What Every Homeowner Should Know Before Renting Their Property
Making a property available for rent has been a profitable and safe business for many owners. However, some owners face problems and headaches when they decide to do this procedure independently without the knowledge or the help of a realtor such as 33 realty property management company for example. With that in mind, we created this article to help you!
Rent Through Real Estate Or Privately?
Resorting to a real estate agent is always the best option. The real estate agency is in charge of all the bureaucratic parts, such as capturing tenants and taking care of all the documentation, receipt, and rent readjustments. By choosing to leave these procedures under the responsibility of a real estate agent, your only concern will be to receive the values passed on by the real estate company and assist your tenant if necessary.
If you choose to rent your property on your own, be very careful as you will be responsible for the entire leasing process, looking for the future tenant’s reputation history, and drafting contracts, among other factors necessary for renting your property.
How Much To Charge?
It is evident that the sale of property generates a transaction with a much greater value than a lease; however, although the value of a lease is lower, it guarantees the security that you will have a monthly increase in your income. There is no standard amount to be charged, as the amounts vary according to each property’s characteristics, such as location, costs to maintain the property, IPTU, etc.
One of the advantages of renting your property with a real estate agent is that it will be possible to stipulate the best contractual conditions, including transactional values. A realtor will help you understand this market correctly and give you the best possible options for the lease, including the definition of values to be charged.
Tips For Renting Your Property
To rent your property safely, it is necessary to pay attention to several details, so try to find out about the reputation of your future tenant to know if he is a good payer and if he meets the necessary conditions for the rental of the property. When drawing up the contract, define all the clauses that ensure the rights and duties of both parties, and also try to make evident in the contract what the purpose of the property is, to avoid the misuse of space, making it impossible for the lessee to transform his property into something outside the purposes defined in the contract, such as transforming a house into a business, for example.
It is also important to note that in terms of values, adjustments to the monthly fees are only allowed from the moment the contract ends, so it is impossible to stipulate other values while the contract is still in force. The recommended thing is to leave everything to a real estate agency; real estate agents usually take care of all these details to proceed in the best possible way and, most importantly; – within the Law, bringing security to both the lessor and the lessee.
Check The Cost-Benefit Ratio
Never and under any circumstances rent a property considering only the monthly fee; you have probably heard the term that says that “the cheap is often expensive,” and that’s precisely it. The leasing of a property is done under the mediation of contracts; if you rent a property judging it to be good just because the monthly fee is low, you may encounter a series of problems in the future, for example; – the property is very far from your place of work, and you have to leave the house very early so as not to be late as the way is very long, or even the access roads to your main destinations are often congested. Contract clauses make it impossible to terminate the contract, making you remain liable under the property you rented unless terminated under fines.
Therefore, analyze everything before renting a property, survey the positive and negative points before signing the contract, and see if it is worth paying a cheaper or more expensive the monthly fee for a property.
