Investing in a rental property is a good thing, and most landlords do it. They usually spend money to make the property better, pay for insurance, and buy new pieces of equipment. It’s sometimes essential to splurge on these things because it will help attract the tenants.

However, some of them do not realize that they are wasting money on some aspects. They might think they are doing the correct thing, when in fact, they are not. We don’t want the landlords unnecessarily spending their profit, and we should let them know if they’re investing in the wrong things. If you have no idea what those are, read on, and you’ll know.

Too much landscape gardening

You might think giving the property a beauty boost counts as essential, I know. Making the facade of the property attractive is the right move because that’s the first thing the tenants will see. It will set their expectations that the inside has the same level of charm. Landscaping will help increase curb appeal, but what’s the catch?

It becomes a problem if it’s too much. Excessive landscaping will cost a lot on the landlord’s part. We also have to consider the maintenance of an elaborate landscape. They would have to pay a professional to help with the general upkeep. And let’s not forget the cost of watering it.

The property owner should keep it simple but neat. Once you post that property listing at Padleads and syndicate it to other websites, the tenants will initially check the outdoor part. If they see an excessive landscape, they might move on to other properties.

Insurance

Every landlord should get insurance because it will help them during emergencies that will warrant financial aid. People buy insurance to avoid losing money. So why is it on this list?

There is nothing wrong with paying for insurance because having it is an advantage. However, some landlords tend to overlook the cost of it. They might not know other insurance require less payment with the same benefits. You can suggest that they check out other companies and keep their options open. They should not settle on the first thing they see.

Paying for the utility bills

Part of the lease agreement is stating the individual responsible for paying for the utility bills. Some landlords prefer that they pay the bills because it will guarantee on-time payment. They would also avoid having to remind the tenants constantly.

But if you think about it, it will give the tenants the freedom to use too much electricity and water. If they are assigned to pay the bills, they might be more responsible in conservation.

Pets

What does the tenant having pets have anything to do with finances? If the landlord allows pets, there are risks for damages and safety. He should have a contingency plan once this happens. Letting pets stay for free will mean the landlord would have to find other means to pay for repairs. You can suggest having an additional fee for pet owners. It will help increase the landlord’s revenue, and it will help him pay for damages caused by the pet.

Evading hiring accountants

Many people can do their taxes, and they might not want to hire an accountant to do it for them. Yes, it saves them money. Some landlords might think that way too. But having a business means they have more money involved.

Accountants have more knowledge about tax deductions and tax law. The landlord might not do the job right, and it will cause more problems in the future. Hiring accountants is an intelligent investment.

DIY

Some people have this notion that they can save money if they do tasks on their own. It is probably true for some, but not for all. If the landlord takes it upon himself to do repairs, it might not have the desired outcome. Hiring professionals is the better option for these things. DIY maintenance might cause more damage.

It is also not only repairs. Some property owners want to do the rent collection or eviction themselves. They might think they are saving money and not realizing they are wasting it, including their time.