As a landlord you have an option to hire a property manager or to self-manage. While I strongly recommend that you hire a property manager for various reasons as outlined in the book Millennial VS. Machine, I realize that some may opt to self-manage your property.
If you self-manage your property it’s super important to familiarize yourself with federal, state and local landlord-tenant laws. Here are some of the things to take note of.
Federal Laws
- Fair Housing Act
- ADA
State/Local Laws
- Local/city ordinances mandating rental registration
- Keyless locking device requirement (Texas)
- Rekey requirements (Texas)
- Smoke detector requirements
If you self-manage your property it’s super important to consult with an attorney to ensure that you’re using the correct lease agreement and forms. Additionally, having a good attorney contact is essential in the event that you must evict a tenant. In some states, including Texas, you are able to evict a tenant in Justice of the Peace courts.
There are local laws and best practices that dictate how long you need to keep the records and what records to keep. Especially from a tax perspective, it’s important to keep detailed and accurate records of all of your income and expenses related to the property. Some people use a spreadsheet and others use various web-based platforms that automate the process of managing the property and collecting rents as well as keeping track of all of your expenses.