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In order to bring more long term value to the rental property–especially if you’d like to sell in the near future–it’s often recommended a landlord should keep up with regular maintenance any ultimately make the necessary repairs. You can find ways to save money making repairs in order to always keep your property in tip-top shape. Repairs aren’t necessarily the place where you want to skimp on costs–however, there are some great ways you can save money on repair costs for your Metro Detroit rentals. Below, learn about some of our favorite ways landlords can save money making repairs on your Metro Detroit investment properties.
Build A Reliable Team
Partnering with reliable contractors and service providers is essential for any landlord looking to maintain and manage their rental properties efficiently. Here are some tips on how to build a strong network of trusted professionals:
Vet Contractors Thoroughly: Before partnering with any contractor, do your due diligence. Check their references, read reviews, and verify their credentials, including licenses and insurance. This helps ensure that they have a good track record and are qualified for the work they’ll be doing.
Establish Clear Expectations: Set clear communication and expectations with your contractors. Discuss timelines, payment terms, and quality standards upfront. This can prevent misunderstandings and ensure that everyone is on the same page.
Create Long-Term Partnerships: Work consistently with the same contractors to build trust and familiarity. Over time, they will come to understand your specific needs, preferences, and standards for work. This can make future projects more efficient and easier to manage.
Negotiate Rates and Contracts: If you plan to use a contractor regularly, negotiate better rates or discounts in exchange for repeat business. Having a long-term agreement can be beneficial for both sides. Be sure to put any agreements in writing to avoid disputes.
Have a Go-To Cleaning Service: Partnering with a trusted cleaning service is equally important. A reliable cleaning team can handle post-repair cleanup, tenant move-ins, and move-outs efficiently, ensuring your property is always in top condition. Like contractors, it’s essential to vet cleaning services and establish clear expectations for their work.
Keep a List of Contacts: Maintain a contact list of contractors, electricians, plumbers, painters, and cleaners, so you can reach out to them quickly when needed. This ensures you’re prepared for both routine maintenance and emergency repairs.
Follow Up on Completed Work: Always inspect the work after it’s done, even if you trust the contractor. This helps catch any issues early and maintain a high standard of quality.
Offer Feedback: Good relationships thrive on feedback. If a contractor or service does an excellent job, let them know. Similarly, if there’s an issue with their work, provide constructive feedback so improvements can be made in the future.
Building strong partnerships with contractors and service providers not only ensures quality work but also saves you time and stress in the long run. Your rental property will be better maintained, and you’ll be able to handle repairs and cleanups with greater peace of mind.
Deal With Scheduling Repairs Yourself
You’re absolutely right—leaving repairs up to tenants can be risky. While it may seem convenient to let tenants handle repair issues, it can lead to unintended consequences and additional expenses for the landlord. Here’s why it’s often better for landlords to manage repairs themselves:
- Quality Control: When you choose your own contractors, you have more control over the quality of the work. You can ensure that repairs are completed to your standards and that the work is done properly. This can help prevent issues from recurring or becoming worse over time.
- Cost Management: Tenants may not be concerned with finding the most cost-effective solutions. They might choose the first vendor they find or prioritize convenience over price. By handling repairs yourself, you can research, compare quotes, and negotiate better prices to ensure you’re not overpaying for services.
- Trustworthy Vendors: Working with a network of trusted contractors and repair professionals means you know their reputation and reliability. If a tenant hires a vendor, you may not have knowledge of their work ethic or history, which could lead to subpar results.
- Liability and Accountability: If tenants manage repairs themselves, there can be potential liability issues. If a repair is not done correctly or leads to further damage, it can be difficult to hold the tenant accountable for the costs. When you handle repairs, you have more control over ensuring that work is done to code and safety standards.
- Property Protection: Tenants might not notice or care about subtle issues that could lead to larger problems. By personally overseeing repairs, you can address these small issues before they escalate, protecting the value and condition of your rental property.
