Renting a property is a lot of hard work for a landlord as it is his responsibility to ensure that the tenant has a comfortable stay. For this, certain preparations must be made before a tenant moves in, during the stay and after he leaves so that the property is set for a new tenant. Check out these pointers that a landlord should follow for problem-free renting of property.
Documentation
Adhere to government and legal conditions in rental agreements. For instance, your property should be registered before being let out on rent. Ensure that you have a rental license.
Inspecting your property
- Check if the electricity and water bills are paid.
- Inspect your property thoroughly to ensure that all the fittings and fixtures are perfect.
- Check the electrical connections, plumbing, seepage, leakage and structural integrity.
- Check if the house requires a painting job and get it done before renting.
- It is a good idea to upgrade the features before renting. This way the property will always have a recency value that will help it command more rentals.
Tenant verification
- Before renting your property, do a thorough verification to ensure that the tenant is reliable.
- Check where the tenant works, whether he can afford the rent, his family members, his credit score and his renting history. These will help avoid future problems, including misbehaviour by the tenant, delay or no payment of rent and cheating.
Proper lease agreement with the tenant
- The registered documents should include the tenant’s name, photograph, permanent address, monthly rental amount, the security deposit amount, duration of the lease and terms and conditions of rent increase.
- The registration document should include every detail that is important for the landlord, such as terms and conditions of vacating the property for both the landlord and the tenant and penalty in case of breach by either party.
- After both parties sign the document, it should be registered with the sub-registrar’s office (SRO).
Key handover
Once the document is registered, hand over the keys to the tenant. Keep a note of the date and time of the handover. It is a good idea to hand over the keys at the property personally so that the tenant cannot complain about the property’s condition later. Alternatively, you can take the help of a caretaker.
Tenant move-in list
- Along with the keys, give a list of fixtures, facilities and amenities that the tenant can use under the rental agreement.
- In case of renting a furnished house, mention the list of appliances available and their condition.
- It is a good idea to get an acknowledgement from the tenant on this list to act as proof in case of any damage to the property that would have to be billed to the tenant.
How can a landlord maintain his property when a tenant is staying there?
Although the property may be leased, the landlord should be able to maintain his property. Timely checks should be done, which would result in immediate action in case of a problem. A landlord should:
Inspecting the property regularly
Regular property inspection will mean that the property is in good shape. Based on the lease agreement, carry out an inspection quarterly or half yearly so that any issue is identified and addressed. This will also give you an idea about how the tenant is maintaining your property. Notify the tenant 24 hours in advance before going for an inspection.
Attend to tenant maintenance needs
If a tenant complains of an issue within the property, prioritise and address the issue immediately. This way you enhance the property’s life and have a comfortable relationship with the tenant. This would encourage him to renew the agreement or refer your property to other people at the time of leaving.
Steps to be followed by the landlord when the tenant moves out
Understand when the tenant vacates
Get a written notice from the tenant about when is he vacating the house. A tenant has to give a 30-day notice before vacating the house. If a tenant leaves urgently, then the rent will be adjusted as per the agreement.
Inspect the house before the tenant moves out
Inspect the house and check if the house has been maintained the way it was handed over. While there may be ignorable wear and tear, note if anything is broken or torn. In case such an instance occurs, you can ask the tenant to repair it before moving out or get it repaired and deduct the amount from the security deposit.
Return the security deposit
Once you have checked the property to your satisfaction, return the security deposit. It is better to return the money through UPI or cheque rather than in cash.
Housing.com POV
A landlord needs to maintain a checklist so that the rented property is taken care of. Many homeowners, while renting their property, avoid registration of the rental agreement owing to the detailed process. However, it is advisable to follow the process to protect your property.
FAQs
How much security deposit is paid by a tenant to the landlord?
The security deposit depends on the property’s location. It is generally two or three months’ rent for a residential property and around six months of rent for a commercial property.
What mode of transaction is recommended when taking rent from your tenant?
It is recommended to collect the rent through cheque, net banking or UPI.
Is the tenants’ police verification important before renting your property?
Yes, police verification is important. In some states, strict action is taken against landlords who rent their properties to tenants without proper police verification.
In a rented apartment, who pays the electricity bill?
The tenant is responsible for paying the electricity bill.
What is the minimum notice that a tenant has to give to vacate the house before the lease ends?
A tenant has to give a 30-day notice to vacate the house before the lease ends.
| Got any questions or point of view on our article? We would love to hear from you. Write to our Editor-in-Chief Jhumur Ghosh at jhumur.ghosh1@housing.com |
