Many first time landlords decide to “get their feet wet” by buying a single family home to rent out. The idea of hiring a property manager will probably never enter their minds. They think, “What could be so hard about renting a house?” it is not easy; trust us, that is why there’s property management companies.
Michigan has very stringent Landlord/Tenant laws. If you don’t follow them to the letter, you could get into serious legal trouble. You are required to include certain provisions in your lease. You are also prohibited from including other provisions. Get it wrong, and your tenants could ultimately sue you.
Security deposits are also carefully regulated. You can only take a certain amount. You must keep it on deposit, or post a bond. You must return it to the tenant within a specific time period, following exact procedures. Your failure to do so can result in your tenant suing you, and you being liable to him or her, for twice the amount of the deposit.
Your municipality may have rental ordinances as well. You may have to register your home with the municipality, have it inspected by their inspectors, and bring it up to code before you are permitted to lease the home. You may have to have the property re-certified every couple of years.
Then, there are the actual day-to-day duties of being a landlord;
- Advertising and showing your home
- Finding a tenant
- Taking applications
- Credit & background checks
- Rent collection
- Maintenance requests
- evictions when necessary, etc.
Again, there are specific procedures that must be followed. Not following them can get you into trouble.
What a Property Manager Does for You
A Property Manager handles all of this for you. You turn your home over to him, and he handles the rest.
- He deals with the municipality to obtain a Certificate of Occupancy
- Advertises and shows the home
- Takes applications
- Checks credit and backgrounds
- Drafts the lease
- Collects the rent
- Handles the security deposit
- Deals with maintenance issues
- Takes the tenant to court if necessary
You go on living your life, while receiving your monthly distributions from your investment home.
This is why you need an experienced property management company like Halo Property Management. Not only are we a property management company, but we are also real estate lawyers.
That is a serious advantage to have if anything goes wrong with your property or you have unruly tenants.
Give us a call at 313-532-2100 if you want us to make your life a little easier, and give you one less thing to worry about.