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To many owners and investors, rental property maintenance seems like a necessary evil. If you’re like most landlords, you hate spending money on repairs and you dread the day when a tenant calls with an emergency repair or a huge, but necessary repair. If you have to replace an air conditioning unit in the middle of summer, it’s hard to bounce back from that financially.
However, maintaining your home increases your cash flow. It’s an important part of owning and profiting from rental homes, and it earns you more by attracting good tenants and increasing the value of your asset.
Well-Maintained Homes Attract Better Tenants
Placing the right tenant will improve your cash flow and deliver a better investment experience. With a well-qualified tenant, you won’t have to worry about late or missing rental payments. Evictions will be unlikely. There will not be any property damage left behind, and spending time and money on disputes and conflicts will not be a part of your rental experience.
Good tenants are looking for well-maintained home. You’ll lose your best tenants if you take too long to respond to their maintenance needs and repair requests. So, providing a home that’s in excellent condition and staying on top of that property’s maintenance needs once a tenant is in place will reduce your vacancy and eviction rates and allow you to earn more money from a happy tenant who renews the lease year after year.
Good Maintenance Increases Rental Value
When you’re pricing your rental home, the condition of the property will impact what you’re able to charge.
A clean and modern home will allow you to charge more. A home that’s old and worn and missing appliances or window blinds is not going to earn the most rent. If you pay attention to preventative maintenance issues and inspect the property annually to get an idea of where you may need to make some repairs in the future, you’ll preserve the condition of the property and increase its value. Earning more rent is an easy way to increase your cash flow. High Quality Workmanship and Vendor Relationships
Cash flow is not only about what you earn; it’s also what you spend. Managing those liabilities with a strong preventative and responsive maintenance plan will save you money. Working with good vendors will also preserve the value of your home and help you retain great residents.
We work with licensed and insured vendors and contractors who can provide high quality work. The relationships we have with the best local vendors enable us to negotiate their best prices, keeping your costs down while maintaining the integrity of the work that’s done.
Don’t be tempted to hire cheap, unlicensed labor. Not only do you risk having incomplete or shoddy work done; you also open yourself up to a lot of risk and liability. Saving a few dollars isn’t worth it; your cash flow and your profits depend on high quality work and high quality properties.
We see properties that are in shambles, and bringing them up to an acceptable market condition is a lot of work and costs a lot of money. It’s cheaper, easier, and better for your investment if you keep your property well-maintained before, during, and after your tenancies.
For more information on how to do this effectively, contact us at 360 Real Estate Network. We can be your Decatur property management resource.