Commercial Tenant Improvements

Considering Investment Property In Orange County? What You Need to Know Before Becoming a Landlord

Rental property represents an excellent revenue stream for savvy investors, leading many people to dive into the process. They see the potential of properties and think about how the extra income will enhance their lives. However, for many amateur investors, they often do not know that life as a landlord can be much more challenging than they anticipated. From evaluating potential property values to selecting the right tenants, the process can be fraught with missteps if they aren’t careful.

At Ranjo Contractors, we believe that rental properties can be great investments, and we help people throughout our community with superior rental property renovation services. Do you think you have what it takes to be a successful investor and landlord? Here are a few things you need to consider as you start your journey toward rental income:

·        First and foremost, understand that life as a landlord is not as effortless as you think. You will spend a great deal of time selecting and updating properties, securing permits, researching tenants, and completing the endless paperwork that comes with starting this process. While the effort needed will even out down the road, you still need to keep your properties maintained and up-to-date. Likewise, your tenants will be calling you when repairs are needed. Many landlords keep long-term relationships with handymen and tenant improvement contractors in order to have trusted partners in maintaining their properties.

·        Next, you need a smart advisor to help you select properties that are rentable, marketable, and will provide long-term value in the neighborhood. The old adage is true for both residential and commercial tenant improvements: buying the worst property in the best neighborhood can bring tremendous value. With the right updates, you can transform a cheap property into one that has incredible appeal and value.

·        A little research can help you make smart updates to your property that will add value and appeal to prospective tenants. Certain features and finishes can add instant equity, so you need to channel your improvement dollars wisely. Resist the urge to do the bare minimum because not only will you lose marketability and, in turn, potential rent value, but you also set your property up for long-term maintenance issues. Renovate rental property with a vision toward the future.

·        Selecting a tenant is more than about accepting a deposit. First, you will need a lease agreement that has been vetted by an attorney, and you will also need to understand your rights and obligations as a landlord. Next, you need to think about background and credit checks so that you see a true picture of potential tenants. Bad credit or frequent relocation should be red flags. If you are looking for commercial tenants, references and their business plan can help you better understand their potential.

Remember, as you embark on your journey toward investment property, Ranjo Contractors is here to help you with all of your remodeling and renovating needs. Our trusted team can help you create a property that will provide income for many years to