Owning rental property can be a great way to increase your income and build wealth. If you\u2019re considering becoming a first-time landlord, it\u2019s important that you do your due diligence to avoid some of the more common landlord mistakes that real estate investing newbies make.<\/p>\n
On its surface this seems like a silly question. Yet, there is a distinction that many people overlook. From a tenant\u2019s perspective, the landlord is the person to whom the tenant pays rent. While this person could be a landlord, he or she is often a hired property manager.<\/p>\n
The difference is in ownership; the landlord is the owner of a property that is rented to a tenant or tenants, while the property manager is the person or firm that oversees the property, collects rent, shows vacant property, and manages necessary maintenance, among other duties.<\/p>\n
Anytime someone talks with friends or family about how to be a landlord, advice often flows freely. While it\u2019s usually given with the best of intentions, it is rarely adequate and is frequently just plain bad advice. Following advice blindly can lead to some costly mistakes, and could even land you in legal trouble.<\/p>\n
Here are a few more of the most common landlord mistakes:<\/p>\n
\nThere is a lot to know about owning and managing rental property and a lot of potential pitfalls to avoid. Doubtless you will make your own mistakes and learn from them too, but these tips will keep you from repeating the most common errors other landlords have made.<\/p>\n