- Documentation and Record Keeping: Handling repairs yourself allows you to keep a detailed record of work done, including invoices, photos of before-and-after conditions, and contractor agreements. This documentation is crucial for managing expenses, preparing for tax season, and addressing any potential disputes with tenants.
While it’s important to be responsive to tenants’ repair needs, maintaining control over the repair process ensures that the job is done well, at a fair price, and to the property owner’s standards. If a tenant is responsible for an emergency or minor repair, consider setting clear guidelines about what repairs they can handle themselves and which ones must be approved and managed by you.
Screen Your Tenants Thoroughly
Absolutely, thorough tenant screening is key to protecting your property and minimizing repair costs. By ensuring that you select responsible tenants, you can reduce the risk of property damage and costly repairs. Here are some additional tips for effective tenant screening and fostering good communication:
1. Comprehensive Screening Process
- Contact Previous Landlords: Always reach out to past landlords to ask about the tenant’s behavior, payment history, and how well they maintained the property. This is one of the most reliable ways to gauge if they will take care of your rental.
- Background Checks: Conduct criminal and credit background checks to assess the tenant’s reliability and financial stability. This can reveal red flags that indicate a history of irresponsible behavior or financial trouble.
- Employment Verification: Ensure that the tenant has a steady job and sufficient income to afford the rent. This will reduce the likelihood of payment issues that can lead to financial stress and neglect of the property.
- References: In addition to landlord references, ask for personal or professional references that can vouch for the tenant’s character.
2. Detailed Lease Agreement
- Maintenance Expectations: Clearly outline the tenant’s responsibilities for maintaining the property in the lease agreement. Specify what kinds of repairs or damages they are responsible for and what they should report to you.
- Consequences for Property Damage: Include clauses that outline the consequences if the tenant is responsible for damage beyond normal wear and tear. This can provide an incentive for tenants to be careful with the property.
3. Encouraging Tenants to Report Issues Early
- Routine Inspections: Schedule periodic property inspections with proper notice to check for any maintenance issues that may not have been reported. This can help identify problems before they escalate.
- Open Communication: Let your tenants know that it’s in everyone’s best interest to report any potential problems as soon as they notice them. Offer multiple channels for communication (e.g., email, phone, a tenant portal) to make reporting convenient.
- Educational Tips: Provide tenants with information on how to spot and report issues early, such as water leaks, unusual noises, or signs of wear and tear.
4. Preventative Measures
- Appliance Maintenance: Regularly maintain appliances and plumbing to prevent unexpected breakdowns. Tenants should know how to use these appliances properly to prevent misuse.
- Property Upgrades: Invest in durable materials and appliances that can withstand regular use. High-quality fixtures and materials may have a higher upfront cost but will save money on repairs in the long term.
5. Tenant Education
- Property Care Tips: Include basic property care tips in your lease agreement or as part of the tenant welcome package. This can include simple guidelines for things like cleaning, waste disposal, and how to report damage properly.
- Emergency Contacts: Provide tenants with a list of emergency contacts, including plumbers, electricians, and handyman services, so they know who to call if there’s a problem.
By taking these proactive measures, you can foster a positive relationship with your tenants while protecting your property and ensuring that maintenance issues are caught and resolved early.
Make The Repairs Yourself
You don’t need to be a carpenter or plumber to deal with basic repairs the property needs. Many things can be handled on your own with just a little elbow grease. Of course, this should only be done if you are confident in your abilities and know what you are doing. Don’t bite off more than you can chew or you are likely going to find yourself with even more repairs to make! Know when to call in a professional and when it makes more sense to handle it on your own. Sometimes the DIY aspects of being a landlord can appear unglamorous, but when you see that tremendous ROI, it suddenly won’t seem to matter so much.
Landlords face many costs over the life of their investment. By being able to make repairs in a cost-efficient manner, landlords can save money, and put more of their profits in their pockets.