Being a military landlord comes with unique opportunities, but it also poses specific challenges that can lead to costly mistakes if not handled properly. Whether you’re renting out your property during a PCS or leasing to military tenants, avoiding these common pitfalls is key to a successful experience. Here are the most frequent mistakes military landlords make and how to avoid them:
1. Neglecting to Research the Rental Market
Failing to understand the local rental market can lead to setting the wrong rental price—too high, and your property may sit vacant; too low, and you leave money on the table. Avoid this mistake by:
- Researching comparable properties in your area.
- Using online tools like Zillow or Rentometer for pricing insights.
- Considering military-specific factors, like proximity to bases and amenities important to military families.
2. Overlooking the Importance of a Military Clause
A military clause is essential for both you and your tenants. It allows military personnel to terminate the lease without penalty due to PCS orders or deployment. Without this clause, you may face legal issues or disputes.
To avoid this:
- Include a well-drafted military clause in your lease.
- Clearly outline the notice period and required documentation, such as PCS or deployment orders.
3. Skipping Proper Tenant Screening
Assuming all military tenants are reliable can lead to problems. While many are responsible renters, proper screening is still essential to minimize risks.
Best practices include:
- Using a trusted, veteran-owned tenant screening platform like RentRisk.
- Verifying income, rental history, and creditworthiness.
- Confirming military status through official documentation.
4. Failing to Plan for Early Lease Terminations
PCS orders or deployments often require tenants to move on short notice, leaving landlords with unexpected vacancies. Failing to plan for this can result in financial strain.
Avoid this mistake by:
- Keeping an emergency fund to cover vacancies.
- Building a waitlist of potential tenants.
- Networking with local real estate agents or military housing offices to fill vacancies quickly.
5. Ignoring Maintenance Responsibilities
Neglecting property maintenance can lead to tenant dissatisfaction and costly repairs. Military tenants, like any other renters, expect prompt attention to issues.
To prevent this:
- Schedule regular property inspections and maintenance.
- Address repair requests quickly.
- Consider hiring a property manager if you’re stationed far from your rental property.
6. Not Marketing to Military Tenants Effectively
Listing your property on general rental platforms may not reach your target audience. Military families often look for housing on specialized platforms.
To market effectively:
- Use military-focused websites like MilitaryByOwner.com or AHRN.com.
- Highlight features that appeal to military tenants, such as proximity to bases, family-friendly neighborhoods, or pet-friendly policies.
- Include high-quality photos and detailed descriptions in your listings.
7. Being Inflexible with Lease Terms
Rigid lease terms can deter military tenants, who often face unpredictable schedules. Failing to offer flexibility can reduce your property’s appeal.
Avoid this by:
- Offering month-to-month or short-term leases depending on their situation.
- Being willing to negotiate lease terms, such as allowing early termination with proper notice.
8. Overestimating Your Ability to Self-Manage
Managing a rental property, especially from a distance, is challenging. Many landlords underestimate the time and effort required, leading to tenant dissatisfaction or neglected responsibilities.
Consider hiring a property manager to:
- Handle tenant screening and rent collection.
- Coordinate maintenance and repairs.
- Ensure legal compliance with landlord-tenant laws.
9. Not Understanding Legal Obligations
Military landlords must comply with federal, state, and local laws, including the Service members Civil Relief Act (SCRA). Ignorance of these laws can result in legal disputes and financial penalties.
To stay compliant:
- Educate yourself about the SCRA and other landlord-tenant laws.
- Consult a real estate attorney if you’re unsure about legal requirements.
10. Failing to Communicate Effectively
Poor communication with tenants can lead to misunderstandings and strained relationships. Military tenants often have unique challenges, such as deployments or frequent relocations, that require clear and empathetic communication.
To improve communication:
- Use multiple channels, such as phone, email, or leasing management platforms like RentRisk.
- Be responsive to tenant concerns and proactive in providing updates.
Final Thoughts
Avoiding these common mistakes can save you time, money, and stress as a military landlord. By understanding the unique needs of military tenants and adopting best practices, you can create a positive rental experience for both parties. Leveraging tools like RentRisk can simplify tenant screening, streamline communication, and help you manage your property more effectively. With careful planning and attention to detail, you can make the most of your rental property during a PCS or other military-related circumstances.
