Renting out a house? The landlord must know this before.
One of the most expensive and significant purchases that most people make is a house.Many buy a house to actually live in, but many people also buy houses as investments. In the latter case, it is never a wise idea to simply let the house lie occupied for a long period of time, because a house, like any other asset requires maintenance. It is generally a good idea to renting out a house, but even here, a few precautions must be taken, since becoming a landlord comes with its own set of problems. Even finding a genuine tenant is a difficult task nowadays. Lonavala Property works here just for you to find a genuine tenant and houses in Lonavala, if you are willing to rent a house.
Squatting tenants after leasing out a house
A landlord’s worst nightmare is, his tenants have become squatters after renting out a house. What this means is that despite being served notice to leave, the tenants refuse to vacate the property. What usually follows is a lengthy legal battle and involves a lot of time and money. However, this trouble can be avoided by having a solid lease agreement drafted by a lawyer, as well as proof of identity of the tenant, PAN card copy, address proof – both permanent and office – and occupation/service proof. Mention the notice period as well as the additional amount you will charge, if the tenant does not vacate on time. It is also important to get a police verification of the tenant done, and if the lease agreement is for longer than 11 months, it is compulsory to get the lease deed registered.
Non-payment of rent by tenant
This is another major fear that a lot of landlords have. Tenants sometimes fail to pay rent on time, although, often, it is because of circumstances that can’t be controlled. However, if non-payment of rent is a regular problem, you should be ready to serve notice to your tenant or seek the help of a lawyer. You should also have all the rent details – including the amount and due date – mentioned in the lease agreement, in case you need documented, legal backing.
Damage to house after renting out a house
This is a frequent problem and something that needs to be dealt with tactfully. When a house is occupied, it is natural that there will be some wear and tear. However, it is a wise idea to ask your tenant to pay a security deposit at the time of renting the house, and be sure to mention this amount in the lease agreement. Also, mention all the amenities that have been provided to the tenant, so that these can be checked before the tenant vacates the premises. If there is some damage to the house, you can repair it by taking money out of the security deposit.
Objections from housing society
In recent years, news articles have highlighted cases where housing societies, object to certain tenants based on their marital status or dietary preferences. While it is true that individual societies have the legal power to deny tenancy as per their by-laws, they have no constitutional right to do so. If you, as the landlord, have approved and finalized a tenant, the society can be taken to court if they object to it. However, the society is allowed to charge an extra maintenance fees from flat owners who have leased out their houses, so keep that in mind. A lot of leasing problems can be solved by the simple act of hiring a property lawyer to look after one’s interests. In matters of property, sometimes the laws are so complicated that one needs a legal mind to look into every aspect and examine the transaction for any and all loopholes. Remember this whenever you plan to give your house out on rent.