Becoming a landlord can be a rewarding investment, but it comes with a set of challenges and responsibilities that are separate from the reward that you get. You can be managing just one property, or you could have a growing portfolio under your belt, but succeeding in this role requires so much more than just collecting the rent every month. You need to understand your legal obligations and you need to manage tenants and maintain your properties, which means that there’s a lot to consider. 

Of course, starting on the right foot with professional rental agents is the way to go, as they can assist with everything from pricing your property and screening the tenants to handling day-to-day communications and legal paperwork. We’ve put together a shortlist of 10 essential tips that landlords need for long term success in real estate and finance.

• Understand the local laws and regulations. Landlord tenant laws vary significantly depending on where you’re living. It’s important to familiarise yourself with regulations around security deposits, lease agreements, notice periods, eviction procedures and property standards. Failing to comply with these rules can lead to fines, legal disputes or loss of your rental licence in some jurisdictions. While rental agents often stay up to date with these laws, it’s critical that landlords have a baseline understanding to avoid any costly mistakes. You are still responsible for your property even if you use a rental agent to help.
• Screen your tenants thoroughly. One of the most important steps in the rental process is to select the right tenants. This isn’t just about someone who can pay the rent, but finding someone responsible who respects your property and abides by the lease terms.Thorough screening processes should include employment, income verifications, previous references, and in some cases, a credit check. You should also go with your gut because you might find that who you would say no to originally turns out to be the best tenant you could have. Rental agents do have systems in place to streamline this process if you don’t want to go it alone.
• Have a solid lease agreement. A verbal agreement or a vague contract can lead to confusion or legal trouble. Your lease should be written clearly, be legally enforceable, and tailored to your local area. If you have any specific rules about subletting or smoking, this should be listed in your lease and it should be agreed with both you and the tenant together. Details about rent due dates, late fees, maintenance responsibilities, and how to handle disputes. You need to protect yourself and your tenant and minimize any grey areas where you can.
• Treat the rental like you would a business. It could be a single investment property or renting out a former home, but you need to treat it as you would treat a business. That means keeping detailed records of everything and budgeting for everything from maintenance to emergencies. You should also track your income and expenses for tax services, too. Professionalism in your communications is critical, and being emotionally detached helps you to make rational decisions just like you would in a business.
• Invest in preventative maintenance. As a landlord, it’s up to you to make sure that you prevent any maintenance issues from becoming big expenses. And that means servicing the HVAC systems, cleaning the gutters, checking for leaks or water damage, and replacing aging appliances before they burn out. Any good landlord wants to look after their tenants so that they can have the income rolling in for as long as possible. With preventative maintenance, you can do that.
• Be competitive but profitable in your rent choices. Charging the right amount of rent is a balancing act. You need to make sure that you don’t set it too high so that you struggle to find tenants or set it too low that you’re leaving money on the table. It’s important to research similar properties in the area, consider the market trends and factor in your expenses. Rental agents can offer valuable insights here based on local demand and neighborhood trends.
• Build good relationships with your tenants. It’s important to be responsive to maintenance requests, communicate clearly and respect your tenants privacy. While they’re there paying rent, they need to treat their home as if it’s their own, which means you need to trust that they would do that. Happy tenants are more likely to pay their rent on time and take care of the property for you, and a professional and courteous relationship builds trust.
• Know when to raise the rent. A normal part of property management is knowing when to raise the rent and by how much. Consider checking the lease terms for increased clauses, giving proper notice, and keeping increases reasonable and justifiable. If your mortgage is paid off and you’re just raising the rent for the heck of it, then you’re not going to be considered to be a very good landlord.
• Keep your finances organized. The rental income, mortgage payments, repairs and upgrades, insurance and property taxes is best kept in an accounting software system or spreadsheet. Consult a tax professional to ensure that you’re taking advantage of any allowable deductions, too.
• Have a plan for vacancies. No landlord wants their property to sit empty, but vacancies do happen in between tenants. Sometimes it’s due to seasonality, other times it’s due to tenant turnover, and sometimes it’s due to renovations. To minimise vacancy loss, you want to start advertising before the current tenant moves out and offer virtual tours or flexible viewing times. The faster you fill a vacant property. the better off you’ll be.

It’s part art, part science. To be a successful landlord, there’s a mix of practical management skills, financial literacy and legal awareness. While it can be tempting to take a hands off approach, those who actively manage their properties tend to see better returns and fewer headaches. Real estate isn’t just about owning property, but it’s about managing it properly and being a good person along the way.