Do you own a warehouse as your rental property? If you do, then you need to know a few things about owning a lucrative property such as this.
Being at the helm of your warehouse property management, you will be on the receiving end of returns for your investment. However, there are liabilities and responsibilities that you need to be aware of. Some of these are legal matters, and others are a matter of housekeeping.
Whatever they are, these tips will take the guesswork out of your DIY property management. Read on to learn more about how to go about owning a rental property like a warehouse.
1. Know Your Tax Obligations
Tax obligations can vary from one state to another. This is especially the case for any gains obtained from your warehouse rental property.
As well, a warehouse property differs from other rental properties like residential rentals. Hence, depending on the state, the percentages you’ll have to pay may differ. Also contributing to the difference is whether you filed for rental income tax alone, married, or joint.
In short, the first step to property management is knowing what your tax obligations are. The taxes you’ll have to pay on your income will depend on how much you collected, your property, and how you filed.
2. Check on Your Tenants
Your tenants are essential to the income generation of your warehouse rental property. You will want your tenants to keep renting from your property for you to enjoy steady cash flows from their rent, so it’s important to ensure their satisfaction with your rental property — whatever that may entail.
To guarantee their satisfaction, you’ll want to check in on your tenants now and then. The added benefit of this is that you present yourself as a landlord who has a genuine concern for the well-being of tenants. Who wouldn’t want that?
3. Ensure That Your Property Stays in Top Condition
Tenants can come and go. Once yours do, your property needs to be ready for the next occupants. Of course, you may not be able to charge the same rental fees if your property’s condition deteriorates.
Improving and maintaining the condition of your property is crucial to your business. To prevent any issues, you can emphasize the rules of property use to new tenants. In the early stages of occupancy, clarify what tenants may be liable for should you find damage during their period of using your warehouse.
As well, you can invest in regular maintenance work for the utilities of the infrastructure. Maintenance should take care of the water, electricals, plumbing, and sanitation of the property.
It may cost you a bit of money. However, think of property maintenance as an investment towards the retention of tenants and the generation of new ones.
4. Collect Rent Payments Consistently
Collecting rent payments consistently means collecting it at the agreed-upon time with few or no exceptions. Payments can be collected every month or quarterly, depending on the terms you have set in your contract.
This is important because some of your tenants may be counting on your consistency to make their budget work. Being as much as a week behind collecting money can hold back other businesses and companies.
Too Much on Your Plate? Hire Schwarz for Property Management!
Owning a rental property sounds great until you factor in the responsibilities that go with it. If you need help fulfilling all of your responsibilities as a property owner, property management can go a long way.
With Schwarz property management, you get the following:
- Advice on financials
- Property maintenance
- Tenant satisfaction
- Regular payments straight into your account
Call us now at (336) 625-6076 or visit our website for property management that takes the guesswork out of owning a rental property!