11 Tips That Contribute to a Good Rental Relationship
Renting out real estate can become either a very profitable or rather nerve-wracking and expensive venture. In order for the rental experience to be positive, the owner can do a lot from their side.
From time to time, it happens that a tenant's profile may appear suitable both financially and in other aspects, yet the rental experience does not turn out positive when the landlord discovers that the property has not been maintained as expected.
Below, Kairi Vanem, a real estate broker at Uus Maa Luxum office, highlights 11 helpful points to pay greater attention to.
1. Thorough background check
When conducting a background check, it is important to ensure that the client is trustworthy according to basic criteria and financially capable of paying for the rental property. The criteria are:
- employment status. Verify the client's sufficient income. Ideally, the rental payment should not constitute more than 50% of monthly income;
- positive payment history;
- absence of criminal convictions;
- absence of previous rental disputes.
2. Detailed rental agreement
A thoroughly and carefully prepared rental agreement is helpful to both parties. A clear and unambiguous agreement helps tenants understand their obligations and areas of responsibility.
The agreement also makes it possible to regulate even the smallest special conditions of the living space and the tenant's freedom of action (drilling holes in walls, moving around the room in outdoor shoes, recommended room temperature levels, etc.).
3. Security deposit
The purpose of a security deposit is to compensate the landlord for possible damage to the property resulting from the tenant's actions. With a considerably large security deposit, tenants' responsibility for maintaining the property in good condition is significantly higher. Of course, a larger security deposit amount is quite common with tenants who have pets.
4. Exemplary rental property
The landlord can set an example for the tenant by handing over an impeccably clean and finished space. Property that is clean, organized, and well-maintained from the start motivates tenants to take better care of it as well. Point out what is important to you.
5. Thorough handover
When the tenant moves in, it is important to conduct a thorough inspection of the property together and document the process with authentic photos, videos, and/or written notes. What is recorded in the handover report serves as evidence later regarding whether the property has been well or poorly maintained and any resulting claims.
The process also remains well in the tenant's mind, and therefore the likelihood that they will take better care of the property is greater.
6. Inspection visits
If desired, the landlord has the right to organize regular inspections to check the condition of their property. In doing so, one should keep in mind the principle of "doing it as little as possible and as often as necessary".
During an inspection visit, there is also a good opportunity to communicate with tenants and inquire about problems that require repairs or solutions. In addition to ensuring that the property is well-maintained, inspections also allow one to monitor any necessary improvement works.
7. Good relationships
Helpful and positive contact with tenants is the key to a successful experience. Mutual respect and goodwill in the relationship extends to caring for the property as well. The rental relationship develops a personal connection, and the tenant develops a conscientious sense of responsibility.
8. Home user manual
No one knows the peculiarities of their home better than the owner themselves. In order for the tenant to understand them as well, it is smart to prepare a concise home user manual, which is a great help to the tenant and brings peace of mind to the landlord, knowing that the people using the living space know how to use the right cleaning products and appropriate tools for maintaining the entire living space.
It certainly helps as well if the right tools for performing necessary tasks are already provided by the owner.
9. Neighbors' contact
A good way to stay informed about tenants' behavior is to maintain contact with neighbors. If tenants' daily life is quiet and everything seems normal, then there is a high probability that it is, and there is no reason for greater concern.
10. Insurance
Peace of mind is also provided by various home insurance options, which make it possible to insure property damage against both tenant actions and inactions.
11. Cleaner
To be sure that the property is thoroughly cleaned at least once a month and checked by a reliable person, it is good to involve a trustworthy cleaner. This can be arranged by agreement with the tenant either as a separate expense for the tenant or as a special wish of the owner that is already included in the rental price.
In summary. Owners can always make their own contribution to ensure that their tenants are conscientious and responsible. Normal wear and tear is a normal phenomenon in property rental and cannot be expected that after the rental period it will be in exactly the same condition.
By following the principles outlined above, you will have better control of the situation and a greater chance of avoiding a nightmare scenario.
