Want to be a complete screw up and lose your hard-earned money? Follow these 5 Rules as provided by Andrew Stefanczyk:
Choose the worst possible area. It is a fact that the location of your investment property will determine the kinds of tenants you will attract, and how much rent you can fairly charge.
Put the very best of everything in when fixing up an investment property. Luxury bathrooms, thick pile carpets, plasma TVs. Spare no expense.
Make sure you have absolutely no experience in making basic repairs. Not knowing how to fix electrical wiring, repair drains, and replace windows will cost you quite a bit of money down the road.
Do not screen your tenants. This may be the most important step to making sure you lose money as a landlord. Do not ask for or check references. Do not call previous landlords and ask questions like, Did they pay rent on time? How was the condition of the house or apartment when they left? Did they ever disturb neighbours with loud music or shouting matches? How often would you have to make special trips for repairs? Being as uninformed as possible about whom you rent to will make a huge difference and will increase the chances that you will get tenants that will trash your property and refuse to pay rent.
Make sure you have not learned about your rights as a landlord. Be completely unfamiliar with the eviction process to guarantee long, drawn out disputes with tenants. Most countries provide online information about tenant and landlord rights so avoid reading these.
We also recommend that you not follow any of these rules! They will ensure complete failure!