Renting out your house requires a lot more work than just painting and fixing appliances. We give you 5 tips for handing your house over to a tenant.
You’ve bought your property and invested in making it a comfortable and safe space to live in. But if you want to rent it out, there’s more that needs to be done.
If you live in a fast-paced urban center in India, you might easily find a tenant for your house. However, that tenant is still a stranger and your property needs to get you a good Return On Investment (ROI) without it becoming a liability. And with property appreciation rates staying stable over the last few years, the best option out there for you to get your just returns is to rent it out and get a steady source of income.
There’s no need to worry; Anulom gives you 5 easy and simple tips to remember before renting out your house:
1. Protect your investment
First and foremost, you need to get your Landlord’s Insurance done. Your property is an asset whose value should increase over time. The best way to protect yourself from any damage to it and a decrease in value is to get insurance. Landlord’s insurance covers everything from damage to property, loss of income and liabilities. It’s important because you are covered while paying for repairs if any and you also get an income when you face a loss of rent.
2. Determine the correct rent
A lot of factors go into deciding the right amount of rent you need to charge for your property. You need to keep the age of your property, the location, the amenities you’re offering and the maintenance fees in mind before deciding on an amount that is not so low that you don’t get the right ROI, or so high that tenants can’t afford it.
3. Choose the right tenant
An important rule of thumb to follow here would be to personally meet the tenants while they see your property. Have a conversation with them to judge whether they seem trustworthy and interested. Ask for information so you can do a background check on them. If all this seems like too much work, you can always invest in a reliable property management service that will handle everything – from putting out advertisements, screening tenants and collecting rent – for you.
4. Get a rent agreement and register it
The government of Maharashtra has made it mandatory for all landlords and tenants to enter into a rent agreement for the period of tenancy and get it registered at a Sub-Registrar’s Office. The rent agreement is a document that details all of the conditions for renting out the house agreed upon by both the landlord and the tenant. It is a vital document because it can protect your interests in all legal matters. Choose a government-approved doorstep service provider to make the process of getting it registered hassle-free and quick.
5. Do regular checks
Once you find a tenant, register a rent agreement with them and they move in, you can’t wash your hands off the matter. You need to perform periodic checks to ensure your property is being kept in good shape. One way to be able to do regular checks is to make it a pre-existing condition in your rental agreement. Another way is to hire a property manager who can step in for you to conduct the checks and keep you updated on all the progress. In case of any repairs to be made, the property manager can handle it on your behalf.
There may be parodies and stories on popular media about evil landlords, but they don’t reveal the whole picture. The truth is that you need to protect your property as an important investment and going about tenancy the right way is key.
Log in to www.anulom.com or call +91 9595380945 to find out more about how you can get returns on your property and take care of it the right way.