Renting out a home involves advertising your property, completing the paperwork, and taking the obligation to tenants. There are also some challenges, such as looking for the correct tenant, making sure that the property isn’t being used by tenants in the wrong way, keeping an eye on the maintenance and repairs, and ensuring that there isn’t any delay in the rent payment. If you’re an owner of a property and are planning to offer your home to tenants, Here is a checklist to help you make the process easier for you.
Repair the rent
The first step in renting your home is to determine the rent amount. Before setting this figure, do a market analysis of the current trend. If you fix it higher than the current trend, it will be more difficult to locate tenants. If you decide to fix it at a higher rate than market rates, justify this by providing additional furniture or other premium services like automation or security equipment.
Creating an agreement that is legally binding when you give your rental property is highly recommended. The lease papers must be correctly signed, and the requirements and terms are plainly said. To ensure that the process is smooth and acceptable for both the landlord and tenant, signing a lease agreement is the best option. The document will be binding on both parties and is something they both agreed on.
The property’s marketing
In the present, where buying a house is one click away, it’s going to be beneficial to have your property stand out by using different real estate websites like makaan.com. These sites offer the services of ‘rental houses.’ All you have to be able to accomplish is make a profile and add the details of your property and photos.
Employ an agent
A broker’s hiring process has numerous advantages. The experts smooth the process of finding the ideal tenant. They offer services such as creating agreements, other forms of documentation, and tenant verification. Although their services are costly, the process is easy and quick.
Information about furnishings
Take note of your furniture and the details of fittings and other features. This is useful in the event of any damages caused by tenants, and the landlord could charge an additional penalty. Landlords should inspect the condition of the roof and walls before renting the property out to prevent any conflict in the event of damage.
Advance and rent increases
It is important to pay two months’ rent ahead. It is a standard that requires every tenant to pay a certain sum in advance. A landlord can request the amount to prevent a charge in case of any property damage, or the tenant might not be able to pay for the rent for a month or two for a reason. Additionally, it’s common to raise the house rent yearly.
This is a good way to determine the tenant’s history, reducing the chance of renting to a tenant with an arrest record. Get your tenant’s contact information, such as an identification document and verification form that can be quickly downloaded from the state police department’s site and sent to a police station within your area.
No commercial usage
Most tenants utilize the residential property for commercial use to save on high rents. It is easy to open an office of modest size or even an educational centre in a residential area. To prevent this, the landlord must declare in the lease agreement that they will provide time-based visits to the property.