Landlords rent their houses with one main intention: to get a monthly profit from their asset. Not only has renting become a lucrative business in Toronto, it has been proven to be the main option that many people are willing to turn to until they can afford the costs of buying a house. However, what many fail to see is that the actual rent that they pay could be used to actually pay the mortgage on a house that will eventually be their own when they are finished paying the installments. Both tenants and landlords have to pay attention to certain crucial points to make the whole experience of renting one that is both worthwhile and fulfilling.
Tenants
Size: If you are planning on expanding your family in the future then the best solution is to get a house that will accompany this expansion. Families usually make the mistake of renting a house that adapts to their current situation, but not to their future plans.
Location and Neighbors: Renting a house that is close to amenities pays off in the long run. The location of the house you plan to rent should not only be taken into consideration for security reasons, but also for comfort to ensure that period of adapting to the new location is fast and without stress. Take the time to get to know the neighbors to see if you agree with their behavioral patterns. It might not be possible to know everything before you actually move in, but make the best of the opportunity of discovering anything that will be essential to ensure your comfort in your new home.
Contracts: Never make the mistake to assume that a verbal agreement is a contract. After some time has passed, both parties would have forgotten the actual terms of the verbal agreement. To avoid contention, it is best to get all agreements in writing and reading each clause carefully before signing to rent a house.
Additional Costs: House rental does involve more costs that are not covered in the actual rent itself. Talk with the landlord to see the different costs that you will be required to pay and ensure that these costs are part of the written agreement that you plan to sign.
Renewal- When your lease is up, the landlord may want to increase your rent. You should have this outlined in writing and signed to have a physical proof of what the percentage increase that you could expect. If this is not possible, then you run the risk of facing a higher rent after the lease has ended than what you originally agreed to pay.
Landlords
Presentation: Many landlords make the mistake to assume that the market is full of hungry people looking to find a house to rent. They assume that even if they leave their place shabby and unappealing that there will be some poor soul that will be more than willing to take what they have to offer. Time have changed and more and more people are seeing that consumers are no longer settling for what they can get, but what they know they should get.
Contract Clauses: Seek the help of a real estate lawyer to ensure that you have elaborated a contract that covers all the necessary details for renting a house. Not only will you protect your asset by doing so, you will also ensure that you are not hauled to court by a tenant that is able to take advantage of wrongly written clause or clause that does not appear in the contract. A comprehensive lease document should be prepared to cover everything that is required by law and that is personally relevant to the contents of the agreement.
Maintenance: As a landlord you will be required to do the necessary maintenance to preserve the integrity if the house that you are renting. You should also ensure that the maintenance you perform obeys the necessary rules that are outlined by the building association in Toronto.
Real Estate Agents: If you decide to rent your house using a real estate agent then know what your rights. This will be outlined in the contract that the real estate agency will present you with outlining the responsibilities that they will perform to ensure that your tenant/s are comfortable and treated fairly. In many cases real estate agencies will be willing to undertake everything from interviewing possible tenants to doing the necessary maintenance on the house itself.
Background Checks: The days of interviewing a tenant today and opening the doors of your house to him or her tomorrow are all gone. With more and more fraudulent tenants, landlords have to take the necessary steps to ensure that they are renting a house to someone that has the ability to pay and that will not give them the headache of court appearances to collect rent.