What Every Tenant Should Know About
Renting Real Estate
Valuable tips to help you get the most out of a rental experience
Living in a rented home has many benefits. Whether you want to explore living in a new area before you decide to buy a home or you simply want the ability to pick up and move without having to sell in the future. This report will help you get the most out of your home leasing experience.
For over 27 years we've assisted hundreds of people in the leasing and relocation process. With this unmatched experience, we've put together this exclusive Special Report designed to help give you tips, ideas and information we feel you'll want to know while you're renting real estate here in Minnesota.
As always, we want to hear from you. If after reading this report you would like to share your thoughts or ideas to better the way we've prepared this report or the way we conduct our business, we would welcome the opportunity to listen. Thank you again for considering our team to assist you with your real estate and relocation needs.
Ten Tips for Tenants
Know your rights when you're renting
Prepare your information
The best way to win over a prospective property owner and quickly execute a lease agreement is to be prepared. To get a competitive edge over other applicants, have available the following when you meet the property owner or leasing agent: a completed rental application; written references from landlords, employers, and colleagues; and a current copy of your credit report is also advisable however, many property management firms require that the report is completed at their agency.
Review the lease
Carefully review all of the conditions of the tenancy before you sign on the dotted line. Your lease or rental agreement may contain a provision that you find unacceptable -- for example, restrictions on guests, pets, design alterations, or running a home business. For help reviewing your lease or rental agreement, seek legal advice and or the assistance of your leasing professional.
Get everything in writing
To avoid disputes or misunderstandings with your property owner, get everything in writing. Keep copies of any correspondence and follow up an oral agreement with a letter, spelling out your understandings. For example, if you ask your property owner to make repairs, put your request in writing and keep a copy for yourself. If the owner agrees orally, send a letter confirming this.
Protect your privacy rights
Next to disputes over rent or security deposits, one of the most common and emotion-filled misunderstandings arises over the tension between a property owner's right to enter a rental unit and a tenant's right to be left alone. If you understand your privacy rights (for example, the amount of notice your owner must provide before entering), it will be easier to protect them. For more information, see the Minnesota Attorney General for the booklet (Landlord Tenant rights and responsibilities).
Requesting repairs
Know your rights to live in a habitable rental unit -- and don't give them up. The vast majority of property owners are required to offer their tenants livable premises, including adequate weatherproofing; heat, water, and electricity; and clean, sanitary, and structurally safe premises. If your rental unit is not kept in good repair, you have a number of options, ranging from withholding a portion of the rent, to paying for repairs and deducting the cost from your rent, to calling the building inspector (who may order the property owner to make repairs), to moving out without liability for your future rent. Please seek legal advice before taking any actions.
Communicate with your property owner or property manager
Keep communications open. If there's a problem -- for example, if the owner or manager is slow to make repairs -- talk it over to see if the issue can be resolved short of a nasty legal battle. We have found that reasonable people will generally receive a reasonable result.
Purchase renters' insurance
Your property owner's insurance policy will not cover your losses due to theft or damage. Renters' insurance also covers you if you're sued by someone who claims to have been injured in your rental due to your carelessness. Renters' insurance typically cost around $350 a year for a $50,000 policy that covers loss due to theft or damage caused by other people or natural disasters; also check your lease agreement as there are many times clauses that require a tenant to carry a particular amount and type of an insurance policy. For more information about renters' insurance, see your insurance professional.
Protect your security deposit
To protect yourself and avoid any misunderstandings, make sure your lease or rental agreement is clear on the use and refund of security deposits, including allowable deductions. For your protection, when you move in, do a walk-through with the property owner or property manager to record existing damage to the premises on a move-in statement or checklist. We also would recommend taking many (dated) photos of the property to add an additional clarification of the property's condition at time of occupancy.
Protect your safety
Learn whether your building and neighborhood are safe, and what you can expect your landlord to do about it if they aren't. Get copies of any state or local laws that require safety devices such as deadbolts and window locks, check out the property's vulnerability to intrusion by a criminal, and learn whether criminal incidents have already occurred on the property or nearby. If a crime is highly likely, ask your property owner to take steps to protect you. There are also safety devices such as smoke detector, carbon monoxide detectors, fire extinguishers and other devises are required by federal, state and local authorities. See local municipal building inspectors or your leasing professional.
