How to Rent Out your Property in Austin, Texas
With its vibrant economy, population growth, and low cost of living, Austin has been experiencing an increase in population. Young families, students, and professionals are moving into the city on a daily basis. As a result, property owners are now considering renting out their homes due to the increased demand for housing.
As a property owner, it is important to consider several steps before renting out your property. These steps will help you in ensuring that you get the best return from your property with no stress. It also mitigates you from liabilities such as damage of property and other issues experienced by property owners. Texas is no different from other areas, as a landlord there are some basic requirements that you should know beforehand.
Renting out your property is a great way to earn stable, passive income for the long term. As a potential landlord, you should do your research and acquire the necessary knowledge required for the rental process. In this article, we will go over a few steps that are essential in making your property leasing decision smooth and profitable.
Market analysis and evaluation
In order to determine how much rent to charge for your property, it is important that you carry out market research and understand what similar properties go for in the area. You could look at listings in Texas online to have an idea of the price range.
Charge too high rent and your property will remain vacant for a long period. Charge too little and you will be earning low returns below the market rent.
List down your expenses
While drafting your financial plan, also consider listing all possible expenses that may be incurred by the building. This will enable you to identify the actual amount that is retained from the property and just like any other investment you will be in a position to analyze the viability of the project.
Some of the expenses include mortgage repayments, maintenance, and repairs, management fees, property taxes, insurance among others.
Learn the Laws regarding Tenants and Landlords.
All states have various laws on tenancy and landlords. In Texas, the Texas Department of Housing and Community Affairs is in charge of affordable rental housing, homeownership, and other guidelines regarding housing. You should ensure that you understand these guidelines to avoid being on the wrong side of the law. Bodies such as the Austin’s Texas Council empowers residents by providing education on laws and statutes.
Ensure that you also acquire all the proper documentation required before letting out your property.
Property management services
Hiring a Property Management company could be an essential service to an Austin landlord. Depending on the management agreement, the management company could carry out marketing and advertising of the property, letting, vetting of tenants, and creation of leases and collection of rent. The management company takes over the burden of running the property and all you do is receive the return from your investments.
Ask yourself “what makes my property unique?”
Going beyond your market analysis and finding at least 5 things that make your property unique will help you list successfully, and rent your property for more. Features like location, amenities, nearby parks, or services can impact how potential renters will value your property. A real estate professional can help you identify these hidden gems that can increase your profits. Renting real estate successfully requires experience marketing properties, and finding ideal renters. Ask any landlord and all are likely to be able to share a nightmare renters’ story with you. Avoid those pitfalls by working with a professional.
Property leasing is a highly technical and dynamic aspect. For you to enjoy the benefits that come with it, it is advised that you contact the real estate professionals at Chris Price Realty.