Renting out a property involves promotion of your property, doing the paperwork and liability towards tenants. Giving a property on rent comes with certain challenges, including searching for the right tenant, ensuring the property is not misused by the tenants, keeping a check on the damages and maintenance, and ensuring there are no delays in the payment of rent.
Everyone dreams of investing in a fixed property, like a cost of land or a house. Moreover, this vision is achieved after years of savings. Once purchased, the property has the potential to create additional profit by way of lease or rent. However, huge care wants to be taken while doing this and many aspects have to be kept in mind while selecting the right tenants.
It is essential to do a check up on the financial history and social background of the tenants. Do not to take a quick decision and ignore a background analysis easily because the party is willing to offer a superior rent. This could lead to grievous legal difficulties regarding rent and ownership. A bit of concern early on can prevent any abuse of your rented property.
List of essential things needed before giving a house on rent
This is a helpful procedure to check the tenant’s background. This minimizes the risk of giving the property on rent to a someone from a criminal background. Just get the details of your tenant like the recognition evidence along with the verification form which can be downloaded from state police department’s website and get it submitted to a police station close to your locality.
Make sure that you take two months’ rent in advance. There is a standard rule that every tenant has to pay a certain amount in advance. A landlord is entitled to ask this amount as a preventive charge for any damage to the property, or the tenant may not be capable of paying a month or 2 rent by citing any suitable reason for that. It is also a universal practice to boost the house rent yearly.
Many tenants these days use the rented residential property for commercial purposes to avoid high rents. One can easily open a small office or a tuition centre in a residential property. To avoid such situation, a landlord should make it clear in the rental agreement and also, give time-to-time visits to the house.
There are numerous touts who rent a home on pseudo-names and use scheming means to avoid paying rent or give up land control. They might execute illegal activities in the rented premises and spill the blame on the innocent landowner. Be wary of such clients and report any suspicious activity to the authority.