The Complete Checklist for First-Time Landlords

Becoming a property owner comes with many challenges and responsibilities. To succeed, you need to be well-prepared before renting out your property.

If you’re feeling overwhelmed, don’t worry—this first-time landlord checklist is here to guide you.

In this article, you’ll learn the key steps new property owners should take to get started quickly and rent with confidence. You can also download a copy of the checklist to track your progress as you complete each step!

Step 1: Prepare the Property for Renting

It’s important to make sure your property meets all safety and building rules, looks presentable, and is ready for potential tenants. By following the tips below, you’ll complete the first step toward renting your property successfully.

Tips for Making a Property Rent-Ready
____ Schedule a property inspection
____ Check for any structural damage or maintenance issues
____ Secure all doors, locks, and windows
____ Make sure all electrical outlets work properly
____ Replace any burned-out lightbulbs
____ Test smoke and carbon monoxide detectors
____ Clean carpets, upholstery, and curtains to remove dirt, dust, and allergens
____ Repair or replace broken appliances
____ Check plumbing fixtures such as sinks, showers, and toilets
____ Inspect the water heater for correct operation and temperature
____ Treat for any pests
____ Confirm compliance with local building codes
____ Paint walls, ceilings, and trim as needed
____ Refresh exterior paint to fix fading or chipping
____ Clean gutters and downspouts to protect the foundation
____ Test fire extinguishers and confirm they are up to date
____ Inspect decks and patios for safety issues such as loose railings or stairs
____ Ensure stairways have working handrails
____ Add window treatments if needed
____ Clean all areas thoroughly before tenant move-in

Tools & Resources

Angi (formerly Angie’s List)
Handy – cleaning, furniture assembly, and handyman services
HomeAdvisor (formerly ServiceMagic) – connects homeowners with local service pros
Thumbtack – online directory for finding and hiring service providers
zInspector – inspection tool for property managers and landlords

Step 2: Determine the Rental Cost & Lease Terms

Setting a fair rent price and lease terms is a key step for new landlords. Your rent should provide a good return while staying competitive with nearby properties. You should also check local laws so your lease agreement follows rules for things like pets, late fees, and deposits.

How to Determine the Right Rent Rate
____ Research rent trends and competition in your area
____ Review landlord-tenant laws in your state
____ Set a fair and competitive market rent
____ Include pet rules, deposits, and rent terms in the lease
____ Explain late fees and payment instructions clearly
____ Define guest rules and allowances
____ Confirm all terms comply with local law

Tools & Resources

Avail Rent Analysis – shows local market trends and prices
Rentometer – quick rent calculator for your property
Zillow Rent Zestimate – rent estimates for millions of homes
HUD – federal housing programs and regulations
Nolo – state-specific landlord-tenant law guides

Step 3: Get Landlord Insurance Coverage

When choosing landlord insurance, new landlords should first understand their specific needs. This helps in finding the right policy for their property.

Start by considering whether your property is in a high-risk area, such as places prone to floods, wildfires, or earthquakes. In these cases, you may need extra coverage.

Also review what the policy covers, such as property damage, liability claims, or loss of rental income. Make sure the coverage limits are high enough to protect you against potential risks.

Tips for Choosing the Best Landlord Insurance
____ Get multiple quotes from different providers
____ Review all available coverage options
____ Compare policies, coverage, and rates
____ Identify risks that apply to your property
____ Confirm coverage for weather damage, liability, and rent loss
____ Ask about discounts that can reduce your premiums
____ Research landlord insurance requirements in your area
____ Speak with an insurance agent or broker to understand all options before buying

Step 4: Find & Screen Tenants

Finding the right tenants is one of the most important parts of being a landlord. Create a rental application that follows Fair Housing Act rules, and make sure to run credit, background, and reference checks before approving any applicant.

How to Choose Good Tenants
____ Learn and follow Fair Housing Act rules
____ Create a rental application form that complies with laws
____ Run credit checks (check your local rules first)
____ Perform background checks for financial and criminal history
____ Review eviction history reports
____ Verify references to ensure reliability
____ Ask for proof of income or employment
____ Collect documents like photo ID and references
____ Interview applicants in person or by video call
____ Request a security deposit and first month’s rent before move-in
____ Require proof of renter’s insurance
____ Clearly explain the eviction process
____ Consider using tenant screening tools

Tools & Resources

com – applications, screening, and rent collection
E-renter – FCRA-compliant screening agency
Rently – smart home and self-guided tour tools
RentSpree – manages applications, screening, and payments
Zillow Rental Manager – background, credit, and income verification
Zumper – free tenant screening tools

Step 5: Collect Rent & Set Policies

Be clear about when rent is due and how it should be paid. Offer more than one payment method, such as online or by check. Write down any late payment rules and fees so tenants know what to expect.

Tips for Collecting and Managing Rent
____ Set the monthly due date (e.g. 1st or 15th)
____ Offer multiple payment methods
____ Define late payment fees and rules
____ Set pet deposits or rent rules if applicable
____ Notify tenants of payment methods and dates
____ Consider online rent collection tools
____ Provide a rental portal if available
____ Track compliance with payment rules
____ Investigate delays or complaints quickly
____ Use an accounting system for tracking
____ Deposit all rent into the right account
____ Send reminders when rent is late
____ Handle NSF (bounced) payments per your rules
____ Plan for extra costs from NSF payments
____ Clearly explain the eviction process
____ Seek legal advice if serious rent issues arise

Online Rent Collection Tools

ClearNow – direct debit from tenant’s bank account
eRentPayment – rent collection plus applications, screening, and requests
PayRent – simple online rent collection
PayYourRent – fast payment processing and credit reporting
Zillow Rental Manager – online rent collection with deposits and utilities

Step 6: Manage the Property & Keep Financial Records

To manage your rental property well, you need clear systems for tenant requests, maintenance, and financial reporting. You should also stay updated on landlord-tenant laws and track income and expenses carefully for tax purposes.

Best Practices for Management & Reporting
____ Set clear expectations in the lease agreement
____ Visit the property at least once a year for inspections
____ Address repairs and maintenance promptly
____ Keep a list of emergency contacts for repairs
____ Stay updated on local landlord-tenant laws
____ Understand IRS rental property tax rules
____ Create a budget for future rental income
____ Open a separate bank account for rental income and expenses
____ Keep records of all income and expenses for taxes
____ Use tools like Buildium or Stessa for tracking and reports
____ Categorize all financial activity properly
____ Track payments to contractors or vendors
____ Create cash flow, profit/loss, and tax reports
____ Match income statements with bank statements monthly
____ Investigate financial discrepancies
____ Record tax deductions for the property
____ Maintain an emergency fund for unexpected expenses
____ Store receipts and documents for audits
____ Create monthly, quarterly, and yearly checklists
____ Review insurance coverage regularly
____ Develop an emergency plan for natural disasters and share it with tenants