As an owner/landlord of a single property or even 2 or 3 properties, you know that an unexpected expense can wipe out all of your profit for a month or two and leave you basically working for free. The concept of frugality, however, can be the difference between those months of working just to break even and months when you are adding to your savings with a little profit. Trying some or all of these money saving tips will hopefully have you making a little bit more each month as you use rental properties to increase your personal wealth.
Invest Your Time
There are many tiny issues in a rental property that will drive a tenant nuts and have them calling you for a repair. A dripping faucet, leaking toilet or an outlet or ceiling fan that is not working properly are all very common. When those calls come in, it can be very tempting to call a repair professional or handyman. But that is going to cost you a few hundred bucks in most cases. Before making that call, spend 15 minutes online to research the issue and watch a few videos on DIY repairs. Between that information and a trip to the local big box store, you can often make the necessary repairs in a few hours and for a fraction of the cost of a repair service. In addition, many big box stored offer free classes on basic repair. Investing a Saturday morning is a great way to increase your skills.
Market Your Skills
It’s safe to assume that other landlords are facing the same repair issues that you are. But not all of them have the time or ability to fix them. Offering your repair services to other landlords in your area is a great way to make a few extra bucks. You might even be able to form somewhat of a co-op with other landlords to pool your repair knowledge and trade services.
Add Services and Value to Your Property
If you own a multi-unit property, adding coin-operated laundry machines will not only earn you some extra cash but it will be seen as an extra value by potential renters. Converting unused basement or cellar space to storage lockers is also a great bonus that renters are often willing to pay extra to use. Renters in a single family home are often willing to pay to have the yard work and snow removal done by an outside party. If you have the time and desire you can provide the service. Or you can contract with a professional and possibly even secure a multi-location discount. Any regular maintenance that you have in your rental agreement as a responsibility of the tenant, is a good opportunity for you to make a little extra money. The tenant might be very happy to pay for the services rather than making the time to complete the tasks. And you will have the peace of mind of knowing that regular maintenance is being completed correctly which protects your investment in the property.
Investing a little bit of your time can pay big dividends in money saved, extra revenue from the property and increased property value. Being thrifty is not a bad idea if you have the time and are willing to learn just a few simple skills.
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