If you are a landlord or a property manager in Michigan, there are a series of steps that you should take at the end of every year to ensure that you don’t lose out on any money as you head into the new year. By squaring away old debts with your tenants and learning about tax credits that you might be eligible for, you can put yourself into a favorable position as you prepare for 2023.
Contact your tenants
The first and most important thing that you should do as 2022 wraps up is contact any tenants who are not up to date on their rent. You should make every effort to collect any rent that has not been paid prior to Dec. 31, since you will need to fill out your final financial statements for the year after that point.
Make some year-end improvements
You should also look at performing any year-end improvements to your rental properties or making purchases for your properties that could potentially result in a tax deduction or credit. As Landlordology points out, there are a number of deductions that are available for landlords and property managers. If you are entitled to any of them, you should take full advantage so that you don’t end up paying more money than you have to in taxes.
Review your standard lease contracts
In addition to taking these steps, the end of the year is a great time to review your standard lease contracts that you plan to use in 2022. You should double check the language that you use in those contracts, and you should work directly with an attorney who specializes in working with landlords and property managers.
You want to make sure that your standard contract meets all applicable laws and regulations, while also protecting both your rights and those of your tenant, and the team at the Law Offices of Aaron D. Cox can help. We have extensive experience working with both single-family and multi-family property management companies and individual property owners, and we can help you with everything from reviewing your lease contract to helping you with evictions and debt collection. Learn more about our full range of legal services for landlords and property managers today by giving us a call at 734-287-3664.