It is no secret that the Pittsburgh rental market is dynamic. According to real estate site Redfin, it has the fastest-growing home sale prices in the country. This can be good for real estate investors and property owners, but for "accidental landlords," there can be a whole host of challenges.
This article explains the ins and outs of being an accidental landlord in Pittsburgh. Keep reading for solid advice on steps to take to get the most out of your real estate assets.
What Is an Accidental Landlord?
An accidental landlord is someone who becomes a landlord unexpectedly. This is often due to unforeseen circumstances like:
- Inheriting a property
- Job relocation
- Financial reasons
An example of an accidental landlord is someone who inherits a home they do not wish to occupy or sell, and renting becomes the most viable option. Someone might abruptly have to relocate for a job or other reason, and may wish to rent instead of selling their home.
Finally, someone may become an accidental landlord as a business decision. They may decide they need additional income and renting is a way to achieve that. In many cases, an accidental landlord has little or no experience or interest in real estate.
Property Management Tips for Accidental Landlords
There are many important things for accidental landlords to consider. Here is some advice for getting started.
Understand Legal Obligations
The first thing you should do is become familiar with federal, state, and local laws about real estate rentals. These include zoning or other restrictions. If there is a homeowners association, they likely have bylaws regarding rentals.
There also are laws that govern landlord-tenant relationships. You need to ensure you do not discriminate against prospective renters. There are also state laws that govern leases, such as reasonable notice for property inspections when the property is occupied.
Purchase Insurance
The next step is to purchase landlord insurance. Keep in mind that regular property insurance will probably not provide the protections you need. Landlord insurance policies will cover damage to the property, including by residents.
These plans usually protect against theft, vandalism, and weather events as well. They also provide you with liability protection, should someone become injured on the property.
Do Thorough Tenant Screening
You may be tempted to get tenants in as soon as possible to begin generating revenue. There are some good reasons to resist this urge. In general, tenant screening can help you avoid problems down the road.
Basic credit and criminal background checks can identify any red flags. They help minimize risks associated with property damage, failure to pay rent, and jeopardizing the safety of neighbors or other tenants.
Hire a Professional
If any of the tasks above seem overwhelming to you, consider outsourcing landlord responsibilities to a third party. An experienced company can handle any aspect of being an accidental landlord for you.
Find Pittsburgh Rental Management Assistance
Accidental landlords are faced with unique challenges. Following the advice above can help you get on your feet and ensure positive outcomes for your real estate venture.
The Burg Property Management is a full-service real estate management company serving Pittsburgh and the surrounding suburbs. We offer a variety of management support, including marketing, tenant screening, and property maintenance. Contact us today for a free consultation.
