Owning rental property can be a good investment, but if you’ve ever had a tenant trash your Kansas City House, you understand that there are risks involved. Dealing with repairs, dealing with contractors, finding the money for repairs, and a vacant property are common issues for real estate investors and homeowners. This article will show you the options you have when dealing with a trashed [market-city] house.
Do you own rental property? If you’re like most landlords, you probably took a security deposit to cover damages that the tenant makes to the property. Unfortunately, these costs can add up to much more than the cost of the repairs. In addition to the costs, there is an emotional and time cost to resolve these issues quickly. And every day that the property sits empty, it is costing you more money.
Shoud I try to get the money from the tenant?
For small repairs, the security deposit can be used to cover the cost to repair them. But for those repairs which are more expensive, you may have to seek alternate means of getting the money for them. Many landlords find that it isn’t worth the hassle, time, emotional cost, and potential litigation to go after a tenant for repairs. If the repairs are very expensive however, you may choose to pursue legal action against the tenant.
You can make the repairs yourself.
If you are very handy, or have the hookup to get a good deal on contractor services, you may simply decide to eat the cost of the repairs yourself. This isn’t the quickest way to resolve the issue, but if you intend to hold onto this property for many years and are willing to deal with the hassle you can fix the property up and get it back onto the rental market quickly.
You can find a tenant willing to make the repairs for you.
This is an unconventional method, but one that has several advantages. You can simply rent the property back out immediately to a handyman who is willing to make repairs to the property while they are living there. You can give them a discount on their rent in exchange for their services. This route is risky however. You are now making the tenant a business partner of yours. In addition, they may not be a very skilled craftsman. Therefore, you need to find someone who is both a great tenant, as well as a great contractor.
You can sell the house.
Finally, you always have the option to get rid of the property and the associated problems. Depending on the condition of the property, you may be able to receive a substantial sum of money and move on to other properties or ventures. If the property has been damaged more substantially, you will not be able to sell it on the open market before making repairs. Our company specializes in buying [market-city] houses like these and helping out homeowners in your situation. We buy the properties as-is, and make the repairs ourselves.