Owning rental properties in Los Angeles County can be a profitable way to diversify an investment portfolio or launch yourself into the world of real estate investing. The investment is not as passive as you may have been led to believe, however. There’s a bit of work involved, especially when it comes to maintaining your rental property.
There’s a lot of good information about maintenance out there – especially through Los Angeles property management experts like us.
But there’s a lot of disinformation, too.
There are some common myths about maintenance that we hear all the time, and we do our best to debunk them. Here’s what you want to avoid when it comes to maintenance myths.
Myth 1: Reactive Maintenance Saves Money
You know that something’s wrong with the water heater or a tenant has reported another leaking toilet, but you just don’t want to spend the money right now. Why not wait? Or preventative maintenance is not always necessary because if nothing is broken, why fix it?
Well, the myth that you’re saving money by not performing maintenance right away is bonkers.
The reality is this: While it might seem cost-effective to address issues only when they arise, reactive maintenance can often lead to larger, more expensive problems. Regular inspections and proactive upkeep help identify potential issues before they escalate. For example, fixing a small leak immediately prevents more severe water damage that could require extensive repairs.
As property managers in Los Angeles County, we push back against this myth by implementing a preventive maintenance schedule that includes regular inspections and services of your plumbing and HVAC systems, as well as your property’s exterior. This proactive approach can extend the lifespan of property components and reduce unexpected repair costs.
Don’t be reactive. Be proactive instead. It saves you money and it does a better job of protecting the value and condition of your investment.
Myth 2: DIY is Always Cheaper than Paying for a Professional.
No. This is almost always untrue.
Unless you have your own expertise when it comes to contracting or repairs, you’re better off hiring someone who is licensed, insured, and experienced. While DIY projects might seem like a cost-saving measure, they can sometimes result in sub-standard fixes that need to be managed by professionals anyway. Inadequate repairs can even void warranties or fail to meet building codes, leading to further expenses.
You’re not saving any money when you’re doing repairs that you’re not qualified to tackle. If you have someone else do the repairs who is not qualified, you’re also inviting a lot of liability into your investments. Hire a professional who can handle the problem efficiently and effectively, without risking further damage or deterioration to your property.
You have to know when to call in the experts. For complex tasks or those requiring specific skills, hiring professionals ensures compliance with local regulations and guarantees quality work. Can you re-paint the walls during a turnover by yourself? Probably. That’s when you can safely DIY a project. But, when it comes to fixing a faulty outlet or installing updated plumbing, we recommend you hire someone who knows what they’re doing. It’s about balancing when to DIY and when to rely on skilled tradespeople.
Myth 3: High-Quality Materials Aren’t Worth the Investment
Everything is more expensive than it once was. Whether we’re talking about labor or supplies, maintaining your property costs more. So, there’s no point in spending extra money on high-quality materials, right? Why not save where you can and settle for what’s cheap?
Bad idea. Investing in high-quality materials may cost more initially, but it can lead to significant savings over time. Cheaper materials often wear out faster, resulting in frequent replacements and labor costs.
You don’t have to spend money on top of the line stainless appliances or bamboo floors. But you don’t want to grab at the cheapest options, either. Opt for durable, high-quality materials, especially for critical elements like roofing, flooring, and plumbing. This investment can decrease the frequency of repairs and enhance your rental property’s overall value.
Myth 4: Tenants Will Report All Problems Right Away
We wish this was true.
The reality is that many tenants don’t report small issues, either because they deem them insignificant, or because they fear rent increases. Sometimes, they’re worried that they’ll be blamed for these problems. Unfortunately, these unreported issues can worsen over time, leading to more extensive damage.
It’s important that you encourage open communication with tenants and conduct regular property inspections. Providing a straightforward reporting process and ensuring tenants feel comfortable sharing concerns can help you catch issues early.
Maintaining your rental property in Los Angeles County has to be a partnership between you, your tenants, and your vendors.
Myth 5: Maintenance Costs Can Always Be Passed to Tenants
Tenants are responsible for repairing any damage they cause at your property.
