Mistakes are going to happen. When we’re talking about landlord mistakes and Albuquerque rental properties, however, those mistakes can be expensive. When you incorrectly charge a security deposit or neglect to prioritize preventative maintenance, you could find yourself losing a lot of money on your rental property.
We want to talk about some of the most common landlord mistakes we see as Albuquerque property managers. More importantly, we want to talk about how you can avoid them.
Inaccurate Rental Property Pricing
Pricing can be difficult when you’re renting out a home. If you don’t have access to the best data and the latest market trends, you run the risk of pricing your home too high or too low. This can lead to lost income and longer vacancies.
When you overprice your home, tenants avoid it. That longer vacancy is going to be costly.
When you underprice your home, you’re leaving potential rental income on the table. It will be difficult to catch up to market rates.
Avoid the mistake of incorrect pricing by getting a comparative rental analysis from an Albuquerque property manager. You have to price your property according to the market. You may have an idea of what you think you should earn, but the market drives your rental value. You’ll also want to consider your property location, size and layout, and the condition of your rental home.
Deferred and Unreported Maintenance
Maintaining your rental property is one of your most important responsibilities. You have to protect its condition and value. Good maintenance also contributes to higher tenant retention.
We see a lot of landlords put off repairs that should be made quickly. Deferred maintenance is always more expensive; don’t ignore those slow leaks, rusty appliances, and loose doors. Take care of the necessary repairs right away, even if they’re minor.
It’s also important to stress to your tenants the importance of reporting maintenance right away. You want to know when there’s a problem, and when you and your tenants work together on maintaining your home, you’ll keep your costs down. They’ll also appreciate your responsiveness.
Maintenance is expensive. It’s time-consuming. It’s easy to put off the work that does not seem urgently necessary.
Complete the work anyway. You cannot easily recover from maintenance mistakes.
Landlord and Tenant Laws in Albuquerque
Legal mistakes are especially common, and there are many areas in which landlords can fall short of what’s required. You need to understand laws pertaining to:
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- Fair housing
- Habitability
- Fair credit reporting
- Security deposits
- Evictions
You need to know the difference between a pet and a service animal. You need to have consistent and standard rental criteria in place so that your screening process remains objective. You’ll need to know how to market your property in a way that doesn’t discourage classes of people from applying. When you are inspecting your property after a tenant moves out, you need to know what qualifies as wear and tear (your responsibility) and what qualifies as damage (their responsibility).
We see a lot of landlords in legal trouble simply because they did not know or understand the laws. Don’t let this be a mistake you make. Instead, protect yourself and your investment by educating yourself on the local, state, and federal laws. If you don’t have time, work with a company providing rental management in Albuquerque. We can protect you from expensive legal mistakes.
These are three of the most common mistakes we see landlords make. If you’re concerned about what might need improvement in your own processes, please contact us at Bruni Karr Agency. We’d be happy to help you navigate some of the potential mistakes.
