According to the U.S. Census Bureau, Northwest Arkansas is one of the fastest-growing areas in the country. Its population increased by 2.3 percent from 2022 to 2023. This is reflected in the already dynamic Rogers property market.
That is promising for investors and property owners but, for "accidental landlords," it can mean a lot of stress. If you have no experience in real estate, you likely do not know where to start.
This article provides some tips for accidental landlords. Keep reading for some advice on how to make the most out of your new real estate venture.
What Is an Accidental Landlord?
An accidental landlord is an individual who becomes a landlord unexpectedly due to unforeseen circumstances. These can be almost any life event, but some common ones include:
- Property inheritance
- Relocation
- Financial need
For instance, someone who inherits a home may abruptly find themselves in a position of managing a rental property. Someone who must relocate for a job but who does not want to sell their home may determine that renting is the best option. Finally, an accidental landlord might be someone who decides that they need to rent a property for additional income.
Tips for Accidental Landlords
There are a few basic things accidental landlords can do to get their newly founded real estate business pointed in the right direction. Here are the main ones to consider.
Know Your Legal Rights and Obligations
One of the first things an accidental landlord should do is become familiar with all federal, state, and local laws related to property rentals. For instance, Arkansas has very specific laws regarding tenant and landlord rights and obligations. These include restrictions on how much notice a landlord must give before inspections or for evictions.
Buy Insurance
The next step is to purchase landlord insurance. In most cases, regular property insurance only covers residences that you occupy and will not suffice for rentals. Landlord insurance will cover damage to the property--including by tenants--and provide liability protections, should someone become injured.
Stay on Top of Maintenance
Properties that you rent out will require regular maintenance and upkeep. You also may need to make some improvements to it to make it more marketable. Putting money into the property is a good investment, not only in home value but because it will translate to it renting faster and remaining occupied.
Hire a Property Management Company
One of the easiest and best things you can do is to outsource some or all landlord responsibilities to a property management company. An experienced firm can fill in the gaps, including in the following areas:
- Marketing
- Tenant screening
- Rent collection
- Buildings and grounds maintenance and repairs
- Accounting and reporting
- Evictions and legal processes
This allows you to go from having little or no experience to leveraging full professional property expertise on day one. It can alleviate a great deal of time and stress, and translate to more reliable rental income.
Learn More About Accidental Landlord Property Management
Accidental landlords have a lot to navigate. Using the property management tips above will help get you started.
PMI Heritage specializes in comprehensive residential property management services in Northwest Arkansas. We are locally owned and operated, and pride ourselves on meeting the unique demands of each client. Contact us today to discuss management and rental income strategies.
