Looking to rent out your house? Here are five basic things one may want to consider before renting your home out to strangers:
Rent 1: Before renting out your home have someone draw up a lease. There are leases for all occasions but not all leases are legal. Check the laws in the state where you live before having anyone sign a lease. This is just a formal agreement between the owner and the renter. In the lease you can discuss things like lawn care if applicable, loud parties and damages that may be incurred.
The lease should also discuss pet ownership, parking and who will reside on the premises. This is also a good time to add an inspection of premises clause at least once a year. This gives the owner the opportunity to inspect the home during this time or not.
The lease should also state the amount of the damage deposit and how it will be returned.
Rent 2: Run a criminal background check on any potential renters through one of the many agencies that do this. The potential renter will have to give their permission and Social Security number.
While this check is going on remember to run a financial background check as well. This will at least let you know if the potential renter has skipped out on paying rent in the past plus other vital information.
Rent 3: Appliances that are not necessary should not be left in the house. Remember in a furnished house the owner is responsible for repairs. If appliances are added for additional rent then one must be prepared to handle emergency calls or at least have a service person on call.
Rent 4: Check on what is considered fair rent for the house you currently are seeking to rent out. Charging fair rent will ensure a better renter than charging too much rent. When rent is too high you are asking for a potential renter to complain about every little thing. Charging just enough for the fair market is considered fair.
Rent 5: Run an ad pointing out amenities. Amenities are any pluses that may apply like a swimming pool, garage, full basement or if the home is close to a school or convenient to shopping centers. All of these things will help rent a house or apartment.
House and apartment rentals can be a headache or can go smoothly choose tenants wisely. My rule has always been choose a tenant you would live next door to.