House is one of the most notable and prized possession or asset for any individual. A person gives in their all, in terms of finance and self input; for its upkeep and classiness. So, it is obvious that putting one’s own property in someone else’s hand for capital gain; an owner entrusts its upholding on the tenants.
By putting their house to rent, the owner not only has to look for financial gain, but has to keep abreast of his/her property’s preservation. There are several factors; one should look forward to while putting their abode for rent:
- When looking for tenant:
- Deciding the rent:
The foremost reason while putting a house to rent is financial gain. So, the owner has to decide the value of the property and ascertain how much is going to be profitable for them as well as reasonable for the tenants. Valuate the property keeping in the mind the market and neighboring rates, current trends and the amenities in the house and property space.
- Property Re-modification:
No one loves to move in a property which is vandalized, full of unwanted and old chores, and unclean. Not even you would like to move in such a wrecked-up place. Doing a full restructure of the house completely changes the look of the property and makes it healthy and attractive to show to the tenants. Clean the house, throwing away all the garbage, dust, old and broken furniture and other stuff. Re-paint the house, do the flooring, kitchen, and bathroom and improve the entire interior look with addition of quality stuffs.
No one comes to know about the new lease or rent news, until propagated. There are several mediums, which the home owner should look forward to capitalize on to let property seekers know about this development:
- If the property owner has a good financial backing, then hiring a real estate agent can be a good move, as it makes the property more viable and lets the agent take full charge of seeking the tenants and negotiating on various factors.
- The online medium is a great source of promotion. It is free and provides a wider reach to property seekers. One can post the renting availability on a number of local classifieds.
- Talk to the friends, family, colleagues and neighbors and spread the home availability news by word of mouth.
2. While negotiating with the tenants:
- Background search:
Have a thorough routine check of the tenants and fully examine their purpose of stay, and gauge if they are willing to stay there for long or for shorter period.
- Legal procedures:
Maintain the proper documentation of the house, ask for the full identification of the tenants, and proceed with the complete legal framework. Also, decide about the various financial factor’s responsibility, such as water and electricity bill payment, damage repairing and other liabilities; beforehand.
3. After putting the house on rent:
- Co-ordination between landlord and tenant:
Every owner wants to put their house in custody of those people, who care and maintain the property as their own. Also, the home owner looks for tenants who will stay put for a longer duration so that they don’t have to scout for newer tenants again and again, as it increases the vacant period of the property and also reduces the capital gain; which would have been steady otherwise. It is also an ethical duty for every house owner to support and help their tenants wherever necessary to make for good alliance befitting both the parties. Take proper action regarding any sort of damage or other legal liabilities, at instant; as it ensures a smooth stay for them and they never feel like leaving the house in disgust.
- Rent raise after a certain time:
It is obvious that with inflation and increasing costs, the rent rate is bound to increase. Every landlord should negotiate with the tenant that after regular time duration, certain increase will happen in the rent rate. And this increase should be apt, and not out of bounds or unreasonable.