Over the last few years, the Winston Salem real estate market has seen a significant rise in rentals. Since a majority of owners aren’t local, they often plan on managing these from a distance.
Though this may sound easy, Winston-Salem property management is a demanding job and requires a diverse set of skills. Maintaining vacant properties, in particular, is a challenging task. An empty run-down property can be a nuisance to the neighbors and can also pose a health and safety risk for the new tenant, not to mention becoming a financial burden to the rental property owner.
In the absence of tenants and the owner, vacant properties are subjected to several risks. Let us take a look at a few major pitfalls of a vacant property in Winston-Salem.
Lack of maintenance and upkeep leads to property damages
An unoccupied property is prone to deferred maintenance and pest infestations.
Loss of Rent and Increased Risk of Insurance
A vacant property will not generate any revenue and interrupts cash flow. You may also have to notify your insurance provider if the place is vacant for a long time. Your existing policy may not cover property damage, theft, or vandalism if your rental house is empty, which might necessitate cancelling your current insurance policy and getting vacant property insurance instead.
Possibility of Squatters
A vacant house attracts trespassers, often in the form of squatters. If squatters start to reside in your property, it can be difficult to remove them. North Carolina recognizes squatters’ rights, which means if the squatters occupy your property for a continuous period, they can gain legal possession. This is one of the biggest risks of a vacant property in Winston Salem.
Theft and Vandalism
Thieves target vacant houses for metal from pipes, wiring, components from the HVAC system, tiles, and other appliances. Additionally, it might also attract vandals who might deface the property with drawings and/or graffiti.
These damages to a vacant property are often not covered by rental insurance. To minimize such deterioration and damage, it is advisable to hire a property manager who can carry out routine inspections and site visits. They can also play a major role in maintaining the property and attracting potential tenants.
A property that has been vacant for a long period of time may require a lot of maintenance. A vacant property that has suffered wear and tear and attracts squatters and vandals may cause you to lose potential tenants. If you need any assistance getting a vacant property repaired and rented in the Winston Salem region, contact us at Capstone Realty Consultants.