deal with a leaky roof. Nothing will ruin your rental business like a leaking roof.
Be sure to hire professional roofing services before you have a problem so large that you have to replace your entire roof. Once your roof leaks, you are allowing water into your house from the outside. This can cause all manner of rotting and mold in your house. In addition to replacing the roof, you may have to replace some of the wood in your attic or top floor of your house, depending on the type of house you have. A roof is not something you want to play around with repairing. You should take action at the first sign of a problem if you want to continue to make the most money possible by renting your house.
Update Fixtures
When you want to know can you make money renting houses, you should take a look at your fixtures. Anything that is broken or old must be replaced. Do not let a broken fixture stay in your house. This will be a huge turn-off for potential renters. You can quickly and affordably replace old fixtures. Even if you do not think they are outdated, chances are they are outdated if they are more than ten years old. You do not have to buy the most expensive fixtures, but they will add a touch of style and class to your house.
Fixtures include doors, door hinges, especially if they are rusty. It includes faucets that leak and light fixtures that make your house look old and dated. You will be surprised at how just a tiny change such as changing the fixtures will improve the look of your home. They will also give potential renters the idea that your house is well looked after.
Touch Up the Inside
Another critical item you want to address when you are wondering can you make money renting houses is in the paint. Of course, you want to pay attention to the appearance of the inside of your home as well, but new paint is key. While it is not a requirement to paint the house every so often when you want to rent it, it sure is a good idea. It is like a facelift for your home. It will be shocking to you how different it looks. You do not realize how dirty the walls and ceiling get just from everyday life. A fresh coat of paint washes all of that away.
When you do decide to paint the walls, choose the colors carefully. While it is essential that you like the color, remember you are not renting the place or living there. Instead, you want to pick a color that looks great in pictures. You want to choose colors that are pleasing to the eye. An off-white color or one with a hue of beige is a good choice. You also want to pick high-quality paint that can stand up to wear. Remember, you may have a lot of people coming into the house. The paint is going to need to stand up to that kind of wear.
Electronic Upgrades
Most people today are interested in a smart home with updated technology. So when considering can you make money renting houses, you may want to consider updating technology to include items like intelligent locks, smart lights, and other automated controls.
You can upgrade your house to a smart home for an affordable price. It also gives your renter the ability to move around freely. If you are not interested in completely upgrading your home, consider an electronic keypad for the lock. You do not have to worry about transferring keys. You will not have to meet the renter to give them keys. You no longer have to retrieve the keys. The worry about lost, stolen, or even copied keys goes away.
With an electronic lock, you set the code for your renter, and once the renter period is over, you clear the code. They will no longer be able to access your house. Once the code expires or you reset it, it no longer exists. You can have a master code that always allows you access. You can even set up more than one code at a time. This makes renter property so much easier. Many renters look for properties that offer remote access for ease of entry.
Consider Updated Flooring
The two rooms that people pay the most attention to are the kitchen and bathroom. Depending on the age of both of those rooms, you may want to consider updates. However, you do not have to take on a full-fledged renovation of these rooms, especially if you do not have the time or money.
There are some ways to make affordable upgrades while you are considering you can make money renting houses. Take a look at the floor. It may be time to replace it if it is stained and will not come clean or just look dingy. Consider stone flooring services for an upgrade. They bring a classy look to any room. Updating the flooring can spice up a room. If you have already gone through and updated your kitchen and bathroom appliances, the floor can bring it all together. Even if you do not want to go to the expense of stone floors, you can update it with newer and potentially nicer laminate or other affordable flooring types.
Do Not Forget the Outside
An area that is often forgotten is the outside of your house. You may not even really notice the exterior of your house when you enter it, but everyone else does. When pondering if you can make money renting houses, focus a large amount of attention on your curb appeal.
There are many different aspects to the exterior of your house. First, focusing on the actual house for a moment, you want to make sure it is clean and free of debris. Next, you should consider equipment rental, such as a power washer to clean off the outside of your house, especially if it does not get much sun and mold grows. Next, take a look at the siding and determine if it is time to replace it. Being dirty is enough reason to replace it because you can clean it. However, if there are cracks, holes, and dents, you want to have them repaired quickly.
Moving away from the house itself, you should then focus on your landscaping. There is nothing more inviting than a well-kept yard. You do not have to blow your budget on architecture companies creating some magnificent scene in your yard. You can keep it low-key and affordable with some trees, flowers, and bushes. You can create a nice, clean, and safe walkway with any material you would like. The key is to keep it neat. You want to make sure the grass is cut, the weeds are pulled, and the flowers are watered. If you have mulch, you want to make sure that it is filled in every year because it can wash away. Maintaining your landscaping does not have to be excess.
Lastly, do not overlook the back of your house. A nice yard with a fence around it and possibly a patio or deck is a classy touch. If you are looking for fencing solutions, there are many options available to you. This is especially needed if you want to be welcoming to children and pets. You can choose to fence in the entire yard or just a portion of it, but it is a good idea. If you decide to add a deck or patio, be sure to maintain and inspect it regularly. You do not want anyone falling or getting hurt because it has not been maintained.
When you are deciding if you can you make money renting houses, it is easy to make a lot of renovations that end up costing you thousands of dollars. That is not necessary. You want to focus on key areas that interest people and spend money there. You can always make more renovations a little at a time. The goal is to see the most return on your investment possible. Another consideration is tax planning. Do not forget you have to pay taxes on your earnings, but you are able to use renovations as deductions. You may want to consult a tax advisor for advice on what is best for you.
