5 Things you should know about long term renting
The landlords who rent their property often remain in doubt whether to go with the long term rental or the short term rental. Property renting is not as easy as it is perceived. A person has to consider a lot of aspects prior renting. And, these long and short term aspects are among those aspects. In modern times, many people are interested in long term renting over short terms. If you too are one among such people, the following points can be useful for you.
Benefits of long term renting
There are various benefits of long term renting, which is the reason that so many people are showing interest in it. The foremost advantage is that the landlord can get assured about a fixed monthly income. As the person is going to be on rent for longer period, he/she has to deposit the amounts. However, it’s true that the monthly payment received by a landlord for long term rents sometimes are lesser in comparison with the short term. This is so as a landlord has the option to revise the price after a certain term of agreement in case of short term renting. But, these landlords often don’t get opportunity to modify the prices. It means they have to remain satisfied with that certain amount.
You can charge extra maintenance cost
One of the advantages of long term rental is that the landlord gets the opportunity to ask for extra maintenance charge. As the property is being rented for a longer duration, it is obvious to require maintenance. And, as the tenant agrees with prior condition of extra maintenance charge, they have to pay the same. But, in case of short term rental, a landlord goes for maintenance only after the term of living completes. As the tenant has already completed its term, they don’t owe any kind of maintenance fee payment to the landlord. The landlord too can’t make any such demands.
It might create difficulty in finding the right tenant
The biggest challenge associated with long term renting is finding the right tenant. First of all, not everyone agrees with the long term association. In those occasions when they agree, the level of terms and conditions they set are often quite high. Especially, they get enough reasons to bargain with the landlord. Moreover, there always remains the security issue for the landlord. It is important for them to check the identity documents well prior allowing them to stay on rent at their homes. Only identity check is also not enough. The tenant should assure the landlord through proper reference checks. It would be even better to accept few advance amounts from them.
Things to check before renting
It has been seen in many occasions that the landlords remain relaxed regarding the renting process. But, it is important for them to be strong enough while taking decisions. They should first observe their own future plans. They should ensure there is no requirement of space for their own in near future. This is important as you can’t remove a tenant from your house anytime you wish, in case of long term renting. First of all, you can’t do much if they don’t agree. Otherwise, you have to compromise financially or may need to pay them penalties. Forcing a tenant to leave may lead to legal battles. And, these legal battles are quite enduring in nature. Best recommendation for such people would be thus to go with short term renting. Here they can get incredible flexibility. In fact, one may opt for daily, monthly, even regular payouts. If you wished to remove them from the house, it’s only required to intimate them about the same only a month or two back.
Don’t add extra night charges
Most of the long term renting system involves separate charges for the nights. It means the tenant has to pay greater amounts for night stays. Though this sounds profitable, but not recommended as finding a good tenant can be very difficult. Hence, it would be rather a better idea to hike the overall charge, so that you can ultimately make the same amount of money as you wished, but without specifically mentioning higher amounts for night stays. Extra charges for night hours often create bad impressions. It might lead to legal complexities as well in certain occasions. Unless it’s for typically commercial purpose, one should not try this.
Author bio: Cristine Miles writes for Renthia – their vision is simplicity and safety on the subleasing market. That’s why Renthia offer a safe service, connecting Property developers, landlords and tenants all while assuring high quality.