First rental property

4 Replies

Hi Jeff,

I highly recommend reading the Book on Managing Rental Properties by Brandon Turner for managing your rental(s) as a business owner. You'll learn about systems that you can utilize to streamline the management of your property. To learn more about how you can optimize tax deductions, depreciation, etc you should read The Book on Tax Strategies for the Savvy Real Estate Investor published by BiggerPockets.

@Paul De Luca this is a great suggestion. Jeff, I too would advise this book. I would also connect with a local property manager. Even if you are self-managing a good property manager should be willing to share insight beyond your initial questions about tax deductions and depreciation. Best of luck to you!

@Jeff Vandall

There are many variations of applications on line. You'll want to get as much information as possible and then confirm everything. I use smart move for screening, it's owned by TransUnion. You'll still want to confirm employment, check references from other landlords and definitely check credit and background. Criminal, past evictions, credit, previous landlords they left without paying, I use DTI as one of my criteria (not to exceed 45%) and late pays. I just ran an applicant, they had 36, 90 day late payments. Not a good applicant based on history of making on time payments. I moved on to the next applicant. I also use a scoring mechanism to evaluate one tenant against another and to avoid discriminatory and/or arbitrary tactics.

Leases can be found on line as well. Remember each state is specific to its laws. When I started I used the standard MLS rental lease. Since it already met all the state requirements, I just added addendums for my particular additional items.