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Becoming A Landlord – Is It Worth It?

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Becoming a landlord seems to happen to many people by accident, yet for others it’s part of a their plan.

Or as it happened in my case, it was an accident that I became a landlord and then it became part of a greater plan!

Is becoming a landlord worth it?

The question of whether it’s worth it though can be a whole new can of worms.

It seems many of the accidental landlords don’t believe it’s worth becoming a landlord, but rather that it’s something that has been forced on them. Their mindset from the beginning is that it’s a short term situation, that they aren’t going to enjoy it and that it’s going to be a negative experience.

For them it’s not worth it, it’s just a means to an end.

They’re also the ones likely to tell people how Real Estate is a bad investment.

In other cases some accidental landlords may initially look at becoming a landlord as a short term solution, but after a bit of time (and with the right tenants!), their view of the situation changes. This describes me by the way 8′].

They see some positives to the situation, they enjoy providing homes for people and they start to see some long term possibilities.

This type of landlord describes many of the people I hear from on this site and in various other spaces. They are also my favourite types of landlords as they have the capability of looking at the situation and evolving as time goes on.

Becoming A Landlord Can Be Worth It

For them becoming a landlord is definitely worth it and typically rewarding.

Finally at the far end of the spectrum we have the dedicated investor.

The Real Estate investor who becomes a landlord as part of their long term plan. They understand Real Estate can be a great method of building wealth and steady income and they also understand that they need to become landlords to achieve their investment goals.

Now many of these folks eventually transition to moving out of managing the properties themselves and instead depend on property managers or staff to deal with it, but for them becoming a landlord and learning the ropes initially is definitely worth it.

So, Should YOU Become a Landlord?

So what are your thoughts, is it worth it?

I understand many of the responses I’ll get here will be biased towards the positive, but I’d love to hear from you with a comment below. Is being a landlord worth it to you? And maybe more telling was it always worth it, or did you evolve to that stage?

Comments

  1. Yes I agree with Amin, it does get easier later on but we still have to be diligent with screening the proper tenant as well as the upkeep of the property to make them appealing to renter. definitely worth the effort you put into.

  2. Hi Bill. I’ve been reading your articles for a little while now. Great stuff!

    I became a landlord “accidentally” as well and it has been a great experience for me. In 2008, I had to relocate and couldn’t sell my condo so I had to rent it instead. I eventually started my own blog – http://www.AccidentalRental.com – to help others in similar situations.

    I suppose I did have an investment mindset from the start and that probably did play a role in my success. A few rentals later now and I’m hoping to transition to a full time landlord soon.

    Keep up the great work!

    Domenick | AccidentalRental

    • Hey thanks Domenick,

      And thanks for sharing your story. I popped over and took a look at your site. You have some great resources there, we should talk and see what we might be able to help each other with.

      Bill

  3. Being a landlord is a lot of work and needs patience but in the long run it pays off. Opening the mortgage statements is the best time because I can see how fast the principal is getting paid down

    • It can be a lot of work initially, but having systems and processes makes it easier as time goes on and much more manageable. And getting those statements does help 8′]

      Bill

  4. Becoming a landlord became part of a plan to build wealth as a single parent. I made mistakes along the way, learned valuable lessons about what not to do. My only regret is not starting sooner & having a mentor.

    • I wish I had a mentor. My husband passed away and I now find myself lost in the abyss of rules and regulations. Bit overwhelming for me, but I am trying very hard to educate myself and keep afloat. If not, then I’ll sink and that’s not an option.

      • Sorry to hear about that Vanessa, we have several readers who’ve gone through a similar issue and have been fortunate enough to have systems in place that allowed them to work through it, plus I’m available for easy questions if you feel stuck 8′]

        Bill