Maybe you’ve decided to move to another residential property. Now, this leaves your former Minnesota home empty. You’ve figured out that it’s best to transform it into a rental property. This is a great opportunity you can maximize.
Thinking of converting and actually converting your Minnesota Home to be rented out are two different things. Let’s first start with the beginning steps, and pretty soon, you’ll be earning a great side income!
Here are questions worth thinking about and tips to follow:
Before imagining any additional income pouring into your bank account, think of the potential renters that will be staying in your property. See it through their eyes. Is it a livable place and comfortable to stay in for the long-term?
Is there something damaged in your Minnesota home? If so, have it fixed before showing the unit to prospective renters. This way, you’re ready to host potential renters without them being discouraged by a broken appliance or torn blinds.
The damage may be small, but it can affect first impressions. If you don’t check the small details, they can account for expensive costs in the future.
You can also consider performing upgrades in your Minnesota home. A room may be too small, so you can knock down a wall to make it bigger.
Maybe a bathroom or kitchen upgrade will also raise the rent price. Look at areas tenants prioritize more. It can be unreasonable to spend a lot of time and cash on a space that doesn’t really matter to renters.
An immaculate space can be impressive to prospects. Hiring professional cleaners is a strategic move since they strive to make your Minnesota home spotless. Skimping on cleaning can disappoint prospective tenants who may be fastidious when it comes to living in a tidy home.
Professional cleaners have techniques, tools and well-trained staff to deliver excellent results. It’s safe to say that cleaning on your own will never beat their standard of quality cleaning. Budget for this, and you’ll transform your Minnesota home into an attractive place that looks very well-maintained.
Having a well-thought-out marketing plan is essential. You can’t leave it to chance when it comes to choosing a target market. Ask yourself who would be the perfect renters for your Minnesota home.
Evaluate the best features of your property. What amenities do you have?
Is your Minnesota home large enough for big families? What are the available amenities in your neighborhood? Is it near to schools? If the answers are ‘yes,’ families with school-aged children will gravitate towards it.
Different properties will serve different needs. Retirees will typically be looking for ground floor units, while young professionals will look for homes near their working areas. Analyze what demographics you will serve best given your location and Minnesota property features.
If you’re a new landlord, your main focus is effective marketing. Don’t limit yourself to a single approach. Try different advertising techniques by marketing both online and offline. If you know your target market well, you can better craft a marketing campaign. This is why it helps to narrow down your target market before creating your Minnesota home advertisement.
Ensure your advertisement stands out. Research the best platforms to use online and participate in community activities to network. Even if people you meet may not be looking to rent, they might know someone who does. Exposure is always needed for people to know your Minnesota home is available for rent.
Proper documentation and insurance policies are needed before you can transform your Minnesota home into a rental. Some neighborhoods can be particularly restrictive. Your Homeowners’ Association may only permit a few properties to function as rentals. This can affect your plan, so make sure this is cleared up first.
A homeowner’s insurance will not be applicable for your Minnesota rental home. A landlord’s insurance would be more suitable. The former has limited value for a landlord, while the latter will protect you from damages and losses that could occur in your rental space.
In the event of a fire, for example, the landlord’s insurance policy grants you adequate coverage. You don’t want to be left with nothing to claim when disasters occur, so purchasing landlord insurance is beneficial.
Before proceeding with the upgrades of your Minnesota home to convert it into a rental, visit your municipality’s city hall. Some require property permits for rental operation. You want to secure this document first to operate legally.
This measure enables the local government to check on safety when it comes to your property. They’ll want to review if it’s fit for a renter to live in.
Are safety measures in place? Are there no health hazards? These are typical questions they want answers to before approving the permit for your Minnesota rental property.
Being a self-managing landlord requires dedication. Are you up for conflict resolution? Do you have people skills? Are you open to learning more about landlord-tenant laws? Most importantly, you need to have enough time to juggle property maintenance, outstanding customer service and frequent visits to your Minnesota home.
Even if hiring a property manager means shelling out money, the benefits are numerous. You gain the full support of a professional team that has solid property management experience. Your Minnesota home will be in qualified and capable hands.
At MN Property Nerds, we have a wide range of services to offer, ranging from marketing properties to organizing your financial bookkeeping. When you work with us, your stress will be reduced, plus you’ll have access to cutting-edge technology, making your rental business far more efficient.