Let’s do a thought experiment. You have some extra cash, and you want to have a “passive income”. You do your homework and realize that a single-family home in Allen, Texas, is a fantastic investment! So, next you purchase your “dream rental”.
Or maybe you inherit a property from a family member. Great! Passive income!
What do you mean by “now what?”
What are you going to do next?
Well, I’ll just advertise it for rent.
Erm, does your property comply with all of the Texas codes?
What Texas codes?
You can begin to see where this is going, can’t you? There is a whole lot more to renting out a property than just advertising for someone to rent it. First, it has to comply with the Texas codes. It is illegal to rent it out if it doesn’t.
In most cases when someone buys a rental property, there is work to do in order to ensure that it does, indeed, comply with the codes. Only when it does, can you then advertise it for rent.
But where do you advertise it? It is not so much the cost of advertising, although that is a consideration, but you want to get a renter quickly, particularly if you have just spent a not inconsiderable amount doing it up, so that you can start earning from your property. You want a renter who is going to treat your property with respect, and also who is going to pay the rent on time. How do you know?
We Know Only Too Well What Is Involved
Believe us, as Allen, Texas, property managers, at North Texas Property Management, we know only too well what is involved. Let’s assume that, by good fortune, you do manage to find a decent renter who will pay your rent on time and look after the property. But recession is looming, and your perfect tenant may fall behind with the rent, or even stop paying, because he/she has lost their job? Now what do you do? As Allen, Texas property managers, we do know how to handle such situations, as unfortunate as they may be.
What happens if your tenant phones you at 6.00am because he has just got up and the central heating won’t work. Or the toilet cistern is leaking and spilling water all over the bathroom floor? Or, possibly worse, it won’t flush. What happens if he can’t phone you because you are on holiday in Australia?
There is a heck of a lot more to owning and running rental property – well, the running part of it at least – than you would ever believe. This is why so many property owners prefer to leave all the hard stuff to us as Allen, Texas, property managers.