Many first-time landlords underestimate how much they need to know to be rental owners in New Orleans. From knowing how to find good tenants to your legal obligations, keeping everything straight can be overwhelming.
If you are a new rental owner, there are some things you can’t afford to learn from experience. Some mistakes can be costly or land you in trouble with the law. This post will cover legal issues new landlords need to know.
Things New Rental Owners in New Orleans Need to Know
Study the Laws
Louisiana is a state friendly to landlords. However, tenants still have rights, and landlords still have obligations. As a property owner, you must learn about these rights and responsibilities. For example, it is generally easier to evict tenants in Louisiana than in many other states. However, there is a legal process you must follow. Take the time to learn about all the landlord-tenant laws in New Orleans.
Screen tenants to ensure they have good credit and enough income. Many first-time landlords make the mistake of not screening tenants or performing incomplete screenings. However, the process starts with a rental application. You might want to fill units quickly, but filling your property with bad tenants is counterproductive. Background checks and referrals can also be helpful. The state also requires landlords to get permission to run different checks on prospective tenants.
New rental property owners also need to learn about landlord insurance. It is not always a requirement to have coverage, but it is a wise investment. It provides financial protection from various forms of damage. The policy can also cover general liability, and cover lost income if the property is temporarily uninhabitable. You might also want to consider requiring renter’s insurance from your tenants.
Prepare for Repairs
Repairs are part of property management. Landlords have a legal obligation to make repairs, and tenants have a right to expect repairs in a reasonable timeframe. Landlords need to develop relationships with contractors and repair services. You may even want to hire maintenance staff.
Make sure to collect security deposits from new tenants. It can be a valuable form of financial protection against damage to the unit. Louisiana also sets no limit on what a landlord can charge for a security deposit. However, an unreasonably high-security deposit could make it difficult to attract new tenants. You must also return the security deposit within a month of the tenant moving out. Landlords also need to know the issues that allow them to take money from the deposit.
New Orleans Property Management Services
Do you need help with property management in New Orleans? Click here to contact Redfish Property Management. We are local experts at managing rental properties.
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