So you’re new to the rental game and want to get started?

Let’s start at the very beginning of what you’ll need to do:

1.  Click on – Rental FAQ to get answers to basic questions.  If you have a question that’s not answered reach out to me.

2.  You want to get your first rental and don’t know if being a Landlord is for you?  Check out the article – 17 ways to be a successful landlord.  You’ll need to be a good communicator, have the time to do it, and be good at recognizing the games that tenants and repair people will try to run on you.

3.  How will you get the money to get your first rental?  Well, there are many ways to do it.  I’m only an expert on two ways.  First, save my money and pay cash.  Second, have credit where I can finance the property. 

You can get a hard money loan, take out a home equity loan, 401k plan, owner financing, or borrow from relatives.  There are a million people on YouTube who claim they know how to get you a home for almost nothing.  You tell me if that works for you. 

4.  Get a list of contacts you trust to make repairs and renovations if you can’t do them yourself.  Have a second list of people who can make the same repairs and renovations.  Never put all your eggs in one basket. 

Use these people to get estimates of repairs and renovations before you buy.  I always add 10% more to their quotes.

5.  Get estimates on property taxes, insurance, and local rental laws.

6.  You will need to figure out where to buy your rentals, a good price to pay and how much rent can you charge.  I suggest to buy your rental within an hour drive from where you live.  You should buy in the best neighborhood you can afford.  I want you to be successful with your first rental.  Buying in the hood with your first rental is not a good idea unless you live in that hood too and know how to get down and dirty when that time comes and that time will come. 

We all want a deal when we buy something.  Real estate is no different.  You can buy at tax sales and you can find them by contacting the city, county, or state’s tax assessor’s office.  You can contact most banks and credit unions and ask if they have a Real Estate Owned (REO) list. 

For foreclosures you can click on, US Marshals auction, IRS auction,  US Treasury auction, Federal Deposit Insurance Corporate auction, United States Department of Agriculture auction, Veterans Administration auction, General Service Administration auction.  Other sites are HUD, Freddie Mac, Fannie Mae and of course you can use a realtor.  Note – if the links don’t work, just Google the term to find the site.  These sites always move.

Search online in the area where you plan to buy to determine the rent you can charge.  Also contact your Section 8 office to see how much they will pay based on the number of bedrooms.

7.  Form an LLC and deed your property in the LLC.  A lot of people think if they finance the property in their name, they can’t deed the property in an LLC until they pay it off.  Not true.  The ‘title’ is in your name until it’s paid off, but you can put the ‘deed’ in the LLC at any time. Click on I formed all my LLCs for free but if you’re balling go ahead and pay somebody.

8.  Click on free rental lease, free rental application and free move in move out inspection checklist.

9.  There are many more articles and videos under Rentals.  Check them out and any questions you have, post it in the comments section.