Outside of that, maintaining a rental home is the owner’s responsibility. You’re the one who has to pay for maintenance services, whether they are emergency leaks in the middle of the night or routine fixes on appliances and lighting. You’re responsible for preventative maintenance, emergency repairs, and routine issues that need attention at your investment property. You cannot expect your tenants to pay for maintenance in a home they’re renting.
You can ask for help with things Iike changing air filters or light bulbs. Balance tenant responsibilities with your own ongoing maintenance duties. Offering well-maintained properties can justify reasonable rent increases while keeping tenants happy and reducing turnover.
Financial Benefits of Effective Maintenance
Effective maintenance is better than buying into the myths.
When you take charge of the maintenance you’re providing at your property, you’ll enjoy a multitude of financial advantages that significantly impact the profitability and sustainability of your investment.
First, regular upkeep helps you to keep costs down by minimizing the risk of major repairs, which are always going to cost more time and money than you’d like. For example, routine servicing of heating and cooling systems can prevent breakdowns, reducing both repair and replacement costs.
We can also tell you that by maintaining high-quality standards through consistent property care, you’ll enjoy higher property value and even increased rents. A property in excellent condition is more appealing to potential buyers and tenants. It will command a higher market price when the time comes to sell, and the excellent maintenance and condition will justify a higher rental value.
Another financial benefit is the reduction of vacancy rates. Well-maintained properties attract and retain tenants, leading to lower turnover. Let’s talk more about the impact on tenant retention because by avoiding the maintenance myths and focusing on responding proactively to repair concerns, you’re likely to hold onto your best tenants. And that’s a good thing.
Impact on Tenant Retention
Effective maintenance practices directly influence tenant retention rates. When landlords invest in regular upkeep and swift responses to repair requests, tenants are more likely to feel valued and satisfied with their living environment. A well-maintained property signals to tenants that their landlord is committed to providing a safe, comfortable, and attractive space.
This perception can lead to longer lease renewals, as tenants often prioritize quality of living over minor rental cost fluctuations. They expect that their rent will go up when they renew, and if you’ve provided a great rental experience, which includes responsive maintenance, you’ll likely hold onto your renters.
Professional property management can help, too. It reduces the stress and inconvenience that comes with unexpected maintenance issues, enhancing your profitability and your tenants’ overall living experience.
Tips for Efficient Maintenance
We’ve talked about the myths and what you don’t want to do. So, what do you want to do? Here’s a brief list:
- Schedule Routine Inspections. Regularly inspect your properties to identify and address potential issues early. Use a checklist to cover essential areas such as plumbing, electrical systems, roofing, and HVAC units.
- Create a Maintenance Calendar. Develop a maintenance calendar highlighting seasonal tasks like gutter cleaning, heating system servicing before winter, and air conditioning checks before summer.
- Use Digital Tools. Consider utilizing property management software to keep track of maintenance schedules, repair history, and tenants’ requests. These tools streamline communication and ensure nothing falls through the cracks.
- Educate Tenants. Provide tenants with information on basic maintenance tasks, such as unclogging drains or changing air filters. Educated tenants are more likely to maintain the property effectively, avoiding minor issues.
- Build Strong Vendor Relationships. Establish relationships with reliable contractors and vendors. Loyalty can often result in better service and pricing, and having trusted contacts can expedite urgent repairs.
- Budget for Maintenance. Allocate a portion of your rental income for regular maintenance and emergencies. A prepared budget can prevent financial strain when unplanned repairs arise.
- Prioritize Communication. Maintain open lines of communication with tenants regarding maintenance. A transparent process for reporting issues encourages timely identification and resolution, preventing minor problems from becoming significant headaches.
Debunking maintenance myths and adopting proactive strategies can significantly improve your success when it comes to maintaining your Los Angeles County rental property.
Let’s talk about how to establish sound maintenance policies. Please contact us at El Camino Property Management.
Please note, this information is deemed reliable, but not guaranteed. Please consult appropriate professionals for specific situations.
