If you’re just getting into property investment in the Issaquah area then chances are that you need help. If so, don’t worry. You’ll learn the ropes, the ins and outs of real estate and landlord tenant law, and how to manage tenants over time, but in the meantime you’ll want to take it slow. Here are a couple of tips for getting started managing real estate in Issaquah.
Start Out With Inspections
The first thing you want to do before you start renting anything out is to make sure that the property has been inspected. You’ll also want to make sure that a professional inspects the property before you buy it, or you might end up with unexpected repair and maintenance costs. You’ll want the Fire Chief to inspect the home before you rent as well.
Set Reasonable Expectations
You want to go into property investment just like you would with any other type of investment, with reasonable and achievable expectations. If you expect to rent out all of your units in a week and have the entire thing paid off within a year with no maintenance costs then you may be mistaken unless you get a really good deal. Consider calculating your potential ROI, remember to set aside money for repairs, maintenance, and emergencies, and then have a good idea of what your actual cash flow will be.
Don’t Overwork Yourself
If you’re working a full time job then the last thing you’re going to want to do is manage the property yourself, especially if you work in another part of King County. Managing property can be a full time job, especially if you have several units. You have to screen tenants, handle advertising, handle emergencies, and keep up with maintenance. If you have a full time job, consider hiring an Issaquah property manager to help you out. Otherwise you will end up neglecting your responsibilities as a landlord simply because you don’t have the time. Plus, all the money in the world isn’t going to do any good if you’re working 18 hours a day.
As a new property investor, you want insurance. While insurance is not free, it does protect your property in case of natural disasters and sometimes accidents. Taking the time to find and pay for insurance will save your investment should the building burn down or should it flood.
Consider Joining a Landlords Association
You will need help learning the basics, especially with local Issaquah law. The Rental Housing Association of Puget Sound is one of your best options in the area because they have more than 4,000 members who can help you out.
Get Help If You Need It
Finally, if you need help, it’s always better to hire a professional. Hiring someone will prevent you from making investment and legal mistakes. While these are easy to make if you aren’t familiar with real estate, landlord tenant, and local laws, an Issaquah property manager can make sure that they don’t happen in the first place. If you aren’t familiar with laws, don’t have the time, or are unsure of your ability to screen and manage tenants effectively, than hiring a property manager is the best way to go.
The discussion herein is of a general nature only and is not to be construed as specific legal advice, which requires the establishment of an attorney-client relationship and fee agreement. SJA Property Management does not provide legal services.