For a landlord, renting a house is not always a smooth transaction. It’s a lot like starting a business, but instead of seeing to the employees and your product, you have to take care of the different needs of your property and your tenants so that you can earn a good profit. From paints to water taps, and from bathrooms to kitchens, you have to manage all the things properly so that to make your house comfortable for the tenants.
So, if you have property to rent, it is not always easy to find a suitable tenant. Finding good tenants is one of the toughest tasks of the entire process. You need to screen prospective tenants carefully to make sure your rental property is in safe hands.
Moving a tenant into your property is one of the other tasks that you need to do smoothly. Moreover, preparing proper lease papers is another thing that you can’t afford to be lax about.
The landlord and tenant rules are different for different states. For example, if you live in California, you need to provide 3 Day Notice to Pay Rent or Quit California to your tenants if they are late or stop paying the rent. We will offer you here some points that you need to consider so that you could make smooth transitions every time a new tenant moves in your property.
Decide the rent amount: One of the first and foremost things that you need to consider before renting your house is how much rent to charge. The landlord and the tenant enter into a financial agreement that obligates the tenant to pay a certain amount each month. To determine how much you should charge, assess local market rates for similar properties and then charge about the the same rent to your tenant. If you ask for too much rent, given market rates, tenants will likely rent or lease from a landlord who charges fairer rates.
Maintain your property: Your rental property should be in good condition, well maintained so that you can realize the full financial benefit. The kitchens, all of the rooms and bathrooms, the furnishings, paint job and a lot more have to be in optimal condition before renting your house.
Make a proper advertisement: No one will come to know you have property to rent if you do not advertise it where people can find out about it. Different online services, as well as offline services, including signage, can help get the word out that you have property to rent. Online is one of the best, convenient and most affordable avenues that often results in speedy rentals. All you need to do here is to upload the details of your property plus some photos. Tell how the amount of rent and security deposit you have decided on. Most websites that specialize in classified advertising do not take a commission, so these are available in an affordable, one-time-payment price range.
Select a suitable tenant: The more tenant prospects you have, the better your chances of getting a good renter. After you meet people who respond to the ad, assess them. For the most promising ones, screen them and have a property-management company do a thorough background check on finances and ability to pay rent, on criminal history and on rental history. A complete background check is very important. You should alway screen your tenants, no matter how respectable they look.
Background checks are a hedge against trouble: If you verify the background of your tenant before renting your house you avoid chances of getting involved in controversy or legal problems in the future. If a background check shows an arrest for trafficking in drugs, it’s a good idea to pass over that prospect for another. Not all background checks will catch all drug dealers, but you give yourself a fighting chance. Same thing with ability to pay. Verify income to make certain the tenant will have enough money to meet the rent each month. Make sure you check with past landlords to determine if the person was clean, quiet and got along with neighbors.
Go perfectly with the paperwork: It is essential to get prepared with the lease agreement so that both landlord and the tenant can understand the interchangeable terms and conditions to reduce the chances of having a dispute in future.
Move the tenant into your property: Last but not least is allowing the tenant to move into your property. When you’ve settled on a tenant, ask when he wants to move in. Prepare the lease accordingly.
Renting your house is just like a business deal where you have to do some verification and legal work. In fact, renting a house is a business deal. Treat it as serious business and you will have a better chance of a successful, financially rewarding rental.