If you decide to rent an apartment, a rental agreement works in the same way as renting a house – but without the possibility of buying the apartment or building. Leases are an attractive option for many individuals or families who are having difficulty obtaining a mortgage. If stability is your top priority, leasing may be the right option. Many landlords prefer leases because they are structured for stable, long-term occupancy. Investing a tenant in a property for at least one year can provide a more predictable revenue stream and reduce the cost of turnover. If you use a rental agreement, choose from tenants who want the flexibility of a short-term lease. For example, it is probably more likely that someone who moves to your area for a short-term job signs a lease such as a lease. If you live in an area close to a college, you may also find that college students prefer the flexibility of a lease. All the same provisions are contained in a monthly lease as in a standard lease; however, either the tenant or the landlord can change the terms of the contract at the end of each month. The landlord has the option of increasing the rent or asking the tenant to leave the premises without violating the lease. However, a landlord must give a good 30-day message to stop before the tenant leaves the property. Most leases do not fall under the category of a lease agreement, but the licensing agreement. This is why a tenant must check what a holiday and licensing contract is.
The landlord can increase the rent, decide to offer space to someone else or adopt a “no pet” policy. Similarly, the tenant may decide to pack up and move elsewhere. A rental agreement is ideal for a tenant who cannot commit to a 12-month rental period. It can open the door to many qualified tenants looking for short-term rent that can be in high demand near university campuses or large hospitals. In most cases, leases are considered “month to month” and automatically extend to the end of each period (month), unless the tenant or lessor has not noticed another. With a tenancy agreement, the landlord and tenant are free to change the terms of the contract at the end of each monthly period (if the corresponding termination procedures are followed). Unlike renting an apartment, homeowners may also include an “option to purchase” or a “lease-to-own” clause in the rental agreement. As part of a rental agreement with the option to purchase (and according to the specific rental conditions), each rent payment acts as an investment towards the down payment for the house. Whether you choose a lease or a lease, it is essential that you know who your tenant is.
A thorough review of your tenants can give you the confidence that you are putting the right person in your apartment to rent.