The most important part of any property management business is the leasing contract that is made between the property manager and the tenant. For most professionals, this has become part of the routine and they do not exhibit care. According to the analysis, a leasing agreement is very important and so extreme care and attention should be paid to it. The results show that 62% of property managers do not follow this. A few recommendations have also been presented on things that should definitely be included in the agreement. Here are the highlights of the survey.
Complete Details about the Rent
Even though this seems fairly obvious, it is still not practiced by 22% of property managers. If you are among these, please avoid his habit. You should clarify all terms related to rent such as the due date every month, the grace period, and the penalty for late payments. You should also let your tenants know beforehand about payment options which are acceptable to you.
Legal Entry into the House
Your tenant should be aware of the date on which he would be able to move into the home, and make sure to spell out the same in the lease agreement. You should also specify dates on which he can have his belongings moved over.
Illegal Activities
Hopefully, your tenants will not perform any illegal activities, but that does not mean you can exclude this clause from the contract. Clearly specify all activities that you prohibit and also the consequences of performing these acts. You should also mention in very clear words that disobedience can also lead to cancellation of the contact.
Maintenance Responsibilities
Be sure to let your tenants know what aspects of maintenance fall upon them, and mention the same in the ‘Terms and Agreement’ section. If you want them to manage the lawn and landscaping by themselves, state so in the agreement. Moreover, if you do not want them to perform any major repairs, also specify that. For instance, quite a few property managers forbid their tenants to change the paint.
Security Deposit
Specify the exact amount of the security deposit which you require from the tenants. Also mention if they can use the same for their last month of stay or not. Similarly, provide them information about any extra charges like cleaning or cable service that will be deducted from the deposit.
