Although the price of homes in Canada has been cooling off, the interest rates have increased.

This has made it less affordable for many Canadians to purchase a home. Therefore, there has been a huge demand for rental properties, pushing the average rent price to over $2000 per month. With this greater demand for rental properties, is it time to consider converting your home into a rental? This article will look at some tips to successfully do just that.

1. Decide if you want a property manager

Being a landlord may sound glamorous, but it certainly comes with some hard work. Don’t be surprised if you get weekend phone calls reporting plumbing problems and maintenance issues. A property manager can take the hassle away from you, assist with managing the property, and be the first point of contact for your tenants. Of course, their service comes with a fee, which you will need to weigh against the service they offer to decide if it is worthwhile.

2. Update your insurance

If you place tenants in your property, you must update your insurance. Rental units typically experience more wear and tear and may be more susceptible to damage. Because your tenants do not own the property, they may have less regard for your property. Landlord insurance can also cover you if your tenants sue you.

3. Set a price

You need to price your rental property correctly. The price should be reasonable for what the tenants are receiving. Although you may be tempted to overprice the property, this can be counterproductive and cause you to struggle to retain good tenants. If you find great tenants, consider being less aggressive with the rental price increase to maintain a good landlord-tenant relationship.

4. Set the rules

With tenants, it is essential to have clear boundaries and guidelines. Tenants need to know what is/is not acceptable. You can also ensure your property is better cared for and maintained with clearly defined rules. Important considerations are how many people are allowed on the property and whether pets are allowed or not.

5. Market your rental

Once you have ticked all the above boxes, you are ready to find your ideal tenant. Be sure to take professional photos/videos and advertise your property to attract the best possible tenants. The photos, videos, and descriptions should entice would-be renters to view your property.