The covid-19 pandemic is forcing almost every business into new modes of operation. Landlording is no different. Being a landlord used to mean frequent and direct contact with tenants, potential tenants and others. Social distancing has put a stop to that.
However, business must still go on, people are still going to move (eventually) and repairs need to be made. We landlords are going to have to find ways to accommodate people and run our business in this new era of covid-19. This social distancing stuff may linger around for a while. One change I can see is in how we show and lease our rental units.
How?
First, the showing of occupied units to prospective tenants has come to a halt. Even though our lease allows us to show our properties before the current tenant has moved out, it is just not something that is practical or safe right now. There is simply no way that we can allow strangers to have access to a person’s home. The risks are too high. Yes, I still want to get the unit re-rented as quickly as possible, but showing occupied units, which has worked so well in the past, is now out.
So what to do? How do we adapt and change?
One option is to simply wait until the current tenant moves and the unit becomes vacant. Obviously this eliminates the concern of contaminating the current tenant. But what about you or your property manager? Should someone else be present? Not necessarily. It is more reasonable today to set up a showing time for the prospective tenant and then open the unit up a few minutes early to allow them to look on their own. Then, simply wipe the door knobs down and lock it up when they are done. Any further communication can be done by phone.
Another option is of course to go even more remote with video or pictures. All modern cell phones have video cameras on them and there are some apps out there that take excellent 360 degree photos. These videos and photos can then of course be shared on your website or through a dropbox account. These types of virtual showings are I think about to become really popular and perhaps even the norm.
Beyond the showings, almost all documents and meetings can be handled remotely. Zoom will allow you to have your lease signing meeting face to face and documents like your lease can be signed electronically. We currently use Docusign for electronic signatures, but there are many other programs and apps out there. Keys can be left in a key box and the code sent by text or e-mail to the new tenant so they can get the keys to their new place.
Business models have and will continue to change because of this virus scare and we landlords are going to have to adapt. The best thing we can do is to see these changes as opportunities to improve our businesses and make them more customer friendly and efficient. Even when this virus moves on, people are going to be expecting and practicing a new normal.
What changes have you made to your landlording business to cope with the new social distancing normal? Do you have any business tips that can help others? Please share with a comment below.
Kevin Perk is the founder and publisher of Smarterlandlording.com. He is the author of Advice From Experience To New Real Estate Investors. Subscribe to Smarterlandlording here. Contact Kevin here.
