Many people think of self-managing their rental property to save a few bucks. However, soon they realize that managing an investment rental can quickly become overwhelming. It can also be a time-consuming affair, especially if you have a career in another sector. Many investors own multiple rentals and find the task of managing them simultaneously quite taxing.
Before you start managing your rental in California, there are several things you should know about. Knowing the rental laws and regulations, adhering to all the rules as a landlord, and meeting housing requirements for tenants are at the top of the list. Adding to these, there are challenges that you can face while self-managing your rental property in California.
Maintenance is a huge responsibility
A huge part of Santa Rosa property management involves constant maintenance and repair of the rental unit. According to California state laws, you are legally required to provide habitable housing to your tenants. As a landlord, you will have to oversee all the maintenance issues of the house – even the minor ones. Landlords are often required to have a passing knowledge of repairs and maintenance activities to meet the demands of your renters. However, when professional services are required, you will have to hire handymen, repairmen, painters, and other contractors on your own. This can make a huge dent in your budget since independent contractors charge more.
Keeping a daily update of the maintenance needs of your rental property can be a hassle if you are looking after more properties, or if you are working simultaneously at a different job.
Selecting good tenants is difficult
Selecting good tenants to occupy your rental property requires a rigorous screening process. However, you should also adhere to fair housing laws. You can’t reject students or people with kids, as it is a violation of fair housing laws. You have to make sure that your requirements for a good renter do not come off as discriminatory.
Selecting a good rental occupant is more difficult than it sounds. Self-managing landlords generally tend to be biased, renting out their property to a friend or a relative. However, it might result in complications down the line, as well as financial losses.
Handling tenant issues is a must
As a landlord, you have to be available for your tenants round-the-clock. When you lease your unit to a tenant, they can call you whenever any property-related issue arises. Whether the issue is major or minor, it can be quite stressful to the individual managing all of it on their own.
Another tedious issue that landlords have to face is rent collection. Many times, you will have to physically collect rent from your tenants, repeating the process again and again for those who are inconsistent. Keeping track of your renters, their dues, and late fees can be more tiresome when you have multiple rentals to manage.
Loss of rent due to vacancy
Consistently finding new ways to attract tenants is a challenging process. When you are managing the rental unit yourself, you might not have the required network to find new occupant with ease. As you navigate through advertising and properly marketing your property to your target renters, you might end up with a vacant place for a long time.
This can lead to significant financial loss, especially if you own multiple rental units.
Usually, people who manage properties, i.e., property managers in California, have significant experience in the field. They also know all the local laws and have a good grasp of the housing and tenant rules and regulations.
As you prepare to self-manage your rental in California, chances are that you may not be quite as familiar with the housing laws. Adding to it, non-adherence to these rules may lead to potential lawsuits and fees.
To avoid this, you have to be very careful about not breaking the law even accidentally. You have to uphold all the legal responsibilities and obligations as a landlord.
Self-managing your rental in California can be extremely challenging. However, you can consult the right property management company in California to guide you through the process.
Redwood Residential Property Management is a leading property management consultancy in Santa Rosa, California, offering extensive insights and services for seamless management of your rental investment. Connect with us to discuss your real estate requirements!