While there is plenty of profit to be made as a landlord, it’s important that every Denver area property owner understands the rental property costs that come with the investment. Some costs vary from lease-to-lease, like who pays for electricity and water, but others landlords absorb in almost every situation. What are the rental property costs that Denver landlords will often be expected to cover?
4 Rental Property Costs That Landlords Need to Cover
- Property Taxes: Landlords should incorporate the cost of property taxes into their monthly rental costs in order to ensure that they are turning a profit. It is then their responsibility to turn the taxes over to the appropriate government. Unlike a mortgage that will be paid off after a certain amount of time, you will need to pay property taxes as long as you own the property.
- Maintenance Costs: If you partner with All County Denver South Property Management, you can rest assured that maintenance is being taken care of by skilled professionals. However, major repairs and replacements will require additional rental property costs. Whether it’s replacing an oven or, in extreme cases, replacing a roof, landlords need to provide a safe environment for their renters.
- Home Insurance: Even if you require renters to have a renters insurance policy to be a tenant, you should also have a homeowners insurance policy. This will be the policy that covers the structure itself and the financial toll of losses due to fires or natural disasters.
- Homeowner Association Fees: Depending on where your property is located, particularly for homes and townhouses, there might be HOA fees associated with owning the property. These should be factored into your rental price, but they are rental property costs that you will be responsible for whether or not your property is currently occupied by tenants.
All County Denver South Property Management Can Help Reduce Rental Property Costs
All County Denver South Property Management is here to help property owners get the best return on their investment through knowledgeable and trustworthy property management services. From managing tenant relationships to lease enforcement, we look forward to working with you to see how your rental property investment can be a long-term, stress-free asset. We work with landlords throughout Lakewood, Englewood, South Denver, Greenwood Village, Highlands Ranch, Ken Caryl and Aurora. For a complimentary quote, call us today at (720) 664-4550.