Share this post

Investing in and leasing out rental properties can be a winning financial strategy for property owners. Many landlords also decide to self-manage their rental properties, taking full ownership of the contracts, maintenance, and marketing efforts needed to not only keep their investment sustainable but also profitable. While tenants pay rent on time and abide by their lease agreement, unexpected things always happen. Without the skill and experience of managing properties in today’s market, you’re likely to make a few wrong moves. Here are the five common mistakes landlords make—and how you can avoid them.

1. Not knowing your legal rights as a property owner

Many landlords self-manage their rental properties and are happy with tenants who pay their rent regularly and without issue. But what happens when great tenants are no longer able to satisfy their lease obligations, like paying rent? Are you aware of the legal risks and costs associated with non-payment? Understanding local and federal laws that apply to property owners is critical. But it’s just as important to know the legislation that focuses on renter protection and non-payment.

It’s important to familiarize yourself with the Alberta Residential Tenancies Act, which explains the rights and responsibilities of all tenants, landlords, and agents involved in renting residential premises in Alberta.

2. Ignoring your vacant home

As tedious as it may sound, your vacant property deserves as much attention as your leased property. After putting so much into your investment, the last thing you’d want is for it to depreciate or lose appeal altogether. Make sure to visit the property often, check the mailbox, make upgrades, and maintain a regular snow removal and lawn care program.

3. Misunderstanding the value of a property management company

Most owners self-manage their rental properties because of cost. Self-managing your property means, theoretically, more cash in your pocket. While self-managing your rental may seem like you are saving money in the short term, not understanding local property code, provincial, and federal laws, and making subsequent errors, can lead to legal fees and other issues that can become more costly in the long run.

That’s where a professional property management company, like Magnum York Property Management, can be of the greatest help. Property management companies are experienced in everything from contract negotiations and local, provincial, and federal legislation to property maintenance, marketing your home, and much more.

4. Giving in to renter demands without doing your research

Managing a rental property can easily become a full-time job. Simply maintaining your investment property takes time and effort that many property owners just don’t have. When a tenant calls you to fix broken appliances, plumbing or electrical issues, or damaged walls, windows, and doors, it’s easy, yet costly, to call someone to fix it. Instead of shouldering the financial responsibility without looking into the matter, take the time to schedule regular mid-lease property checks. This will help prevent deferred maintenance or getting in front of a tenant who would otherwise do a lot of damage.  

5. Not putting things in writing

Many landlords have experienced a tenant with a non-rent lease violation but don’t know how to best approach the situation or what course of action to take. That’s why it’s important to draft a lease agreement that details the terms of living in the home and the fines and fees that the tenant would be subject to if rules are violated. Make sure your lease agreement covers everything from property damage and non-payment to notice-to-vacate information and pet restrictions.

Refer to an attorney or property management company to ensure the document holds up in a court of law.

Magnum York can help you manage your rental smartly

Magnum York Property Management has been providing quality single unit rental, apartment rentals, rental pool, and residential and commercial condominium management services for over 20 years across Alberta. Our skilled team manages properties in Calgary, Edmonton, Red Deer, and Fort McMurray. Our expert knowledge will ensure that your property is managed efficiently and professionally.

Click here to request a proposal today!

Parts of this article originally appeared on and were republished with permission. 

Further Resources:

Follow Magnum York on Social Media!

Comments (0)

Leave a Reply