As real estate investors, we all want our properties to stay in tip-top condition. After all, a rental property in good condition means it shows better, retains and accumulates better value, and better satisfies our residents. When we’re not actively working to improve the condition of our investment properties, we certainly don’t want them to be damaged.
Sure, there’s the natural wear-and-tear that comes with existing and having residents. We’ll have to do a little maintenance and upkeep. But what about real damages? Can you really avoid “accidents” that cause major damage?
Sometimes it just seems like a big injustice for you, the owner, to deal with, whether it’s the careless mistake of a Resident, criminal activity, or burst pipe that no one anticipated. Freak accidents, mistakes and malice all end up costing you money.
But what if we told you a lot of that can be avoided? You can control a lot of that and mitigate the risk of property damage yourself, even as a hands-off real estate investor!
3 Ways to Protect Your Rental Property from Damages
1. Pick a Good Location
Your location matters, big time. Are you paying attention to the crime rates in your neighborhood when you select a property to purchase? Are you noting where the neighborhood seems to be headed? Looking to see how many property vacancies are in the area? Seeing the evidence of vandals or other criminal activity?
By simply staying away from areas that have higher criminal activity, you can better protect your property from the chance of being vandalized or broken into. Not only do you benefit, but your residents will also be safer.
If you do find yourself in a less-than-desirable location, you can further protect your property with ample outdoor lighting—working porch lights, floodlights, and even lighting in the yard can deter mischief. Security systems can also be helpful in keeping trouble at bay.
2. Due Diligence
Due diligence doesn’t prevent property damages exactly, but what it does is uncover hidden damages you may not have seen. When you take the time to have a property inspected, you may discover issues that may not have been immediately evident—things like foundation issues, termite damage, mold problems, and more. Simply heeding due diligence gives real estate investors the full picture they need to make informed decisions and stay on top of things.
3. A Solid Property Management Team
How Do They Protect Your Property?
a. Resident Screening
Resident screening is the number one most important way to protect your property. Your residents are the ones who are closest to your rental property for the most of the time. They matter the most. Picking the wrong residents can lead to thousands upon thousands of dollars in property damages, late rents, lawsuits, and other headaches. Good managers run background checks, investigate previous evictions, and find out if your prospective residents are a good fit before they move in.
b. Property Inspection
While you have a Resident, your managers don’t just sit around, twiddling their thumbs. They’re active and perform regular check-in inspections to ensure that your residents are taking care of the property and sticking to the terms of their lease agreement. They’re also making sure that there aren’t any obvious issues with the property that need to be addressed!
When a property isn’t inspected regularly, residents can pull one over on your managers.. That could mean keeping a pet illegally (damaging your floors, leaving stains, and more), building up trash and filth, or even infestations of things like fleas and bedbugs! There have been many horrors unveiled by ignorant landlords at the end of a lease. A good manager doesn’t let that happen.
c. Keeping Up With Maintenance
In addition, good managers don’t just listen to and address Resident maintenance requests in a timely manner—they’re also proactive! Things like seasonal maintenance get taken care of, preventing clogged gutters and burst pipes. They ensure that the right crews get out to your property to take care of future issues before they become a problem, because they know that prevention is the best cure!
For real estate investors, protecting your investments is key to success. Partnering with someone with a vested interest in your success is the best move you can make—and that’s where Memphis Invest comes in!
Not only do we have the expertise in our markets—Memphis, Houston, and Dallas—to make investing in real estate a successful venture, but you can take advantage of our premier property management to ensure your investment are well taken care of!