As property owner to disclose foreclosure or delinquencies
Now more than ever, it simply makes sense to ask the property owner if they are in foreclosure or delinquent on any of their mortgages securing the rental property. If the property is in foreclosure and you do not know about it, you could be moving out again sooner than you think. Mortgage companies and banks are not in the business of owning real estate, therefore if your rental home goes into foreclosure you will be required to move from the property regardless of what your lease agreement states with the property owner.
Get a property disclosure completed by the property owner
Knowing all the property's preexisting conditions with help you decide if the home meets with your requirements. A property disclosure should be complete enough to include well and septic information, whether or not a pet has ever resided on the premises, flooding problems, radon or mold issues, insect or rodent infestations, appliances, and much, much more. Knowing the property's past a current conditions upfront could avoid big problems in the future.
Properties with covenants, restrictions and associations
Never assume that the property you are renting does not include use restrictions imposed by other authorities. Covenants, restrictions and association bylaws should be reviewed before signing a lease agreement. Some restrictions may impact you as a resident in the development for example; parking of motor homes, boats, snowmobiles and or limiting the number of vehicles may pose a future issue. Avoiding problems, fines and embarrassments by know what is permissible in your neighborhood is a very good idea.
Pools, waterfront and other special amenities
If the property you are renting is equipped with special amenities, know what you are getting into! If you have never cared for a pool for example, be very clear with the property owner on who is responsible for what. Special amenities are wonderful, however keep in mind liability, service, repairs, maintenance, upkeep and who's responsible for what.
Deal with an eviction properly
Know when to fight an eviction notice -- and when to move. If you feel the property owner is clearly is the wrong (for example, you haven't received proper notice, the premises are uninhabitable), you may want to fight the eviction. But unless you have the law and provable facts on your side, fighting an eviction notice can be short-sighted. If you lose an eviction lawsuit, you may end up hundreds (even thousands) of dollars in debt, which will damage your credit rating and your ability to easily rent from future landlords. For more information on eviction see the Minnesota Attorney General or your legal professional.
Here are essential keys to renting a home successfully:
1. Jot down what you want in a home. Narrow down details like number of rooms, area, condo, or individual house and so on.
2. Get all your documents in order: credit report, letter of intent, bank records, references, and letter from your previous landlord as well as employer.
3. Take along a checklist while doing a walkthrough. Be sure to check for secure windows and doors, leakages, infestations, damp, storage and so on.
4. Check carefully the lease agreement and ensure that aspects like visitors, subletting, breakages, breaking a lease, and paying of utilities are very clear. Responsibilities must be clearly delineated.
5. Ask for references and check out the suitability of the location and building.
6. Find out whether schools, hospitals, and so on are close by and ensure that transportation to your place of work is available.
When renting a home keep in mind security and ensure that all electrical appliances like heater, air conditioners, refrigerators and so on are in working condition. It is always advisable to have a professional inventory before leasing and just before you leave. This prevents any disagreement with the landlord over the condition of things.
Clarify whether or not you will be permitted to change the locks on the doors and ask who will be responsible for any repairs that may be needed. Ask yourself the following questions:
? If the condo or home in a quiet or noisy area?
? Are you comfortable with the neighborhood. What kind of community is it? Check it out sometimes you may find yourself living among all retired folks or college students.
? Is transportation available 24/7. And what about daily necessities?
? What about parking facilities?
? Is there a playground close by?
? What about costs of heating and cooling, do you know the annual energy costs, who pays for what and who transfers the utilities?
? What is the overall condition of the area and building you are considering ? is there a property disclosure?
? Is the deposit, rent, and cost of utilities within your budget?
Even if you are considering a short term lease view the flat or house like you would a property you plan to invest in.
Renting is not hard if you go about it in an organized professional way. If you have any doubts consult friends or a professional property consultant. Often the cost will be worthwhile in the long run.
Please feel free to call us if you would like further explanation on any of these topics, or if you have any real estate questions at all. We simply see our mission as striving to be as helpful as we possibly can. We hope this special report provides the information you need to be an informed tenant.
Leasing@HomeRentalSystems.com
1-888-875-0435
