Being a landlord in Michigan can be a great way to earn additional income and be your own boss while managing a property ownership business. Plus, your income tends to increase as you purchase and lease out more homes and apartment units. However, this role isn’t as easy as it may seem on the surface.
Dealing with tenant complaints
Unless you have help with landlord services providing management assistance, property ownership means being the front line for tenant complaints. These stressful situations may include tenants who have problems with each other. If a problem arises with the property you manage, they must also contact you for help with property-related issues.
Following sometimes changing guidelines
Another vital part of owning property involves following federal and local housing regulations. Understanding these rules and regulations lets you clearly know your rights and those of your tenants. It’s also critical to learn and follow laws regarding lease terminations and evictions if things don’t work out with a tenant. Not understanding landlord laws can be an avoidable and costly mistake.
Insuring your properties
Purchasing a home or car typically means buying insurance for these items. You’ll also need to insure any investment properties you lease to the public. However, this situation can be a little confusing because there’s not a one-size-fits-all solution regarding insuring your investment properties. Some insurance options landlords often purchase include protection for maintenance-related injuries or lost rental income.
It’s crucial to know what you’re getting into before becoming a landlord. While this path can be rewarding, it also comes with many responsibilities that some may find too time-consuming to handle by themselves.