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Property Management Blog

Should Phoenix Landlords Hire Licensed Home Contractors for Rental Property Repairs?

System - Wednesday, July 11, 2018


Does your vendor need to be licensed? The answer is yes and no.

Licensed Vendors and Your Income Property

First for the yes portion. Whenever you have a repair that is critical or professional in nature, hire a licensed professional. This may be when you need an electrician or a plumber or an air conditioning technician. Those individuals need to be licensed. If the repair goes south and something goes wrong or causes damage like a fire or a flood, your property insurance may not cover the loss if you used an unlicensed vendor. A licensed individual is detailed, has accreditations, and you can be more confident that the job is done right.

Working with Unlicensed Vendors

Lighter jobs like painting, drywall, landscaping, and something simple like a garbage disposal repair will not always require a licensed professional. However, they still need to be insured. Make sure your vendor has the proper insurance because if they get hurt while working on your home, you’re liable. It’s easy to be caught with lots of damages for uninsured people who fall off a ladder or a roof.

Phoenix Property Management and Vendors

There are pros and cons in hiring a licensed versus an unlicensed vendor. It can be tempting to use a relative or the person down the street or someone off Craigslist. But, if something goes wrong, will that person be there to solve the problem? Chances are, they won’t. You may save a few dollars, but you could be losing more money in the long run. If you constantly need repairs because the work wasn’t done right the first time, you’ll be disturbing your tenant with all the scheduled maintenance. Then, the tenant won’t renew the lease. That results in higher vacancy, which costs you more.

Unless you have a lighter repair, we recommend you use vendors who are licensed and insured.

If you have any questions about vendors who work on your income property, or anything pertaining to Phoenix property management, please contact us at Service Star Realty.