How to Rent by Owner in Orlando

You’ve just bought an investment home in Orlando and are looking into making it a long-term rental home. Where do you start? How do you qualify long-term rental applicants and find the good ones?

If you’re serious about managing and renting your house direct to tenants, you must keep up to date with Florida Landlord and Tenant laws. If you need any assistance, you can reach out to our South Orlando property management company and we’ll do our best to answer your questions.

First, What Does it Meant o Rent By Owner

Renting by owner means the property owner directly manages all aspects of the rental process without involving a property management company. This includes advertising the property, screening tenants, drafting leases, collecting rent, and handling maintenance or repairs. It allows you to save on property management fees but requires significant time and effort.

What to Ask When You Rent By Owner In Orlando

You’ll need to know what to look for when interviewing applicants, so here are some of the things we look for when interviewing long-term rental applicants:

Meet them in person at the property and show them around. First impressions count; do they seem like good reliable people?
If they’re interested in leasing your home and you like the idea of them as tenants, get signed consent from all the applicants to order their credit, background, and employment verification. You should order these reports from the leading credit agencies after they have viewed your home. These reports will show if they have ever been evicted and if they pay their bills on time. Also, check their criminal background in all 50 states.
Ask for personal references and call all the supplied references to ask about the applicants. You want to ensure your potential tenant is trustworthy for a long-term rental.
Verify the prospect’s employment and income by looking at their pay stubs for the last couple of months, calling the employer’s HR department, and verifying the income and jobs are stable.

Don’t rent sight unseen; be upfront about your expectations with potential long-term rental applicants.

Talk to their previous landlord, ask whether they pay on time, and take good care of the home. Would you rerent to them?
First impressions count! Did you get a good feeling from them when you met them? If you don’t feel they’re the right fit for your home, chances are they won’t be. A good property manager will know what signs to look out for, and it’s always best to wait for the right long-term rental tenants.
If you’re doing this yourself, here’s where you can view our application online to get an idea of the questions to put on your application. Click here and check our “Rental Application” for ideas of what to ask applicants.
Is the rent affordable – a good rule of thumb is their net pay should be at least three times the rent? Ask to see the last two months of their paystubs; if they are self-employed, ask to see the previous two years of their tax returns.
Do they have pets if so, meet their pet or ask for a video of their pet and its name. The pet should be under 40 pounds, and insured. Ask them where the pet will stay when they’re at work. With long-term rentals, pets can add a lot of unforeseen damage, and you want to ensure you are protected.
Did everything check out ok, or did they lie? If they lied on the application, they wouldn’t make good tenants. It’s best to start with honesty when considering a long-term rental contract.
Check your HOA rules for parking and vehicle restrictions and ensure the tenant’s vehicles will be ok with the HOA rules. It may also be helpful to ask if they plan to work on cars at the residence. Some long-term rental tenants will slowly bring more and more vehicles onto the property, potentially causing an HOA issue.
Once you’ve told the applicants, they can lease your home. Ask for a nonrefundable rent holding deposit, which will be applied towards the rent while you have your attorney draw up the lease.
Check their ID and ensure the applicants want to live in your home. Sometimes parents will apply and think it’s ok to be on the lease with their grown-up children..but not live there. Tell them you’re only running applications on people who will be living there.
Don’t take regular checks or cash when asking for security deposits and rent-holding funds. These should be paid by cashier’s check, bank wire, or money orders.
Decide how they will pay the ongoing monthly rent payments and set it up for them.

The final decision is always yours; you don’t have to say yes to long-term rental applicants that don’t match your criteria.

Additional Tips for Renting by Owner in Orlando

Beyond the basics, implementing these expanded tips can help you manage your rental property effectively and avoid common pitfalls.

1. Set Competitive Rental Rates

Proper pricing attracts tenants while ensuring your property remains profitable.

Research Local Market Trends: Check similar properties in Orlando to gauge market rates. Use online platforms like Zillow or Apartments.com to analyze comparable rentals in your area.
Adjust Seasonally: Orlando’s rental demand can fluctuate based on tourism and seasonal trends. Stay flexible to avoid long vacancies.
Offer Incentives if Needed: To compete in slower periods, consider perks like reduced security deposits or including utilities in the rent.

