3. RISK: TENANCY DRAMA
Every landlord hopes to get great tenants who are respectful, neat, quiet and pay rent on time. However, that’s not always the case. You can get tenants who give you major headaches.
Protection Strategy: Landlord Insurance
Tenant-related issues can be expensive, especially if they include legal issues, so landlord insurance is a must-have. When getting landlord insurance, it’s important to not only check the price, but also all the provisions included in the cover. You’ll also want to determine if you’ll need special conditions related to the weather (flood and fire) or to pets.
This insurance is tax-deductible because it is considered an investment expense.