Rental Documents All Landlords Need

Most people believe that owning a rental property is all physical labor. After all, landlords have to handle regular maintenance, and property inspections. In reality, this is only a small aspect of property management. Landlords spend most of their time dealing with paperwork and admin tasks.

There are many documents you need to keep on file, such as insurance policies, vendor receipts, and lease agreements. Keeping your rental documents organized will help you comply with your local rental laws and even make filing taxes more simple. It can also help you keep yourself and your investment protected in case of a legal dispute.

Keep reading to find out the key documents every landlord should always keep on file.

Essential Rental Documents You Must Keep on File

Landlords have to deal with tons of paperwork. In addition to property deeds and titles, you must always keep the following documents on file:

• Rental Application Forms:  Rental applications are an important part of the screening process. You must store them securely as they contain sensitive information, such as tenants’ names, contact details, rental history, credit score, income, and employment information. 

• Lease Agreements: Always keep a signed copy of your lease agreements on file. This document outlines the terms and conditions, including the duration, rent price, maintenance responsibilities, and more. By keeping this legally binding document on file, you can ensure that your tenants comply with the terms of the lease throughout their occupancy.
• Property Inspection Reports: Regular property inspections are key to keeping your rental in good condition. As a landlord, you should always keep copies of your inspection reports. This way, you will be able to assess any of the property’s condition over time and have proof in case you deduct from a tenant’s deposit.

• Payment Invoices: You should always keep a copy of receipts as well as send tenants a receipt after they’ve paid their rent. This will help you keep track of any late rent payments and additional fees. It can also come in handy when filing your taxes. 

• Maintenance Requests: As a landlord, you are required to address any maintenance and repair requests that may come up. After addressing a request, you must keep copies of the original request, as well as create a detailed report explaining how and when you solved the issue. 

This can serve as proof in case a tenant wants to claim your property is in inhabitable conditions due to lack of maintenance.  

• Formal Notices: Over the course of a tenancy, you may have to send your tenants multiple formal notices. Whether it’s a late payment notice, a notice to enter, or a notice of eviction, you should always keep these documents on file. This will help you comply with local laws and keep your investment protected in case of legal disputes.

• Insurance Policies: Landlord’s insurance is a great investment. It’ll keep you protected from financial losses and liabilities. However, to make use of your insurance, you must have a copy of your policy. Never lose this document. 

How to Keep Your Rental Documents Organized

With so many files to store, it can be easy to misplace important documents. This can be a huge breach of your tenants’ privacy. Take a proactive approach to ensure all your rental documents are safely stored. 

Here are some best practices you can follow:

1. Implement a Rigorous Filing System

There’s nothing worse than being unable to find a document. That’s why landlords should develop a consistent and logical filing system for both physical and digital documents. Use clearly labeled folders and subfolders to categorize documents by type (for example: leases, financial records, maintenance logs, renovation records) and by property, if you own multiple units. 

Make sure to implement strong security measures, such as password protection for digital documents and keeping physical documents in a safe location, such as a secure filing cabinet or a safe deposit box.  

Landlord’s must also regularly review and update their filing system to accommodate new documents and dispose of outdated or irrelevant records. A well-organized filing system minimizes the time spent searching for documents and enhances overall efficiency in managing rental properties.

2. Keep Backup Copies

Even with a rigorous filing system, misplacing or losing important documents is always a possibility. That’s why you should always keep backup copies of important rental documents. 

For digital files, you can use automated services to create regular backups on external hard drives or cloud storage. For physical documents, consider scanning them and storing digital copies securely. 

3. Regularly Update Your Records

Some rental documents, such as insurance policies and lease agreements tend to have an expiration date. Keeping outdated or irrelevant documents on file will only take up space and make it harder to find the information you need. That’s why you should regularly update and splurge your records. 

If a document has expired, promptly file a new copy and dispose of outdated ones. Maintaining current records will help you stay compliant with legal requirements, improve tenant communication, and manage your properties more effectively. 

4. Use Digital Storage Solutions

Storing important documents in a filing cabinet or a safe box is not ideal. After all, these storage locations are typically not safe from fire, water, or even theft. That’s why you should consider keeping all your important rental documents on digital storage solutions. 

You can do this simply by scanning and keeping copies on your computer or uploading them to cloud-based services, such as Google Drive or Dropbox. Cloud storage reduces the risk of physical damage or loss and allows for easy sharing and collaboration. 

Another great alternative is document management software. These tools offer time-saving features like automated organization, secure storage, easy retrieval, and task reminders.

Bottom Line

Landlords have to do a lot of paperwork, from sorting through rental applications to filing taxes. Keeping your important documents safely stored and organized can make your administrative work less difficult.

Now that you know which rental documents you should always keep in file and how to store them securely, you’re better prepared to comply with privacy regulations. Let Whole Property Management today take the administrative burden off your shoulders, and contact us today!