Recently, we talked to you about the importance of location and property type when an investor is choosing a property to buy. Another extremely important thing to consider is whether the property is in a city or a state that’s landlord-friendly. Today, we’re talking about why that matters.
What it Means to be Landlord-Friendly
What do we mean by landlord-friendly? It means you have to consider that things may go wrong with the tenancy. Even if you’ve done your work to screen a tenant well, you may have a renter who stops paying rent. Do you want to be in a situation where the tenant has lots of rights and can drag an eviction out over weeks, months, even years? Or, would you rather be in city and a state with strict rules for tenants, and generally falls on the side of the landlord when the landlord has done everything right?
Florida’s Landlord-Friendly Laws
Florida is friendly towards landlords, and we have found that when we do things legally and correctly, we rarely run into problems with evictions. Florida is not dealing with any rent control issues that other states are managing. Some states are controlling rental rates from the city governments or the state. We aren’t there yet. Florida might get there one day, but that day is not today. In this state, the market forces dictate what we can set for our rental rates.
States like California not only have a high barrier of entry for investors, they also have a lot of laws that protect tenant rights. In Florida, you don’t have those limitations when you’re doing everything legally.
Before you purchase an investment home, consider rent control, permits, evictions, and other landlord issues. Focus on a state or city that’s landlord-friendly.
If you’d like any additional advice about where to invest in rental properties, please contact us at Gulf Coast Property Management.
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