Managing your property might be a challenge, but at the same time rewarding. It is important to remember that a significant amount of investment was put into that real estate so it's imperative that you put measures to make sure you get more from what you invested. There are a few details that you should look out for that will eventually make or break your real estate.
So here are a few tips to help you dot your I's and cross your T's:
1. Tenant Management
A good property manager should conduct a thorough screening for your potential new tenants. This covers their history of work, financial standing, references, current earnings. And do a background check to make sure that the person who is living in your property is legit. Also, if you do this correctly, you never have to go through an eviction process.
2. Insurance and Rainy Day Reserves
Having insurance for your property also provides coverage for the building facilities you own and lease to others, as well as a limited amount of general liability protection. Depending on your real estate, there are different types of commercial property insurance that you can use for your property. This will help you protect yourself from unforeseen events and will help you recover faster if such events do occur.
You have to put aside emergency money as this is one of the most important tips. Before you rent the property, talk with the property manager and ensure that there should be a maintenance plan so that the property is well kept for the next few years or during the time you are renting the place this will allow you to carefully control your money, and hopefully prevent any unexpected surprises.
You will have to make sure that the tenant will play right on time and full monthly. If you are not there to collect the payment, you can ask other people that you trust to collect or switch to digital payment. This will provide you and your tenants a flexible way to transact and avoid a lot of the hassle of meeting or going to the bank.
4. Accounting and Finances
You can choose to hire a management firm to handle the invoices and collections. This will take off a lot of burden from you. Having a centralized operation for your accounting helps in making an easy tax reconciliation. You will then be provided a detailed statement at the end of the fiscal year detailing income, expenditures, GST on expenditures and balance
5. Lease Renewal
If you are well prepared then you'll have a shorter vacancy period. At the start of the renewal process at least 3 months before the tenant leaves or vacates the property, it helps to make sure that you can release your property as fast as possible.
Managing a property entails a lot of responsibilities and all of your tenants and occupants will look to you for answers. You will also be responsible for keeping the business running by looking after the welfare of the people and making sure the maintenance is up to date. You will also have to take care of your finances and keeping a healthy cash flow by keeping vacancy short and far in between.
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Help! My Friend Is a No Show
Dear Armchair Psychologist,
I have a friend who doesn't reply to my messages about meeting for dinner, etc. Although, last week I ran into her at a local restaurant of mine, it has always been awkward to be friends with her. Should I continue our friendship or discontinue it? We've been friends for a total four years and nothing has changed. I don't feel as comfortable with her as my other close friends, and I don't think I'll ever be able to reach that comfort zone in pure friendship.
Dear Sadsies,I am sorry to hear you've been neglected by your friend. You may already have the answer to your question, since you're evaluating the non-existing bond between yourself and your friend. However, I'll gladly affirm to you that a friendship that isn't reciprocated is not a good friendship.
I have had a similar situation with a friend whom I'd grown up with but who was also consistently a very negative person, a true Debby Downer. One day, I just had enough of her criticism and vitriol. I stopped making excuses for her and dumped her. It was a great decision and I haven't looked back. With that in mind, it could be possible that something has changed in your friend's life, but it's insignificant if she isn't responding to you. It's time to dump her and spend your energy where it's appreciated. Don't dwell on this friend. History is not enough to create a lasting bond, it only means just that—you and your friend have history—so let her be history!
- The Armchair Psychologist