If you have more than one property, you would certainly try to make the best use of it, since letting it stay idle is a waste. That is when you decide to rent your property in order to earn an extra fixed amount of money each month.
Selling business property in Gurgaon and other places may not be profitable. In that case renting proves to be advantageous. But, before renting your property, keep in mind that it is not that easy as it seems. There are certain things to remember when you are taking the step of renting your property and becoming a long-term tenant.
- PRICE POINT– The rental rate of every property is different in different place. It depends on the various amenities provided in those places. Before setting the rent amount find out the usual prices for particular properties in your area. You can charge a good amount of rent if your property is a well-furnished one. Commercial spaces to buy in Gurgaon can earn you a good renting price.
- PROPER ADVERTISING– You should advertise your property well if you want to fill your vacant apartment by a tenant soon. Online portals can be a good source of advertisement. A lot of people can look through it. Click good and clear pictures of your property and post it online with proper details. You can also post an ad in the newspaper to market your property. Choosing both will make the process faster. You can also contact a local broker.
- DECIDING THE TENURE– When you are renting out your property, the rent agreement should mention the tenure of tenancy, exact dates of lease validity. You should settle the tenure for one year and then you can keep renewing the agreement each year.
- DRAFT THE AGREEMENT– When leasing out your property, a rental agreement is a cautious approach since it will enclose all aspects of the contract in a single document. Make sure to include all the details properly, like the name of the tenants, terms and conditions of the lease, monthly rent and tenant’s permanent address and the security deposit.
- REGISTERING THE AGREEMENT– It is very important to get the agreement registered under Section 17of the Registration Act in the sub-registrar office, if the rental agreement is more than 11 months. If it is not registered then it would be considered inadmissible in the court if, at all, any dispute arises between the landlord and tenant.
- SECURITY DEPOSIT– The tenant has to deposit a certain security amount to the landlord which has to be decided. A higher security amount will save the landlord from incurring any loss and that encourages the residents to value the property.
- DO’s AND DON’TS –It is important that the tenants are aware of their responsibilities when you are renting your property. Discuss the terms and conditions properly, with your tenants to avoid any potential problems or damages in the near future.
When you are ready to lease the property, these tips will definitely help.