2. Create a Detailed Lease Agreement

A well-crafted lease agreement protects your rights and sets clear expectations for tenants.

Include Specific Rules: Outline policies regarding late payments, maintenance responsibilities, and use of common areas.
Tailor to Florida Laws: Ensure your lease complies with Florida’s landlord-tenant regulations. Include clauses for eviction procedures, notice periods, and security deposit handling.
Consider a Legal Review: Consult a real estate attorney to review the document for enforceability and completeness.

3. Conduct Thorough Tenant Screenings

Careful tenant selection minimizes risks of non-payment or property damage.

Run Background Checks: Look for criminal history, eviction records, and financial stability.
Verify References: Speak with previous landlords to understand the tenant’s behavior and payment history.
Check Income-to-Rent Ratio: Confirm the tenant’s income is at least three times the rent amount to ensure affordability.

4. Market the Property Effectively

Attracting high-quality tenants starts with excellent marketing.

Use High-Quality Photos: Highlight the property’s best features with well-lit images.
Write a Compelling Listing: Include essential details like rent amount, amenities, and proximity to attractions or schools in Orlando.
Leverage Multiple Platforms: Advertise on websites like Zillow, Craigslist, and Facebook Marketplace to reach a broad audience.

5. Stay Informed on Landlord-Tenant Laws

Knowledge of local regulations safeguards against potential disputes.

Understand Florida’s Laws: Familiarize yourself with state requirements for security deposits, rent increases, and notice periods.
Keep Up with Changes: Laws can evolve, so regularly review updates to ensure compliance.
Document Everything: Maintain detailed records of communications, payments, and any legal notices sent to tenants.

6. Maintain Open Communication

Strong tenant relationships lead to smoother property management.

Provide Clear Contact Methods: Offer multiple ways for tenants to reach you, such as phone, email, or a dedicated portal.
Respond Quickly: Address tenant concerns promptly to foster trust and prevent small issues from escalating.
Set Expectations Early: Discuss communication preferences during lease signing, so tenants know when and how to reach you.

7. Prepare for Maintenance and Repairs

Well-maintained properties retain value and attract quality tenants.

Build a Reliable Vendor Network: Establish relationships with local contractors and handymen for quick repairs.
Budget for Emergencies: Keep funds aside for unexpected repairs like plumbing issues or appliance breakdowns.
Schedule Preventive Maintenance: Regularly service HVAC systems, check for leaks, and inspect the property to prevent costly problems.

8. Leverage Technology

Modern tools simplify self-management and improve tenant satisfaction.

Use Online Payment Platforms: Services like Rentec Direct or Buildium streamline rent collection and reduce late payments.
Set Up Maintenance Portals: Allow tenants to submit repair requests online, making tracking and addressing issues easier.
Automate Reminders: Use software to send rent due dates or lease renewal notices automatically.

9. Keep the Property Tenant-Ready

A clean and inviting rental attracts better tenants and ensures smooth transitions between occupants.

Thoroughly Clean Between Tenants: Hire professional cleaners to make the property spotless before showings.
Address Wear and Tear: Repaint walls, steam clean carpets, and fix minor damages to present a well-maintained home.
Stage for Showings: If possible, lightly furnish the property or use virtual staging tools to highlight its potential.

10. Establish a Reserve Fund

Financial preparedness ensures you can handle unexpected situations.

Save for Vacancies: Set aside funds to cover mortgage payments and expenses during periods without tenants.
Plan for Major Repairs: Large expenses like roof replacements or appliance upgrades can arise suddenly. A reserve fund prevents financial strain.
Separate Business Finances: Keep rental income and expenses in a dedicated account for easier tracking and budgeting.

By integrating these strategies, you can successfully manage your Orlando property as a “rent by owner” landlord while maximizing profitability and minimizing stress.

If all of this seems a bit much and you’d instead hire a property manager to do all this for you, don’t hesitate to contact us. We have 35+ years of experience in property management and can always lend a hand.